House Votes to Include All Smokeless Tobacco Companies in Ban on Youth Advertising - HB 2672 Also Increases Tax on Smokeless Tobacco Products 04/22/09
The Oregon House today put Oregon on track to become the first state to include all smokeless tobacco companies in the restrictions on youth marketing in the smokeless tobacco master settlement agreement, and increased the tax on a new wave of smokeless tobacco products when legislators passed HB 2672 on a 40-18 vote Wednesday. The bill would also ban the practice of handing out free samples to youth under 21, a major tool for increasing market share
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OFFICE OF THE SPEAKER
SPEAKER DAVE HUNT State Capitol, Room 269 |
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April 22, 2009 |
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House Votes to Include All Smokeless Tobacco Companies
in Ban on Youth Advertising
HB 2672 Also Increases Tax on Smokeless Tobacco Products
The Oregon House today put Oregon on track to become the first state to include all smokeless tobacco companies in the restrictions on youth marketing in the smokeless tobacco master settlement agreement, and increased the tax on a new wave of smokeless tobacco products when legislators passed HB 2672 on a 40-18 vote Wednesday. The bill would also ban the practice of handing out free samples to youth under 21, a major tool for increasing market share
This new wave of smokeless products includes dissolvable strips that taste like candy or come in small pouches in trendy packaging, but as are addictive and dangerous as cigarettes.
“They may look like gum. They may look like breath mints. They may taste like candy. But make no mistake--- these products will kill our children. This is tobacco with training wheels,” said State Rep. Sara Gelser (D-Corvallis-Philomath). “This bill will stop kids from taking up another dangerous habit that today falls outside the tobacco master settlement agreement regulating advertising aimed at teens.”
The bill will tax smokeless tobacco by the can and the weight instead of as a percentage of the price. That’s similar to taxing cigarettes by the pack. The tax will be a flat $2.14 on all cans of smokeless tobacco that weigh 1.2 ounces. It ends, said Gelser, the advantage low-cost, cheap and accessible some smokeless tobacco products receive.
Equally as important, the bill ends the ability of smokeless tobacco companies to market to youth. The ban would extend to billboards, free samples, sponsorship of events and other forms of marketing aimed at young people.
“This will be another important first for Oregon. It is time to bring in all smokeless tobacco products to the master settlement agreement so these products are not being marketed to young people,” said House Speaker Dave Hunt (D-Clackamas County). “As the parent of two young children and someone who has grappled with the health care costs associated with tobacco, this is legislation that will help us contain the costs in our health care system now and for generations yet to come.”
Along with bringing the smokeless tobacco companies into the settlement agreement, the bill will raise approximately $5 million that will be matched to get Oregon an additional $7 million in federal funds. Those funds will go into the state general fund for use in providing health services for Oregonians.
“This bill addresses a clear gap in our efforts to stop tobacco companies from marketing to young people. Smokeless tobacco is every bit as dangerous and addictive to our young people as cigarettes,” said Rep. Gelser. “We’re going to continue our efforts to keep tobacco products from our children. This is a battle we need to win.”