HB 782

ENROLLED
 2026 Regular Session
  ACT No. 920
 HOUSE BILL NO. 782
 BY REPRESENTATIVES BRASS, BACALA, BERAULT, BILLINGS, ROBBY
  CARTER, CARVER, CHASSION, CHENEVERT, DOMANGUE, EDMONSTON,
  FISHER, GALLE, GREEN, HEBERT, JACKSON, TRAVIS JOHNSON, KNOX,
  LAFLEUR, TERRY LANDRY, MACK, MARTINEZ, MURRAY, NEWELL,
  ORGERON, SPELL, STAGNI, WILEY, WYBLE, AND ZERINGUE
1AN ACT
2 To amend and reenact R.S. 26: 901(introductory paragraph), (1)(introductory paragraph),
3and (32)(introductory paragraph), 903(1) through (4), 911(B)(2), 916(B),
4918(A)(introductory paragraph) and (1) and (3) and 926.1(J) and (K), and R.S.
547:843(C)(3), and to enact R.S. 26:901(36), 901.1(D), 911(F), 914.1, 918(E), and
6926, and R.S. 47:841(B)(8), relative to vapor and alternative nicotine products and
7modified risk tobacco products; to provide for the definitions of an alternative
8nicotine product, a vapor product, and a nicotine analogue; to provide for facts and
9findings; to provide for an increase in permit fees; to require a wholesale dealer to
10verify that a retail dealer has a valid permit; to provide for requirements for certain
11permitted manufacturers and dealers of vapor products; to provide for limitations and
12requirements; to except certain sales of vapor products relative to affiliated entities;
13to provide for certain exceptions; to provide for the suspension or revocation of
14permits; to provide for the seizure and forfeiture of alternative nicotine and vapor
15products; to provide for penalties; to provide for submission of marketing approval
16of alternative nicotine products to the commissioner of the alcohol and tobacco
17commission; to provide for imposition of tax; to provide for use of stamps; to
18provide for severability; and to provide for related matters.
  Page 1 of 9
 CODING: Words in struck through type are deletions from existing law; words underscored
 are additions.
 HB NO. 782  ENROLLED
1 Be it enacted by the Legislature of Louisiana:
2Section 1. R.S. 26:901(introductory paragraph), (1)(introductory paragraph), and
3 (32)(introductory paragraph), 903(1) through (4), 911(B)(2), 916(B), 918(A)(introductory
4 paragraph) and (1) and (3) and 926.1(J) and (K) are hereby amended and reenacted and R.S.
5 26:901(36), 901.1(D), 911(F), 914.1, 918(E), and 926 are hereby enacted to read as follows:
6§901. Definitions
7As used in this Chapter, the following terms have the meaning meanings
8ascribed to them in this Section, unless the context clearly indicates otherwise:
9(1) "Alternative nicotine product" means any noncombustible product
10containing nicotine or a nicotine analogue that is intended for human consumption,
11whether chewed, absorbed, dissolved, or ingested by any other means. "Alternative
12nicotine product" does not include any of the following:
13*       *  *
14(32)   "Vapor product" means any noncombustible product containing
15nicotine, a nicotine analogue, or other substances that employs employ a heating
16element, power source, electronic circuit, or other electronic, chemical, or
17mechanical means, regardless of shape or size, that can be used to produce vapor
18from nicotine or other substances. "Vapor product" includes any electronic cigarette,
19electronic cigar, electronic cigarillo, electronic pipe, or similar product or device, and
20any vapor cartridge or other container of nicotine or nicotine analogue in a solution
21or other form that is intended to be used with or in an electronic cigarette, electronic
22cigar, electronic cigarillo, electronic pipe, or similar product or device. "Vapor
23product" does not include any of the following:
24*       *  *
25(36)(a) "Nicotine analogue" means a substance with either of the following
26characteristics:
27(i) The chemical structure is substantially similar to the chemical structure
28of nicotine.
  Page 2 of 9
 CODING: Words in struck through type are deletions from existing law; words underscored
 are additions.
