(1) (a) If an enforcing agency determines that a person has violated the terms of a permit issued under this part, the enforcing agency may impose the penalties described in this section. (b) If multiple violations are found in a single inspection by an enforcing agency or a single investigation by a law enforcement agency under Section 77-39-101, the enforcing agency shall treat the multiple violations as one single violation under Subsections (2), (3), and (4). (2) Except as provided in Subsections (3) and (4), if a violation is found in an investigation by a law enforcement agency under Section 77-39-101 or an inspection by an enforcing agency, the enforcing agency shall: (a) on a first violation at a retail location, impose a penalty of $1,000; (b) on a second violation at the same retail location that occurs within one year of a previous violation, impose a penalty of $1,500; (c) on a third violation at the same retail location that occurs within two years after two previous violations, impose: (i) a suspension of the permit for 30 consecutive business days within 60 days after the day on which the third violation occurs; or (ii) a penalty of $2,000; and (d) on a fourth or subsequent violation within two years of three previous violations: (i) impose a penalty of $2,000; (ii) revoke a permit of the retailer; and (iii) if applicable, recommend to a municipality or county that a retail tobacco specialty business license issued under Section 10-8-41.6 or 17-78-1004 be suspended or revoked. (3) If a violation is found in an investigation of a general tobacco retailer by a law enforcement agency under Section 77-39-101 for the sale of a tobacco product, an electronic cigarette product, or a nicotine product to an individual under 21 years old and the violation is committed by the owner of the general tobacco retailer, the enforcing agency shall: (a) on a first violation, impose a fine of $2,000 on the general tobacco retailer; and (b) on the second violation for the same general tobacco retailer within one year of the first violation: (i) impose a fine of $5,000; and (ii) revoke the permit for the general tobacco retailer. (4) If a violation is found in an investigation of a retail tobacco specialty business by a law enforcement agency under Section 77-39-101 for the sale of a tobacco product, an electronic cigarette product, or a nicotine product to an individual under 21 years old, the enforcing agency shall: (a) on the first violation: (i) impose a fine of $5,000; and (ii) immediately suspend the permit for 30 consecutive days; and (b) on the second violation at the same retail location within two years of the first violation: (i) impose a fine of $10,000; and (ii) revoke the permit for the retail tobacco specialty business. (5) (a) Except when a transfer described in Subsection (6) occurs, a local health department may not issue a permit to: (i) a tobacco retailer for whom a permit is suspended or revoked under Subsection (2) or (3); or (ii) a tobacco retailer that has the same proprietor, director, corporate officer, partner, or other holder of significant interest as another tobacco retailer for whom a permit is suspended or revoked under Subsection (2), (3), or (4). (b) A person whose permit: (i) is suspended under this section may not apply for a new permit for any other tobacco retailer for a period of 12 months after the day on which an enforcing agency suspends the permit; and (ii) is revoked under this section may not apply for a new permit for any tobacco retailer for a period of 24 months after the day on which an enforcing agency revokes the permit. (6) Violations of this part, Section 10-8-41.6, or Section 17-78-1004 that occur at a tobacco retailer location shall stay on the record for that tobacco retailer location unless: (a) the tobacco retailer is transferred to a new proprietor; and (b) the new proprietor provides documentation to the local health department that the new proprietor is acquiring the tobacco retailer in an arm's length transaction from the previous proprietor.
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