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Public Act 096-0446
Public Act 0446 96TH GENERAL ASSEMBLY
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Public Act 096-0446 |
HB0604 Enrolled |
LRB096 07343 RLC 17429 b |
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| AN ACT concerning tobacco.
| Be it enacted by the People of the State of Illinois,
| represented in the General Assembly:
| Section 5. The Liquor Control Act of 1934 is amended by | changing Sections 3-12 and 6-16.1 as follows: | (235 ILCS 5/3-12) (from Ch. 43, par. 108) | Sec. 3-12. Powers and duties of State Commission.
| (a) The State commission shall have the following powers, | functions and
duties:
| (1) To receive applications and to issue licenses to | manufacturers,
foreign importers, importing distributors, | distributors, non-resident dealers,
on premise consumption | retailers, off premise sale retailers, special event
| retailer licensees, special use permit licenses, auction | liquor licenses, brew
pubs, caterer retailers, | non-beverage users, railroads, including owners and
| lessees of sleeping, dining and cafe cars, airplanes, | boats, brokers, and wine
maker's premises licensees in | accordance with the provisions of this Act, and
to suspend | or revoke such licenses upon the State commission's | determination,
upon notice after hearing, that a licensee | has violated any provision of this
Act or any rule or | regulation issued pursuant thereto and in effect for 30 |
| days
prior to such violation. Except in the case of an | action taken pursuant to a
violation of Section 6-3, 6-5, | or 6-9, any action by the State Commission to
suspend or | revoke a licensee's license may be limited to the license | for the
specific premises where the violation occurred.
| In lieu of suspending or revoking a license, the | commission may impose
a fine, upon the State commission's | determination and notice after hearing,
that a licensee has | violated any provision of this Act or any rule or
| regulation issued pursuant thereto and in effect for 30 | days prior to such
violation. The fine imposed under this | paragraph may not exceed $500 for each
violation. Each day | that the activity, which gave rise to the original fine,
| continues is a separate violation. The maximum fine that | may be levied against
any licensee, for the period of the | license, shall not exceed $20,000.
The maximum penalty that | may be imposed on a licensee for selling a bottle of
| alcoholic liquor with a foreign object in it or serving | from a bottle of
alcoholic liquor with a foreign object in | it shall be the destruction of that
bottle of alcoholic | liquor for the first 10 bottles so sold or served from by
| the licensee. For the eleventh bottle of alcoholic liquor | and for each third
bottle thereafter sold or served from by | the licensee with a foreign object in
it, the maximum | penalty that may be imposed on the licensee is the | destruction
of the bottle of alcoholic liquor and a fine of |
| up to $50.
| (2) To adopt such rules and regulations consistent with | the
provisions of this Act which shall be necessary to | carry on its
functions and duties to the end that the | health, safety and welfare of
the People of the State of | Illinois shall be protected and temperance in
the | consumption of alcoholic liquors shall be fostered and | promoted and
to distribute copies of such rules and | regulations to all licensees
affected thereby.
| (3) To call upon other administrative departments of | the State,
county and municipal governments, county and | city police departments and
upon prosecuting officers for | such information and assistance as it
deems necessary in | the performance of its duties.
| (4) To recommend to local commissioners rules and | regulations, not
inconsistent with the law, for the | distribution and sale of alcoholic
liquors throughout the | State.
| (5) To inspect, or cause to be inspected, any
premises | in this State
where alcoholic liquors are manufactured, | distributed, warehoused, or
sold.
| (5.1) Upon receipt of a complaint or upon having | knowledge that any person
is engaged in business as a | manufacturer, importing distributor, distributor,
or | retailer without a license or valid license, to notify the | local liquor
authority, file a complaint with the State's |
| Attorney's Office of the county
where the incident | occurred, or initiate an investigation with the | appropriate
law enforcement officials.
| (5.2) To issue a cease and desist notice to persons | shipping alcoholic
liquor
into this State from a point | outside of this State if the shipment is in
violation of | this Act.
| (5.3) To receive complaints from licensees, local | officials, law
enforcement agencies, organizations, and | persons stating that any licensee has
been or is violating | any provision of this Act or the rules and regulations
| issued pursuant to this Act. Such complaints shall be in | writing, signed and
sworn to by the person making the | complaint, and shall state with specificity
the facts in | relation to the alleged violation. If the Commission has
| reasonable grounds to believe that the complaint | substantially alleges a
violation of this Act or rules and | regulations adopted pursuant to this Act, it
shall conduct | an investigation. If, after conducting an investigation, | the
Commission is satisfied that the alleged violation did | occur, it shall proceed
with disciplinary action against | the licensee as provided in this Act.
| (6) To hear and determine appeals from orders of a | local commission
in accordance with the provisions of this | Act, as hereinafter set forth.
