Stricken language would be deleted from and underlined language would be added to present law. *JMB137* 02/18/2025 11:32:49 AM JMB137 State of Arkansas 1 95th General Assembly A Bill 2 Regular Session, 2025 SENATE BILL 252 3 4 By: Senator J. Dismang 5 By: Representatives Wardlaw, K. Brown 6 7 For An Act To Be Entitled 8 AN ACT TO AMEND THE ARKANSAS TOBACCO PRODUCTS TAX ACT 9 OF 1977; TO INFORM THE PUBLIC OF HEALTH RISKS CAUSED 10 BY VAPOR PRODUCTS AND E -LIQUID PRODUCTS; TO PREVENT 11 CONTAMINATION, ADULTERATION, OR INCLUSION OF 12 INGREDIENTS OR OTHER SUBSTANCES IN VAPOR PRODUCTS OR 13 E-LIQUID PRODUCTS THAT MIGHT CAUSE HARM TO PUBLIC 14 HEALTH AND SAFETY; TO ENSURE THE SAFETY OF ARKANSAS 15 YOUTH; TO DECLARE AN EMERGENCY; AND FOR OTHER 16 PURPOSES. 17 18 19 Subtitle 20 TO INFORM THE PUBLIC OF HEALTH RISKS 21 CAUSED BY VAPOR PRODUCTS AND E -LIQUID 22 PRODUCTS; TO ENSURE THE SAFETY OF 23 ARKANSAS YOUTH; AND TO DECLARE AN 24 EMERGENCY. 25 26 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS: 27 28 SECTION 1. Arkansas Code 19 -6-831(b)(2), effective until the 29 contingency in Acts 2023, No. 629, § 17, is met, concerning the creation of 30 the Arkansas Tobacco Control Revenue Fund, is amended to read as follows: 31 (2) The fund also shall consist of any other revenues authorized 32 by law, including without limitation all certification fees collected by 33 Arkansas Tobacco Control under § 20 -65-201 et seq. and all civil penalties 34 collected by Arkansas Tobacco Control under § 20 -65-204(c). 35 36 SB252 2 02/18/2025 11:32:49 AM JMB137 SECTION 2. Arkansas Code 19 -6-831(b)(2), effective when the 1 contingency in Acts 2023, No. 629, § 17, is met, concerning the creation of 2 the Arkansas Tobacco Control Revenue Fund, is amended to read as follows: 3 (2) The fund also shall consist of any other revenues authorized 4 by law, including without limitation all certification fees collected by 5 Arkansas Tobacco Control under § 20 -65-201 et seq. and all civil penalties 6 collected by Arkansas Tobacco Control under § 20 -65-204(c). 7 8 SECTION 3. Arkansas Code 19 -6-831(c)(1), effective until the 9 contingency in Acts 2023, No. 629, § 17, is met, concerning the creation of 10 the Arkansas Tobacco Control Revenue Fund, is amended to read as follows: 11 (c)(1) The fund shall be used for expenses incurred by Arkansas 12 Tobacco Control in the organization, maintenance, operation, and merchant 13 education and training with regard to enforcement of § 5 -27-227, § 20-65-101 14 et seq., the Arkansas Tobacco Products Tax Act of 1977, § 26 -57-201 et seq., 15 and the Unfair Cigarette Sales Act, § 4 -75-701 et seq. 16 17 SECTION 4. Arkansas Code 19 -6-831(c)(1), effective when the 18 contingency in Acts 2023, No. 629, § 17, is met, concerning the creation of 19 the Arkansas Tobacco Control Revenue Fund, is amended to read as follows: 20 (c)(1) The fund shall be used for expenses incurred by Arkansas 21 Tobacco Control in the organization, maintenance, operation, and merchant 22 education and training with regard to enforcement of § 5 -27-227, § 20-65-101 23 et seq., the Arkansas Tobacco Products Tax Act of 1977, § 26 -57-201 et seq., 24 § 20-56-401 et seq., and the Unfair Cigarette Sales Act, § 4 -75-701 et seq. 25 26 SECTION 5. Arkansas Code Title 20 is amended to add an additional 27 chapter to read as follows: 28 CHAPTER 65 — TOBACCO PRODUCTS, VAPOR PRODUCTS, ALTERNATIVE NICOTINE PRODUCTS, 29 AND E-LIQUID PRODUCTS 30 31 Subchapter 1 — General Provisions 32 33 20-65-101. Definitions. 34 As used in this chapter, unless otherwise specified: 35 (1)(A) “Alternative nicotine product” means a product that 36 SB252 3 02/18/2025 11:32:49 AM JMB137 consists of or contains nicotine from any source that can be ingested into 1 the body by chewing, smoking, absorbing, dissolving, inhaling, snorting, 2 sniffing, or by any other means. 3 (B) “Alternative nicotine product” does not include a: 4 (i) Tobacco product; 5 (ii) Vapor product; 6 (iii) Product that is a drug under 21 U.S.C. § 7 321(g)(1); 8 (iv) Product that is a device under 21 U.S.C. § 9 321(h); or 10 (v) Product that constitutes a combination drug, 11 device, or biological product as described in 21 U.S.C. § 353(g); 12 (2) “Annual” or “annually” means the fiscal year from July 1 13 through the following June 30; 14 (3) “Brand family” means all styles of vapor products, 15 alternative nicotine products, and e -liquid products sold under the same 16 trademark and differentiated from another style by means of additional 17 modifiers or descriptors, and includes any brand name alone or in conjunction 18 with any other word, trademark, logo, symbol, motto, selling message, 19 recognizable pattern of colors, or any other indicia of product 20 identification identical to, similar to, or identifiable with a previously 21 known brand of vapor products, alternative nicotine product, or e -liquid 22 products; 23 (4) “Childcare facility” means the same as provided in § 20 -78-24 202; 25 (5) “Child-resistant packaging” means packaging that is designed 26 or constructed to be compliant with the Federal Child Nicotine Poisoning 27 Prevention Act, Pub. L. No. 114 -116, 15 U.S.C. § 1472a; 28 (6) “Consumer” means a member of the public at large; 29 (7) “E-liquid” and “e-liquid product” means a liquid product, 30 which may or may not contain nicotine, that is inhaled when using a vapor 31 product and that may or may not include without limitation propylene glycol, 32 vegetable glycerin, nicotine from any source, and flavorings; 33 (8)(A) “E-liquid container” means a bottle or other container of 34 e-liquid that is sold or provided for mixing at retail and is marketed or 35 intended for use in a vapor product. 