On December 20, 2019, President Trump signed legislation to amend the Federal Food, Drug, and Cosmetic Act, and raise the federal minimum age of sale of tobacco products from 18 to 21 years.

• FDA regulates all tobacco products, including e-cigarettes, hookah tobacco, and cigars. If you sell tobacco products, you must comply with all applicable federal laws and regulations for retailers.
• Per the U.S. Constitution, when a state law is in direct conflict with federal law, and the federal government has demonstrated an intent to regulate the field as it has with tobacco, the federal law prevails.
• This federal law preempts our existing state law which forbids selling tobacco products to persons under 19. Consequently, Alaska retailers must not sell tobacco products – including electronic smoking devices - to persons under 21.
• The full text of this law can be found in 21 U.S.C.A. Sec. 387(f) as amended by PL 116-94 [HR 1865], December 20, 2019, 133 Stat 2534.
• To find FDA information on the federal legal minimum age to purchase tobacco products go to the FDA Retail Sales of Tobacco Products webpage.

2. What does this new federal law Tobacco 21 mean to Alaska businesses with an Endorsement to sell tobacco products, electronic smoking products, or products containing nicotine?

• The minimum age to buy tobacco products, electronic smoking devices, or products containing nicotine is now 21; it is unlawful for any retailer to sell tobacco products, electronic smoking products, or products containing nicotine to any person younger than 21 years of age.

3. When did the minimum age of 21 go into effect?

• President Trump signed this law on December 20, 2019, and became effective the same day.
• The federal government has six months to publish rules updating regulations relating to age verification and other compliance measures, and it may be another three months before the new federal regulations go into effect.

4. What if I didn’t know and sold these products to someone under the age of 21 after December 20, 2019?

• If you sold tobacco products to a person under the age of 19, you will be liable just as you are under the existing state and now amended federal law.
• Until federal regulations reflecting the new law are adopted, the best practice would be to continue to verify a purchaser’s age using the same procedures you have been using, and refuse to sell to anyone under the age of 21.

5. Can an employee who is under the age of 21 sell these products to a purchaser who meets the minimum age of 21?

• There are no regulations addressing this precise question; however, it can reasonably be anticipated that the federal or state government will develop them later this year.

6. Federal law does not specifically mention “products containing nicotine,” which is in the Alaska state law. Does this mean that the sale of products containing nicotine is not subject to the federal minimum age of 21 and continues to be the Alaska state law minimum age of 19?

• No. Products containing nicotine may not be sold to persons under the age of 21. Excluding products containing nicotine would be contrary to one of the express purposes of the new federal law – to reduce the number of young people who become addicted to nicotine.

7. What does a business with an Alaska Business License Endorsement need to do to comply with this new federal law?

Immediately:

• Change the ENDORSEMENT WARNING SIGN to reflect the new age of sale.
• Ensure all employees know that federal law restricts the sale and purchase of tobacco products, electronic smoking products, and products containing nicotine to persons 21 and over.
• Keep informed.
• The FDA will publish regulations implementing the new law sometime this summer. But Alaska retailers must not wait until then to implement the new law. Retailers are expected to continue using the same procedures they have been using to verify a purchaser’s age. The FDA can help retailers by providing a “digital age verification calendar.” It can be obtained here: FDA's Center for Tobacco Products Exchange Lab

8. What if I have more questions about the new federal law - Tobacco 21?

• For additional questions on how to comply with federal law, contact the Food and Drug Administration (FDA) at AskCTP@fda.hss.gov or call 1-800-463-6332.
• Retailers, for more information go to the Alaska Department of Health and Social Services, Division of Public Health Tobacco Retailer Information webpage.

FDA has announced new enforcement policies for certain Electronic Nicotine Devices (ENDS) products. This is another term for electronic smoking devices such as vaping devices and e-cigarettes. FDA requires a review process (“premarket authorization”) for these products before they go on the market, and currently no ENDS products have been authorized by the FDA. This means that all ENDS products currently on the market are already considered illegally marketed and are subject to enforcement at FDA’s discretion.

1. Beginning February 6, 2020, FDA intends to prioritize enforcement against illegally marketed ENDS products by focusing on the following groups of products:

• Any flavored, cartridge-based ENDS product, other than a tobacco- or menthol- flavored ENDS product;
• All other ENDS products for which the manufacturer has failed to take adequate measures to prevent minors’ access;
• Any ENDS product that is targeted to minors or likely to promote use of ENDS by minors.