Hearings under this | subsection shall be held in Springfield or Chicago,
at |
| whichever location is the more convenient for the majority | of persons
who are parties to the hearing.
| (7) The commission shall establish uniform systems of | accounts to be
kept by all retail licensees having more | than 4 employees, and for this
purpose the commission may | classify all retail licensees having more
than 4 employees | and establish a uniform system of accounts for each
class | and prescribe the manner in which such accounts shall be | kept.
The commission may also prescribe the forms of | accounts to be kept by
all retail licensees having more | than 4 employees, including but not
limited to accounts of | earnings and expenses and any distribution,
payment, or | other distribution of earnings or assets, and any other
| forms, records and memoranda which in the judgment of the | commission may
be necessary or appropriate to carry out any | of the provisions of this
Act, including but not limited to | such forms, records and memoranda as
will readily and | accurately disclose at all times the beneficial
ownership | of such retail licensed business. The accounts, forms,
| records and memoranda shall be available at all reasonable | times for
inspection by authorized representatives of the | State commission or by
any local liquor control | commissioner or his or her authorized representative.
The | commission, may, from time to time, alter, amend or repeal, | in whole
or in part, any uniform system of accounts, or the | form and manner of
keeping accounts.
|
| (8) In the conduct of any hearing authorized to be held | by the
commission, to appoint, at the commission's | discretion, hearing officers
to conduct hearings involving | complex issues or issues that will require a
protracted | period of time to resolve, to examine, or cause to be | examined,
under oath, any licensee, and to examine or cause | to be examined the books and
records
of such licensee; to | hear testimony and take proof material for its
information | in the discharge of its duties hereunder; to administer or
| cause to be administered oaths; for any such purpose to | issue
subpoena or subpoenas to require the attendance of | witnesses and the
production of books, which shall be | effective in any part of this State, and
to adopt rules to | implement its powers under this paragraph (8).
| Any Circuit Court may by order duly entered,
require | the attendance of witnesses and the production of relevant | books
subpoenaed by the State commission and the court may | compel
obedience to its order by proceedings for contempt.
| (9) To investigate the administration of laws in | relation to
alcoholic liquors in this and other states and | any foreign countries,
and to recommend from time to time | to the Governor and through him or
her to the legislature | of this State, such amendments to this Act, if any, as
it | may think desirable and as will serve to further the | general broad
purposes contained in Section 1-2 hereof.
| (10) To adopt such rules and regulations consistent |
| with the
provisions of this Act which shall be necessary | for the control, sale or
disposition of alcoholic liquor | damaged as a result of an accident, wreck,
flood, fire or | other similar occurrence.
| (11) To develop industry educational programs related | to responsible
serving and selling, particularly in the | areas of overserving consumers and
illegal underage | purchasing and consumption of alcoholic beverages.
| (11.1) To license persons providing education and | training to alcohol
beverage sellers and servers under the
| Beverage Alcohol Sellers and Servers
Education and | Training (BASSET) programs and to develop and administer a | public
awareness program in Illinois to reduce or eliminate | the illegal purchase and
consumption of alcoholic beverage | products by persons under the age of 21.
Application for a | license shall be made on forms provided by the State
| Commission.
| (12) To develop and maintain a repository of license | and regulatory
information.
| (13) On or before January 15, 1994, the Commission | shall issue
a written report to the Governor and General | Assembly that is to be based on a
comprehensive study of | the impact on and implications for the State of Illinois
of | Section 1926 of the Federal ADAMHA Reorganization Act of | 1992 (Public Law
102-321). This study shall address the | extent to which Illinois currently
complies with the |
| provisions of P.L. 102-321 and the rules promulgated | pursuant
thereto.
| As part of its report, the Commission shall provide the | following essential
information:
| (i) the number of retail distributors of tobacco | products, by type and
geographic area, in the State;
| (ii) the number of reported citations and | successful convictions,
categorized by type and | location of retail distributor, for violation of the
| Sale and Distribution of Tobacco Products to Minors Act | and the Smokeless
Tobacco Limitation Act;
| (iii) the extent and nature of organized | educational and governmental
activities that are | intended to promote, encourage or otherwise secure
| compliance with any Illinois laws that prohibit the | sale or distribution of
tobacco products to minors; and
| (iv) the level of access and availability of | tobacco products to
individuals under the age of 18.
