BILL NUMBER: SB 602 AMENDED
BILL TEXT
AMENDED IN SENATE APRIL 21, 2009
AMENDED IN SENATE APRIL 13, 2009
INTRODUCED BY Senator Padilla
(Coauthors: Senators Alquist, DeSaulnier, Leno,
Oropeza, and Romero)
FEBRUARY 27, 2009
An act to amend Section 22974.8 of, and to add Section 22973.3 to,
the Business and Professions Code, relating to retail tobacco sales.
LEGISLATIVE COUNSEL'S DIGEST
SB 602, as amended, Padilla. Retail tobacco sales: licenses.
The California Cigarette and Tobacco Products Licensing Act of
2003 requires a retailer to obtain a license from the State Board of
Equalization to engage in the sale of cigarette and tobacco products
in this state, requires a retailer to obtain a separate license for
each retail location, and authorizes the board to suspend or revoke
the license of any a retailer that is
in violation of the act.
This bill would prohibit the board from issuing a new license to a
retailer for a retail location in an area of overconcentration, as
defined. The bill would authorize the State Board of
Equalization board to issue a new license if the
local governing body of the area , or its designated
subordinate officer or body, in which the applicant
premises are located , or its designated subordinate officer or
body determines that public convenience or necessity would be
served by the issuance. The bill would require that determination to
be made within 90 days of notification of a completed application, as
specified, except that if the local governing body, or its
designated subordinate officer or body, did not make a determination
within 90 days, the State Board of Equalization would be authorized
to issue a license if the applicant shows that public convenience or
necessity would be served by the issuance.
Existing law, the Stop Tobacco Access to Kids Enforcement Act or
STAKE Act, establishes various requirements for retailers relating to
tobacco sales to minors. Existing law also makes it a misdemeanor
for a retailer to knowingly or under circumstances in which it has
knowledge, or should otherwise have grounds for knowledge, sell,
give, or in any way furnish a minor with tobacco products or
paraphernalia. Under existing law, violation of the STAKE Act or the
misdemeanor provision result in board action, on a set schedule,
relating to the licensure of the retailer when the youth purchase
survey finds that 13% or more of youth are able to purchase
cigarettes, and makes the board's authority inoperative when a youth
purchase survey shows less than 13% of youth were able to purchase
cigarettes.
This bill would allow the board to take action relating to the
licensure of retailers who have violated the STAKE Act and
misdemeanor provisions at any time, would require the enforcing
agency to notify the board of a conviction of a violation in a timely
manner, and would require the board to take appropriate action upon
that notification. This bill would delete the provision conditioning
the board's authority to take action against retailers on the results
of a youth purchase survey.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 22973.3 is added to the Business and
Professions Code, to read:
22973.3. (a) The State Board of Equalization shall not issue a
new license to a retailer for a retail location in an area of
overconcentration.
(b) Notwithstanding subdivision (a), the State Board of
Equalization may issue a new license if the local governing body of
the area in which the applicant's premises are located, or its
designated subordinate officer or body, determines within 90 days of
notification of a completed application that public convenience or
necessity would be served by the issuance. The 90-day period shall
commence upon receipt by the local governing body of (A) notification
by the State Board of Equalization of an application for licensure,
or (B) a completed application according to local requirements, if
any, whichever is later.
If the local governing body, or its designated subordinate officer
or body, does not make a determination within the 90-day period,
then the State Board of Equalization may issue a license if the
applicant shows the State Board of Equalization that public
convenience or necessity would be served by the issuance. In making
its determination, the State Board of Equalization shall not
attribute any weight to the failure of the local governing body, or
its designated subordinate officer or body, to make a determination
regarding public convenience or necessity within the 90-day period.
(c) For purposes of this section "area of overconcentration" means
an area where the ratio of retail licenses to population in the
census tract is greater than the ratio of retail licenses to
population in the county overall.
SEC. 2. Section 22974.8 of the Business and Professions Code is
amended to read:
22974.8. (a) (1) The board shall take action against a retailer,
convicted of a violation of either the STAKE Act (Division 8.5
(commencing with Section 22950) or Section 308 of the Penal Code,
according to the schedule set forth in subdivision (b).
(2) Convictions of violations by a retailer at one retail location
may not be accumulated against other locations of that same
retailer.
(3) Convictions of violations accumulated against a prior retail
owner at a licensed location may not be accumulated against a new
retail owner at the same retail location.
(4) Prior to suspending or revoking a retailer's license to sell
cigarette and tobacco products, the board shall notify the retailer.
The notice shall include instructions for appealing the license
suspension or revocation.
(b) (1) Upon the first conviction of a violation of either the
STAKE Act (Division 8.5 (commencing with Section 22950) or Section
308 of the Penal Code, the retailer shall receive a warning letter
from the board that delineates the circumstances under which a
retailer's license may by suspended or revoked and the amount of time
the license may be suspended or revoked. The retailer and its
employees shall receive training on tobacco control laws from the
State Department of Public Health upon a first conviction.
(2) Upon the second conviction of a violation of either the STAKE
Act (Division 8.5 (commencing with Section 22950)) or Section 308 of
the Penal Code within 12 months, the retailer shall be subject to a
fine of five hundred dollars ($500).
(3) Upon the third conviction of a violation of either the STAKE
Act (Division 8.5 (commencing with Section 22950)) or Section 308 of
the Penal Code within 12 months, the retailer shall be subject to a
fine of one thousand dollars ($1,000).
(4) Upon the fourth to the seventh conviction of a violation of
either the STAKE Act (Division 8.5 (commencing with Section 22950))
or Section 308 of the Penal Code within 12 months, the board shall
suspend the retailer's license to sell cigarette and tobacco products
for 90 days.
(5) Upon the eighth conviction of a violation of the STAKE Act
(Division 8.5 (commencing with Section 22950) or Section 308 of the
Penal Code within 24 months, the board shall revoke the retailer's
license to sell cigarette and tobacco products.
(c) The decision of the board to suspend or revoke the retailer's
license may be appealed to the board within 30 days after the notice
of suspension or revocation. All appeals shall be submitted in
writing.
(d) For any conviction of a violation of either the STAKE Act
(Division 8.5 (commencing with Section 22950) or Section 308 of the
Penal Code, the State Department of Public Health or other enforcing
agency shall notify the board of the conviction in a timely manner,
and the board shall take appropriate action pursuant to that
notification. If a state or local law enforcement agency does
not timely notify the board, the board may take action against a
retailer for the violation.
(e) For purposes of this section, "conviction of a violation"
includes a conviction under Section 308 of the Penal Code, or a final
administrative adjudication imposing a civil penalty under the STAKE
Act.