42 U.S.C. § 300x–26 — Sale of tobacco products to individuals under age of 21

(a) In general — The State must agree to conduct random, unannounced inspections every year to make sure retailers don't sell tobacco to people under 21, and to report to the Secretary each year on: the activities it carried out to stop underage sales, how successful those activities were, and what strategies it will use in the coming fiscal year. (b) Noncompliance of State — (1) In general. Before giving a State its grant, the Secretary checks whether the State kept up with subsection (a). If, after notifying the State and giving it a chance for a hearing, the Secretary finds the State out of compliance, the Secretary can cut the State's allotment by up to 10 percent. (2) Limitation. (A) A State won't lose funding this way if it either: certifies by May 1 of the funding year that it will commit extra State money (described in subparagraph (B)) to stop underage sales; agrees to a corrective action plan the Secretary approves; or is a territory getting less than $1,000,000 a year under this program. (B) The extra money a State must certify equals 1 percent of its allotment for every percentage point it misses the Secretary's retailer compliance goal by. In that year, the State must keep spending on tobacco prevention and compliance at least as much as the year before, plus the new required amount, and must report all of that spending to the Secretary by July 31. The Secretary has discretion on how strictly it enforces that spending's timing, up to that same July 31 deadline. (C) If a State fails to certify, or fails to enter or follow a corrective agreement, the Secretary can still cut its funding under paragraph (1). (c) Implementation of reporting requirements — (1) Transition period. The Secretary can't withhold any funds under subsection (b) for the first 3 years after December 20, 2019. For the following 2 years, the Secretary must use discretion in enforcing subsection (b), to give States time to start meeting the reporting requirements in subsection (a)(2). (2) Regulations or guidance. Within 180 days of December 20, 2019, the Secretary must update the regulations or guidance covering the compliance rate goal, how grant funds can be used to meet this section's requirements, and the reporting requirements. (3) Coordination. The Secretary must make sure the Assistant Secretary for Mental Health and Substance Use works with the Commissioner of Food and Drugs, so the technical help given to States matches the FDA's own retailer regulations. (d) Transitional grants — (1) In general. The Secretary must give a separate grant to every State that gets substance abuse grant funding, to help it comply with this section. (2) Use of funds. A State must use this money to plan for or achieve compliance with subsection (a). Once the Secretary decides a State is ready to meet, or has met, those requirements, the State can also use the money for tobacco cessation programs, strategies to stop underage tobacco use, or anything else its regular grant funds are allowed to pay for. (3) Supplement not supplant. This money must add to — not replace — other Federal, State, or local money already going to these activities. (4) Authorization of appropriations. Congress authorized $18,580,790 for each fiscal year from 2020 through 2024 for this grant. (5) Sunset. This grant program ends after September 30, 2024, and no longer has any legal effect. (e) Technical assistance — The Secretary must provide States with technical help related to everything required under this section.