ASSEMBLY, No. 3338

STATE OF NEW JERSEY

217th LEGISLATURE

 

INTRODUCED FEBRUARY 22, 2016

 


 

Sponsored by:

Assemblyman  TIM EUSTACE

District 38 (Bergen and Passaic)

Assemblyman  JOSEPH A. LAGANA

District 38 (Bergen and Passaic)

Assemblywoman  VALERIE VAINIERI HUTTLE

District 37 (Bergen)

Assemblywoman  ELIZABETH MAHER MUOIO

District 15 (Hunterdon and Mercer)

Assemblyman  RAJ MUKHERJI

District 33 (Hudson)

Assemblyman  DANIEL R. BENSON

District 14 (Mercer and Middlesex)

Assemblywoman  ANGELICA M. JIMENEZ

District 32 (Bergen and Hudson)

Assemblyman  THOMAS P. GIBLIN

District 34 (Essex and Passaic)

Assemblyman  PAUL D. MORIARTY

District 4 (Camden and Gloucester)

 

Co-Sponsored by:

Assemblymen Holley, Danielsen, Assemblywoman Quijano, Assemblymen Chiaravalloti, S.Kean, Assemblywoman Jones, Assemblymen Caputo, Singleton, Ciattarelli and McKeon

 

 

 

 

SYNOPSIS

     Dedicates five percent of cigarette tax revenue to anti-smoking initiatives.

 

CURRENT VERSION OF TEXT

     As introduced.

 


An Act concerning the disposition of certain cigarette tax revenue and amending P.L.1997, c.264.

 

     Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

     1.    Section 4 of P.L.1997, c.264 (C.26:2H-18.58g) is amended to read as follows:

     4.    Notwithstanding the provisions of any other law to the contrary,

     a.     commencing July 1, 1998 and ending June 30, 2006: after the deposit required pursuant to section 5 of P.L.1982, c.40 (C.54:40A-37.1), the first $150,000,000 of revenue collected annually from the [cigarette tax imposed pursuant to] “Cigarette Tax Act,” P.L.1948, c.65 (C.54:40A-1 et seq.) and the first $5,000,000 of revenue collected annually from the "Tobacco Products Wholesale Sales and Use Tax Act," P.L.1990, c.39 (C.54:40B-1 et seq.), shall be deposited into the Health Care Subsidy Fund established pursuant to section 8 of P.L.1992, c.160 (C.26:2H-18.58); and the next $390,000,000 of revenue collected annually from the [cigarette tax imposed pursuant to] “Cigarette Tax Act,” P.L.1948, c.65 (C.54:40A-1 et seq.) shall be appropriated annually for health programs, and the next $50,000,000 of revenue collected annually from the [cigarette tax imposed pursuant to] “Cigarette Tax Act,” P.L.1948, c.65 (C.54:40A-1 et seq.) shall be appropriated annually to the New Jersey Economic Development Authority for payment of debt service incurred by the authority for school facilities projects and in fiscal years commencing July 1, 2002 and July 1, 2003, the next $30,000,000 of revenue collected annually from the [cigarette tax imposed pursuant to] “Cigarette Tax Act,” P.L.1948, c.65 (C.54:40A-1 et seq.) shall be directed to the Department of Health  to fund anti-smoking initiatives, except that the amount shall be $40,000,000 in the fiscal year commencing July 1, 2004 and $45,000,000 in the fiscal year commencing July 1, 2005; and

     b.    commencing with fiscal years beginning on and after July 1, 2006, after the deposit required pursuant to section 5 of P.L.1982, c.40 (C.54:40A-37.1), the first $150,000,000 of revenue collected annually from the [cigarette tax imposed pursuant to] “Cigarette Tax Act,” P.L.1948, c.65 (C.54:40A-1 et seq.) and the first $5,000,000 of revenue collected annually from the "Tobacco Products Wholesale Sales and Use Tax Act," P.L.1990, c.39 (C.54:40B-1 et seq.), shall be deposited into the Health Care Subsidy Fund established pursuant to section 8 of P.L.1992, c.160 (C.26:2H-18.58).  In addition, commencing with fiscal years beginning on and after July 1, 2006 but before July 1, 2009, there shall be deposited $215,000,000 of revenue collected annually from the [cigarette tax imposed pursuant to] “Cigarette Tax Act,” P.L.1948, c.65 (C.54:40A-1 et seq.) in accordance with the provisions of section 5 of P.L.2004, c.68 (C.34:1B-21.20), and, commencing with fiscal years beginning on and after July 1, 2009, there shall be deposited $241,500,000 of revenue collected annually from the [cigarette tax imposed pursuant to] “Cigarette Tax Act,” P.L.1948, c.65 (C.54:40A-1 et seq.) in accordance with the provisions of section 5 of P.L.2004, c.68 (C.34:1B-21.20).  In addition, commencing with fiscal years beginning on and after July 1, 2016, an amount equal to five percent of the total revenues collected annually from the “Cigarette Tax Act,” P.L.1948, c.65 (C.54:40A-1 et seq.) and the “Tobacco Products Wholesale Sales and Use Tax Act," P.L.1990, c.39 (C.54:40B-1 et seq.) shall be directed to the Department of Health to fund anti-smoking initiatives.

(cf: P.L.2012, c.17, s.226)

 

     2.    This act shall take effect on July 1, 2016.

 

 

STATEMENT

 

     This bill would dedicate five percent of the total revenue from the State cigarette tax to anti-smoking programs operated by the Department of Health, beginning in fiscal year 2017.  These programs received their highest level of annual funding in 2001 to 2003, but were gradually reduced over time, and were eliminated from the State budget beginning in FY 2012.  Based on current projections of revenue, this would provide approximately $33 million for anti-smoking programs in FY 2017.