Effective at the beginning of this year, retailers in Oregon must have a tobacco retail license to sell commercial tobacco products and Inhalant Delivery Systems (IDS, also known as “e-cigarettes” or “vape”), per Senate Bill 587. The new Tobacco Retail License law lets the state more accurately track where tobacco is being sold and ensure that businesses follow tobacco laws, including not selling to people under age 21.
“Nearly 90% of people who use tobacco start before they turn 18. So, this law protects young people’s health today, and reduces the likelihood that they will become addicted to nicotine,” said North Central Public Health (NCPHD) District Director Shellie Campbell. “One in six tobacco retailers inspected in 2019 sold tobacco illegally to people under 21. For flavored products, which are most popular with kids, it was one in five. This law is an important step in stopping those sales.”
In Wasco, Sherman and Gilliam counties, most retailers who were expected to apply have done so. According to a press release from NCPHD, the tobacco industry spends more than $100 million annually on marketing in Oregon, including products and promotions designed to appeal to youth.
Tobacco retail licensing has been proven in other states to reduce youth sales and youth tobacco use, putting a wrench in the industry’s tactics. (Oregon was previously one of only seven states that didn’t require a tobacco retail license.)
Retailers can obtain an annual license for $953 from the Department of Revenue at go.usa.govxe999.
The fee is used entirely to support the cost of running the licensing program and conducting inspections; no other revenues are generated.
There are three exceptions to the law: Retailers operating on tribal lands are exempt. Retailers licensed by the Oregon Liquor and Cannabis Commission or the Oregon Medical Marijuana Program to sell inhalant delivery systems without nicotine are also exempt.
Retailers in most counties that already had a tobacco retail license program will continue to follow county, licensing. See the Statewide Tobacco Retail License (details at go.usa.gov/xe999).
For the first six months the law is in effect (Jan. 1–June 30), the Oregon Health Authority and local public health authorities will conduct outreach to help retailers access education materials and comply with tobacco laws. Free resources for retailers are available at www.healthoregon.org/tobaccoretailsales.
The law includes consequences for retailers that don’t follow the law, such as fines and/or loss of license. Starting Jan. 1, the Department of Revenue began checking if retailers have a license. Public health inspections — and associated penalties — are to ensure that retailers are complying with tobacco laws will begin July 1.
The law also eliminates penalties for youth purchase, use and possession of tobacco products, which will help reduce interactions between youth of color and police, and put responsibility on those who sell tobacco illegally, not on youth.
People who see or experience a retailer selling tobacco products without a license or to someone younger than 21, can report it to Tobacco.Inspections@state.or.us or 971-673-0984.
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