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E-Cigarette DiscussionW 0.i NO, �N aw�uur .......... : CITY OF HOPKINS Memorandum To: Honorable Mayor and Council Members From: Jim Genellie, Asst. City Manager Copy: Mike Mornson, City Manager Date: August 13, 2014 Subject: E -Cigarette Discussion The purpose of this discussion is to determine whether the City Council would like to proceed in amending City Code Section 1155 — Tobacco Ordinance to prohibit "vaping" in establishments that currently have a tobacco license. Background While the City of Hopkins has a number of Retail Establishments which sell e -cigarettes, there is only one licensed "vaping" studio, the Hopkins Vaping Studio. Sampling of e -cigarette products is a large part of this business. Current City Code prohibits the sampling of tobacco products in all Retail Establishments, as defined in 1155.04, Subdivision 5. Due to the uncertainty of how this language pertained to the sampling of e -cigarette products, the City Council adopted a moratorium ordinance on October 24, 2013. This ordinance allowed the Hopkins Vaping Studio to conduct sampling but prevented any new vaping studios until the City Council could further study this issue. This moratorium is scheduled to expire on October 24, 2014. Issues: Regulatory environment in Hopkins prior to e -cigarettes: MN Clean Indoor Air Act (MCIAA) prohibited indoor smoking in all retail establishments. The MCIAA permitted lighting of tobacco in retail tobacco shops by customers for sampling purposes whereas our City ordinance prohibited "sampling": 1155.10 Smoking Prohibited. It shall be unlawful for any person to light, inhale, or exhale tobacco, tobacco products, or tobacco related devices in any Retail Establishment, or for any License Holder or Licensee, or their employees, to permit the same Retail establishments are defined as: 1155.04, Subd. 5. Retail Establishment. "Retail Establishment" shall mean any place of business where tobacco, tobacco products, or tobacco related devices are available for sale to the general public. Retail establishments shall include, but not be limited to, grocery stores, convenience stores, and restaurants. 1010 First Street South Hopkins, MN 55343 Memo August 13, 2014 Despite having 18 tobacco licensees, the City only had to regulate no sampling in the retail tobacco stores. The MCIAA prohibited smoking or "sampling" in every other "retail establishment" in Hopkins, e.g. Holiday, Driskill's, Hopkins Tavern, etc. If the City wants to consider e -cigarettes as being covered by Section 1155.10, in order to prohibit the use of e -cigarettes indoors, this will apply to all "retail establishments" in Hopkins. This will raise enforcement issues as well as equity issues, for example e -cigarette use would be allowed in a bar/restaurant that does not sell tobacco but prohibited in a similar establishment that does sell tobacco products. The following options are available in regards to e -cigarettes: 1. Amend Section 1155.10 expressly allowing sampling of e -cigarettes. This will allow the current vaping studio to remain open and may result in additional vaping studios opening in Hopkins. 2. Amend Section 1155.10 to expressly prohibit sampling of e -cigarettes. This will prohibit sampling at the Vaping Studio as well as all Retail Establishments which sell tobacco. 3. Prohibit the use of e -cigarettes in all public places. This essentially expands the Clean Indoor Air Act to include vaping. The City, however, would have to enforce this. Attachment: List of Establishments with Tobacco Licenses 2014 Minnesota State Laws on E -Cigarettes Ordinance 2013-1068 Memo August 13, 2014 Page 3 Establishments with Tobacco Licenses Establishments the City had to enforce section 1155.10 before Establishments the City would need to enforce section 1155.10 after a -cigarettes -e-cigarettes Back Door Tobacco Back Door Tobacco Blake Grocery Casablanca Market Driskill's Foods Hopkins Express Holiday Stationstore 9261 Holiday Stationstore 9413 Hopkins Vaping Studio Jim's Liquor Liquor Store & More Mainstreet Bar MGM Liquor Midnite Market Richard's Liquor US Grocery & Tobacco Walgreens Walgreens # 6730 Memo August 13, 2014 Page 4 2014 Minnesota State Laws on E -Cigarettes Sec. 6. Minnesota Statutes 2012, section 144.414, is amended by adding a subdivision to read: Subd. 5. Electronic cigarettes. (a) The use of electronic cigarettes, including the inhaling or exhaling of vapor from any electronic delivery device, as defined in section 609.685, subdivision 1, is prohibited in the following locations: (1) any building owned or operated by the state, home rule charter or statutorci1y, county, township, school district, or other political subdivision; (2) anfacili1y owned by Minnesota State Colleges and Universities and the University of Minnesota, (3) an f�ty licensed by the commissioner of human services, or (4) an f�ty licensed by the commissioner of health, but only if the facility is also subject to federal licensing requirements. (b) Nothing in this subdivision shall prohibit political subdivisions or businesses from adopting more stringent prohibitions on the use of electronic cigarettes or electronic delivery devices. 