BILL NUMBER: SB 603 AMENDED
BILL TEXT
AMENDED IN SENATE MAY 18, 2009
AMENDED IN SENATE APRIL 28, 2009
AMENDED IN SENATE APRIL 15, 2009
INTRODUCED BY Senator Padilla
(Principal coauthor: Assembly Member Beall)
(Coauthors: Senators DeSaulnier, Leno, Oropeza, and
Romero)
FEBRUARY 27, 2009
An act to amend 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. This
bill would allow, under specified circumstances, a retailer to
transfer an existing license to another person for continued use at
the same location upon the sale or transfer of the business holding
the license, if the business is in an area where the number of
current licenses exceeds the specified limit.
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
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.
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) 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 renewal for those licenses with
a license fee of one hundred dollars ($100) per location. The fee
shall not be prorated.. prorated.
(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 ($100).
(e) An application for renewal shall be in the form as prescribed
by the board, which may include, but not be limited to, the name,
address, and telephone number of the applicant, business name,
address, and telephone number of each retail location, and any other
information as the board deems necessary for the proper
administration of this division.
SEC. 3. Section 22973.3 is added to the Business and Professions
Code, to read:
22973.3. (a) The number of licenses issued shall be limited to
one for each 2,500 persons, or fraction thereof, over 18 years of age
in the county in which the retail facilities are situated. No new
license shall be issued for a county in which the number of current
licenses is more than one for every 2,500 persons, or fraction
thereof, 18 years of age or older. Applications shall be granted, if
they meet the requirements of this chapter, in the order in which
they are received. The subdivision shall not preclude the renewal of
any existing license or the transfer of any existing license.
(b) In
(b) (1)
Notwithstanding any other law, subject to approval by the board, in
an area where the number of current licenses exceeds the amount
allowed by subdivision (a), a retailer may transfer an
existing license may be transferred to another
person only for the continued use at the same location upon
the sale or transfer of the business holding the license.
license, only to a person who otherwise meets the
requirements for the issuance of a new license, and only after first
providing 30 days notice to the board together with an application
for transfer, all transfer documents, and evidence that the
transferee would meet the requirements for the issuance of a new
license.
(2) The application for transfer shall be in the form as
prescribed by the board and contain any information that the board
may require. A transfer fee of ____ dollars ($____) shall be
submitted with each application.
(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 a license.
(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.
period, the license shall be deemed denied.
(d) This section shall not preempt a local jurisdiction from
adopting an ordinance that is more restrictive than this section with
regard to retailers.
(e) The population in a county shall be determined by the annual
population estimate for California counties published by the
Population Research Unit of the Department of Finance.
(f) In an area where the number of current licenses exceeds the
number allowed by subdivision (a), the board may reinstate an expired
license within six months after its expiration.
(g) The Department of Alcoholic Beverage Control shall, upon
request, provide to the board any licensure information, including,
but not limited to, applications, license issuance, license
transfers, license denials, or any other information necessary to
administer this chapter. The State Department of Public Health shall,
upon request, provide to the board any information, including, but
not limited to, statewide information on the annual Youth Tobacco
Purchase Survey, STAKE Act compliance checks, California retailers
and youth tobacco control laws, or any other information necessary to
administer this chapter.