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Oregon Tobacco Tax Debate Resonates in Washington
October 30, 2007

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News Summary

As lawmakers in Washington debate a plan to raise taxes to pay for an expansion of the State Children's Health Insurance Program (SCHIP), Oregon voters will soon weigh in on a similar state proposal, the Associated Press reported Oct. 27.

Next month's vote in Oregon, if in favor of the tax increase, could be a shot in the arm for the national SCHIP bill, said Rep. Earl Blumenauer (D-Ore.). "It will be harder for some people to ignore what the public sentiment is," he said. "Maybe they can ignore the polls, but this would be a signal victory."

The opposite would be true, however, if the tobacco industry succeeds with its $10-million campaign to defeat Measure 50, the tobacco-tax question. "If you can defeat it here in Oregon, you send a chilling message to the rest of the country," said Oregon Gov. Ted Kulongoski.

"The industry is going completely berserk in Oregon to stop this tax," said Stanton Glantz, director of the Center for Tobacco Control Research and Education at the University of California at San Francisco. "The stakes are higher, because the tobacco industry will use (a win) as part of their argument against SCHIP."

Many of the arguments being made by the tobacco industry in Oregon echo those from President Bush and others opposed to the national SCHIP expansion, such as raising the specter of nationalized health insurance. Philip Morris officials also object to the idea of funding health programs with what they call declining revenue sources -- tobacco taxes.

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