2. What happens if a retailer is still displaying a flavored product after Feb 6th?

• Retailers in violation of the FDA flavor band will be referred to the proper authorities.

3. What do I have to do to comply with the new Flavor Restriction federal law?

• Remove the restricted products from your shelves before Feb. 6, 2020.
• Keep informed.

4. What if I have more questions about the new federal law - Flavor Restrictions?

• For additional questions on how to comply with federal law, contact the Food and Drug Administration (FDA) at AskCTP@fda.hss.gov or call 1-800-463-6332.
• Information on FDA enforcement priorities for ENDS products.
• Retailers, for more information go to the Alaska Department of Health and Social Services, Division of Public Health Tobacco Retailer Information webpage.

Per Business Licensing Statutes AS 43.70.075(f) a person holding a Business License Endorsement must (mandatory) post a warning sign AND must (mandatory) display the warning sign in a manner conspicuous (easily seen) to a person purchasing or consuming tobacco products, electronic smoking products, or products containing nicotine on the licensed premises.

Click ENDORSEMENT WARNING SIGN and PRINT.

• Through 12/31/2018 a Business License Endorsement permitted the sale of tobacco products.
• Effective 1/1/2019 Business License Endorsement permits the sale of:
• Tobacco products;
• Electronic smoking products; and
• Products containing nicotine.

Yes.

Step #1: Obtain an Alaska Business License

Per AS 43.70.020, to engage in business activity in Alaska a State of Alaska Business License is required. For more information see How to Get Licensed.

Step #2: Obtain an Endorsement

Per AS 43.70.075, if you want to sell tobacco products you must purchase an Endorsement from Business Licensing with the Division of Corporation, Business and Professional Licensing for each physical location where tobacco products will be sold. For more information see question #5 below.

An Endorsement cannot stand by itself—it must be attached to an Alaska Business License and can be renewed with the business license. An Endorsement expires at the same time as the business license to which it is attached.

VENDING MACHINES: For vending machine sales of tobacco, the person who owns a vending machine that offers tobacco products for sale AND the person who holds the business license at the location where the vending machine is located are BOTH required to obtain an Endorsement.

IMPORTANT: It is the responsibility of the person who holds the business license and endorsement to be familiar with the proper sales of products. For more information, go to: Endorsement Penalties and Business Licensing Statutes and Regulations .

IN ADDITION: The State of Alaska, Dept. of Revenue licenses and levies taxes on cigarettes and tobacco products which are imported or transferred into Alaska. For more information including forms go to Dept. of Revenue, Tax Division, Tobacco Tax.

Yes. Effective 1/1/2019, per changes to Alaska Business Licensing Statutes (law) AS 43.70, a Business License Endorsement is required for each location where tobacco products, electronic smoking products, or nicotine products are sold.

Step #1: Obtain an Alaska Business License

Per AS 43.70.020, to engage in business activity in Alaska a State of Alaska Business License is required. For more information see How to Get Licensed.

Step #2: Obtain an Endorsement

Effective January 1, 2019, in addition to tobacco products, to sell electronic smoking products you must (mandatory) have a business license endorsement for each physical location where electronic smoking products will be sold.

An Endorsement cannot stand by itself — it must be attached to an Alaska Business License and can be renewed with the business license. An Endorsement expires at the same time as the business license to which it is attached.

VENDING MACHINES: For vending machine sales of tobacco, the person who owns a vending machine that offers tobacco products for sale AND the person who holds the business license at the location where the vending machine is located are BOTH required to obtain an Endorsement.

IMPORTANT: It is the responsibility of the person who holds the business license and endorsement to be familiar with the proper sales of products. For more information, go to: Endorsement Penalties and Business Licensing Statutes and Regulations .

Yes, Effective 1/1/2019 , per changes to Alaska Business Licensing Statutes (law) AS 43.70, a Business License Endorsement is required for each location where tobacco products, electronic smoking products, or nicotine products are sold.

Step #1: Obtain an Alaska Business License

Per AS 43.70.020, to engage in business activity in Alaska a State of Alaska Business License is required. For more information see How to Get Licensed.

Step #2: Obtain an Endorsement

Effective January 1, 2019, in addition to tobacco products, to sell products containing nicotine you must (mandatory) have a business license endorsement for each physical location where products containing nicotine will be sold.

An Endorsement cannot stand by itself — it must be attached to an Alaska Business License and can be renewed with the business license. An Endorsement expires at the same time as the business license to which it is attached.

