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HomeMy WebLinkAbout06/17/1997, 2 - REGULATION OF THE SALE AND DISTRIBUTION OF TOBACCO PRODUCTS jcouncil ;, _ y acenaa uepont C I TY OF SAN LU IS O B I S P O FROM: Jeffrey G.Jorgensen ity Attorney SUBJECT: Regulation of the Sale and Distribution of Tobacco Products CAO RECOMMENDATION Introduce an Ordinance to Print Amending Title 8 of the City's Municipal Code to Include a New Chapter(8.18)Restricting the Display of Tobacco Products for the Purposes of Sale and Prohibiting the Sale of Tobacco Products to Minors. DISCUSSION At the May 27, 1997 City Council meeting, Councilperson Smith presented a communication item requesting staff to draft an ordinance regulating the display of tobacco products and prohibiting the sale of tobacco products to minors for Council consideration. The attached ordinance is modeled closely after a similar ordinance adopted by the City of Santa Barbara. The ordinance would regulate the sale and distribution of tobacco products in the following ways: • It requires the posting of specified signs indicating that the sale of tobacco products to minors is prohibited and that photo I.D. is required. • It prohibits the sale of tobacco products to minors and requires identification. • With certain exceptions, it prohibits the sale of tobacco products by self-service display, and requires all sales to be exclusively by means of vendor assistance. • It requires that cartons of cigarettes, multi-container packages of smokeless tobacco and cigars and pipe tobacco be under the direct observation of the vendor. • It prohibits out-of-package sales. Similar ordinances have been adopted by numerous California cities and counties. They have generally been well received, and have proven to be an effective tool in limiting access to tobacco products by minors. The Federal Food and Drug Administration(FDA)has developed rules designated to restrict access to tobacco products by minors, which will take effect on August 28, 1997. The proposed Council Agenda Report-Title of Report Page 2 ordinance is more restrictive than the FDA rules, and therefore will require the City to apply for an exemption from Federal preemption. It is not anticipated that the application for exemption will be unduly burdensome,but should the FDA amend its rules further, amendments to the ordinance may be required in the future. ENFORCEMENT In order to minimize the potential administrative impact on the City, enforcement of the ordinance will be on a complaint only basis and will emphasize education and voluntary compliance rather than a punitive or prosecutorial approach. The City developed a detailed "self-enforcement" procedure in 1990 as a part of its comprehensive amendments of the smoking ordinance. That procedure has proven to be highly effective, and staff proposes to use a similar approach with the enforcement of this ordinance. In addition, Susan Hughes, Director of Health Promotion of the San Luis Obispo County Health Department Tobacco Control Program, has graciously agreed to assist the City by identifying tobacco vendors, providing them with a copy of the ordinance, and assisting with an educational campaign. CONCURRENCES The City Administrative Officer and Police Chief concur in the recommendation. FISCAL EAPACT Initially, there will be some impact on the City Administrator's Office to implement the self- enforcement procedure, coordinate with the County Health Department, notify tobacco vendors of the new requirements, and respond to complaints, if any. So long as the recommended emphasis on education and voluntary compliance is used, it is not anticipated that the added workload will be significant. To the extent further enforcement becomes necessary, there will be additional impacts on the Police Department and City Attorney's Office. ALTERNATIVES 1. The Council may defer action on an ordinance until the FDA rules go into effect on August 28, 1997. This alternative would provide us with the advantage of knowing what the FDA's final rules are, and remove any potential ambiguity or conflict in our ordinance. 2. The Council may decline to regulate in this area and rely upon the FDA rules. This alternative would provide a lesser level of regulation of the display of tobacco products and sales to minors. Attachments: A-Proposed Ordinance B-5/22/97 Memo from Kathy Smith ORDINANCE NO. (1997 Series) AN ORDINANCE OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO ADDING CHAPTER 8.18 OF THE SAN LUIS OBISPO MUNICIPAL CODE RESTRICTING THE DISPLAY OF TOBACCO PRODUCTS FOR THE PURPOSES OF SALE AND PROHIBITING THE SALE OF TOBACCO PRODUCTS TO MINORS BE IT ORDAINED BY THE COUNCIL OF THE CITY OF SAN LUIS OBISPO AS FOLLOWS: SECTION 1. Chapter 8.18 of the San Luis Obispo Municipal Code is hereby added to read as follows: Chapter 8.18 REGULATION OF THE SALE AND DISTRIBUTION OF TOBACCO PRODUCTS SECTIONS: 8.18.010 Posting of Signs. 