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OCR Page 1 of 22Senator Orrin G. Hatch
Section-by-Section Analysis
S. 1530
"PROTECT" Act
Section 1. SHORT TITLE; TABLE OF CONTENTS. Entitles the bill "Placing Restraints
on Tobacco's Endangerment of Children and Teens" Act ("PROTECT") and lists a table
of contents.
Section 2. FINDINGS. Makes a series of congressional findings with respect to
tobacco, its harmful health effects on children and adults, and the role of government in
regulating tobacco products.
Section 3. GOALS AND PURPOSES. Sets forth the goals and purposes of the
legislation, including decreasing tobacco use by youth and adults, enhancing biomedical
research efforts, setting forth Federal standards for smoking in public establishments,
establishing the authority of the Food and Drug Administration to regulate tobacco
products, providing transitional assistance to farmers, and reforming tobacco litigation
practices.
Section 4. NATIONAL GOALS FOR THE REDUCTION IN UNDERAGE TOBACCO
USE. Sets out national goals for reduction in youth tobacco use. For cigarettes, the
national goals, measured from the baseline year, will be a 30% reduction in use in 2003
and 2004; a 50% decrease in 2005, 2006 and 2007; and a 60% reduction thereafter.
For smokeless tobacco, the national goals, measured from the baseline year, will be a
25% reduction in use in 2003 and 2004; a 35% reduction in 2005, 2006, and 2007; and
a 45% reduction thereafter.
Section 5. DEFINITIONS. Defines pertinent terms used in the bill.
TITLE I - NATIONAL TOBACCO SETTLEMENT TRUST FUND
Section 101. ESTABLISHMENT OF TRUST FUND. Creates a National Tobacco
Settlement Trust Fund that will receive payments from tobacco manufacturers according
to a schedule set out in the bill. Over the next 25 years, deposits will be $398 billion, of
which $95 billion are considered punitive damages and will be used to fund a biomedical
research trust fund.
The National Tobacco Settlement Trust Fund will be administered by the Attorney
General, the Secretary of Health and Human Services, and the Secretary of Treasury,
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