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VI SEP. 29 yy (WED) 14:40 S B C MINORITY TEL: 202 228 2007 P. 001 United States Senate TOBACCO- WASHINGTON, DC 20610 F42000 BUDGET September 28, 1999 The Honorable Trent Lott Majority Leader United States Senate Washington, D.C. 20510 Dear Mr. Leader: As the Congress moves toward completing work on appropriations bills for fiscal year 2000, we urge the Republican leadership to abandon current plans to spend Social Security surpluses, and instead to support a requirement that the tobacco industry reimburse taxpayers for the costs of tobacco-related diseases. As you may know, the Congressional Budget Office recently concluded that the Senate is headed toward using $19 billion in Social Security surpluses to fund the government in fiscal year 2000, largely through the misuse of emergency designations and other scorekeeping gimmicks that evade the discretionary spending caps. Some have suggested that Congress has no choice but to use Social Security surpluses if government is to be funded adequately. We strongly disagree. There is a better alternative. We can simply ask the tobacco industry to make taxpayers whole, and reimburse them for all costs associated with tobacco-related disease. These costs total about $20 billion annually - almost exactly the amount of Social Security funds that CBO projected will be tapped under current Senate plans. As you know, the Department of Justice recently announced plans to seek reimbursement of these costs through civil litigation. However, there is no need to wait for resolution of this Security surpluses. litigation, which could take many years. Congress can and should act immediately, to protect Social The choice for Congress is clear. Either we can continue along the current path and raid Social Security surpluses. Or we can ask the tobacco industry to compensate taxpayers for tobacco- related costs. In our view, protecting Social Security should come first. Than Frank R. Lautenberg Sincerely, Dascaee Trom Thomas A. Dasche