Louisiana 2024 Regular Session

Louisiana House Bill HB621 Latest Draft

Bill / Chaptered Version

                            ENROLLED
ACT No. 567
2024 Regular Session
HOUSE BILL NO. 621
BY REPRESENTATIVE STAGNI
1	AN ACT
2 To amend and reenact R.S. 26:911(B)(1)(b) and Subpart BB of Part II-A of Chapter 1 of
3 Subtitle I of Title 39 of the Louisiana Revised Statutes of 1950, consisting of R.S.
4 39:100.231, to enact R.S. 26:926.1, and to repeal R.S. 26:926, relative to vapor
5 products; to  prohibit  retail  dealers  of  electronic  cigarette products from
6 purchasing such products from certain sources; to establish a vapor product and
7 alternative nicotine product directory; to authorize the commissioner of the office of
8 alcohol and tobacco control to impose fees and fines under certain circumstances;
9 to provide for criminal penalties for certain violations; to provide for requirements
10 and limitations; to provide for age verification; to provide for the disposition of the
11 tax on vapor products; to provide for an effective date; and to provide for related
12 matters.
13 Be it enacted by the Legislature of Louisiana:
14 Section 1.  R.S. 26:911(B)(1)(b) is hereby amended and reenacted and R.S. 26:926.1
15 is hereby enacted to read as follows: 
16 §911.  Acts prohibited
17	*          *          *
18	B.(1)
19	*          *          *
20	(b)  No vapor retail dealer shall purchase alternative nicotine products, vapor
21 products, or electronic cigarette products for resale except from a wholesale dealer
22 operating with a valid unsuspended Louisiana wholesale dealer permit and a valid
23 stamping agent designation permit pursuant to the provisions of R.S. 26:902(2)(a),
24 except as provided for in by this Chapter.
25	*          *          *
Page 1 of 6
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HB NO. 621	ENROLLED
1 §926.1.  Vapor product and alternative nicotine product directory
2	A.  Every vapor product manufacturer and alternative nicotine product
3 manufacturer whose products are sold in this state, whether directly or through a
4 wholesale dealer, retail dealer, or similar intermediary or intermediaries, shall
5 execute and deliver on a form prescribed by the commissioner, a certification to the
6 commissioner affirming, under penalty of perjury, either of the following:
7	(1)  The product was on the market in the United States as of August 8, 2016,
8 and the manufacturer has applied for a marketing order pursuant to 21 U.S.C. 387j
9 for the vapor product or alternative nicotine product by submitting a premarket
10 tobacco product application on or before September 9, 2020, to the United States
11 Food and Drug Administration, hereinafter referred to in this Section as "FDA", and
12 either of the following is true:
13	(a)  The premarket tobacco product application for the vapor product or
14 alternative nicotine product remains under review by the FDA.
15	(b)  The FDA has issued a no marketing order for the vapor product or
16 alternative nicotine product, but the agency or a federal court has issued a stay order
17 or injunction during the pendency of the manufacturer's appeal of the no marketing
18 order, or the order has been appealed either to the FDA or a challenge to the order
19 filed with a federal court and the appeal or challenge is still pending.
20	(2)  The manufacturer has received a marketing order or other authorization
21 under 21 U.S.C. 387j for the vapor product or alternative nicotine product from the
22 FDA.
23	B.  In addition to the requirements of Subsection A of this Section, each
24 manufacturer shall provide a copy of the cover page of the premarket tobacco
25 application with evidence of receipt of the application by the FDA or a copy of the
26 cover page of the marketing order or other authorization issued pursuant to 21 U.S.C.
27 387j, whichever is applicable.
28	C.  Any manufacturer submitting a certification pursuant to Subsection A of
29 this Section shall notify the commissioner within thirty days of any material change
30 to the certification, including issuance by the FDA of any of the following:
31	(1)  A market order or other authorization pursuant to 21 U.S.C. 387j.
Page 2 of 6
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HB NO. 621	ENROLLED
1	(2)  An order requiring a manufacturer to remove a product from the market
2 either temporarily or permanently.
3	(3)  Any notice of action taken by the FDA affecting the ability of the new
4 product to be introduced or delivered into interstate commerce for commercial
5 distribution.
6	(4)  Any change in policy that results in a product no longer being exempt
7 from federal enforcement oversight.
8	D.  The commissioner shall develop and maintain a directory listing all vapor
9 product manufacturers and alternative nicotine product manufacturers that have
10 provided certifications that comply with Subsection A of this Section and all
11 products that are listed in those certifications.
12	E.  The commissioner shall do all of the following:
13	(1)  Make the directory available for public inspection on the public website
14 of the office of alcohol and tobacco control.
15	(2)  Update the directory as necessary in order to correct mistakes and to add
16 or remove vapor product manufacturers and alternative nicotine product
17 manufacturers or products manufactured by those manufacturers.
18	(3)  Send monthly notifications to each wholesale dealer, retail dealer, and
19 manufacturer of vapor products and manufacturer of alternative nicotine products
20 that has qualified or registered with the commissioner, by electronic communication,
21 containing a list of all changes that have been made to the directory in the previous
22 month.  In lieu of sending monthly notifications, the commissioner may make the
23 information available in a prominent place on the public website of the office of
24 alcohol and tobacco control.
25	F.  Notwithstanding Subsection A of this Section, if a vapor product
26 manufacturer or alternative nicotine product manufacturer can demonstrate to the
27 commissioner that the FDA has issued a rule, guidance, or any other formal
28 statement that temporarily exempts a vapor product or alternative nicotine product
29 from the federal premarket tobacco application requirements, the vapor product or
30 alternative product may be added to the directory upon request by the manufacturer
31 if the manufacturer provides sufficient evidence that the vapor product or alternative
Page 3 of 6
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HB NO. 621	ENROLLED
1 nicotine product is compliant with the federal rule, guidance, or other formal
2 statement, as applicable.
3	G.  Each certifying vapor product manufacturer or alternative nicotine
4 product manufacturer shall pay an initial fee of one hundred dollars per product stock
5 keeping unit or SKU to offset the costs incurred by the commissioner for processing
6 the certifications and operating the directory.  The commissioner shall collect an
7 annual renewal fee of one hundred dollars per product stock keeping unit or SKU to
8 offset the costs associated with maintaining the directory and satisfying the
9 requirements of this Section.  The fees received pursuant to this Section by the
10 commissioner shall be used by the office of alcohol and tobacco control exclusively
11 for processing the certifications and operating and maintaining the directory.
12	H.  Beginning on the date that the commissioner makes the directory
13 available for public inspection on the public website of the office of alcohol and
14 tobacco control as provided in Subsection E of this Section, a vapor product
15 manufacturer or alternative nicotine product manufacturer who offers for sale a
16 vapor product or alternative nicotine product not listed on the directory is subject to
17 a one thousand dollar daily fine for each vapor product or alternative nicotine
18 product offered for sale in violation of this Section until the offending product is
19 removed from the market or until the offending product is properly listed on the
20 directory.
21	I.(1)  The sale, possession, or transportation of vapor products or alternative
22 nicotine products not listed on the directory by any person, including a permitted
23 wholesale dealer or retail dealer, shall be subject to provisions of R.S. 47:858, 859,
24 and 860 as if such wholesale dealer or retail dealer did not possess a valid permit.
25	(2)  Each unit of vapor product or alternative nicotine product sold or offered
26 for sale, possessed, or transported shall constitute a separate violation for purposes
27 of Paragraph (1) of this Subsection.
28	J.  Any other violation of this Section shall result in a fine of five hundred
29 dollars per offense.
30	K.  The commissioner shall adopt rules for the implementation and
31 enforcement of this Section.
Page 4 of 6
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HB NO. 621	ENROLLED
1 Section 2.  Subpart BB of Part II-A of Chapter 1 of Subtitle I of Title 39 of the
2 Louisiana Revised Statutes of 1950, consisting of R.S. 39:100.231, is hereby amended and
3 reenacted to read as follows: 
4 SUBPART BB. THE DEPARTMENT OF WILDLIFE AND FISHERIES,
5 OFFICE OF STATE FIRE MARSHAL, AND THE LOUISIANA PUBLIC
6 DEFENDER BOARD OFFICE OF THE STATE PUBLIC DEFENDER
7	COMPENSATION FUND
8 §100.231.  Department of Wildlife and Fisheries, Office of State Fire Marshal, and
9	Louisiana Public Defender Board Office of the State Public Defender
10	Compensation Fund
11	A.  There is hereby created, as a special fund in the state treasury, the
12 Department of Wildlife and Fisheries, Office of State Fire Marshal, and Louisiana
13 Public Defender Board Office of the State Public Defender Compensation Fund,
14 hereafter referred to in this Section as the "fund".
15	B.(1)  Notwithstanding any provision of law to the contrary, after compliance
16 with the requirements of Article VII, Section 9(B) of the Constitution of Louisiana,
17 relative to the Bond Security and Redemption Fund, and after a sufficient amount is
18 allocated from that fund to pay all of the obligations secured by the full faith and
19 credit of the state which become due and payable within any fiscal year, after the
20 first twenty-two million dollars of the avails of the tax levied pursuant to the
21 provisions of R.S. 47:841(F) is deposited into the Louisiana State Police Salary Fund
22 pursuant to the provisions of R.S. 22:831(B)(2), the treasurer shall deposit the next
23 six million dollars of the avails of the tax levied pursuant to the provisions of R.S.
24 47:841(F) into the fund.  Monies in the fund shall be used solely as provided for in
25 Subsection C of this Section.
26	(2)  Monies in the fund shall be invested by the treasurer in the same manner
27 as monies in the state general fund, and interest earned on investment of the monies
28 shall be credited to the fund.  Unexpended and unencumbered monies in the fund at
29 the end of the fiscal year shall remain in the fund.
Page 5 of 6
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HB NO. 621	ENROLLED
1	C.  Monies in the fund shall only be withdrawn subject to an appropriation
2 by the legislature and shall be distributed as follows:
3	(1)  The first distribution to the office of alcohol and tobacco control shall be
4 six hundred thousand dollars.  These funds shall be expended exclusively for the
5 purposes of the enforcement of vapor products and electronic cigarettes.
6	(2)  The remaining funds shall be distributed and shared equally among the
7 following governmental units:
8	(a)  The funds distributed to the Department of Wildlife and Fisheries shall
9 be used exclusively to cover the cost of salary increases and related benefits for
10 enforcement agents.
11	(b)  The funds distributed to the office of the state fire marshal shall be used
12 exclusively to cover the cost of salary increases and related benefits for its
13 employees.
14	(c)  The funds distributed to the Louisiana Public Defender Board office of
15 the state public defender shall be used exclusively to cover the cost of salary
16 increases and related benefits for its employees.
17 Section 3.  R.S. 26:926 is hereby repealed in its entirety.
18 Section 4.  This Act shall become effective upon signature by the governor or, if not
19 signed by the governor, upon expiration of the time for bills to become law without signature
20 by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana.  If
21 vetoed by the governor and subsequently approved by the legislature, this Act shall become
22 effective on the day following such approval.
SPEAKER OF THE HOUSE OF REPRESENTATIVES
PRESIDENT OF THE SENATE
GOVERNOR OF THE STATE OF LOUISIANA
APPROVED:  
Page 6 of 6
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions.