Tobacco Documents Online

• CONGRESSIONAL ~COKD October 22, 1985 Pages S 13776-95 ConsoUdaced Ornnibu~ Budget Keconc/li~.don: Se.nate con,~sued consi/e~io~ Q[ S. i7~0, co pro- vide fo: ~ecoaci~/~ion pu~uant co ~eccion 2 of ~e fi:~ concurrent :e~o|udon on the b~dgcc [or fisc~ year 1~86 ($. Con. Re~. 32, N~n~-Ninch Con~:e~s). taking =orion on amendmen~ proposed d~ere~O, a~ folIows: • p=g~ 51 ~'22 Ke~ected:. (1) C./la[ec Amendment NO. 839, ¢o ~.cre~e dnc clg~en= ~ h~ ~ cent. (A I~olac oC o~de~ wa~ ra~ed char the ameadme~c wa~ noc g~nna~¢ co the 51[l ~d h~ v~h~do~ o~ the Congre~ionaI Budget Ac~, ~nd thus was noc {n orde2, By 66 7ea~ ~md ~0 n~ys (Vo~ No. 240), Se.~e" ~able~ a motion ~o w~ive ~ecdon 305(5) of chc Con~re~slonal Budget Ac~ with ~s~ec~ ~o the m-aendment.) (2) Mitchell Ame.n4menc No. 840, co delay Medi- and t~ {nc.-e~c the c/E~re~e tax by 4 ce~L~ ~of un~e¢ ~ean. (By ~6 ye~ co 2~ rm~ (Vo~ No. 241 . Senate mbied the amendment.) 1%~-. C~L~=F.~. Mn, Presideu¢. I send iLs ~raedi~t e c~.nsi~eraSo~ - The pRES/DINO O.~J~IC~. The The bg3 clerk re~d as folIews; ""i-he ~e~cal* fr~ml Rhode ~nd. [/~r, B~.~¢~;~ ~r opo~e~ ~ amer, d~en~ numbered ._. ttn~LnEn~ous ¢~n=en~ that fU~her re~.- lug of ~he ~endment be d~gensed The I~R~T.SDDI~Eit OFFICER. With- out objection, it is so ordered= • • . The s~,endm=~r~r~ res~d~ a,~ Iollo W,% On psge 3"~. st~d¢~ Ou¢ lines ~ thm0uch 10 m~o inscr¢ in hCU thereof the fo~Inw~n~ • ~a) ~ or T~X-~U~eC:t/0n (b> OZ se~ 5";0Z.O£ ~,he Inr~ l~ren~e (:Ode oi .El) b~" st¢lki;l~ uur="$~" b~ ~h (1) and h~arraa~ h~ l]e%~ ~hereof .,$12"~ ~o. (l=l~oa ~ ..... U~ted 8tace~ which ~e l~gved be~c~e N~ vember i5. lS~,5, and, held ol~ s~cb. date f~r the fo]~owiu~ ¢2.x~: wei~hhl= n0~; ~ote ¢~.n 3 l~O~ per ~]1~- ~d. $~ ~er Illous~nd; wel~hh~ more than $ D0VD~ per t~10~and. ¢~ 8 ~.. lnci~Ee 1.~ levitt tz. ~be~ sh~J be t~x- we~&~lu~g no~ more ~ 3 ~ ~ thou.- .%~u~, ¢~un~=n~ each 2~ LncJ~e~ or fmc~io*% (2~ LL~ ro~ l~e,~.~A pe~o~ hold hlg cigarettes on NoVember 15. I985, to wrd¢~ sh~.ll be [i~b[e £0r such t.%x. (B) ME'f'R0~, 0I" Wg'fT~T~he tax ht=. ta~ imposed t~nder s~lon 5101 of the I~ter* r~/ R~venue C~de of I954 amd s~a/l t~e due •md p~y=ble ~, DeCember 2, 198~, In the I~

