(1) There is created within the General Fund a restricted account known as the “Electronic Cigarette Substance and Nicotine Product Proceeds Restricted Account.”

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Terms Used In Utah Code 59-14-807

  • Appropriation: The provision of funds, through an annual appropriations act or a permanent law, for federal agencies to make payments out of the Treasury for specified purposes. The formal federal spending process consists of two sequential steps: authorization
  • Cigarette: means a roll made wholly or in part of tobacco:
         (2)(a) regardless of:
              (2)(a)(i) the size of the roll;
              (2)(a)(ii) the shape of the roll;
              (2)(a)(iii) whether the tobacco is flavored, adulterated, or mixed with any other ingredient; or
              (2)(a)(iv) whether the tobacco is heated or burned; and
         (2)(b) if the roll has a wrapper or cover that is made of paper or any other substance or material except tobacco. See Utah Code 59-14-102
  • Electronic cigarette: means the same as that term is defined in Section 76-10-101. See Utah Code 59-14-102
  • Electronic cigarette substance: means the same as that term is defined in Section 76-10-101. See Utah Code 59-14-102
  • Equal: means , with respect to biological sex, of the same value. See Utah Code 68-3-12.5
  • Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
  • Nicotine: means the same as that term is defined in Section 76-10-101. See Utah Code 59-14-102
  • Nicotine product: means the same as that term is defined in Section 76-10-101. See Utah Code 59-14-102
  • Remainder: An interest in property that takes effect in the future at a specified time or after the occurrence of some event, such as the death of a life tenant.
  • Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.
  • State: when applied to the different parts of the United States, includes a state, district, or territory of the United States. See Utah Code 68-3-12.5
(2) The Electronic Cigarette Substance and Nicotine Product Proceeds Restricted Account consists of:

     (2)(a) revenue collected from the tax imposed by Section 59-14-804;
     (2)(b) fees and penalties collected under Section 59-14-810;
     (2)(c) all money received by the attorney general or the Department of Commerce as a result of any judgment, settlement, or compromise of claims pertaining to alleged violations of law related to the manufacture, marketing, distribution, or sale of electronic cigarette products, as defined in Section 76-10-101:

          (2)(c)(i) if the total amount of the judgment, settlement, or compromise received by the state exceeds $1,000,000; and
          (2)(c)(ii) after reimbursement to the attorney general and the Department of Commerce for expenses related to the matters described in Subsection (2)(c); and
     (2)(d) amounts appropriated by the Legislature.
(3)

     (3)(a) For each fiscal year and subject to appropriation by the Legislature, the Division of Finance shall distribute from the Electronic Cigarette Substance and Nicotine Product Proceeds Restricted Account:

          (3)(a)(i) $2,000,000, which shall be allocated to the local health departments by the Department of Health and Human Services using the formula created in accordance with Section 26A-1-116;
          (3)(a)(ii) $2,000,000 to the Department of Health and Human Services for statewide cessation programs and prevention education;
          (3)(a)(iii) $1,180,000 to the Department of Public Safety for law enforcement officers aimed at disrupting organizations and networks that provide tobacco products, electronic cigarette products, nicotine products, and other illegal controlled substances to minors;
          (3)(a)(iv) $3,000,000, which shall be allocated to the local health departments by the Department of Health and Human Services using the formula created in accordance with Section 26A-1-116;
          (3)(a)(v) $5,084,200 to the State Board of Education for school-based prevention programs;
          (3)(a)(vi) $2,000,000 to the Department of Health and Human Services for alcohol, tobacco, and other drug prevention, reduction, cessation, and control programs that promote unified messages and make use of media outlets, including radio, newspaper, billboards, and television; and
          (3)(a)(vii) of the money deposited under Section 59-14-810:

               (3)(a)(vii)(A) to the commission, in an amount equal to the amount necessary to create and maintain the registry described in Section 59-14-810;
               (3)(a)(vii)(B) to the Department of Health and Human Services, in an amount necessary for completing duties described in Section 59-14-810; and
               (3)(a)(vii)(C) to the Department of Health and Human Services, the remainder to be divided among the local health departments for inspection and enforcement described in Sections 26A-1-131 and 59-14-810.
     (3)(b) If the amount in the Electronic Cigarette Substance and Nicotine Product Proceeds Restricted Account is insufficient to cover the distributions described in Subsection (3)(a), the distribution amounts shall be adjusted proportionately.
(4)

     (4)(a) The local health departments shall use the money received in accordance with Subsection (3)(a) for enforcing:

          (4)(a)(i) the regulation provisions described in Section 26B-7-505;
          (4)(a)(ii) the labeling requirement described in Section 26B-7-505; and
          (4)(a)(iii) the penalty provisions described in Section 26B-7-518.
     (4)(b) The Department of Health and Human Services shall use the money received in accordance with Subsection (3)(a)(ii) for the Youth Electronic Cigarette, Marijuana, and Other Drug Prevention Program created in Section 26B-1-428.
     (4)(c) The local health departments shall use the money received in accordance with Subsection (3)(a)(iv) to issue grants under the Electronic Cigarette, Marijuana, and Other Drug Prevention Grant Program created in Section 26A-1-129.
     (4)(d) The State Board of Education shall use the money received in accordance with Subsection (3)(a)(v) to distribute to local education agencies to pay for:

          (4)(d)(i)

               (4)(d)(i)(A) stipends for positive behaviors specialists as described in Subsection 53G-10-407(4)(a)(i);
               (4)(d)(i)(B) the cost of administering the positive behaviors plan as described in Subsection 53G-10-407(4)(a)(ii); and
               (4)(d)(i)(C) the cost of implementing an Underage Drinking and Substance Abuse Prevention Program in grade 4 or 5, as described in Subsection 53G-10-406(3)(b); or
          (4)(d)(ii) a comprehensive prevention plan, as that term is defined in Section 53F-2-525.
(5)

     (5)(a) The fund shall earn interest.
     (5)(b) All interest earned on fund money shall be deposited into the fund.
(6) Subject to legislative appropriations, funds remaining in the Electronic Cigarette Substance and Nicotine Product Proceeds Restricted Account after the distribution described in Subsection (3) may only be used for:

     (6)(a) funding commission personnel to enforce compliance with the tax collection requirements of this part; and
     (6)(b) programs and activities related to the prevention and cessation of electronic cigarette, nicotine products, marijuana, and other drug use.