EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. [Brackets] indicate matter deleted from existing law. Underlining indicates amendments to bill. Strike out indicates matter stricken from the bill by amendment or deleted from the law by amendment. Italics indicate opposite chamber/conference committee amendments. *sb1056* SENATE BILL 1056 C2, E1, J2 (4lr2097) ENROLLED BILL — Finance/Economic Matters — Introduced by Senator Kramer Read and Examined by Proofreaders: _______________________________________________ Proofreader. _______________________________________________ Proofreader. Sealed with the Great Seal and presented to the Governor, for his approval this _______ day of _______________ at _________________ _______ o’clock, ________M. ______________________________________________ President. CHAPTER ______ AN ACT concerning 1 Cigarettes, Other Tobacco Products, and Electronic Smoking Devices – 2 Revisions 3 (Tobacco Retail Modernization Act of 2024) 4 FOR the purpose of prohibiting licensees that sell cigarettes, other tobacco products, or 5 electronic smoking devices at retail from displaying cigarettes, other tobacco 6 products, or electronic smoking devices for sale unless located behind a counter; 7 requiring certain licensed retailers to verify an individual’s date of birth before 8 selling cigarettes, other tobacco products, or electronic smoking devices in a certain 9 manner; altering the application fee for a county license to sell cigarettes or tobacco 10 products at retail; repealing certain exceptions that authorize the sale, distribution, 11 or purchase of tobacco products, tobacco paraphernalia, and electronic smoking 12 devices to or for individuals under a certain age who are active duty military 13 members; requiring the Maryland Department of Health to conduct at least two 14 certain unannounced inspections of certain licensed retailers each year; repealing 15 2 SENATE BILL 1056 the electronic smoking device retail license; altering the definition of “vape shop 1 vendor” to require that the vendor exclusively sell electronic smoking devices and 2 related accessories to consumers on the premises of its place of business; requiring 3 certain licensees to obtain an additional license in order to manufacture, distribute, 4 or sell electronic smoking devices; altering the penalty for distributing tobacco 5 products or tobacco paraphernalia to an individual under a certain age; authorizing 6 the court to make certain recommendations to the Executive Director of the Alcohol, 7 Tobacco, and Cannabis Commission regarding the suspension of certain licenses; 8 prohibiting a pharmacy from selling tobacco products, other tobacco products, and 9 electronic smoking devices; requiring the Alcohol, Tobacco, and Cannabis 10 Commission, in conjunction with the Maryland Depart ment of Health, the 11 Comptroller, and the State Department of Education, to submit a certain report on 12 or before a certain date; and generally relating to the sale of cigarettes, other tobacco 13 products, and electronic smoking devices. 14 BY repealing and reenacting, without amendments, 15 Article – Business Regulation 16 Section 16–201(a), (d), and (k) and, 16.5–101(a), (f), (j), and (l), 16.7–203, 16.7–206, 17 and 16.7–211 18 Annotated Code of Maryland 19 (2015 Replacement Volume and 2023 Supplement) 20 BY adding to 21 Article – Business Regulation 22 Section 16–209.1, 16.5–214.2, and 16.7–204.2 23 Annotated Code of Maryland 24 (2015 Replacement Volume and 2023 Supplement) 25 BY repealing and reenacting, with amendments, 26 Article – Business Regulation 27 Section 16–302, 16–308.3, 16.5–217.1, 16.7–101, 16.7–102, 16.7–201, 16.7–202, 28 16.7–203, 16.7–204, 16.7–204.1, 16.7–206, 16.7–211, and 16.7–213.1 29 Annotated Code of Maryland 30 (2015 Replacement Volume and 2023 Supplement) 31 BY repealing and reenacting, with amendments, 32 Article – Criminal Law 33 Section 10–107 34 Annotated Code of Maryland 35 (2021 Replacement Volume and 2023 Supplement) 36 BY repealing and reenacting, with amendments, 37 Article – Health – General 38 Section 24–305 and 24–307 39 Annotated Code of Maryland 40 (2023 Replacement Volume) 41 SENATE BILL 1056 3 BY repealing and reenacting, with amendments, 1 Article – Health Occupations 2 Section 12–403(c)(22) and (23) 3 Annotated Code of Maryland 4 (2021 Replacement Volume and 2023 Supplement) 5 BY adding to 6 Article – Health Occupations 7 Section 12–403(c)(24) 8 Annotated Code of Maryland 9 (2021 Replacement Volume and 2023 Supplement) 10 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 11 That the Laws of Maryland read as follows: 12 Article – Business Regulation 13 16–201. 14 (a) In this subtitle the following words have the meanings indicated. 15 (d) “Licensed retailer” means a person licensed by the clerk under § 16–205(b) of 16 this subtitle to act as a retailer. 17 (k) “Retailer” means a person who: 18 (1) sells cigarettes to consumers through vending machines on fewer than 19 40 premises; 20 (2) otherwise sells cigarettes to consumers; or 21 (3) holds cigarettes for sale to consumers. 22 16–209.1. 23 (A) A LICENSED RETAILER MA Y NOT DISPLAY CIGARE TTES FOR SALE 24 UNLESS THE CIGARETTE S ARE LOCATED BEHIND A COU NTER IN AN AREA 25 ACCESSIBLE ONLY TO T HE LICENSED RETAILER AND EMPLOYEES OF THE LICENSED 26 RETAILER. 27 (B) (1) A LICENSED RETAILER MA Y NOT SELL CIGARETTE S TO AN 28 INDIVIDUAL UNLESS TH E LICENSED RETAILER VERIFIES, IN ACCORDANCE WITH 29 PARAGRAPH (2) OF THIS SUBSECTION , THAT THE INDIVIDUAL IS: 30 (I) AT LEAST 21 YEARS OLD; OR 31 4 SENATE BILL 1056 (II) 1. AT LEAST 18 YEARS OLD; AND 1 2. AN ACTIVE DUTY MEMBE R OF THE MILITARY IN 2 POSSESSION OF A VALI D MILITARY IDENTIFIC ATION. 3 (2) A SUBJECT TO PARAGRAPH (3) OF THIS SUBSECTION , A LICENSED 4 RETAILER MAY VERIFY AN INDIVIDUAL’S AGE ONLY: 5 (I) BY MEANS OF A GOVERN MENT–ISSUED PHOTO 6 IDENTIFICATION CONTA INING THE INDIVIDUAL ’S DATE OF BIRTH; AND 7 (II) IN A DIRECT FACE –TO–FACE EXCHANGE WITHOU T THE 8 ASSISTANCE OF ANY ELECTRONIC OR MECHAN ICAL DEVICE. 9 (3) A LICENSED RETAILER IS NOT REQUIRED TO VERI FY THE AGE OF 10 AN INDIVIDUAL AT LEAST 30 YEARS OLD. 11 16–302. 12 (a) For each county license, an applicant shall: 13 (1) submit an application to the clerk; and 14 (2) pay to the clerk a license fee of[: 15 (i) $25 in a county other than Cecil County or Montgomery County; 16 (ii) $50 in Cecil County; or 17 (iii) $125 in Montgomery County] $300. 18 (b) (1) From each license fee collected under subsection (a) of this section, the 19 [Clerk of the Circuit Court for Montgomery County] CLERK shall distribute: 20 (i) $25 to the Executive Director; and 21 (ii) $100 IN MONTGOMERY COUNTY, $275 to [Montgomery 22 County] THE COUNTY to be used to enforce existing laws banning the sale or distribution 23 of tobacco or, tobacco products, OR ELECTRONIC SMOKIN G DEVICES, AS DEFINED IN § 24 16.7–101 OF THIS ARTICLE, to individuals under the age of 21 years; AND 25 (III) IN ALL OTHER COUNTIE S, $275 TO THE MARYLAND 26 DEPARTMENT OF HEALTH TO BE USED BY THE DEPARTMENT OR ITS DES IGNEE TO 27 ENFORCE EXISTING LAW S PROHIBITING THE SA LE OR DISTRIBUTION O F TOBACCO, 28 SENATE BILL 1056 5 TOBACCO PRODUCTS , OR ELECTRONIC SMOKIN G DEVICES, AS DEFINED IN § 1 16.7–101 OF THIS ARTICLE, TO INDIVIDUALS UNDER THE AGE OF 21 YEARS. 2 (2) Funds distributed under paragraph (1)(ii) of this subsection may not be 3 used to supplant existing funding for the enforcement of laws banning the sale or 4 distribution of tobacco or tobacco products to individuals under the age of 21 years. 5 16–308.3. 6 (a) (1) The SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , THE 7 Maryland Department of Health OR ITS DESIGNEE [may] SHALL conduct AT LEAST TWO 8 ONE unannounced inspections INSPECTION of a licensed retailer to ensure the licensee’s 9 compliance with the provisions of this title and § 10–107 of the Criminal Law Article EACH 10 YEAR. 11 (2) IF A LICENSED RETAILE R VIOLATES ANY PROVI SION OF THIS 12 TITLE OR § 10–107 OF THE CRIMINAL LAW ARTICLE, THE MARYLAND DEPARTMENT 13 OF HEALTH SHALL CONDUCT AN ADDITIONAL UNANNO UNCED INSPECTION WIT HIN 14 180 DAYS AFTER THE INITI AL INSPECTION. 15 (b) The Maryland Department of Health OR ITS DESIGNEE may use an 16 individual under the age of 21 years to assist in conducting an inspection under this section. 17 (C) TO DETERMINE THE LOCA TION OF A LICENSED R ETAILER SUBJECT TO 18 AN UNANNOUNCED INSPE CTION, THE MARYLAND DEPARTMENT OF HEALTH OR ITS 19 DESIGNEE SHALL USE T HE LIST OF LICENSED RETAILERS AS OF DECEMBER 31 OF 20 THE PREVIOUS CA LENDAR YEAR . 21 16.5–101. 22 (a) In this title the following words have the meanings indicated. 23 (f) “Licensed other tobacco products retailer” means a person licensed by the 24 clerk under § 16.5–204(b) of this title to act as an other tobacco products retailer. 25 (j) (1) “Other tobacco products” means, except as provided in paragraph (3) of 26 this subsection, a product that is: 27 (i) intended for human consumption or likely to be consumed, 28 whether smoked, heated, chewed, absorbed, dissolved, inhaled, or ingested in any other 29 manner, and that is made of or derived from, or that contains: 30 1. tobacco; or 31 2. nicotine; or 32 6 SENATE BILL 1056 (ii) a component or part used in a consumable product described 1 under item (i) of this paragraph. 2 (2) “Other tobacco products” includes: 3 (i) cigars, premium cigars, pipe tobacco, chewing tobacco, snuff, and 4 snus; and 5 (ii) filters, rolling papers, pipes, and hookahs. 6 (3) “Other tobacco products” does not include: 7 (i) cigarettes; 8 (ii) electronic smoking devices; 9 (iii) drugs, devices, or combination products authorized for sale by 10 the U.S. Food and Drug Administration under the Federal Food, Drug, and Cosmetic Act; 11 or 12 (iv) tobacco pipes, as defined under § 11–104 of the Tax – General 13 Article. 14 (l) “Other tobacco products retailer” means a person who: 15 (1) sells other tobacco products to consumers; or 16 (2) holds other tobacco products for sale to consumers. 17 16.5–214.2. 18 (A) (1) THIS SUBSECTION DOES NOT APPLY TO: 19 (I) A LICENSED TOBACCONI ST; OR 20 (II) THE SALE OF PREMIUM CIGARS. 21 (2) A LICENSED OTHER TOBAC CO PRODUCTS RETAILER MAY NOT 22 DISPLAY OTHER TOBACC O PRODUCTS FOR SALE UNLESS THE OTHER TOB ACCO 23 PRODUCTS ARE LOCATED BEHIND A COUNTER IN AN AREA ACCESSIBLE O NLY TO THE 24 LICENSED OTHER TOBACCO PRODUCTS RET AILER AND EMPLOYEES OF THE 25 LICENSED OTHER TOBAC CO PRODUCTS RETAILER . 26 (B) (1) A LICENSED OTHER TOBAC CO PRODUCTS RETAILER MAY NOT 27 SELL CIGARETTES OTHER TOBACCO PRODUC TS TO AN INDIVIDUAL UNL ESS THE 28 SENATE BILL 1056 7 LICENSED OTHER TOBAC CO PRODUCTS RETAILE R VERIFIES, IN ACCORDANCE WITH 1 PARAGRAPH (2) OF THIS SUBSECTION , THAT THE INDIVIDUAL IS: 2 (I) AT LEAST 21 YEARS OLD; OR 3 (II) 1. AT LEAST 18 YEARS OLD; AND 4 2. AN ACTIVE DUTY MEMBE R OF THE MILITARY IN 5 POSSESSION OF A VALI D MILITARY IDENTIFIC ATION. 6 (2) A EXCEPT AS PROVIDED IN PARAGRAPH (3) OF THIS SUBSECTION , 7 A LICENSED OTHER TOBAC CO PRODUCTS RETAILER MAY VERIFY AN INDIVI DUAL’S 8 AGE ONLY: 9 (I) BY MEANS OF A GOVERN MENT–ISSUED PHOTO 10 IDENTIFICATION CONTA INING THE INDIVIDUAL ’S DATE OF BIRTH; AND 11 (II) IN A DIRECT FACE –TO–FACE EXCHANGE WITHOU T THE 12 ASSISTANCE OF ANY EL ECTRONIC OR MECHANIC AL DEVICE. 13 (3) A LICENSED OTHER TOBAC CO PRODUCTS RETAILER IS NOT 14 REQUIRED TO VERIFY T HE AGE OF AN INDIVIDUAL AT LEAST 30 YEARS OLD. 15 16.5–217.1. 16 (a) (1) The SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , THE 17 Maryland Department of Health OR ITS DESIGNEE [may] SHALL conduct AT LEAST TWO 18 ONE unannounced inspections INSPECTION of a licensed retailer to ensure the licensee’s 19 compliance with the provisions of this title and § 10–107 of the Criminal Law Article EACH 20 YEAR. 21 (2) IF A LICENSED RETAILE R VIOLATES ANY PROVI SION OF THIS 22 TITLE OR § 10–107 OF THE CRIMINAL LAW ARTICLE, THE MARYLAND DEPARTMENT 23 OF HEALTH SHALL CONDUCT AN ADDITIONAL UNANNO UNCED INSPECTION WIT HIN 24 180 DAYS AFTER THE INITI AL INSPECTION. 25 (b) The Maryland Department of Health OR ITS DESIGNEE may use an 26 individual under the age of 21 years to assist in conducting an inspection under this section. 27 (C) TO DETERMINE THE LOCA TION OF A LICENSED RETAILER SUBJECT TO 28 AN UNANNOUNCED INSPE CTION, THE MARYLAND DEPARTMENT OF HEALTH OR ITS 29 DESIGNEE SHALL USE T HE LIST OF LICENSED RETAILERS AS OF DECEMBER 31 OF 30 THE PREVIOUS CALENDA R YEAR. 31 8 SENATE BILL 1056 16.7–101. 1 (a) In this title the following words have the meanings indicated. 2 (b) “County license” means a license issued by the clerk to sell electronic smoking 3 devices to consumers in a county. 4 (c) (1) “Electronic smoking device” means a device that can be used to deliver 5 aerosolized or vaporized nicotine to an individual inhaling from the device. 6 (2) “Electronic smoking device” includes: 7 (i) an electronic cigarette, an electronic cigar, an electronic cigarillo, 8 an electronic pipe, an electronic hookah, a vape pen, and vaping liquid; and 9 (ii) except as provided in paragraph (3) of this subsection, any 10 component, part, or accessory of such a device regardless of whether or not it is sold 11 separately, including any substance intended to be aerosolized or vaporized during use of 12 the device. 13 (3) “Electronic smoking device” does not include: 14 (i) a drug, device, or combination product authorized for sale by the 15 U.S. Food and Drug Administration under the Federal Food, Drug, and Cosmetic Act; or 16 (ii) a battery or battery charger when sold separately. 17 (d) “Electronic smoking devices manufacturer” means a person that: 18 (1) manufactures, mixes, or otherwise produces electronic smoking devices 19 intended for sale in the State, including electronic smoking devices intended for sale in the 20 United States through an importer; and 21 (2) (i) [sells electronic smoking devices to a consumer, if the consumer 22 purchases or orders the devices through the mail, a computer network, a telephonic 23 network, or another electronic network, a licensed electronic smoking devices wholesaler 24 distributor, or a licensed electronic smoking devices wholesaler importer in the State; 25 (ii)] if the electronic smoking devices manufacturer also holds a 26 license to act as [an electronic smoking devices retailer or] a vape shop vendor, sells 27 electronic smoking devices IN THE SAME MANNER A S A VAPE SHOP VENDOR to 28 consumers located in the State; or 29 [(iii)] (II) unless otherwise prohibited or restricted under local law, 30 this article, or the Criminal Law Article, distributes sample electronic smoking devices to 31 a licensed [electronic smoking devices retailer or] vape shop vendor. 32 SENATE BILL 1056 9 [(e) “Electronic smoking devices retailer” means a person that: 1 (1) sells electronic smoking devices to consumers; 2 (2) holds electronic smoking devices for sale to consumers; or 3 (3) unless otherwise prohibited or restricted under local law, this article, 4 the Criminal Law Article, or § 24–305 of the Health – General Article, distributes sample 5 electronic smoking devices to consumers in the State.] 6 [(f)] (E) “Electronic smoking devices wholesaler distributor” means a person 7 that: 8 (1) obtains at least 70% of its electronic smoking devices from a holder of 9 an electronic smoking devices manufacturer license under this subtitle or a business entity 10 located in the United States; and 11 (2) (i) holds electronic smoking devices for sale to another person for 12 resale; or 13 (ii) sells electronic smoking devices to another person for resale. 14 [(g)] (F) “Electronic smoking devices wholesaler importer” means a person that: 15 (1) obtains at least 70% of its electronic smoking devices from a business 16 entity located in a foreign country; and 17 (2) (i) holds electronic smoking devices for sale to another person for 18 resale; or 19 (ii) sells electronic smoking devices to another person for resale. 20 [(h)] (G) “Executive Director” means the Executive Director of the Alcohol [and], 21 Tobacco, AND CANNABIS Commission. 22 [(i)] (H) “License” means: 23 (1) a license issued by the Executive Director under § 16.7–203(a) of this 24 title to: 25 (i) act as a licensed electronic smoking devices manufacturer; 26 (ii) act as a licensed electronic smoking devices wholesaler 27 distributor; or 28 10 SENATE BILL 1056 (iii) act as a licensed electronic smoking devices wholesaler importer; 1 or 2 (2) a license issued by the clerk under § 16.7–203(b) of this title to[: 3 (i) act as a licensed electronic smoking devices retailer; or 4 (ii)] act as a licensed vape shop vendor. 5 [(j)] (I) “Sell” means to exchange or transfer, or to agree to exchange or 6 transfer, title or possession of property, in any manner or by any means, for consideration. 7 [(k)] (J) “Vape shop vendor” means an electronic smoking devices business that 8 [derives at least 70% of its revenues, measured by average daily receipts, from the sale of] 9 EXCLUSIVELY SELLS electronic smoking devices and related accessories TO CONSUMERS 10 ON THE PREMISES OF I TS PLACE OF BUSINESS . 11 [(l)] (K) “Vaping liquid” means a liquid that: 12 (1) consists of propylene glycol, vegetable glycerin, or other similar 13 substance; 14 (2) may or may not contain natural or artificial flavors; 15 (3) may or may not contain nicotine; and 16 (4) converts to vapor intended for inhalation when heated in an electronic 17 device. 18 16.7–102. 19 (a) The Executive Director may delegate any power or duty of the Executive 20 Director under this title. 21 (b) Any person licensed under Title 16 or Title 16.5 of this article, or an affiliate, 22 as defined under § 16–402(c) of this article, of a person licensed under Title 16 of this 23 article[: 24 (1) is authorized to manufacture, distribute, or sell electronic smoking 25 devices pursuant to this title in the same capacity as the person is licensed under Title 16 26 or Title 16.5 of this article; and 27 (2) may not be required to] MUST obtain an additional license under this 28 title IN ORDER TO MANUFACT URE, DISTRIBUTE, OR SELL ELECTRONIC S MOKING 29 DEVICES PURSUANT TO THIS TITLE. 30 SENATE BILL 1056 11 16.7–201. 1 [(a)] A person must hold an appropriate license before the person may act as: 2 (1) an electronic smoking devices manufacturer; 3 (2) [an electronic smoking devices retailer; 4 (3)] an electronic smoking devices wholesaler distributor; 5 [(4)] (3) an electronic smoking devices wholesaler importer; or 6 [(5)] (4) a vape shop vendor. 7 [(b) A place of business in which a person acts as an electronic smoking devices 8 retailer or a vape shop vendor must hold an appropriate license.] 9 16.7–202. 10 (a) (1) An applicant for a license to act as an electronic smoking devices 11 manufacturer, electronic smoking devices wholesaler distributor, or electronic smoking 12 devices wholesaler importer shall: 13 (i) obtain an appropriate county license by submitting an 14 application to the Executive Director on the form and containing the information that the 15 Executive Director requires; 16 (ii) indicate the licenses for which the applicant is applying; and 17 (iii) except as provided in paragraph (2) of this subsection, pay to the 18 Executive Director a fee of $25 for each license for which the applicant applies. 19 (2) An applicant for a license to act as an electronic smoking devices 20 wholesaler distributor or electronic smoking devices wholesaler importer shall pay to the 21 Executive Director a fee of $150. 22 (b) (1) An applicant for a license to act as [an electronic smoking devices 23 retailer or] a vape shop vendor: 24 (i) shall obtain a county license by submitting to the clerk an 25 application for each permanent or temporary place of business located in the same 26 enclosure and operated by the same applicant; and 27 (ii) except as provided in paragraph (2) of this subsection, shall pay 28 to the clerk a fee of $25 $300. 29 12 SENATE BILL 1056 (2) The application shall: 1 (i) be made on the form that the clerk requires; and 2 (ii) contain the information that the Executive Director requires. 3 (3) (I) FROM EACH LICENSE FEE COLLECTED UNDER THIS 4 SUBSECTION, THE CLERK SHALL DIST RIBUTE: 5 1. $25 TO THE EXECUTIVE DIRECTOR; AND 6 2. $275 TO THE MARYLAND DEPARTMENT OF HEALTH 7 TO BE USED BY THE DEPARTMENT OR ITS DES IGNEE TO ENFORCE EXI STING LAWS 8 PROHIBITING THE SALE OR DISTRIBUTION OF T OBACCO, TOBACCO PRODUCTS , OR 9 ELECTRONIC SMOKING D EVICES, AS DEFINED IN § 16.7–101 OF THIS TITLE, TO 10 INDIVIDUALS UNDER THE AGE O F 21 YEARS. 11 (II) FUNDS DISTRIBUTED UND ER THIS SUBSECTION M AY NOT BE 12 USED TO SUPPLANT EXI STING FUNDING FOR TH E ENFORCEMENT OF LAW S BANNING 13 THE SALE OR DISTRIBU TION OF TOBACCO , TOBACCO PRODUCTS , OR ELECTRONIC 14 SMOKING DEVICES TO INDIVIDUALS UNDER TH E AGE OF 21 YEARS. 15 (c) A licensee shall display a license in the way that the Executive Director 16 requires by regulation. 17 (d) If a person has had a license revoked under § 16.7–207 of this subtitle, the 18 person may not reapply for a license within 1 year after the date when the prior license was 19 revoked. 20 16.7–203. 21 (a) The Executive Director shall issue an appropriate license to each applicant 22 that meets the requirements of this subtitle for a license to act as an electronic smoking 23 devices manufacturer, electronic smoking devices wholesaler distributor, or electronic 24 smoking devices wholesaler importer. 25 (b) The clerk shall issue to each applicant that meets the requirements of this 26 subtitle a license to act as [an electronic smoking devices retailer or] a vape shop vendor. 27 (c) The clerk shall forward a copy of an application received for each license 28 issued under subsection (b) of this section to the Executive Director within 30 days after 29 issuance of the license. 30 16.7–204. 31 SENATE BILL 1056 13 (a) An electronic smoking devices manufacturer license authorizes the licensee 1 to: 2 (1) sell electronic smoking devices to: 3 (i) a licensed electronic smoking devices wholesaler located in the 4 State; 5 (ii) an electronic smoking devices wholesaler or retailer located 6 outside the State if the electronic smoking devices may be sold lawfully in Maryland; 7 (iii) a licensed vape shop vendor[; and 8 (iv) a consumer if: 9 1. the licensee manufactured the devices; and 10 2. the consumer purchases or orders the devices through the 11 mail, a computer network, a telephonic network, or another electronic network]; 12 (2) if the electronic smoking devices manufacturer licensee also holds a 13 license to act as [an electronic smoking devices retailer or] a vape shop vendor, transfer 14 electronic smoking devices to inventory for sale under the [retail license or] vape shop 15 license; and 16 (3) except as otherwise prohibited or restricted under local law, this article, 17 or the Criminal Law Article, distribute electronic smoking devices products to a licensed 18 [electronic smoking devices retailer or] vape shop vendor. 19 [(b) An electronic smoking devices retailer license authorizes the licensee to: 20 (1) sell electronic smoking devices to consumers; 21 (2) buy electronic smoking devices from an electronic smoking devices 22 wholesaler distributor or electronic smoking devices wholesaler importer; 23 (3) if the electronic smoking devices retailer licensee also holds a license to 24 act as an electronic smoking devices manufacturer, sell at retail electronic smoking devices 25 manufactured under the manufacturer license; and 26 (4) except as otherwise prohibited or restricted under local law, this article, 27 the Criminal Law Article, or § 24–305 of the Health – General Article, distribute sample 28 electronic smoking devices products to consumers in the State.] 29 [(c)] (B) An electronic smoking devices wholesaler distributor license or 30 electronic smoking devices wholesaler importer license authorizes the licensee to: 31 14 SENATE BILL 1056 (1) sell electronic smoking devices to [electronic smoking devices retailers 1 and] vape shop vendors; 2 (2) buy electronic smoking devices directly from an electronic smoking 3 devices manufacturer and an electronic smoking devices wholesaler distributor or 4 electronic smoking devices wholesaler importer; 5 (3) hold electronic smoking devices; and 6 (4) sell electronic smoking devices to another licensed electronic smoking 7 devices wholesaler distributor or electronic smoking devices wholesaler importer. 8 [(d)] (C) A vape shop vendor license authorizes the licensee to: 9 (1) sell electronic smoking devices as a vape shop vendor TO CONSUMERS 10 ON THE PREMISES OF T HE LICENSEE’S PLACE OF BUSINESS ; 11 (2) if the vape shop vendor licensee also holds a license to act as an 12 electronic smoking devices manufacturer, sell at retail ON THE VAPE SHOP VEN DOR 13 PREMISES electronic smoking devices manufactured under the manufacturer license; and 14 (3) buy electronic smoking devices from an electronic smoking devices 15 manufacturer, an electronic smoking devices wholesaler distributor, or an electronic 16 smoking devices wholesaler importer. 17 16.7–204.1. 18 (a) (1) A [retail licensee OR] VAPE SHOP VENDOR shall post a sign in a 19 location that is clearly visible to the consumer that states: 20 “No person under the age of 21 may be sold tobacco products without military 21 identification”. 22 [(b)] (2) The sign required under PARAGRAPH (1) OF this [section] 23 SUBSECTION shall be written in letters at least one–half inch high. 24 (B) (1) A RETAIL LICENSEE OR VAPE SHOP VENDOR MAY NOT SELL 25 CIGARETTES ELECTRONIC SMOKING D EVICES TO AN INDIVIDUAL UNL ESS THE 26 RETAIL LICENSEE OR VAPE SHOP VENDOR VER IFIES, IN ACCORDANCE WITH 27 PARAGRAPH (2) OF THIS SUBSECTION , THAT THE INDIVIDUAL IS: 28 (I) AT LEAST 21 YEARS OLD; OR 29 (II) 1. AT LEAST 18 YEARS OLD; AND 30 SENATE BILL 1056 15 2. AN ACTIVE DUTY MEMBE R OF THE MILITARY IN 1 POSSESSION OF A VALI D MILITARY IDENTIFIC ATION. 2 (2) A EXCEPT AS PROVIDED IN PARAGRAPH (3) OF THIS SUBSECTION , 3 A RETAIL LICENSEE OR VAPE SHOP VENDOR MAY VERIFY AN INDIVIDUAL ’S AGE 4 ONLY: 5 (I) BY MEANS OF A GOVERN MENT–ISSUED PHOTO 6 IDENTIFICATION CONTA INING THE INDIVIDUAL ’S DATE OF BIRTH; AND 7 (II) IN A DIRECT FACE –TO–FACE EXCHANGE WITHOU T THE 8 ASSISTANCE OF ANY EL ECTRONIC OR MECHANIC AL DEVICE. 9 (3) A LICENSED RETAILER OR VAPE SHOP VENDOR IS NOT REQUIRED 10 TO VERIFY THE AGE OF AN INDIVIDUAL AT LEAST 30 YEARS OLD. 11 16.7–204.2. 12 A RETAILER OR VAPE SHOP VENDOR MAY NOT DISPLAY ELECTRON IC SMOKING 13 DEVICES FOR SALE UNL ESS THE ELECTRONIC S MOKING DEVICES ARE L OCATED 14 BEHIND A COUNTER IN AN AREA ACCESSIBLE O NLY TO THE RETAILER OR VAPE SHOP 15 VENDOR AND EMPLOYEES OF THE RETAILER OR VAPE SHOP VENDOR . 16 16.7–206. 17 (a) (1) A [licensed electronic smoking devices retailer or a] licensed vape shop 18 vendor may not assign the license. 19 (2) If a licensed electronic smoking devices wholesaler distributor or 20 electronic smoking devices wholesaler importer sells the licensee’s electronic smoking 21 devices business and pays to the Executive Director a license assignment fee of $10, the 22 licensee may assign the license to the buyer of the business if the buyer otherwise qualifies 23 under this title for an electronic smoking devices wholesaler’s distributor or importer 24 license. 25 (b) If the electronic smoking devices business of a licensee is transferred because 26 of bankruptcy, death, incompetency, receivership, or otherwise by operation of law, the 27 Executive Director shall transfer the license without charge to the new owner of the 28 licensee’s business if the transferee otherwise qualifies under this title for the license being 29 transferred. 30 (c) (1) If a licensed electronic smoking devices wholesaler distributor or 31 electronic smoking devices wholesaler importer surrenders the license to the Executive 32 Director and if no disciplinary proceedings are pending against the licensee, the Executive 33 16 SENATE BILL 1056 Director shall refund a pro rata portion of the license fee for the unexpired term of the 1 license. 2 (2) A [licensed electronic smoking devices retailer or a] licensed vape shop 3 vendor is not allowed a refund for the unexpired term of the license. 4 16.7–211. 5 (a) A person may not act, attempt to act, or offer to act as an electronic smoking 6 devices manufacturer, [an electronic smoking devices retailer,] an electronic smoking 7 devices wholesaler distributor, an electronic smoking devices wholesaler importer, or a 8 vape shop vendor in the State unless the person has an appropriate license. 9 (b) (1) A person that violates this section is guilty of a misdemeanor and on 10 conviction is subject to a fine not exceeding $1,000 or imprisonment not exceeding 30 days 11 or both. 12 (2) Each day that a violation of this section continues is a separate offense. 13 16.7–213.1. 14 (a) (1) The SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , THE 15 Maryland Department of Health OR ITS DESIGNEE [may] SHALL conduct AT LEAST TWO 16 ONE unannounced inspections INSPECTION of licensed [retailers] OR VAPE SHOP 17 VENDORS to ensure the licensee’s compliance with the provisions of this title and § 10–107 18 of the Criminal Law Article EACH YEAR. 19 (2) IF A LICENSED RETAILER OR VAPE SHOP VENDOR VIO LATES ANY 20 PROVISION OF THIS TI TLE OR § 10–107 OF THE CRIMINAL LAW ARTICLE, THE 21 MARYLAND DEPARTMENT OF HEALTH SHALL CONDUCT AN ADDITIONAL 22 UNANNOUNCED INSPECTI ON WITHIN 180 DAYS AFTER THE INITI AL INSPECTION. 23 (b) The Maryland Department of Health OR ITS DESIGNEE may use an 24 individual under the age of 21 years to assist in conducting an inspection under this section. 25 (C) TO DETERMINE THE LOCA TION OF A LICENSED RETAILER OR VAPE SHOP 26 VENDOR SUBJECT TO AN UNANNOUNCED INSPECTI ON, THE MARYLAND 27 DEPARTMENT OF HEALTH OR ITS DESIGNE E SHALL USE THE LIST OF LICENSED 28 RETAILERS OR VAPE SHOP VENDOR S AS OF DECEMBER 31 OF THE PREVIOUS 29 CALENDAR YEAR . 30 Article – Criminal Law 31 10–107. 32 SENATE BILL 1056 17 (a) This section does not apply to the distribution of a coupon that is redeemable 1 for a tobacco product, if the coupon is: 2 (1) contained in a newspaper, magazine, or other type of publication in 3 which the coupon is incidental to the primary purpose of the publication; or 4 (2) sent through the mail. 5 (b) (1) This subsection does not apply to the distribution of a tobacco product 6 or tobacco paraphernalia to: 7 (i) an individual under the age of 21 years who is acting solely as 8 the agent of the individual’s employer if the employer distributes tobacco products or 9 tobacco paraphernalia for commercial purposes; or 10 (ii) a purchaser or recipient who: 11 1. is at least 18 years of age; 12 2. is an active duty member of the military; and 13 3. presents a valid military identification. 14 (2) A person who distributes tobacco products for commercial purposes, 15 including a person licensed under Title 16, Title 16.5, Title 16.7, or Title 16.9 of the 16 Business Regulation Article, PERSONALLY OR THROUG H AN EMPLOYEE , may not 17 distribute to an individual under the age of 21 years: 18 (i) a tobacco product; 19 (ii) tobacco paraphernalia; or 20 (iii) a coupon redeemable for a tobacco product. 21 (c) A person not described in subsection (b)(2) of this section may not: 22 (1) purchase for or sell a tobacco product to an individual under the age of 23 21 years, unless the individual: 24 (i) is at least 18 years of age; 25 (ii) is an active duty member of the military; and 26 (iii) presents a valid military identification; or 27 (2) distribute tobacco paraphernalia to an individual under the age of 21 28 years, unless the individual: 29 18 SENATE BILL 1056 (i) is at least 18 years of age; 1 (ii) is an active duty member of the military; and 2 (iii) presents a valid military identification. 3 (d) In a prosecution for a violation of this section, it is a defense that the defendant 4 examined, IN A DIRECT, FACE–TO–FACE EXCHANGE , the purchaser’s or recipient’s 5 driver’s license or other valid identification issued by a government unit that positively 6 identified the purchaser or recipient as at least 21 years of age or as at least 18 years of age 7 and an active duty member of the military. 8 (e) (1) A person who violates this section is guilty of a misdemeanor and on 9 conviction is subject to a fine not exceeding: 10 (i) [$300] $500 for a first violation; 11 (ii) $1,000 for a second violation occurring within 2 years after the 12 first violation; and 13 (iii) $3,000 for each subsequent violation occurring within 2 years 14 after the preceding violation. 15 (2) IN ADDITION TO THE PE NALTIES UNDER PARAGR APH (1) OF THIS 16 SUBSECTION, IF A PERSON HOLDS A LICENSE UNDER TITLE 16, TITLE 16.5, TITLE 17 16.7, OR TITLE 16.9 OF THE BUSINESS REGULATION ARTICLE, THE COURT SHALL 18 ORDER THE EXECUTIVE DIRECTOR OF THE ALCOHOL, TOBACCO, AND CANNABIS 19 COMMISSION TO : 20 (I) SUSPEND THE LICENSE FOR: 21 1. A SECOND VIOLATION , NOT MORE THAN 90 DAYS; AND 22 2. EACH SUBSEQUENT VIOL ATION, NOT MORE THAN 180 23 DAYS; AND 24 (II) FOR EACH SUBSEQUENT VIOLATION, REVOKE THE LICENSE . 25 (3) FOR A DETERMINATION M ADE BY A COURT UNDER PARAGRAPH 26 (2) OF THIS SUBSECTION , THE CLERK OF THE COU RT SHALL SEND A COPY OF THE 27 FINAL ORDER ISSUED B Y THE COURT TO THE EXECUTIVE DIRECTOR OF THE 28 ALCOHOL, TOBACCO, AND CANNABIS COMMISSION. 29 SENATE BILL 1056 19 [(2)] (3) (4) Issuance of a civil citation for the sale of a tobacco product to an 1 individual under the age of 21 years precludes a prosecution for a violation of § 24–307 of 2 the Health – General Article arising out of the same violation. 3 (f) For purposes of this section, each separate incident at a different time and 4 occasion is a violation. 5 Article – Health – General 6 24–305. 7 (a) This section does not apply to a tobacco product that is regulated under Title 8 16 of the Business Regulation Article. 9 (b) (1) [Except] SUBJECT TO PARAGRAPH (3) AND EXCEPT as provided in 10 paragraph (2) of this subsection, a person may not [sell]: 11 (I) SELL, distribute, or offer for sale to an individual under the age 12 of 21 years an electronic smoking device, as defined in § 16.7–101(c) of the Business 13 Regulation Article; 14 (II) DISPLAY ELECTRONIC SM OKING DEVICES , AS DEFINED IN § 15 16.7–101(C) OF THE BUSINESS REGULATION ARTICLE, FOR SALE UNLESS THE 16 ELECTRONIC SMOKING DEV ICES ARE LOCATED BEH IND A COUNTER IN AN AREA 17 ACCESSIBLE ONLY TO T HE PERSON AND EMPLOY EES OF THE PERSON ; OR 18 (III) EXCEPT AS PROVIDED IN PARAGRAPH (4) OF THIS 19 SUBSECTION, SELL ELECTRONIC SMOK ING DEVICES, AS DEFINED IN § 16.7–101(C) 20 OF THE BUSINESS REGULATION ARTICLE, UNLESS THE PERSON VE RIFIES THAT THE 21 INDIVIDUAL IS AT LEA ST 21 YEARS OLD. 22 (2) This subsection does not apply to[: 23 (i) An] AN electronic smoking device that contains or delivers 24 nicotine intended for human consumption if the device has been approved by the United 25 States Food and Drug Administration for sale as a tobacco cessation product and is being 26 marketed and sold solely for this purpose[; or 27 (ii) A purchaser or recipient who: 28 1. Is at least 18 years of age; 29 2. Is an active duty member of the military; and 30 3. Presents a valid military identification]. 31 20 SENATE BILL 1056 (3) SUBJECT TO PARAGRAPH (4) OF THIS SUBSECTION , A PERSON 1 MAY VERIFY AN INDIVI DUAL’S AGE ONLY: 2 (I) BY MEANS OF A GOVERNM ENT–ISSUED PHOTO 3 IDENTIFICATION CONTAIN ING THE INDIVIDUAL ’S DATE OF BIRTH; AND 4 (II) IN A DIRECT FACE –TO–FACE EXCHANGE INCLUD ING THE 5 ASSISTANCE OF ANY EL ECTRONIC OR MECHANIC AL DEVICE. 6 (4) A PERSON IS NOT REQUIR ED TO VERIFY THE AGE OF AN 7 INDIVIDUAL AT LEAST 30 YEARS OLD. 8 (c) (1) A person that violates this section is subject to a civil penalty not 9 exceeding: 10 (i) $300 for a first violation; 11 (ii) $1,000 for a second violation occurring within 24 months after 12 the first violation; and 13 (iii) $3,000 for each subsequent violation occurring within 24 months 14 after the preceding violation. 15 (2) Issuance of a civil citation for a violation of this section precludes 16 prosecution under § 10–107 of the Criminal Law Article arising out of the same violation. 17 (3) If a violation is committed by a person acting on behalf of a retailer, the 18 civil penalty imposed under paragraph (1) of this subsection shall be paid by the retailer. 19 (d) In a prosecution for a violation of this section, it is a defense that the defendant 20 examined the purchaser’s or recipient’s driver’s license or other valid identification issued 21 by a government unit that positively identified the purchaser or recipient as at least 21 22 years of age [or as at least 18 years of age and an active duty member of the military]. 23 (e) (1) In this subsection, “designee” means a retired sworn law enforcement 24 officer employed by THE DEPARTMENT OR a county health officer or an employee of THE 25 DEPARTMENT OR a local health department trained in civil enforcement. 26 (2) [A] THE SECRETARY, THE SECRETARY’S DESIGNEE, A sworn law 27 enforcement officer, a county health officer, or a designee of a county health officer may 28 issue a civil citation for a violation of this section. 29 (3) A citation issued under this section shall include: 30 (i) The name and address of the person charged; 31 SENATE BILL 1056 21 (ii) The nature of the violation; 1 (iii) The location and time of the violation; 2 (iv) The amount of the civil penalty; 3 (v) The manner, location, and time in which the civil penalty may be 4 paid; 5 (vi) A notice stating the person’s right to elect to stand trial for the 6 violation; and 7 (vii) A warning that failure to pay the civil penalty or to contest 8 liability in a timely manner in accordance with the citation: 9 1. Is an admission of liability; and 10 2. May result in entry of a default judgment that may include 11 the civil penalty, court costs, and administrative expenses. 12 (4) The [sworn law enforcement officer] SECRETARY, SECRETARY’S 13 DESIGNEE, county health officer, or COUNTY HEALTH OFFICE R’S designee shall retain a 14 copy of the citation issued under this section. 15 (5) (i) 1. A person who receives a citation from THE SECRETARY, 16 THE SECRETARY’S DESIGNEE, a county health officer, or A COUNTY HEALTH OFFI CER’S 17 designee under this section may elect to stand trial for the violation by filing a notice of 18 intention to stand trial with the county health officer or designee at least 5 days before the 19 date set in the citation for the payment of the civil penalty. 20 2. After receiving a notice of intention to stand trial under 21 subsubparagraph 1 of this subparagraph, the SECRETARY, SECRETARY’S DESIGNEE, 22 county health officer, or COUNTY HEALTH OFFICE R’S designee shall forward the notice 23 and a copy of the citation to the District Court. 24 (ii) A person who receives a citation from a sworn law enforcement 25 officer under this section may elect to stand trial for the violation by filing a notice of 26 intention to stand trial and a copy of the citation with the District Court at least 5 days 27 before the date set in the citation for payment of the civil penalty. 28 (6) (i) After receiving a citation and notice under this section, the 29 District Court shall schedule the case for trial and notify the defendant of the trial date. 30 22 SENATE BILL 1056 (ii) In a proceeding before the District Court, a violation of this 1 section shall be prosecuted in the same manner and to the same extent as a municipal 2 infraction under §§ 6–108 through 6–115 of the Local Government Article. 3 (7) The District Court shall remit any penalties collected for a violation of 4 this section to the county in which the violation occurred. 5 (8) Adjudication of a violation of this section is not a criminal conviction for 6 any purpose. 7 24–307. 8 (a) (1) This section does not apply to the distribution of a coupon that is 9 redeemable for a tobacco product if the coupon is: 10 (i) Contained in a newspaper, a magazine, or any other type of 11 publication in which the coupon is incidental to the primary purpose of the publication; or 12 (ii) Sent through the mail. 13 (2) This section does not apply to the distribution of a tobacco product or 14 tobacco paraphernalia to[: 15 (i) An] AN individual under the age of 21 years who is acting solely 16 as the agent of the individual’s employer if the employer distributes tobacco products or 17 tobacco paraphernalia for commercial purposes[; or 18 (ii) A purchaser or recipient who: 19 1. Is at least 18 years of age; 20 2. Is an active duty member of the military; and 21 3. Presents a valid military identification]. 22 (b) (1) A person who distributes tobacco products for commercial purposes, 23 including a person licensed under Title 16, Title 16.5, Title 16.7, or Title 16.9 of the 24 Business Regulation Article, may not [distribute]: 25 (I) DISTRIBUTE to an individual under the age of 21 years: 26 [(1)] 1. A tobacco product; 27 [(2)] 2. Tobacco paraphernalia; or 28 [(3)] 3. A coupon redeemable for a tobacco product; 29 SENATE BILL 1056 23 (II) DISPLAY TOBACCO PRODU CTS FOR SALE UNLESS THE 1 TOBACCO PRODUCTS ARE LOCATED BEHIND A COU NTER IN AN AREA ACCE SSIBLE 2 ONLY TO THE PERSON A ND EMPLOYEES OF THE PERSON; OR 3 (III) EXCEPT AS PROVIDED IN PARAGRAPH (3) OF THIS 4 SUBSECTION, SELL TOBACCO PRODUCT S UNLESS THE PERSON VERIFIES THAT THE 5 INDIVIDUAL IS AT LEA ST 21 YEARS OLD. 6 (2) A PERSON WHO DISTRIBUT ES TOBACCO PRODUCTS MAY VERIFY 7 AN INDIVIDUAL’S AGE ONLY: 8 (I) BY MEANS OF A GOVERNM ENT–ISSUED PHOTO 9 IDENTIFICATION CONTA INING THE INDIVIDUAL ’S DATE OF BIRTH; AND 10 (II) IN A DIRECT FACE –TO–FACE EXCHANGE INCLUD ING THE 11 ASSISTANCE OF ANY EL ECTRONIC OR MECHANIC AL DEVICE. 12 (3) A PERSON WHO DISTRIBUT ES TOBACCO PRODUCTS IS NOT 13 REQUIRED TO VERIFY T HE AGE OF AN INDIVID UAL AT LEAST 30 YEARS OLD. 14 (c) (1) A person who violates subsection (b) of this section is subject to a civil 15 penalty not exceeding: 16 (i) $300 for a first violation; 17 (ii) $1,000 for a second violation occurring within 24 months after 18 the first violation; and 19 (iii) $3,000 for each subsequent violation occurring within 24 months 20 after the preceding violation. 21 (2) The local health departments shall report violations of subsection (b) of 22 this section to the Executive Director of the Alcohol [and], Tobacco, AND CANNABIS 23 Commission. 24 (3) Issuance of a civil citation for a violation of this section precludes 25 prosecution under § 10–107 of the Criminal Law Article arising out of the same violation. 26 (4) If a violation is committed by a person acting on behalf of a retailer, the 27 civil penalty imposed under paragraph (1) of this subsection shall be paid by the retailer. 28 (d) In a prosecution for a violation of subsection (b) of this section, it is a defense 29 that the defendant examined the purchaser’s or recipient’s driver’s license or other valid 30 identification issued by a governmental unit that positively identified the purchaser or 31 24 SENATE BILL 1056 recipient as at least 21 years old [or as at least 18 years of age and an active duty member 1 of the military]. 2 (e) (1) In this subsection, “designee” means a retired sworn law enforcement 3 officer employed by THE SECRETARY OR a county health officer or an employee of a local 4 health department trained in civil enforcement. 5 (2) [A] THE SECRETARY, THE SECRETARY’S DESIGNEE, A sworn law 6 enforcement officer, a county health officer, or a designee of a county health officer may 7 issue a civil citation for a violation of subsection (b) of this section. 8 (3) A citation issued under this subsection shall include: 9 (i) The name and address of the person charged; 10 (ii) The nature of the violation; 11 (iii) The location and time of the violation; 12 (iv) The amount of the civil penalty; 13 (v) The manner, location, and time in which the civil penalty may be 14 paid; 15 (vi) A notice stating the person’s right to elect to stand trial for the 16 violation; and 17 (vii) A warning that failure to pay the civil penalty or to contest 18 liability in a timely manner in accordance with the citation: 19 1. Is an admission of liability; and 20 2. May result in entry of a default judgment that may include 21 the civil penalty, court costs, and administrative expenses. 22 (4) The SECRETARY, SECRETARY’S DESIGNEE, county health officer, or 23 designee shall retain a copy of the citation issued under this subsection. 24 (5) (i) A person who receives a citation from THE SECRETARY, THE 25 SECRETARY’S DESIGNEE, a county health officer, or designee under this subsection may 26 elect to stand trial for the violation by filing a notice of intention to stand trial with the 27 county health officer or designee at least 5 days before the date set in the citation for the 28 payment of the civil penalty. 29 SENATE BILL 1056 25 (ii) After receiving a notice of intention to stand trial under 1 subparagraph (i) of this paragraph, the county health officer or designee shall forward the 2 notice and a copy of the citation to the District Court. 3 (6) (i) After receiving a citation and notice under this subsection, the 4 District Court shall schedule the case for trial and notify the defendant of the trial date. 5 (ii) In a proceeding before the District Court, a violation of 6 subsection (b) of this section shall be handled in the same manner as a municipal infraction 7 under §§ 6–108 through 6–115 of the Local Government Article. 8 (7) The District Court shall remit any penalties collected for a violation of 9 subsection (b) of this section to the county in which the violation occurred. 10 (8) Adjudication of a violation of subsection (b) of this section is not a 11 criminal conviction for any purpose. 12 (f) (1) The Maryland Department of Health, in collaboration and consultation 13 with [the Office of the Comptroller,] the Executive Director of the Alcohol [and], Tobacco, 14 AND CANNABIS Commission, local health departments, and local law enforcement 15 agencies, shall develop ongoing strategies for enforcement of §§ 10–107 and 10–108 of the 16 Criminal Law Article. 17 (2) On or before October 1 each year, the Department shall report to the 18 General Assembly, in accordance with § 2–1257 of the State Government Article, on: 19 (i) The development of enforcement strategies required under 20 paragraph (1) of this subsection; and 21 (ii) Training and assistance to tobacco retailers to improve 22 compliance with § 10–107 of the Criminal Law Article. 23 SECTION 2. AND BE IT FURTHER ENACTED, That the Laws of Maryland read 24 as follows: 25 Article – Health Occupations 26 12–403. 27 (c) Except as otherwise provided in this section, a pharmacy for which a 28 pharmacy permit has been issued under this title: 29 (22) (i) May provide to an ophthalmologist for office use, without a 30 patient–specific prescription: 31 1. Compound antibiotics for the emergency treatment of 32 bacterial endophthalmitis or viral retinitis; and 33 26 SENATE BILL 1056 2. Compound antivascular endothelial growth factor agents 1 for the emergency treatment of neovascular glaucoma, wet macular degeneration, or 2 macular edema; and 3 (ii) Shall require the ophthalmologist to inform the pharmacy of the 4 identity of any patient to whom the drugs are administered; [and] 5 (23) Subject to § 12–510 of this title, may provide compounded nonsterile 6 preparations or compounded sterile preparations without a patient–specific prescription to 7 a licensed veterinarian who intends to dispense the compounded nonsterile preparations 8 or compounded sterile preparations in accordance with § 2–313(c) of the Agriculture Article; 9 AND 10 (24) MAY NOT SELL TOBACCO PRODUCTS, OTHER TOBACCO 11 PRODUCTS, AS DEFINED IN § 16.5–101 OF THE BUSINESS REGULATION ARTICLE, OR 12 ELECTRONIC SMOKING D EVICES, AS DEFINED IN § 16.7–101 OF THE BUSINESS 13 REGULATION ARTICLE. 14 SECTION 2. 3. 2. AND BE IT FURTHER ENACTED, That, on or before December 15 31, 2024 October 1, 2025, the Alcohol, Tobacco, and Cannabis Commission, in conjunction 16 with the Maryland Department of Health, the Comptroller, and the State Department of 17 Education, shall report to the Senate Finance Committee, the House Economic Matters 18 Committee, and the House Health and Government Operations Committee, in accordance 19 with § 2–1257 of the State Government Article, on: 20 (1) the number of retailers of cigarettes, other tobacco products, and 21 electronic smoking devices licensed under Title 16, Title 16.5, or Title 16.7 of the Business 22 Regulation Article, including information regarding the proximity of retailers to schools 23 and health care facilities; 24 (2) the processes and procedures currently used by the Alcohol, Tobacco, 25 and Cannabis Commission to maintain a list of all operating businesses that hold a license 26 under Title 16, Title 16.5, or Title 16.7 of the Business Regulation Article; 27 (3) the geographic density of businesses currently holding a license under 28 Title 16, Title 16.5, or Title 16.7 of the Business Regulation Article; 29 (4) the feasibility and resulting impact of limiting or establishing a 30 maximum number of licenses that could be issued under Title 16, Title 16.5, or Title 16.7 31 of the Business Regulation Article; and 32 (5) with regard to the use of tobacco, other tobacco products, and electric 33 smoking devices, including the use of flavored tobacco products, by individuals under the 34 age of 21 years in the State, an analysis of: 35 SENATE BILL 1056 27 (i) its prevalence in the described population; 1 (ii) the public health impacts; and 2 (iii) the economic impacts. 3 SECTION 4. AND BE IT FURTHER ENACTED, That Section 2 of this Act shall take 4 effect October 1, 2025. 5 SECTION 3. 5. 3. AND BE IT FURTHER ENACTED, That , except as provided in 6 Section 4 of this Act, this Act shall take effect October 1, 2024. 7 Approved: ________________________________________________________________________________ Governor. ________________________________________________________________________________ President of the Senate. ________________________________________________________________________________ Speaker of the House of Delegates.