Considering becoming a vape vending machine host in Delaware? Familiarize yourself with the current state laws to ensure compliance and successful operations. Here's a quick breakdown of current state regulations for vapor products, vape machines, and sales.Whether you're a retailer, entrepreneur, or operator, understanding these regulations is essential not only for compliance but also for safeguarding your investment. Below is a detailed guide that breaks down the current rules, requirements, and best practices for operating a vape vending machine in Delaware.

1. Placement Restrictions

Under Delaware law, vending machines dispensing tobacco products, including vapor products and nicotine pouches, are subject to specific placement restrictions:

• Vending machines must be located in establishments that are restricted to individuals 21 years of age or older, such as adult-only venues.
• The machines must be under the direct supervision of the owner or an employee to ensure compliance with age restrictions.
• Each vending machine must display a clearly visible sign stating that the sale of tobacco products to persons under 21 is illegal.

These requirements are outlined in 11 Del. C. § 1119.

2. Licensing and Permitting Requirements

Operators of vending machines selling vapor products or nicotine pouches in Delaware must obtain the following licenses:

• Retail Tobacco License: Required for each location where tobacco products are sold.
• Vending Machine License: A separate license is required for each vending machine dispensing tobacco products.

According to 30 Del. C. § 5309, operators must list all locations of their vending machines at the time of application and may request extra licenses for new machines to be placed in new locations up to 10% of the listed locations without submitting actual locations.

Additionally, 30 Del. C. § 2304 mandates that every owner or operator of a coin-operated vending machine, other than amusement or cigarette machines specified elsewhere, must apply for a vending machine license and pay a fee of $5.00 for each machine.

3. Applicable Taxes and Fees

Delaware imposes specific taxes and fees on vapor products and nicotine pouches:

• Excise Tax on Vapor Products: An excise tax of $0.05 per fluid milliliter is imposed on the sale or use of vapor products within the state, as specified in 30 Del. C. § 5305(c)(2).
• Vending Machine License Fee: A fee of $5.00 per machine is required annually for each vending machine, as per 30 Del. C. § 2304.
• Retail License Fee: A fee of $50.00 is required for each retail location selling tobacco products, including vapor products and nicotine pouches, as outlined in 30 Del. C. § 5307.

4. Relevant State Departments or Regulatory Bodies

The following state departments oversee the regulation of vapor products and nicotine pouch vending machines in Delaware:

• Delaware Division of Revenue: Responsible for issuing licenses and collecting taxes related to tobacco products.
• Delaware Department of Health and Social Services (DHSS): Oversees public health regulations, including those related to tobacco and vapor products.
• Division of Alcohol and Tobacco Enforcement (DATE): Enforces laws related to the sale and distribution of tobacco products, including compliance checks and investigations.

5. Municipal or City-Specific Ordinances

Local municipalities in Delaware may have additional ordinances governing the placement and operation of vending machines dispensing vapor products and nicotine pouches. For example, the City of Newark has specific regulations under its Code of Ordinances, Chapter 21, Article V, pertaining to vending machines.

Operators should consult local ordinances and obtain any necessary permits or approvals from municipal authorities before installing vending machines in specific locations.

6. Additional Legal or Compliance Considerations

• Age Verification: Operators must implement measures to verify that purchasers are at least 21 years old, in compliance with both state and federal laws.
• Product Compliance: All vapor products and nicotine pouches sold must comply with federal regulations, including those enforced by the U.S. Food and Drug Administration (FDA).
• Record-Keeping: Operators are required to maintain accurate records of sales and inventory for auditing and compliance purposes.

Disclaimer: This page is intended for informational purposes only and should not be considered legal advice. Consult official Delaware government resources for the most current regulations.