IPCPR Legislative Update

By Chris McCalla, Legislative Dir., IPCPR

Illinois
HB1196, proposing to increase the state OTP excise tax from 18% to 40%, remains in its respective House committee with no changes or scheduled actions at this time.

Massachusetts
Still no new news on House Bill 2773, a tobacco excise tax proposal including increase to the state's OTP excise tax from 30% to 80%

Michigan
The State House has introduced a bill to double the state's OTP excise tax from 32% to 64%. Currently, all large cigars are exempt from the additional taxation. While good news, we continue our efforts to secure a 50-cent tax cap for this category.
 
Until the state's budget is closer to completion, work on the proposed statewide smoking ban will be on hold. However, please keep in mind, as with life, in politics, anything may happen. We continue monitoring both issues.
 
As part of the tax cap strategy, a Legislative Action Alert urging all state legislators to support the 50-cent tax cap plan remains active until further notice. Click here to go to the Action Alert.

New York
We are meeting stiff resistence to the cigar tax cap plan as the state wresltes with its massive budget deficit. We continue actively lobbying key state elected representatives and other state officials to secure the tax cap.

Pennsylvania
The state Senate approved its budget proposal that excluded large cigars from its 30% OTP excise tax plan. The House is expected to concur with the Senate version in an effort to get a final budget proposal to the governor. Right now, no further action has been taken by the House. The Legislative Action Alert opposing the taxing of cigars remains active until the governor signs the tax bill and puts this issue to rest.  Click here for the Action Alert.

Federal Legislation 
Currently, FDA is seeking general, public comments as it prepares for its work in laying out additional tobacco control regulations. That comment period closes Dec. 28. Right now, IPCPR"s federal FDA consultants are evaluating all options--including the IPCPR requesting its membership to individually comment to FDA before it sets to the task of drawing up its regulations for tobacco products. We also continue working closely with our federal lobbyists to ensure premium cigars and pipe tobacco remain excluded from FDA regulation.
 
Presently, premium cigars and pipe tobacco remain outside of Congress' intended FDA regulatory scheme of tobacco products.

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For more information on tobacco legislation in your state, please visit www.ipcpr.org.