BILL NUMBER: SB 603	AMENDED
	BILL TEXT

	AMENDED IN SENATE  APRIL 28, 2009
	AMENDED IN SENATE  APRIL 15, 2009

INTRODUCED BY   Senator Padilla
   (Principal coauthor: Assembly Member Beall)
   (Coauthors: Senators DeSaulnier, Oropeza, and Romero)

                        FEBRUARY 27, 2009

   An act to amend  Section   Sections 22972 and
 22973 of, and to add Section 22973.3 to, the Business and
Professions Code, relating to retail tobacco sales.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 603, 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, and requires retailer licensees to pay a one-time
license fee of $100, no renewal fee, and a reinstatement fee of $100
if the license is renewed after lapse, and authorizes the board to
suspend or revoke the license of any retailer of tobacco products
that is in violation of the act.
   Existing law requires all moneys collected pursuant to the act to
be deposited in the Cigarette and Tobacco Products Compliance Fund,
which is available for appropriation by the Legislature solely for
the purpose of implementing, enforcing, and administering the
California Cigarette and Tobacco Products Licensing Act of 2003.
   This bill would limit the number of new retail licenses available,
as specified. The bill would set the renewal fee at $100.
   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 22972 of the  
Business and Professions Code   is amended to read: 
   22972.  (a) Commencing June 30, 2004, a retailer shall have in
place and maintain a license to engage in the sale of cigarettes or
tobacco products. A retailer that owns or controls more than one
retail location shall obtain a separate license for each retail
location, but may submit a single application for those licenses.
   (b) The retailer shall conspicuously display the license at each
retail location in a manner visible to the public.
   (c) A license is not assignable or transferable. A person who
obtains a license as a retailer who ceases to do business as
specified in the license, or who never commenced business, or whose
license is suspended or revoked, shall immediately surrender the
license to the board.
   (d) A license shall be valid for a 12-month period  upon
issuance of the licence pursuant to Section 22973.1, unless
surrendered, suspended, or revoked prior to the end of the 12-month
period  , and  shall   may  be renewed
annually  upon payment of the fee prescribed in subdivision (d)
of Section 22973  . 
   (e) Any subsequent license issued to a retailer that owns or
controls more than one retail location shall be valid for a partial
year period from the start date of the new license to the end of the
12-month period of the initial license. After a partial year period,
all licenses held by a retailer that owns or controls more than one
retail local shall be valid for the same 12-month period as a
retailer's initial license. 
   SECTION 1.   SEC. 2.   Section 22973 of
the Business and Professions Code is amended to read:
   22973.  (a) An application for a license shall be filed on or
before April 15, 2004, on a form prescribed by the board and shall
include the following:
   (1) The name, address, and telephone number of the applicant.
   (2) The business name, address, and telephone number of each
retail location. For applicants who control more than one retail
location, an address for receipt of correspondence or notices from
the board, such as a headquarters or corporate office of the
retailer, shall also be included on the application and listed on the
license. Citations issued to licensees shall be forwarded to all
addressees on the license.
   (3) A statement by the applicant affirming that the applicant has
not been convicted of a felony and has not violated and will not
violate or cause or permit to be violated any of the provisions of
this division or any rule of the board applicable to the applicant or
pertaining to the manufacture, sale, or distribution of cigarettes
or tobacco products. If the applicant is unable to affirm this
statement, the application shall contain a statement by the applicant
of the nature of any violation or the reasons that will prevent the
applicant from complying with the requirements with respect to the
statement.
   (4) If any other licenses or permits have been issued by the board
or the Department of Alcoholic Beverage Control to the applicant,
the license or permit number of those licenses or permits then in
effect.
   (5) A statement by the applicant that the contents of the
application are complete, true, and correct. Any person who signs a
statement pursuant to this subdivision that asserts the truth of any
material matter that he or she knows to be false is guilty of a
misdemeanor punishable by imprisonment of up to one year in the
county jail, or a fine of not more than one thousand dollars
($1,000), or both the imprisonment and the fine.
   (6) The signature of the applicant.
   (7) Any other information the board may require.
   (b) The board may investigate to determine the truthfulness and
completeness of the information provided in the application. The
board may issue a license without further investigation to an
applicant for a retail location if the applicant holds a valid
license from the Department of Alcoholic Beverage Control for that
same location.
   (c) The board shall provide electronic means for applicants to
download and submit applications.
   (d) (1)  An initial   A  license fee of
one hundred dollars ($100) shall be submitted with each application
 and application for renewal  . An applicant that owns or
controls more than one retail location shall obtain a separate
license for each retail location  , but may submit a single
application or application for re   newal for those licenses
with a license fee of one hundred   dollars ($100) per
location. The fee shall not be prorated.  . 
   (2) The initial license fee required by this subdivision does not
apply to an application for renewal of a license for a retail
location for which the fee has already been paid. For renewal
licenses, the fee shall be one hundred dollars ($100). If a license
is reinstated 
    (2)     If a license is reinstated 
after its expiration, the retailer, as a condition precedent to its
reinstatement, shall  also  pay a reinstatement fee of one
hundred dollars ($100). 
   (e) An application for renewal shall be in the form as prescribed
by the board, which may include, but not be limited to, the name,
address, and telephone number of the applicant, business name,
address, and telephone number of each retail location, and any other
information as the board deems necessary for the proper
administration of this division. 
   SEC. 2.   SEC. 3.   Section 22973.3 is
added to the Business and Professions Code, to read:
   22973.3.  (a) The number of licenses issued shall be limited to
one for each 2,500 persons, or fraction thereof, over 18 years of age
in the county in which the retail facilities are situated. No new
license shall be issued for a county in which the number of current
licenses is more than one for every 2,500 persons, or fraction
thereof, 18 years of age or older. Applications shall be granted, if
they meet the requirements of this chapter, in the order in which
they are received. The subdivision shall not preclude the renewal of
any existing license or the transfer of any existing license.
   (b) In an area where the number of current licenses exceeds the
amount allowed by subdivision (a), an existing license may be
transferred only for the continued use at the same location upon the
sale or transfer of the business holding the license.
   (c) (1) 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 either of the
following:
   (A) Notification by the State Board of Equalization of an
application for licensure
   (B) A completed application according to local requirements, if
any, whichever is later.
   (2) 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.

   (d) This section shall not preempt a local jurisdiction from
adopting an ordinance that is more restrictive than this section with
regard to retailers.