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Biden administration moves to protect Alaska wilderness; opening statements and first witness in NY trial; SCOTUS hears Starbucks case, with implications for unions on the line; rural North Carolina town gets pathway to home ownership.

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Health Advocates Say Tax Will Balance Budget, Save Lives

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Thursday, May 14, 2009   

St. Paul, MN – As Minnesota lawmakers near a Monday adjournment deadline, they remain in disagreement with the governor over how to close the state’s $4.6-billion budget deficit. Health advocates are proposing raising the tobacco tax, which, they say, would bring in revenue and improve the well-being of Minnesotans at the same time.

Cardiologist and American Heart Association Minnesota spokesman Russell Luepker says raising the cigarette tax a dollar per pack would save lives and help balance the books.

"Taxes raised by cigarette smoking will help with that deficit, particularly since cigarette smoking leads to higher health care costs, many of which are borne by the state."

Opponents say raising taxes isn’t the way to go in an economic downturn. Supporters counter that their proposal would bring in $90 million a year in revenue and save ten times that in avoided long-term smoking-related medical expenses. The legislature and the governor are still far apart on a budget resolution, and negotiations are expected to continue today.

A big upside of the tax hike proposal, adds Luepker, is that fewer Minnesotans would light up.

"Higher prices of cigarettes have been clearly shown to diminish consumption by encouraging people to quit and discouraging people, particularly young people, from taking up the habit."

In fact, the Heart Association estimates a cigarette tax hike would discourage 20 percent more young people from starting smoking. Backers of the tax hike include the American Cancer Society, Blue Cross-Blue Shield of Minnesota, HealthPartners and, according to polls, a majority of Minnesotans.





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