Sen. Collins Introduces Legislation To Stop Tobacco Shipments Through the Mail

United Pro Smoker's Newsletter ^ | August 7th, 2006 | Melissa Campanelli

[SheLion]

Senator Susan Collins introduced legislation on Aug. 3 to help crack down on illegal sales of tobacco to children by banning the shipment of cigarettes and other tobacco products through the U.S. mail.

Specifically, the bill would add cigarettes and smokeless tobacco to the U.S. Postal Service's list of restricted, non-mailable products. A first violation of mailing such a product would be liable for a civil penalty of up to $5,000 or 10 times the estimated retail value of the tobacco products, including all federal, state, and local taxes, whichever is highest. Civil penalties of up to $100,000 would be imposed for each subsequent violation.

The Senate went into recess on August 4.

This is not the first action taken against Internet sellers of cigarettes.

In January Philip Morris USA reached an agreement with a coalition of 37 Attorneys General aimed at combating the sale of the company’s cigarettes over the Internet and through the mails. In addition, in March 2005, the Attorneys Generals also announced that the major credit card companies had all agreed to stop processing credit card payments for the Internet retailers. And, later in the year, both DHL and UPS agreed to stop shipping packages for the vendors engaged in these illegal sales.

The USPS has continued to ship cigarettes because under postal law packages are sealed against inspection unless there is probable cause, according to USPS spokesman Gerry McKiernan

In September 2005, the agency adopted a formal policy recognizing that it cannot knowingly permit mail to be used to further activities deemed unlawful by state and federal authorities. As a result, the agency currently makes it illegal to mail alcoholic beverages and guns.

However, the USPS policy authorizes postal employees to accept packages suspected of containing untaxed or under-taxed cigarettes because, there could be souvenirs in the package. However, “its pretty obvious if it’s a gun, don’t you think,” asked Mr. McKiernan.

If enacted, McKiernan, “we will comply, but we hope guidance will be offered on how we can effectively enforce this legislation.”

Sen. Collins said Internet sales of tobacco are growing, but effective safeguards against illegal sales to young people are virtually non- existent on the more than 400 websites selling tobacco, making it easier and cheaper for kids to buy cigarettes.

She added that the delivery of cigarettes and other tobacco products through the mail creates opportunities for tax evasion.

Collins said that 20 percent of cigarette-selling Websites do not say anything about sales to minors being prohibited and more than half require only that the buyer say they are of legal age. Another 15 percent require that the buyer type in their date of birth and only 7 percent require any drivers license information.

Collins said Internet "stings" conducted by Attorneys General in at least 15 states found that children as young as 9-years-old are able to purchase cigarettes easily. Moreover, since Internet cigarette vendors typically require a two-carton minimum purchase, many high school and middle school buyers of Internet tobacco also end up serving as suppliers of cigarettes to other kids.

In March, Senator Charles E. Schumer, D-NY, and New York State Attorney General Eliot Spitzer announced that they had teamed up to support legislation to stop the shipment of cigarettes and smokeless tobacco through the U.S. Mail.
Schumer said his bill would prohibit mailing cigarettes through the USPS, impose fines of at least $1,000 per offense and jail time for repeat offenders, and give state Attorneys General the ability to pursue those who ship tobacco in violation of the law.

The bill has not yet been introduced.

[Publius6961]

"They are spinning lie after lie so they can get their hands on your money."

Actually it's a tall precarious pyramid of lies.
Susan Collins, Oh great humanitarian, why not simply outlaw the growing, processing and sale of tobacco?

Although the scam is based on a pyramid of lies, it is made to work rimarily through two assertions.
One is that second hand smoke kills. Scientifically, this has been proven false, even in court.
And two, that the state (read, taxpayers) end up paying for tobacco related heath care. Tens of thousands of facts have been thrown out, but not a single one as to how much is spent on tobacco-related illnesses, compared to, say, AIDS.

Susan collins, tell us. How much has your state paid for tobacco related health care for smokers?
How much has your state received from the tobacco settlement?
What should be the penalty for embezzlement, fiduciary incomptence and fraud?

Let's talk about the ongoing suits which must reduce the amount being provided by the original "settlement".

[MinnesotaLibertarian]

I don't live in Minnesota, either! But seriously, I'm a small-l libertarian, and while I'm in favor of the legalization of drugs, gambling, prostitution, etc. I still would support laws restriciting these activities for children. The same is the case for tobacco. We have laws in every state that require proof of age before buying tobacco, and mail-order cigarette vendors obviously have no way to enforce that law.

[Sunshine Sister]

After reading the first couple of paragraphs of this article, I have to wonder what about legal sales of cigarettes through the mail? What about adults? Aren't they legal? If no why not?

[dakine]

Ok...

[The Great RJ]

I'm sure organized crime will be happy to supply bootlegged cigarettes just like they were to supply booze during Prohibition. State legislators need to read the story of "The Goose that Laid the Golden Egg" before they give in to the anti-smoking Nazis and try to tax tobacco to death.

[metesky]

I never said that I was concerned, AH.

[MinnesotaLibertarian]

Well, like I said, I don't know enough about the specific bill to make an educated decision. See my post #62 about why I feel this is consistent with my overall political viewpoint.

[Publius6961]

Is there a point to all your nit-picking?

[DumpsterDiver]

harpu, give them a few days for S 3810 and S 3816 to be sent to thomas.loc.gov. In the meantime, you can do a search for HR 2813. It was introduced last year and is still sitting in committee.

HR 2813 IH
109th CONGRESS
1st Session

H. R. 2813 -- To amend title 39, United States Code, to make cigarettes and certain other tobacco products nonmailable.

IN THE HOUSE OF REPRESENTATIVES
June 8, 2005

Mr. MCHUGH (for himself, Mr. TOM DAVIS of Virginia, Mr. WAXMAN, and Mr. DAVIS of Illinois) introduced the following bill; which was referred to the Committee on Government Reform

snip

[Publius6961]

Yet, it is a fact, that ALMOST ALL of the revenues these money-grubbing, phony, nanny-state, liberal, tax and spend, doo-doo gooders, received from the MULTI BILLION settlement (as well as current revenues) simply go to augment the general revenues.

But... but... but...

When the court approved the outrageous tobacco settlement", it was sold as a means for states to recover having to pay for tobacco-related health care!

Legislators can lie, cheat, steal and avoid having a real job and they are immune to prosecution?

What's up with that?

[MinnesotaLibertarian]

I didn't say that. The problem is that, as the law stands, many of these vendors are breaking the law in the various states that they are shipping to. This goes against a state's right to make and enforce their own laws. So, if worded correctly, I could support legislation that forbade shipping anything to a state where it's sale would be illegal in that state.

[Publius6961]

The self centeredness of the smokers agenda is so transparent.

And the anti-smoking Nazis' is not?
Smokers neither expect you to send them money nor tax non-smokers extra as a group for general state expenses.

[Bigh4u2]

"many of these vendors are breaking the law in the various states that they are shipping to."

If the state has no current ban on out of state sales, then how is the vendor breaking a non-existant law?

They're not. States cannot collect taxes from the out of state vendors. They must collect it from the citizens of the state that it is shipped to. Not shipped from.

There is no federal 'sales tax' and so out of state vendors are not obligated to pay the receiving states taxes.

Even in New York State, where I live, the state doesn't demand the vendors not ship to their state. They demand the citizens of the state declare any out of state purchases on their income tax so it can be collected.

"So, if worded correctly, I could support legislation that forbade shipping anything to a state where it's sale would be illegal in that state."

Cigarettes are NOT illegal!

But if this state passes this law, then they might just as well declare them to be so.

This isn't 'FOR THE CHILDREN'. It's nothing more than government control of your 'free' choices.

[nuclady]

In my town, the "settlement monies" were used to install a sprinkler system on a public golf course!!!

[Publius6961]

You address everything except the glaringly obvious.
How does a libertarian justify financially brutalizing 25 million smokers because a handful of kids manage to get cigarettes from out of state?

Next time you see an underage smoker, ask him where he got the cigarettes. My guess is 5% of them might use the internet route.

[ArtyFO]

Neighbor lady receives a big shipment every week via FEDEX from an indian reservation and sells them to the local bars. She makes big bucks.

[RandallFlagg]

HIGHLY illegal. You might want to warn her.

[SheLion]

In my town, the "settlement monies" were used to install a sprinkler system on a public golf course!!!

Maine is using the cigarette tax dollars to sponsor 5 race car teams (Called Kick Butts Racing ~sigh) and also to various race car tracks across the state of Maine.

Also, they gave the money to some little old lady in Ellsworth to plant a GARDEN in the center of town!  Talk about abuse of tax dollars.  Maine sure takes the cake.

Mass also spent $175,000 to build a big golf course with the cigarette tax dollars!  This is fraud, IMHO.

In my town, the "settlement monies" were used to install a sprinkler system on a public golf course!!!

Maine is using the cigarette tax dollars to sponsor 5 race car teams (Called Kick Butts Racing ~sigh) and also to various race car tracks across the state of Maine.

Also, they gave the money to some little old lady in Ellsworth to plant a GARDEN in the center of town!  Talk about abuse of tax dollars.  Maine sure takes the cake.

Mass also spent $175,000 to build a big golf course with the cigarette tax dollars!  This is fraud, IMHO.

[RandallFlagg]

Yeah. I remember the $$$ going to rebuild sidewalks in Riverside and a library in some other city.

I wonder if smokers are allowed to smoke in the rebuilt library, considering they paid for it.

[SheLion]

Neighbor lady receives a big shipment every week via FEDEX from an indian reservation and sells them to the local bars. She makes big bucks.

I don't know what state that is in, but I do believe that is REALLY illegal.  She might fly high for awhile, but she will get caught.  I've never seen it fail.