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HomeMy WebLinkAboutOrd 316 Tobacco Sales ORDINANCE 316 CITY OF ORONO, HENNEPIN COUNTY, MINNESOTA AN ORDINANCE REPEALING AND REPLACING CITY CODE CHAPTER 5.12 ON TOBACCO SALES THE CITY COUNCIL OF ORONO ORDAINS: SECTION 1. Chapter 5.12 of the Orono City Code is hereby amended by repealing and replacing its existing language to read as follows: ARTICLE II. TOBACCO SALES Sec. 5.12.100. Purpose. The city recognizes that the sale of commercial tobacco,tobacco-related devices, electronic delivery devices, and nicotine or lobelia delivery products to persons under the age of 21 violates both state and federal law because commercial tobacco use has been shown to be the cause of many serious health problems which subsequently place a financial burden on all levels of government, this ordinance is intended to regulate the sale of commercial tobacco,tobacco-related devices, electronic delivery devices, and nicotine or lobelia delivery products for the purpose of enforcing and furthering existing laws, to protect youth and young adults against the serious health effects associated with use and initiation, and to further the official public policy of the state to prevent young people from starting to smoke, as stated in Minn. Stat. § 144.391, as it may be amended from time to time. Sec. 5.12.105. Applicability and Jurisdiction. This ordinance governs the licensing and regulation of the sale of tobacco, tobacco- related devices, electronic delivery devices, and nicotine or lobelia delivery products in the city of Orono in conformance with the minimum requirements of Minn. Stat. § 461. Sec. 5.12.110. Definitions. The following words, terms and phrases, when used in this article, shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meaning. Except as may otherwise be provided or clearly implied by context, all terms shall be given their commonly accepted definitions. 236900v1 Page 1 of 10 Child-resistant packaging. Packaging that meets the definition set forth in Code of Federal Regulations, title 16, section 1700.15(b), as in effect on January 1, 2015, and was tested in accordance with the method described in Code of Federal Regulations,title 16, section 1700.20, as in effect on January 1, 2015. Compliance checks means the system the city uses to investigate and ensure that those authorized to sell licensed products are following and complying with the requirements of this article. Compliance checks involve the use of persons under the age of 21 who purchase or attempt to purchase licensed products. Compliance checks may also be conducted by the city for educational, research, and training purposes or for investigating or enforcing federal, state, or local laws and regulations relating to licensed products. Electronic delivery device. Any product containing or delivering nicotine, lobelia, or any other substance, whether natural or synthetic, intended for human consumption through the inhalation of aerosol or vapor from the product. Electronic delivery device includes, but is not limited to, devices manufactured, marketed, or sold as e-cigarettes, e- cigars, e-pipes, vape pens, mods,tank systems, or under any other product name or descriptor. Electronic delivery device includes any component part of a product, whether or not marketed or sold separately. Electronic delivery device does not include any nicotine cessation product that has been authorized by the U.S. Food and Drug Administration to be marketed and for sale as "drugs," "devices," or"combination products,"as defined in the Federal Food, Drug, and Cosmetic Act. Licensed products. The term that collectively refers to any tobacco,tobacco-related device, electronic delivery device, or nicotine or lobelia delivery product. Loosies is the common term used to refer to single cigarettes, cigars, and any other licensed products that have been removed from their original retail packaging and offered for sale. Loosies does not include premium cigars that are hand-constructed, have a wrapper made entirely from whole tobacco leaf, and have a filler and binder made entirely of tobacco, except for adhesives or other materials used to maintain size,texture, or flavor. Movable place of business means any form of business operated out of a truck, van, automobile, or other type of vehicle or transportable shelter and not a fixed address storefront or other permanent type of structure authorized for sales transactions. Nicotine or lobelia delivery product. Any product containing or delivering nicotine or lobelia intended for human consumption, whether natural or synthetic, or any part of such a product, that is not tobacco, or an electronic delivery device as defined in this section. Nicotine or lobelia delivery product does not include any nicotine cessation product that has been authorized by the U.S. Food and Drug Administration to be marketed and for sale as "drugs," "devices," or"combination products," as defined in the Federal Food, Drug, and Cosmetic Act. 236900v1 Page 2 of 10 Retail establishment means any place of business where licensed products are available for sale to the general public. Retail establishments shall include but not be limited to grocery