2020 -- H 7841 | |
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LC004436 | |
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STATE OF RHODE ISLAND | |
IN GENERAL ASSEMBLY | |
JANUARY SESSION, A.D. 2020 | |
____________ | |
A N A C T | |
RELATING TO HEALTH AND SAFETY -- DEPARTMENT OF HEALTH | |
| |
Introduced By: Representatives Casimiro, McNamara, Vella-Wilkinson, Bennett, and | |
Date Introduced: February 26, 2020 | |
Referred To: House Health, Education & Welfare | |
It is enacted by the General Assembly as follows: | |
1 | SECTION 1. Title 23 of the General Laws entitled "HEALTH AND SAFETY" is hereby |
2 | amended by adding thereto the following chapter: |
3 | CHAPTER 1.12 |
4 | THE RHODE ISLAND VAPOR PRODUCTS REGULATORY AND LICENSURE ACT OF |
5 | 2020 |
6 | 23-1.12-1. Short title. |
7 | This act shall be known and may be cited as the "Rhode Island Vapor Products |
8 | Regulatory and Licensure Act of 2020." |
9 | 23-1.12-2. Application. |
10 | This chapter applies to the following: |
11 | (1) The commercial manufacturing, bottling, selling, bartering, or importing of e-liquid in |
12 | this state; |
13 | (2) The sale, possession, and use of e-liquid products in this state; and |
14 | (3) The sale, possession, and use of any vapor product in this state. |
15 | 23-1.12-3. Purpose. |
16 | The purpose of this chapter is to protect public health and safety by: |
17 | (1) Ensuring the safety and security of e-liquid and vapor products manufactured for sale |
18 | in this state; |
19 | (2) Ensuring that e-liquid and vapor products manufactured or sold in this state conforms |
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1 | to appropriate standards related to labeling, marketing, and appearance; and |
2 | (3) Ensuring that e-liquid and vapor products are not contaminated or adulterated by the |
3 | inclusion of ingredients or other substances that might pose unreasonable threats to public health |
4 | and safety. |
5 | 23-1.12-4. Definitions. |
6 | As used in this chapter: |
7 | (1) "Advertise" means the publication or dissemination of an advertisement. |
8 | (2) "Advertisement" means and includes any written or verbal statement, illustration, or |
9 | depiction which is calculated to induce sales of e-liquids or vapor products, including any written, |
10 | printed, graphic, or other material, billboard, sign, or other outdoor display, public transit card, |
11 | other periodical literature, publication, or in a radio or television broadcast, or in any other media; |
12 | except that such term shall not include: |
13 | (i) Any label affixed to any e-liquid or vapor product, or any individual covering, carton, |
14 | or other wrapper of such container that constitutes a part of the labeling under provisions of this |
15 | chapter. |
16 | (ii) Any editorial or other reading material (e.g., news release) in any periodical or |
17 | publication or newspaper for the publication of which no money or valuable consideration is paid |
18 | or promised, directly or indirectly, by any licensee, and which is not written by or at the direction |
19 | of the licensee. |
20 | (3) "Advertising sign" means any sign, poster, display, billboard, or any other stationary |
21 | or permanently affixed advertisement promoting the sale of e-liquids or vapor products which are |
22 | not manufactured, distributed, or sold on the same lot. |
23 | (4) "Applicant" means a person who applies for a permit under this chapter. |
24 | (5) "Delivery sale" means a sale of e-liquids or vapor products to a consumer in this state |
25 | in which the consumer submits the order for the sale: |
26 | (i) By telephone; |
27 | (ii) Over the Internet; or |
28 | (iii) Through the mail or another delivery system; and the e-liquids or vapor products are |
29 | shipped through a delivery service. "Delivery sale" does not include a sale of e-liquids or vapor |
30 | products not for personal consumption to a person who is a manufacturer, distributor, or retailer. |
31 | (6) "Delivery service" means a person, including the United States Postal Service, that is |
32 | engaged in the delivery of letters, packages, or containers. |
33 | (7) "Department" means the Rhode Island department of health. |
34 | (8) "Distributor" means a person who has a permit that: |
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1 | (i) Distributes, sells, barters, or exchanges e-liquid or vapor products in this state for the |
2 | purpose of resale; or |
3 | (ii) Purchases e-liquid or vapor products directly from a manufacturer or distributor for |
4 | the purpose of resale in this state. |
5 | (9) "E-liquid" means a substance that: |
6 | (i) May or may not contain nicotine; |
7 | (ii) Is intended to be vaporized and inhaled using a vapor product; and |
