Posted on 06/22/2004 9:40:44 AM PDT by wmichgrad
LANSING, Mich. (AP) The state Senate approved a 75-cent-per-pack cigarette tax increase Tuesday, ending weeks of negotiations that focused on how to spend the new revenue.
The Senate voted 20-15 to raise the tax on a pack of cigarettes from $1.25 to $2 beginning July 1.
"It's a reasonable, fair compromise to help continue solving this short-term budget problem as we continue to do long-term economic investment," said Republican Senate Majority Leader Ken Sikkema of Wyoming.
The measure now returns to the House, which will consider the changes made by the Senate.
Sikkema had called for spending nearly 19 cents of the 75-cent cigarette increase on job creation and life sciences funding.
Democratic Gov. Jennifer Granholm, who originally proposed the increase, wanted all 75 cents to go to Medicaid and smoking cessation programs.
If the higher cigarette tax takes effect on July 1, Granholm said it would bring in $97.1 million for the current fiscal year, which ends Sept. 30. It would bring in about $295 million in additional revenue in the upcoming budget year.
All new revenue generated by the higher cigarette tax would go to the state's Medicaid program in the current fiscal year and the one that begins Oct. 1, according to the Senate-approved legislation.
When the following budget year begins on Oct. 1, 2005, 75 percent of the additional revenue would be set aside for Medicaid while 25 percent would go to the state's general fund.
$2 tax per pack Ping
That's what they all say, but the money will inevitably be used to plug holes in the state budget.
Right. The current major hole is in Medicaid. Last week it was in education, but the legislature plugged that hole with with money from other state budget accounts, leaving a bigger shortfall in Medicaid.
One budget hole filled, another springs a leak
http://www.freerepublic.com/focus/f-news/1154445/posts
Tobacco tax hike won't cure Michigan's ailing budget
http://www.freerepublic.com/focus/f-news/1155163/posts
fwiw, I bought a pack last night in downtown Chicago. $6.37. LOL! That's gotta be 6 bucks in taxes! That's a meal. This is how Democrats steal food from poor people.
So! Ken thinks it's "reasonable and fair to balance the state budget on the backs of 25-30% of the people that choose to smoke? How nice!
When your too spineless to cut spending, stick it to the smokers and tell them it's for their own good!
Native American Cig Sales Triple In '04: Tribes
Lesson #1 in how to encourage a black market.
Buy machine from the Net.
Bag of tobacco = $5.85
Box of filtered tubes = 200 for $1.99
Republicans raising taxes? No Way!!!
Don't you just love it when Republicans justify a tax increase in the name of taking care of business?
Hey, if these shrink-the-gummint types keep raising taxes, pretty soon it's going to be hard to tell them from their cohorts-in-crime, the Damnocrats.
Here is the kicker. If Michigan is anything like Kansas they are telling us that they have to have this huge tax increase for schools. What they don't tell us is that the state is raking in unexpected money by the hand full already. Tax increase indeed.
They are just hoping that the general public (the sheeple) won't dig into it deeper to find out what is REALLY going on. They make me sick, Sunshine! :(
Hehe! Good ole Kramer! :)
Wow. I went to that StuffYourOwn.com link. It looks like that
would cut the cost by about 2/3rds. Is that about right ??
hehe! Yeah. His hair's on fire ! :^D
Well, I used to smoke More Menthols. When the tax was increase AGAIN and they went up to $45-$50 dollars a carton, I said that's it.
And I went back to the information fellow Freepers gave me about rolling my own.
I have been rolling a beautiful carton for a little under $8.00. The savings have been wonderful.
Plus the tobacco tastes better, because there are no additives added. I really like that part.
$45-50 for a carton? Wow. If I recall right, they were around $27-28 here at the local
gas station the other day. I didn't know there was a difference in price on Menthol's.
The Associated Press
6/22/2004, 1:01 p.m. ET
(AP) The Michigan Senate voted 20-15 Tuesday to approve a bill that would increase the cigarette tax from $1.25 to $2. Fourteen Democrats and six Republicans voted for the bill. Fourteen Republicans and one Democrat voted against it. Three senators were absent and didn't vote: one Democrat and two Republicans.
From Our Advertiser
Name Prty Hometown Dist Vote
Jason Allen R Traverse City 37 N
Jim Barcia D Bay City 31 N (Only Dem to get it right)
Raymond Basham D Taylor 8 Y
Virgil Bernero D Lansing 23 Y
Patricia Birkholz R Saugatuck 24 N
Mike Bishop R Rochester 12 N
Liz Brater D Ann Arbor 18 Y
Cameron Brown R Sturgis 16 N
Nancy Cassis R Novi 15 N
Deborah Cherry D Burton 26 Y
Irma Clark-Coleman D Detroit 3 Y
Hansen Clarke D Detroit 1 Y
Alan Cropsey R DeWitt 33 N
Robert Emerson D Flint 27 Y
Valde Garcia R Howell 22 N (Thank you Valde)
Tom George R Portage 20 Y
Jud Gilbert R Algonac 25 N
Mike Goschka R Brant 32 N
Beverly Hammerstrom R Temperance 17 Y
Bill Hardiman R Kentwood 29 Y
Gilda Jacobs D Huntington Woods 14 Y
Ron Jelinek R Three Oaks 21 N
Shirley Johnson R Royal Oak 13 NV
Wayne Kuipers R Holland 30 Y
Burton Leland D Detroit 5 NV
Michelle McManus R Lake Leelanau 35 N
Dennis Olshove D Warren 9 Y
Bruce Patterson R Canton 7 N
Michael Prusi D Ishpeming 38 Y
Alan Sanborn R Richmond 11 N
Mark Schauer D Battle Creek 19 Y
Martha Scott D Highland Park 2 Y
Ken Sikkema R Wyoming 28 Y
Tony Stamas R Midland 36 N
Michael Switalski D Roseville 10 Y
Buzz Thomas D Detroit 4 Y
Laura Toy R Livonia 6 NV
Gerald Van Woerkom R Norton Shores 34 Y
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