stores, convenience stores and restaurants. Sale means any transfer of goods for money, trade, barter or other consideration. Sampling means offering or allowing customers to try tobacco products furnished by the shop on the date the sampling occurs without monetary exchange for testing or instructional purposes and must be limited in duration and intent and shall not be used to circumvent restrictions on public smoking or establish de facto tobacco-use venues, such as lounges. Self-service display means open displays of licensed products in any manner where any person shall have access to the licensed products without the assistance or intervention of the licensee or the licensee's employee. and where a physical exchange of the licensed product from the licensee or the licensee's employee to the customer is not required in order to access the licensed products. Smoking. Inhaling, exhaling, burning, or carrying any lighted or heated cigar, cigarette, or pipe, or any other lighted or heated product containing, made, or derived from nicotine,tobacco, marijuana, or other plant, whether natural or synthetic,that is intended for inhalation. Smoking also includes carrying or using an activated electronic delivery device. Tobacco means any substance or item containing tobacco leaf, including but not limited to cigarettes; cigars; pipe tobacco; snuff; fine cut or other chewing tobacco; cheroots; stogies; perique; granulated,plug cut, crimp cut, ready-rubbed, and other smoking tobacco; snuff flowers; cavendish; shorts; plug and twist tobaccos; dipping tobaccos; refuse scraps, clippings, cuttings and sweepings of tobacco; and other kinds and forms of tobacco leaf prepared in such manner as to be suitable for chewing, sniffing or smoking. Tobacco does not include any nicotine cessation product that has been authorized by the U.S. Food and Drug Administration to be marketed and for sale as "drugs," "devices,"or"combination products," as defined in the Federal Food, Drug, and Cosmetic Act. Tobacco-related devices means any rolling papers, wraps, pipes, or other device intentionally designed or intended to be used with tobacco products. Tobacco-related devices include components of tobacco-related devices or tobacco products, which may be marketed or sold separately. Tobacco-related devices may or may not contain tobacco. Vending machine means any mechanical, electric or electronic, or other type of device which dispenses licensed products upon the insertion of money,tokens or other form of payment directly into or onto the device by any person. 236900v1 Page 3 of 10 (Ord. No. 164 2nd series, § 200(11), 12-8-1997; Ord. No. 126 3rd series, § 1, 11- 10-2014) Cross reference(s)—Definitions generally, § 1-2. Sec. 5.12.115. License. (A) License required. No person shall sell or offer to sell any licensed product without first having obtained a license to do so from the city. (B)Application. An application for a license to sell licensed products must be made on a form provided by the city. The application must contain the full name of the applicant, the applicant's residential and business addresses and telephone numbers, the name of the business for which the license is sought, and any additional information the city deems necessary. Upon receipt of a completed application, the City Clerk will forward the application to the City Council for action at its next regularly scheduled meeting. If the City Clerk determines that an application is incomplete, it will be returned to the applicant with notice of the information necessary to make the application complete. (C)Action. The City Council may approve or deny the application for a license, or it may delay action for a reasonable period of time to complete any investigation of the application or the applicant deemed necessary. If the City Council approves the application, the City Clerk will issue the license to the applicant. If the City Council denies the application, notice of the denial will be given to the applicant along with notice of the applicant's right to appeal the decision. (D) Term. All licenses issued are valid for one calendar year from the date of issue. (E) Revocation or suspension. Any license issued may be suspended or revoked following the procedures set forth in Section 5.12.150. (F) Transfers. All licenses issued are valid only on the premises for which the license was issued and only for the person to whom the license was issued. The transfer of any license to another location or person is prohibited. (G) Display. All licenses must be posted and displayed at all times in plain view of the general public in the retail establishment. (H) Renewals. The renewal of a license issued under this ordinance will be handled 236900v1 Page 4 of 10 in the same manner as the original application. The request for a renewal must be made at least 30 days,but no more than 60 days, before the expiration of the current license. (I) Issuance as a privilege and not a right. The issuance of a license is a privilege and does not entitle the license holder to an automatic renewal of the license. (J) Smoking prohibited. Smoking, including smoking for the purpose of the sampling of licensed products, is prohibited within the indoor