*SB0138.2* Reprinted February 18, 2025 SENATE BILL No. 138 _____ DIGEST OF SB 138 (Updated February 17, 2025 2:30 pm - DI 106) Citations Affected: IC 7.1-7; IC 24-4; IC 35-31.5; IC 35-46; IC 35-52. Synopsis: Sale of low THC products to persons less than 21. Makes possession of low THC hemp extract or a cannabinoid by a minor a Class B misdemeanor. Makes the sale of low THC hemp extract or a cannabinoid to a minor a Class A misdemeanor, and increases the penalty under certain circumstances. Prohibits the sale of a vapor product to a minor and the possession of a vapor product by a minor. Increases the penalty for certain infractions involving minors and tobacco or e-liquids containing nicotine. Effective: July 1, 2025. Bohacek, Crider, Young M, Alting, Doriot, Randolph Lonnie M January 8, 2025, read first time and referred to Committee on Corrections and Criminal Law. February 13, 2025, amended, reported favorably — Do Pass. February 17, 2025, read second time, amended, ordered engrossed. SB 138—LS 6526/DI 92 Reprinted February 18, 2025 First Regular Session of the 124th General Assembly (2025) PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in this style type. Additions: Whenever a new statutory provision is being enacted (or a new constitutional provision adopted), the text of the new provision will appear in this style type. Also, the word NEW will appear in that style type in the introductory clause of each SECTION that adds a new provision to the Indiana Code or the Indiana Constitution. Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts between statutes enacted by the 2024 Regular Session of the General Assembly. SENATE BILL No. 138 A BILL FOR AN ACT to amend the Indiana Code concerning trade regulation. Be it enacted by the General Assembly of the State of Indiana: 1 SECTION 1. IC 7.1-7-6-5, AS AMENDED BY P.L.49-2020, 2 SECTION 20, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE 3 JULY 1, 2025]: Sec. 5. A person who knowingly or intentionally makes 4 a delivery sale of an e-liquid or a vapor product to an individual who 5 is less than twenty-one (21) years of age commits a Class C infraction. 6 However, the violation is a Class B infraction if the person makes 7 a delivery sale of an e-liquid that contains nicotine. 8 SECTION 2. IC 24-4-22-1.5 IS ADDED TO THE INDIANA CODE 9 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 10 1, 2025]: Sec. 1.5. As used in this chapter, "minor" means a person 11 less than twenty-one (21) years of age. 12 SECTION 3. IC 24-4-22-5 IS ADDED TO THE INDIANA CODE 13 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 14 1, 2025]: Sec. 5. (a) A person who recklessly, knowingly, or 15 intentionally sells, barters, exchanges, provides, or furnishes to a 16 minor a product containing: 17 (1) low THC hemp extract; or SB 138—LS 6526/DI 92 2 1 (2) any quantity of a cannabinoid, including a precursor or 2 isomer of a cannabinoid; 3 commits dealing low THC hemp extract to a minor, a Class A 4 misdemeanor. 5 (b) However, the offense described in subsection (a) is: 6 (1) a Level 6 felony if the person has a prior unrelated 7 conviction under this section; and 8 (2) a Level 5 felony if the consumption, ingestion, or use of the 9 product containing low THC hemp extract or a cannabinoid 10 is the proximate cause of the serious bodily injury or death of 11 any person. 12 (c) A minor who knowingly or intentionally possesses a product 13 containing: 14 (1) low THC hemp extract; or 15 (2) any quantity of a cannabinoid, including a precursor or 16 isomer of a cannabinoid; 17 commits possession of low THC hemp extract by a minor, a Class 18 B misdemeanor. 19 (d) Nothing in this section may be construed, under the "inclusio 20 unius, exclusio alterius" canon of construction or in any other 21 manner, to suggest that the sale or possession of low THC hemp 22 extract or any quantity of a cannabinoid by an adult is legal in 23 Indiana. 24 SECTION 4. IC 35-31.5-2-100, AS AMENDED BY P.L.49-2020, 25 SECTION 25, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE 26 JULY 1, 2025]: Sec. 100. (a) "Distribute", for purposes of 27 IC 35-45-4-8, has the meaning set forth in IC 35-45-4-8. 28 (b) "Distribute", for purposes of IC 35-46-1-10, has the meaning set 29 forth in IC 35-46-1-10(f). IC 35-46-1-10(g). 30 (c) "Distribute", for purposes of IC 35-46-1-10.2, has the meaning 31 set forth in IC 35-46-1-10.2(g). 32 (d) "Distribute", for purposes of IC 35-47.5, has the meaning set 33 forth in IC 35-47.5-2-6. 34 (e) "Distribute", for purposes of IC 35-48, has the meaning set forth 35 in IC 35-48-1-14. 36 (f) "Distribute", for purposes of IC 35-49, has the meaning set forth 37 in IC 35-49-1-2. 