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  • FDA to Allocate $200M Toward Combating Illicit Vapes

    FDA to Allocate $200M Toward Combating Illicit Vapes

    As part of the continuing resolution passed by Congress and signed yesterday (November 12) by US President Donald Trump to reopen the government, the Food and Drug Administration (FDA) will be required to allocate at least $200 million of its $712 million in user fees toward enforcing regulations on electronic nicotine delivery systems (ENDS). Of this amount, $2 million will support a multi-agency task force, including the Justice Department and Homeland Security, aimed at cracking down on illegal ENDS products imported from China and other countries.

    The FDA is also required to update its 2020 ENDS enforcement guidance within one year to include flavored disposable vapes and clarify the definition of disposable ENDS products. In addition, the law updates the Imports and Exports section of the Food, Drug, and Cosmetic Act to include tobacco products, strengthening the FDA’s authority to regulate their import alongside food, drugs, devices, and cosmetics.

    The agency must provide semi-annual reports to Congress on efforts to remove illegal ENDS products from the market, with the first report due within 180 days of enactment (November 12). The FDA is also expected to submit a report detailing its work to educate retailers on which products are legally allowed for sale.

  • North Dakota Rejects Tobacco Tax Increase

    North Dakota Rejects Tobacco Tax Increase

    Representatives in the North Dakota House rejected a bill Wednesday (March 12) that would raise taxes on nicotine products with the funds earmarked for a tobacco distribution fund. Senate Bill 2281 would have raised taxes on cigarettes by 25 cents a pack and levied higher taxes on vapes, chewing tobacco, and other nicotine products.

    The bill had passed in the Senate, but this week the House Finance and Taxation Committee took a closer look at the idea and said in some cases tobacco goods could be taxed twice and create larger black market sales.

    “If a tax policy was bad last month, it’s still bad today,” Rep. Ty Dressler said. “Senate Bill 2281 implements a large tax increase and a regressive one at that. Most of the impact falls on those that can afford it the least. It may harm retailers, increase black market trade, and weaken economic growth.”

  • Kentucky Retailer License Bill Passes House

    Kentucky Retailer License Bill Passes House

    With Wednesday’s House vote of 82-11 on S.B. 100, Kentucky moved a step closer to forcing retailers who sell nicotine to have a license. The House made some changes to the bill that the Senate approved in February —that the Senate will have to vote on — but kept the licensing requirements laid out by Sen. Jimmy Higdon in place.

    Under the bill, Kentucky would license all retailers who sell tobacco and vape products, giving the Department of Alcoholic Beverage Control inspection and enforcement powers over them, similar to those it exercises over alcohol retailers. It would also fine retailers who sell nicotine products to minors and give half the money collected in fines to a youth prevention program.