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OCR Page 1 of 17TOBACCOMIAS
Clinton wants
Breakdown of payouts
Of the $368.5 billion to be paid by the tobacco industry
over 25 years as part of the proposed national tobacco
$1.50-a-pack
settlement, the states would receive about $193 billion.
The rest would go to settle private anti-tobacco lawsuits
and to the federal government to finance anti-tobacco and
health programs. Although the final allocation is up to
Congress, state attorneys general have proposed two for-
cigarette hike
mulas for dividing up the money. For each $1 billion
to the states as a whole, here is what each state would
receive (in millions of dollars):
Formula Formula
Tobacco deal
Formula Formula
No.
1
No.
2
No. 1
No. 2
not a priority
146
80
Alaska
2.1
2.2
Neb.
4.4
4.6
NIZ
for Congress
3.3
3.7
Nev.
Ark.
7.5
7.8
N.H.
6.1
5.1
018
199.3
33.8
32.7
By Susan Page
Colo.
12.5
12.3
N.M.
4.4
4.6
and Jessica Lee
Conn.
16.9
416.5
N.Y.
1137
111.7
USA TODAY
Del.
2.6
2.7
N.C.
21,1
22.0
5.5
5.6
123
24
Fla.
WASHINGTON The cost
49.9
51.0
Ohio
45.7
45.7
223
of a pack of cigarettes could go
223
Okla.
9.4
19.7
Hawaii
4.5
4.8
Ore.
up by $1.50 under a proposal
10.4
11.0
Idaho
23
24
Pa
President Clinton will make to-
622.
63.3
M.
42.3
43.4
R.1.
6.6
6.5
day aimed at discouraging
Ind.(r)
17.9
18.2
S.C.
10.7
9.8
teen-agers from smoking.
Iowa
7.9
8.2
S.D.
2.2
2.3
In an Oval Office statement
By Joe Marquette, AP
Kan.
7.6
7.9
Tenn.
22.2
22.8
that culminates three months
Armey: Says he wants to see
Ky.
16.0
16.1
Texas
51.0
50.2
of administration review and
presidential leadership
La
20.2
17.8
Utah
3.1
3.2
debate, Clinton will call for
Maine
7.0
6.8
Vt.
2.7
2.6
stiffer fines that would drive up
get all the parties to the lawsuit
Md.
20.5
21.2
Va.
18.7
18.7
cigarette prices over 10 years
involved to agree to it, but we
Mass
36.7
36.6
Wash.
18.9
18.9
if targets to reduce youth
have to do it right."
Mich.
39.5
40.1
W.Va.
8.1
8.4
smoking aren't met.
Although Clinton won't pro-
Minn
20.8
21.9
Wis.
18.9
19.7
But Clinton's long-awaited
Miss
pose specific legislation, he
7.9
7.8
Wyo.
1.3
1.3
comments come as a proposed
Mo.
20.7
promised to offer "clear princi-
19.8
$368.5 billion national tobacco
ples to further this debate."
Source: USA TODAY research by Doug Levy
settlement seems doomed, at
The tobacco agreement calls
least for now. Republican lead-
for reducing underage smoking
ers already have indicated that
velop legislation. "From virtu-
by 30% in five years, 50% in sev-
Congress won't take up the
ally every corner of our cau-
the administration review. Ag-
en years and 60% in 10 years. If
riculture Secretary Dan Glick-
complicated, controversial
cus, the message here is go
the targets aren't met, the deal
man will attend, and Clinton is
slow," he said.
agreement this year.
calls for penalties that would
expected to call for provisions
Under the settlement an-
California Rep. Henry Wax-
raise the price of cigarettes by
to protect tobacco farmers.
nounced three months ago by
man, the top Democrat on the
more than 50 cents a pack. Clin-
Mississippi Attorney Gener-
state officials and tobacco "om-"
Commerce Committee, praised
ton will call for significantly in-
al Michael Moore praised Clin-
pany lawyers, the industry
Clinton for "keeping his focus
creasing the fines so that the
ton's stance. "I expect the pres-
would pay $368.5 billion over
hike would be $1.50 per pack.
on public health and stopping
ident will be very supportive of
25 years to settle smoking-re-
But House Majority Leader
children from being the targets
what we have done," he said.
lated lawsuits. USA TODAY
of the tobacco Industry."
Dick Armey, R-Texas, said he
And former FDA Commis-
has obtained a state-byistate
Aides say Clinton will speak
expects more than a speech
only broadly about the need to
sioner David Kessler, a leading
breakdown of the possible
from Clinton today. "I think to
smoking opponent, said Clin-
payouts (see chart).
focus on youth smoking and to
a large extent, we feel the pres-
ton's endorsement of a big
On Tuesday, Clinton reject-
ident should exercise some
maintain the Food and Drug
ed the Idea that the tobacco
Administration's authority to
price hike for cigarettes
leadership here," Armey said.
"terrific."
deal is dead.
regulate tobacco.
"Send us a bill, Bill"
"If you want to reduce the
"We ought to get this legisla-
Joining him in the Oval Of-
tion through Congress as quick-
However, Senate Minority
fice will be Health and Human
number of young people who
Leader Tom Daschle, D-S.D.,
smoke," he said, "that's the
ly as we can," he told report-
Services Secretary Donna Sha-
ers. "I would hone that we can
said that Congress is getting
right way to do IL"
just what it wants: time to de-
lala and domestic policy advis-
er Bruce Reed, who jointly led
Contributing: Doug Levy
USA TODAY WEDNESDAY, SEPTEMBER 17, 1997
CC: MIKE
CHRIS
Elena,
tretum
Here 15 the
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