Indiana House Committee Passes E-Cig Bill 1432

On Wednesday, February 18, 2015, the Indiana House committee passed a bill that, if turned into law, will put sweeping regulations on e-juice. Despite testimony from vape shop owners who complained because the bill punishes the ethical vendors along with the unethical ones, House Bill 1432 passed the committee 9-2 and will now move onto the House floor in the next session. The bill puts drastic regulations on the manufacturing and sale of e-liquids that, if the bill is made into law, will shut down most small vendors and hand the local industry over to Big Tobacco and others who will be able to pay to play. Among other things, the bill requires e-juice mixers to have a $5,000 retail tobacco certificate and limits the ingredients juice chefs can use. 

Summary of the bill:

Regulation of e-liquids. Requires a manufacturer that manufactures, bottles, or stores e-liquid to have a permit issued by the alcohol and tobacco commission (commission). Establishes requirements to obtain a permit to manufacture e-liquid. Establishes penalties for not complying with the terms of the permit. Prohibits a retailer from selling e-liquid: (1) to a minor; (2) that is purchased from a manufacturer that does not have a permit; or (3) that has been altered or tampered with. Allows a permit holder to bring a civil action for violations of the e-liquids laws. Provides that e-liquid manufacturing equipment must be cleaned and sanitized to the same standard as commercial kitchens.Allows the commission to approve not less than three, independent laboratories for e-liquid sample testing. Requires manufacturing facilities to create and maintain clean room space where all mixing, bottling, and packaging of e-liquids must occur. Requires manufacturers to store and maintain three, 10 milliliter samples of e-liquid from each production batch for a period of not less than three years.Requires existing e-liquid inventory to be sold or removed prior to July 1, 2016. Requires all manufacturers to obtain a valid tobacco sales certificate, an e-liquid manufacturing permit, or a distributor's license by July 1, 2016.