CODING: Words stricken are deletions; words underlined are additions.





                                                   HOUSE AMENDMENT

                                               Bill No. CS/HB 1941

    Amendment No.     (for drafter's use only)

                            CHAMBER ACTION
              Senate                               House
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 4                                                                

 5                                           ORIGINAL STAMP BELOW

 6

 7

 8

 9

10                                                                

11  Representative(s) Albright offered the following:

12

13         Amendment (with title amendment) 

14         On page 1, line 21,

15  remove from the bill:  everything after the enacting clause

16

17  and insert in lieu thereof:

18         Section 1.  Subsection (2) of section 210.05, Florida

19  Statutes, is amended to read:

20         210.05  Preparation and sale of stamps; discount.--

21         (2)  The division shall prescribe, prepare, and furnish

22  stamps of such denominations and quantities as may be

23  necessary for the payment of the tax imposed by this part, and

24  may from time to time and as often as it deems advisable

25  provide for the issuance and exclusive use of stamps of a new

26  design and forbid the use of stamps of any other design.

27  However, all stamps prescribed by the division must be

28  designed and furnished in a fashion that permits

29  identification of the agent or wholesale dealer that affixed

30  the stamp to the particular package of cigarettes by means of

31  a serial number or other mark on the stamp. The division shall

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                                                   HOUSE AMENDMENT

                                               Bill No. CS/HB 1941

    Amendment No.     (for drafter's use only)





 1  make provisions for the sale of such stamps at such places and

 2  at such time as it may deem necessary.

 3         Section 2.  Section 210.185, Florida Statutes, is

 4  created to read:

 5         210.185  Prohibition on sale or distribution of

 6  cigarettes; criminal penalties; administrative sanctions;

 7  applicability.--

 8         (1)  PROHIBITIONS.--It is unlawful for any person:

 9         (a)  To sell or distribute in this state; to acquire,

10  hold, own, possess, or transport, for sale or distribution in

11  this state; or to import, or cause to be imported, into this

12  state for sale or distribution in this state:

13         1.  Any cigarettes the package of which:

14         a.  Bears any statement, label, stamp, sticker, or

15  notice indicating that the manufacturer did not intend the

16  cigarettes to be sold, distributed, or used in the United

17  States, including but not limited to labels stating "For

18  Export Only," "U.S. Tax-Exempt," "For Use Outside U.S.," or

19  similar wording; or

20         b.  Does not comply with:

21         (I)  All requirements imposed by or under federal law

22  regarding warnings and other information on packages of

23  cigarettes manufactured, packaged, or imported for sale,

24  distribution, or use in the United States, including but not

25  limited to the precise warning labels specified in the Federal

26  Cigarette Labeling and Advertising Act, 15 U.S.C. 1333; and

27         (II)  All federal trademark and copyright laws;

28         2.  Any cigarettes imported into the United States in

29  violation of 26 U.S.C. 5754 or any other federal law, or

30  implementing federal regulations;

31         3.  Any cigarettes that a person otherwise knows or has

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                                                   HOUSE AMENDMENT

                                               Bill No. CS/HB 1941

    Amendment No.     (for drafter's use only)





 1  reason to know the manufacturer did not intend to be sold,

 2  distributed, or used in the United States; or

 3         4.  Any cigarettes for which there has not been

 4  submitted to the Secretary of the U.S. Department of Health

 5  and Human Services the list or lists of the ingredients added

 6  to tobacco in the manufacture of those cigarettes required by

 7  the Federal Cigarette Labeling and Advertising Act, 15 U.S.C.

 8  1335a;

 9         (b)  To alter the package of any cigarettes, before

10  sale or distribution to the ultimate consumer, so as to

11  remove, conceal, or obscure any statement, label, stamp,

12  sticker, or notice described in sub-subparagraph (a)1.a. or

13  any health warning that is not specified in or does not

14  conform with the requirements of the Federal Cigarette

15  Labeling and Advertising Act, 15 U.S.C. 1333;

16         (c)  To affix any stamp required under this part to the

17  package of any cigarettes described in paragraph (a) or

18  altered in violation of paragraph (b).

19         (2)  DOCUMENTATION.--On or before the tenth day of each

20  month, each person permitted to affix the tax stamp to

21  cigarettes shall file with the division, for all cigarettes

22  imported into the United States to which the person has

23  affixed the tax stamp in the preceding month, a copy of the

24  permit issued under the Internal Revenue Code, 26 U.S.C. 5713,

25  to the person importing the cigarettes into the United States

26  which allows that person to import those cigarettes; a copy of

27  the customs form containing, with respect to the cigarettes,

28  the internal revenue tax information required by the U.S.

29  Bureau of Alcohol, Tobacco and Firearms; and a statement,

30  signed by an officer of the manufacturer or importer under

31  penalty of perjury, certifying that the manufacturer or

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                                                   HOUSE AMENDMENT

                                               Bill No. CS/HB 1941

    Amendment No.     (for drafter's use only)





 1  importer has complied with the package health warning and

 2  ingredient reporting requirements of the Federal Cigarette

 3  Labeling and Advertising Act, 15 U.S.C. 1333 and 1335a, with

 4  respect to those cigarettes.

 5         (3)  CRIMINAL PENALTIES.--Any person who violates

 6  subsection (1), either knowing or having reason to know he or

 7  she is doing so, or who fails to comply with subsection (2),

 8  commits a felony of the third degree, punishable as provided

 9  in s. 775.082, s. 775.083, or s. 775.084.

