Denver’s Flavored Tobacco Ban: What Businesses Need to Know

Denver voters have resoundingly approved Referendum 310, officially upholding the city’s ban on the sale of flavored tobacco and vaping products. This pivotal decision, backed by over 70% of voters, is set to usher in significant changes for numerous local businesses and reshape the retail landscape across the city.

Voters Solidify Flavored Tobacco Ban with Overwhelming Support

The passage of Referendum 310 confirms a major policy shift for Denver, affirming the ban on flavored tobacco and vaping products that was initially passed by the City Council. This overwhelming public support for the measure underscores a strong community focus on public health, indicating a clear mandate from residents to move forward with the prohibition.

Significant Economic Concerns for Local Retailers

“It’s going to hurt us”: Business Owners Anticipate Losses

Zachary Shadi Kingsley, a Denver convenience store owner, expressed deep disappointment with the referendum’s outcome. He highlighted the severe financial impact this ban will have on his business, projecting a loss of close to 30% of his store’s sales. Kingsley emphasized that replacing this substantial revenue stream will be a formidable challenge for his operation.

Looking beyond his own establishment, Kingsley estimates that the ban could lead to the closure of approximately 100 vape shops across Denver. Furthermore, he anticipates the elimination of at least 1,000 jobs within the city, painting a picture of a broader economic ripple effect impacting small businesses and their employees.

Disputed Tax Revenue Projections

A contentious point in the debate has been the potential loss of tax revenue. Kingsley claimed that the city stands to lose up to $13 million annually from Proposition EE tax money, funds which are allocated towards early childhood education. This figure, according to the Rocky Mountain Smoke Free Alliance, is based on a master sales tax agreement among vaping manufacturers, distributors, and retailers who report Denver sales taxes.

However, city officials have stated that Denver’s finance department has not yet verified this projected loss. Councilmember Darrell Watson of District 9, a vocal supporter of the ban, further challenged these financial predictions. He asserted that municipalities that have implemented similar flavored tobacco bans in other areas have not experienced the substantial tax funding losses predicted by opponents, stating that such claims have “not been proven correct.”

Public Health as a Driving Force Behind the Ban

Addressing Health Disparities in Communities of Color

Councilmember Watson lauded the ban as a significant triumph for public health. He specifically highlighted its positive impact on communities of color, drawing attention to the fact that the use of menthol cigarettes and other flavored products is considered the number one cause of preventable death among African Americans. For Watson, this measure represents a crucial step in taking a stand against health disparities and promoting healthier outcomes for all residents.

Next Steps: Enforcement and Business Support Initiatives

Anticipating Enforcement in the Coming Year

The enforcement of Denver’s now-upheld flavored tobacco ban is scheduled to begin next year. City officials are currently awaiting the official certification of the election results. Once certified, they expect to provide more precise details and clarity regarding the full implementation process, outlining what businesses and consumers can expect.

Resources for Affected Businesses

Recognizing the potential challenges businesses may face during this transition, city officials are recommending that affected owners explore available support. Enterprises are encouraged to apply for financial assistance and access valuable resources through the city’s dedicated Small Business and Entrepreneurs website. This platform aims to assist local businesses in navigating and adapting to the evolving economic landscape.

Key Questions About the Denver Flavored Tobacco Ban

• What does the approval of Referendum 310 mean for Denver?
  Voters in Denver have upheld the City Council’s ban on the sale of flavored tobacco and vaping products, meaning the ban will proceed with implementation.
• What kind of financial impact are local businesses anticipating?
  Convenience store owners like Zachary Shadi Kingsley project up to a 30% loss in sales, and an estimated 100 vape shop closures and 1,000 job losses across the city.
• Is the city expected to lose $13 million in tax revenue due to the ban?
  While businesses claim a potential annual loss of $13 million in Proposition EE tax money, Denver’s finance department has not verified this figure. Councilmember Darrell Watson also notes similar bans elsewhere haven’t shown such losses.
• When will the flavored tobacco ban officially go into effect?
  Enforcement of the ban is expected to begin next year, following the official certification of the recent election results.
• Are there resources or financial assistance programs available for businesses struggling with the ban?
  Yes, city officials recommend that affected businesses apply for financial assistance and seek support through the city’s Small Business and Entrepreneurs website.

As Denver moves forward with the flavored tobacco ban, local businesses are strongly encouraged to stay informed through official channels, seek specific guidance, and proactively utilize available support programs to successfully adapt to these significant regulatory changes.

Denver Voters Uphold Flavored Tobacco Ban