area of any retail establishment licensed under this ordinance. (K) Samples prohibited. No person shall distribute samples of any licensed product free of charge or at a nominal cost. The distribution of licensed products as a free donation is prohibited. Sec. 5.12.120. Fees. No license will be issued under this ordinance until the appropriate license fees are paid in full. The fees will be established by the city's fee schedule and may be amended from time to time. Sec. 5.12.125. Basis for Denial of License. (A) Grounds for denying the issuance of or a renewal of a license include, but are not limited to, the following: 1) The applicant is under 21 years of age. 2) The applicant has been convicted within the past five years of any violation of a federal, state, or local law, ordinance provision, or other regulation relating to licensed products. 3) The applicant has had a license to sell licensed products suspended or revoked within the preceding 12 months of the date of application. 4) The applicant fails to provide any of the information required on the licensing application, or provides false or misleading information. 236900v1 Page 5 of 10 5) The applicant is prohibited by federal, state, or other local law, ordinance, or other regulation from holding a license. 6) The business for which the license is requested is a moveable place of business. Only fixed-location retail establishments are eligible to be licensed. 7)Any other suitable reason that the granting of a license to the applicant is inconsistent with public health, safety, and welfare, including the applicant's history of noncompliance with this ordinance and other laws relating to the sale of licensed products. (B) If a license is mistakenly issued or renewed to a person,the city will revoke the license upon the discovery that the person was ineligible for the license under this ordinance. The city will provide the license holder with notice of the revocation, along with information on the right to appeal. Sec. 5.12.130. Prohibited Sales. (A) In general.No person shall sell or offer to sell any licensed product: 1) By means of any type of vending machine. 2) By means of loosies. 3) Containing opium, morphine,jimson weed, belladonna, strychnos, cocaine, marijuana, or other deleterious, hallucinogenic,toxic, or controlled substances except nicotine and other substances found naturally in tobacco or added as part of an otherwise lawful manufacturing process. It is not the intention of this provision to ban the sale of lawfully manufactured cigarettes or other products subject to this ordinance. 4) By means of self-service display. All licensed products must be stored behind the sales counter, in a locked case, in a storage unit, or in another area not freely accessible to the general public. This section does not apply to retail stores that derive at least 90 percent of their revenue from tobacco and tobacco-related products and which cannot be entered by any person under the age of 21 (smoke shops). (Ord.No. 164 2nd series, § 800, 12-8-1997) State law reference(s)—Self-service sales, Minn. Stat. § 461.18. 236900v1 Page 6 of 10 (B)Legal age. No person shall sell any licensed product to any person under the age of 21 1) Licensees must verify by means of government-issued photographic identification containing the bearer's date of birth that the purchaser is at least 21 years of age. Verification is not required for a person over the age of 30. That the person appeared to be 30 years of age or older does not constitute a defense to a violation of this subsection. 2) Signage. Notice of the legal sales age, age verification requirement, and possible penalties for underage sales must be posted prominently and in plain view at all times at each location where licensed products are offered for sale. The required Signage, which will be provided to the licensee by the city, must be posted in a manner that is clearly visible to anyone who is or is considering making a purchase. (C)Liquid packaging.No person shall sell or offer to sell any liquid, whether or not such liquid contains nicotine, which is intended for human consumption and use in an electronic delivery device, in packaging that is not in child-resistant packaging. Upon request by the city, a licensee must provide a copy of the certificate of compliance or full laboratory testing report for the packaging used. Sec. 5.12.135. Responsibility. All licensees are responsible for the actions of their employees regarding the sale, offer to sell, and furnishing of licensed products on the licensed premises. The sale, offer to sell, or furnishing of any licensed product by an employee shall be considered an act of the licensee. Sec. 5.12.140. Compliance Checks and Inspections. (A) All licensed premises must be open to inspection by authorized city officials or their designees during regular business hours. (B) From time to time, but at least once per year, the city will conduct compliance checks to ensure compliance with all provisions of this ordinance. (C) In accordance with state law, the city will conduct a compliance check that involves the participation of a person at least 17 years of age, but under the age of 21 to enter the licensed premises to attempt to purchase licensed products. Prior written consent from a parent or guardian is required for any person under the age of 18 to participate in a compliance check. Persons used for the purpose of compliance checks will be supervised by law enforcement or other designated personnel. 