8.18.020 Sales to Minors. 8.18.030 Self-Service Sales of Tobacco. 8.18.040 Out of Package Sales. 8.18.050 Violation-Penalty. 8.18.010 Posting of Signs. Any person, business, tobacco retailer, or other establishment subject to this chapter shall post plainly visible signs at the point of purchase of tobacco products which state: "SALE OF TOBACCO PRODUCTS TO PERSONS UNDER EIGHTEEN YEARS OF AGE IS PROHIBITED BY LAW, PHOTO I.D. REQUIRED." The letters of said signs must be at least one-half inch (1/2') high. -3 dt1'nnHmntnt d Ordinance No. (1997 Series) Page Two 8.18.020 Sales to Minors. No person, business, tobacco retailer, or owner, manager, or operator of any establishment subject to this chapter shall sell, offer to sell or permit to be sold any tobacco product to an individual without requesting and examining identification establishing the purchaser's age as eighteen years or greater unless the seller has some reasonable basis for determining that the buyer is at least eighteen years of age. 8.18.030 Self-Service Sales of Tobacco. A. Sales of Tobacco Products by the Pack. It shall be unlawful for any person, business, or tobacco retailer within the City to sell, offer for sale, or display for sale any tobacco product by means of a self-service display. All tobacco products (other than cartons of cigarettes, multi-container packages of smokeless tobacco and cigars and pipe toabcco displayed for sale pursuant to subparagraph B below) shall be offered for sale exclusively by means of vendor/employee assistance. B. Sales of Cartons, Cigars, and Pipe Tobacco. Cartons of cigarettes, multi-container packages of smokeless tobacco and cigars and pipe tobacco may be sold by means of self-service merchandising displays only when such product displays are under the direct observation of a vendor/employee. Tobacco products shall be deemed to be under direct observation of a vendor/employee only if the tobacco products themselves (and not merely the racks, shelves, kiosks, etc., where the products are displayed) are in the plain and direct view of a store employee at all times. 8.18.040 Out of Package Sales. No person, business, tobacco retailer or other establishment shall sell or offer for sale cigarettes or other tobacco or smoking products not in the original packaging provided by the manufacturer and with all required health warnings. 8.18.050 Violation - Penalty. Any person, business owner, or proprietor, or employee of any business or establishment subject to the requirements of this Chapter who violates any mandatory Ordinance No. (1997) Page Three provision of this chapter shall be guilty of an infraction, and is subject to punishment as provided for in Chapter 1.12 of this Code. SECTION 2. A summary of this ordinance, together with the names of Councilmembers voting for and against, shall be published at least five (5) days prior to its final passage, in the Telegram-Tribune, a newspaper published and circulated in this City. This ordinance shall go into effect at the expiration of thirty (30) days after its final passage. INTRODUCED AND PASSED TO PRINT by the Council of the City of San Luis Obispo at its meeting held on the day of 1997, on a motion of roll call vote: seconded by , and on the following Ayes: Noes: Absent: Mayor ATTEST: City Clerk APPROVED: ley May 22, 1997 Communication for May 27 Agenda TO:City Council Members FROM: Kathy Smith4&, --- RE:Agendizing proposed ordinance I have been meeting with Dr. Steve Hansen (Jeff Jorgenson present once) regarding a proposed ordinance I would like the Council to consider ASAP. The ordinance concept is quite straight forward and serves to make a statement about our concern for our youth in terms of tobacco addiction. The major component is that of removing counter-top displays of cigarettes from all retail establishments —probably not a large number left in SLO. Additionally its enforcement would be proposed as complaint-based. In my view, we need this Ordinance in San Luis —it is already in Santa Barbara, Carpenteria and other cities in California. My request will be to agendize this issue and instruct staff to draft an ordinance for our consideration. Your concurrence on this first step will be appreciated. CC:John Dunn Jeff Jorgenson Jim Gardiner Attachment B ORDINANCE NO. (1997 Series) AN ORDINANCE OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO ADDING CHAPTER 8.18 OF THE SAN LUIS OBISPO MUNICIPAL CODE RESTRICTING THE DISPLAY OF TOBACCO PRODUCTS FOR THE PURPOSES OF SALE AND PROHIBITING THE SALE OF TOBACCO PRODUCTS TO MINORS On June 17, 1997, the San Luis Obispo City Council voted to introduce Ordinance No. (1997 Series), which adds Chapter 8.18 to the San Luis Obispo Municipal Code, restricting the display and sale of tobacco products for the purpose of prohibiting the sale of tobacco products to minors. The ordinance requires the posting of signs for the sale of tobacco products; prohibits sale of tobacco products to minors; prohibits the sale of tobacco products by the pack from self-service display machines; provides that tobacco products in cartons or multi-container packages must be displayed for sale only when under the direct supervision of a store employee; and, prohibits sale of tobacco products not in original packaging by the manufacturer. The Council must vote again to approve the ordinance before it can take effect. That action is tentatively scheduled for July 1, 1997, at a regular City Council meeting to begin at 7:00 p.m. in the Council Chambers of City Hall, 990 Palm Street. Copies of the complete ordinance are available in the City Clerk's Office, Room No. 1 of City hall. For more information, contact the City Attorney's Office at 781-7140. JUN-17-97 TUE 13 :54 TCP MEE7i�l�ti!'-`235 AGENDA P 02 DATE ITEM # San Luis Obispo County Tobacco Control Coalition 285 South Street, Suite M San Luis Obispo, CA 93401 June 17, 1997 AECEIVED JUN 1 7 1997 ' CIL 0 CDD DIR 0 FIN DIR Mayor Allen K. Settle SLO CITY COUNCIL AO 0 FIRE CHIEF City of San Luis Obispo ORNEY 0 PW DIR 990 Palm Street CLERKIORIG 0 POLICE CHF 0 MGMT TEAM 0 REC DIR San Luis Obispo, CA 93401 0 IJ UTIL DIR ❑ PERS DIR Dear Mayor and Council Members: We,the San Luis Obispo County Tobacco Control Coalition, urge you to support the self- service tobacco display ordinance before you tonight. Certainly, we all agree that we as a community want to prevent our children from failing prey to the deadly addiction of tobacco.The ordinance you are considering tonight is one of the most effective ways of doing this. Similar ordinances in the neighboring counties of Santa Barbara, Monterey and Kern have successfully reduced the sales rate of tobacco products to minors and we are sure it will do the same here. Once again, the San Luis Obispo City Council has the opportunity to be the leader in this county in caring for the health and well-being of its citizens. We thank you in advance your support. , l C� - JUN-1'/-1'JtU 1.5;d4 K-HL I H bFJ14'Itl� H.bl/bl ETING AGENDA 7 , DATE -1 '97 ITEM # ' FAXi Date 06/17/97 INumber of pages including cover sheet ? TO: Honorable Councilpersons FROM: Dawn M. Dunn Greg Hart Tobacco Prevention and Elinor Langer NCIL 0 C D DIR Control Program a�pppp O O FI DIR Helen BeaverIA B'Ael►o O FI E CHIEF 300 San Antonio Road Tom Roberts "`ERWOR G o P DCE,CHF Santa Barbara, CA 93110 cum Y C DIR O O DIR O DIR Phone 564-5318 Phone (805) 681-5408 FaX Phone 564-5475 Fax Phone 805 681-4782 CC: Honorable,.AllemK:`Seftle Ma or, San Luis Obispo REMARKS: ® Urgent ❑ For your review ® Reply ASAP ❑ Please Comment I am aware that the City Council is in session and apologize for routing this to your attention today. I have just been informed that the San Luis Opisbo City Council is considering the enactment of a self-service display ban tonight at their Council meeting. Ms. Beeman, of the California Grocers Association (CGA), as well as representatives of the Southland Corporation (7-11) have requested a delay of the hearing. 1 think it might be useful to the Mayor and fellow Councilpersons of fan Luis Obispo if you (individually or collectively) could share your experience with the CGWs involvement with the enactment of Santa Barbara City's ordinance. You can FAX the Mayor at City Hall at 781-7109 or call him at 781-7119. Thank you in advance for your feedback. p.s. Councilmember Hart As a follow-up to the local law enforcement training regarding youth access laws, can you provide me with your contact at the Santa Barbara Police Department? ECEIVED J i SLO CITY COUNCIL ----------------- i i TOTAL P.01 MEETING AGENDA DATE - -tL ITEM #Why • SelfwService D'101splay dans Self-Service Cigarette Display Bans : 1. Reduce Shoplifting 2. Increase ID Checking 3. Reduce Illegal Sales to Youth . 