Submitted by: Jane Micallef, Director, Health, Housing & Community Services Department

Transcription

1 Office of the City Manager CONSENT CALENDAR September 30, 2014 To: From: Honorable Mayor and Members of the City Council Christine Daniel, City Manager Submitted by: Jane Micallef, Director, Health, Housing & Community Services Department Subject: Amendment to BMC Chapter 9.80 Tobacco Retailers RECOMMENDATION Adopt first reading of an Ordinance amending Berkeley Municipal Code Section and adding Section to prohibit issuance or renewal of Tobacco Retail Licenses to all pharmacies. FISCAL IMPACTS OF RECOMMENDATION Revenue generated from Tobacco Retail Licenses (TRLs) will be impacted. Each TRL generates $498 of annual revenue. Revenue will decrease due to loss of TRLs issued to pharmacies. There are currently ten pharmacies in Berkeley with retail tobacco licenses. Of the ten, three are CVS pharmacies that are already voluntarily discontinuing tobacco sales. Loss of their TRLs will result in a $1,494 revenue reduction. In addition, estimated annual decrease in revenue is approximately $3,486 for the remaining seven pharmacies. Reduction in retail sales of tobacco products will result in reduction of local sales tax revenue of unknown amount. Outreach and education costs related to implementing these ordinance amendments can be funded through ongoing State and county tobacco grants in the Public Health Division (PHD). Staff time for enforcement can be incorporated into the existing work of the Environmental Health Division. CURRENT SITUATION AND ITS EFFECTS On March 11, 2014, Council directed the City Manager to draft an ordinance that would prohibit the sale of tobacco and tobacco related products in stores that also sell prescription medications. The proposed amendments and additions to the City s tobacco retail ordinance conform with Council s direction. Section is amended to include a definition of pharmacy. Section is added, prohibiting the issuance or renewal of TRLs to pharmacies Milvia Street, Berkeley, CA Tel: (510) TDD: (510) Fax: (510) manager@cityofberkeley.info Website:

2 Amendment to BMC Chapter 9.80 Tobacco Retailers CONSENT CALENDAR September 30, 2014 BACKGROUND The sale of tobacco products in pharmacies conveys tacit approval for the use of tobacco products and sends a mixed message to consumers who generally patronize pharmacies for health services. Among California independently-owned pharmacies that are tobacco-free, 88% report either no loss or an increase in business since removing tobacco from their shelves. 1 An overwhelming majority of California consumers (96.8%) indicate that they would continue to patronize their pharmacy or drugstore as often or more often if it stopped selling tobacco products. 2 On February 5, 2014, CVS announced that it will stop selling cigarettes and other tobacco products at its more than 7,600 CVS/pharmacy stores across the U.S. by October 1, In a City of Berkeley public opinion poll conducted by the City s Public Health Division in June 2014, the majority (64%) of respondents supported prohibiting sale of tobacco products in pharmacies. ENVIRONMENTAL SUSTAINABILITY By reducing tobacco sales at pharmacies, this recommendation will potentially reduce tobacco waste. Tobacco waste is toxic and makes up 34 percent of the total litter collected in California. It is a significant component of storm drain debris and contributes to stormwater pollution that negatively impacts water quality and wildlife in the San Francisco Bay. RATIONALE FOR RECOMMENDATION The sale of tobacco products in pharmacies is incompatible with the provision of health services, which are the core function of a pharmacy. Therefore prohibiting these sales is recommended. ALTERNATIVE ACTIONS CONSIDERED None CONTACT PERSON Janet Berreman, Health Officer, Attachments: 1: Ordinance (clean copy) 2: Ordinance (track changes copy) 1 How Californians Really Feel about Tobacco in Pharmacies. October Fact sheet developed by Prescription for Change a project of the California Medical Association Foundation funded by the California Department of Health Services, Tobacco Control Section, Grant No Robinson G. California Adult Consumer Survey Pharmacies and Drugstores Selling Tobacco Products - Phase II: Executive Summary, ; California State University Fullerton, Social Science Research Center; California Medical Association Foundation, Pharmacy Partnership Project, Page 2

