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Additional Hoosier Cigarette Tax Lower Than Proposed

Last updated on Thursday, February 22, 2007
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(STATEHOUSE) A scaled-back cigarette-tax hike is headed for the full House after squeaking through a committee vote.

The House Ways and Means Committee approved a quarter-a-pack cigarette tax hike on a 12-11 vote that divided both Republicans and Democrats right down the middle. Indianapolis Democrat Carolene Mays voted yes, but says she was tempted to vote no after Chairman William Crawford (D-Indianapolis) reduced the 54-and-a-half-cent increase recommended by the Public Health Committee. She says the bill as it now stands doesn't raise taxes high enough to reduce youth smoking, and brings insurance coverage to fewer people.

The money would pay for insurance for all Hoosier children whose families earn less than triple the poverty line. Some legislators say they can't support a tax hike, especially one which Kokomo Democrat Ron Herrell argues will hit poor people hardest. And Uniondale Republican Jeff Espich objects to creating a new entitlement program. Public Health Chairman Charlie Brown (D-Gary) says he still hopes to jack up the tax a full dollar, but says the close vote shows any hike will need significant support in both parties.


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