8 | (iii) Is a legal substance under the laws of this state and the laws of the United States. |
9 | (iv) E-liquid does not include cannabis, THC or CBD as defined under the laws of this |
10 | state and the laws of the United States. |
11 | (10) "Employee" means a person who works directly in the service of another person |
12 | under an express or implied contract of hire, and the employer has the direct right to control the |
13 | details of work performance. The term does not include a person who works for any independent |
14 | subcontractor, temporary service provider, or an entity or person not under the direct full control |
15 | of the employer. |
16 | (11) "Health-related statement" means any statement related to health, and includes |
17 | statements of a curative or therapeutic nature that, expressly or by implication, suggest a |
18 | relationship between the consumption of e-liquids or vapor products and health benefits, or |
19 | effects on health. |
20 | (12) "Flavoring" means a food grade additive or synthetic flavoring substance that is used |
21 | to add flavor and that is not prohibited by the federal Food and Drug Administration as an |
22 | additive in vapor products. |
23 | (13) "Manufacturer" means a person located inside of this state, including any repacker |
24 | and/or relabeler, that is engaged in manufacturing e-liquids or vapor products. |
25 | (14) "Manufacturing" means the process by which an e-liquid or vapor product is |
26 | fabricated, assembled, packaged or labeled, and is sealed in final packaging intended for |
27 | consumer use. |
28 | (15) "Market" or "marketing" means any act or process of promoting or selling of e- |
29 | liquids or vapor products, including, but not limited to, sponsorship of sporting events, point-of- |
30 | sale advertising, and promotion of products specifically designed to appeal to certain |
31 | demographics. |
32 | (16) "Minor" means an individual who is less than twenty-one (21) years of age. |
33 | (17) "Packaging" means any receptacle that contains e-liquid or a vapor product. |
34 | (18) "Permit" means a written authorization issued by the department entitling the holder |
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1 | to manufacture, sell, or otherwise deal in e-liquid or vapor products, as provided in this chapter. |
2 | (19) "Permittee" means a person who holds a valid permit under this chapter, including |
3 | an agent of, employee of, or other person acting on behalf of, a permittee. |
4 | (20) "Retailer" means a person, other than a manufacturer or distributor, who in the |
5 | ordinary course of the person's regular trade or business: |
6 | (i) Acquires any form of e-liquid or vapor products for the purpose of resale to final end |
7 | consumer; and |
8 | (ii) Sells an e-liquid or a vapor product to another person for money or other |
9 | consideration. |
10 | (21) "Sale" or "Sell" means give away, barter, exchange or otherwise furnish any vapor |
11 | product to any individual of legal age. |
12 | (22) "Shipping documents" means a bill of lading, airbill, or any document used as |
13 | evidence that a delivery occurred by a delivery service. |
14 | (23) "Tamper evident package" means a package having at least one indicator or barrier |
15 | to entry that, if breached or missing, can reasonably be expected to provide visible evidence to |
16 | consumers that tampering has occurred. |
17 | (24) "Vapor product" means a powered vaporizer that converts e-liquid to a vapor |
18 | intended for inhalation. |
19 | 23-1.12-5. Duties of the department. |
20 | The department has the following duties and responsibilities: |
21 | (1) To require the submission of information necessary to implement this chapter; |
22 | (2) To issue permits; |
23 | (3) To charge fees as set forth in this chapter. The fees charged under this chapter may |
24 | not exceed the actual costs incurred by the department; and |
25 | (4) To approve or deny a permit application made within sixty (60) days of receiving the |
26 | application. |
27 | 23-1.12-6. Permit requirements; Application. |
28 | (a) A manufacturer, distributor, or retailer shall not sell e-liquid or vapor products in this |
29 | state without a permit issued by the department under this chapter. |
30 | (b) A manufacturing permit issued by the department is valid for five (5) years from the |
31 | date of issuance. An application for a manufacturing permit must include the following: |
32 | (1) The name, telephone number, and address of the applicant; |
33 | (2) The name, telephone number, and address of the manufacturing facility; |
34 | (3) The name, telephone number, title, and address of the person responsible for the |