36 SB252 4 02/18/2025 11:32:49 AM JMB137 (B) "E-liquid container" does not include e -liquid 1 contained in a cartridge that is sold, marketed, or intended for use in a 2 vapor product if the cartridge is prefilled and sealed by the manufacturer 3 and is not intended to be opened by the consumer; 4 (9) “Healthcare facility” means the same as in § 20 -27-1803; 5 (10)(A) “Manufacturer” means a person that manufactures, 6 fabricates, assembles, or processes a tobacco product or manufactures or 7 fabricates a vapor product, alternative nicotine product, or e -liquid 8 product, including without limitation a federally licensed importer and a 9 federally licensed distributor that deals in tobacco products, vapor 10 products, alternative nicotine products, or e -liquid products. 11 (B) “Manufacturer” includes a sales entity affiliate of 12 the manufacturer or any other entity representing the manufacturer with 13 regard to the sale of tobacco products, vapor products, alternative nicotine 14 products, or e-liquid products produced by the manufacturer to wholesalers or 15 permitted retailers. 16 (C) “Manufacturer” specifically includes a person that 17 mixes, compounds, repackages, or resizes e -liquid products or vapor products; 18 (11) “School” means: 19 (A) Any buildings, parking lots, playing fields, 20 playgrounds, school buses, or other school vehicles; or 21 (B) Any off-campus school-sponsored or school-sanctioned 22 events with respect to any public school, open -enrollment public charter 23 school, or private school where children attend classes in kindergarten 24 through grade twelve (K -12); 25 (12) “Tobacco products” means all products containing tobacco 26 for consumption, including without limitation cigarettes, cigars, little 27 cigars, cigarillos, chewing tobacco, smokeless tobacco, snuff, smoking 28 tobacco, including pipe tobacco, and smoking tobacco substitutes; and 29 (13) “Vapor product” means an electronic oral device of any size 30 or shape that contains a vapor of nicotine, e -liquid, or any other substance 31 that when used or inhaled simulates smoking, regardless of whether a visible 32 vapor is produced, including without limitation a device that: 33 (A) Is composed of a heating element, battery, electronic 34 circuit, chemical process, mechanical device, or a combination of heating 35 element, battery, electronic circuit, chemical process, or mechanical device; 36 SB252 5 02/18/2025 11:32:49 AM JMB137 (B) Works in combination with a cartridge, other 1 container, or liquid delivery device containing nicotine, e -liquid, or any 2 other substance and manufactured for use with vapor products; 3 (C) Is manufactured, distributed, marketed, or sold as any 4 type or derivation of a vapor product, e -cigarette, e-cigar, e-pipe, or any 5 other product name or descriptor; and 6 (D) Does not include a product regulated as a drug or 7 device by the Federal Food, Drug, and Cosmetic Act, 21 U.S.C. § 301 et seq., 8 as it existed on January 1, 2015. 9 10 20-65-102. Safety inspections — Child-resistant packaging. 11 (a) To ensure that the citizens of this state receive only tobacco 12 products, vapor products, alternative nicotine products, or e -liquid products 13 that are fresh, uncontaminated, unadulterated, and otherwise free of 14 substances that might cause harm to public health and safety, and to ensure 15 the safety of Arkansas youth, the Director of Arkansas Tobacco Control may: 16 (1) Inspect or cause to be inspected any tobacco products, vapor 17 product, alternative nicotine product, or e -liquid container in places of 18 storage or distribution authorized under state law; 19 (2) In addition to any authorization or remedy under law, 20 require any tobacco products, vapor products, alternative nicotine products, 21 or e-liquid containers found to be contaminated, adulterated, damaged, or not 22 fresh be removed from stock and be either returned to the proper wholesaler 23 or manufacturer for disposal according to law or delivered to the director 24 for destruction or disposal; 25 (3) Prescribe any form, application, certificate, or other 26 documentation or record to be used in the administration and enforcement of 27 this chapter; and 28 (4) Promulgate rules necessary to implement and effectuate the 29 purposes of this chapter. 30 (b) All alternative nicotine products and e -liquids sold at retail in 31 this state shall be sold in child -resistant packaging. 32 33 20-65-103. Prohibition on use in certain settings. 34 It is a violation of this chapter for any person to use a tobacco 35 product, vapor product, alternative nicotine product, or e -liquid product in 36 SB252 6 02/18/2025 11:32:49 AM JMB137 or on the grounds of any school, childcare facility, or healthcare facility. 1 2 20-65-104. Advertising prohibitions for vapor product, alternative 3 nicotine product, e-liquid product, or e -liquid container. 