The Vaping Advocate Issue 5 - December 2016

ON THE COVER

CHRIS JIMENEZ

Vice President of Sales, BankCard USA Secretary, California Smoke Free Organization

ISSUE No. 5

VAPERS AND VOTERS SEND A MIXED MESSAGE ON E-CIGS

A

fter what was one of the more contentious election of our lifetimes millions of Americans are either thrilled or devastated with news of who our next President will be.

And while it is impossible know at this early stage how the election fallout will help or hurt our industry, it is never too soon to make snap judgements. Let’s take a look at The Good, The Bad, The Hopeful and The Ironic.

THE GOOD North Dakota Ballot Measure 4 was defeated with 62% of voters refusing to enact a 56% wholesale tax on tobacco products, including vapor products.

THE HOPEFUL

THE GOOD RON JOHNSON AND THE REPUBLICANS KEEP THE HOUSE AND SENATE While it is sometimes foolish to make a blanket statement about one party or another, in general it has been the Republicans that have been (at least on paper) the most supportive of efforts such as Cole-Bishop and HR2058.

In addition, Republican Senator Ron Johnson a vocal opponent of the FDA, and Republican Senator Richard Burr of North Carolina another vaping supporter both won reelection. Additionally, Representatives Tom Cole (R) and Democratic Sanford Bishop, cosponsors of the Cole-Bishop amendment, both won reelection.

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PRESIDENT - DONALD TRUMP It is almost impossible to know how Trump will govern. And while there have been rumors that Trump is actually a vaper, the incoming President has not made any public statements about e-cigarettes.

However, he has made two statements that should at least give vapers a glimmer of hope.

First, on President-Elect Trump’s website, his administration promises to “Reform the Food and Drug Administration, to put greater focus on the need of patients for new and innovative medical products.” While the scope of this statement is unclear and lacks a timeline for implementation, I can’t imagine that many vapers and those who have seen A Billion Lives could argue against FDA reform.

THE BAD CALIFORNIA - PROP 56 PASSES AND PASSES BIG On Election Day, Californian voters fell for the hype and unfortunately voted to pass Prop 56 which raised taxes on both cigarettes and vaping products by a significant margin. The appeal of keeping kids from smoking and allegedly funding health programs and schools was too much to overcome, even though opponents of the initiative actually outspent those who supported the proposition.

This devastating tax increase will certainly hurt all California vaping businesses and of course hurt those looking to make the switch from combustible cigarettes. What is unfortunate is that this vote came about do to a hatred of the average nonsmoking citizen of tobacco products. Unfortunately, the vaping industry continued conception as a tobacco product has once again hurt the chances of our industry and millions of smokers chances of survival.

THE IRONIC

Secondly, on the campaign trail Trump often said that at least 70% of the current regulation on the book “can go.” Per a story in The Hill on November 12, 2016 in an article entitled “14 Obama Regs That Trump Could Undo With His Pen,” number 14 was listed as a pull back on the FDA’s tobacco regulations. Detailed in the piece state that the agency “stirred controversy” when it “expanded those rules to include electronic cigarettes, cigars and hookah.” It is believed that with Trump’s support that the Congressional Review Act could help push back the deeming regs.

MARIJUANA BECOMES MORE SOCIALLY AND LEGALLY ACCEPTED While regulations and taxes are making life for a vaper harder across the nation, seven states including California and Massachusetts voted to make recreational use of Marijuana legal.

Without passing judgement, the irony comes in that Cannabis was something that was illegal and considered socially unacceptable just a few years ago is now legal for a either medicinal or recreational use in over half the states in the Union. The big question and how it pertains to vaping future is how did Marijuana flip the script as a medicinal item when vaping can not? Will vaping follow cannabis’ path to acceptance?

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WARNING! DON’T FORGET ABOUT

DECEMBER 31ST 2016 The next date that must not be ignored in the infamous Tobacco Control Act is December 31st 2016. According to Section 905(b) states that any “establishment” in the USA that manufactures, prepares, creates, or modifies a “tobacco product” must register with the FDA by the New Years Eve (December 31, 2016).

Per the FDA’s Deeming Regulations that rule now applies to e-liquid products as well. This means that not only must manufactures of hardware or e-liquid must register, but also anyone (including shops) that repackage or change a product in anyway must also register by December 31st.

Registration requirements include your locations address, and more ominously a DETAILED LIST OF EVERYTHING that your company produces.

To register please visit the FDA Unified Registration Listing System (FURLS) at access.FDA.Gov or by filling out Ford FDA 3741.

The Vaping Advocate urges everyone to register early and consult legal counsel for guidance.

The

VAPING Awards

2016

Chris Jimenez, Industry Leader Award Winner

Dimitri Agrafiotis, 2016 Advocate Of The Year

Aaron Biebert, Vaping Vanguard Award Winner

Pip Gresham, Industry Leader Award Winner

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Robin Barsky, 2016 Advocate Of The Year

Schell Hammel, Vaping Stewardship Award Winner

Phil Busardo, Vaping Pioneer Award Winner

Keith Fairman, Cause Related Marketing For Aisle 7/Nora’s Dream

Eric Peterson, Industry Leader Award Winner

Chris Davis, 2016 Vape Innovator for Electric Lotus Vaping Advocate | 11

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PIES FOR ADVOCACY While the advocacy business doesn’t usually have a lot of laughs, The Vaping Advocate recently took part in a fundraising effort that lightened some moods and raised some serious money for advocacy.

Starting with The Vape Showcase in early August, show MCs Austin Hopper and Jason Heminger auctioned off the chance to toss a “whip cream” pie in the face of some of our industry’s hardest working advocates. Four pies were auctioned off in Dallas, and raised over $2500 dollars for Texas SFATA. The recipients of the pies to the face were Schell Hammel (twice), Coil Glaze’s Austin Hopper, and NotBlowingSmoke.org’s Stefan Didek.

A few weeks later in Owensboro, Kentucky at The Midwest Vape Expo, we were at it again. Austin Hopper took another pie to the face, and a last minute bidding war saw Keith Fairman of Diamond Vapor and Aisle 7 step up and place the winning bid to shove the whip cream pie in Phil Busardo’s face.

