The bill amends and reenacts subdivision d of subsection 3 of section 23-12-10 of the North Dakota Century Code, which pertains to the operation of cigar lounges. Key changes include the clarification that a cigar lounge must permit the smoking of cigars and pipe tobacco purchased on the premises, while prohibiting the smoking of any other products. Additionally, the bill establishes new requirements for applicants seeking a certificate to operate a cigar lounge, including the need to report specific compliance information to the tax commissioner regarding the lounge's facilities and ventilation system. Notably, the commissioner is prohibited from requiring income information from the sale of cigars and pipe tobacco in the initial application.

Furthermore, the bill mandates that cigar lounges must report their revenue from the sale of cigars and pipe tobacco as a percentage of their annual gross income to the tax commissioner by February 1st each year. If a lounge generates fifteen percent or more of its annual gross income from these sales, the commissioner will renew the lounge's certificate. The bill also defines "cigar" and "pipe tobacco," ensuring clarity in the terms used within the legislation. Overall, the amendments aim to streamline the certification process for cigar lounges while maintaining public health standards.

Statutes affected:
INTRODUCED: 23-12-10
Adopted by the House Finance and Taxation Committee: 23-12-10
FIRST ENGROSSMENT: 23-12-10
Adopted by the Senate Finance and Taxation Committee: 23-12-10
Prepared by the Legislative Council staff for Representative Dockter: 23-12-10
Enrollment: 23-12-10