4 A person may not advertise, market, or offer for sale in this state any 5 tobacco products, vapor products, alternative nicotine products, e -liquid 6 products, or e-liquid containers by using, in the labeling or design of the 7 product, its packaging, or its advertising or marketing materials, trade 8 dress, trademarks, branding, or other related imagery that: 9 (1) Imitates or replicates those of food brands or other related 10 products that are commonly marketed to children or minors, including without 11 limitation breakfast cereals, cookies, juice drinks, soft drinks, frozen 12 drinks, ice creams, sorbets, sherbets, and frozen pops; 13 (2) Depicts or signifies characters or symbols that are known to 14 a reasonable person to appeal primarily to or are commonly associated with 15 children or minors, including without limitation superheroes, cartoons or 16 cartoon characters, anime characters, comic book characters, video game 17 characters, television show characters, movie characters, mythical creatures, 18 or unicorns, or that otherwise incorporates related imagery or scenery; or 19 (3) Uses the terms “candy”, “candies”, “cake”,” “cakes”, “pies”, 20 or “cupcakes” or any variant of these terms when that variant term is used in 21 a manner to market to children or minors or known to a reasonable person to 22 appeal primarily to children or minors, or any other term referencing a type 23 or brand of candy, cakes, pastries, or pies, including types or brands of 24 candies, cakes, pastries, or pies that do not include the words “candy”, 25 “candies”, “cake”, “cakes”, “pies”, or “cupcakes” in their names, labels, or 26 slogans. 27 28 20-65-105. Contaminated or adulterated tobacco products, vapor 29 products, alternative nicotine products, or e -liquid products. 30 (a) It is a violation of this chapter for any person to offer for sale 31 in this state or sell to persons located in this state any contaminated or 32 adulterated tobacco products, vapor product, alternative nicotine product, or 33 e-liquid product. 34 (b) A tobacco product, vapor product, alternative nicotine product, or 35 e-liquid product in this state is contaminated or adulterated if the product: 36 SB252 7 02/18/2025 11:32:49 AM JMB137 (1) Consists in whole or in part of any filthy, putrid, or 1 decomposed substance; 2 (2) Contains any added poisonous or deleterious substance that 3 may render the product injurious to public health; or 4 (3) Does not have an approved certification as required in § 20 -5 65-202. 6 7 Subchapter 2 — Manufacturer Directory for Vapor Products and E-liquid 8 Products 9 10 20-65-201. Definitions. 11 As used in this subchapter: 12 (1) “E-liquid” and “e-liquid product” means a liquid product 13 containing nicotine from any source that is inhaled when using a vapor 14 product, and that may or may not include without limitation propylene glycol, 15 vegetable glycerin, and flavorings; and 16 (2) “Vapor product” means an electronic oral device of any size 17 or shape that contains a vapor of nicotine or e -liquid that when used or 18 inhaled simulates smoking, regardless of whether a visible vapor is produced, 19 including without limitation a device that: 20 (A) Is composed of a heating element, battery, electronic 21 circuit, chemical process, mechanical device, or a combination of heating 22 element, battery, electronic circuit, chemical process, or mechanical device; 23 (B) Works in combination with a cartridge, other 24 container, or liquid delivery device containing nicotine from any source or 25 e-liquid and manufactured for use with vapor products; 26 (C) Is manufactured, distributed, marketed, or sold as any 27 type or derivation of a vapor product, e -cigarette containing nicotine from 28 any source, e-cigar containing nicotine from any source, e -pipe containing 29 nicotine from any source, or any other vapor product name or descriptor; and 30 (D) Does not include a product regulated as a drug or 31 device by the Federal Food, Drug, and Cosmetic Act, 21 U.S.C. § 301 et seq., 32 as it existed on January 1, 2015. 33 34 20-65-202. Establishment. 35 (a) The Director of Arkansas Tobacco Control shall develop and 36 SB252 8 02/18/2025 11:32:49 AM JMB137 maintain a directory listing all manufacturers that have provided 1 certifications that comply with this subchapter and each vapor product and e -2 liquid product that is listed in those certifications. 3 (b) The director shall: 4 (1) Make the directory available for public inspection on 5 Arkansas Tobacco Control's website by July 1, 2025; and 6 (2) Update the directory to correct mistakes and add or remove 7 manufacturers or a vapor product or e -liquid product consistent with the 8 requirements of this section on a monthly basis. 9 (c) A person or entity is deemed to have received notice as required 10 under subsection (d) of this section that a vapor product or e -liquid product 11 of a manufacturer is not included in the directory maintained by Arkansas 12 Tobacco Control under this section at the time Arkansas Tobacco Control’s 13 website fails to list any vapor product or e -liquid product in the directory 14 or at the time the director removes the vapor product or e -liquid product 15 from the directory. 