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PUTTING OUT FIRE WITH GASOLINE

By Patrick Riffe (Nacht Noir)

Frustration. That’s what most of us feel.

If you just flip the context slightly and make a few substitutions.

Change a word here and there our story and our struggle becomes something everyone can get behind.

Change smoking to burning. 40 million American smokers becomes 40 million Americans burning to death.

Switch vaping to fire extinguishers You now have, a government creating a de-facto ban on fire extinguishers.

The part that really burns is that most Americans don’t care about vaping. 40 million people die in a fire, they care. 40 million smokers trapped by smoking which will cause most, if not all to die prematurely, no one cares.

We have a fire extinguisher. FDA, the public health groups and the tax leeches in the government just won’t let us use it.

Would any of these guys think an exorbitant tax on fire extinguishers was a good idea? I don’t think so.

Would a ban on using a fire extinguisher ever be considered? No.

Put it all together and you have 40 million Americans burning to death because government regulation caused a ban of fire extinguishers.

It really is the same. One version just happens much faster than the other.

What would the non-fire fighting public do to politicians who tried to pass such ridiculous legislation? Vote them out of office and support the pro-fire extinguisher candidate.

Why isn’t every American in an uproar over horrible government overreaching regulations?

Oh, there’s the rub. The majority of registered voters don’t actually vote. Doing nothing is the same as doing the wrong thing. Not voting is a vote for the wrong candidate. Fire extinguisher issues or not, we can’t put out fires if they won’t let us pull the pin. We must elect pro-fire extinguisher candidates.

We need to promote proper fire extinguisher use and education and we need to support the pro-fire extinguisher lobby.

It’s because we haven’t framed our argument correctly. We’ve forgotten about those 40 million people burning to death. We need to remember them.

Instead, we see people doing the opposite of what is needed.

Instead of making fire extinguishers look good, they start fires and cause non-firefighters to have a bad opinion of them.

No one, no matter how insensitive they are, would stand by and watch people burn to death when they could do something to stop it.

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You see, fires scare people. They get very emotional when they think something can hurt them. They don’t want their kids thinking fires are cool. They don’t want a fire bug in their house.

The government and fire safety orgs say they are there to protect you, but it’s best to leave fire fighting to professionals and only use approved methods to douse flames. Don’t try to be the hero, don’t try to save a life.

Instead of water or fire retardant, the hoses they want you to use are full of gasoline. They would rather you use something shown time and time again not to work, or in some cases their help does more harm than good. It doesn’t matter. The manufacturers of those ineffective fire protection systems and burn treatment products have made huge donations to lawmakers and the regulatory agencies to stop more effective products from being on the market.

We have to beg for support to raise funds for efforts to stop them from banning our superior extinguisher. Those 40 million Americans currently burning to death could be saved, but state groups fighting to protect a product capable of putting the fires out are left to beg to save them.

time one of the 40 million people slowly burning to death walks into your “fire extinguisher” shop.

This is your chance to run into the burning building and save a life. Are you brave enough? Will you put out the fire or watch 40 million people die when you could have used a “fire extinguisher”.

Some of you are scratching your head. You might not get it. Why is there an article about fire extinguishers in “The Vaping Advocate”?

It’s simple. You can’t see the flames. You’re holding your fire extinguisher in your hand and not even seeing it for what it truly is.

Open your eyes and remember what smoking was like and appreciate that device for what it really is. It can chuck clouds. It can help you chase flavors. But, the greatest thing it can do is put out the fire that is burning 40 million people to death right now.

Now is the time for you to become a fireman and help save those lives.

Since these fires are mostly burning slowly and lots of “fire extinguisher” companies are only concerned with hobbyist fires, the lives on the line are being forgotten.

We can not forget why we continue to try to put out these fires.

Most of us can still remember what those flames felt like. We may not be burning any longer, but the fire is still all around us and we all need to be firefighters.

Firefighters do something that most of us would never think of.

They bravely run directly into a burning building to save lives. That is what happens every time you sell or give a “fire extinguisher” to someone who is “burning”.

Others may not see these flames, but you are surrounded by them. You should feel the heat and the smoke in your eyes every Vaping Advocate | 17

(RE)DISCOVERING PURPOSE AND QUALITY IN VAPING

By MIT Brickman

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s vaping navigates its transition from a young, unregulated startup – with all of the missteps, immaturity, and experimentation that the phase entails – to an established, professional, and generally accepted industry, there are two issues that are particularly interesting to me. The first is the deviation from the initial mission of vaping as a significantly less harmful way to manage nicotine, which has caused so many in the industry to get lost in the weeds of seeing vaping as a lifestyle. The second (although number one on my current shit list) is the widespread lack of emphasis on quality manufacturing in devices and liquids.

One has set vaping up for many of its ongoing public relations and regulatory challenges, and the other is an internal problem that completely disrespects the current and future vaping customer base as well as the retailers. Both are serious and both need to be addressed openly.

I discovered vaping as an alternative to smoking cigarettes in late 2008. At that time, there were no vape shops where I lived – or perhaps anywhere for that matter – and the only devices available were cig-alikes with either tobacco or menthol options. Since those early devices had a somewhat anticlimactic vapor output along with obvious similarities to cigarettes (in both appearance and flavor), the only people using them were current or former smokers just trying to get nicotine without the flaming certainty of death by 20 | Vaping Advocate

combustion. Then something amazing happened; those current and former smokers discovered that vaping actually worked as an alternative to cigarettes – and they shared their stories freely among friends, family, and coworkers. The combination of hand-to-mouth familiarity, throat hit, and nicotine rush were by far more satisfying than any gum, patch, pill, or vaporless nicotine inhaler. As word of this new option spread – piquing the interest of every smoker tired of coughing up phlegm every morning or walking through life smelling like an ashtray – online and brick and mortar stores began to appear.

When the first electronic cigarette shop opened in my city, nestled between an all-night diner and a liquor store, I noticed the customers lining the sidewalk before I figured out what the business even was. They were people from all walks of life – arriving in everything from rusted out Ford Pintos to sparkling BMWs – all apparently looking to replace cigarettes. After working to fit my car into the overcrowded parking lot, I joined the line in anticipation of immediate gratification (as opposed to the delays of online buying). It turned out that my reward for finally getting to the front of the line was the rushed attention of a harried salesperson offering a meager selection of fruit flavored liquids and new, colorful devices. Every person in the line, myself included, forked over at least $100 that day. It was the beginning of the vapor retail salad

days, where $100,000 in monthly brick and mortar sales were not unusual. It wasn’t long before those early vaping entrepreneurs were arriving to work every morning in expensive cars, and heading home to spacious new houses filled with still-unpacked moving boxes.

Given the option of a local retail store, I stopped ordering online altogether and made standing in that line a bi-weekly ritual.

Over the next twelve months of observing this retail environment while waiting for my turn at the register, I noticed some subtle changes. First, the number of salespeople grew – and they were all very young, uneducated about vaping, and clearly there for the money; often disclosing that they were trying to win a shop sales contest as they pushed extra liquid or new devices. Then, the owners (those older adults who had stopped smoking through vaping and had seen the potential opportunity in it) became less and less visible, ultimately disappearing altogether. You must remember, these folks weren’t generally retail or business professionals prior to entering the industry, they were mechanics, delivery drivers, and hair stylists who saw the chance to profit from sharing vaping with other smokers (which they had already been doing voluntarily anyway during their day jobs). Once the money began accumulating though, spending all day in their shops understandably became less of a priority. They relegated the tasks of running the vape shops to their employees – those young, excited kids – occasionally promoting the dependable ones to store management positions.

This is where I saw vaping start its transition away from an effective alternative to smoking cigarettes, and toward being a social fad. It went from a life-saving technology to a lifestyle technology. The shops began filling with the loitering friends of the kids who worked there, and there was obviously little to no owner supervision. It was not uncommon for the older adult customers in line to trade comments or rolled eyes at the antics, appearance, or off-color banter of the staff. Apparently, as long as the bank deposits kept rolling in, the owners were satisfied – I assume this because the deterioration trend continued unabated. Soon, couches began appearing on the sales floors, surrounded by bins of free candy, and video game systems attached to large flat screen monitors. The vaping retail environments had transitioned from stores to “lounges,” filled with young people squinting at video games through a heavy vape haze, and complaining if the line of customers obscured the screen. Another customer – a man in a dark, professional suit – turned to me once and said, “I feel like I’m crashing someone’s house party when I come here.” Indeed.

It was these listless, youthful groups that began to tweak devices (or construct new ones), and adjust liquid ingredients to maximize vapor output. Huge clouds became a point of pride, and shouts of “Hey, check this one out” followed by accolades or laughing insults mingled with the sounds of video game gunfire… and the constant ringing of the cash register. Some of these “tweakers” – the motivated ones anyway – began selling their devices and liquid through word of mouth or social media, which are also the vehicles that spread the fascination with ever-larger clouds and unique flavors. The more popular ones decided to start their own companies to see how far and wide they could spread their names.

This ultimately led to the second vaping boom – centered on hardware innovation and the liquid culture. Although this did result in some positives for the harm-reduction (former smoker) vapers, such as more satisfying flavor options and vapor exhale, longer

battery life, and higher capacities so constantly adding liquid was no longer necessary; those were all unintentional secondary benefits of the non-cigarette-cessation-related quest for clouds.

Based on the success and visibility of this vaping fad – still funded largely by the boring, adult, nicotine-management customer base and their consistent purchases – other established manufacturers and business began entering the market. This is where the Chinese manufacturers and their North American distribution partners began to thrive; the former could create new and interesting devices quickly and cheaply, and the latter knew how to create buzz within the vape communities.

The devices, liquids, marketing, and focus in the industry became more about newer-bigger-better-badder and less about combustible cigarette harm reduction. For a purely harm-reduction vaper like myself, cloud competitions, conventions, and vape tricks held no appeal whatsoever; yet all of the retail shops and vaping resources that I encountered – either run by excitable youth, or by short-term opportunists – catered almost exclusively to that Vaping Advocate | 21

fringe. It’s no wonder that as the vaping industry grew, what should have been a minor and relatively insignificant underground culture became the primary focus; the face of the industry. It was simply easier to pursue the fast money generated by catering to the trendhungry youth than it was to continue educating smokers and the general public about the life-saving benefits of vaping. The public health angle just wasn’t quite as exciting – even if the ultimate outcome (in both human lives and revenue opportunities) would make the cloud-chasing fad just a blip by comparison. It was yet another example of choosing the path of least resistance at the expense of future growth and stability.

It reminds me of that old joke about the young bull and the old bull standing on a hilltop overlooking a valley full of cows. The young bull begins stamping his hooves and shouting, “Let’s run down there and fuck us a cow!” To which the old bull replies, “How about we walk down there and fuck them all.” Short term gain versus long term success.

And what of my issue with the quality of manufacturing in this industry? You’d be surprised at how many liquids are still being mixed in unsanitary conditions and with questionable ingredients – even among well-known brands. Over the past eighteen months, I have made it my hobby to talk with every liquid manufacturer that I get access to and it amazes me how many think that wiping down their warehouse walls with bleach when they first set up shop, or hanging plastic tarping everywhere somehow equates to International Standards Organization (ISO) clean room conditions.

Customers are inhaling these liquids directly into their lungs, just putting up plastic sheet dividers or making your hipster workers wear beard nets doesn’t actually ensure a clean, pure final product.

Then, there is the proliferation of devices, tanks, and atomizers with DOA (Dead on Arrival or Defective on Arrival) warranties. What the fuck is that about? These manufacturers have such little faith in the quality of their own products that they will not guarantee them to even work once a customer buys them. Would you ever buy a brand new car from a dealership who tells you that you are shit out of luck if you pull out of the lot and the engine seizes? Yet only a painfully small percentage of vaping hardware on the market comes with any type of warranty – and somehow that’s acceptable in this industry? It’s unfair to the end customer who spends money for a quality vaping experience, and it’s unfair to the retailers who are left holding the bag like that. After all, a customer whose new device fails after two hours will blame the retailer when they are not allowed to return or exchange it, but if the shop does try to serve the customer by refunding the purchase, then it is they who will be out the money. All because the manufacturers refuse to guarantee that what they are building and selling is not shit. Hell, even if a hardware brand name does become tainted in the current market, the manufacturer simply changes the name and starts the marketing campaigns anew.

