News

Reopening businesses to employees and visitors is beginning across the country with precautions. This resource provides recommendations to be considered, along with any local or state orders, to help keep employees and the community safe as you bring staff back to the office and begin allowing visitors. Visit CDA’s COVID-19 Resource page for more information about statewide return to work protocols, mask orders and more.

Congress is taking a two-week break and will return to a full legislative calendar for the remainder of the month. Appropriations and other must-pass legislation will be on the agenda, and the Senate and House will have to make some tough decisions about what they can agree on for the next round of coronavirus legislation. Issues like state and local funding, liability protection and refundable tax credits for PPE and cleaning of offices, factories and other workplaces are all being discussed. The House passed the broad base HEROES Act in May, but the Senate has yet to determine how they will move forward.

In Virginia, state regulators have moved to create their own workplace safety regulations, in what they call an absence of enforcement of federal regulations. It is likely that other “blue” states will make similar moves to create additional workplace safety standards during the pandemic. In Virginia, the standards will include policies for dealing with workers exhibiting coronavirus-like symptoms, prohibiting those workers suspected of having the coronavirus from showing up to work, notification of workers of possible exposure to infected co-workers within 24 hours, and mandated distancing, sanitation, disinfection and hand-washing.

Ordinance Number 2020-3388 has been introduced for consideration by the Chicago City Council that would ban the sale citywide of all flavored tobacco products, including menthol cigarettes, flavored smokeless tobacco, flavored cigars, pipe tobacco, and flavored electronic cigarettes/nicotine vapor products.

The Chicago Health and Human Relations Committee will be holding a public hearing on July 6, 2020 regarding Ordinance #2020-3388. It is imperative to have calls and emails sent to the Chicago City Alderman who serves on the council and represents the ward where your store is located asking the alderman to remove menthol cigarettes and traditional flavored tobacco products from the proposed ordinance.

*Due to Covid-19, the public will not be allowed at the committee meeting.

Chicago Health and Human Relations Committee Meeting Details:
Date: Monday, July 6, 2020
Time: 10:00 AM Central

Determine which alderman or aldermen represent the ward or wards where your store(s) are located. Click on the link below and type in store address to determine the name, phone number, and e-mail address of your alderman.
https://www.chicago.gov/city/en/depts/mayor/iframe/lookup_ward_and_alderman.html

Call and E-Mail Your City Council Alderman. The talking points to use to oppose a total flavored tobacco product sales ban are:

• Addressing the youth vaping epidemic should not lead local governments to overextend to other tobacco products.
• Banning the sale of all traditional flavored tobacco products including menthol cigarettes, flavored smokeless tobacco products, flavored cigars, and pipe tobacco is government overreach. This will only create other problems by shifting sales from law-abiding retailers to potentially illegal sources who don’t check IDs.
• Both youth and adult use of these traditional flavored tobacco products is at historic lows and decreasing further.
• Tell your city council alderman that traditional flavored tobacco products should be removed from the ordinance.

In addition, send an e-mail to all members of the Chicago Health and Human Relations Committee by 9:00 AM on July 6, 2020 urging them to remove traditional tobacco products. The e-mail address for the committee is committeeonhealthandhumanrelations@cityofchicago.org.

Copies of the proposed ordinance and full City Council contact spreadsheet are attached. Thank you for your help in contacting your Chicago City Alderman.

Please contact Meghan Shea with NATO at meghanshea@natocentral.org with any questions or for further information related to the NRN Alerts.

Live and on-demand webinars are available, with topics ranging from COVID-19 resources to CBD market trends in c-stores, women's leadership and more. Don't miss the most recent webinars available on-demand, including Marketplace Trends During COVID-19 for June, How to Triage Your Email with Military Precision, Marketplace Trends During COVID-19 for May, 2020 Campaigns and Elections in the Time of COVID-19, InfoMetrics: Making the Reports Work for You, Getting to the Financial Light at the End of the Tunnel, Marketplace Trends During COVID-19 for April, Keeping Employees Engaged Through the COVID-19 Pandemic and 7 Steps to Leading through the COVID-19 Crisis. Please contact Kimberly Kissel with any issues viewing the recorded webinar.