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1 | manufacturing facility; |
2 | (4) Verification that the facility will comply with applicable tobacco products good |
3 | manufacturing practices promulgated under 21 U.S.C. 387f(e) of the federal Food, Drug, and |
4 | Cosmetic Act; |
5 | (5) Verification that the manufacturer will comply with the applicable ingredient listing |
6 | required by 21 U.S.C. 387d(a)(l) of the federal Food, Drug, and Cosmetic Act; |
7 | (6) A nonrefundable initial application fee of one thousand dollars ($1,000); and |
8 | (7) The fees collected under this subsection shall be deposited in the vapor products |
9 | compliance fund. |
10 | (c) A distributor of e-liquid or vapor products may not distribute e-liquid or vapor |
11 | products in this state without a valid permit issued by the department under this chapter. A |
12 | distributor permit issued by the department is valid for one year from the date of issuance. |
13 | (d) An application for a distributor permit must include the following: |
14 | (1) The name, telephone number, and address of the applicant; |
15 | (2) The name, telephone number, and address of the distribution facility; |
16 | (3) The name, telephone number, title, and address of the person responsible for the |
17 | distribution facility; |
18 | (4) A nonrefundable initial application fee of five hundred dollars ($500); and |
19 | (5) The fees collected under this subsection shall be deposited in the vapor products |
20 | compliance fund. |
21 | (e) A retailer of e-liquid or vapor products may not sell e-liquid or vapor products in this |
22 | state without a valid permit issued by the department under this chapter. A retailer permit issued |
23 | by the department is valid for one year from the date of issuance. |
24 | (f) An application for a retailer permit must include the following: |
25 | (1) The name, telephone number, and address of the applicant; |
26 | (2) The name, telephone number, and address of the retail facility; |
27 | (3) The name, telephone number, title, and address of the person responsible for the retail |
28 | location; |
29 | (4) A nonrefundable initial application fee not to exceed twenty-five dollars ($25.00); and |
30 | (5) The fees collected under this subsection shall be deposited in the vapor products |
31 | compliance fund. |
32 | 23-1.12-7. Permit transfer -- Notice of changes. |
33 | (a) A permit may not be transferred: |
34 | (1) From the permit holder to another person; or |
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1 | (2) From the location where the permit was approved or renewed to another location; |
2 | unless approved by the department. |
3 | (b) The department shall allow a permit to be transferred under subsection (a) of this |
4 | section if the permit has not been suspended or revoked and the new permit holder or location |
5 | meets the requirements under this chapter. |
6 | (c) If the information required for the initial or renewal permit changes, the permit holder |
7 | shall notify the department within ten (10) business days of the change. If any change in the |
8 | information required for an application results in a violation of this chapter, the department may |
9 | impose a penalty as provided in this chapter. |
10 | 23-1.12-8. Issuance of permits; Reasons for denial. |
11 | (a) The department shall grant or deny a completed application for a permit within sixty |
12 | (60) days of receipt of the application. The department shall approve the application for issuance |
13 | of a permit if the department determines that all the requirements under this chapter have been |
14 | met. |
15 | (b) If the completed application for a permit is denied, the department must state the |
16 | reasons for the denial. If a completed application is denied under this section, the applicant may |
17 | reapply within thirty (30) days after the date of the denial. There is no application fee for a |
18 | reapplication under this subsection. |
19 | 23-1.12-9. Manufacturing, Labeling, Marketing and Safety requirements. |
20 | (a) Manufacturers, distributors, and retailers shall comply with the following |
21 | requirements: |
22 | (1) An e-liquid container must use a child proof cap that has the child resistant |
23 | effectiveness set forth in the federal poison prevention packaging standards, 16 CFR l |
24 | 700.15(b)(l); |
25 | (2) An e-liquid container must use a tamper evident package. The tamper evident package |
26 | feature must be designed to and remain intact when handled in a reasonable manner during the |
27 | manufacture, distribution, and retail display of the e-liquid container; |
28 | (3) The label on an e-liquid container must meet the nicotine addictiveness warning |