16 (d)(1)(A) The director may not remove the manufacturer or its vapor 17 product or e-liquid product from the directory until at least fifteen (15) 18 days after the manufacturer has been given notice of an intended action. 19 (B) Notice shall be sufficient and be deemed immediately 20 received by a manufacturer if the notice is sent either electronically or by 21 facsimile to an email address or facsimile number, as the case may be, 22 provided by the manufacturer in the manufacturer’s most recent certification 23 filed under this subchapter. 24 (2) The vapor product or e -liquid product manufacturer shall 25 have fifteen (15) days from the date of service of the notice of the 26 director’s intended action to establish that the vapor product or e -liquid 27 product manufacturer or its vapor product or e -liquid product should be 28 included in the directory. 29 (3) If after fifteen (15) days from the date of service of the 30 notice of the director’s intended action the manufacturer of the vapor 31 product or e-liquid products remains in noncompliance, and the manufacturer 32 has not requested a hearing before the Arkansas Tobacco Control Board within 33 fifteen (15) days of notice of the director’s intended action, the 34 manufacturer and its vapor product or e -liquid product shall be removed from 35 the directory. 36 SB252 9 02/18/2025 11:32:49 AM JMB137 (4) Every manufacturer shall provide and update as necessary an 1 email address to the director for the purpose of receiving any notifications 2 required by this subchapter. 3 (e)(1) Beginning May 1, 2025, a vapor product or e -liquid product 4 shall not be offered for sale in this state or sold to a person located in 5 this state unless the manufacturer certifies before that date, on a form 6 prescribed by the director, under penalty of perjury, that: 7 (A) The vapor product or e -liquid product was on the 8 market in the United States as of August 8, 2016, and the manufacturer has 9 applied for a marketing order under 21 U.S.C. § 387j for the vapor product or 10 e-liquid product, whichever is applicable, by submitting a premarket tobacco 11 product application on or before September 9, 2020, and either: 12 (i) The premarket tobacco application for the vapor 13 product, alternative nicotine product, or e -liquid product remains under 14 review by the United States Food and Drug Administration; or 15 (ii) The United States Food and Drug Administration 16 has issued a marketing denial order for the vapor product or e -liquid 17 product, whichever is applicable, but the United States Food and Drug 18 Administration or a federal court has issued a stay order or injunction 19 during the pendency of the manufacturer's appeal of the marketing denial 20 order; 21 (B) The manufacturer has received a marketing granted 22 order under 21 U.S.C. § 387j for the vapor product or e -liquid product from 23 the United States Food and Drug Administration; or 24 (C) The manufacturer is not required to submit an 25 additional marketing granted order or premarket tobacco product application 26 for the vapor product or e -liquid product because the vapor product or e -27 liquid product merely reflects changes to the name, brand family, or 28 packaging of a vapor product or e -liquid product that is covered under 29 subdivision (e)(1)(A) or (e)(1)(B) of this section. 30 (2) In addition to the requirements in subdivision (e)(1) of 31 this section, each manufacturer shall provide to Arkansas Tobacco Control a 32 copy of the cover page of the: 33 (A) Premarket tobacco application with evidence of receipt 34 of the application by the United States Food and Drug Administration; 35 (B) Document issued by the United States Food and Drug 36 SB252 10 02/18/2025 11:32:49 AM JMB137 Administration or by a court confirming that the premarket tobacco product 1 application has received a marketing denial order that has been and remains 2 stayed by the United States Food and Drug Administration or court order, 3 rescinded by the United States Food and Drug Administration, or vacated by a 4 court; or 5 (C) Marketing granted order issued under 21 U.S.C. § 387j. 6 (3)(A) The information submitted by the manufacturer under 7 subdivision (e)(2) of this section shall be considered confidential 8 commercial or financial information for purposes of the Freedom of 9 Information Act of 1967, § 25 -19-101 et seq. 10 (B) The manufacturer may redact certain confidential 11 commercial or financial information provided under subdivision (e)(2) of this 12 section. 13 (C) The director shall not disclose confidential 14 commercial or financial information except as required or authorized by law. 15 16 20-65-203. Material change to certification. 17 A manufacturer shall notify the Director of Arkansas Tobacco Control 18 within thirty (30) days of any material change to the information provided in 19 § 20-65-202, including issuance by the United States Food and Drug 20 Administration of: 21 (1) A marketing granted order issued under 21 U.S.C. § 387j; 22 (2) An order requiring a manufacturer to remove a vapor product 23 or e-liquid product from the market either temporarily or permanently; 24 (3) Any notice of action taken by the United States Food and 25 Drug Administration affecting the ability of the new vapor product or e -26 liquid product to be introduced or delivered into interstate commerce for 27 commercial distribution; or 28 (4) Any change in policy that results in a vapor product or e -29 liquid product no longer being exempt from oversight of the United States 30 Food and Drug Administration. 