ENROLLED Page 1 of 8 CODING: Words in struck through type are deletions from existing law; words underscored are additions. ACT No. 143 Regular Session, 2012 HOUSE BILL NO. 1098 BY REPRESENTATIVE CHAMPAGNE AN ACT1 To amend and reenact R.S. 26:902 through 905, 906(B), (C), (D), and (E), 912, 913, 918(B),2 and 919(A), (E), and (F) and to repeal R.S. 26:907 and 915, relative to tobacco3 product permits for retail dealers; to eliminate requirements relative to registration4 certificates for tobacco retail dealers and all references thereto; to provide for a5 single class of permits for tobacco retail dealers; to provide for a decrease in retail6 dealer permit fees; and to provide for related matters.7 Be it enacted by the Legislature of Louisiana:8 Section 1. R.S. 26:902 through 905, 906(B), (C), (D), and (E), 912, 913, 918(B), and9 919(A), (E), and (F) are hereby amended and reenacted to read as follows: 10 §902. Registration certificates; permits Permits11 The commissioner shall issue as authorized by this Section the following12 types of certificates permits and shall adopt rules and regulations that specify the13 identifying information that is required to appear on the face of each type of14 certificate or permit:15 (1) Retail Dealer Registration Certificate: A retail dealer registration16 certificate shall be issued to any dealer, not otherwise required by this Chapter to17 obtain a permit, other than a wholesale dealer or vending machine operator for each18 retail outlet where cigars, cigarettes, or the tobacco products are offered for sale19 either over the counter or by vending machine.20 (2) Retail Dealer Permit: A retail dealer permit shall be issued to a dealer21 other than a wholesale dealer or vending machine operator for each retail outlet22 where cigars, cigarettes, or other tobacco products are offered for sale either over the23 counter or by vending machine.24 ENROLLEDHB NO. 1098 Page 2 of 8 CODING: Words in struck through type are deletions from existing law; words underscored are additions. (3)(2) Vending Machine Operator Permit: A vending machine operator1 permit shall be issued to a vending machine operator operating one or more vending2 machines. Licensed wholesale dealers who operate vending machines shall not be3 required to obtain a vending machine operator permit.4 (4)(3) Vending Machine Permit: A vending machine permit shall be issued5 to the vending machine operator or wholesale dealer for each vending machine he6 operates and such permit shall be affixed to the front surface of the vending machine7 in a location as designated by the commissioner.8 (5)(4) Wholesale Dealer Permit: A wholesale dealer permit shall be issued9 to a wholesale dealer for each wholesale place of business operated by the wholesale10 dealer.11 §903. Permit fees12 The fees for each registration certification or permit shall be as follows:13 (1) Retail dealer registration certificate -- $25.00 per year or any portion14 thereof.15 (2) Retail dealer permit -- $75.00 25.00 per year or any portion thereof.16 (3)(2) Vending machine operator -- $75.00 per year or any portion thereof.17 (4)(3) Vending machine -- $5.00 per machine per year or any portion18 thereof.19 (5)(4) Wholesale dealer -- $75.00 per year or any portion thereof.20 (6)(5) Tobacconist–The commissioner of alcohol and tobacco control shall21 promulgate rules to issue a single permit for bona fide Louisiana tobacconists. Such22 single permit shall allow any bona fide Louisiana tobacconist to operate as a retail23 tobacco dealer and as a wholesale tobacco dealer. Any fee assessed for such single24 tobacconist permit shall be set at the current rate in effect on August 15, 2010 one25 hundred dollars.26 §904. Registration certificate and permit terms Permit terms27 A. Except as otherwise provided in this Section, each registration certificate28 shall be valid for only one year. The commissioner may issue registration29 ENROLLEDHB NO. 1098 Page 3 of 8 CODING: Words in struck through type are deletions from existing law; words underscored are additions. certificates which are valid for two years to applicants in good standing with the1 office of alcohol and tobacco control.2 B. To provide for the even distribution of the expiration and renewal of3 tobacco product certificates, the commissioner may establish by administrative rule4 a system by which the expiration dates of the registration certificates are staggered5 throughout the year. Certificates issued may vary in length from six months to6 twenty-four months. The fee for the registration certificate shall be apportioned to7 comply with the yearly fee established in this Chapter.8 C. Except as provided in Subsection D B of this Section, each permit shall9 be valid for the designated time period unless suspended or revoked. The10 commissioner may issue permits which are valid for two years to applicants in good11 standing with the office of alcohol and tobacco control.12 D.B. To provide for the even distribution of the expiration and renewal of13 tobacco product permits, the commissioner may establish by administrative rule a14 system by which the expiration dates of the permits are staggered throughout the15 year. Permits issued may vary in length from six months to twenty-four months.16 