AZ SB1130

Establishes a statewide tobacco retail sales licensing system requiring all tobacco retailers to obtain and display a valid license from the Department of Health Services beginning January 1, 2026.

Expands the definition of "tobacco product" to include electronic smoking devices and vaping products, along with components and accessories, while clarifying FDA-approved products are excluded.

Shifts enforcement from criminal penalties to civil penalties for violations, with escalating fines ($500-$3,000) and sales prohibitions based on violation frequency within 36 months.

Requires retailers to verify age using government-issued photo identification before selling tobacco products (except for customers appearing 30 or older) and mandates employee training on age verification and tobacco sales laws.

Mandates at least two annual unannounced compliance checks using underage purchasers to test retailer compliance, with results published online and noncompliant vendors subject to follow-up inspections within three months.