I have written before that the small group of current vapers (however big you imagine that number to be) is nothing compared to the masses who will be vaping five or ten years from now – once the technology has been accepted as the no-brainer alternative to cigarettes. And those new vapers will be normal, hard-working folks just moving through life with vapor devices in their pockets and purses instead of cigarette packs. Vaping will not be a lifestyle for them; they will not attend cloud competitions or vape conventions, and they are not going to spend their money on questionable liquids or hardware that doesn’t come with a guarantee of quality.

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My advice to those in the industry is this; return your focus to what vaping is really about – which is changing the health future of the world with a technology that gives people a highly effective way to manage nicotine in a manner that is unbelievably less harmful than cigarettes. And demand quality. Stop promoting, selling, buying, or manufacturing hardware without warranties, or liquid without the highest production standards. If the product is shit, it will be counterproductive to providing a safe and satisfying vaping experience to the tens-of-millions of smokers who will be transitioning away from cigarettes in the near future.

The life, health, and financial future of the world population actually depends on the vaping industry getting this right – and enough people in the industry are beginning to understand that now. So if you don’t have the correct focus, or the ability to provide quality products and services to vapers, then you should probably just pocket your cash and pull the plug now. I guarantee that it’s not going to be pretty when the market does it for you.

Hands For A Billion Lives

October 2016 saw #HandsForABillionLives become a phenomenon across the world as Vapers everywhere took the hand of a someone whose life had been changed by e-cigarettes to protest the one billion lives that will be lost this century to tobacco use. From Matt Bradly on his boat in the Pacific, to the attendees at the SFATA National Convention, to the entire crowd at the World Series Of Vapor in Miami - #HandsForABillionLives was a powerful statement that when our industry stands together we are powerful. Thank you to Reba Holland, Schell Hammel, and the dozens of other people who helped organize this event.

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COLE-BISHOP: WE ALL MUST RALLY AROUND A COMMON GOAL TO SAVE THE VAPOR INDUSTRY – HERE’S HOW

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he vapor industry is at a critical juncture. Faced with an unpredictable, unaffordable and ultimately unrealistic application process, more and more vapor shops across the country are facing the reality that they may soon have to close their doors (if they haven’t already). This will put thousands of Americans out of work and eliminate a healthier alternative to tobacco for adult consumers.

COLE-BISHOP: THE PATH FORWARD FOR VAPOR If the vapor industry is going to survive – if vapor products are going to remain on the shelves and not in some back alley king – we all have to rally around a common objective. Right now, that means finding a way to work with members of both parties in Congress to amend the predicate date. No matter what else you may have heard or read, there is one viable path to save the vapor industry this year: the Cole-Bishop Amendment.

The Cole-Bishop Amendment would provide much-needed regulation of vapor products as the new technology that they 30 | Vaping Advocate

are rather than the tobacco products that they are not. During the recent mark-up of the Agriculture, Rural Development, Food and Drug Administration bill, the amendment, offered by Representatives Tom Cole (R-OK) and Sanford Bishop (D-GA), passed with bipartisan support. This amendment accomplishes the goal of protecting small businesses and preserving the industry, while implementing commonsense regulations that will protect youth and ensure the safety of consumers.

The Cole-Bishop Amendment is the first pro-vaping piece of legislation to actually move in Congress and we need to capitalize on that support and momentum. No other piece of legislation has moved or, for that matter, will move in the few days left that Congress is in session this year.

The language in the Cole-Bishop Amendment is straightforward.

First, it will keep thousands of small and mid-size businesses, and their tens of thousands of employees, up and running by amending the “predicate date” from February 15, 2007 to the effective date of the final deeming regulations.

Second, the Cole-Bishop Amendment will restrict youth marketing and youth access to vapor products by limiting newspaper, magazine or other print advertising of vapor products to adult publications, requiring face-to-face sales, and requiring the FDA to issue labeling regulations within 12 months to include, “Keep Out of Reach of Children,” “Underage Sale Prohibited,” and accurate nicotine content. This necessary provision represents to those who might not have otherwise supported our efforts that we are a responsible industry that is committed to the highest quality products, as well as the safety of adult consumers and children.

Third, the Cole-Bishop language gives Congress the opportunity to addressthe issue of product safety by requiring the FDA to implement their rulemaking on product standards for batteries within 12 months.

Finally, the Cole-Bishop Amendment merely requires retailers, which are not already registered at the state level, to register with the FDA.

TAKE ACTION: #WEAREVAPOR To those in our industry who would argue that these proposed regulations go too far, or who hope that a “better” option will come along, I would offer a harsh dose of reality: if your company is not willing to impose on itself these types of regulations right now by supporting Cole-Bishop, then you have no businesses thinking that you are going to survive under any regulatory scheme.

Bottom line: Unless we come together right now to support this legislation, we are going to be regulated out of existence. It is as simple as that. In Congressmen Tom Cole and Sanford Bishop, we have a rare opportunity in an otherwise stymied and polarized Congress to work with members across the political spectrum to achieve our goal of keeping new and innovative vapor products on the market.

2. TAG YOUR ELECTED OFFICIALS! At SaveVapor.org you can look upthe Facebook and Twitter handles of your 2 Senators and 1 Representative by using the Find Your Federal Officials module. Jot down the handles so you can tag them in your posts and tweets.

3. POST YOUR PHOTO WITH A MESSAGE! Post your photo to Twitter and Facebook using #WeAreVapor and #SupportColeBishop with one of the simple messages suggested by our public affairs team.

All these details can be found at www.savevapor.org. Also, SaveVapor.org gives you other tools to call your member of Congress and send him/her an email. Use social media as an avenue to make your position known. Write a letter for your local paper. Do your part to save the vapor industry now, before it is too late.

To learn more about the Vapor Technology Association or how to get involved, visit our website at www.vaportechnology.org. http://cqrcengage.com/vaportechnology/WeAreVapor to contact your member of Congress in support of the Cole-Bishop Amendment.

It is up to you. We will only be successful if we stick together and make our voices heard. So, the Vapor Technology Association is issuing a call to action to all of the vapor product manufacturers, wholesalers, small business owners and entrepreneurs and all the customers that they you serve.