4. Reduce In-Store Advertising � OUNCIL O CDD DIR AO G FIN DIR VCAO O FIRE CHIEF TTORNEY O PW DIR CLERKIORIG 1 POLICE CHF O G TEAM O REC DIR 3 UTIL DIR 0 PERS DIR Self-Service Tobacco Display Ordinance ----------------------------------------------------------- -------- Tobacco & The following facts show the problem of tobacco use among youth: Youth * Each day, more than 200 California teenagers become smokers. That is one child every 7 minutes., " More than half of all smokers begin smoking before the age of 14, and 90%begin by the age of 19. If individuals do not begin smoking a as teenagers, they will likely never start smoking.: * Studies have shown that shoplifting is a common behavior among teens; in fact, 1 in 10 teenagers reported shoplifting as their primary means of obtaining cigarettes.3 * Tobacco use is increasing among youth.. * In San Luis Obispo, tobacco use is higher than the state average: Youth Smoking Prevalence in San Luis Obispo CA(%) San Luis Obispo(%) 1990 9.1 12.0 1993 9.1 13.5 1994 10.9 N/A 1995 11.9 N/A Reasons for increase: a. Influence of tobacco advertising. Tobacco products are among the most heavily advertised and promoted products in the United States, with the tobacco industry spending more than $6 billion annually.s b. Influence of peers and parents. C. Easy access to tobacco products. Illegal tobacco sales are most common in Gas Stations (45%); Liquor Stores (35%); Small Groceries (30%); and Gas/Convenience Stores (29%).6 " Smoking is a"gateway" to other drug dependencies. Teens who smoke heavily(one pack per day) are 3 times more likely to use alcohol, 8 times more likely to use marijuana, and 22 times more likely to use cocaine., The The following statistics illustrate the problem of illegal tobacco sales to minors: Problem According to Youth Purchase Surveys conducted during 1995- 1996 e In San Luis Obispo County, illegal tobacco sales to teens was 34% compared to the state rate of 29.3%. * In the San Luis Obispo County 1996 survey, 22% of self-service attempts topurchase tobacco products resulted in an illegal sale compared to 16% of clerk-assisted attempts. Statewide, 46% of self-service attempts to purchase tobacco products resulted in an illegal sale compared.to 33% of clerk-assisted attempts. Stop Tobacco Access to Kids Enforcement (STAKE) Act Compliance Checks9 * In San Luis Obispo County, 35% of stores investigated sold tobaccoto teens. Proposed The proposed self-service tobacco display ordinance would require that all Ordinance individual package tobacco sales transactions be made with clerk assistance. All such tobacco products would be sold from behind the sales counter or from cases accessible to store employees only, while cartons, multi-packs of chewing tobacco, pipe tobacco and cigars must be in direct view of an employee at all times. Out of package sales are prohibited. Special signage and photo ID is required. This proposed ordinance will help prevent illegal sales of tobacco products to minors and will eliminate shoplifting. Ordinance A self-service tobacco display ordinance reduces youth access to tobacco in three Impact ways: 1. Discourages underage buyers who might not be assertive enough to ask for tobacco from an employee 2. Promotes ID checking by clerks (due to increased interaction with the customer). In fact, studies by San Diego State University and Universit of Minnesota found that when IN were checked, sales were refused 97% of the time. 3. Eliminates shoplifting. Reduction of The following cities reported a reduction in illegal sales rate to minors after Illegal Sales enactment of a self-service ban ordinance: City(ies) Pre- Post- Comments ordinance ordinance sales rates sales rates Monterey/Salinas, CA,: 64% 11% Before 1994 1996 *Carpinteria, CAis 50% 0% 0% for the last 2 youth purchase surveys *Poway, CA14 25-35% 7% * Post-ordinance sales rate=1-year enactment of the ordinance. In 3 cities (Rohnert Park, Novato & Sebastopol) that did not pass a self-service ban ordinance but opted for sight surveillance instead (tobacco products in full view of the clerk), sales rates remained significantly high at 53-89%. When the city of Sebastopol revised its ordinance to include the self-services ban regulation the sales rate dropped from 53% to 13%.ii Support for The following organizations/agencies support the ordinance: Ordinance * San Luis Obispo County Public Health Agency * San Luis Obispo Tobacco Control Coalition * San Luis Obispo County Medical Society In addition: * President Clinton announced the release of federal regulations allowing the Food and Drug Administration(FDA) to regulate how tobacco is marketed to youth. A ban on self-service merchandise is one of the regulations. * A national survey by Robert Wood Johnson Foundation found that 78% of respondents supported a ban on self-service merchandise to prevent shoplifting by youth.is * A self-service tobacco display ordinance has been adopted in over 100 cities and counties nationwide(Massachusetts,New Jersey, Minnesota, Wisconsin, Utah, Pennsylvania and Maine) and at least 40 cities and counties in California. * A working group of 27 state Attorneys General recommended a ban on self-service displays.i6 Arguments & Counter Arguments Regarding a Self-Service Ban Arguments Counter Arguments Tobacco sales to minors is *In San Luis Obispo County, 34% of retailers were willing to not a problem. Retailers sell tobacco to minors.