31 32 20-65-204. Fees — Violations. 33 (a)(1) Each certifying manufacturer shall pay an initial fee of one 34 thousand dollars ($1,000) for each brand family of vapor products or e -liquid 35 products to offset the costs incurred by Arkansas Tobacco Control for 36 SB252 11 02/18/2025 11:32:49 AM JMB137 processing the certifications and operating the directory under § 20 -65-202. 1 (2) The Director of Arkansas Tobacco Control shall collect an 2 annual fee of five hundred dollars ($500) for each brand family of vapor 3 products or e-liquid products to offset the costs associated with maintaining 4 the directory and satisfying the requirements of this subchapter. 5 (3) Any certification fees collected under this section shall be 6 deposited into the Arkansas Tobacco Control Revenue Fund established under § 7 19-6-831. 8 (b)(1) If a manufacturer can demonstrate to the director that the 9 United States Food and Drug Administration has issued a rule, guidance, or 10 any other formal statement that temporarily exempts a vapor product or e -11 liquid product from the federal premarket tobacco application requirements, 12 the vapor product or e -liquid product may be added to the directory upon 13 request by the manufacturer if the manufacturer provides sufficient evidence 14 that the vapor product or e -liquid product is compliant with the federal 15 rule, guidance, or other formal statement, as applicable. 16 (2) On and after July 1, 2025, or on the date that Arkansas 17 Tobacco Control first makes the directory available for public inspection on 18 its website as provided in § 20 -65-202, whichever is later, a manufacturer 19 who offers for sale a vapor product or e -liquid product that is not listed on 20 the directory is subject to a civil penalty of one thousand dollars ($1,000) 21 for each vapor product or e -liquid product offered for sale in violation of § 22 20-65-202 until the vapor product or e -liquid product is removed from the 23 market or properly listed on the directory. 24 (3) In addition to any penalty prescribed by law, a corporation, 25 partnership, sole proprietor, limited partnership, or association engaged in 26 the manufacture of vapor products or e -liquid products that knowingly makes a 27 false certification under this subchapter is subject to a civil penalty of 28 not less than seventy -five thousand dollars ($75,000) but not more than two 29 hundred fifty thousand dollars ($250,000) for each false certification. 30 (4) A repeated violation of this section shall constitute a 31 deceptive trade practice under § 4 -88-101 et seq. 32 (5) Beginning on July 1, 2025, or on the date that Arkansas 33 Tobacco Control first makes the directory available for public inspection on 34 its website under this subchapter, whichever is later, and subject to 35 subdivisions (b)(7) and (b)(8) of this section, it is unlawful for any person 36 SB252 12 02/18/2025 11:32:49 AM JMB137 or entity to sell, offer, or possess in this state, or import for personal 1 consumption in this state, a vapor product or an e -liquid product that the 2 person or entity knows is not included in the directory maintained by the 3 director under this subchapter. 4 (6) A person or entity is deemed to have received notice that a 5 manufacturer is not included in the directory maintained by Arkansas Tobacco 6 Control at the time Arkansas Tobacco Control’s website fails to list any 7 manufacturer in the directory or at the time the director removes the 8 manufacturer from the directory. 9 (7) If a vapor product or e -liquid product or a manufacturer of 10 a vapor product or e -liquid product is removed from the directory established 11 and maintained by the director under § 20 -65-202, each wholesaler shall have 12 sixty (60) days from the date the vapor product or e -liquid product is 13 removed from the directory to remove any vapor product or e -liquid product 14 from the wholesaler’s inventory and physical location where the wholesaler 15 takes orders for, receives orders for, or sells the vapor product or e -liquid 16 product. 17 (8) If a vapor product or e -liquid product or a manufacturer of 18 a vapor product or e -liquid product is removed from the directory established 19 and maintained by the director under § 20 -65-202, each retailer shall have 20 one hundred twenty (120) days from the date any vapor product or e -liquid 21 product is removed from the directory to sell or remove the vapor product or 22 e-liquid product from the retailer’s inventory and permitted location. 23 (c)(1) In addition to the other fines and forfeitures, a person who 24 violates this section may be subject to a penalty for vapor products or e -25 liquid products held, sold, or offered for sale and confiscated by Arkansas 26 Tobacco Control in the amount of: 27 (A) Twenty-five dollars ($25.00) for each individual vapor 28 product or e-liquid product up to twenty (20) individual vapor products or e -29 liquid products; and 30 (B) Fifty dollars ($50.00) for each individual vapor 31 product or e-liquid product in excess of twenty (20) individual vapor 32 products or e-liquid products. 