VENDING MACHINES: For vending machine sales of tobacco, the person who owns a vending machine that offers tobacco products for sale AND the person who holds the business license at the location where the vending machine is located are BOTH required to obtain an Endorsement.

IMPORTANT: It is the responsibility of the person who holds the business license and endorsement to be familiar with the proper sales of products. For more information, go to: Endorsement Penalties and Business Licensing Statutes and Regulations .

No, it is ultimately the nature of the sale which determines whether an endorsement is required.

For all retail sales of Tobacco or electronic smoking devices, an endorsement IS required.

For a classic wholesale sale (from a wholesaler to a retailer) of Tobacco or electronic smoking devices, an endorsement is not required. Be aware a business license IS still required.

IMPORTANT: It is the responsibility of the person who holds the business license and endorsement to be familiar with the proper sales of products. For more information, go to: Endorsement Penalties and Business Licensing Statutes and Regulations.

Yes, if the out-of-state business is selling, in the State of Alaska, any product requiring an Endorsement, then the out-of-state business must have an Alaska Business License and an Alaska Endorsement.

• A Business License is required under AS 43.70.020(a) prior to engaging in business activity in the State of Alaska.
• An Endorsement is required under AS 43.70.075(a) prior to selling any product that requires an endorsement.

What if I don’t have a physical presence or location in Alaska?

• The requirement to obtain an Alaska Business License and Endorsement is based on business activity; it is not based upon whether the business has a physical presence or physical location in the State of Alaska.
• If any portion of a business activity occurs within the State of Alaska then, per Alaska Statutes (law), then the business must have an Alaska Business License.
• In addition, if the business is selling any product that require an endorsement then the business must have an Endorsement.

IMPORTANT: It is the responsibility of the person who holds the business license and endorsement to be familiar with the proper sales of products. For more information, go to: Endorsement Penalties and Business Licensing Statutes and Regulations.

Yes, if the pharmacy is selling, in the State of Alaska, any product requiring an Endorsement, then the pharmacy (whether in-state or out-of-state) must have an Alaska Business License and an Alaska Endorsement.

• A Business License is required under AS 43.70.020(a) prior to engaging in business activity in the State of Alaska.
• An Endorsement is required under AS 43.70.075(a) prior to selling any product that requires an endorsement.

What if the pharmacy is out-of-state?

• If an out-of-state pharmacy is selling in the State of Alaska any product requiring an Endorsement, then the out-of-state pharmacy must have an Alaska Business License and an Alaska Endorsement.
• The requirement to obtain an Alaska Business License and Endorsement is based on business activity; it is not based upon whether the pharmacy has a physical presence or physical location in the State of Alaska.
• If any portion of a business activity occurs within the State of Alaska then, per Alaska Statutes (law), then the pharmacy must have an Alaska Business License.
• In addition, if the pharmacy is selling any product that require an endorsement then the pharmacy must have an Endorsement.

What if the pharmacy is in a hospital?

• It depends upon the hospital and pharmacy’s business structure whether it is the hospital and/or the pharmacy (in the hospital) that would have the business license and endorsement.

IMPORTANT: It is the responsibility of the person who holds the business license and endorsement to be familiar with the proper sales of products. For more information, go to: Endorsement Penalties and Business Licensing Statutes and Regulations.

A separate Endorsement is required for each different physical location where products requiring an endorsement are sold.

An Endorsement cannot stand by itself — it must be attached to a business license. It can be renewed with the business license and it will expire at the same time the business license to which it is attached expires.

NEW Business License and NEW Endorsement:
For immediate processing file online at NEW Alaska Business License

EXISTING Business License:
If it is time to renew your existing business license then renew online for immediate processing and purchase an Endorsement for each location where products requiring an endorsement will be sold by going to RENEW Alaska Business License

If it is not time to renew your existing business license then complete NEW Endorsement(s) on an Existing Alaska Business License (Form 08-4730) and submit it by hardcopy (in-person, US Mail or fax) to this office along with the appropriate filing fee(s). Do not email payments or filings. For security reasons, do not email filings, payments, or other confidential information.

PROCESSING TIME FOR HARDCOPY APPLICATIONS: Standard processing time from March-September is 10-15 business days. During heavy business license filing season (October - February), processing time will be delayed. We do not offer expediting services.

Business License and Endorsement fees are non-refundable after the business license and endorsement have been issued, per 12 AAC 02.010 and 12 AAC 02.015.