3 ORDINANCE NO. -N.S. AMENDING BERKELEY MUNICIPAL CODE SECTION AND ADDING SECTION , TO PROHIBIT ISSUANCE OR RENEWAL OF TOBACCO RETAILER LICENSES FOR PHARMACIES BE IT ORDAINED by the Council of the City of Berkeley as follows: Section 1. Legislative findings: A. The City Council does hereby find that: 1. By selling tobacco products, pharmacies reinforce positive social perceptions of smoking, convey tacit approval of tobacco use, and send a message that it is not so dangerous to smoke; 3 2. The Tobacco Education and Research Oversight Committee for California, as well as the American Pharmacists Association, the California Pharmacists Association, and the California Medical Association have called for the adoption of state and local prohibitions of tobacco sales in drug stores and pharmacies; 4 3. More than 95 percent of consumers have said they would continue shopping at drugstores that became tobacco-free as much or more often; 5 4. Ten pharmacies in Berkeley currently are licensed tobacco retailers, or approximately one pharmacy tobacco retailer per square mile; and 5. Children are particularly influenced by cues suggesting that smoking is acceptable. 6 Section 2. That Berkeley Municipal Code Section is hereby amended to read as follows: Definitions. The following words and phrases, whenever used in this article, shall have the meanings defined in this section unless the context clearly requires otherwise: A. "Proprietor" means a person with an ownership or managerial interest in a business. An ownership interest shall be deemed to exist when a person has a ten percent (10%) 3 Katz MH Banning Tobacco Sales in Pharmacies: The Right Prescription. Journal of the American Medical Association. 300(12): ; Hudmon KS, Fenlon CM, Corelli RL, et al Tobacco Sales in Pharmacies: Time to Quit. Tobacco Control 15(1): Tobacco Education and Research Oversight Committee for California Confronting a Relentless Adversary: A Plan for Success Toward a Tobacco-Free California , p Katz MH Banning Tobacco Sales in Pharmacies: The Right Prescription. Journal of the American Medical Association. 300(12): DiFranza JR, Wellman RJ, Sargent JD, et al Tobacco Promotion and the Initiation of Tobacco Use: Assessing the Evidence for Causality. Pediatrics 6: e1237-e1248.

4 or greater interest in the stock, assets or income of a business other than the sole interest of security for debt. A managerial interest shall be deemed to exist when a person can or does have, or can or does share, ultimate control over the day-to-day operations of a business. B. "Tobacco product" means any substance containing tobacco leaf, including but not limited to cigarettes, cigars, pipe tobacco, snuff, chewing tobacco, dipping tobacco, bidis, or any other instrument or paraphernalia which is designed for the smoking or ingestion of tobacco or products prepared from tobacco. C. "Tobacco paraphernalia" includes cigarette papers or wrappers, pipes, holders of smoking materials of all types, cigarette rolling machines, and any other item designed for the smoking or ingestion of tobacco products. D. "Tobacco retailer" means any person or business that operates a store, stand, booth concession or other place at which the sales of tobacco products are made to purchasers for personal consumption or use. E. Pharmacy means any retail establishment in which the profession of pharmacy is practiced by a pharmacist licensed by the State of California in accordance with the Business and Professions Code and where prescription pharmaceuticals are offered for sale, regardless of whether the retail establishment sells other retail goods in addition to prescription pharmaceuticals. Section 3. That Berkeley Municipal Code Section is hereby added to read as follows: Limits on eligibility for a tobacco retailer license. A. No new tobacco retailer license may be issued to a pharmacy. B. No existing tobacco retailer license may be renewed by a pharmacy. Section 4. Posting. Copies of this Ordinance shall be posted for two days prior to adoption in the display case located near the walkway in front of Old City Hall, 2134 Martin Luther King Jr. Way. Within fifteen days of adoption, copies of this Ordinance shall be filed at each branch of the Berkeley Public Library and the title shall be published in a newspaper of general circulation Page 2

5 Attachment 2 ORDINANCE NO #,### - N.S. AMENDING BERKELEY MUNICIPAL CODE SECTION AND ADDING SECTION , TO PROHIBIT ISSUANCE OR RENEWAL OF TOBACCO RETAILER LICENSES FOR PHARMACIES BE IT ORDAINED by the Council of the City of Berkeley as follows: Section 1. Legislative findings: A. The City Council does hereby find that: 1. By selling tobacco products, pharmacies reinforce positive social perceptions of smoking, convey tacit approval of tobacco use, and send a message that it is not so dangerous to smoke; 1 2. The Tobacco Education and Research Oversight Committee for California, as well as the American Pharmacists Association, the California Pharmacists Association, and the California Medical Association have called for the adoption of state and local prohibitions of tobacco sales in drug stores and pharmacies; 2 3. More than 95 percent of consumers have said they would continue shopping at drugstores that became tobacco-free as much or more often; 3 4. Ten pharmacies in Berkeley currently are licensed tobacco retailers, or approximately one pharmacy tobacco retailer per square mile; and 5. Children are particularly influenced by cues suggesting that smoking is acceptable. 4 Section 2. That Berkeley Municipal Code Section is hereby amended to read as follows: Definitions. The following words and phrases, whenever used in this article, shall have the meanings defined in this section unless the context clearly requires otherwise: 1 Katz MH Banning Tobacco Sales in Pharmacies: The Right Prescription. Journal of the American Medical Association. 300(12): ; Hudmon KS, Fenlon CM, Corelli RL, et al Tobacco Sales in Pharmacies: Time to Quit. Tobacco Control 15(1): Tobacco Education and Research Oversight Committee for California Confronting a Relentless Adversary: A Plan for Success Toward a Tobacco-Free California , p Katz MH Banning Tobacco Sales in Pharmacies: The Right Prescription. Journal of the American Medical Association. 300(12): DiFranza JR, Wellman RJ, Sargent JD, et al Tobacco Promotion and the Initiation of Tobacco Use: Assessing the Evidence for Causality. Pediatrics 6: e1237-e1248.

6 A. "Proprietor" means a person with an ownership or managerial interest in a business. An ownership interest shall be deemed to exist when a person has a ten percent (10%) or greater interest in the stock, assets or income of a business other than the sole interest of security for debt. A managerial interest shall be deemed to exist when a person can or does have, or can or does share, ultimate control over the day-to-day operations of a business. B. "Tobacco product" means any substance containing tobacco leaf, including but not limited to cigarettes, cigars, pipe tobacco, snuff, chewing tobacco, dipping tobacco, bidis, or any other instrument or paraphernalia which is designed for the smoking or ingestion of tobacco or products prepared from tobacco. C. "Tobacco paraphernalia" includes cigarette papers or wrappers, pipes, holders of smoking materials of all types, cigarette rolling machines, and any other item designed for the smoking or ingestion of tobacco products. D. "Tobacco retailer" means any person or business that operates a store, stand, booth concession or other place at which the sales of tobacco products are made to purchasers for personal consumption or use. E. Pharmacy means any retail establishment in which the profession of pharmacy is practiced by a pharmacist licensed by the State of California in accordance with the Business and Professions Code and where prescription pharmaceuticals are offered for sale, regardless of whether the retail establishment sells other retail goods in addition to prescription pharmaceuticals. Section 3. That Berkeley Municipal Code Section is hereby added to read as follows: Limits on eligibility for a tobacco retailer license. A. No new tobacco retailer license may be issued to a pharmacy. B. No existing tobacco retailer license may be renewed by a pharmacy. Section 4. Posting. Copies of this Ordinance shall be posted for two days prior to adoption in the display case located near the walkway in front of Old City Hall, 2134 Martin Luther King Jr. Way. Within fifteen days of adoption, copies of this Ordinance shall be filed at each branch of the Berkeley Public Library and the title shall be published in a newspaper of general circulation