Bill > AB573

This bill amends the Cigarette and Tobacco Products Licensing Act of 2003 to increase and potentially adjust tobacco retailer licensing fees, enhance enforcement of tobacco product regulations, and require legislative reporting on tobacco retailer enforcement. Specifically, the bill increases the annual retailer license fee from $265 to $450 per retail location starting July 1, 2026, with the possibility of the California Department of Tax and Fee Administration (CDTFA) adjusting the fee up to $600 to cover administrative costs. The bill requires the Legislative Analyst to prepare two reports (in 2027 and 2029) on the tobacco retailer enforcement landscape, examining strategies for enforcement, licensing fee effectiveness, seizure costs, and youth access to tobacco products. The legislation responds to current challenges in tobacco regulation, including the fact that only about 15% of retailers are currently inspected annually and violations have increased from 2% to 14% since the flavored tobacco product ban. The bill aims to bolster compliance with state tobacco laws by providing additional funding for more robust inspection and enforcement efforts, with a particular focus on preventing youth access to tobacco and flavored tobacco products.

Budget and Finance, Health and Social Services

https://leginfo.legislature.ca.gov/faces/billStatusClient.xhtml?bill_id=202520260AB573