Part 1. COMPTROLLER OF PUBLIC ACCOUNTS
Subchapter JJ. CIGARETTE AND TOBACCO PRODUCTS REGULATION
The Comptroller of Public Accounts proposes an amendment to §3.1202, concerning warning notice signs. Subsection (d) is being amended pursuant to Senate Bill 91 and Senate Bill 143, 80th Legislature, 2007. Senate Bill 91 and Senate Bill 143 both amended the health warning notice signs to include wording informing the public of the health risks to women who smoke while pregnant and the possible effects smoking can have on babies born to women who smoke while pregnant. Subsection (b) is amended to delete reference to the telephone numbers for Telecommunication Device for the Deaf (TDD). Non-substantive changes are also made to improve grammar and general readability.
John Heleman, Chief Revenue Estimator, has determined that for the first five-year period the rule will be in effect, there will be no significant revenue impact on the state or units of local government.
Mr. Heleman also has determined that for each year of the first five years the rule is in effect, the public benefit anticipated as a result of enforcing the rule will be by expanding the dissemination of notices warning pregnant women and their babies about the potential health affects of smoking and clarifying the associated responsibilities of tobacco retailers. This rule is adopted under Tax Code, Title 2, and does not require a statement of fiscal implications for small businesses. There is no significant anticipated economic cost to individuals who are required to comply with the proposed rule.
Comments on the proposal may be submitted to Bryant K. Lomax, Manager, Tax Policy Division, P.O. Box 13528, Austin, Texas 78711-3528.
This amendment is proposed under Tax Code, §111.002 and §111.0022, which provides the comptroller with the authority to prescribe, adopt, and enforce rules relating to the administration and enforcement of the provisions of Tax Code, Title 2, and taxes, fees, or other charges which the comptroller administers under other law.
The amendment implements Health and Safety Code, §161.084.
§3.1202.Warning Notice Signs.
(a) Warning Notice Signs. Each person who sells cigarettes or tobacco products at retail or by vending machines must post a warning notice sign in a location that is conspicuous to all employees and customers and that is close to the cash register, check-out stand, or vending machine where cigarettes or tobacco products may be purchased. It is a violation to intentionally fail to display a sign as prescribed by this section (a Class C misdemeanor).
(b) Sign Distribution. The comptroller upon request
will provide the warning notice signs without charge to any person
who sells cigarettes or tobacco products, including distributors or
wholesale dealers of cigarettes or tobacco products in this state
for distribution to persons who sell cigarettes or tobacco products.
A distributor or wholesale dealer may not charge for distributing
a sign under this subsection. Requests for the warning notice signs
may be made by calling the Comptroller of Public Accounts toll free
at 1-800-862-2260, or by writing to the attention of the Account Maintenance
Division, Comptroller of Public Accounts, 111 East 17th Street, Austin,
Texas 78774-0100. In Austin, call (512) 463-1693. [
From a Telecommunications
Device for the Deaf (TDD), call 1-800-248-4099, toll free. In Austin,
the local TDD number is (512) 463-4621.
] A request must include
the number of signs needed, and the person and address to whom the
signs are to be mailed.
(c) Alternate Signs. Retailers, distributors, and wholesale
dealers may develop their own warning notice signs provided the signs
meet minimum size and design specifications, including wording and
font size, described in subsection (d) of this section. A retailer,
distributor, or wholesale dealer may submit a sample of its proposed
sign for review to the address as noted
in subsection (b) of
this section
[
above
].
(d) Sign Design and Minimum Size Requirements. The design, minimum size, and placement location of each sign are as follows.
(1) Design. Each sign must be designed according to the following:
(A) it must contain the following statutory language: "PURCHASING OR ATTEMPTING TO PURCHASE TOBACCO PRODUCTS BY A MINOR UNDER 18 YEARS OF AGE IS PROHIBITED BY LAW. SALE OR PROVISION OF TOBACCO PRODUCTS TO A MINOR UNDER 18 YEARS OF AGE IS PROHIBITED BY LAW. UPON CONVICTION, A CLASS C MISDEMEANOR, INCLUDING A FINE OF UP TO $500 MAY BE IMPOSED. VIOLATIONS MAY BE REPORTED TO THE TEXAS COMPTROLLER'S OFFICE BY CALLING 1-800-345-8647. PREGNANT WOMEN SHOULD NOT SMOKE. SMOKERS ARE MORE LIKELY TO HAVE BABIES WHO ARE BORN PREMATURE OR WITH LOW BIRTH WEIGHT. "
(B) retailers must display the English version. The comptroller will make a Spanish version available. Both the Spanish and English versions may be posted.
(2) Size and Placement. The sign to be posted on or near:
(A) the cash register or check-out stand must be no less than 8-1/2 inches wide by 14 inches in length. The font size for the statutory language that must appear on the sign must be no less than 14-point type. An 8-1/2 inches wide by 14 inches in length warning notice sign must be conspicuous from each cash register or check-out stand where cigarettes or tobacco products may be purchased. If a retailer chooses, an additional 3 inches wide by 7 inches in length warning notice sign may be conspicuously placed on each cash register or check-out stand where cigarettes or tobacco products may be purchased;
(B) the vending machines must be no less than 3 inches wide by 7 inches in length. The font size for the statutory language that must appear on the sign must be no less than 10-point type.
(e) Effective Date. The warning notice signs must be displayed in the appropriate locations beginning January 1, 1998.
This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.
Filed with the Office of the Secretary of State on August 2, 2007.
TRD-200703370
Martin Cherry
General Counsel
Comptroller of Public Accounts
Earliest possible date of adoption: September 16, 2007
For further information, please call: (512) 475-0387