10         (4)  ADMINISTRATIVE SANCTIONS.--

11         (a)  The division may revoke or suspend the permit of

12  any distributing agent or wholesale dealer, or the retail

13  tobacco dealer permit of any retailer, and impose on the

14  permittee a civil penalty, in an amount not to exceed the

15  greater of 500 percent of the retail value of the cigarettes

16  involved or $5,000, upon finding a violation of this section

17  or any implementing rule adopted by the division.

18         (b)  Cigarettes that are acquired, held, owned,

19  possessed, transported in, imported into, or sold or

20  distributed in this state in violation of this section are

21  considered contraband and are subject to seizure and

22  forfeiture under this part. Any cigarettes so seized and

23  forfeited shall be destroyed. The cigarettes are considered

24  contraband whether the violation of this section is knowing or

25  otherwise.

26         (5)  UNFAIR TRADE PRACTICES.--A violation of subsection

27  (1) or subsection (2) constitutes an unlawful trade practice

28  under part II of chapter 501 and, in addition to any remedies

29  or penalties set forth in this section is subject to any

30  remedies or penalties available for a violation of that part.

31         (6)  GENERAL PROVISIONS.--

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                                                   HOUSE AMENDMENT

                                               Bill No. CS/HB 1941

    Amendment No.     (for drafter's use only)





 1         (a)  The division shall enforce this section. However,

 2  at the request of the division, any law enforcement agency

 3  shall enforce this section.

 4         (b)  For the purpose of enforcing this act, the

 5  division and any agency to which the division has delegated

 6  enforcement responsibility may request information from any

 7  state or local agency, and may share information with, and

 8  request information from, any federal agency or any agency of

 9  any other state or any local agency thereof.

10         (c)  In addition to any other remedy provided by law,

11  including enforcement as provided in paragraph (a), any person

12  may bring an action for appropriate injunctive or other

13  equitable relief for a violation of this section; for actual

14  damages, if any, sustained by reason of the violation; and, as

15  determined by the court, for interest on the damages from the

16  date of the complaint, taxable costs, and reasonable

17  attorney's fees. If the trier of fact finds that the violation

18  is flagrant, it may increase recovery to an amount not in

19  excess of 3 times the actual damages sustained by reason of

20  the violation.

21         (7)  DEFINITIONS.--As used in this section, the term:

22         (a)  "Cigarette" means:

23         1.  Any roll of tobacco wrapped in paper or tobacco

24  leaf or in any substance not containing tobacco, including a

25  bidi, kretek, or other similar product, which is to be burned;

26         2.  Any roll of tobacco wrapped in any substance

27  containing tobacco, including a bidi, kretek, or other similar

28  product, which , because of its appearance, the type of

29  tobacco used in the filler, or its packaging or labeling is

30  likely to be offered to or purchased by consumers as a

31  cigarette described in subparagraph 1.; or

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                                                   HOUSE AMENDMENT

                                               Bill No. CS/HB 1941

    Amendment No.     (for drafter's use only)





 1         3.  Loose rolling tobacco that, because of its

 2  appearance, type, packaging, or labeling, is likely to be

 3  offered to or purchased by consumers as tobacco for making

 4  cigarettes.

 5         (b)  "Importer" means "importer" as that term is

 6  defined in 26 U.S.C. 5702(l).

 7         (c)  "Package" means "package" as that term is defined

 8  in 15 U.S.C. 1332(4).

 9         (8)  APPLICABILITY.--

10         (a)  This section does not apply to cigarettes allowed

11  to be imported or brought into the United States for personal

12  use and cigarettes sold or intended to be sold as duty-free

13  merchandise by a duty-free sales enterprise in accordance with

14  19 U.S.C. 1555(b) and any implementing regulations, but this

15  section does apply to any such cigarettes that are brought

16  back into the customs territory for resale within the customs

17  territory.

18         (b)  The penalties provided in this section are in

19  addition to any penalties imposed under any other law.

20         Section 3.  Section 210.19, Florida Statutes, is

21  amended to read:

22         210.19  Records to be kept by division.--The division

23  shall keep records showing the total amount of taxes

24  collected, which records shall be open to the public during

25  the regular office hours of the division. The division shall

26  maintain records that identify which agent or wholesale dealer

27  affixed the tax stamp to each package of cigarettes. The

28  identifying records must be made available for public

29  inspection and retained for at least 3 years.

30         Section 4.  If any provision of this act or the

31  application thereof to any person or circumstance is held

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                                                   HOUSE AMENDMENT

                                               Bill No. CS/HB 1941

    Amendment No.     (for drafter's use only)





 1  invalid, the invalidity does not affect other provisions or

 2  applications of the act which can be given effect without the

 3  invalid provision or application, and to this end the

 4  provisions of this act are declared severable.

 5         Section 5.  This act shall take effect October 1, 2000.

 6

 7

 8  ================ T I T L E   A M E N D M E N T ===============

 9  And the title is amended as follows:

10         On page 1, lines 2-18,

11  remove from the title of the bill:  all of said lines

12

13  and insert in lieu thereof:

14         An act relating to cigarettes; amending s.

15         210.05, F.S.; requiring the Division of

16         Alcoholic Beverages and Tobacco to design

17         cigarette tax stamps that will permit

18         identification of the agent or wholesale dealer

19         that affixes the stamp; creating s. 210.185,

20         F.S.; prohibiting the sale and distribution of

21         certain cigarettes not intended for sale or

22         distribution in this country; providing for

23         criminal penalties, administrative sanctions,

24         and unfair trade practices; providing for

25         enforcement by the Division of Alcoholic

26         Beverages and Tobacco; amending s. 210.19,

27         F.S.; requiring the division to maintain

28         specified records; providing an effective date.

29

30

31

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