RENEWING an existing Business License and existing Endorsement(s):
If you want to renew your existing endorsement(s) at the same time you are renewing the existing business license to which the endorsement(s) are attached, then you may either:

• Renew online for immediate processing;

• Submit hardcopy (in-person, US Mail or fax) the RENEW Alaska Business License and Tobacco Endorsement ( Form 08-4617) to this office along with the appropriate filing fee(s). Do not email payments or filings. For security reasons, do not email filings, payments, or other confidential information.

PROCESSING TIME FOR HARDCOPY APPLICATIONS: Standard processing time from March-September is 10-15 business days. During heavy business license filing season (October - February), processing time will be delayed. We do not offer expediting services.

Business License and Endorsement fees are non-refundable after the business license and endorsement have been issued, per 12 AAC 02.010 and 12 AAC 02.015.

An Endorsement is required for each location or outlet where products requiring an Endorsement are sold.

An Endorsement cannot stand on its own; it must be attached to a current business license.

The Endorsement fee is a flat rate $100 per location or outlet where products requiring an Endorsement are sold.

Endorsements expire on the same date as the business license to which they are attached.

Endorsements may renew at the same time as the business license to which they are attached.

TIP: The endorsement fee is a flat rate of $100 per location, whether you purchase a one or two-year business license. For a better bargain, purchase a business license with endorsement(s) for two years.

No, a new Endorsement will be required.

A separate endorsement is required for each physical location.

An Endorsement cannot stand on its own: it must be attached to a current business license.

An Endorsement will expire on the same date as the business license to which it is attached.

Adding a new Endorsement to a current (not expired) Business License:

If it is time to renew your existing business license then renew online for immediate processing and purchase an Endorsement for each location where products requiring an endorsement will be sold by going to RENEW Alaska Business License

If it is not time to renew your existing business license then complete NEW Endorsement(s) on an Existing Alaska Business License (Form 08-4730) and submit it by hardcopy (in-person, US Mail or fax) to this office along with the appropriate filing fee(s). Do not email payments or filings. For security reasons, do not email filings, payments, or other confidential information.

PROCESSING TIME FOR HARDCOPY APPLICATIONS: Standard processing time from March-September is 10-15 business days. During heavy business license filing season (October - February), processing time will be delayed. We do not offer expediting services.

Business License and Endorsement fees are non-refundable after the business license and endorsement have been issued, per 12 AAC 02.010 and 12 AAC 02.015.

Keep informed and know the law, both federal and state.

On December 20, 2019, President Trump signed legislation to amend the Federal Food, Drug, and Cosmetic Act, and raise the federal minimum age of sale of tobacco products from 18 to 21 years. It is now illegal for a retailer to sell tobacco products, electronic smoking products, or products containing nicotine to anyone under 21. For more information see above #1 Tobacco 21.

In addition the FDA announced new enforcement policies for certain electronic smoking devices. For more information see above #2 Flavor Restrictions.

IMPORTANT: It is the responsibility of the person who holds the business license and an endorsement to be familiar with the proper sales of products requiring a business license and an endorsement. For more information, go to: Endorsement Penalties and Business Licensing Statutes and Regulations.

IN ADDITION: The State of Alaska Department of Revenue licenses and levies taxes on cigarettes and tobacco products which are imported or transferred into Alaska. For more information including forms go to Dept. of Revenue, Tax Division, Tobacco Tax.

Keep informed and know the law, both federal and state.

On December 20, 2019, President Trump signed legislation to amend the Federal Food, Drug, and Cosmetic Act, and raise the federal minimum age of sale of tobacco products from 18 to 21 years. It is now illegal for a retailer to sell tobacco products, electronic smoking products, or products containing nicotine to anyone under 21. For more information see above #1 Tobacco 21.

In addition the FDA announced new enforcement policies for certain electronic smoking devices. For more information see above #2 Flavor Restrictions.

Effective January 1, 2019, to sell electronic smoking products or products containing nicotine you must (mandatory) have a business license endorsement for each physical location where electronic smoking products and products containing nicotine will be sold.

