Key Points:
Proposal content: The Roanoke City Council in the United States is reviewing a proposal to require vape shops whose primary business is selling e-cigarette products to pay an annual operating fee of $20,000. The measure would not apply to gas stations or convenience stores that also sell vaping products.
Proposal purpose: To deter the opening of new vape shops, reduce marketing targeting children, and supplement revenue not covered by the cigarette tax.
Controversy: Some shop owners argue the fee is too high and could force small businesses to close; some council members question why gas stations selling the same products are exempt; others say the root problem lies with product manufacturers and failures in federal and state regulations.
Progress: The council has decided to have relevant departments draft an ordinance and will continue studying the proposal before holding a vote.
According to wdbj7 on August 11, the City Council of Roanoke, Virginia, is considering a proposal that would require vape shops to pay an annual operating fee of $20,000.
Council Member Phazhon Nash introduced the measure on August 11. It would apply to businesses whose primary sales are e-cigarette products and would not apply to gas stations or convenience stores.
Nash said the aim is to prevent new vape shops from opening and to reduce marketing to children. He also compared the fee to existing tobacco product taxes.
“If you want to start this type of business, you might think twice before doing so,” he added. “Or, if you already have one, we’ll be able to collect some of the money you aren’t paying through the cigarette tax.”
Some vape shop owners argue the fee is too high and could cause small businesses to close. Others question why the fee would not apply to other retailers selling the same products, such as gas stations.
“One of my concerns is, if this is a public health initiative, why aren’t we charging this fee to gas stations as well as vape shops?” said Council Member Peter Volosin.
Other council members said the issue is not limited to local businesses but also involves product manufacturers.
“Vaping is a big issue,” said Vice Mayor Terry McGuire. “Some of these products are dangerous, or at least their risks are unclear, and it feels like we’re fighting against the failure of federal and state regulations.”
The council has voted to direct the city attorney’s office, the commissioner of revenue, and the mayor to draft an ordinance defining vape retailers and detailing the fee. Council members will continue to review the proposal before voting.
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