Loading...
HomeMy WebLinkAboutECONOMIC REVIEW REQUESTTown of Yarmouth 1 146 Route 28 South Yarmouth, MA 02664 Yarch 24,2026 Subject: Request for Economic lmpact Review - Proposed Nicotine Free Generation Regutation Dear Members of the Board of Health, Setect Board, and Community & Economic Director, On behatf of the Yarmouth Chamber of Commerce Board of Directors, we are writing to express our concerns regarding the potentiaI economic impact of the proposed Nicotine Free Generation (NFG) regulation currently u nder consideration. At the same time, we believe it is critical to carefutty evaluate the potential economic conseq uences of th is poticy, especiatly in the context of the c u rrent ch attenges facing ou r locaI business community. Over the past severaI years, Yarmouth businesses have experienced significant disruption and financial strain due to the ongoing wastewater infrastructure proiect. Many estabtishments, particularly smatt and locatty owned retaiters, have seen reduced foot traffic, [imited access, and protonged periods of uncertainty. As a resutt, a number of businesses are operating on increasingty narrow margins. The proposed NFG regutation, as currently drafted, may further impact these businesses by etiminating the sate of a tegal product category that contributes to overa[[ revenue and customer traffic. These sates are not standatone transactions, rather, they serve as a catatyst for broader in-store spending. customers who come in for these products often purchase additionat items such as food, beverages, and fue[. Etiminating this category risks reducing both foot traff ic and totat basket size, amptifying the overatt financ ia I impact on atready strained smat[ bu sinesses. We recognize and respect the intent behind this proposat, particularty the shared goal of protecting pu btic h eatth a nd red u cing youth access to n icotine prod ucts. Ou r sc hoots a nd community partners have made meaningful progress in educating young peopte about the risks associated with nicotine use, and we futty support continued efforts in prevention and education. To our knowledge there is not an issue with underage sales with our current estabtishments. We are atso concerned about potentiat unintended consequences, inctuding shifts in consumer purchasing to neighboring communities, reduced tocat spending, and broader impacts on commerciaI activity within Yarmouth. Given these considerattons, we respectfulty request that a thorough and objective economic impact analysis be conducted prior to any f inat action on this proposat. This anatysis should include, but not be timited to: PotentiaI revenue [oss for affected businesses lmpacts on customer traffic and related sates Possibte disptacement of spending to surrounding towns lmptications for overat[ economic vitatity within Yarmouth Ensuring that both the pubtic heatth benefits and the economic imptications are fulty understood wit[ support informed decision-making and hetp the Town balance these important priorities. We appreciate your thoughtfutconsideration of this matter and your continued commitment to the wettbeing of Yarmouth's residents and business community. Sincerely, ,lolltz >oat4 %4rq?,%4,, Hottie Souza Board Chair Mary Vitbon President/CEO The Request for Economic Review A lormal economic impact review is not required, slandard, or necessary tor a Massachusetts Board ot Health when adopting a Nicotin+Free Generatbn (NFG) regulation' . Nol Required bY Law eoaros oi Health act under M.G.L. c.l1 1, S31 and 9122, which require regulations to be reasonable "nJ p-rotra n ofia nealh. There is no requirement lor a cost-benelil or economic impact analysis. . Legal Standard is 'Reasonableness" Coirts evatuare whether a rogulation is reasonable and rehted to public health. Regulations are not invalid simply because lhey etlect business revenue. . Public Health Authority is Primary BoardsofHeahharechargedwittrpreventingdiseaseandreducingharm.Economicconsiderations are secondary, not controlling' . Gradual, Limited lmpaci ot NFG NFG applies only to future birth cohorts, do€s not atfect curent adult purchas€rs, and Phases in over many years-minimizing disruption. . Minimal Operational Burden Retaiters atieaOy check identification and comply with age-based restrictions. NFG builds on existing systems with little additional burden. . Lack ol Reliable Local Economic Modeling rown-tevetproiectionswou|drelyonspeculativeassumptionsandunavailableproprielarydata, limiting reliability and uselulness. . Consistenl Massachusetts Practice u"ss."n,sett"c,,mUnitiesadoptingtobaccoregulationsdonotclnduct'ormaleconomicimpacl studies, retlecting standard Practice. . lndirect and Ditluse Economic Etlects eny potentiat lmpacts are gradual and indirect, not immediato or slructural, making tormal analysis less meanlnglul. . Established Public Heallh Benefits The prevention ol nicotine addiction, particularly among )routh, is welFestablished and lorms the primary basis lor regulation. . Proportionality and Elficiency A lormal economic sludy wouid require signilicant resources and is not proportionate lo the limited and gradual nature ol the policy's impact.