~ning give~ to s~ch term by sub~e~on C~e of 19~_ (4) Exc~io~ ~n ~A~--~r ~ cig~ett ~ ~. feted sto~ held o~ November lfi. 19S5, ~ the Dkace where in~el~ c~ to be (~) I~ o~--The ~menl made by ¢ig~i¢~¢$ removed ~/ter November I4.19S$. (c) of ~o~tio~ 283 o~ ~he T~ E~ui~ and F~C ~. 1 Re~oD~ibill Ly Act o~ 195I ~ ~e2~ed bT ~ki~ CUe "!~d hef0v~ N~vember 15, 19S5~, ~I~ CPL~E~ Mr. PTe~tdent. I am Join~ m this ~nendment by Senazors Mr~ President. I would be glaff to enter ~n~o ~ tir~e E~Tee~e~c Wi~h the floor managet~ of the biB. if ~ey so lV~r, DO~ENICI. Mr~ President, I ~ly to th@ ~en~or, ~ wotkl ~ l~t her not a~ ~hia- time. ~Rhough m ver~ 8hor~ order I bet!eve we ~H be able to do that. ~, C~, If I UnderStand, we have 2 hours anyw~.y; us ~hat correct? The pEESIDLNQ O~I2!CE~. There • re 2 hoz~ on first-devoTee anlend- duczi%-lty eae~ yes.F. C~g~-ette sr~okiilg 0o5~ t~xpmye~ $-!.~ bil~ioi~ a year through Med/ca~e and MediCaid P~O- gr'ar~, Dr. Gerald Osier, ~n econo~ns~ wi~h ~Iiey An~L~, Inc. of Noston. tes~-- fled before the Kouse Ways and Mear~ Cora~tt ee In June of ~hcs ye~ thaC reimbu~ement to socmty for sll of ~e~ COSTS Wo~ld r~q~ir~ an irl. crease in the cigarette t~x to $3 per package, and reimb~semen~ for madi- el~l C~e Cfl~t.~ a!oDP~ would re~t~I'~ al~ Incre~e m the t~-x to 30 eent~ a ~ac~- age--~n additional 30 cent, M-v. P.~esiden~. I am only a~k~ng for S cenm additional, making ~. tot~ 0£ 2~ Cel~t~ Medic~i evidence of the incidence of tobacco-rela¢ed diseases among tmera of cigarettea demo~trate~ the corr ela* tiO~ b~tweell SI~0k//Ig ~d iD_C@e~ed heal~h c~re eost~. An increased Feder- al excise tax on cigarettes Ja a ta~ im- posed O1% tOD~CCO U~el~ lot ~ r~:$ul~- ing e.xc~ health ~-.xe ¢o~ts they Lr~o~ on ~r health C~r~ s>g~em~[n O~he~ w0rci$, h~.v~ those wh(~ ~re ~S~ ing the excess cos~ be~" D~rt O[ the burden--p~r~ of the bUrden, i%In Presi* de~t; nowhe~'e ne~2 th& ~n~[et~ burdem • ment~. All o£ ua clearly have ~'~ in~ez~st in 1~Ir, CH_~WEE, Evenly div/de~L Nit. president, the amendment I Dr0motingbetterhea~th~ntheg~nera/ h~.ve S • poptfiaLiono the- lonK.~e~ ben e~iL~ for en~ to the desk ~Rd cosponsored by Senator~ BL~C~_~. , ~.~T~ZEZ~, federally £anded hea~th c~re Dr08T STA~RD ~!~, ~Fld ~IL~DL.v~ ~nd W 3xe clea~'. ~X~ the~ tlrAes O~ f~e~l ~.i2E* are o en'to~them the~e • ~ li ~ eterity, we m~c ~os~ly examine the tion on the numbe that heal~h c~re eost~ imposed o~ t~D~v- r c~ COSDODSOr L~ this-- r~vtde3 zhat the CZuTent exeis er3 b~ ~oba~co Imers. The detlclt f~ - P . . • - tL% on ci e~tes of ~ • cre~2g ~ he~t,t~l c3/2 $]~endLrlg ~- cents eigs2ette tax per package. COR~rlb%tt~ ~/lO e ~s. they This amendment doe~ n~ earmzik Inl~oseonoUrhea/theareprograms. the revalue ThL~ ~endment w~U de- ~O~ On/y W0l~/d ~n increased excise def h tax on t~L~ prodnc~ be fair and hel~ cr~e the e t y an additlonBJ. $~ . . . ]~ fl]/0~ over the ne~t S ,e~:~ reduce the deflclt, h~t It~ Wi]/ aL~o help The thrus~ of *~hi$~amenclmen~ fs d~courage~mo~In~ ~wofold: FL~t, We need the additional In the Tax Equity and ~isca~ Re- revenue. ~Vhen we ar~ running" m dell- spor~Ibility AC~ [TEI~P~A], the legk~l~- tit th~t has been estimated between tion we ~a.