Substitute House Bill No. 5228 seeks to enhance the regulation of electronic nicotine delivery systems and vapor product dealers in Connecticut by repealing Section 21a-415 of the 2026 supplement to the general statutes and introducing new definitions and requirements for dealer registrations. The bill defines "dealer registration" as a certificate issued by the Commissioner of Consumer Protection and outlines that no individual may sell or possess vapor products without being associated with a registered business entity. It mandates separate dealer registrations for each business location, requires dealers to post their registration prominently, and maintain specific signage regarding cannabis sales. Additionally, the bill emphasizes the need for criminal background checks for owners, disclosure of financial interests, and the appointment of a fiduciary agent to ensure compliance.

The legislation also sets forth stringent criteria for dealer registration applications, including limits on revenue and sales area dedicated to nicotine-related products, effective from October 1, 2026. Applicants must demonstrate that their annual gross revenue from these products does not exceed 50% of total sales and that no more than 25% of the sales floor area is allocated to these products. The Department of Consumer Protection is granted authority to deny or revoke registrations based on compliance with these criteria, and penalties are established for operating without a dealer registration. The bill includes various insertions and deletions to clarify language and expand grounds for denial, ultimately aiming to ensure stricter oversight and compliance with public health standards in the sale of tobacco and nicotine products.