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State Senator Carla J. Nelson

District 30
111 Capitol
75 Rev. Dr. Martin Luther King Jr. Blvd.
St. Paul, MN 55155-1606
Telephone (651) 296-4848
sen.carla.nelson@senate.mn
Minnesota Senate

Republican Caucus
121 Capitol
75 Rev. Dr. Martin Luther King Jr. Blvd.
St. Paul, MN 55155-1606
Telephone (651) 296-2577
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mnsrc@senate.mn
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Date:February 13, 2012
Contact Name:Susan Closmore
Contact Phone:651-296-5712
Contact Email:susan.closmore@senate.mn
For Immediate Release
SEN. NELSON, REP. BENSON ANNOUNCE LEGISLATION TO DETER TEEN SMOKING

Revenue from Increased Cigarette Fees will Ease Financial Burden on Schools & Job Creators

Rochester- Senator Carla Nelson (R-Rochester) and Representative Mike Benson (R-Rochester) announced Monday legislation that would increase the price of cigarettes by $1.29 to deter teen smoking. The bill will direct revenue to be used to repay the debt of the 2011 education shift and lower the tax burden on job creators statewide.

Senator Nelson and Representative Benson were joined Monday at Hope Lodge in Rochester by Dr. Raymond Gibbons of the Mayo Clinic, Scott Heck, Chair-Elect of the Rochester Area Chamber of Commerce and Michael Muñoz, Superintendent of Rochester Public Schools.

“This bill will help reduce the number of teenage smokers in the State of Minnesota,” said Representative Benson. “Not only will the revenue collected help reduce expenses in other areas of state government, but it will also lead to fewer people who start smoking and give more smokers the reason they need to quit.”

The increase in cigarette price will generate an estimated $320 million in new state revenue in the next biennium. Those funds will be distributed internally to first repay the $700 million Minnesota “borrowed” from schools in the 2011 budget compromise and second reduce the general property tax on businesses.

“Simply put: our bill would make the combined tax and fee rate the same as our neighbor’s in Wisconsin. Smoking is the leading cause of preventable death and disease in Minnesota. Our proposed price change has the potential to prevent nearly 40,000 Minnesota kids from becoming addicted adult smokers. Those results alone are staggering. But this bill also tackles two other areas that are important to our state’s prosperity. First, revenue from increased fees would immediately be used to repay the debt Minnesota owes our schools from last year’s budget compromise. And second, after that debt is paid, the revenue would go towards reducing high business property taxes,” said Senator Nelson. “Our children are the future of our state and their future will look bleak if we do not address public health problems, funding for our schools and the business climate in our state. I will do all that I can to ensure healthy childhoods, stable finances for our schools and communities where job creators can thrive.”

Patricia Simmons, M.D., Medical Director of Health Policy at Mayo Clinic gave the follow statement regarding Senator Nelson and Representative Benson’s proposed legislation.

"We've made great strides in tobacco prevention here in Minnesota," said Dr. Simmons. "We are grateful for Senator Nelson and Representative Benson’s proposal and their leadership to advance the health of Olmsted County residents and Minnesotans statewide. A recent Mayo Clinic study shows that Minnesota's commitment to smoke-free environments is protecting cardiovascular health and saving lives. There is no doubt that Minnesotans are benefiting from strong policies limiting tobacco use."