To reduce youth usage of tobacco products, to enhance State efforts to eliminate retail sales of tobacco products to minors, and for other purposes.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Stop Adolescent Smoking Without 
Excessive Bureaucracy Act of 2008''.

SEC. 2. YOUTH COMPLIANCE TARGET AND ENFORCEMENT.

    (a) Amendment.--Section 1926 of the Public Health Service Act (42 
U.S.C. 300x-26) is amended to read as follows:

``SEC. 1926. STRENGTHENING STATE LAWS RELATING TO TOBACCO PRODUCT SALES 
              TO INDIVIDUALS UNDER THE AGE OF 18.

    ``(a) Relevant Law.--
            ``(1) In general.--Subject to paragraph (2), for fiscal 
        year 2010 and subsequent fiscal years, the Secretary may make a 
        grant under section 1921 only if the State involved has in 
        effect a law providing that--
                    ``(A) it is unlawful for any manufacturer, 
                retailer, or distributor of tobacco products to sell or 
                distribute any such product to any individual under 18 
                years of age;
                    ``(B) it is unlawful for an individual under 18 
                years of age--
                            ``(i) to purchase or attempt to purchase, 
                        or receive or attempt to receive, a tobacco 
                        product; or
                            ``(ii) to possess or attempt to possess a 
                        tobacco product in a public place;
                    ``(C) a law enforcement agency, upon determining 
                that an individual under 18 years of age allegedly 
                purchased or received a tobacco product, or allegedly 
                possessed a tobacco product in a public place, shall 
                notify the individual's parent or parents, custodian, 
                or guardian (if the name and address of a parent, 
                guardian, or custodian is reasonably ascertainable);
                    ``(D) within 180 days after the effective date of 
                such State law, any person engaged in the business of 
                distributing tobacco products at retail shall implement 
                a program--
                            ``(i) to notify each employee employed by 
                        that person who distributes tobacco products 
                        that State law prohibits the sale or 
                        distribution of tobacco products to any 
                        individual under 18 years of age and the 
                        purchase or receipt, or possession in a public 
                        place, of tobacco products by any such 
                        individual; and
                            ``(ii) to ensure compliance with such law;
                    ``(E) an employer shall not be in violation of the 
                prohibition described in subparagraph (A) if such 
                employer--
                            ``(i) relies upon proof of age that 
                        appeared on its face to be valid; or
                            ``(ii) implements a program in accordance 
                        with subparagraph (D); and
                    ``(F) an individual who violates the prohibition 
                described in subparagraph (B) may be liable for a civil 
                monetary penalty and may be required to perform 
                community service.
            ``(2) Delayed applicability for certain states.--In the 
        case of a State whose legislature does not convene a regular 
        session in fiscal year 2010, and in the case of a State whose 
        legislature does not convene a regular session in fiscal year 
        2011, the requirement described in paragraph (1) as a condition 
        of a receipt of a grant under section 1921 shall apply only for 
        fiscal year 2012 and subsequent fiscal years.
    ``(b) State Goals for Noncompliance.--Beginning with respect to the 
first applicable fiscal year, a funding agreement for a grant under 
section 1921 is that the State involved has established goals for 
reducing the rate of retailer violations of the law described in 
subsection (a), as determined through annual, random, unannounced 
inspections described in subsection (c)(2)(A), so that the rate of such 
violations relative to the number of inspections does not exceed the 
following:
            ``(1) 20 percent during fiscal year 2010.
            ``(2) 19 percent during fiscal year 2011.
            ``(3) 18 percent during fiscal year 2012.
            ``(4) 17 percent during fiscal year 2013.
            ``(5) 16 percent during fiscal year 2014.
            ``(6) 15 percent during fiscal year 2015.
            ``(7) 14 percent during fiscal year 2016.
            ``(8) 13 percent during fiscal year 2017.
            ``(9) 12 percent during fiscal year 2018.
            ``(10) 11 percent during fiscal year 2019.
            ``(11) 10 percent during fiscal year 2020 and each 
        subsequent year.
    ``(c) Enforcement.--
            ``(1) In general.--A funding agreement for a grant under 
        section 1921 is that the State involved will enforce the law 
        described in subsection (a) in a manner that can reasonably be 
        expected to achieve the goals established pursuant to 
        subsection (b) and reduce the extent to which tobacco products 
        are available to individuals under 18 years of age.
            ``(2) Activities and reports regarding enforcement.--A 
        funding agreement for a grant under section 1921 is that the 
        State involved will--
                    ``(A) annually conduct random, unannounced 
                inspections to ensure compliance with the law described 
                in subsection (a); and
                    ``(B) annually submit to the Secretary a report 
                describing--
                            ``(i) the activities carried out by the 
                        State to enforce such law during the fiscal 
                        year preceding the fiscal year for which the 
                        State is seeking the grant;
                            ``(ii) the extent of success the State has 
                        achieved in meeting the goals established 
                        pursuant to subsection (b) and in reducing the 
                        availability of tobacco products to individuals 
                        under 18 years of age; and
                            ``(iii) the strategies to be utilized by 
                        the State for enforcing such law during the 
                        fiscal year for which the grant is sought.
            ``(3) Use of individuals under 18 years of age in 
        inspections.--A funding agreement for a grant under section 
        1921 is that the State may engage an individual under 18 years 
        of age to test compliance with the law described in subsection 
        (a) only if--
                    ``(A) the testing is conducted with the written 
                consent of a parent or legal guardian of such 
                individual; and
                    ``(B) such individual acts under the direct 
                supervision of the State during a random, unannounced 
                inspection.
    ``(d) Use of State Settlement Proceeds.--A funding agreement for a 
grant under section 1921 is that the State involved certifies to the 
Secretary that, with respect to the calendar year preceding the year in 
which the State is applying for such a grant, the State expended more 
than 10 percent of the funds paid to the State for such calendar year 
as part of the comprehensive settlement of November 1998 (as referred 
to in section 1903(d)(3)(B)(i) of the Social Security Act) on health 
programs, tobacco control and cessation activities, or economic 
development for tobacco regions.
    ``(e) Noncompliance of State.--
            ``(1) Determination by secretary.--Before making a grant 
        under section 1921 to a State for any fiscal year, the 
        Secretary shall make a determination of whether the State has 
        maintained compliance with subsections (a), (b), (c), and (d).
            ``(2) Reduction of allotment.--Beginning with respect to 
        the first applicable fiscal year, if, after notice to the State 
        and an opportunity for a hearing, the Secretary determines that 
        the State is not in compliance with any of subsections (a), 
        (b), or (c), the Secretary shall reduce the amount of the 
        allotment under section 1921 for the State for the fiscal year 
        involved by an amount equal to--
                    ``(A) in the case of fiscal year 2010, 10 percent 
                of the amount determined under section 1933 for the 
                State for the fiscal year;
                    ``(B) in the case of fiscal year 2011, 20 percent 
                of the amount determined under section 1933 for the 
                State for the fiscal year;
                    ``(C) in the case of fiscal year 2012, 30 percent 
                of the amount determined under section 1933 for the 
                State for the fiscal year; and
                    ``(D) in the case of fiscal year 2013 or any 
                subsequent fiscal year, 40 percent of the amount 
                determined under section 1933 for the State for the 
                fiscal year.
            ``(3) Additional reduction.--Beginning with respect to the 
        first applicable fiscal year, if the Secretary determines under 
        paragraph (1) that the State is not in compliance with any of 
        subsections (a), (b), or (c), and is not in compliance with 
        subsection (d), the Secretary may reduce the amount of the 
        allotment under section 1921 for the State for the fiscal year 
        involved by an amount equal to 10 percent of the amount 
        determined under section 1933 for the State for such fiscal 
        year. Such reduction shall be in addition to the reduction 
        under paragraph (2).
    ``(f) Assistance in Implementing Programs.--In order to assist 
States in establishing and implementing State laws described in 
subsection (a), the Secretary shall--
            ``(1) develop not later than January 1, 2009, and 
        subsequently revise as appropriate, model legislative language; 
        and
            ``(2) provide technical assistance and guidance in 
        developing, enacting, and implementing such laws and in setting 
        goals pursuant to subsection (b).
    ``(g) Definition.--In this section, the term `first applicable 
fiscal year' means--
            ``(1) fiscal year 2012, in the case of any State described 
        in subsection (a)(2); and
            ``(2) fiscal year 2010, in the case of any other State.''.
    (b) Effective Date.--
            (1) In general.--The amendment made by subsection (a) shall 
        apply with respect to the first applicable fiscal year and each 
        subsequent fiscal year. The provisions of section 1926 of the 
        Public Health Service Act (42 U.S.C. 300x-26), as in effect on 
        the day before the date of the enactment of this Act, shall 
        apply with respect to fiscal years preceding the first 
        applicable fiscal year.
            (2) Definition.--In this subsection, the term ``first 
        applicable fiscal year'' has the meaning given such term in 
        subsection (g) of section 1926 of the Public Health Service Act 
        (42 U.S.C. 300x-26), as amended by subsection (a) of this 
        section.