236900v1 Page 7 of 10 Sec. 5.12.145. Exceptions and Defenses. (A)Religious, spiritual, or cultural ceremonies or practices. Nothing in this ordinance prevents the provision of tobacco or tobacco-related devices to any person as part of an indigenous practice or a lawfully recognized religious, spiritual, or cultural ceremony or practice. (B) Reasonable reliance. It is an affirmative defense to a violation of this ordinance. For a person to have reasonably relied on proof of age as described by state law. Sec. 5.12.150. Violations and Penalties. (a)Notice. Upon discovery of a suspected violation of this article, the alleged violator shall be issued, either personally or by mail, a citation that sets forth the alleged violation and which shall inform the alleged violator of his right to be heard on the accusation. (b)Hearings. If a person accused of violating this article so requests within thirty days of receipt of a citation, a hearing shall be scheduled, the time and place of which shall be published and provided to the accused violator. Failure to file an appeal within thirty days of the citation shall constitute a waiver of the person's right to a hearing. (c) Hearing officer. The city council shall serve as the hearing officer. (d) Decision. If the hearing officer determines that a violation of this article did occur, that decision, along with the hearing officer's reasons for finding a violation and the penalty to be imposed under section 5.12.130, shall be recorded in writing, a copy of which shall be provided to the accused violator. Likewise, if the hearing officer finds that no violation occurred or finds grounds for not imposing any penalty, such findings shall be recorded and a copy provided to the acquitted accused violator. (e)Appeals. Appeals of any decision made by the hearing officer shall be filed in the district court for the city in which the alleged violation occurred. (g) Continued violation. Each violation of this article, and every day in which a violation occurs or continues, shall constitute a separate offense. (Ord. No. 164 2nd series, § 1300, 12-8-1997; Ord. No. 178 3rd series, § 4, 10-10- 2016) 236900v1 Page 8 of 10 State law reference(s)—Administrative penalties, Minn. Stat. § 461.12, subds. 2, 3; appeals, Minn. Stat. § 461.12, subd. 7. Sec. 5.12.155. Administrative penalties. (a)Licensees. Any licensee found to have violated this article, or whose employee shall have violated this article, shall be charged an administrative fine pursuant to a penalty schedule determined by the city and published in the fee schedule adopted by the city council at a regularly scheduled council meeting. In addition, after the second offense,the license shall be suspended for not less than three days. After the third offense, the license shall be suspended for not less than seven days. (b) Employees of licensees and other individuals. Any individual 21 years of age or older who is found to be in violation of this ordinance may be subject to an administrative fine not exceeding fifty dollars ($50), or may be required to complete an instructional program on the requirements of the tobacco retail licensing ordinance, at the expense of the license holder. (c) Misdemeanor.Nothing in this section shall prohibit the city from seeking prosecution as a misdemeanor for any violation of this article by a person 21 years of age or older. (Ord. No. 164 2nd series, § 1400, 12-8-1997) State law reference(s)—Proof of age as defense, Minn. Stat. §§ 340A.503, subd. 6, 461.12, subd. 6. Sec. 5.12.160. Signs and Advertising Signs advertising any licensed product shall be governed by Orono Code § 6.12. (Ord. No. 164 2nd series, § 1100, 12-8-1997) Sec. 5.12.165. Smoking prohibited. It shall be unlawful for any person to smoke in any location where smoking is prohibited by the Minnesota Clean Indoor Air Act, or for any person to allow the same. 236900v1 Page 9 of 10 (Ord. No. 126 3rd series, § 2, 11-10-2014) Sec. 5.12.170-180. Reserved. Sec. 5.12.190. Severability. If any section or provision of this ordinance is held invalid, such invalidity will not affect other sections or provisions that can be given force and effect without the invalidated section or provision. Sec. 5.12.195. Effective Date. This ordinance becomes effective on the date of its publication, or upon the publication of a summary of the ordinance as provided by Minn. Stat. § 412.191 subd. 4, as it may be amended from time to time, which meets the requirements of Minn. Stat. § 331A.01, subd. 10, as it may be amended from time to time. Secs. 5.12.200-210. Reserved. SECTION 2. This ordinance shall take effect from and after its passage and publication. ADOPTED this 22 day of September, 2025 on a vote of ayes and Onays by the City Council of Orono, Minnesota. ATTEST: • Christine Lusi ity Clerk Bob Tunheim, Mayor Ordinance published in The Laker Pioneer newspapers the week of October 4, 2025. 236900v1 Page 10 of10