609.685 SALE OF TOBACCO TO CHILDREN. Subdivision 1. Definitions. For the purposes of this section, the following terms shall have the meanings respectively ascribed to them in this section. (a) "Tobacco" means cigarettes and any product containing, made, or derived from tobacco that is intended for human consumption, whether chewed, smoked, absorbed, dissolved, inhaled, snorted, sniffed, or ingested by any other means, or any component, part, or accessory of a tobacco product; including but not limited to cigars; cheroots; stogies; perique; granulated, plug cut, crimp cut, ready rubbed, and other smoking tobacco; snuff, snuff flour; cavendish; plug and twist tobacco; fine cut and other chewing tobaccos; shorts; refuse scraps, clippings, cuttings and sweepings of tobacco; and other kinds and forms of tobacco. Tobacco excludes any tobacco product that has been approved by the United States Food and Drug Administration for sale as a tobacco -cessation product, as a tobacco -dependence product, or for other medical purposes, and is being marketed and sold solely for such an approved purpose. (b) "Tobacco -related devices" means cigarette papers or pipes for smoking or other devices intentionally designed or intended to be used in a manner which enables the chewing, sniffing, smoking, or inhalation of vapors of tobacco or tobacco products. Tobacco -related devices include components of tobacco -related devices which may be marketed or sold separately. (c) "Electronic delivery device" means My product containing or delivering nicotine, lobelia, or any other substance intended for human consumption that can be used by a person to simulate smoking in the delivery of nicotine or any other substance through inhalation of vapor from the product. Electronic delivery device includes any coMponent part of a product, whether or not marketed or sold separately. Electronic delivery device does not include any product that has been approved or certified by the United States Food and Drug Administration for sale as a tobacco - cessation product, as a tobacco -dependence product, or for other medical purposes, and is marketed and sold for such an approved purpose. Subd. la. Penalty to sell. (a) Whoever sells tobacco, tobacco -related devices, or electronic delivery devices to a person under the age of 18 years is guilty of a misdemeanor for the first violation. Whoever violates this subdivision a subsequent time within five years of a previous conviction under this subdivision is guilty of a gross misdemeanor. (b) It is an affirmative defense to a charge under this subdivision if the defendant proves by a preponderance of the evidence that the defendant reasonably and in good faith relied on proof of age as described in section 340A.503, subdivision 6. Subd. 2. Other offenses. (a) Whoever furnishes tobacco of, tobacco -related devices, or electronic delivery devices to a person under the age of 18 years is guilty of a misdemeanor for the first violation. Whoever violates this paragraph a subsequent time is guilty of a gross misdemeanor. (b) A person under the age of 18 years who purchases or attempts to purchase tobacco e , tobacco -related devices, or electronic delivery devices and who uses a driver's license, permit, Minnesota identification card, or any type of false identification to misrepresent the person's age, is guilty of a misdemeanor. Memo August 13, 2014 Page 5 Subd. 3. Petty misdemeanor. Except as otherwise provided in subdivision 2, whoever possesses, smokes, chews, or otherwise ingests, purchases, or attempts to purchase tobacco of tebaeee feWed tobacco -related devices, or electronic delivery devices and is under the age of 18 years is guilty of a petty misdemeanor. Subd. 4. Effect on local ordinances. Nothing in subdivisions 1 to 3 shall supersede or preclude the continuation or adoption of any local ordinance which provides for more stringent regulation of the subject matter in subdivisions 1 to 3. Subd. 5. Exceptions. (a) Notwithstanding subdivision 2, an Indian may furnish tobacco to an Indian under the age of 18 years if the tobacco is furnished as part of a traditional Indian spiritual or cultural ceremony. For purposes of this paragraph, an Indian is a person who is a member of an Indian tribe as defined in section 260.755, subdivision 12. (b) The penalties in this section do not apply to a person under the age of 18 years who purchases or attempts to purchase tobacco eiF, tobacco -related devices, or electronic