Are there restaurants and bars that will not be required to comply with the smoking law?

Yes. The following types of restaurants and bars are not required to comply with the new smoking law:

• Cigar bars: In order to qualify for this exception and allow smoking, the bar must satisfy the following criteria:
  • Gross revenue: The bar must generate 60% or more of its quarterly gross revenue from the sale of alcoholic beverages and 25% or more from the sale of cigars.
  • Humidor: The bar must have a humidor – which is a box or room with constant humidity designed to store cigars or pipe tobacco – on the premises.
  • Minors: The bar must not allow minors (individuals under age 21) to enter.
  • Smoke: Smoke from the bar must not migrate from the bar to an enclosed area where smoking is prohibited under the state law, such as a restaurant.
  • New construction: If the cigar bar begins operation after July 1, 2009, it must be located in a freestanding structure occupied solely by the bar.
  • Reporting: The bar must submit quarterly revenue reports to the Department of Health and Human Services.
• Private clubs: In order to qualify for this exception, the club must satisfy the following criteria:
  • Membership: The club must maintain selective members.
  • Operations: The club must be operated by the members.
  • Restricted service: The club must not provide food or lodging for pay to anyone who is not a member or a member’s guest.
  • Nonprofit status: The club must either be
    • incorporated as a nonprofit corporation under state law (found in G.S. Chapter 55A) or
    • exempt from paying federal income tax under federal Internal Revenue Code.
• Country clubs: The law is unclear with respect to country clubs. The term is included in the definition of "private club" but it is not clear how all of the parts of the definition fit together. As currently drafted, one could conclude that either of the following interpretations apply:
  • A country club is exempt if it satisfies all four of the criteria identified above under "private clubs" or
  • Any country club is exempt (and the term "country club" is undefined).
• Restaurants that are exempt from the state’s sanitation laws: If a restaurant is not required to comply with the state’s sanitation laws (found in G.S. Chapter 130A, Article 8, Part 6), it will not be required to comply with the new smoking law. This category includes:
  • Private clubs: The definition in the sanitation law parallels the definition in the smoking law except that it does not include any specific reference to country clubs. Because the two definitions overlap, this provision in the sanitation law does not expand the number or type of exceptions to the smoking law in any way. To restate, the criteria that a private club must satisfy are:
    • Membership: The club must maintain selective members.
    • Operations: The club must be operated by the members.
    • Restricted service: The club must not provide food or lodging for pay to anyone who is not a member or a member’s guest.
    • Nonprofit status: The club must either be
      • Incorporated as a nonprofit corporation under state law (found in G.S. Chapter 55A) or
      • exempt from paying federal income tax under federal Internal Revenue Code.
  • Curb markets operated by the State Agricultural Extension Service.
  • Certain nonprofit establishments or political committees: In order qualify for this exemption, the restaurant must satisfy both of the following requirements:
    • First, the establishment must be (1) incorporated ad a nonprofit under state law, (2) exempt from federal income tax or (3) a political committee as defined in state law. See G.S. 163-278.6(14).
    • Second, the establishment must prepare or serve food or drink for pay
      • No more frequently than once a month and
      • For a period not to exceed two consecutive days at a time.
  • State nutrition program for the elderly: A nutrition program for the elderly is exempt if it
    • Is administered by the state Division of Aging of the Department of Health and Human Services,
    • Prepares and serves food or drink on the premises where the program is located in connection with a fundraising event, and
    • Food and drink are prepared and served no more frequently than one day each month.
  • Beverages only: A restaurant that serves only beverages that use single service containers. In order to qualify for the exception, the beverages must not be (1) beverages made from raw apples or (2) potentially hazardous beverages made from raw fruits or vegetables. Note that if the establishment serves only beverages but is a "bar" (i.e., it has an ABC permit to serve beer, wine or mixed drinks), this exception does not apply.
  • Meat and poultry markets: A restaurant is exempt if it (1) prepares and sells meat food products or poultry products and (2) is inspected by either the North Carolina Department of Agriculture and Consumer Services or the U.S. Department of Agriculture.
  • Certain restaurants that prepare and serve only uncooked cured country ham or salted pork.
  • Food and drink establishments regulated by the N.C. Department of Agriculture and Consumer Services