An Act to Provide for Licensing of and Tax Collection from Remote Retail Sellers of Pipe Tobacco and Premium Cigars
Maine Legislature, Session 131, LD 1923
Committee Amendment CA_A_S630 (Senate)
Amends: 22 MRSA §1551, 22 MRSA §1555-B, 22 MRSA §1555-C, 22 MRSA §1555-D, 36 MRSA §4402

COMMITTEE AMENDMENT " ^ " to S.P. 785, L.D. 1923, "An Act to Provide for
Licensing of and Tax Collection from Remote Retail Sellers of Pipe Tobacco and Premium
Cigars"
Amend the bill by striking out the title and substituting the following:
'An Act to Clarify Licensing and Tax Collection Regarding Remote Retail Sellers of
Premium Cigars'
Amend the bill by striking out everything after the enacting clause and inserting the
followmg:
'See. 1. 22 MRSA §1551, sub-§3-A, as enacted by PL 2003, c. 444, §1, is amended
to read:
3-A. Tobacco retailer. "Tobacco retailer" or "retailer" means a person located within
or outside the State who sells tobacco products to a person in the State for personal
consumption. "Tobacco retailer" or "retailer" does not include a remote retail seller located
outside the State,
Sec. 2. 22 MRSA §1551, sub-§6 is enacted to read:
6. Remote retail sale. "Remote retail sale" has the same meaning as in Title 36,
section 4401. subsection 4-B.
Sec. 3. 22 MRSA §1551, sub-§7 is enacted to read:
7. Remote retail seller. "Remote retail seller'Lhas the same meaning as in Title 36.
section 4401. subsection 4-C.
Sec. 4. 22 MRSA §1555-B, sub-§l, as amended by PL 2017,c. 308, §6, is further
amended to read:
1. Retail sales. Tobacco products, other than premium cigars sold by remote retail
sale. may be sold at retail only in a direct, face-to-face exchange in which the purchaser
may be clearly identified. For direct, face-to-face sales, employees who sell tobacco
products must be at least 17 years of age. An employee who is 17 years of age or older and
COMMITTEE AMENDMENT
COMMITTEE AMENDMENT " A " to S.P. 785, L.D. 1923 [ b-
under 21 years of age may sell tobacco products only in the presence of an employee who
is 21 years of age or older and is in a supervisory capacity.
Sec. 5. 22 MRSA §1555-C, as amended by PL 2009,c.398,§3 and affected by §6
and amended by c. 652, Ft. A,§30, is repealed.
Sec. 6. 22 MRSA §1555-D, first ^[, as amended by PL 2009, c. 398, §4 and affected
by §6, is further amended to read:
A person may not knowingly transport or cause to be delivered to a person in this State
a tobacco product purchased from a person who is not licensed as a tobacco retailer in this
State or a remote retail seller, except that this provision does not apply to the transportation
or delivery of tobacco products to a licensed tobacco distributor or tobacco retailer or from
a remote retail seller to a consumer.
Sec. 7. 22 MRSA§1555-G is enacted to read:
S1555-G. As^verification^^ fo of premium cigars
1. Requirements. A person accepting an order fo^a remote retail sale of premium
clears, includine, but not limited to. remote retail sellers. shall perform age verification
through an independent. Srd-partv age verification service that compares information
available from a commercially available database or aggregate of databases that are
regularly used by eovemment agencies and businesses for the purpose of age and identity
verification of the personal information entered by an individual during the ordering
process that establishes that the individual is 21 years of age or older,
2. Penalties. A person that violates this section commits a civil violation for which a
fine of not less than $50 and not more than $L500 may be adiudged for each violation. A
person that violates this section after having been previously adjudicated as violating this
section commits a civil violation for which a fine ofnot less than $ 1 .000 and not more than
$5,000 may be adiudged.
3. Enforcement. The Attorney General may bring an action to enforce this section in
District Court or Superior Court and may seek iniunctive relief, includine a preliminary or
fmal injunction, and fines. penalties and equitable relief and may seek to prevent orrestram
actions in violation of this section by a person or a person controlling_that person,
Sec. 8. 36 MRSA §4402, sub-§l, as amended by PL 2023,c.441, Pt. E, §10 and
affected by §28, is further amended to read:
1. Generally. Every distributor or remote retail seller shall obtain a license from the
State Tax Assessor before engaging in business. A retailer required to be licensed as a
distributor or remote retail seller pursuant to this chapter that is required to hold a current
retail tobacco license issued under Title 22, chapter 262-A, subchapter 1 must hold that
license as a condition for licensure under this chapter. A license issued pursuant to this
7 section may not be transferred to any other person. A license issued pursuant to this section
is not a license within the meaning of that term in the Maine Administrative Procedure Act.'
Amend the bill by relettering or renumbering any nonconsecutive Part letter or section
number to read consecutively.
Page2-131LR1465(02)
COMMITTEE AMENDMENT
COMMITTEE AMENDMENT " A " to S.P. 785, L.D. 1923 C^^b)
R^S
SUMMARY
This amendment, which is the minority report of the committee, replaces the bill and
changes the title. The amendment removes from the bill all references to pipe tobacco. It
also removes provisions related to tax collection that were enacted by Public Law 2023,
chapter 441. The amendment includes definitions of "remote retail sale" and "remote retail
seller" in the laws regarding retail tobacco licenses. It clarifies that the sale of premium
cigars online is legal and not required to be face-to-face. It updates the requirements for
age verification by remote sellers of premium cigars to account for online sales. It
elimmates the requirement for an out-of-state retail seller of premium cigars to be licensed
by the Department of Health and Human Services.
FISCAL NOTE REQUIRED
(See attached)
COMMITTEE AMENDMENT
Approved: 03/28/24 ^y'ss'CL
LD 1923 LR 1465(02)
An Act to Provide for Licensing of and Tax Collection from Remote Retail Sellers of Pipe Tobacco and
Premium Cigars
Fiscal Note for Bill as Amended by Committee Amendment "^'f ^,,
Committee: Health and Human Services
Fiscal Note Required: Yes
Fiscal Note
Minor cost increase - General Fund
Minor revenue increase - General Fund
Minor revenue increase - Other Special Revenue Funds
Correctional and Judicial Impact Statements
The additional workload associated with the minimal number of new cases filed in the court system does not require
additional funding at this time. The collection of additional fines will increase General Fund or other dedicated
revenue by minor amounts.
Fiscal Detail and Notes
Any additional costs to the Office of the Attorney General associated with enforcement are anticipated to be minor
and can be absorbed within existing budgeted resources.
LR1465(02) - Fiscal Note - Page 1 of 1