29 | statement requirements set forth in 21 CFR 1143.3; and |
30 | (4) Retailers in this state shall display signage stating that "unaccompanied minors are not |
31 | allowed on the premises", "products are not for sale to minors'', or "underage sales prohibited". |
32 | (b) A manufacturer, distributor, or retailer of e-liquids or vapor products shall not sell, |
33 | offer for sale, or distribute any e-liquid or vapor product with labeling or packaging made to be |
34 | attractive to minors. The labeling or packaging of an e-liquid or vapor product is attractive to a |
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1 | minor if it uses packaging or labeling that does any of the following: |
2 | (1) Contains the terms "candy'', "candies", "kandy", "kandeez", "bubble gum", "cotton |
3 | candy", "gummy bear", "cupcake", "soda pop", "lollipop", or "milkshake", or variants in spelling |
4 | of these terms; |
5 | (2) Depicts images of juice boxes, soft drinks, cereal, candy, or desserts; |
6 | (3) Depicts images of cartoons, toys, superheroes, children, and any other likeness to |
7 | images, characters, or phrases, such as "unicorn", that are or have been primarily marketed to |
8 | minors; |
9 | (4) Imitates or mimics trademark or trade dress of food products such as candy, cookies, |
10 | cereal, juice boxes, or soft drinks that are or have primarily been marketed towards minors; |
11 | (5) Depicts images or references to video games, movies, videos, or animated television |
12 | shows known to appeal to minors; |
13 | (6) Depicts the actual consumption of e-liquids or vapor products; |
14 | (7) Depicts a minor using e-liquids or vapor products; |
15 | (8) Makes any health, medicinal, or therapeutic claims about e-liquids or vapor products; |
16 | and |
17 | (9) Promotes overconsumption of e-liquids or vapor products. |
18 | (d) A manufacturer, distributor, or retailer of e-liquids or vapor products shall not |
19 | advertise or market any e-liquids or vapor products in a manner that does not adhere to the |
20 | following: |
21 | (1) All advertisements and marketing shall accurately and legibly identify the person |
22 | responsible for its content; |
23 | (2) Any advertising or marketing in broadcast, cable, radio, print, and digital |
24 | communications, or any event marketing or sponsorships, shall only be made where at least |
25 | eighty-five percent (85%) percent of the audience is reasonably expected to be twenty-one (21) |
26 | years of age or older, as determined by reliable, up-to-date audience composition data; |
27 | (3) All advertising shall be truthful and appropriately substantiated; |
28 | (4) Advertise or market in a manner that is materially false or untrue; |
29 | (5) Publish or disseminate advertising or marketing containing any statement concerning |
30 | a brand or product that is inconsistent with any statement on the labeling thereof; |
31 | (6) Advertise or market e-liquids or vapor products on an advertising sign within one |
32 | thousand feet (1,000) of a day care center, schools offering instruction in kindergarten or any of |
33 | grades one through twelve (12), inclusive, playground, or youth center. This shall not apply to the |
34 | placement of advertising signs inside a licensed premises and which are not readable by normal |
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1 | unaided vision from a public place or the public way; provided, that such advertising signs do not |
2 | advertise e-liquids or vapor products in a manner intended to encourage persons under the age of |
3 | twenty-one (21) years to consume e-liquids or vapor products; and |
4 | (7) Publish or disseminate advertising or marketing containing any health-related |
5 | statement that is untrue in any particular manner or tends to create a misleading impression as to |
6 | the health benefits of consumption. |
7 | 23-1.12-10. Record requirements and prohibitions. |
8 | (a) Any person selling e-liquids or vapor products to a consumer in this state shall have a |
9 | valid retailer permit under this chapter. |
10 | (b) A permit holder under this chapter shall retain all invoices for at least two (2) years. |
11 | (c) A manufacturer may use flavoring as an ingredient in e-liquid and a distributor, or |
12 | retailer may sell e-liquid containing flavors as defined in this chapter. |
13 | (d) A retailer shall not sell more than two (2) vapor products or five (5) bottles or |
14 | packages of e-liquids in one transaction to a final consumer under this chapter. |
15 | 23-1.12-11. Identification and use by minors. |
16 | (a) Before a retailer sells an e-liquid or vapor product to any purchaser, the person |
17 | selling, offering for sale, giving, or furnishing the e-liquid or vapor product shall verify that the |
