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Tuesday, January 20, 2009


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Tuesday, January 20, 2009 US Congress tobacco products legislation

Tuesday, January 20, 2009

The US Congress took action last week on legislation that would increase the federal excise tax on tobacco products to pay for health care coverage for children. In both the House and the Senate, legislation has been introduced to reauthorize the State Children’s Health Insurance Program (SCHIP) with increased funding to provide health insurance for uninsured children in the United States. This increased coverage would be paid for by an increase in the federal tax on tobacco products. The tax increase would be 61 cents tax per pack of cigarettes (bringing the total federal tax rate to one dollar/pack) and a proportional increase for the tax on other tobacco products (cigars, smokeless tobacco products, etc.).

On Wednesday, January 14, the House of Representatives passed the House version of this bill, H.R. 2, by a vote of 289-139. On Thursday, January 15, the Senate Finance Committee passed the Senate version of this bill (no bill number yet) by a vote of 12-7. The bill will next be sent to the full Senate for a vote. Attached is a Federal Legislative Update that provides a summary of these bills, background information about SCHIP, information about how California members voted on the bill, and details about the next steps in the legislative process.

Read Summary Here
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