| To obtain the data necessary to comply with the | provisions of P.L. 102-321
and the requirements of this | report, the Commission shall conduct random,
unannounced | inspections of a geographically and scientifically | representative
sample of the State's retail tobacco | distributors.
| The Commission shall consult with the Department of | Public Health, the
Department of Human Services, the
|
| Illinois State Police and any
other executive branch | agency, and private organizations that may have
| information relevant to this report.
| The Commission may contract with the Food and Drug | Administration of the
U.S. Department of Health and Human | Services to conduct unannounced
investigations of Illinois | tobacco vendors to determine compliance with federal
laws | relating to the illegal sale of cigarettes and smokeless | tobacco products
to persons under the age of 18.
| (14) On or before April 30, 2008 and every 2 years
| thereafter, the Commission shall present a written
report | to the Governor and the General Assembly that shall
be | based on a study of the impact of this amendatory Act of
| the 95th General Assembly on the business of soliciting,
| selling, and shipping wine from inside and outside of this
| State directly to residents of this State. As part of its
| report, the Commission shall provide all of the
following | information: | (A) The amount of State excise and sales tax
| revenues generated. | (B) The amount of licensing fees received. | (C) The number of cases of wine shipped from inside
| and outside of this State directly to residents of this
| State. | (D) The number of alcohol compliance operations
| conducted. |
| (E) The number of winery shipper's licenses
| issued. | (F) The number of each of the following: reported
| violations; cease and desist notices issued by the
| Commission; notices of violations issued by
the | Commission and to the Department of Revenue;
and | notices and complaints of violations to law
| enforcement officials, including, without limitation,
| the Illinois Attorney General and the U.S. Department
| of Treasury's Alcohol and Tobacco Tax and Trade Bureau. | (15) As a means to reduce the underage consumption of
| alcoholic liquors, the Commission shall conduct
alcohol | compliance operations to investigate whether
businesses | that are soliciting, selling, and shipping wine
from inside | or outside of this State directly to residents
of this | State are licensed by this State or are selling or
| attempting to sell wine to persons under 21 years of age in
| violation of this Act. | (16) The Commission shall, in addition to
notifying any | appropriate law enforcement agency, submit
notices of | complaints or violations of Sections 6-29 and
6-29.1 by | persons who do not hold a winery shipper's
license under | this amendatory Act to the Illinois Attorney General and
to | the U.S. Department of Treasury's Alcohol and Tobacco Tax | and Trade Bureau. | (17) (A) A person licensed to make wine under the laws |
| of another state who has a winery shipper's license under | this amendatory Act and annually produces less than 25,000 | gallons of wine or a person who has a first-class or | second-class wine manufacturer's license, a first-class or | second-class wine-maker's license, or a limited wine | manufacturer's license under this Act and annually | produces less than 25,000 gallons of wine may make | application to the Commission for a self-distribution | exemption to allow the sale of not more than 5,000 gallons | of the exemption holder's wine to retail licensees per | year. | (B) In the application, which shall be sworn under | penalty of perjury, such person shall state (1) the | date it was established; (2) its volume of production | and sales for each year since its establishment; (3) | its efforts to establish distributor relationships; | (4) that a self-distribution exemption is necessary to | facilitate the marketing of its wine; and (5) that it | will comply with the liquor and revenue laws of the | United States, this State, and any other state where it | is licensed. | (C) The Commission shall approve the application | for a self-distribution exemption if such person: (1) | is in compliance with State revenue and liquor laws; | (2) is not a member of any affiliated group that | produces more than 25,000 gallons of wine per annum or |
| produces any other alcoholic liquor; (3) will not | annually produce for sale more than 25,000 gallons of | wine; and (4) will not annually sell more than 5,000 | gallons of its wine to retail licensees. | (D) A self-distribution exemption holder shall | annually certify to the Commission its production of | wine in the previous 12 months and its anticipated | production and sales for the next 12 months. The | Commission may fine, suspend, or revoke a | self-distribution exemption after a hearing if it | finds that the exemption holder has made a material | misrepresentation in its application, violated a | revenue or liquor law of Illinois, exceeded production | of 25,000 gallons of wine in any calendar year, or | become part of an affiliated group producing more than | 25,000 gallons of wine or any other alcoholic liquor. | (E) Except in hearings for violations of this Act | or amendatory Act or a bona fide investigation by duly | sworn law enforcement officials, the Commission, or | its agents, the Commission shall maintain the | production and sales information of a | self-distribution exemption holder as confidential and | shall not release such information to any person. | (F) The Commission shall issue regulations | governing self-distribution exemptions consistent with | this Section and this Act. |
| (G) Nothing in this subsection (17) shall prohibit | a self-distribution exemption holder from entering | into or simultaneously having a distribution agreement | with a licensed Illinois distributor. | (H) It is the intent of this subsection (17) to | promote and continue orderly markets. The General | Assembly finds that in order to preserve Illinois' | regulatory distribution system it is necessary to | create an exception for smaller makers of wine as their | wines are frequently adjusted in varietals, mixes, | vintages, and taste to find and create market niches | sometimes too small for distributor or importing | distributor business strategies. Limited | self-distribution rights will afford and allow smaller | makers of wine access to the marketplace in order to | develop a customer base without impairing the | integrity of the 3-tier system.