~ed, Congre~ doubled the $17~ billion ~nd 8200 billion fol" 1988, I think we better t~J~e every pe~ny we can find. The second r~r~onale /~r the ~n~.end- ment, ~LI-. President. is ~-~ increased tIon. i~ ,~l~leu ray] y amor~__~ the younger DeoDle. an01 ~rcvenr~B them fror~ being cf~re~te addicts for the balance Of their lives. ~ach of l~s, Mr. Pres~denC, whether a t~.oker- or hoe, ~Ry~ ~or ~he health C~-e i1eed.~ 0~[ smo~e~+ either tllrOU~l~ i~e~h i~l~t~r~nc~ pr~miuiR~ or- thro~.g~ our ~axes funr~e}ed in£o go~ ernmeng Dr0gr~L~L~ Which c~r~ for ~hc~e ail~ng a~ & result of having" ~/~lok~ ~n excessive number o~ ei~- reties. According to the Off~ce of Teehnolo- ~$~ss~fle~. ciggzette ~mo~ng ~c- coun~ for $22 billion i~. medie~l c~re costs ~nd $-~S billi~n u~ 10st economic prodllc~Ivlty each year~$22 billion in medical costs, $~3 bllIIon in lost pro- excise ~x on clearest es from 8 c~nt~ %0 16 cents for s S-year period ending O~ Cober i, 1985. In "C~rette T~Xatlon: Doing Gou4. by D~ing Well2' ~uth~r Kenneth %~arner sts.~ed ~ha*. the do~. bling Of the exc~se tax c~.u~ed one ~nd ~uar~er million adult Arner~:an~ to stop smokLng and one-half nd]lion Ce enagers t,~ sCOQ or not's%8/~ sn1(~ l~i~g. Teenage smoklnE decreased hy l~ per- cent. AdulC smoldmg d~cr~ed by 4 perc~ilt, B~ helping to discourage smoking, a~ ~ncl~s~ed exci~e t~.~ will hel~, im- prove the overall he21th of the coun- try. CIg~u'e~t~ smoking is the N~. I pre- ventable C~i/se Of death ~lld d~sability i~ thin coun~ry--~h~ No. i cause. That not dL~u~ed. Over $50+000 Ameri4 ~ d[e of smokin~-r~!~ed d~se~es annually. HL~e rn~iUon peo~e suffer frora e~./Dmio bror~¢hi~i~ a11d efT*phi'se- mi. due t~ smoking~ Anyone Who h~-~ e';eF seen R s~/ffe~'er Of e~'1~h~sc~..a knoT, s wel~ "~lle r3~vages Of ~hat disease. O ~A

. Oetb~r o,~., 1~83 " CONGRESSIONAL RECORD -- SENATE S 13"/77 in~[ L~ 8. deCi~i0tX each o~ us Should tl~. A.~ociatLon (y.w.c.A.t o~ tt~e Lr.S..~_-- atricu~n~--a aro~e-~ionM or~lmizatlon of q~- .,~,,e a*'ld that CO.~l~re~s ~|~oLild IlOt be ~t~ or~ni~at*on o1 2.5 million meml~e~ ~nd teo~athl¢ I~h~cian~ pro~idiI~g caFe to Chic, ~2xlel~m'lt~ working to promote e~lt~. $u$- dren. artemis,!lag to i~fluenee these deck- ~tee. aetme. ~reeeom and dimity 10~- a~l ~. ~¢ciati0n o~ ffunior Leaguer--an ~i0ns throLl~h an excL~e t~x. ~owevei'. t~eople, but particul~.rt¥ for wonien anti interlx~t~o~l ~'~men'$ %olU~.teer or~a*M~2.