33 (2) The penalty under subdivision (c)(1) of this section shall 34 be held to be in the nature of a civil penalty and may be collected by civil 35 or administrative action and may be levied by the Arkansas Tobacco Control 36 SB252 13 02/18/2025 11:32:49 AM JMB137 Board or any circuit court having jurisdiction in this state. 1 (3) A penalty assessed under this subsection shall be deposited 2 into the Arkansas Tobacco Control Revenue Fund established under § 19 -6-831. 3 4 20-65-205. Enforcement. 5 (a)(1)(A) A nonresident manufacturer that is not registered to do 6 business in the state, as a condition precedent to having its name or its 7 vapor products or e-liquid products listed and retained in the directory 8 created under this subchapter, shall appoint and continually engage without 9 interruption a registered agent in this state for service of process on whom 10 all process and any action or proceeding arising out of the enforcement of 11 this section may be served. 12 (B) The manufacturer shall provide to the Director of 13 Arkansas Tobacco Control the name, address, and telephone number of its agent 14 for service of process and shall provide any other information relating to 15 its agent as may be requested by the director. 16 (2)(A) A manufacturer that is located outside of the United 17 States, as an additional condition precedent to having its vapor products or 18 e-liquid products listed or retained in the directory, shall cause each of 19 its importers of any of its vapor products or e -liquid products to be sold in 20 this state to appoint, and continually engage without interruption, an agent 21 in this state in accordance with the provisions of this section. 22 (B) All obligations of a manufacturer imposed by this 23 section with respect to appointment of its agent shall also apply to 24 importers with respect to appointment of their agents; and 25 (3)(A) A manufacturer shall provide written notice to the 26 director thirty (30) days before the termination of the authority of an agent 27 appointed under subdivisions (a)(1) and (a)(2) of this section. 28 (B) No less than five (5) days before the termination of 29 an existing agent appointment, a manufacturer shall provide to the director 30 the name, address, and telephone number of its newly appointed agent for 31 service of process and shall provide any other information relating to the 32 new appointment as may be requested by the director. 33 (C) In the event an agent terminates an agency 34 appointment, the manufacturer shall notify the director of the termination 35 within five (5) days of the termination and shall include proof to the 36 SB252 14 02/18/2025 11:32:49 AM JMB137 satisfaction of the director of the appointment of a new agent. 1 (b)(1) Each retailer and wholesaler that sells or distributes vapor 2 products or e-liquid products in this state may be subject to unannounced 3 compliance checks or inspections for purposes of enforcing this subchapter. 4 (2) Unannounced follow -up compliance checks or inspections of 5 all noncompliant retailers and wholesalers shall be conducted within ninety 6 (90) days after any violation of this subchapter. 7 (3) The director shall publish the results of all compliance 8 checks or inspections at least annually and shall make the results available 9 to the public on request. 10 (c) The director may promulgate rules necessary to effect the purposes 11 of this subchapter. 12 13 SECTION 6. Arkansas Code § 26 -57-203(4), concerning the definition of 14 "child-resistant packaging" within the Arkansas Tobacco Products Tax Act of 15 1977, is repealed to be codified in a location more suitable to the subject 16 matter. 17 (4)(A) “Child-resistant packaging” means packaging that is 18 designed or constructed to be: 19 (i) Significantly difficult for children under five 20 (5) years of age to: 21 (a) Open; or 22 (b) Obtain a toxic or harmful amount of the 23 substance contained therein within a reasonable time; and 24 (ii) Not difficult for an average adult to use 25 properly. 26 (B) “Child-resistant packaging” does not mean packaging 27 that children cannot open or obtain a toxic or harmful amount within a 28 reasonable time when tested in accordance with the method described in 16 29 C.F.R. § 1700.20, as it existed on January 1, 2015; 30 31 SECTION 7. Arkansas Code 26 -57-247(b), effective until the contingency 32 in Acts 2023, No. 629, § 17, is met, concerning seizure, forfeiture, and 33 disposition of tobacco products and other property, is amended to read as 34 follows: 35 (b) The Director of Arkansas Tobacco Control may seize and hold for 36 SB252 15 02/18/2025 11:32:49 AM JMB137 disposition of the courts or the Arkansas Tobacco Control Board all tobacco 1 products, vapor products, alternative nicotine products, or e -liquid products 2 found in the possession of a person dealing in, or a consumer of, tobacco 3 products, vapor products, alternative nicotine products, or e -liquid products 4 if: 5 (1) Prima facie evidence exists that the full amount of excise 6 tax due on the tobacco products has not been paid to the Secretary of the 7 Department of Finance and Administration; 8 (2) Tobacco products, vapor