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O:\BAI\BAI98.829
S.L.C.
6
1 SEC. 204. NONCOMPLIANCE.
2
(a) VIOLATION OF STANDARD.-If, with respect to a
3 year, a manufacturer of a tobacco product fails to comply
4 with the required reduction under section 203(a), the
5 manufacturer shall pay to the Secretary a noncompliance
6 fee for each unit of tobacco products manufactured by the
7 manufacturer which is distributed for consumer use in the
8 year following the year in which the noncompliance occurs,
9 in the amount specified in subsection (b).
10
(b) NONCOMPLIANCE FEE PER UNIT.-
11
(1) IN GENERAL.-With respect to a year, a
12
manufacturer of a tobacco product shall be required
13
to pay a noncompliance fee for each unit of tobacco
14
products manufactured by the manufacturer if the
15
noncompliance factor of the manufacturer (as deter-
16
mined under paragraph (3)) for the year is greater
17
than zero.
18
(2) AMOUNT OF FEE.-The amount of the non-
19
compliance fee that is required to be paid by a man-
20
ufacturer under this section for each unit of tobacco
21
products manufactured by the manufacturer for the
22
year involved shall be equal to—
=
23
(A) 2 cents multiplied by so much of the
24
noncompliance factor as does not exceed 5;
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