SEC. 3. PUBLIC DISCLOSURE OF INGREDIENTS.

    Section 7 of the Federal Cigarette Labeling and Advertising Act (15 
U.S.C. 1335a) is amended--
            (1) in subsection (a), by striking ``the company which uses 
        the ingredients or''; and
            (2) by amending subsection (b)(2) to read as follows:
    ``(2) The Secretary shall make any information provided under this 
section accessible to the public on the Internet not later than 48 
hours after receipt by the Secretary.''.

Summary: Stop Adolescent Smoking Without Excessive Bureaucracy Act of 2008 - Amends the Public Health Service Act to set forth conditions for the receipt by states of federal substance abuse prevention and treatment grants.

Requires such states to: (1) prohibit a minor from purchasing or receiving a tobacco product or possessing a tobacco product in a public place; and (2) require law enforcement agencies to notify a minor's parent, custodian, or guardian whose name and address is reasonably ascertainable of any such violation.

Requires such states to require any person engaged in the business of distributing tobacco products at retail to implement a program to: (1) notify its employees that state law prohibits the sale or distribution of tobacco products to minors and the purchase, receipt, or possession in a public place of a tobacco product by a minor; and (2) ensure compliance with such law. Directs such states to provide for a civil monetary penalty or community service for violations.

Requires such states to have established goals for reducing the rate of retailer violations. Allows states to use minors to test compliance under certain conditions.

Directs such states to certify expenditure of more than 10% of the funds paid to the state as part of the comprehensive settlement of November 1998 against tobacco manufacturers on health programs, tobacco control and cessation activities, or economic development for tobacco regions.

Requires the Secretary of Health and Human Services to provide assistance to states in developing, enacting, and implementing such laws and in setting goals, including by developing model legislative language.