IMPORTANT: It is the responsibility of the person who holds the business license and an endorsement to be familiar with the proper sales of products requiring a business license and an endorsement. For more information, go to: Endorsement Penalties and Business Licensing Statutes and Regulations

As a result of the 30th Legislature SB15, a definition for “electronic smoking products” was added to Alaska Statute (law) AS 11.81.900, effective 1/1/2019:

AS 11.81.900(b)(23) "electronic smoking product"

1. means
1. any product containing or delivering nicotine or any other substance intended for human consumption that can be used by a person through inhalation of vapor or aerosol from the product, of any size or shape, whether the product is manufactured, distributed, marketed, or sold as an e-cigarette, e-cigar, e-pipe, e-hookah, vape pen, or any other product name or descriptor; or
2. a component, solution, alternative tobacco product, e-liquid, e-juice, vapor product, flavoring, or other related product of an electronic cigarette, electronic cigar, electronic cigarillo, electronic pipe, or other similar device of any size or shape used for, or to assist with, aerosolizing and inhaling chemical substances that may cause an adverse effect on human health;
2. does not include marijuana as defined in AS 11.71.900.
   NOTE: per AS 11.71.900, does not include resin or oil.

What does this mean?

• Regardless of the vaping flavor or content (i.e. fruit flavors, a product containing THC, etc.)
• IF you are selling ANY electronic smoking product (i.e. vapor flavors, electronic pipes, etc.)
• THEN you MUST have an Alaska Business License Endorsement.
  IMPORTANT: It is the responsibility of the person who holds the business license and endorsement to be familiar with the proper sale of products requiring a business license and an endorsement. For more information, go to: Endorsement Penalties and Business Licensing Statutes and Regulations

Yes. Effective 1/1/2019 to sell ANY electronic smoking product you MUST have an Alaska Business License endorsement.

IMPORTANT: Regardless of the vaping content (i.e. fruit flavors, a product containing THC, etc.) IF you are selling ANY electronic smoking product (i.e. vapor flavors, electronic pipe, etc.) THEN you MUST have an Alaska Business License Endorsement.

Business license endorsements are regulated by the Department of Commerce, Community and Economic Development, Business Licensing Section

A business license is required prior to engaging in business activity.

Per AS 43.70.020, to engage in business activity in Alaska a State of Alaska Business License is required. For more information see How to Get Licensed.

IF your business will be selling products that require a business license endorsement THEN you must have an Endorsement.

IMPORTANT: It is the responsibility of the person who holds the business license and endorsement to be familiar with the proper sale of products requiring a business license and an endorsement. For more information, go to: Endorsement Penalties and Business Licensing Statutes and Regulations

Marijuana is regulated by the Department of Commerce, Community and Economic Development, Alcohol and Marijuana Control Office.

Marijuana is regulated by the Department of Commerce, Community and Economic Development, Alcohol and Marijuana Control Office.

The Marijuana Control Board is established as a regulatory and quasi-judicial agency for the control of the cultivation, manufacture, and safe sale of marijuana in the state.

Alcohol and Marijuana Control Office

Keep informed and know the law, both federal and state.

On December 20, 2019, President Trump signed legislation to amend the Federal Food, Drug, and Cosmetic Act, and raise the federal minimum age of sale of tobacco products from 18 to 21 years. It is now illegal for a retailer to sell tobacco products, electronic smoking products, or products containing nicotine to anyone under 21. For more information see above #1 Tobacco 21.

In addition the FDA announced new enforcement policies for certain electronic smoking devices. For more information see above #2 Flavor Restrictions.

IMPORTANT: It is the responsibility of the person who holds the business license and an endorsement to be familiar with the proper sales of products requiring a business license and an endorsement.

For more information, go to:

• Business Licensing Statutes and Regulations
• Tobacco Endorsement Penalties
  (effective through 12/31/2018 for the sale of tobacco products only.)
• Endorsement Penalties
  (effective starting 1/1/2019 for the sale of tobacco products, electronic smoking products, or products containing nicotine.)

Additional penalties may exist under other agency statutes, such as but not limited to:

• AS 11 Criminal Law
• AS 43 Revenue and Taxation Law
• AS 18 Health, Safety, Housing, Human Rights, and Public Defender

Yes.

This means, for example, if your Endorsement is suspended for the violation of the sale of one product (i.e. tobacco products) then you cannot sell any other products the Endorsement authorizes (i.e. electronic smoking products, or products containing nicotine) during the penalty period.

For more information, go to:

• Business Licensing Statutes and Regulations
• Tobacco Endorsement Penalties
  (effective through 12/31/2018 for the sale of tobacco products only.)
• Endorsement Penalties
  (effective starting 1/1/2019 for the sale of tobacco products, electronic smoking products, or products containing nicotine.)

Additional penalties may exist under other agency statutes, such as but not limited to:

• AS 11 Criminal Law
• AS 43 Revenue and Taxation Law
• AS 18 Health, Safety, Housing, Human Rights, and Public Defender

For more information, go to: Complaint FAQs