This bill amends various sections of the Revised Code of Washington (RCW) to update the taxation and regulation framework for nicotine products, including cigarettes and vapor products. A significant change is the replacement of the term "tobacco" with "nicotine," which broadens the scope of products subject to taxation. New definitions, such as "nicotine analogue" and "vapor product," are introduced to clarify the types of products covered by the legislation. The bill establishes a tax rate of 95% on the taxable sales price of nicotine products and outlines the allocation of funds collected from this taxation, mandating that 50% of the revenue be directed to the Andy Hill cancer research endowment fund match transfer account and the foundational public health services account until certain financial thresholds are met.

Additionally, the bill introduces stricter regulations for the licensing of distributors and retailers of nicotine products, including requirements for criminal background checks and penalties for violations. It specifies that only licensed individuals can transport nicotine products and mandates proper documentation for such transportation. The bill also establishes new provisions for the sale and distribution of vapor products, including requirements for delivery sales and penalties for non-compliance. Furthermore, it creates a youth tobacco and vapor products prevention account to receive initial tax revenue from a new tax on cigarettes and vapor products, while repealing outdated statutes related to tobacco taxation to streamline the regulatory framework. Overall, the bill aims to enhance compliance and accountability within the nicotine product industry in Washington State.

Statutes affected:
Original bill: 82.26.010, 82.26.020, 82.26.040, 82.26.060, 82.26.070, 82.26.080, 82.26.090, 82.26.105, 82.26.110, 82.26.130, 82.26.140, 82.26.150, 82.26.160, 82.26.190, 82.26.200, 82.26.210, 82.26.220, 82.26.230, 82.26.240, 82.26.250, 70.345.010, 69.50.101, 70.345.160, 82.24.010, 43.348.080, 82.32.870, 66.44.010, 82.24.550, 82.19.020
Substitute bill: 82.26.010, 82.26.020, 82.26.030, 82.26.040, 82.26.060, 82.26.070, 82.26.080, 82.26.090, 82.26.105, 82.26.110, 82.26.130, 82.26.140, 82.26.150, 82.26.160, 82.26.190, 82.26.200, 82.26.210, 82.26.220, 82.26.230, 82.26.240, 82.26.250, 70.345.010, 69.50.101, 70.345.160, 43.348.080, 82.32.870, 66.44.010, 82.24.550, 82.19.020
Engrossed substitute: 82.26.010, 82.26.020, 82.26.030, 82.26.040, 82.26.060, 82.26.070, 82.26.080, 82.26.090, 82.26.105, 82.26.110, 82.26.130, 82.26.140, 82.26.150, 82.26.160, 82.26.190, 82.26.200, 82.26.210, 82.26.220, 82.26.230, 82.26.240, 82.26.250, 70.345.010, 69.50.101, 70.345.160, 43.348.080, 82.32.870, 66.44.010, 82.24.550, 82.19.020