products, alternative nicotine 9 products, or e-liquid products are in the possession of a wholesaler who does 10 not possess a current Arkansas wholesale permit; 11 (3) A retail establishment does not possess a current Arkansas 12 retail permit; or 13 (4) The tobacco products, vapor products, alternative nicotine 14 products, or e-liquid products have been offered for sale to the public at 15 another location without a current Arkansas retail permit .; or 16 (5) Tobacco products, vapor products, alternative nicotine 17 products, or e-liquid products are possessed, sold, or offered for sale in 18 violation of § 20-65-101 et seq. 19 20 SECTION 8. Arkansas Code 26 -57-247(b), effective when the contingency 21 in Acts 2023, No. 629, § 17, is met, concerning seizure, forfeiture, and 22 disposition of tobacco products and other property, is amended to read as 23 follows: 24 (b) The Director of Arkansas Tobacco Control may seize and hold for 25 disposition of the courts or the Arkansas Tobacco Control Board all tobacco 26 products, vapor products, alternative nicotine products, e -liquid products, 27 or hemp-derived products found in the possession of a person dealing in, or a 28 consumer of, tobacco products, vapor products, alternative nicotine products, 29 e-liquid products, or hemp -derived products if: 30 (1) Prima facie evidence exists that the full amount of excise 31 tax due on the tobacco products has not been paid to the Secretary of the 32 Department of Finance and Administration; 33 (2) Tobacco products, vapor products, alternative nicotine 34 products, or e-liquid products are in the possession of a wholesaler who does 35 not possess a current Arkansas wholesale permit; 36 SB252 16 02/18/2025 11:32:49 AM JMB137 (3) A retail establishment does not possess a current Arkansas 1 retail permit; 2 (4) The tobacco products, vapor products, alternative nicotine 3 products, or e-liquid products have been offered for sale to the public at 4 another location without a current Arkansas retail permit; or 5 (5) Hemp-derived products are possessed, sold, or offered for 6 sale in violation of § 20 -56-401 et seq.; or 7 (6) Tobacco products, vapor products, alternative nicotine 8 products, or e-liquid products are possessed, sold, or offered for sale in 9 violation of § 20-65-101 et seq. 10 11 SECTION 9. Arkansas Code § 26 -57-254 is repealed to be codified in a 12 location more suitable to the subject matter. 13 26-57-254. Safety inspections on permitted products — Restrictions on 14 use of e-liquid products and alternative nicotine products — Definitions. 15 (a) In order to assure that the citizens of this state receive only 16 tobacco products, vapor products, alternative nicotine products, or e -liquid 17 products that are fresh and not contaminated, and to ensure the safety of 18 Arkansas youth, the Director of Arkansas Tobacco Control is authorized under 19 this subchapter to: 20 (1) Inspect or cause to be inspected any tobacco product, vapor 21 product, alternative nicotine product, or e -liquid container in places of 22 storage or distribution authorized under this subchapter; and 23 (2) Require any tobacco products, vapor products, alternative 24 nicotine products, or e -liquid containers found to be contaminated, damaged, 25 or not fresh be removed from stock and be either returned to the proper 26 wholesaler or manufacturer for disposal according to law or delivered to the 27 Director of Arkansas Tobacco Control for destruction or disposal. 28 (b)(1) It is a violation for any person to use a tobacco product, 29 vapor product, alternative nicotine product, or e -liquid product in or on the 30 grounds of any school, childcare facility, or healthcare facility. 31 (2) As used in subdivision (b)(1) of this section: 32 (A) “Childcare facility” means the same as provided in § 33 20-78-202(2); 34 (B) “Healthcare facility” means the same as provided in § 35 20-27-1803(6); and 36 SB252 17 02/18/2025 11:32:49 AM JMB137 (C) “School” means: 1 (i) Any buildings, parking lots, playing fields, 2 playgrounds, school buses, or other school vehicles; or 3 (ii) Any off-campus school-sponsored or school-4 sanctioned events with respect to any public, charter, or private school 5 where children attend classes in kindergarten programs or grades one through 6 twelve (1-12). 7 (c) On and after July 22, 2015, all alternative nicotine products and 8 e-liquid containers containing nicotine sold at retail in this state shall 9 satisfy the child-resistant packaging effectiveness standards described in § 10 26-57-203 when tested in accordance with the method described by 16 C.F.R. § 11 1700.20, as it existed on January 1, 2015. 12 (d) As used in this section, “e -liquid container” means a bottle or 13 other container of e -liquid that is sold or provided for mixing at retail and 14 is marketed or intended for use in a vapor product, but does not include e -15 liquid contained in a cartridge that is sold, marketed, or intended for use 16 in a vapor product if the cartridge is prefilled and sealed by the 17 manufacturer and is not intended to be opened by the consumer. 