We urge everyone in the vapor community – industry leaders, manufacturers, small business owners and consumers – to get behind this that is already underway, go to the #WeAreVapor page at WWW.SAVEVAPOR.ORG and get involved in our communitywide effort to save vapor. There you will be able to find your representative and participate in the #WEAREVAPOR campaign, a grassroots effort to organize our community in a way to make YOUR voices heard in Washington.

As we all know, social media can be a powerful tool if we all come together around this common objective. This is how our vapor community’s first and only social media campaign directed at Congress works:

FOLLOW THESE 3 EASY STEPS TO MAKE YOUR VOICE HEARD 1. TAKE A PHOTO! Businesses: Take a photo in front of your place of business with your colleagues.

Customers: Take a photo in front of your nearest vape shop.

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CHRIS JIMENEZ REDEFINING ADVOCACY IN CALIFORNIA WITH THE CALIFORNIA SMOKE FREE ORGANIZATION

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ike so many in our industry, it was his first-hand knowledge of how e-cigs could change lives that led him to become a part of the industry. Chris, an entrepreneur in other business areas, poured himself into this young emerging industry by opening EcigAvenue.com, an early online retail consumer site.

But like many of the early pioneers, he found that it was difficult to run his business as professionally and efficiently as possible due to a misunderstanding of the industry.

“I knew the President of BankCard USA, Shawn Skelton, for over 20 years. He was a client of mine in another business I had owned. So, naturally I opened my merchant account with BankCard USA.” said Chris Jimenez. ”I busied myself with launching the website, buying product, driving traffic, and developing an SEO strategy. It took me months before I sat down and reviewed my processing statement (Can you relate?).

When I did the review I was shocked to see I was paying close to 6%!” stated Jimenez. When he called up his old friend, he said “that is a fair rate because you are a friend. This vape industry is simply an industry that we do not understand, it’s considered very high-risk, its totally unregulated, and we are concerned about sales to minors.”

Chris went on to say, “While selling credit card processing was the furthest thing from my mind, I realized that the only way to help bring down my rate was to become a champion for the industry in regards to how their processing was getting done.”

After some soul searching Chris agreed to accept Bank Card USA’s challenge to help open this new market. He helped innovate the “Vape Bank,” a product that brought bank direct credit card rates to the vape game.

“In a practical sense, what that means is that our customers saved more money per transaction. Money that could be used to reinvest into their business and help grow the industry,” explains Chris.

“Before I started at BankCard many were paying a 6% effective rate and through our efforts we brought that way down. From the bank’s point of view it was far easier and less risky to invest in the old standby industries such as restaurants and dry cleaners. I had to convince the banks that our industry was secure and that the risk was actually minimal.”

And with that, Chris Jimenez left behind his life as a budding eCommerce mogul and suddenly found himself traveling the country to vape conventions pushing his new relationship with BankCard.

Chris Jimenez and wife Margaux. Easily Chris’ better half, and it is easy to ask where he would be without her.

36 | Vaping Advocate

“We’ve been more successful than I had ever hoped, and I have some great clients that I am happy to call friends. I am

personally and professionally invested and I don’t want this industry to go away.”

While Chris had always been on the periphery of the advocacy game, it was the recent events in his home state of California that led him to become more involved.

“The initial defeat of the so-called Leno bill should have been a turning point for our industry in California. It was the time to coalesce and build bridges with legislators to ensure our future. Instead, some took a victory lap and forgot that they were dealing with professional politicians. The politicians came back with a vengeance and got their revenge as the industry

was unprepared,” continued Chris. “The bottom line was that in California the vapor industry had five bills rammed down its throat.

We had to take action. The result of that action is the California Smoke Free Organization.”

The Board immediately became a who’s who of California vaping including Dan Prasad of Vapor Beast, Sally Crystal of The 1040 Gals, Michael Peaden and Patrick Taylor of Charlie’s Chalk Dust, Ron Tully of Next Generation Labs, Rob Crossley of Cosmic Fog, Lonnie Boseman of Saveurvape Inc, Billy Wilson of Ecig Distributors, Aaron Pederson of Space Jam Juice, Nick Golust of Marina Vape Manufacturing, Eddie & Ting of Asmodus, Mike & Lan of Vapor DNA among others.

Vaping Advocate | 37

“It is very important to us that we filled our board with business leaders who have skin in the game in California,” Chris continued, “We need to attack advocacy the same way we handle our businesses - with professionalism. There is no time to gossip.

No time for infighting. We are playing the long game in California so that we can change the negative perception of our industry in Sacramento and demonstrate that we are a responsible industry of business professionals who favor regulations that will protect the public and create jobs.”

The CSFO mission is simple as stated on their website To keep the vapor markets competitive for both small and big players, to ensure the long-term viability of the industry, to defeat bills that stifle innovation critical to public health, and to transform the public debate on electronic cigarettes aka vapor products. Additionally, to influence the language of new bills while in formation forging new relationships with elected officials in California.

However, while the mission is clear and the goals are well defined, it is hard to argue that these goals are not all that dissimilar to that of other state organizations that already exist.

“We don’t want to put down the hard work that other groups are doing. However, we do feel that some groups are trying to do too much. It is difficult to successfully run a state wide advocacy group while at the same time fighting on a national level. When the focus is split, I believe the effectiveness can be diminished. Neither issue gets the full attention and resources it requires. We just want our best chance to succeed and make a difference,”continued Chris. “With the CSFO, we reached out to the Vapor Technology 38 | Vaping Advocate

Association, especially Tony Abboud and Ron Tully, in how to organize ourselves in such a way that we could have laser sharp focus on the issues that were affecting us here in California.Quite frankly, we wouldn’t have the CSFO without the support and leadership of the VTA. The VTA’s track record in dealing with both state and federal legislation gave us a proven model for success to emulate. Their experience and guidance has been paramount and we couldn’t have done any of this without them. Tony and Ron have become close friends and confidants, and have mentored me through many a tough situations.”

“With any advocacy organization there are two essential elements to success. The first is the fundraising necessary to hire not only a lobbying firm but also a public relations firm. The second is to build a strong enough coalition of lawmakers and voters (and that requires a strong get out the vote campaign) so that we can stop debilitating bills before they come up for a vote.”

