STATUS:
A4471-A   Hochberg (MS)
Public Health Law
TITLE....Increases penalties for illegal sales of tobacco products to minors
02/10/99   referred to health
03/23/99   reported referred to codes
06/02/99   reported referred to ways and means
06/16/99   reported referred to rules
06/17/99   rules report cal.978
06/17/99   ordered to third reading rules cal.978
06/17/99   passed assembly
06/17/99   delivered to senate
06/17/99   REFERRED TO RULES
01/05/00   DIED IN SENATE
01/05/00   RETURNED TO ASSEMBLY
01/05/00   committed to rules
02/01/00   rules committee discharged and committed to ways and means
03/03/00   amend and recommit to ways and means
03/03/00   print number 4471a
05/15/00   reported referred to rules
05/30/00   rules report cal.576
05/30/00   ordered to third reading rules cal.576
05/30/00   passed assembly
05/30/00   delivered to senate
05/30/00   REFERRED TO RULES
06/14/00   SUBSTITUTED FOR S4896A
06/14/00   3RD READING CAL.1445
06/14/00   PASSED SENATE
06/14/00   RETURNED TO ASSEMBLY
08/18/00   delivered to governor
08/30/00   signed chap.405



SUMMARY:

Amd SS1399-ee & 1399-ff, Pub Health L; amd S1607, Tax L
Increases civil penalties for illegal sales of tobacco products by retail to minors; provides for warnings, suspensions, permanent
revocations, public notice of violations, and suspensions and revocations of lottery sales licenses.
Eff. Date 09/01/2000


SPONSORS MEMO:

                                 NEW YORK STATE ASSEMBLY
                         MEMORANDUM IN SUPPORT OF LEGISLATION
                        submitted in accordance with Assembly Rule III, Sec 1(e)


BILL NUMBER: A4471A

SPONSOR: Hochberg (MS)

TITLE OF BILL:  An act to amend the public health law and the tax law,
in relation to increasing penalties for sales of tobacco products to
minors

PURPOSE OR GENERAL IDEA OF BILL: This bill seeks to impose and
increase penalties on businesses which sell tobacco products to minors.
It will increase fines and affect the business' tobacco and lottery
licenses when violations occur.

SUMMARY OF SPECIFIC PROVISIONS:  Section 1 increases the penalty for a
first violation from one hundred dollars to three hundred dollars, but
not to exceed one thousand dollars, and increases the penalty for subse-
quent violations to a minimum of five hundred dollars but not to exceed
one thousand five hundred dollars.  Additionally, a civil penalty of
twenty-five hundred dollars will be imposed if a dealer is caught sell-
ing while a license has been revoked.  If dealers violate this article
two times their license will be suspended for six months. With three or
more violations the license is revoked.  If the dealer violates this
article three or more times the license is revoked for one year.  If the
dealer continues to sell tobacco under suspension the license will be
permanently revoked.  In addition, the name and address of the violator
and the number of times he or she has violated the action will be
published in a general circulation newspaper in the locality where the
retailer is located.
Sections 2 and 3 deal with lottery licenses.  If the dealer violates
this article and is under a second violation then the health commission-
er notifies the lottery division and the lottery license will be
suspended for six months.  Under a third violation the lottery license
will be permanently revoked after notification of the lottery division
by the health commissioner.

JUSTIFICATION: Selling tobacco to young people is an especially
deplorable act.  Those who would violate the law and sell tobacco to
children need to be penalized more harshly than present law allows.  The
profits made by selling cigarettes to children far exceed the mere one
hundred dollar penalty for a violation.  Strong disincentives to those
who sell tobacco products to young people are needed.
Young people who do not smoke are significantly less likely to take up
smoking as a result.  By averting early addiction to tobacco, fewer
people will become adult smokers.  Furthermore, the public health costs
of smoking are well documented.  There will be significant savings to
taxpayers from having fewer children develop an addiction to tobacco.
Ultimately, the responsibility for purchasing tobacco lies with the
purchaser.  However, this bill will make dealers think twice before
selling to a minor.

PRIOR LEGISLATIVE HISTORY:
New bill.

FISCAL IMPLICATIONS:
None to state.  Increase in revenues from increased penalties.

EFFECTIVE DATE:
This act shall take effect September 1, 1999.


CHAPTER TEXT:
 

                          LAWS OF NEW YORK, 2000

CHAPTER 405

  AN  ACT  to  amend the public health law and the tax law, in relation to
    increasing penalties for sales of tobacco products to minors

      Became a law August 30, 2000, with the approval of the Governor.
            Passed by a majority vote, three-fifths being present.