The fee for said the permits shall be apportioned to comply with the yearly fee17 established in this Chapter.18 E.C. Prior to issuing any permits valid for more than one year, the19 commissioner shall promulgate rules in accordance with the Administrative20 Procedure Act to provide the requirements, qualifications, and conduct which21 constitutes "good standing" for purposes of qualifying for a two-year permit.22 §905. Renewal of a registration certificate or permit23 A. Persons holding registration certificates under this Chapter shall annually24 file application for renewal for the ensuing year and pay the fees in accordance with25 this Chapter. If the commissioner has authorized permits which are valid for two26 years as authorized by the provisions of R.S. 26:904, the person holding the27 certificate shall file for renewal and pay fees in accordance with this Chapter and as28 authorized by rules adopted by the commissioner pursuant to the Administrative29 Procedure Act.30 ENROLLEDHB NO. 1098 Page 4 of 8 CODING: Words in struck through type are deletions from existing law; words underscored are additions. B. If a dealer fails to file an application and pay the registration certificate1 fees by the date established by the commissioner, there shall be added to the fee, in2 addition to other penalties provided in this Chapter, a delinquency penalty of twenty-3 five percent if the failure is not more than thirty days, with an additional twenty-five4 percent for each additional thirty days or fraction thereof during which the failure5 continues. If the dealer fails to make his application by the date established by the6 commissioner, the commissioner may issue a notice of violation of this Chapter.7 C. Persons holding permits under this Chapter shall annually file application8 for renewal for the ensuing year and pay the permit fees in accordance with this9 Chapter. If the commissioner has authorized permits which are valid for two years10 as authorized by the provisions of R.S. 26:904, the person holding the certificate11 permit shall file for renewal and pay fees in accordance with this Chapter and as12 authorized by rules adopted by the commissioner pursuant to the Administrative13 Procedure Act.14 D.B. If a dealer fails to file an application and pay the permit fees by the date15 established by the commissioner, there shall be added to the fee, in addition to other16 penalties provided in this Chapter, a delinquency penalty of twenty-five percent if17 the failure is not more than thirty days, with an additional twenty-five percent for18 each additional thirty days or fraction thereof during which the failure continues. If19 the dealer fails to make his application by the date established by the commissioner,20 the commissioner may, without notice or hearing, suspend his right to possess or sell21 tobacco products.22 E.C. Renewal permits may be withheld or denied on the same grounds and23 in the same manner as an original permit.24 §906. General requirements25 * * *26 B. Application for registration certificates or permits shall be on forms27 provided by the commissioner. The application shall be signed by each person28 owning the business or having ownership interest therein. If the applicant is a29 ENROLLEDHB NO. 1098 Page 5 of 8 CODING: Words in struck through type are deletions from existing law; words underscored are additions. corporation, partnership, limited partnership, or limited liability company, a duly1 authorized agent, partner, or officer shall sign the application.2 C. The application shall be accompanied by the fees prescribed herein which3 fees shall be retained by the office to help defray the cost of printing, processing, and4 issuing the registration certificates or permits, providing server or seller training, and5 enforcement expenses of the office of alcohol and tobacco control. The office shall6 not require that annual renewal fees be paid by certified check or money order. A7 personal check or business check shall be sufficient for payment of the annual8 renewal fee to obtain a registration certification or permit by a dealer or vending9 machine operator. If the personal or business check is denied by the bank for any10 reason that makes it a nonnegotiable instrument, then the permit that was issued shall11 be considered revoked until such time as proper payment is made with cash, certified12 funds, money order, or cashier's check. Furthermore, said The maker shall lose their13 the privilege of tendering personal or business checks for renewal of tobacco14 permits.15 D. The application shall be made on forms secured from the office, and shall,16 in addition to such other information as the commissioner may require, show the true17 and correct name of such dealer, the dealer's post office address, the nature of the18 operation for which the registration certificate or permit is sought, the location of the19 place of business as to which the registration certificate or permit shall apply and the20 trade name of the business, if any.21 E. All applications for registration certificates or permits shall be mailed or22 delivered to the commissioner in Baton Rouge, Louisiana. Upon receipt of an23 application, the commissioner shall stamp the day, month, and year received.24 * * *25 §912. Registration certificate; permit Permits; necessity of display; penalties26 A. A registration certificate or permit issued under this Chapter is a personal27 privilege and cannot be transferred. If over fifty-one percent of a corporation is sold28 or transferred during the period for which a registration certificate or a permit was29 issued, a new registration certificate or permit must be applied for, and the new30 ENROLLEDHB NO. 1098 Page 6 of 8 CODING: Words in struck through type are deletions from existing law; words underscored are additions. owner must comply with the provisions set forth in this Chapter. If the holder of the1 registration certificate or permit is an association, partnership, or limited partnership,2 a change of the controlling interest shall constitute a change of ownership under this3 Chapter. If the business is physically relocated during such period, the registration4 certificate holder or permittee must notify the commissioner in writing so that proper5 change may be noted thereon.6 B. The registration certificate or permit shall at all times be publicly7 displayed by the dealer in his principal place of business so as to be easily seen by8 the public unless the dealer is solely a vending machine operator. The failure of a9 dealer or vending machine operator to publicly display his registration certificates10 or permits, as required by this Chapter, shall be grounds for the issuance of a fine or11 the withholding, suspension, or revocation of the permit.12 C. Each registration certificate or permit shall include a unique number13 assigned by the commissioner.14 D. Nothing herein shall prohibit an individual, partnership, or corporation15 otherwise qualified from obtaining multiple registration certificates or more than one16 type of permit permits.17 §913. Violation18 No person shall perform any action for which a registration certificate or19 permit is required by this Chapter unless he holds the proper registration certificate20 or permit. Each day of business which is conducted without such a valid,21 unsuspended registration certificate or permit shall constitute a separate violation of22 this Chapter.23 * * *24 §918. Civil penalties25 * * *26 B. Any fine imposed upon any registration certificate holder or permittee or27 the revocation or suspension of a permit is in addition to and is not in lieu of or a28 limitation upon any other penalty imposed by law and not contained in this Chapter.29 ENROLLEDHB NO. 1098 Page 7 of 8 CODING: Words in struck through type are deletions from existing law; words underscored are additions. §919. Administrative hearings1 A. When the commissioner holds a hearing pursuant to this Chapter, he shall2 issue a written summons or notice to the applicant or permittee, as the case may be,3 directing him to show cause why his application should not be refused or why he4 should not be assessed a penalty or why his permit should not be suspended or5 revoked. The notice or summons shall state the time, place, and hour of the hearing,6 which shall be not less than ten nor more than thirty calendar days from the day of7 the notice. The notice or summons shall enumerate the cause or causes alleged for8 refusing the application or for assessing the penalty or suspending or revoking the9 permit. If a petition has been filed opposing the issuance of the permit or asking for10 its suspension or revocation, a copy of the petition shall accompany the notice or11 summons. All notices or summonses shall be sent by certified mail to the applicant ,12 registration certificate holder, or permittee and directed to him at the address of his13 place of business as given in his application for the permit. When so addressed and14 mailed, notices or summonses shall be presumed to have been received by the15 applicant or permittee.16 * * *17 E. If a registration certificate holder, permittee, or applicant who has been18 notified of a hearing does not appear, the hearing may proceed without him and the19 commissioner may consider and dispose of the case, but in all cases the20 commissioner, upon application or ex proprio motu, may grant continuances from21 time to time. If the continuance be granted to fix a future date by written consent or22 in the presence of the permittee, registration certificate holder, or applicant, or his23 counsel, no further notice of the hearing date need be given. In all other cases the24 same notice of hearing as in original hearing shall be given.25 F. In hearings of the commissioner which finally result in withholding the26 issuance of a registration certificate or permit or in suspending or revoking a permit,27 the commissioner shall assess the costs of the hearing to the applicant or permittee.28 The costs are recoverable by the commissioner in any appellate proceeding instituted29 ENROLLEDHB NO. 1098 Page 8 of 8 CODING: Words in struck through type are deletions from existing law; words underscored are additions. by the applicant or permittee or in any other judicial proceeding where the1 commissioner is successful.2 Section 2. R.S. 26:907 and 915 are hereby repealed in their entirety.3 SPEAKER OF THE HOUSE OF REPRESENTATI VES PRESIDENT OF THE SENATE GOVERNOR OF THE STATE OF LOUISIANA APPROVED: