[atlas:bill]

AN ACT Relating to regulation of tobacco products under the access to minors statutes; amending RCW 70.155.010, 70.155.020, 70.155.030, 70.155.040, 70.155.050, 70.155.100, 70.155.110, and 70.155.130; adding a new section to chapter 70.155 RCW; and prescribing penalties.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

Sec. 1. RCW 70.155.010 and 1993 c 507 s 2 are each amended to read as follows:

The definitions set forth in RCW 82.24.010 shall apply to RCW 70.155.020 through 70.155.130. In addition, for the purposes of this chapter, unless otherwise required by the context:

(1) "Board" means the Washington state liquor control board.

(2) "Minor" refers to an individual who is less than eighteen years old.

(3) "Package" or "container" means a package or container that holds twenty or more cigarettes.

(4) "Public place" means a public street, sidewalk, or park, or any area open to the public in a publicly owned and operated building.

((~~(4)~~)) (5) "Sample" means a tobacco product distributed to members of the general public at no cost or at nominal cost for product promotion purposes.

((~~(5)~~)) (6) "Sampler" means a person engaged in the business of sampling other than a retailer.

((~~(6)~~)) (7) "Sampling" means the distribution of samples to members of the general public in a public place.

((~~(7)~~)) (8) "Tobacco product" means a product that contains tobacco and is intended for human ((~~consumption~~)) use.

Sec. 2. RCW 70.155.020 and 1993 c 507 s 3 are each amended to read as follows:

A person who holds a license issued under RCW ((~~82.24.520~~)) 82.24.510(1)(b) or 82.24.530 shall:

(1) Display the license or a copy in a prominent location at the outlet for which the license is issued; and

(2) Display a sign concerning the prohibition of tobacco sales to minors.

Such sign shall:

(a) Be posted so that it is clearly visible to anyone purchasing tobacco products from the licensee;

(b) Be designed and produced by the department of health to read: "THE SALE OF TOBACCO PRODUCTS TO PERSONS UNDER AGE 18 IS STRICTLY PROHIBITED BY STATE LAW. IF YOU ARE UNDER 18, YOU COULD BE PENALIZED FOR PURCHASING OR POSSESSING A TOBACCO PRODUCT; PHOTO ID REQUIRED"; and

Sec. 3. RCW 70.155.030 and 1994 c 202 s 1 are each amended to read as follows:

(1) No person shall sell or permit to be sold any tobacco product through any device that mechanically dispenses tobacco products unless the device is located fully within premises from which minors are prohibited or in industrial worksites where minors are not employed and not less than ten feet from all entrance or exit ways to and from each premise. The board shall adopt rules that allow an exception to the requirement that a device be located not less than ten feet from all entrance or exit ways to and from a premise if it is architecturally impractical for the device to be located not less than ten feet from all entrance and exit ways.

(2) Beginning July 1, 2000, self-service displays of tobacco products are prohibited. All in-store tobacco products must be sold from behind the counter or from within locked display units. This section does not apply to retailers who sell tobacco products exclusively.

Sec. 4. RCW 70.155.040 and 1993 c 507 s 5 are each amended to read as follows:

(1) No person shall sell or permit to be sold ((~~cigarettes not~~)) a package or container of fewer than twenty cigarettes. All cigarettes must be sold in ((~~the~~)) original unopened packages or containers to which the stamps required by RCW 82.24.060 have been affixed.

(2) This section does not apply to the sale of loose leaf tobacco by a retail business that generates a minimum of sixty percent of annual gross sales from the sale of tobacco products.

Sec. 5. RCW 70.155.050 and 1993 c 507 s 6 are each amended to read as follows:

(1) No person may engage in the business of sampling tobacco products within the state unless licensed to do so by the board. If a firm contracts with a manufacturer to distribute samples of the manufacturer's products, that firm is deemed to be the person engaged in the business of sampling.

(2) The board shall issue a license to a sampler not otherwise disqualified by RCW 70.155.100 upon application and payment of the fee.

(3) A sampler's license expires on the thirtieth day of June of each year and must be renewed annually upon payment of the appropriate fee.