delivery devices while under the direct supervision of a responsible adult for training, education, research, or enforcement purposes. Sec. 34. Minnesota Statutes 2012, section 609.6855, is amended to read: 609.6855 SALE OF NICOTINE DELIVERY PRODUCTS TO CHILDREN. Subdivision 1. Penalty to sell. (a) Whoever sells to a person under the age of 18 years a product containing or delivering nicotine or lobelia intended for human consumption, or any part of such a product, that is not tobacco or an electronic delivery device as defined by section 609.685, is guilty of a misdemeanor for the first violation. Whoever violates this subdivision a subsequent time within five years of a previous conviction under this subdivision is guilty of a gross misdemeanor. (b) It is an affirmative defense to a charge under this subdivision if the defendant proves by a preponderance of the evidence that the defendant reasonably and in good faith relied on proof of age as described in section 340A.503, subdivision 6. (c) Notwithstanding paragraph (a), a product containing or delivering nicotine or lobelia intended for human consumption, or any part of such a product, that is not tobacco or an electronic delivery device as defined by section 609.685, may be sold to persons under the age of 18 if the product has been approved or otherwise certified for legal sale by the United States Food and Drug Administration for tobacco use cessation, harm reduction, or for other medical purposes, and is being marketed and sold solely for that approved purpose. Subd. 2. Other offense. A person under the age of 18 years who purchases or attempts to purchase a product containing or delivering nicotine or lobelia intended for human consumption, or any part of such a product, that is not tobacco or an electronic delivery device as defined by section 609.685, and who uses a driver's license, permit, Minnesota identification card, or any type of false identification to misrepresent the person's age, is guilty of a misdemeanor. Subd. 3. Petty misdemeanor. Except as otherwise provided in subdivisions 1 and 2, whoever is under the age of 18 years and possesses, purchases, or attempts to purchase a product containing or delivering nicotine or lobelia intended for human consumption, or any part of such a product, that is not tobacco or an electronic delivery device as defined by section 609.685, is guilty of a petty misdemeanor. CITY OF HOPKINS HENNEPIN COUNTY, MINNESOTA ORDINANCE NO. 2013-1068 AN INTERIM ORDINANCE FORTHE PURPOSE OF PRO TECTINCKTHE PLANNING PROCESS AND THE HEALTH, SAFETY AND WELFARE OF CITY RESIDENTS; ANI) RESTRICTINGTI-1E USE, AND SALE OF E -CIGARETTES AND RELATED PRODUCTS THE, CITY COUNCIL OF THE CITY OF HOPKINS HEREBY ORDAINS AS FOLLOWS: Section 1. Back�round and Findigg)L. 1.01 The City Council has the power to adopt ordinances to provide for the government and good order of the city, the prevention of crime, the protection of public and private property, the benefit of trade and commerce, and the promotion of health, safety, order, convenience, and the general welfare. 1.02 Minnesota law gives cities the legal authority to regulate tobacco and tobacco related devices and the City of'Hopkins has elected to regulate tobacco products. 1.03 Plectronic cigarettes, commonly known as e -cigarettes, and other similar devices provide new methods for nicotine delivery that do not involve burning tobacco. ["l -cigarettes heat a liquid infused with nicotine and other unknown ingredients and the vapor is inhaled like tobacco smoke. l"requently, e -cigarettes and the liquid products are sold atlocations where Customers arc p , ermitted to "sample" the products on site before purchasing them, 1.04 The I'DA and the State of Minnesota have classified e -cigarettes as "tobacco products." There remain questions regarding this classification and the possible health effects of these products. 1.05 The State of Minnesota's only current regulation is to prohibit the sale of e -cigarettes to persons less than 18 years of age. The level of regulation varies widely among Minnesota cities. Some cities have simply treated the sale of e -cigarettes the same as any other tobacco product. Other cities have sought to ban their use in all public places. Some cities have no regulation at all. Hopkins currently permits the sale of e -cigarettes only in establishments licensed to sell tobacco products. Hopkins has no regulation regarding the use of e -cigarettes. 