18 19 SECTION 10. Arkansas Code 26 -57-255(g)(3)(A)-(C), effective until the 20 contingency in Acts 2023, No. 629, § 17, is met, concerning the creation of 21 the Arkansas Tobacco Control Board, are amended to read as follows: 22 (3)(A) Conduct public hearings when appropriate regarding a 23 permit authorized under this subchapter or in violation of this subchapter, 24 the Unfair Cigarette Sales Act, § 4 -75-701 et seq., § 5-27-227, § 20-65-101 25 et seq., or any other federal, state, or local statute, ordinance, rule, or 26 regulation concerning the sale of tobacco products, vapor products, 27 alternative nicotine products, or e -liquid products to minors or the rules 28 promulgated by Arkansas Tobacco Control. 29 (B) After notice and hearing held in accordance with the 30 Arkansas Administrative Procedure Act, § 25 -15-201 et seq., if the board 31 finds a violation of this subchapter, the Unfair Cigarette Sales Act, § 4 -75-32 701 et seq., § 20-65-101 et seq., or the rules promulgated by Arkansas 33 Tobacco Control, the board may suspend or revoke any or all permits issued by 34 the director to any person. 35 (C)(i) The board may levy a civil penalty in an amount not 36 SB252 18 02/18/2025 11:32:49 AM JMB137 to exceed five thousand dollars ($5,000) for each violation against a person 1 found to be in violation of this subchapter, the Unfair Cigarette Sales Act, 2 § 4-75-701 et seq., § 20-65-101 et seq., or the rules promulgated by Arkansas 3 Tobacco Control. 4 (ii) The board shall levy a civil penalty in 5 accordance with the guidelines set out in § 20 -65-204 for a violation of § 6 20-65-204. 7 8 SECTION 11. Arkansas Code 26 -57-255(g)(3)(A)-(C), effective when the 9 contingency in Acts 2023, No. 629, § 17, is met, concerning the creation of 10 the Arkansas Tobacco Control Board, are amended to read as follows: 11 (3)(A) Conduct public hearings when appropriate regarding a 12 permit authorized under this subchapter or in violation of this subchapter, 13 the Unfair Cigarette Sales Act, § 4 -75-701 et seq., § 5-27-227, § 20-56-401 14 et seq., § 20-65-101 et seq., or any other federal, state, or local statute, 15 ordinance, rule, or regulation concerning the sale of tobacco products, vapor 16 products, alternative nicotine products, e -liquid products, or hemp -derived 17 products to minors or the rules promulgated by Arkansas Tobacco Control. 18 (B) After notice and hearing held in accordance with the 19 Arkansas Administrative Procedure Act, § 25 -15-201 et seq., if the board 20 finds a violation of this subchapter, the Unfair Cigarette Sales Act, § 4 -75-21 701 et seq., § 20-56-401 et seq., § 20-65-101 et seq., or the rules 22 promulgated by Arkansas Tobacco Control, the board may suspend or revoke any 23 or all permits issued by the director to any person. 24 (C)(i) The board may levy a civil penalty in an amount not 25 to exceed five thousand dollars ($5,000) for each violation against a person 26 found to be in violation of this subchapter, the Unfair Cigarette Sales Act, 27 § 4-75-701 et seq., § 20-56-401 et seq., § 20-65-101 et seq., or the rules 28 promulgated by Arkansas Tobacco Control. 29 (ii) The board shall levy a civil penalty in 30 accordance with the guidelines set out in § 20 -65-204 for a violation of § 31 20-65-204. 32 33 SECTION 12. Arkansas Code 26 -57-256(a), effective until the 34 contingency in Acts 2023, No. 629, § 17, is met, concerning the powers of 35 Arkansas Tobacco Control, is amended to add an additional subdivision to read 36 SB252 19 02/18/2025 11:32:49 AM JMB137 as follows: 1 (7) Develop and maintain a directory as described under § 20 -65-2 202. 3 4 SECTION 13. Arkansas Code 26 -57-256(a), effective when the contingency 5 in Acts 2023, No. 629, § 17, is met, concerning the powers of Arkansas 6 Tobacco Control, is amended to add an additional subdivision to read as 7 follows: 8 (7) Develop and maintain a directory as described under § 20 -65-9 202. 10 11 SECTION 14. EMERGENCY CLAUSE. It is found and determined by the 12 General Assembly of the State of Arkansas that vapor products and e -liquid 13 products are being sold in this state that are not authorized by the United 14 States Food and Drug Administration or subject to pending premarket 15 applications; that vapor products and e -liquids are common with the youth 16 with forty-four percent (44%) of Arkansas high school seniors reporting to 17 have tried vapor products or e -liquid products; that a vapor product and e -18 liquid product directory would authorize the state to bar the sale of 19 products that are not authorized by the United States Food and Drug 20 Administration or subject to pending premarket applications; and that this 21 act is immediately necessary to protect the health and safety of the youth of 22 this state from vapor products and e -liquid products that are not authorized 23 by the United States Food and Drug Administration or subject to pending 24 premarket applications. Therefore, an emergency is declared to exist, and 25 this act being immediately necessary for the preservation of the public 26 peace, health, and safety shall become effective on: 27 (1) The date of its approval by the Governor; 28 (2) If the bill is neither approved nor vetoed by the Governor, 29 the expiration of the period of time during which the Governor may veto the 30 bill; or 31 (3) If the bill is vetoed by the Governor and the veto is 32 overridden, the date the last house overrides the veto. 33 34 35 36