38 SECTION 5. IC 35-31.5-2-345.5 IS ADDED TO THE INDIANA 39 CODE AS A NEW SECTION TO READ AS FOLLOWS 40 [EFFECTIVE JULY 1, 2025]: Sec. 345.5. "Vapor product" means a 41 powered vaporizer that converts e-liquid to a vapor intended for 42 inhalation. SB 138—LS 6526/DI 92 3 1 SECTION 6. IC 35-46-1-10, AS AMENDED BY P.L.32-2021, 2 SECTION 97, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE 3 JULY 1, 2025]: Sec. 10. (a) A person may not be charged with a 4 violation under this section and a violation under IC 7.1-7-6-5. 5 (b) A person who knowingly: 6 (1) sells or distributes tobacco, an e-liquid that does not contain 7 nicotine, a vapor product, or an electronic cigarette to a person 8 less than twenty-one (21) years of age; or 9 (2) purchases tobacco, an e-liquid that does not contain 10 nicotine, a vapor product, or an electronic cigarette for delivery 11 to another person who is less than twenty-one (21) years of age; 12 commits a Class C infraction. For a sale to take place under this 13 section, the buyer must pay the seller for the tobacco, e-liquid, vapor 14 product, or electronic cigarette. 15 (c) A person who knowingly: 16 (1) sells or distributes tobacco or an e-liquid that contains 17 nicotine to a person less than twenty-one (21) years of age; or 18 (2) purchases tobacco or an e-liquid that contains nicotine for 19 delivery to another person who is less than twenty-one (21) 20 years of age; 21 commits a Class B infraction. For a sale to take place under this 22 section, the buyer must pay the seller for the tobacco or e-liquid, 23 vapor product, or electronic cigarette. 24 (c) (d) It is not a defense that the person to whom the tobacco, 25 e-liquid, vapor product, or electronic cigarette was sold or distributed 26 did not smoke, chew, inhale, or otherwise consume the tobacco, 27 e-liquid, vapor product, or electronic cigarette. 28 (d) (e) The following defenses are available to a person accused of 29 selling or distributing tobacco, an e-liquid, a vapor product, or an 30 electronic cigarette to a person who is less than twenty-one (21) years 31 of age: 32 (1) The buyer or recipient produced a driver's license bearing the 33 purchaser's or recipient's photograph, showing that the purchaser 34 or recipient was of legal age to make the purchase. 35 (2) The buyer or recipient produced a photographic identification 36 card issued under IC 9-24-16-1, or a similar card issued under the 37 laws of another state or the federal government, showing that the 38 purchaser or recipient was of legal age to make the purchase. 39 (3) The appearance of the purchaser or recipient was such that an 40 ordinary prudent person would believe that the purchaser or 41 recipient was not less than thirty (30) years of age. 42 (e) (f) It is a defense that the accused person sold or delivered the SB 138—LS 6526/DI 92 4 1 tobacco, e-liquid, vapor product, or electronic cigarette to a person 2 who acted in the ordinary course of employment or a business 3 concerning tobacco, an e-liquid, a vapor product, or electronic 4 cigarettes including the following activities: 5 (1) Agriculture. 6 (2) Processing. 7 (3) Transporting. 8 (4) Wholesaling. 9 (5) Retailing. 10 (f) (g) As used in this section, "distribute" means to give tobacco, an 11 e-liquid, a vapor product, or an electronic cigarette to another person 12 as a means of promoting, advertising, or marketing the tobacco, 13 e-liquid, vapor product, or electronic cigarette to the general public. 14 (g) (h) Unless the person buys or receives tobacco, an e-liquid, a 15 vapor product, or an electronic cigarette under the direction of a law 16 enforcement officer as part of an enforcement action, a person who 17 sells or distributes tobacco, an e-liquid, a vapor product, or an 18 electronic cigarette is not liable for a violation of this section unless the 19 person less than twenty-one (21) years of age who bought or received 20 the tobacco, e-liquid, vapor product, or electronic cigarette is issued 21 a citation or summons under section 10.5 of this chapter. 22 (h) (i) Notwithstanding IC 34-28-5-5(c), civil penalties collected 23 under this section must be deposited in the Richard D. Doyle youth 24 tobacco education and enforcement fund (IC 7.1-6-2-6). 25 SECTION 7. IC 35-46-1-10.5, AS AMENDED BY P.L.49-2020, 26 SECTION 32, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE 27 JULY 1, 2025]: Sec. 10.5. (a) A person less than twenty-one (21) years 28 of age who: 29 (1) purchases tobacco, an e-liquid, a vapor product, or an 30 electronic cigarette; 31 (2) accepts tobacco, an e-liquid, a vapor product, or an 32 electronic cigarette for personal use; or 33 (3) possesses tobacco, an e-liquid, a vapor product, or an 34 electronic cigarette on the person's person; 35 commits a Class C infraction. 36 (b) It is a defense under subsection (a) that the accused person acted 37 in the ordinary course of employment in a business concerning tobacco, 38 an e-liquid, a vapor product, or an electronic cigarette for the 39 following activities: 40 (1) Agriculture. 41 (2) Processing. 42 (3) Transporting. SB 138—LS 6526/DI 92 5 1 (4) Wholesaling. 2 (5) Retailing. 3 SECTION 8. IC 35-52-24-20.5 IS ADDED TO THE INDIANA 4 CODE AS A NEW SECTION TO READ AS FOLLOWS 5 [EFFECTIVE JULY 1, 2025]: Sec. 20.5. IC 24-4-22-5 defines crimes 6 concerning minors and low THC hemp extract. SB 138—LS 6526/DI 92 6 COMMITTEE REPORT Mr. President: The Senate Committee on Corrections and Criminal Law, to which was referred Senate Bill No. 138, has had the same under consideration and begs leave to report the same back to the Senate with the recommendation that said bill be AMENDED as follows: Page 1, between the enacting clause and line 1, begin a new paragraph and insert: "SECTION 1. IC 7.1-7-6-5, AS AMENDED BY P.L.49-2020, SECTION 20, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 5. A person who knowingly or intentionally makes a delivery sale of an e-liquid or a vapor product to an individual who is less than twenty-one (21) years of age commits a Class C infraction. However, the violation is a Class B infraction if the person makes a delivery sale of an e-liquid that contains nicotine.". Page 1, delete lines 5 through 16, begin a new paragraph and insert: "SECTION 2. IC 24-4-22-5 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 5. (a) A person who recklessly, knowingly, or intentionally sells, barters, exchanges, provides, or furnishes to a minor a product containing: (1) low THC hemp extract; or (2) any quantity of a cannabinoid, including a precursor or isomer of a cannabinoid; commits dealing low THC hemp extract to a minor, a Class A misdemeanor. (b) However, the offense described in subsection (a) is: (1) a Level 6 felony if the person has a prior unrelated conviction under this section; and (2) a Level 5 felony if the consumption, ingestion, or use of the product containing low THC hemp extract or a cannabinoid is the proximate cause of the serious bodily injury or death of any person. (c) A minor who knowingly or intentionally possesses a product containing: (1) low THC hemp extract; or (2) any quantity of a cannabinoid, including a precursor or isomer of a cannabinoid; commits possession of low THC hemp extract by a minor, a Class B misdemeanor. (d) Nothing in this section may be construed, under the "inclusio unius, exclusio alterius" canon of construction or in any other SB 138—LS 6526/DI 92 7 manner, to suggest that the sale or possession of low THC hemp extract or any quantity of a cannabinoid by an adult is legal in Indiana. SECTION 3. IC 35-31.5-2-100, AS AMENDED BY P.L.49-2020, SECTION 25, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 100. (a) "Distribute", for purposes of IC 35-45-4-8, has the meaning set forth in IC 35-45-4-8. (b) "Distribute", for purposes of IC 35-46-1-10, has the meaning set forth in IC 35-46-1-10(f). IC 35-46-1-10(g). (c) "Distribute", for purposes of IC 35-46-1-10.2, has the meaning set forth in IC 35-46-1-10.2(g). (d) "Distribute", for purposes of IC 35-47.5, has the meaning set forth in IC 35-47.5-2-6. (e) "Distribute", for purposes of IC 35-48, has the meaning set forth in IC 35-48-1-14. (f) "Distribute", for purposes of IC 35-49, has the meaning set forth in IC 35-49-1-2. SECTION 4. IC 35-31.5-2-345.5 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 345.5. "Vapor product" means a powered vaporizer that converts e-liquid to a vapor intended for inhalation. SECTION 5. IC 35-46-1-9.8 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 9.8. A person less than twenty-one (21) years of age who possesses an e-liquid or a vapor product commits a Class D infraction. However, the violation is a Class C infraction if the person possesses an e-liquid that contains nicotine. SECTION 6. IC 35-46-1-10, AS AMENDED BY P.L.32-2021, SECTION 97, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 10. (a) A person may not be charged with a violation under this section and a violation under IC 7.1-7-6-5. (b) A person who knowingly: (1) sells or distributes tobacco, an e-liquid that does not contain nicotine, a vapor product, or an electronic cigarette to a person less than twenty-one (21) years of age; or (2) purchases tobacco, an e-liquid that does not contain nicotine, a vapor product, or an electronic cigarette for delivery to another person who is less than