1 1.06 'Therefore, the City Council finds that there is a need for an interim ordinance to be adopted for the purpose of protecting the planning process and the health, safety and welfare of' the citizens of the City and to insure that the City and its citizens retain the benefits of the City's zoning ordinance while City staff completes such a Study. The City Council also finds that there is a need to restrict the sale of e -cigarettes to Current levels and locations and to not expand such sales until a study has been completed and any modifications to the City's regulations have been adopted. Therefore, it is not the intent of this ordinance to prohibit any business that has a license to sell tobacco at its current location and is operating lawfully and in accordance with all state, federal and municipal regulations at the time of" the adoption of this ordinance from continuing to sell e -cigarettes at that location but rather to maintain the status quo during the pendency of the planning study. In addition, the City Council finds that there is a need to restrict "sampling" of e -cigarette products to locations where the only products sold are e -cigarettes and the liquids used in them. Ordinance No. 2013-1068 -2- 1,07 Minnesota Statutes, Section 462.355, Subd. 4 allows the City of lJopkins to adopt this Interim Ordinance to protect the planning process. The City Council finds that adoption of this Interim Ordinance will protect the planning process and the health, safety and welfare of its citizens while the Planning Study is being conducted. Section 2. Planning and Zoning Study /Moratorium. 2.01. A study is authorized to be conducted by City staff to determine whether it is necessary to I f, amend the City's Existing Ordinances, Regulations and Official Controls or adopt new ordinances relating the use of e -cigarettes and similar devices. The scope of the study Should include, but is not limited to, the following: a. the particular zoning districts in which Such uses should be allowed as either permitted uses or conditional uses and the specific conditions which should be applicable to the sale and use of e -cigarettes as a conditional use; b. the density and concentration of such uses; c. the effect of such uses on other uses in the surrounding area; d. the need, if any, for modifications to the City's official controls or licensing regulations regarding such uses; and the effect of e -cigarette sellers' proximity to residential areas, Schools, Churches, cultural institutions, parks and playgrounds on the health and welfare of the citizens of Flopkins, especially the young. Section 3. Moratorium. A moratorium is hereby adopted and enacted prohibiting the creation, establishment or operation of any business in the City of Hopkins which sells e -cigarettes or the liquid products used in them other than those businesses which have current valid tobacco licenses as of the effective date of this Ordinance. Further, a moratorium is hereby adopted and enacted prohibiting any business currently licensed to sell tobacco which also sells e -cigarettes from allowing on-site sampling of e -cigarettes and related products except such licensees that sell only e -cigarettes and the liquids used in thern. This moratorium shall not prohibit license renewals of current license holders at their current locations. This Interim Ordinance is adopted for the purpose of" protecting the planning process pending completion of the Planning Study and the review of the completed Planning Study by the City Council. This Interim Ordinance and the moratorium imposed hereby shall remain in effect until the date that is one year after the effective date of this Interim Ordinance, or such earlier date as may hereafter be established by an Ordinance duly adopted by the City Council. The term of this Interim Ordinance and the moratorium imposed hereby may be extended for a reasonable period of time by Ordinance as may be necessary to complete the Planning Study authorized hereby and to adopt any necessary modifications to the City's Ordinances, Regulations and Official Controls. Section 4. Enforcement, The City may ent'orce the provision of this Interim Ordinance or enjoin any violation thereof' by mandamus, prohibitive or mandatory injunction or any other appropriate legal or equitable remedy, including, but not limited to, remedies and enforcement procedures provided in the statutes of the State of Minnesota or Ordinance of the City of Hopkins, in any Court of competent jurisdiction. Ordinance No. 2013-1068 -3- Section 5. Severability. 1 --,"very section, provision or part of' this Interim Ordinance is declared severable from every other section, provision or part, and if any portion of this Interim Ordinance is field invalid or unenforceable by a Court ol'competent jurisdiction, it shall not invalidate any other section, provision or part ol'this Interim Ordinance. Section 6. Effective Date. This Interim ()rdinance shall be effective the day of its publication. F'irst Reading: Second Reading: Date of Publication: 1-11" IT: Kristine 1.-.uedke, City Clerk APPROVED AS TO F(")RM AND LEGALITY: oc" C AttorneSignature Date October t, 2013 October 15, 2013 October 24, 2013 17 By: F -, ugen."M Mayor