HB 1574 Summary

• Establishes the offense of unlawful shipment of e-liquid products to unlicensed entities in Hawaii, with penalties of a class C felony for shipments valued at $10,000 or more and misdemeanor for lesser amounts.

• Includes e-liquid within the definition of "tobacco products" subject to excise tax, requiring retailers to obtain retail tobacco permits and wholesalers to obtain licenses from the department of taxation.

• Increases the wholesaler/dealer license fee from $2.50 to $250 and increases the retail tobacco permit fee from $20 to $50.

• Allocates $200,000 annually from tobacco product excise taxes to the Hawaii Tobacco Prevention and Control Trust Fund beginning July 1, 2019.

• Repeals Chapter 28, Part XII (delivery sales age verification requirements) and Section 245-17 relating to electronic smoking device delivery sales, replacing them with the broader unlawful shipment provisions.