 HB NO. 782  ENROLLED
1(ii) Has, purports to have, or is represented to have, an effect on the central
2nervous system that is similar to or greater than the effect of nicotine on the central
3nervous system.
4(b) Factors relevant to determining whether a substance is a nicotine
5analogue include but are not limited to the marketing, advertising, and labeling of the
6substance, and whether the substance has been manufactured, formulated, sold,
7distributed, or marketed with the intent to avoid the provisions of this Chapter and
8other applicable provisions of law.
9*       *  *
10§901.1. Facts and findings
11*       *  *
12D. The provisions of this Chapter shall not apply to lawful activities
13authorized pursuant to R.S. 40:1046 et seq. or R.S. 40:966(F), and regulated by the
14Louisiana Department of Health.
15*       *  *
16§903. Permit fees
17The fees for each permit shall not exceed amounts provided for in the
18following schedule and in accordance with regulations promulgated pursuant to the
19provisions of the Administrative Procedure Act:
20(1) Retail dealer permit – $ 25.00 $100.00 per year or any portion thereof.
21(2) Vending machine operator – $75.00 $300.00 per year or any portion
22thereof.
23(3) Vending machine – $5.00 $20.00 per machine per year or any portion
24thereof.
25(4) Wholesale dealer – $75.00 $300.00 per year or any portion thereof.
26*       *  *
27§911. Acts prohibited
28*       *  *
29B.
30*       *  *
  Page 3 of 9
 CODING: Words in struck through type are deletions from existing law; words underscored
 are additions.
 HB NO. 782  ENROLLED
1(2) No wholesale dealer shall sell tobacco products, alternative nicotine
2products, or vapor products for resale except to a retail dealer operating with either
3a valid registration certificate or a valid unsuspended permit. A wholesale dealer
4shall verify that a retail dealer is operating with either a valid registration certificate
5or a valid unsuspended permit prior to any sale of tobacco products, alternative
6nicotine products, or vapor products to a retail dealer.
7*       *  *
8F. No person shall sell, give, serve, deliver, or furnish to a person in this state
9a product that contains a nicotine analogue.
10*       *  *
11§914.1. Three-tier system for vapor products
12A.(1) A manufacturer of vapor products with a Louisiana permit shall not do
13any of the following:
14(a) Hold a retail dealer permit issued pursuant to this Chapter for the purpose
15of selling vapor products to Louisiana consumers.
16(b) Hold a wholesale dealer permit issued pursuant to this Chapter for the
17purpose of selling vapor products to Louisiana consumers.
18(c) Possess any direct or indirect financial interest in a wholesale or retail
19dealer of vapor products with a Louisiana permit.
20(d) Ship vapor products directly to a retail dealer with a Louisiana permit.
21(e) Sell vapor products directly to a retail dealer with a Louisiana permit for
22resale to Louisiana consumers.
23(f) Ship vapor products directly to a Louisiana consumer from an out-of-state
24or in-state seller.
25(2)(a) A wholesale dealer of vapor products with a Louisiana permit shall not
26hold a retail dealer permit issued pursuant to this Chapter for the purpose of selling
27vapor products to Louisiana consumers.
28(b)(i) A wholesale dealer with a Louisiana permit may sell or distribute
29vapor products or any other product covered by this Chapter to a retail dealer with
30a Louisiana permit that is an affiliated entity of the wholesale dealer.
  Page 4 of 9
 CODING: Words in struck through type are deletions from existing law; words underscored
 are additions.
 HB NO. 782  ENROLLED
1(ii) The term "affiliated entity" as used in this Subparagraph means any
2person or entity that directly or indirectly controls, is controlled by, or is under
3common control with another person or entity.
4(3) A retail dealer of vapor products with a Louisiana permit shall not do
5either of the following:
6(a) Hold a wholesale dealer permit issued pursuant to this Chapter for the
7purpose of selling vapor products to another retail dealer with a Louisiana permit.
8(b) Purchase vapor products from any person other than a wholesaler dealer
9with a Louisiana permit.
10B. The provisions of this Section do not apply to lawful marijuana or
11marijuana products authorized pursuant to R.S. 40:1046 et seq. and regulated by the
12Louisiana Department of Health.
13*       *  *
14§916. Suspensions or revocations
15*       *  *
16B. The commissioner shall have shall conduct periodic examinations made
17of the businesses of all persons holding permits under in accordance with this
18Chapter or of locations where tobacco products, vapor products, or alternative
19nicotine products are reasonably believed to be sold without permits. If a violation
20of the this Chapter or of any rule or regulation of the commissioner or the secretary
21is observed, the commissioner may give the permittee person a written warning. If
22the permittee person has been previously warned or if the violation is of a
23sufficiently serious nature, the commissioner may instruct any agent or employee of
24the commissioner to prepare and file, upon information and belief based upon the
25facts in hand available, a petition for assessing a fine, or suspension or revocation of
26the permit, setting forth the facts and circumstances of the violation, and shall
27thereupon summon the permittee person to appear and show cause why the permit
28should not be suspended or revoked or the fine not assessed.
29*       *  *
  Page 5 of 9
 CODING: Words in struck through type are deletions from existing law; words underscored
 are additions.
 HB NO. 782  ENROLLED
1§918. Civil penalties
2A. Notwithstanding any other provision of this Chapter to the contrary, the
3commissioner may, in lieu of or in addition to revocation or suspension of a permit
4issued under pursuant to the authority of this Chapter, impose the following schedule
5of fines to be paid into the state treasury:
6(1) For a first offense, not less than fifty dollars but not more than five
7hundred one thousand dollars.
8*       *  *
9(3) For a third offense, which occurs within two years of the first offense, not
10less than five hundred dollars but not more than two thousand five hundred four
11thousand dollars.
12*       *  *
13E. Notwithstanding any other provision of this Chapter to the contrary, for
14a violation of R.S. 26:913, the commissioner may impose the following schedule of
15fines to be paid into the state treasury:
16(1) For a first offense, not less than five hundred dollars but not more than
17one thousand dollars.
18(2) For a second offense, which occurs within two years of the first offense,
19not less than one thousand dollars but not more than two thousand dollars.
20(3) For a third offense, which occurs within two years of the first offense, not
21less than two thousand dollars but not more than four thousand dollars.
22*       *  *
23§926. Seizure and forfeiture of alternative nicotine products and vapor products in
24the possession of unpermitted retail dealers
25All alternative nicotine products and vapor products purchased, offered for
26sale, or sold for retail sale or to a consumer in this state in violation of this Chapter,
27including such products found on the premises of a business or any location
28operating without a permit in violation of this Chapter, are contraband and subject
29to forfeiture and shall not be purchased or sold for retail sale or to a consumer in this
30state. The commissioner may seize and destroy or dispose of such products. The cost
  Page 6 of 9
 CODING: Words in struck through type are deletions from existing law; words underscored
 are additions.
 HB NO. 782  ENROLLED
1of such seizure and destruction or disposal shall be borne by the person from whom
2the products are confiscated. Within twenty-one days of destroying or otherwise
3disposing of any such seized products, the commissioner shall provide an invoice to
4the person from whom the products are confiscated, and payment shall be due to the
5commissioner within twenty-one days of the person receiving the invoice.
6§926.1. Vapor product and alternative nicotine product directory
7*       *  *
8J.(1) The sale, offer for sale, possession, or transportation of vapor products
9or alternative nicotine products not listed on the directory for sale in this state or to
10a person in this state by any person, including a permitted wholesale dealer, or retail
11dealer, or a person without a permit, shall be subject to provisions of R.S. 47:858,
12859, and 860 as if such wholesale dealer or retail dealer did not possess a valid
13permit. the following penalties:
14(a) For a first offense, one thousand dollars.
15(b) For a second offense, which occurs within two years of the first offense,
16two thousand dollars, and the permit of the person shall be suspended for six months.
17(c) For a third offense, which occurs within two years of the first offense,
18four thousand five hundred dollars, and the permit of the person shall be revoked.
19(2) Each unit of vapor product or alternative nicotine product sold or offered
20for sale, possessed, or transported shall constitute a separate violation for purposes
21of Paragraph (1) of this Subsection.
