On page 23, line 3, after "(14)" insert "(a) "Nicotine analogue" means a substance:

(i) The chemical structure of which is substantially similar to the chemical structure of nicotine; or

(ii) Which has, purports to have, or is represented to have, an effect on the central nervous system that is similar to or greater than the effect of nicotine on the central nervous system.

(b) Factors relevant to determining whether a substance is a nicotine analogue include, but are not limited to, the marketing, advertising, and labeling of the substance, and whether the substance has been manufactured, formulated, sold, distributed, or marketed with the intent to avoid the provisions of this subsection (14) and other applicable provisions of law.

(15) "Oral nicotine product" means any noncombustible product containing nicotine, whether derived from tobacco or created synthetically, or a nicotine analogue, that is in the form of a solid, gel, gum, or paste that is intended for human consumption or placement in the oral cavity for absorption into the human body by any means other than inhalation. "Oral nicotine products" are not moist snuff products nor is any oral nicotine product included in the definition of any smokeless tobacco product, vapor product, cigarette, or any product regulated as a drug or device by the United States food and drug administration under chapter V of the food, drug, and cosmetic act.

(16)"

On page 25, after line 12, insert the following:

Sec. 302. "RCW 82.26.020 and 2019 c 445 s 404 are each amended to read as follows:

(1) There is levied and collected a tax upon the sale, handling, or distribution of all tobacco products in this state at the following rate:

(a) For cigars except little cigars, ((ninety-five))95 percent of the taxable sales price of cigars, not to exceed ((sixty-five cents))$0.65 per cigar;

(b) For all tobacco products except those covered under separate provisions of this subsection, ((ninety-five))95 percent of the taxable sales price. The tax imposed on a product under this subsection must be reduced by ((fifty))50 percent if that same product is issued a modified risk tobacco product order by the secretary of the United States department of health and human services pursuant to Title 21 U.S.C. Sec. 387k(g)(1), or by ((twenty-five))25 percent if that same product is issued a modified risk tobacco product order by the secretary of the United States department of health and human services pursuant to Title 21 U.S.C. Sec. 387k(g)(2). The tax reduction applies during the period the modified risk tobacco product order is in effect;

(i) On each single unit consumer-sized can or package whose net weight is ((one and two-tenths))1.2 ounces or less, a rate per single unit that is equal to the greater of $2.526 ((dollars)) or ((eighty-three and one-half))83.5 percent of the cigarette tax under chapter 82.24 RCW multiplied by ((twenty))20; or

(ii) On each single unit consumer-sized can or package whose net weight is more than ((one and two-tenths))1.2 ounces, a proportionate tax at the rate established in (c)(i) of this subsection (1) on each ounce or fractional part of an ounce; ((and))

(d) For little cigars, an amount per cigar equal to the cigarette tax under chapter 82.24 RCW; and

(e) For oral nicotine products, $0.0225 per discrete consumable unit. The tax imposed on a package that contains less than 20 discrete consumable units is equal to the tax imposed on a package of 20 discrete consumable units.

(2) Taxes under this section must be imposed at the time the distributor (a) brings, or causes to be brought, into this state from without the state tobacco products for sale, (b) makes, manufactures, fabricates, or stores tobacco products in this state for sale in this state, (c) ships or transports tobacco products to retailers in this state, to be sold by those retailers, or (d) handles for sale any tobacco products that are within this state but upon which tax has not been imposed.

(3) The moneys collected under this section must be deposited into the state general fund."