& do not sell to minors. *Twenty-two Percent of self-service attempts to purchase tobacco products resulted in an illegal sale compared to 16% of clerk-assisted attempts.s *Over 29 million pacts of cigarettes are sold to California children annually, generating $62.5 million in sales revenue for the tobacco industry.n Merchant education is the *More than 1 in 3 San Luis Obispo County retailers are selling best way to reduce sales to tobacco to minors, despite education efforts.& minors. The We Card *To be effective, merchant education must be ongoing. In Santa program is a good Barbara and Santa Clara, the sales rate increased when education example. (We Card conducted by CGA) ceased.jug *Surveys from STAMP, Poway, Carpinteria and Monterey/Salinas revealed that after enactment of the ordinance the illegal sales rate to minors decrease significantly. (Poway- 7%; Carpinteria-0%; and Monterey/Salinas 11%)11.12,13.1. *Illegal tobacco sales are most common in Gas Stations(45%); Liquor Stores(35%); Small Groceries (30%); and Convenience Stores(29%). 6 *Reducing sales to minors requires a comprehensive approach. *Retailers need various avenues to be reminded about the law. Stop picking on retailers. *Under PC308b, youth are fined $75 or serve 30 hours of Target/fine youth and their community service for purchasing or possessing tobacco. parents. *Thousands of youth and parents could potentially be fined, but this does not get at the source of the problem. *When one merchant complies with the law, hundreds of youth are impacted. Since there are fewer merchants than there are youth, it is more efficient and cost effective to target merchants. *The state, county, and local tobacco education programs are committed to anti-tobacco efforts, especially those that target youth. Projects include anti-tobacco mass media messages, activities in/with the schools, community/school presentations A line of sight ordinance *Line of sight is designed to prevent theft; it does nothing to would be sufficient. prevent illegal sales of tobacco products to minors. *Difficult to enforce due to differing interpretations of line of sight. Arguments & Counter Arguments Regarding a Self-Service Ban Arguments Counter-Arguments The FDA regulations will *A local ordinance is easier to enforce than a federal regulation. eliminate self-service *The FDA regulations include the self-service display ban and displays. are scheduled to be implemented August 1997. However, litigation may prevent implementation. Shoplifting of tobacco *Studies show that shoplifting is a common behavior among products by minors is not a teens; 1 in 10 teenagers report shoplifting as their primary means problem. of obtaining cigarettes. 3 *Since stealing cigarettes is more common in stores that use self- service displays than in stores that use vendor-assisted displays, and since many stores report cigarettes as the most stolen item, many retailers have voluntarily eliminated self-service displays.3s, *Surveys from STAMP, Poway, and Carpinteria revealed that after enactment of the ordinance retailers noted a reduction in theft (Specifically in Poway and Carpinteria there was a 20 and 33% reduction, respectively.)il.13.14 Ordinance compliance will Surveys from STAMP, Poway, and Carpinteria revealed that necessitate costly after enactment of the ordinance retailers reported: 11.13.14 architectural/structural *little or no architectural/structural expenses. changes. *received locked cabinets or shelves from tobacco distributorstcompanies. *According to a recent San Luis Obispo merchant survey, 43% of the respondents already implement vendor-assisted sales. IU Retailers will lose slotting *Retailers can receive slotting fees from other non-tobacco fees (monies paid to stores companies. for prominent floor, shelf, *Not all retailers receive slotting fees. advertisement space). *Surveys from STAMP, Poway. and Carpinteria revealed that after enactment of the ordinance.11,13,14 - the majority of retailers did not lose slotting fees. - retailers still received slotting fees, promotional allowances, and advertising fees from tobacco companies. *The only economic impact will be the loss of sales tax revenues and store profits from tobacco no longer sold to minors. Already a state law *There is limited or no enforcement of the law. prohibiting tobacco sales to *More than I in 3 stores still sell tobacco to minors in San Luis minors(PC308a). Obispo. s Youth Access Tobacco Ordinances/Laws State Mandate ♦ The California Legislature set a goal of reducing smoking prevalence in California to 6.5% by 1999. Achievement of this goal requires a major reduction in the uptake of smoking by youth. (Health and Safety Code, Section 24163) Federal Mandate: Synar Amendment ♦ In June 1992, the federal government enacted a law, known as the Synar Amendment, which requires states toe c and enforce a law prohibiting the sale or distribution of tobacco products to youth under the age of 18. ♦ The Synar Amendment requires states to reduce their sales rates of tobacco to minors to no more than 20%by the year 2000. Failure to do so could result in a cut of up to 40%in a state's annual Substance Abuse Prevention and Treatment Block Grant-a loss of approximately$60 million for California. Sacramento County's recent Youth Purchase Survey(June 1996) revealed a 36%illegal sales rate to minors which will significantly affect the 20% goal if not reduced. Stop Tobacco Access to Kids Enforcement (STAKE) Act ♦ September 28, 1994, the California STAKE Act was signed into law. It establishes a statewide tobacco enforcement program for Penal Code 308 which prohibits the sale of tobacco products to persons under the age of 18. ♦ The STAKE Act requires the California Department of Health Services(DHS) Food and Drug Branch(FDB)to establish and operate a statewide enforcement program to reduce tobacco sales to youth. If a resident witnesses an illegal sale,they should call 1-800-5-ASK-4-ID. ♦ Civil penalties are assessed against owners of retail stores and businesses which violate the state law prohibiting tobacco sales to youth. Fines range from$200-$6,000 depending on repeated sales by the individual stores. 44 Counties and Cities in California with a Self-Service Tobacco Merchandise Ban Ordinance Kern County Santa Barbara County Shafter Carpinteria Santa Barbara City Marin County _ Belvedere San Diego County Corte Madera Chula Vista Fairfax Imperial Beach Larkspur Poway Mill Valley Vista San Anselmo San Rafael San Francisco County Sausalito San Francisco City,&County Tiburon Marin County Santa Clara Palo Alto Mendocino County Fort Bragg Solano County Ukiah Vallejo Mendocino County Sonoma County Monterey County Cotati Monterey County Healdsburg Salinas Petaluma Santa Rosa Napa County Sebastapol Calistoca Sonoma City& County Napa City&-County Windsor ~� limon City Yountville San Mateo County Belmont Foster Citv San Mateo City& County San Bernadino County Redlands Suurce:ANR S Rick Cropp.Noah Oaf•lieallh Resources 1197 References 1. Tobacco Use in California,CA Department of Health Services,1992. 2. Strategies to Control Tobacco Use in the U.S.:A Blueprint for Public Health Action in 1990'x.U.S.Department of Health and Human Services,Public Health Service,National Institute for Health,Nation Cancer Institute, Publication no.92-3316,December 1991;and NIDA,Drug Use Among American High School Seniors,College Students and Young Aduhs,1991. 3. Little R.Hottest picks in grocery store. USA Today,USA Snapshot,December 13,1990;and Cimoski J.Sheridan M.Tobacco acquisition practices of adolescents in two Wisconsin communities. Wisconsin Medical Journal,1994; 93:585-91. 4. Source:Pierce JP.Evans N.Cavin SW.Kealey S.Krell AM,Farkas Al,Berry C.Kaplan RM. Tobacco Use in California;Regional vs.State Level Changes. 1990.1993,Sacramento County. La Jolla,California:University of California,San Diego;1994. 5. DiFranra JR.&Tye JH. Who Profits from Tobacco Sales to Children?JAMA. 1990:263:2784-2787. 6. California Youth Tobacco Purchase Surveys,1995-1996. Tobacco Control Section,California Department of Health Services,1996. 7. National Institute on Drug Abuse,National Survey Results on Drug Use from Monitoring the Future Survey,1975- 1992,Vol.2,Bethesda,MD;U.S.Department of Health and Juman Services,Public Health Service,National Institute of Health,1993,Publication no.93-3598. 8. San Luis Obispo County Public Health Agency Tobacco Control Program Youth Purchase Survey, June 1996. 9. Source:California Department of Health Services,Food&Drug Branch Data collected from December 27,1995 to Decembcr 31,1996. 10. Unpublished report Tobacco Product Placement&Sales to Minors-How arc they related? Project TRUST,1996. 11. Kropp,RiclkA report on the impact ofSTAMP's comprehensive youth access ordinance regulations,including self-servicelvendor-assisted regulations,on over-the-counter tobacco sales to minors from retail stores in 15 Northern California cines. North Bay health Resources Center,Stop Tobacco Access for Minors Project(STAMP) Petaluma,CA June 2,1995. 12. Monterey County Department of Education and Prevention Program Youth Purchase Survey,1996. 13. Unpublished report. Carpinteria Self-Service Cigarette Display Ban:EconomicImpact&AttitudinalAssessment. Santa Barbara County Tobacco Education Prevention Program,November 1996. 14. Unpublished report The Impact of a Local Ordinance Prohibiting Self-Service Sales of Tobacco:A Case Study Of the City of Poway,Project TRUST. 15. Robert Woad Johnson Foundation Youth Access Survey:Results ofa National Household Survey to assess Public Attitudes about PolicyAltemativesforLimitingMinor'sAccesstoTobaccoProducts. Prhwxton,NJ:Mathematiea Policy Research,Inc.,December 1994. 16. Findings and Recommendations of a Working Group of State Attorneys General. No Sale:Youth,Tobacco and Responsible Retailing,Developing Responsible Retail Sales Practices and Legislation to Reduce Illegal Tobacco Sales to Minors.December 1994. 17. Cummings. The Illegal Sale of Cigarettes to U.S.Minors,Estimated by State,APHA, 1994:84:300-302. 18. Altman,D.G.Rasenick-Douss,I_,and Tye J.:Sustained effects of an education program to reduce sales of cigarettes to motors AJPH 81:891- 893,July 1991. 19. Unpublished report,Underage Tobacco Purchases in the City ofSanta Barbara. A Special Report by the Santa Barbara County Tobacco Education Prevention Program to the Santa Barbara City Council,November 1996. 20. San Luis Obispo Survey,regarding Self-Service Tobacco Displays San Luis Obispo County Tobacco Control Program, June 1997. 21. Institute of Medicine. Growing up tobacco free;Preventing nicotine addiction in children and youths Washington,DC;National Academy Press, 1994;and Wildey MB,Woodruff SI,Pampalone SZ,ct al. Self-service sale of tobacco:How it contributes to youth access Tobacco Control 1995;4:355.61. MEETING AGENDA loom DATE 6-1�1 99 ITEr . I.■ Sacramento O llcer I)1,(•ri 5l rrrl,}ui15'71111 California Grocers Association tiaa'fa111C'It t, )5KI.1 '1'iF f',Ihl 4qh 4s,5 V":VIVO 44K 4'N', - E I.KSI G l'lil•:FUl)I)INDI NTRY 01:CALIFORNIA SINI'1% 1xt)t SouthernCalifornia Offtcel 1(IoWr%,I5fn;5dway JUN 1 6 1997 `""" �NNCIL O CDD DIR 5x aa'�a•I,,CA'XIhnc e 16, 1997 "AO 0 FIN DIR i1:f 51511142 MGM P"r-Ztl�TITY COUNCIL C9'A 0 O FIRE CHIEF ,, ! Board of Directors T NEY O PW DIR 19KLERKIORIG O POLICE CHF olfiCV*. p MGMT TEAM p REC DIR ch'irmmtnflhr,5.,,fJp O UTIL DIR luriuu,h K1,21rdi +l�,r••.r',,�,r The Honorable Allen K. Settle p G PERS DIR Fi,,,v.crch"'rma" Mayor, City of San Luis Obispo 1',+,LrN,l�+hl F•IXuf;t,unJhuf,' City Hall FAX .ntd ri.v ciu,rnut, 990 Palm Street Irr M,l,.'n`•` San Luis Obispo, CA 93401 rrCo,•„n'r Mlkr tiI„n, ...... "i'' """" Dear Mayor Settle and Council members: Ikwrnar, W.R.'IIill'MurA10IIV)' h,V M,n'09.: „p,,,,,rPan, I.MrII.In It has just been brought to our attention that the City Council will be discussing KV1III,'r„nN•n the issue of self-service displays for tobacco products on the Council Agenda for fl.,li,i1,.)"'1....,,1.1+..4•nu•n• l•, Dowd Members 7:00pm on Tuesday, June 17. Unfortunately, due to this extremely short notice, it Ih,lt.,l,ar:I510 will be extremely difficult for retailers to arrange time away from their stores to I„IIAma.o attend the meeting and voice their concerns. �MfY•.J F+rK ILN,ynunf lin•,r Barr i..,,' "'°G"..” As such, we would respectfully request that any discussion of this issue be 4n I4•rtxTian :•,f..ra,.',• I... I••.,':1':• continued to the following council meeting so that retailers will e able to !;;; !y';;'.,,,,,,,, attend and participate in the public policy process. 5:huck liaan> ,,,,,,,,Kia•ly I•, I�rr. Regarding the issue of the significance of self-service displays, illegal tobacco sales l ,111c, "" "' and shoplifting, we would like to direct your attention to the attached review of 'tarn Ihn,i I. . fill„5-.<I tf.,.a•.+./'i"'f„'•••,., studies conducted in four southern California locations. This review of the actual IkIhJLluvII .•••> 5f.••l,„ statistics and documentation behind these studies unequivocally illustrates that self- ,,,, service displays have no significant impact on illegal sales, in fact, more often than not, the illegal sale rate is the same no matter which venue(self-service v. vendor Lvry Arv,ii h ;,,,,1.„•.,•!,••n•f.,f....I......... assisted) is chosen to display the item. Furthermore, the Poway study showed no ”`""a`.;;"K:r`,,.,,,., change in shoplifting rates as well as a significant number of retailers reported Di,k l,'nJ.,ii decreases in slotting fees which translate into a significant financial burden on IS,f,•„1.•ra•tt retailers if they are required to remove these displays. In short, muandating I'f.J 1{i I.dra t, removal of self-service displays will not solve the problem of illegal tobacco ,,,,,.h, r ,.,,/r 1,.,.1,•,:.Irl,nI,/ r: sales, have little if any impact on shop!jting and will provide a financial M„rrir fC.K ni a 1_K,I.n„•I N.,rG:I I.:r.I.1p for burden to retailer's in San Luis Obispo. Jtv Pa•1 r,Inc IfnhLOL,h'hl,.?1.11(,1 We respectfully request that the city of San Luis Obispo develop a positive public Al Pla„unn r,.,'n•'•'r'••,',•Iraill fill policy which does not penalize good responsible retailers by developing an r,In lIn'.[.,n inclusive process which allow retailers, the community and city government to .u:irino.N,••Ih••l',T.•.La.1q�,r•/ri .,,,,,.,,,r,,,,.,,,•,,,,, work together, not against each other. We have already begun this process by co- ....fill sponsoring a free We Card-Responsible Tobacco Retailing seminar in San Luis _J It:a,' - „ Obispo last month (another is scheduled for Santa Maria on June 25th and SLO M ikr)trad Al1Nnr.,.,y,Lu:,R--IA'.It nnlv'-witc.nr Fnr11drr1,•,"+'w.u'Y.q.,N.ul•yh. Mirharl WIN, .Nr 11.:1 F1.+L�4h.11•.ut:ro loan'A iF,•n s retailers have been invited) and stand ready to continue with these types of programs. As our experience in San Diego illustrates, where the illegal tobacco sales rate has plummeted to an astounding 8% without removal of self-service displays, together we can and will have a significant impact on the problem of illegal tobacco sales, As always, if you have further questions or concerns, please don't hesitate to call me at 5621432-8610. Sincerely, CALIFORNIA GROCERS ASSOCIATION BETH BEEMAN Vice President Local Government Enclosures ® lit�COUNCIL :FINDIR IR MEETING 9�►GENDA ® ELE� o DATE ��' ITEM # CAOIHIEFXCTTORNEY�f CLERKIORIG ICHFO Jul TEAM IRJune 16, 1997 SIR IR The Honorable Allen K. Settle via f=80S/781-7109 Mayor, City of San Luis Obsipo City Hall 990 Palm Street San Luis Obispo, CA 93401 Dear Mayor and Council Members, I have just been informed that you will be discussing the issue of self-service display racks for tobacco products, at tonight's city council meeting for the possibility of complete removal by a local ordinance. As you know, we have three stores operating in your city in which this type of an ordinance will certainly effect. The income from these placement racks amounts to a significant amount of money over a period of a year. The stores depend on this income to pay for a part-time clerk, etc. This will impact the bottomline -- our store employees can see and supervise these counter racks at all times. We do not have any tobacco products on our sales floor. Single pack cigarettes are all placed in the overhead storage rack— accessible only to the clerks. Our stores try not have a shoplifting problem as to these products being taken by minors. We also have mandatory training of all our 7-Eleven store employees called "Come of Age" for retailing of any age restrictive product. We are available to give this training to any of your other retailers in the city that does not already have a training program in place. This is a two hour training seminar pertaining to the proper procedures for the sale of tobacco, alcohol, rolling papers, matches, lighters, spray paint, etc. We have done this training for many cities in the past at no charge._ You just have to provide a room and mail out meeting notices. We will teach the class, give out all materials, and a certificate of attendance, at no cost to the city. Please call me to arrange the dates and times you want to set up these classes. We are a very concerned.corporation. When it comes to illegal sales to minors, education is the answer to both retailers and the minors. We ask for your consideration in these most important matters of prevention by not passing an ordinance of this type to hurt your retailers. Instead we ask that you work with the retailers in a more positive fashion. Passing another law is not the answer. 7-Eleven Stores/Southwest Division 120 S.State College Blvd./Suite 200/P.O.Box 2245/Brea, CA 92622-2245/Phone (714)529-7711 (al DIVISION oe THE SOUTHLAND 4.03 CORPORATION Tra•_J caTJTQJCMQT nI TrT7 'Amnn RNHIHInnq qwi wnmA t�I7'-7T J9AT—aT-unr Ifyou have-any questions, please don't hesitate to tail. Due_to;the short notice of this meeting we will not be able to be in attendance. Thank you in adriance:for your consideration. Si Joan ikon. lel. Government Affairs Specialist f• ;In -4 r-MTI.TQJCM.QT m i�-«- HNn-) fTMHnHmns qHi. WnNa -Nnr