- which have ~ &.rea'; impact on al] of so- cle1~y--~mokun~" fa]Js int~ this category as I pointed out by the deva~.nd~ i~ s~:~erd. l~ ci"~les a.n ~.~cre~s~d denlan~, oi% OUr he~P.h care system, much Of whleh is subsidized by ~he Fed.era/ (3ov~]~Dx~1~/it. ~]/ of i/s. whetheP w~ smoke Or no~. p~-y for the health ~e needs of smokers--either throu&'h in- s%il'z~t~e ]91-~mi~J~ or our t~xes. ~arly this m0n~h I held s heatin~ o[I the issue of an in,retake in ~he ~- re~%e excise t~x in ~he S~bcomn'd~e on Taxation and D~b~ Mm~.~ement. ~t Was ~/e~ ~t~n ~h~e het~ng~ %h~.~ £here is ~ gr~t dedi of supI~ort for an ili~re~.~e in th~ excL~e tax ~rom • wide variety Of hea~tll Org[uniz~£i0ns. I have s. |~s~ ~f ~4 he~I~.h 0r==aniz.~ t[ons th~ are interested in the ifl- el'ease in finis t~x. It, ran#'es from d'~e Amerioan Cancer Society. Amer~1 Heart Association. Arn.eHcs.n Lung AS- so~i~.tion. American Colle~-e o~ Obs~- ~ri~isns and ~aeco]o~-is~. American Cdil~Ze o~' Ph~ic~sm~--~1 ~[ ~h~ rne~.t irn2niner*t he~I£h or~.~diz"~ioDs in OU~ .~atlon. ~.~r. President, ! a~k unzJ~mous con- se~t to h~ve p~ntcd in th~ R~O~]) ~he li~t ~ or~'aniz~.tlor~ suppor~in~ ~.n in- ~l'~'~se In the Fe~er3l cig~2e£~e exc~e There being no ob]ecdoru the ~st was ordere~ t~ be printed in the T.~x - i, American ~ancer ~ocle~'--the world's I~rg~st vOlunta~ ~leS/~h s.ge~y, devoted Io re~2~ ed~tion, and se1~a'c~ to tl~e 2, American Hear~ Ass~i~.tion--one of *.be la~g~s% ~ol%L~ta/y heal~h ~neies h~ ~e U.~. and ~he only such a~enc~' ~ha~ devot e~ a/l of iLs re~%~fce~ to t~e goal Of l'eOu~itd~ ~rernature de~.th ~id dls~t)iI]~y title tO cSr- ~i~ o ~ ~ular dlS e~.~e and st.~oke. 3. A~le~L-.an Llmg- ~ia~io~--~he n~. ¢omnlitt ed to ~]]e ~event ion ~nd ~ont~o[ o~ hi~g d t~e~se. a..l asnoeL~ioi% o! Over ~0.0~0 ~rnmunJty he~iLh leade~ r.nd health ~ro£e~ions]~ wor k~n~ for Lhe p~]ic healt I~ ~. American As~el~.~Io~ o~ Re~ired i=~". s~--the [~.;~e~ oi~/z~Jorl re~i~erltlZlg inlet the needs Of ~he o~d~r ~o~u]a~J¢)[1. ~. Association of St~e and Territorial [{e:clt.~10[ficiAj~-tl~e ~role~sional o~r~L~.- titan re~resenti~ lhe chief ~e~d~h o[flciIis of ~ery s~ale ~d ter1"~tory in ~he ~nJt~d 7. Chfldren~ Defense Fund--~ national ~ ~ blic ~h~r~t ~ tha~ provides ~ ~tron~ a~Id ~ fe~i~e ~oice fo~ ehil~ren ~nd ~dolezcent~. p~'tieuiArl~. ~h~S~- frt*rr* .9~o~" ~nd minority f ~r~ulies. in Dubli~ policy forums. 9. N~iional CoUncil on the Aglmg, Lne.