“By being jammed in with smoking, it is easier for the opposition to win the tax battles. All the casual voter sees is a tax on smoking products that will allegedly help fund schools, and since the majority of voters don’t smoke, they have no idea at how their vote to raise taxes on smokers will hurt small business,” Chris said of the plans for CSFO to keep their voter registration efforts ongoing year round. “We need to be smarter as an industry to survive.”

Chris and the CSFO acknowledge that the road is difficult, especially with the recent changes that impacted the industry as a whole in California. However, they believe that a professional trade organization with plans for a long term and sustainable infrastructure will help create a strategy for future success and eventual repeal of rules and regulations that are detrimental to our industry.

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CANADA RECLASSIFIES E-CIGS! hile voters and legislators can’t seem to get a handle on how to handle vaping int eh US, n a surprise and welcome twist, the Canadian government has moved per Health Canada to “amend the Tobacco Act to regulate vaping products as a separate class of products.”

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“The internet is wide open, and that goes with just about everything these days,” Bar said.

Speaking at the Capitol, Minister Jane Philpott told a group of reporters ”We know that there is some evidence to suggest that the use of vaping products can be used as a harm-reduction tool for people who are current smokers. But at same time, they have [been] shown to be an enticement for young people to take up smoking and become addicted to nicotine.”

Data from the 2015 Canadian Tobacco, Alcohol and Drugs Survey suggests that in 2015, 26 per cent of Canadians aged 15 to 19 reported having ever tried an e-cigarette, up from 20 per cent in 2013.

While many vaping advocates would argue with some of Minister Philpott’s claims, at least Health Canada is preparing a path where adult vapers will still be able to acquire e-cigarettes.

The proposed legislation that would cover vaping products with and without nicotine would propose the following: • A ban on health claims such as vaping will help smokers quit.

• No sales or advertising to anyone under the age of 18.

• Creating regulatory authority to display health warnings on vaping devices.

Child-resistant packaging for vaping products is also proposed to protect children from the risk of nicotine poisoning.

The proposed legislation would also implement plain packaging for tobacco products, similar to the law in Australia.

Brand colours, logos and graphics on tobacco packages would be restricted.

In May, the department announced three months of public consultations on the move.

One of the still controversial and as of this printing undefined regulations has to do with flavors. While the current version reads that there will be a “prohibition on the promotion of flavors that appeal to youth, such as candy flavours,” it is unknown exactly how that will take affect. Most see a system of plain packaging similar to how cigarettes are marketed in most European countries.

Rob Cunningham, a senior policy adviser at the Canadian Cancer Society, said e-cigarettes should be regulated.

“The new federal legislation will deal with areas of federal responsibility, such as advertising and promotion, packaging, the product itself, use in federally regulated workplaces and public places.”

Cunningham said the new federal legislation would complement provincial legislation adopted in eight provinces. Alberta and Saskatchewan lack e-cigarette laws.

The contents of the bill largely follow the recommendations of the federal health committee, he said.

But it doesn’t address another way teens get e-cigarettes, said Yan Bar, owner of Eastern Bloc Vapes in Toronto.

Proposed federal legislation would include provisions ‘restricting certain flavours, like candy, that appeal to youth,’ Health Canada says. (CBC)

Vaping Advocate | 39

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hen you listen to the bands that led the first British Invasion, what is immediately striking is how uniquely different the British sound was from the then current American sound. The sound was revolutionary for sure, but it was the leap forward in depth of lyric (even those that strived for simplicity) that helped bands like The Beatles, The Rolling Stones and others take over our shores two hundred years after the Revolutionary War was over.

foreign cities selling American liquid to a vape audience that was just coming into its own. Heard over and over again at these conventions was the question - “Where Are The Next Level British Liquids?”

Now, some fifty years later American liquid companies have been storming English vaping conventions in London, Birmingham and other

At school, watching the clock. Your tummy rumbles and you cough to try and cover the sound, finally, the bell rings. It’s

44 | Vaping Advocate

Enter Dinner Lady. A British e-liquid company that just like the bands that stormed our shores decades ago is taking e-liquid to the next level. All the while, keeping its uniquely foreign appeal.

Their company description perfectly defines this dichotomy.

dinner time! Bursting through the doors of the dining-hall, you see her. The Dinner Lady. Her warm smile tells you that she has been cooking something special, an aroma of sweet puddings fills the air.

Dinner Lady E-liquids aims to recreate those glorious feelings of nostalgia with their quintessential British dessert range and it seems that Vapers worldwide are more than happy about it. With flavors such as Lemon Tart, Cornflake Tart, Strawberry Custard and Maple Waffle the nation’s senses are in dessert heaven and there is certainly no sign of this company disappearing in to a sweet smelling haze any time soon.

Established in the UK in May 2016, Dinner Lady established themselves as a player immediately by winning best stand by recreating perfectly the nostalgia that is their trademark.

in show at the NorthEastern Vape Expo in Foxwoods, Connecticut.

This was followed up again winning the best booth award at the Paris Expo.

“We made the conscious decision early on that Dinner Lady would be created with only the best ingredients, and that our booth’s and staff understood that we wanted our customers to understand the experience was as important as the liquid itself,” continued Hassim. “For Dinner Lady, it is all about quality and delivering an experience to our consumers. And we are thrilled that our customers are sharing their experiences on the web by sharing how much they love our flavors.”

As we in America face a harder environment for vaping, Dinner Lady is storming the shores confident that they will succeed here.

They will be exhibiting at the ECC Convention in early December and have continued plans for growth in 2017.

“The concept of Dinner Lady is someone that you can trust, approach and be comforted by. In the US the term is known as “Lunch Lady. The idea of Dinner Lady was to create a nostalgic concept that everyone in the world can relate to,” said Hassim Iqbal, Managing Director of Dinner Lady. “Yes, they may have different terms for it but everyone can relate to the concept of a Dinner Lady and what is stands for. Desserts served in our range are old school classic desserts.”

After hitting the ground running, Dinner Lady have set their sights on creating a word market, having already established a strong customer base in Europe and Australia before coming to America, where they won the coveted “Best Baked Goods” and “Best Juice”

For more information on Dinner Lady, please visit their website at VapeDinnerLady.com.

Vaping Advocate | 45

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Community Necessity – Consumers for Advocacy

S

ince the announcement of the deeming regulations have now come and gone, we have seen a fall in the community.