18 | purchaser is of legal age by: |
19 | (1) For any sale by a brick and mortar retailer in this state, examining from any person |
20 | that appears to be under twenty-seven (27) years of age a government-issued photographic |
21 | identification that establishes the person is of legal age and verifying the identification presented |
22 | using third-party identification fraud detection software, technology or scanner that confirms the |
23 | authenticity of said identification; or |
24 | (2) For any delivery sale by a retailer to a purchaser in this state, performing an age |
25 | verification through an independent, third-party age verification software, service or technology |
26 | that compares information available from public records to the personal information entered by |
27 | the purchaser during the ordering process that establishes the purchaser is of legal age or older. |
28 | (b) A minor shall not purchase e-liquids or vapor products from any person and shall not |
29 | present to any retailer or other person any form of identification that falsely represents the minor's |
30 | appearance, identity or age. |
31 | (c) A minor shall not possess an e-liquid or vapor product. |
32 | (d) If a minor violates subsections (b) or (c) of this section, he or she is guilty of a petty |
33 | offense and the court may impose a sentence of twenty-five (25) hours of community service and |
34 | a fine of fifty dollars ($50.00) for a first violation. A second violation by a minor of subsections |
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1 | (b) or (c) of this section that occurs within twelve (12) months after the first violation is |
2 | punishable by a fine of seventy-five dollars ($75.00) and fifty (50) hours of community service. A |
3 | third or subsequent violation by a minor of subsections (b) or (c) of this section that occurs within |
4 | twelve (12) months after the first violation is punishable by a two hundred dollar ($200) fine and |
5 | fifty (50) hours of community service and shall result in a suspension of the minor's driver's |
6 | license for a period not to exceed six (6) months, if applicable. |
7 | 23-1.12-12. Delivery sales. |
8 | (a) A retailer may not make a delivery sale of e-liquid or vapor products without a retail |
9 | permit under this chapter. |
10 | (b) A retailer may not ship e-liquids or vapor products without first making a good faith |
11 | effort to verify the age of the purchaser of the e-liquids. |
12 | (c) Before e-liquids or vapor products are shipped in a delivery sale, a retailer must be |
13 | fully paid for the purchase and shall accept payment from the purchaser: |
14 | (1) By a check drawn on an account in the purchaser's name; |
15 | (2) By a credit card issued in the purchaser's name; or |
16 | (3) By a debit card issued in the purchaser's name. |
17 | (d) A retailer may ship e-liquids or vapor products only to a purchaser. |
18 | (e) A retailer taking a delivery sale order may request the electronic mail address of the |
19 | purchaser. |
20 | (f) Any retailer who completes delivery sales without a valid retail permit under this |
21 | chapter shall be considered an illegal sale under this chapter. |
22 | 23-1.12-13. Penalties and suspension -- Compliance with federal laws. |
23 | (a) If a manufacturer, distributor, or retailer violates this chapter, the manufacturer, |
24 | distributor, or retailer may be reprimanded, assessed a civil penalty, or have the manufacturer's |
25 | permit, distributor's permit, or retailer's permit revoked, as set forth herein. |
26 | (b) Any provision in this chapter that requires a manufacturer to comply with the federal |
27 | Food, Drug, and Cosmetic Act or a federal rule promulgated under the federal Food, Drug, and |
28 | Cosmetic Act is under the sole jurisdiction of the federal Food and Drug Administration. If the |
29 | federal Food and Drug Administration seeks court enforcement of any section of the federal |
30 | Food, Drug, and Cosmetic Act cited in this chapter and a civil monetary penalty is assessed |
31 | against the manufacturer, the act or omission for which the penalty was assessed constitutes a |
32 | violation of this chapter. |
33 | (c) The department may assess a civil penalty against a manufacturer, distributor, or |
34 | retailer for a violation of this chapter in an amount that does not exceed five thousand dollars |
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1 | ($5,000). A civil penalty may be assessed in addition to other penalties allowed under this |
2 | chapter, provided, however, that a retailer may not be penalized under this subsection and |
3 | subsection (d) of this section for the same transaction giving rise to the violation of the chapter. |
