Thursday, January 29 2009
By Chris McCalla
Legislative Director,
IPCPR.org
The U.S. Senate voted on and passed the contentious bill that will renew and expand the State Children's Health Insurance Program (SCHIP). The Senate's version demands slightly higher rates on all tobacco products than what the House of Representatives' bill sought.
With differences in the two bills, those details must be worked out before the bill is submitted to the president for his signature.
According to IPCPR federal lobbyists and the Cigar Association of America the differences in the two bills are expected to be worked out in the next few days. others are expected to be resolved next week.
Differences Between the Two Bills:
Product House Bill Senate Bill
cigarettes $1.00/pack $1.0066/pack
Large cigars 52.4% 52.75%
Snuff $1.50/lb. $1.51/lb.
Chew $.50 cents/lb. $.5033 cents/lb.
Pipe tobacco $2.8126/lb. $2.8311/lb.
RYO $24.62/lb. $24.78/lb.
Little cigars Phase-in $50.33/1.000
2009: $12.50/1,000
2011: $25.00/1,000
2013: $37.50/1,000
2015: $50.00/1,000
Numerous attempts to amend the RYO excise tax increase were attempted on the Senate Floor with no success. £
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