(4) The board shall annually determine the fee for a sampler's license and each renewal. However, the fee for a manufacturer whose employees distribute samples within the state is five hundred dollars per annum, and the fee for all other samplers must be not less than fifty dollars per annum.

(5) A sampler's license entitles the licensee, and employees or agents of the licensee, to distribute samples at any lawful location in the state during the term of the license. A person engaged in sampling under the license shall carry the license or a copy at all times.

Sec. 6. RCW 70.155.100 and 1998 c 133 s 3 are each amended to read as follows:

(1) The liquor control board may suspend or revoke a retailer's license held by a business at any location, or may impose a monetary penalty as set forth in subsection (2) of this section, if the liquor control board finds that the licensee has violated RCW 26.28.080, 70.155.020, 70.155.030, 70.155.040, 70.155.050, 70.155.060, 70.155.070, or 70.155.090.

(2) The sanctions that the liquor control board may impose against a person licensed under RCW 82.24.530 and 70.155.050 and 70.155.060 based upon one or more findings under subsection (1) of this section may not exceed the following:

(a) For violation of RCW 26.28.080 or 70.155.020:

(i) A monetary penalty of one hundred dollars for the first violation within any two-year period;

(ii) A monetary penalty of three hundred dollars for the second violation within any two-year period;

(iii) A monetary penalty of one thousand dollars and suspension of the license for a period of six months for the third violation within any two-year period;

(iv) A monetary penalty of one thousand five hundred dollars and suspension of the license for a period of twelve months for the fourth violation within any two-year period;

(v) Revocation of the license with no possibility of reinstatement for a period of five years for the fifth or more violation within any two-year period;

(b) For violations of RCW 70.155.030, a monetary penalty in the amount of one hundred dollars for each day upon which such violation occurred;

(i) A monetary penalty of one hundred dollars for the first violation within any two-year period;

(ii) A monetary penalty of three hundred dollars for the second violation within any two-year period;

(iii) A monetary penalty of one thousand dollars and suspension of the license for a period of six months for the third violation within any two-year period;

(iv) A monetary penalty of one thousand five hundred dollars and suspension of the license for a period of twelve months for the fourth violation within any two-year period;

(v) Revocation of the license with no possibility of reinstatement for a period of five years for the fifth or more violation within any two-year period;

(d) For violations of RCW 70.155.050 and 70.155.060, a monetary penalty in the amount of three hundred dollars for each violation;

(e) For violations of RCW 70.155.070, a monetary penalty in the amount of one thousand dollars for each violation.

(3) The liquor control board may impose a monetary penalty upon any person other than a licensed cigarette retailer or licensed sampler if the liquor control board finds that the person has violated RCW 26.28.080, 70.155.020, 70.155.030, 70.155.040, 70.155.050, 70.155.060, 70.155.070, or 70.155.090.

(4) The monetary penalty that the liquor control board may impose based upon one or more findings under subsection (3) of this section may not exceed the following:

(a) For violation of RCW 26.28.080 or 70.155.020, fifty dollars for the first violation and one hundred dollars for each subsequent violation;

(b) For violations of RCW 70.155.030, one hundred dollars for each day upon which such violation occurred;

(d) For violations of RCW 70.155.050 and 70.155.060, three hundred dollars for each violation;

(e) For violations of RCW 70.155.070, one thousand dollars for each violation.

(5) The liquor control board may impose sanctions against a person licensed under RCW 82.24.510(1)(b) or 82.24.530 for violations of rules under this chapter and for which a statutory penalty is not proscribed.

(6) The liquor control board may develop and offer a class for retail clerks and use this class in lieu of a monetary penalty for the clerk's first violation.

((~~(6)~~)) (7) The liquor control board may issue a cease and desist order to any person who is found by the liquor control board to have violated or intending to violate the provisions of this chapter, RCW 26.28.080 or 82.24.500, requiring such person to cease specified conduct that is in violation. The issuance of a cease and desist order shall not preclude the imposition of other sanctions authorized by this statute or any other provision of law.

((~~(7)~~)) (8) The liquor control board may seek injunctive relief to enforce the provisions of RCW 26.28.080 or 82.24.500 or this chapter. The liquor control board may initiate legal action to collect civil penalties imposed under this chapter if the same have not been paid within thirty days after imposition of such penalties. In any action filed by the liquor control board under this chapter, the court may, in addition to any other relief, award the liquor control board reasonable attorneys' fees and costs.