Industry leaders have pushed themselves beyond their limits and continue to do so; all the while, companies and even advocacy organizations have come to a close. Lawsuits have everyone on the edge of their seats praying that it pries the bars of our cage open just enough to give us more hope. Just a taste of what our freedom felt like. Many that advocate have felt like throwing in the towel, or even give up completely. Yet, we still see so many shops and so many consumers just completely unaware.

How can we get the pep in our step back? How do we bring back that passion and dedication it takes to help? How do we raise that bar now, more than ever?

If we think about it, the majority that are aware of advocacy efforts are mainly ‘in the industry’ or are active via social media.

Those are the ones that follow the community leaders guidance on what should be done next. Some even take charge and go above and beyond to try and make a larger impact. If we were to guess, those people would be considered the 10%. The 10% that are trying, every day, to keep this industry successful.

So, what is the deal with the other 90%?

That 90% is made up of shops, e-liquid manufacturers, equipment manufacturers and more importantly, the average consumer, that have no clue or drive to want to do more. We all know that without consumers an industry will fall. This news isn’t new to the vaping

world, nor a big surprise. Now, how can we focus our efforts where they are needed most? The answer is obvious, we need more consumer involvement. But, is it attainable?

Being a consumer, we need to be just as involved to the best of our ability, to let our voices be heard. Saying we support the industry and actually showing support are two totally different things. Understandably, most are overwhelmed on where to start.

Local shops that support advocacy say “donate here”, “signup here”. Social media tells them “go here”, “do this”, “read this”. Then, you get the bickering of “don’t donate there”, “that’s not what you should be supporting”. It is all a jumbled mess of being told one thing, but doing (or not doing) another and never really getting any type of clue on what works best for them. Really, that’s not okay.

Realistically, in a perfect world, one would research what works best for them and support it. But, since there are so many different avenues, health studies, reports, organizations and movements, it is difficult to know where to start, let alone find the information needed to make that decision.

The need for an informational hub has been discussed and thought about for a while now, yet actions have not been taken to make it so. Not due to negligence or lack of motivation, but the time it takes to bring everything into one place for an unbiased outlook on the options one can take. At this point in time, we need all hands on deck, especially the consumers. But, being ‘in the know’ is half the battle.

Vaping Advocate | 51

Four individuals have met this need head on. Months of research and development have led to an all-inclusive tool in the hopes of meeting a need that has been longed for. A place where one can go and knowledge themselves enough to properly do what is needed.

Consumers for Advocacy (consumersforadvocacy.com) is that informational hub the community needs. A single source where the most prevalent information has been gathered and organized in such a fashion where the end user can easily navigate, research and come to their own conclusion on what they feel they are capable of doing, or what organization they would like to support.

Consumers for Advocacy is not an organization, but an organized place to better qualify what is needed from all individuals in the community. Although the main focus is for consumers, any person can use this to better educate themselves or others.

The idea started around August 8th when various advocacy organizations and shops were closing their doors. The founders and creators of this tool, Cooper Key, Kelsey Orlando, Jessica Harper and Albert Harper have advocated together on many occasions and are also good friends, all passionate about this life saving technology. Since each have, in their own right, produced a strong presence in the advocacy world, the understanding for information to be in a centralized location was something they feel will make a positive impact. Their thought was, if more consumers were involved and educated, we would have a larger and louder presence where it is needed most.

Cooper, the developer of the website, took on most of the long nights making the site easily navigable and organized, while Albert, Jessica and Kelsey collected the necessary data. While there is plenty more that can be added to perfect the site, the fact that this necessity 52 | Vaping Advocate

has been produced in such an insightful manner has already proven its worth. One of the best attributes of the website is that the person is able to navigate through all of the major advocacy organizations or legal measures being taken, see what they stand for and choose which one best suits how they want to support the industry. Also, there is a section strictly dedicated to different types of movements that any person can do. Not everyone can physically get up and go to rally’s, or stay at their local B&M all day, so, options were made with clearly stated directions on what they can do sitting in the comfort of their home. It isn’t about doing everything, it is about doing something and that is what this site has brought to the forefront.

Not only does the website generate a push to get involved, it stays unbiased and supportive of all advocacy efforts. It is not tailored to fit one specific organization, but to support all organizations in the fight. Each organization does their own part to keep this industry alive and keep saving lives day by day.

Although each may differ in opinions, the mission of Consumers for Advocacy is to actually unite us, as a whole, for the bigger picture.

Consumers for Advocacy wants to bring everyone together, to stay informed and help produce the needed results we yearn for.

In all, this tool can connect that broken bridge of communication from the 10%, to the 90%, when properly used. It has now given the consumer the ability to select how they want to help, or how to donate to the organization they feel best suits their beliefs. It gives us back the freedom of choice, a better understanding of what is needed and plenty of areas to reach out and discuss issues and action plans. Consumers for Advocacy is a game changer, giving us more ability to stand up for our rights. Bringing us all that bit of hope we need to make educated decisions and actions that will positively impact the community as a whole.

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VAPING ADVOCACY DIRECTORY CONSUMER ORGANIZATIONS CASAA’S mission is to ensure the availability of effective, affordable and reduced harm alternatives to smoking by increasing public awareness and education; to encourage the testing and development of products to achieve acceptable safety standards and reasonable regulation; and to promote the benefits of reduced harm alternatives. www.CASAA.org

The American Vaping Association is a nonprofit organization that advocates for small- and medium-sized businesses in the rapidly growing vaping and electronic cigarette industry. We are dedicated to educating the public and government officials about financial and public health benefits offered by vapor products, which are battery-powered devices that heat a liquid nicotine or nicotine-free solution and create an inhalable vapor. www.Vaping.info

TRADE ASSOCIATIONS The Smoke Free Alternatives Trade Association represents a wide cross section of the “Smoke- Free” or vapor products, industry including distributors, manufacturers, retailers and consumers of Personal Electronic Vaporizing Units such as electronic cigarettes and the liquid solutions they contain. The vapor products industry is the embodiment of the American Dream; built by entrepreneurs and visionaries, this industry has grown organically and become a vibrant mutlibillion dollar industry that is constantly innovating the creating. www.SFATA.org

Vaping Industry Strategic Truth Alliance (VISTA Truth, Inc.) is a nationwide non-profit corporation formed in April 2014 that supports and advocates, on a state by state level, for the rights of retailers and wholesalers (both online and traditional) in the United States who offer less harmful alternative nicotine delivery devices to adult consumers instead of proven lethal tobacco products. Our goal is to have a professional lobbying firm in every state capitol; we will accomplish this by an alliance of vendor members, organizations, and individuals. www.VistaTruth.org

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The Right to be Smoke-Free Coalition is a non-profit, industry-led trade association of e-vapor businesses dedicated to promoting the interests of the industry by advocating for reasonable and responsible laws and regulations, and fighting for the right of vapers to be smoke-free.

AEMSA, the first and only Manufacturers’ trade association completely dedicated to creating responsible and sustainable standards for the safe manufacturing of “e-liquids” used in e-vapor products (aka electronic cigarettes). AEMSA is an all-volunteer organization, formed by American manufacturers of e-liquids, to promote safety and responsibility through self-regulation. www.AEMSA.org The Vapor Technology Association (VTA) promotes entrepreneurship, responsible public policies, and a high standard of safety for the vapor industry through the representation of manufacturers, wholesalers, and small business owners of innovative vapor products. www.vaportechnology.org On January 20th 2016 over 100 ecig manufacturers came together at a conference in Shenzhen China to commit their resources and financial support in the fight against unfair and burdensome FDA regulations. SEVIA USA was created and looking forward to assisting various advocacy and litigation groups in the US. www.SeviaUSA.org The Tennessee Smoke Free Association is an advocacy group and trade organization with a focus on Tobacco Harm Reduction (THR) through the use of personal vaporizers (electronic cigarettes) and other smokeless tobacco products shown to reduce the morbidity and mortality associated with smoking. www.TNSmokeFree.org

66 | Vaping Advocate

STATE LEVEL ADVOCACY GROUPS Bistate Regional Advocates for Vaping Education or BRAVE, is a grassroots, not for profit organization, whose mission is to promote vapor and nicotine alternatives through advocacy and education. BRAVE partners with state legislators in Illinois and Missouri, and local councils in the greater St. Louis area, on both sides of the river. www.MyBraveAction.org The Mississippi Vaping Advocacy Association believes vaping is a financial and public health boon for our state. The vaping industry is responsible for creating over 200 new small businesses (since 2012) that employ over 2000 people in Mississippi, all while facilitating a reducedharm alternative for millions of adult tobacco users across the state. www.MSVAA.org The Georgia Smoke Free Associationis consumer advocacy group and trade organization with a focus on Tobacco Harm Reduction (THR) through the use of personal vaporizers (electronic cigarettes) and other smokeless tobacco products shown to reduce the morbidity and mortality associated with smoking. www.GASmokeFree.org The Florida Smoke-Free Association is a non-profit advocacy group comprised vaping businesses and consumers. The goal of FSFA is to support and protect the Florida vaping industry. FSFA works with Legislators and Florida Health Officials to reduce the devastating effects of combustible tobacco products. www.FLSmokeFree.org

The Utah Smoke Free Association fights for the rights of Utah residents wishing to reduce the harms to themselves and their loved ones from smoked tobacco usage through the use of electronic vapor products. www.UTSmokeFree.org

Oklahoma Vapers Advocacy League was founded in March of 2012 by your local Vape Stores to preserve your rights to access reduced harm alternatives to tobacco products. Ways we achieve that is by assisting and implementing proper legislation that affords consumers the right of choice at a local and national level. www.OvalOK.org The Masachusetts Smoke Free Association is a consumer advocacy group and trade organization with a focus on Tobacco Harm Reduction (THR) through the use of personal vaporizers (electronic cigarettes) and other smokeless tobacco products shown to reduce the morbidity and mortality associated with smoking traditional combustible tobacco products. www.SmokeFreeMA.org The BEAA believes vaping is a financial and public health boon for our state. The vaping industry is responsible for creating over 200 new small businesses (since 2012) that employ over 2000 people in Alabama, all while facilitating a reducedharm alternative for millions of adult tobacco users across the state. www.beaa-al.org The Kentucky Smoke Free Association is consumer advocacy group and trade organization with a focus on Tobacco Harm Reduction (THR) through the use of personal vaporizers (electronic cigarettes) and other smokeless tobacco products shown to reduce the morbidity and mortality associated with smoking. www.KASmokeFree.org

South Carolina Vapor Industry Association We are advocates for the Vapor Industry.

We are consumers, vapers, and business owners with a passion for the industry both here in South Carolina and Nationally. We fight for your right to vape.

Our board seats are open to all SCVIA members. If your district does not have a chairperson, please contact us if you would like to make a nomination. http://www.scvia.org

INTERNATIONAL VAPOR ASSOCIATIONS CVA - Canada is a registered national, not-for-profit organization, responsible for the management of government and media relations on behalf of the Canadian Vaping Industry. CVA will represent the over 300 retail and online electronic cigarette businesses in Canada. www.canadianvapingassociation.org The New Nicotine Alliance Australia is a not for profit organization working towards improving public health through a greater understanding of risk-reduced nicotine products and their uses. It receives no funding from tobacco, e-cigarette or pharmaceutical companies or their affiliates. www.nnalliance.org.au

NNA - UK is concerned with improving public health, through a greater understanding of “new” (risk-reduced) nicotine products and their uses. www.nnalliance.org The New Zealand Vaping Alliance is comprised of a group of New Zealand’s leading e-cigarette retailers and keen vaping enthusiasts concerned at the absence of a collective voice on e-cigarette use and vaping community issues. www.nzvapingalliance.co.nz

The Vaping Militia is a grass roots organization that believes that Tobacco Harm Reduction (THR) through the use of personal vaporizers (electronic cigarettes) is shown to reduce the morbidity and mortality associated with smoking. We focus on the prevention of tobacco harm and seek to cooperate with the Health Agencies to function for the greater health of the public.

TheVapingMilitia.org If You Would Like Your Advocacy Group Listed, Please Contact Info@TheVapingAdvocate.com North Carolina Vape Council North CarolinaVapingCouncil.com The North Carolina Vaping Council is supporting your right to a different lifestyle and your freedom to vape.

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