22(3) The commissioner or the attorney general may bring an action in the
23courts of this state to enforce this Chapter and shall be entitled to recover the costs
24of the investigation, expert witness fees, the action, and reasonable attorney fees.
25(4) If a court determines that a person has violated this Section by having
26sold or distributed vapor products or alternative nicotine products not listed on the
27directory within the state or to a person in this state, the court shall order any profits,
28gains, gross receipts, or other benefits from the violation to be disgorged. Revenue
29received pursuant to this Paragraph shall be used to recover the costs of the
30investigation, expert witness fees, the action, and reasonable attorney fees, with any
  Page 7 of 9
 CODING: Words in struck through type are deletions from existing law; words underscored
 are additions.
 HB NO. 782  ENROLLED
1remaining funds to be used by the office of alcohol and tobacco control exclusively
2for compensating such agency for its costs expended in enforcing this Chapter,
3conducting the periodic examinations authorized by R.S. 26:916, and taking any
4resulting enforcement actions.
5(5) A second or subsequent violation of R.S. 26:926.1 is an unfair and
6deceptive trade practice within the meaning of R.S. 51:1405(A).
7(6) Revenue received through fines imposed by this Section shall be used by
8the office of alcohol and tobacco control exclusively for conducting the periodic
9examinations authorized by R.S. 26:926 and taking any resulting enforcement
10actions.
11K. Any other violation of this Section shall result in a fine of five hundred
12dollars per offense be subject to the provisions of R.S. 26:918.
13*       *  *
14Section 2.    R.S. 47:843(C)(3) is hereby amended and reenacted and R.S.
15 47:841(B)(8) is hereby enacted to read as follows:
16§841. Imposition of tax
17There is hereby levied a tax upon the sale, use, consumption, handling, or
18distribution of all cigars, cigarettes, smoking and smokeless tobacco, and vapor
19products and electronic cigarettes as defined herein, within the state of Louisiana,
20according to the classification and rates hereinafter set forth:
21*       *  *
22B. Cigarettes.
23*       *  *
24(8) Any tax imposed pursuant to this Subsection shall be reduced by sixty
25five percent for any product the secretary of the United States Department of Health
26and Human Services determines to be a modified risk tobacco product pursuant to
2721 U.S.C. 387k, as amended from time to time.
28*       *  *
29§843. Use of stamps or meter impression required; limitations
30*       *  *
  Page 8 of 9
 CODING: Words in struck through type are deletions from existing law; words underscored
 are additions.
 HB NO. 782  ENROLLED
1C. Purchase of stamps
2*       *  *
3(3) Cigarette tax stamps shall be sold by the secretary of the Department of
4Revenue to bonded, registered Louisiana tobacco dealers in the state of Louisiana
5who hold a valid stamping agent designation in accordance with R.S. 26:902(2)(a)
6and who have a direct purchasing contract with a manufacturer at a discount of five
7six and one-half percent from the face value, when purchased in quantities of not less
8than one hundred dollars face value, and the same provisions and discount shall
9apply where when the metered stamping machine or device is used. Wholesale
10tobacco dealers qualified to purchase Louisiana stamps with benefit of the discount
11described in this Paragraph shall receive the additional benefit of a ten percent
12discount on the purchase of Louisiana stamps to be applied to those products the
13United States Food and Drug Administration has determined to be a modified risk
14tobacco product.
15*       *  *
16Section 3. If any provision or item of this Act, or the application thereof, is held
17 invalid, including, but not limited to, any provision in violation of the single object rule set
18 forth in the Louisiana Constitution, Article 3, Section 15(A), such invalidity shall not affect
19 other provisions, items, or applications of this Act which can be given effect without the
20 invalid provision, item, or application, and to this end the provisions of this Act are hereby
21 declared severable.
  SPEAKER OF THE HOUSE OF REPRESENTATIVES
  PRESIDENT OF THE SENATE
  GOVERNOR OF THE STATE OF LOUISIANA
 APPROVED:
  Page 9 of 9
 CODING: Words in struck through type are deletions from existing law; words underscored
 are additions.