Substitute Senate Bill No. 340 introduces new regulations for tobacco dealer license renewals and applications. The bill allows municipalities to require tobacco dealers to notify their local chief law enforcement official when applying for license renewal. The law enforcement official then has fifteen days to submit written comments to the Commissioner of Revenue Services, who must consider these comments before approving the renewal. The bill also requires the Commissioner to report to the General Assembly by January 1, 2026, on the number of comments received, actions taken on renewal applications, and recommendations regarding the notice requirement. Changes to the general statutes include defining "filing date," detailing the application process, public notice requirements, the ability for residents to object to an applicant or location, the annual fee, license validity period, and replacement process for licenses. These provisions will be effective from October 1, 2024.

The fiscal impact of Senate Bill 340 includes costs to the General Fund of $486,250 in FY 25 and $170,000 in FY 26 for the Department of Revenue Services (DRS), with additional fringe benefit costs. These costs are due to the need for system programming, equipment, development of forms and placards, and salaries for two full-time equivalents (FTEs) to administer the bill's provisions. The ongoing fiscal impact is expected to continue into the future, with adjustments for wage inflation and the volume of applications, renewals, and objections. The bill also establishes a process for public objection to an applicant's suitability or business location, similar to liquor permits, and requires public notice of permit applications. The effective date for these changes is October 1, 2024.

Statutes affected:
Raised Bill: 12-287
PS Joint Favorable Substitute: 12-287
File No. 218: 12-287