| (b) On or before April 30, 1999, the Commission shall | present a written
report to the Governor and the General | Assembly that shall be based on a study
of the impact of this | amendatory Act of 1998 on the business of soliciting,
selling, | and shipping
alcoholic liquor from outside of this State | directly to residents of this
State.
| As part of its report, the Commission shall provide the | following
information:
| (i) the amount of State excise and sales tax revenues |
| generated as a
result of this amendatory Act of 1998;
| (ii) the amount of licensing fees received as a result | of this amendatory
Act of 1998;
| (iii) the number of reported violations, the number of | cease and desist
notices issued by the Commission, the | number of notices of violations issued
to the Department of | Revenue, and the number of notices and complaints of
| violations to law enforcement officials.
| (Source: P.A. 95-634, eff. 6-1-08 .)
| (235 ILCS 5/6-16.1)
| Sec. 6-16.1. Enforcement actions.
| (a) A licensee or an officer, associate,
member, | representative, agent, or employee of a licensee may sell, | give, or
deliver alcoholic liquor to a person under the age of | 21 years or authorize the
sale, gift, or delivery of alcoholic | liquor to a person under the age of 21
years pursuant to a plan | or action to investigate, patrol, or otherwise conduct
a "sting | operation" or enforcement action against a person employed by | the
licensee or on any licensed premises if the licensee or | officer, associate,
member, representative, agent, or employee | of the licensee provides written
notice, at least 14 days | before the "sting operation" or enforcement action,
unless | governing body of the municipality or county having | jurisdiction sets a
shorter period by ordinance, to the law | enforcement agency having jurisdiction,
the local liquor |
| control commissioner, or both. Notice provided under this
| Section shall be valid for a "sting operation" or enforcement | action conducted
within 60 days of the provision of that | notice, unless the governing body of
the municipality or county | having jurisdiction sets a shorter period by
ordinance.
| (b) A local liquor control commission or unit of local | government that
conducts alcohol and tobacco compliance | operations shall establish a policy and
standards for alcohol | and tobacco compliance operations to investigate whether
a | licensee is furnishing (1) alcoholic liquor to persons under 21 | years of age
in violation of this Act or (2) tobacco to persons | in violation of the Sale and Distribution of
Tobacco Products | to Minors Act.
| (c) The Illinois Law Enforcement Training Standards Board | shall
develop a model policy and guidelines for the operation | of alcohol and tobacco
compliance checks by local law | enforcement officers. The Illinois Law
Enforcement Training | Standards Board shall also require the supervising
officers of | such compliance checks to have met a minimum training standard | as
determined by the Board. The Board shall have the right to | waive any training
based on current written policies and | procedures for alcohol and tobacco
compliance check operations | and in-service training already administered by
the local law | enforcement agency, department, or office.
| (d) The provisions of subsections (b) and (c) do not apply | to a home rule
unit with more than 2,000,000 inhabitants.
|
| (e) A home rule unit, other than a home rule unit with more | than 2,000,000
inhabitants, may not regulate enforcement | actions in a manner inconsistent with
the regulation of | enforcement actions under this Section. This subsection (e)
is | a limitation under subsection (i) of Section 6 of Article VII | of the
Illinois Constitution on the concurrent exercise by home | rule units
of powers and functions
exercised by the State.
| (f) A licensee who is the subject of an enforcement action | or "sting
operation" under this Section and is found, pursuant | to the enforcement action,
to be in compliance with this Act | shall be notified by the enforcement agency action that no | violation was found within 30 days after the finding.
| (Source: P.A. 92-503, eff. 1-1-02; 93-1057, eff. 12-2-04.)
| Section 10. The Sale of Tobacco to Minors Act is amended by | changing the title of the Act and Sections 0.01 and 1 as | follows:
| (720 ILCS 675/Act title)
| An Act to prohibit minors from buying or
selling tobacco in | any of its forms, to prohibit selling, giving or
furnishing | tobacco, in any of its forms, to minors, and to prohibit the | distribution of tobacco samples and providing penalties
| therefor.
| (720 ILCS 675/0.01) (from Ch. 23, par. 2356.9)
|
| Sec. 0.01. Short title. This Act may be cited as the
Sale | and Distribution of Tobacco Products to Minors Act.
| (Source: P.A. 86-1324.)
| (720 ILCS 675/1) (from Ch. 23, par. 2357)
| Sec. 1. Prohibition on sale of tobacco to minors; | prohibition on the distribution of tobacco samples to any | person; use of identification cards; vending machines; lunch
| wagons; out-of-package sales.
| (a) No minor under 18 years of age shall buy any tobacco | product cigar,
cigarette,
smokeless tobacco or tobacco in any | of its forms . No person shall sell, buy
for, distribute samples | of or furnish any tobacco product cigar, cigarette, smokeless | tobacco
or tobacco in any of its forms, to any minor under 18 | years of age. | (a-5) No minor under 16 years of
age may sell any tobacco | product cigar, cigarette, smokeless tobacco, or tobacco in any | of its
forms at a retail
establishment selling tobacco | products. This subsection does not apply
to a sales clerk in a | family-owned business which can prove that the sales
clerk
is | in fact a son or daughter of the owner.
| (a-6) No minor under 18 years of age in the furtherance or | facilitation of obtaining any tobacco product cigar, | cigarette, smokeless tobacco, or tobacco in any of its forms | shall display or use a false or forged identification card or | transfer, alter, or deface an identification card.
|
| (a-7) A person shall not distribute without charge samples | of any tobacco product to any other person, regardless of age: | (1) within a retail establishment selling tobacco | products, unless the retailer has verified the purchaser's | age with a government issued identification; | (2) from a lunch wagon; or | (3) on a public way as a promotion or advertisement of | a tobacco manufacturer or tobacco product. | This subsection (a-7) does not apply to the distribution of | a tobacco product sample in any adult-only facility. | For the purpose of this Section : , | "Adult-only facility means a facility or restricted | area (whether open-air or enclosed) where the operator | ensures or has a reasonable basis to believe (such as by | checking identification as required under State law, or by | checking the identification of any person appearing to be | under the age of 27) that no person under legal age is | present. A facility or restricted area need not be | permanently restricted to persons under legal age to | constitute an adult-only facility, provided that the | operator ensures or has a reasonable basis to believe that | no person under legal age is present during the event or | time period in question. | "Lunch wagon" means a mobile vehicle
designed and | constructed to transport food and from which food is sold | to the
general public. |
| "Smokeless "smokeless tobacco" means any tobacco
| products that are suitable for dipping or chewing.
| "Tobacco product" means any cigar, cigarette, | smokeless tobacco, or tobacco in any of its
forms. | (b) Tobacco products listed above may be sold through a | vending machine
only if such tobacco products are not placed | together with any non-tobacco product, other than matches, in | the vending machine and the vending machine is in
any of the | following locations:
| (1) (Blank).
| (2) Places to which minors under 18 years of age are | not permitted access.
| (3) Places where alcoholic beverages are sold and | consumed on the
premises and vending machine operation is | under the direct supervision of the owner or manager.
| (4) (Blank).
| (5) Places where the vending machine can only be | operated by the owner or
an employee over age 18 either | directly or through a remote control device if
the device | is inaccessible to all customers.
| (c) (Blank) The sale or distribution at no charge of | cigarettes from a lunch wagon
engaging in any sales activity | within 1,000 feet of any public or private
elementary or | secondary school grounds is prohibited .
| For the purpose of this Section, "lunch wagon" means a | mobile vehicle
designed and constructed to transport food and |
| from which food is sold to the
general public. | (d) The sale or distribution by any person of a tobacco | product listed above, including but not limited to a single or | loose cigarette, that is not contained within a sealed | container, pack, or package as provided by the manufacturer, | which container, pack, or package bears the health warning | required by federal law, is prohibited.
| (Source: P.A. 95-905, eff. 1-1-09.)
| Section 15. The Display of
Tobacco Products Act is amended | by changing Section 15 as follows: | (720 ILCS 677/15)
| Sec. 15. Vending machines. This Act does not prohibit the | sale
of tobacco products from vending machines if the location | of the
vending machines are in compliance with the provisions | of Section 1 of
the Sale and Distribution of Tobacco Products | to Minors Act.
| (Source: P.A. 93-886, eff. 1-1-05.)
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Effective Date: 1/1/2010
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