Be sure to register for these upcoming webinars:

• July 15, 2020: Engaging Drivers to Maximize Retention & Performance
• August 12, 2020: Tobacco Update 2020
• September 15, 2020: UID Webinar in partnership with AEA: Gaining More Control of the Sales Process
• October 21, 2020: No Dead-Ends: How to Make Mentoring a Two-Way Street (Women's Leadership)
• November 10, 2020: UID Webinar in partnership with AEA: Preparing Your Distribution Business for a Successful Transition to the Next Generation

In April 2020, Montgomery County, MD signed into law new bills related to the sale of e-cigarettes that will go into effect on July 3, 2020. These bills will restrict the sale of vapor products for retailers within a half-mile of an elementary, middle or high school, library or recreational facility in the county. They also signed into law Bill 31-19, prohibiting the use and possession of tobacco products or e-cigarettes by individuals under 21 (except under certain circumstances).

Bill 29-19 prohibits an electronic smoking devices manufacturer from distributing e-cigarettes to retail stores within a half-mile of any middle school or high school in the County and any retailer from selling any e-cigarettes in the same radius. Bill 32-19 prohibits an electronic smoking device manufacturer from distributing flavored e-cigarettes to stores within 0.5 miles of an elementary, middle or high school, library or recreational facility in the County. This bill allows a retailer that does not have a High School or Middle School .05 miles from them, but does have an Elementary School, Library or Recreational Facility (Parks and Playgrounds are not included), to sell non-menthol e-cigarettes.

Bill 31-19 prohibits the distribution of any tobacco product, coupon redeemable for a tobacco product, cigarette rolling paper or electronic cigarette to any individual under 21 except under certain circumstances; prohibits an individual under 21 from using or possessing a tobacco product or e-cigarette except under certain circumstances; and generally amends County law regarding smoking, e-cigarettes, and health and sanitation. Per the bill, active duty military members, at least 18 years of age, are exempt.

Sen. John Cornyn (R-TX) is working on legislation to protect businesses by providing a limitation on tort claims, injury claims, etc., during the pandemic. Negotiations on this legislation continue as Senate Republicans try to find a way to unite. We expect to see legislation towards the end of July, but it is possible that it could be pushed to September.

On June 17, 2020, R.J. Reynolds Tobacco Company, American Snuff Company, LLC, Santa Fe Natural Tobacco Company, Inc., and two independent retailers doing business as Vernon BP and Lang's One Stop Market, respectively, filed a lawsuit in the Federal District Court for the District of Minnesota against the City of Edina, MN seeking declaratory and injunctive relief against a city ordinance which bans the sale of menthol cigarettes and every flavored tobacco product. Edina is a suburb of Minneapolis, MN.

Also, on June 18, 2020, the Cigar Association of America, ITG Cigars, Swedish Match North America and Swisher International filed a lawsuit in the Court of Common Pleas of Philadelphia County against the City of Philadelphia and the City of Philadelphia Department of Public Health seeking declaratory and injunctive relief against a city ordinance which bans the sale of certain flavored tobacco products.

Click here for more information on the above, as well as lists of state legislative introductions and actions.

The Senate is scheduled to be out of session for the next two weeks for the Independence Day holiday, reconvening on July 21. The House will begin their holiday this Friday and return to session on July 7.

Majority Leader McConnell (R-KY) reports that a fourth and final relief bill will be considered next month while they look for the best way to move forward. Senate Republicans huddled with Treasury Secretary Mnuchin Tuesday to discuss the next steps in passing another aid package. Sen. McConnell says Republicans will assess economic conditions in July and draft legislation if necessary.

If Congress doesn’t take action before the end of July, the $600 weekly increase in unemployment insurance benefits, which was approved in March, will expire. Unemployment could linger into the fall as we prepare for a possible second wave of the virus during the next cold and flu season, and there are discussions of alternative provisions to help encourage getting back to work. CDA is working to include a number of pro-business provisions in the next bill.

Reopening businesses to employees and visitors is beginning across the country with precautions. This resource provides recommendations to be considered, along with any local or state orders, to help keep employees and the community safe as you bring staff back to the office and begin allowing visitors. Visit CDA’s COVID-19 Resource page for more information about statewide return to work protocols, mask orders and more.

CDA will join a list of organizations supporting changes to the treatment of Net Operating Loss (NOL). The letter is being circulated by the American Mining Association. Congress included in the bipartisan CARES Act several changes to the tax rules related to NOL. First, the CARES Act provides a five-year carryback for NOLs generated in 2018, 2019 or 2020. Second, the CARES Act suspends for 2018, 2019 and 2020 the otherwise applicable limitations on excess business losses for non-corporate taxpayers. This letter asks that these provisions be preserved in future COVID-19 relief or stimulus bills. This provision is helpful to CDA members and should be preserved.