twenty-one (21) years of age; commits a Class C infraction. For a sale to take place under this section, the buyer must pay the seller for the tobacco, e-liquid, vapor product, or electronic cigarette. SB 138—LS 6526/DI 92 8 (c) A person who knowingly: (1) sells or distributes tobacco or an e-liquid that contains nicotine to a person less than twenty-one (21) years of age; or (2) purchases tobacco or an e-liquid that contains nicotine for delivery to another person who is less than twenty-one (21) years of age; commits a Class B infraction. For a sale to take place under this section, the buyer must pay the seller for the tobacco or e-liquid, vapor product, or electronic cigarette. (c) (d) It is not a defense that the person to whom the tobacco, e-liquid, vapor product, or electronic cigarette was sold or distributed did not smoke, chew, inhale, or otherwise consume the tobacco, e-liquid, vapor product, or electronic cigarette. (d) (e) The following defenses are available to a person accused of selling or distributing tobacco, an e-liquid, a vapor product, or an electronic cigarette to a person who is less than twenty-one (21) years of age: (1) The buyer or recipient produced a driver's license bearing the purchaser's or recipient's photograph, showing that the purchaser or recipient was of legal age to make the purchase. (2) The buyer or recipient produced a photographic identification card issued under IC 9-24-16-1, or a similar card issued under the laws of another state or the federal government, showing that the purchaser or recipient was of legal age to make the purchase. (3) The appearance of the purchaser or recipient was such that an ordinary prudent person would believe that the purchaser or recipient was not less than thirty (30) years of age. (e) (f) It is a defense that the accused person sold or delivered the tobacco, e-liquid, vapor product, or electronic cigarette to a person who acted in the ordinary course of employment or a business concerning tobacco, an e-liquid, a vapor product, or electronic cigarettes including the following activities: (1) Agriculture. (2) Processing. (3) Transporting. (4) Wholesaling. (5) Retailing. (f) (g) As used in this section, "distribute" means to give tobacco, an e-liquid, a vapor product, or an electronic cigarette to another person as a means of promoting, advertising, or marketing the tobacco, e-liquid, vapor product, or electronic cigarette to the general public. (g) (h) Unless the person buys or receives tobacco, an e-liquid, a SB 138—LS 6526/DI 92 9 vapor product, or an electronic cigarette under the direction of a law enforcement officer as part of an enforcement action, a person who sells or distributes tobacco, an e-liquid, a vapor product, or an electronic cigarette is not liable for a violation of this section unless the person less than twenty-one (21) years of age who bought or received the tobacco, e-liquid, vapor product, or electronic cigarette is issued a citation or summons under section 10.5 of this chapter. (h) (i) Notwithstanding IC 34-28-5-5(c), civil penalties collected under this section must be deposited in the Richard D. Doyle youth tobacco education and enforcement fund (IC 7.1-6-2-6).". Page 2, line 3, delete "the sale of a product containing" and insert "minors and". Page 2, line 3, after "extract" insert ".". Page 2, delete line 4. Renumber all SECTIONS consecutively. and when so amended that said bill do pass. (Reference is to SB 138 as introduced.) FREEMAN, Chairperson Committee Vote: Yeas 8, Nays 0. _____ SENATE MOTION Mr. President: I move that Senate Bill 138 be amended to read as follows: Page 3, delete lines 1 through 6. Page 4, between lines 30 and 31, begin a new paragraph and insert: "SECTION 8. IC 35-46-1-10.5, AS AMENDED BY P.L.49-2020, SECTION 32, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 10.5. (a) A person less than twenty-one (21) years of age who: (1) purchases tobacco, an e-liquid, a vapor product, or an electronic cigarette; (2) accepts tobacco, an e-liquid, a vapor product, or an electronic cigarette for personal use; or (3) possesses tobacco, an e-liquid, a vapor product, or an electronic cigarette on the person's person; commits a Class C infraction. SB 138—LS 6526/DI 92 10 (b) It is a defense under subsection (a) that the accused person acted in the ordinary course of employment in a business concerning tobacco, an e-liquid, a vapor product, or an electronic cigarette for the following activities: (1) Agriculture. (2) Processing. (3) Transporting. (4) Wholesaling. (5) Retailing.". Renumber all SECTIONS consecutively. (Reference is to SB 138 as printed February 14, 2025.) FREEMAN SB 138—LS 6526/DI 92