Relating to cigar bars by modifying the smokefree air Act and allowing for certain delivery sales, providing for a fee, and including effective date provisions

The bill defines “premium cigar” to mean a cigar that is (1) wrapped in whole tobacco leaf, (2) 100 percent leaf tobacco binder, (3) 100 percent tobacco filler, (4) handmade, (5) contains only a tobacco tip, (6) weighs more than six pounds per 1,000 units. _____ at least percent of the annual gross revenues are generated from the retail sale of premium cigars and cigar-related products. DELIVERY SALES. The bill permits a cigar bar retailer to sell premium cigars through delivery sales if the person holds a delivery sale permit issued pursuant to the processes established in the bill. A “cigar retailer” is defined to mean a cigar bar as defined in the bill that holds a delivery sale permit. The bill defines “delivery sale” to mean any sale of a premium cigar to a purchaser in this state where the purchaser submits the order for such sale by means of a telephonic or other method of voice transmission, mail or any other delivery service, or the internet or other online service and the premium cigar is delivered by use of mail or a delivery service. A cigar retailer shall not sell premium cigars through delivery sales until an application for the permit has been filed with the department of revenue (department), the $25 permit fee has been paid, and the department approves the application. The bill requires the application shall be filed and a delivery sale permit obtained for each place of business owned or operated by a cigar retailer located in the state. The application shall include information about the manner under which the cigar retailer transacts or intends to transact business as a cigar retailer, the principal office of the applicant, the names of the owners and their addresses, and any other information the director of revenue (director) prescribes by rule. The bill requires a delivery sale of premium cigars be only delivered to a resident of this state who is at least years of age and be for the resident’s personal use and not for resale. _____ sale directly to a resident of this state to be conspicuously labeled with the words “CONTAINS CIGARS: SIGNATURE OF PERSON AGE OR OLDER REQUIRED FOR DELIVERY” or shall be conspicuously labeled with alternative wording preapproved by the director. The bill requires a delivery sale permit holder to obtain valid proof of identity and age prior to delivery, and shall obtain the signature of a person age years of age or older as a condition of delivery. The department is required to administer the bill and may adopt rules necessary to enforce the bill. The bill requires a delivery sale permit holder to maintain records of premium cigars delivered for at least five years. The bill establishes procedures for the suspension of the delivery sale permit that are similar to procedures for the suspension of tobacco retailer permits under Code chapter 453A. The bill provides for increasing civil penalties for violations of the bill. The bill takes effect upon enactment.