As is required before any guidance is issued by a federal agency, the U.S. Food and Drug Administration (FDA) has sent a guidance document on CBD to the White House. The guidance is related to quality considerations for clinical research on cannabis and cannabis-derived compounds and is not likely to be for manufacturers, wholesalers or consumers. CDA continues to work with a number of other trade organizations in food, retail and manufacturing who are seeking clarity and a path forward on CBD regulation.

Reopening businesses to employees and visitors is beginning across the country with precautions. CDA’s new resource provides recommendations to be considered, along with any local or state orders, to help keep employees and the community safe as you bring staff back to the office and begin allowing visitors. Visit CDA’s COVID-19 Resource page for more information about statewide return to work protocols, mask orders and more.

On June 1, 2020, R.J. Reynolds Tobacco Company, American Snuff Company, LLC, and Santa Fe Natural Tobacco Company, Inc. filed a lawsuit in the Federal District Court for the Central District of California against the County of Los Angeles and the County of Los Angeles Board of Supervisors seeking declaratory and injunctive relief against the Los Angeles County Tobacco Ordinance which bans the sale of menthol cigarettes and every flavored tobacco product.

Click here for more information

CDA has joined a growing list of trade associations representing employees to support the expansion of the Employee Retention Tax Credit (ERTC) that was enacted as part of the CARES Act. The bipartisan bill would expand criteria for businesses to be eligible for the credit. It changes the threshold for treatment as a large employer from employers having more than 100 employees to employers having more than 1,500 employees and makes it easier for employers to qualify for the credit by phasing in the credit, so that employers who have experienced more than a 20% decline in gross receipts can claim a portion of the credit. It also improves coordination between the ERTC and the Paycheck Protection Program (PPP) so employers can be eligible for both programs, but with guardrails in place to prevent “double dipping.”

Altria Client Services announced that the U.S. Food and Drug Administration (FDA) has accepted and filed for substantive review premarket tobacco product applications for 35 on!^® products manufactured by Helix Innovations LLC, an Altria joint venture responsible for the global on!^® nicotine pouch product portfolio. To support these applications, Altria submitted over 66,000 pages of documentation, including six primary studies. “We believe the scientific evidence in these applications demonstrates that the marketing of on!^® is appropriate for the protection of public health,” said Paige Magness, senior vp, regulatory affairs for Altria Client Services. “on!^® nicotine pouches are a key part of our vision to responsibly lead the transition of adult smokers to a non-combustible future.” The FDA will now undertake a substantive scientific review of the applications.

The CARES Act included a provision providing an additional $600 per week unemployment payment. There is a lot of interest in the status of these payments, which are increasingly seen as a disincentive and roadblock to getting people back to work. House Democrats included the extension of the payment through January 2021 in the recently passed $1 trillion HEROES Act. The Administration and Majority Leader McConnell have separately said that extension of the expiring provisions is a non-starter. Senator Rob Portman of Ohio has floated a proposal for a “back to work bonus” of $450 in lieu of the $600 payment, and that idea is under consideration.

This week, the House Transportation and Infrastructure Committee is marking up a surface transportation reauthorization bill. CDA is a signatory on the attached letter entitled “Invest in America Act Coalition.” The letter asks that the provisions of the Drive Safe Act, a bill to create a path for CDL certification for younger drivers, which CDA has long supported, be included in the comprehensive surface transportation bill under consideration. The CDL driver shortage continues and CDA is committed to supporting policies that help alleviate the shortfall.

Live and on-demand webinars are available, with topics ranging from COVID-19 resources to CBD market trends in c-stores, women's leadership and more. Don't miss the most recent webinars available on-demand, including How to Triage Your Email with Military Precision, Marketplace Trends During COVID-19 for May 2020, 2020 Campaigns and Elections in the Time of COVID-19, InfoMetrics: Making the Reports Work for You, Getting to the Financial Light at the End of the Tunnel, Marketplace Trends During COVID-19, Keeping Employees Engaged Through the COVID-19 Pandemic and 7 Steps to Leading through the COVID-19 Crisis.

Be sure to register for these upcoming webinars:

• June 18, 2020: Marketplace Trends During COVID-19
• July 15, 2020: Engaging Drivers to Maximize Retention & Performance
• August 12, 2020: Tobacco Update 2020
• September 15, 2020: UID Webinar in partnership with AEA: Gaining More Control of the Sales Process
• October 21, 2020: No Dead-Ends: How to Make Mentoring a Two-Way Street (Women's Leadership)
• November 10, 2020: UID Webinar in partnership with AEA: Preparing Your Distribution Business for a Successful Transition to the Next Generation