LEGISLATIVE FISCAL OFFICE
Fiscal Note
Fiscal Note On: HB 621 HLS 24RS 775
Bill Text Version: ENROLLED
Opp. Chamb. Action:
Proposed Amd.:
Sub. Bill For.:
Date: May 28, 2024 8:39 AM Author: STAGNI
Dept./Agy.: Office of Alcohol and Tobacco Control (ATC)
Subject: Taxation of Vapor Products Analyst: Noah O’Dell
TOBACCO/TOBACCO PRODUCTS EN NO IMPACT SG RV See Note Page 1 of 1
Provides relative to vapor products
Current law provides for a vape tax of 15c/ml and establishes enforcement procedures for the Office of Alcohol and Tobacco
Control (ATC), including the creation and publishing of a directory of approved vapor products and alternative nicotine
eligible for sale in the state. The proceeds of the tax are dedicated to specific statutory dedications. Current law establishes
communications required by ATC to wholesale dealers, retailers, or manufacturers and authorizes various fees and penalties
related to vape tax enforcement activities.
Proposed law retains current law through redesignation from R.S. 26:926 to R.S. 26:926.1 and clarifies that each product
sold in violation of the vape directory mandates shall constitute a separate violation. Proposed law adds to mandated
communications from the ATC and updates the citation and fund name referencing the LA Public Defender Board, which is
now the Office of the State Public Defender. Effective upon signature by the governor
EXPENDITURES 2024-25 2025-26 2026-27 2027-28 2028-29 5 -YEAR TOTAL
State Gen. Fd. $0 $0 $0 $0 $0 $0
Agy. Self-Gen. $0 $0 $0 $0 $0 $0
Ded./Other $0 $0 $0 $0 $0 $0
Federal Funds $0 $0 $0 $0 $0 $0
Local Funds $0 $0 $0 $0 $0 $0
Annual Total $0 $0 $0 $0 $0 $0
REVENUES 2024-25 2025-26 2026-27 2027-28 2028-29 5 -YEAR TOTAL
State Gen. Fd. $0 $0 $0 $0 $0 $0
Agy. Self-Gen. $0 $0 $0 $0 $0 $0
Ded./Other $0 $0 $0 $0 $0 $0
Federal Funds $0 $0 $0 $0 $0 $0
Local Funds $0 $0 $0 $0 $0 $0
Annual Total $0 $0 $0 $0 $0 $0
EXPENDITURE EXPLANATION
There is no anticipated direct material effect on governmental expenditures as a result of this measure.
REVENUE EXPLANATION
There is no anticipated direct material effect on governmental revenues as a result of this measure.
The measure appears to be codifying existing administrative rules, thus anticipated current practice, into law. Emergency
rules were promulgated by ATC in September, 2023 establishing that violations of vape directory mandates are a separate
violation for each SKU or unit of product sold or offered for sale, possessed, or transported. According to ATC, as of March
21, 2024, no business has been imposed a fine for violation of the vape directory due to ATC agent training and enforcement
delays due to litigation.
Senate Dual Referral Rules House
13.5.1 >= $100,000 Annual Fiscal Cost {S & H} 6.8(F)(1) >= $100,000 SGF Fiscal Cost {H & S}
Deborah Vivien
13.5.2 >= $500,000 Annual Tax or Fee 6.8(G) >= $500,000 Tax or Fee Increase
Change {S & H} or a Net Fee Decrease {S} Chief Economist


Statutes affected:
HB621 Original: 26:911(B)(1)
HB621 Engrossed: 26:911(B)(1)
HB621 Enrolled: 26:911(B)(1)
HB621 Act : 26:911(B)(1)