    The People of the State of New York, represented in Senate and  Assem-
  bly, do enact as follows:

    Section 1. Subdivision 2 and paragraph (a) of subdivision 3 of section
  1399-ee of the public health law, as added by chapter 799 of the laws of
  1992, are amended and a new subdivision 4 is added to read as follows:
    2.  If  the  enforcement  officer  determines  after  a hearing that a
  violation of this article has occurred, he or she shall impose  a  civil
  penalty  of  a minimum of [one] three hundred dollars, but not to exceed
  [three hundred] one thousand dollars for a first violation, and a  mini-
  mum of five hundred dollars, but not to exceed one thousand five hundred
  dollars  for  each subsequent violation.   The enforcement officer shall
  advise the retail dealer that upon a finding of any subsequent violation
  of this section the  department  of  taxation  and  finance  can  either
  suspend or revoke the dealer's registration.  If the enforcement officer
  determines  after  a  hearing  that  a retail dealer was selling tobacco
  products while their registration was either  suspended  or  permanently
  revoked  pursuant to paragraph (a) of subdivision three of this section,
  he or she shall impose a civil penalty of twenty-five hundred dollars.
    (a) (1) If the enforcement officer determines, after a hearing, that a
  retail dealer has violated this article [three times within a  two  year
  period,  or  four  or more times cumulatively] twice he or she shall, in
  addition to imposing any other penalty required  or  permitted  by  this
  section,  direct the commissioner of taxation and finance to suspend the
  dealer's registration for [one year] six months.  The enforcement  offi-
  cer  shall advise the dealer that upon a finding of a third violation of
  this section such dealer's registration shall be revoked.
    (2) If the enforcement officer determines, after  a  hearing,  that  a
  retail  dealer  has  violated this article three or more times he or she
  shall, in addition to imposing any other penalty required  or  permitted
  by  this  section,  direct  the  commissioner of taxation and finance to
  revoke the dealer's registration for one year.
    (3) If the enforcement officer determines, after  a  hearing,  that  a
  retail  dealer  has  violated  this article while their registration was
  suspended pursuant to either subparagraph one or two of this  paragraph,
  he  or  she shall, in addition to imposing any other penalty required or
  permitted by this section,  direct  the  commissioner  of  taxation  and
  finance  to  permanently revoke the dealer's registration and not permit
  the dealer to obtain a new registration.
    4. The department shall publish a notification of the name and address
  of any retailer violating the provisions of this  section  and  indicate
  the  number  of  times  the  dealer  has violated the provisions of this

  EXPLANATION--Matter in italics is new; matter in brackets [-] is old law
                               to be omitted.

  CHAP. 405                          2

  section. The notification shall be published in a newspaper  of  general
  circulation in the locality in which the retailer is located.
    §  2.  Subdivision  3  of section 1399-ff of the public health law, as
  added by chapter 799 of the laws of 1992, is amended to read as follows:
    3. The enforcement officer shall promptly notify the  commissioner  of
  taxation  and finance and the director of the division of the lottery of
  any determination, made after a hearing, that a violation of this  arti-
  cle  has  occurred  together  with  a direction to such commissioner and
  director with respect to any action to be taken concerning  registration
  under  section  four hundred eighty-a of the tax law and licensing under
  section sixteen hundred seven of the tax law.
    § 3. Section 1607 of the tax law is amended by adding a  new  subdivi-
  sion h to read as follows:
    h.  A  violation  of  article  thirteen-F  of the public health law as
  provided in this subdivision:
    1. A license shall be suspended  for  a  period  of  six  months  upon
  notification  to the division by the commissioner of health of a lottery
  sales agent's second violation  of  article  thirteen-F  of  the  public
  health law.
    2.  A  license  shall  be permanently revoked upon notification to the
  division by the commissioner of health of a lottery sales agent's  third
  violation of article thirteen-F of the public health law.
    § 4. This act shall take effect September 1, 2000.

  The Legislature of the STATE OF NEW YORK ss:
    Pursuant  to  the authority vested in us by section 70-b of the Public
  Officers Law, we hereby jointly certify that  this  slip  copy  of  this
  session law was printed under our direction and, in accordance with such
  section, is entitled to be read into evidence.

     JOSEPH L. BRUNO                                     SHELDON SILVER
  Temporary President of the Senate               Speaker of the Assembly


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