4 | (d) For sales to minors, the following civil penalties apply: |
5 | (1) If a retailer knowingly and intentionally sells e-liquid or vapor products to a minor or |
6 | knowingly, intentionally, or negligently fails to verify the age of a purchaser as required in this |
7 | chapter and sells the person and e-liquid or a vapor product, a civil judgment for an infraction |
8 | committed under this subsection must be imposed. The first violation in a thirty-six (36) month |
9 | period shall result in a two hundred fifty dollar ($250) penalty, a second violation in a thirty-six |
10 | (36) month period shall result in a fifteen hundred dollar ($1,500) penalty, a third violation and |
11 | subsequent violations in a thirty-six (36) month period shall result in a three thousand dollar |
12 | ($3,000) penalty under this chapter or revocation of retailer's license. |
13 | (2) If an employee knowingly and intentionally sells e-liquid or vapor products to a |
14 | minor, or knowingly, intentionally, or negligently fails to verify the age of a purchaser as required |
15 | in this chapter, a civil judgment for an infraction committed under this subsection must be |
16 | imposed. The first violation in a twenty-four (24) month period shall result in a one hundred fifty |
17 | dollar ($150) penalty for the employee, a second violation in a twenty-four (24) month period |
18 | shall result in a three hundred dollar ($300) penalty for the employee, and a third violation in a |
19 | twenty-four (24) month period shall result in a one thousand dollar ($1,000) penalty for the |
20 | employee. |
21 | (e) It is not a defense that the underage person to whom an e-liquid or vapor product was |
22 | sold or distributed did not inhale or otherwise consume the e-liquid or use the vapor product. |
23 | (f) The following defenses are available to a retail permit holder or employee accused of |
24 | selling or distributing e liquids or vapor products to a person who is a minor: |
25 | (1) The purchaser produced a government-issued photographic identification bearing the |
26 | purchaser's photograph showing that the purchaser was of legal age to make the purchase and the |
27 | third-party identification fraud detection scanner technology or software utilized confirmed the |
28 | authenticity of the purchaser's identification; |
29 | (2) The third-party age verification software or technology system used by the retailer |
30 | confirmed that the purchaser was of above the age of twenty-one (21); and |
31 | (3) The appearance of the purchaser was such that an ordinary prudent person would |
32 | believe that the purchaser does not appear to be under twenty-seven (27) years of age. |
33 | (g) Civil penalties collected under this chapter must be deposited in the vapor products |
34 | compliance fund. |
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1 | 23-1.12-14. Illegal third-party sales. |
2 | (a) Any person who sells an e-liquid or a vapor product without a proper permit shall be |
3 | subject to the following penalties: |
4 | (1) The first violation shall result in a minimum of a one thousand dollar ($1,000) |
5 | penalty; |
6 | (2) A second violation shall result in a minimum of a five thousand dollar ($5,000) |
7 | penalty; and |
8 | (3) A third violation shall result in a ten thousand dollar ($10,000) penalty. |
9 | (b) Any violation of this section that occurs on school property shall be considered an |
10 | aggravating factor and shall at a minimum be considered a misdemeanor under the laws of this |
11 | state. |
12 | 23-1.12-15. Vapor products compliance fund. |
13 | (a) The vapor products compliance fund is hereby created as a special fund under state |
14 | law. |
15 | (b) The vapor products compliance fund shall be utilized by the department for |
16 | enforcement of this chapter. |
17 | SECTION 2. This act shall take effect upon passage. |
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EXPLANATION | |
BY THE LEGISLATIVE COUNCIL | |
OF | |
A N A C T | |
RELATING TO HEALTH AND SAFETY -- DEPARTMENT OF HEALTH | |
*** | |
1 | This act would regulate the manufacture, distribution and retail sale of vapor products in |
2 | Rhode Island. This act would provide the department of health with the authority to oversee the |
3 | permitting for manufacturing, distribution and retail sale of vapor products. Also, this act would |
4 | set forth labeling, marketing, safety and record-keeping requirements for manufacturers, |
5 | distributors and retailers of vapor products. Also, this act prohibits the sale of vapor products to |
6 | minors and provides penalties for non-compliance. |
7 | This act would take effect upon passage. |
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