Health care advocates say proposed 75-cent cigarette tax hike too low

Health care advocacy groups say the latest proposal for a hike in the cigarette tax falls short.

On Thursday, House Democrats endorsed a plan promoted by State Auditor and Inspector Gary Jones that calls for increasing the cigarette tax by 75 cents per pack.

For years, health care advocates have supported raising it by $1.50 a pack.

Last week, a revenue package that included the $1.50-a-pack increase failed to obtain the needed supermajority in the House.

It was part of the Step Up Oklahoma proposal supported by business and civic leaders as a means to give teachers a $5,000 raise and fund core government services.

Matt Robison, government affairs director for the Oklahoma State Medical Association, said the group is confident a $1.50-per-pack hike in the cigarette tax would have a more significant positive impact on the health care of Oklahomans.

“We are dedicated to seeing that as part of any package the Legislature considers,” he said.

A hike of $1.50 would be significant enough to make a true difference in

curbing adult use, while deterring children from starting in the first place, Robison said.

The American Cancer Society Cancer Action Network strongly opposes the lesser amount.

“Research shows that small price increases do not change consumer behavior, and tobacco companies know it,” said Justin Wood, the organization’s Oklahoma government relations director.

“That is why big tobacco has supported small cigarette tax increases in other states in their efforts to pre-empt more impactful cigarette tax increases from passing in the future.”

A 75-cent hike is a nonstarter for the Oklahoma Hospital Association, said its president, Craig Jones.

“For two years or more, the Oklahoma Hospital Association, and other health care stakeholders,

have stated that a 75-cent tax would not adequately impact an individual’s behavior to lessen cigarette smoking, especially among our youth, and would not bring in sufficient revenue to help fund core health care services across the state,” Jones said.

Gary Jones, a Republican who is running for governor, said his original proposal was for a $1.50-a-pack increase.

“If they think they can do $1.50 and get it passed without killing the deal, if it goes toward health care, I think it is a very good use of the funds,” Jones said.

Other elements of the plan include a 5 percent gross production tax on wells for the first 36 months. It also includes a hike in the gasoline tax by 3 cents and raising the diesel tax by 6 cents.

The House this week could move forward with a measure that cuts state agencies across the board by nearly 2 percent for the remainder of the fiscal year in light of the failure of the revenue package.