((~~(8)~~)) (9) All proceedings under subsections (1) through ((~~(6)~~)) (5) and (7) of this section shall be conducted in accordance with chapter 34.05 RCW.

((~~(9)~~)) (10) The liquor control board may reduce or waive either the penalties or the suspension or revocation of a license, or both, as set forth in this chapter where the elements of proof are inadequate or where there are mitigating circumstances. Mitigating circumstances may include, but are not limited to, an exercise of due diligence by a retailer. Further, the board may exceed penalties set forth in this chapter based on aggravating circumstances.

Sec. 7. RCW 70.155.110 and 1993 c 507 s 12 are each amended to read as follows:

(1) The liquor control board shall, in addition to the board's other powers and authorities, have the authority to enforce the provisions of this chapter and RCW 26.28.080((~~(4)~~)) and 82.24.500. The liquor control board shall have full power to revoke or suspend the license of any retailer or wholesaler in accordance with the provisions of RCW 70.155.100.

(2) The liquor control board and the board's authorized agents or employees shall have full power and authority to enter any place of business where tobacco products are sold for the purpose of enforcing the provisions of this chapter.

(3) For the purpose of enforcing the provisions of this chapter and RCW 26.28.080((~~(4)~~)) and 82.24.500, a peace officer or enforcement officer of the liquor control board who has reasonable grounds to believe a person observed by the officer purchasing, attempting to purchase, or in possession of tobacco products is under the age of eighteen years of age, may detain such person for a reasonable period of time and in such a reasonable manner as is necessary to determine the person's true identity and date of birth. Further, tobacco products possessed by persons under the age of eighteen years of age are considered contraband and may be seized by a peace officer or enforcement officer of the liquor control board.

(4) The liquor control board may work with local county health departments or districts and local law enforcement agencies to conduct random, unannounced, inspections to assure compliance.

(5) The liquor control board is authorized under chapter ..., Laws of 1999 (this act) to adopt rules necessary to implement this chapter and RCW 26.28.080 relating to the enforcement of provisions regarding distribution of tobacco products, especially relating to minors.

(6) No person may knowingly or willfully resist or oppose any state, county, or municipal peace officer, or liquor enforcement officer, in the discharge of his or her duties under this chapter, or aid and abet such resistance or opposition. A violation of this subsection is a misdemeanor.

Sec. 8. RCW 70.155.130 and 1993 c 507 s 14 are each amended to read as follows:

((This chapter preempts political subdivisions from adopting or enforcing requirements for the licensure and regulation of tobacco product promotions and sales within retail stores, except that political subdivisions that have adopted ordinances prohibiting sampling by January 1, 1993, may continue to enforce these ordinances. No political subdivision may: (1) Impose fees or license requirements on retail businesses for possessing or selling cigarettes or tobacco products, other than general business taxes or license fees not primarily levied on tobacco products; or (2) regulate or prohibit activities covered by RCW 70.155.020 through 70.155.080.)) Except as provided in this section, this chapter does not ((~~otherwise preempt political subdivisions from adopting ordinances regulating the sale, purchase, use, or promotion of tobacco products not inconsistent with chapter 507, Laws of 1993~~)) supersede or preempt any local laws or ordinances regarding the same subject matter. No political subdivision may: (1) Adopt or enforce license requirements for retail businesses that sell tobacco products; or (2) impose fees or license requirements on retail businesses for possessing or selling tobacco products, other than general business taxes or license fees not primarily levied on tobacco products.

NEW SECTION. Sec. 9. A new section is added to chapter 70.155 RCW to read as follows:

No tobacco manufacturer, wholesaler, or agent thereof, may pay the monetary penalty of a tobacco retailer licensed under Title 82 RCW, nor may a tobacco retailer licensed under Title 82 RCW accept moneys for payment of a monetary penalty from a tobacco manufacturer, wholesaler, or agent thereof. A violation of this section is a gross misdemeanor punishable by a minimum fine of two thousand five hundred dollars for the first offense and five thousand dollars for each offense thereafter.

NEW SECTION. Sec. 10. If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected.