North Dakota Passes Bill Allowing Cigar Lounges
For the first time in more than a decade, cigar lovers in North Dakota will be able to smoke in a cigar lounge again, provided the establishment meets the specified requirements of the newly-passed legislation. Governor Doug Burgum officially signed House Bill 1229 into law, allowing cigar lounges to do business once again in the Peace Garden State. The new bill—which had been introduced once before but killed in 2021—battled in the trenches of the state legislature these past few months, and despite formidable opposition, HB 1229 emerged victorious. The new law will officially go into effect the first of August.
For cigar lounges to qualify for exemption from smoking restrictions, they must posses a humidor on the premises, hold a valid certificate issued by the tax commissioner, have a proper ventilation system that does not recirculate exhausted air, meet specific enclosure requirements and finally, but perhaps most notably, not permit the smoking of any other materials other than cigars that were purchased on the premises. The lounges must also generate at least 15 percent of its revenue from the sale of cigars.
According to HB 1229, cigarettes, vapes and cigarillos would still have to be smoked outdoors in designated smoking areas. It’s a small concession considering the smoke-free initiatives of North Dakota, a state that otherwise prohibits indoor smoking of any kind. So intense are these restrictions that cigar smoking has been relegated almost entirely to private residences since 2012. Even tobacco retail shops were smoke-free. With the passing of this new bill, however, cigar smoking will be permitted in tobacco retail locations, provided they fulfill the previously laid out requirements, which was one of the main drivers behind this legislation.
Representative Dan Ruby of North Dakota’s House of Representatives was the primary sponsor of HB 1229, and his efforts were critical in spearheading the push in the North Dakota State Legislature. But the victory was the culmination of efforts at all levels, from industry organizations like the Premium Cigar Association (PCA) and Cigar Rights for America (CRA), political insiders like Representative Ruby and boots-on-the-ground stakeholders like Josette M. Dupree of Big Stick Cigars, the owner of a prominent cigar retailer in Mandan, North Dakota, who’s advocacy for the local cigar community and small businesses was instrumental in the bill’s ultimate passing.
“There’s a strong collection of states and localities that are setting an example by recognizing that there’s a fundamental difference between cigars and other tobacco products,” said Glynn Loope, director of state advocacy for the PCA. “We think that that’s a positive trend and a recognition that cigars are a different type of tobacco product from a public health perspective.”
States like North Dakota are one of several localized legislative bodies that are taking action regarding tobacco laws, and more specifically, cigar industry legislation. In Waco, Texas, for example, local legislatures recently reversed a 2015 ordinance and will now allow new cigar lounges, a move Loope hopes will set the tone for the rest of the Lone Star State. Last week, Idaho set a tax cap on cigars at 50 cents a stick. Plus, the West Virginia House of Delegates passed a bill that permits cigar bars to specifically open in existing resorts, it now moves on to the State Senate.
Meanwhile, just a few months ago, California introduced a bill that would make it illegal for anyone born after January 1, 2007 from ever purchasing any form of tobacco product in the state. The needle is certainly moving with cigar industry legislation, although the direction is not uniform.
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