The proposed bill aims to regulate the sale and distribution of vapor products in South Dakota by establishing a new legal framework. It introduces definitions for key terms such as "vapor product," "vapor product distributor," and "vapor product retailer," and mandates that individuals or businesses must obtain a vapor product distributor license before selling these products for resale. The bill outlines the application process for obtaining this license, including the requirement to pay a fee and hold a sales and use tax license. Additionally, it stipulates that vapor product retailers must register with the Department of Revenue and maintain documentation regarding their inventory.

The legislation also sets forth various restrictions on marketing and selling vapor products, particularly to prevent appeal to minors, and establishes penalties for violations, including misdemeanors for non-compliance. It prohibits the shipment of vapor products directly to consumers in South Dakota and allows the attorney general to seek injunctions and impose civil penalties for violations. The bill emphasizes the importance of proper disposal of contraband vapor products and requires documentation to be maintained for compliance purposes. Overall, the bill seeks to enhance regulation and oversight of vapor products to protect public health and safety.