--o. r~ dona] o r g~.atat ion reprt~en~Jng provider~ ~f ~..~ce~ to ~h~ eldea-[~ which ~et~'ea tat ~t on~ older !~ Olmll~.~i~n. [0. Natior~tl ~.g~lo~ ~£ ~Iementary School :F./~ncip~.--~ profe~aiona~ ¢~malt~- at~d middle seheol ~rittci[~.k~ in the United ~.~e~ and over~e~ ~tad l~e]ie.nn~ tha~ ~.he pro~ ~d ~'ell.b~in ~ of the ehfld m~x~ be at the foref~nl of all eleme~ttu'y and raiddle seh0ol ~la..a~ mid operations. 1]. Amenca~ A.~oclation o~ Dent~l ~hO~L~rt 0rga/nzati01~ ~reseY/ting ~!1 sixty dent~l ~cilooL~ it~ ~he Uiu~e~ ~a.te~. their fa~ul~l~ a~d ~tttdent~. mad the~ d~lat.al h~erle ~d hO$ pit 81-ha~d f e~klene~. ~rOgT~mS. 12. A~m~ea~ IM~etes Assoeiationqa na- tional voluntary h~al~h ort'~i~0n whO~e t~o.~old unts~ioll L~ ~o Sflppor t the search for preve.'~ii0r~ Or cta~e .¢o~ d/~*be~e~ anld to jm. prove ~he weIl-~emt~ Of ~eo~le who h~ve d~- 170.000 ~embers* 5500 profez.~ionoa mere. be~'~, 58 ~f~I~la~e~. ~nd 'Sil0 ctlapte~ l~..~eric~n Medtc~] Student. A~oci~o ~Jon~'l Ln~ependen~ or~m/lizat]on of more I4. Ad%.~n~t i:le~]~h N~twor~--pecple tion i~nd dtree~ a~is~ance, in ~00 cent~..~ col~nec~d wi~h Ad~,~ntist chutc~e~ and $chooIs ~[To~.$ ~he c ooz~t ~.. .15. Amerlca~ A~0~iatlon Of ~refen'ed ~l&t~on o~ ~oi~Det~ive ~lteIna~iv~ he~dlh ~r~ deiiver~ ~5"~t em~. ~u~e~--a~ ~9 12riva~l~ ~ Dubli~ly funded ~cer c~n~I~ a~o~.~ ~he courtly, pro~n=~ r esea~ch, care. and ~e~tlhag. 1~. Amenca~ Academ ~" of Aller g~ alad I~1. mun010~--~ prof~i0naa o~g~.mzatlon ded[. eaLed to ~he adv~a~¢~e~ Of knowledge ~d practice Of a1ier g..~ an~i Ln~mv~olo g.y ~nd Dro- ~.i~LnZ ~t.t~r e~.e t~ ~*.~%ima ol ~ es~e~. 18. ~P~ and Allergy FoLmdati01x Of ~eri~...-a nat~onwi¢le ne~wor~ of over 10t} Cha~er~ and ~appot'~ groups ~d ter~ of thoO~and~ o/ conce..~ed uidl~Jdu~L~ banded to~e~het. ~rtLh ~ COI~O~ r~i~on ~o e~Itclj. care a.~b.m~ trod aiierl~c dtse~. ~Jon~4.00~ ~h'~iCI~A~A~ eottC~aed ~'t t~h d/~es. 20. CenIer for ~cie~'e in the Pu~l!o ~nt er- est --~t ~o f~LL~ter adv0C~y membe~hip Ol'g~. ~Lz&t~on tha~ s ee ~.L~ to I~uprove n~*~l¢~n~ ~]i- eie~ w~h re~ard to he~dth ~nd nut z'lt ion. i~r~resentJng ~proxmaateiy 149.000 k~divid- ual membem, promot~g ~he soltxtion 0[ e01~ t~azait y g*l~lel~$ t b2ougi% ~OIU~ r~a Cy t.l~- Izan in~ol~.entet~. And ~I~ilXLt~g mernb~ to he effective voluntary i~artlcipants in ~h~ir corr t m LL~iti~'~. ~'I. ?q~*iional Perha~tal ~*.~oelatlon--an ln~erdL~i~LLqatF ¢~rgau'l~L~l~ of pro~e~i~n a~ provid~ health e~.~e to L.~au~ts ~d pr ~gTd~2%~ w0m01~. ~8. A~aemc~a~ Academ~ Of OIoI~r~ic 2A. 1 el.~a~ Org~iort of l~ b ysI¢la/~ ~eci~* E~ip~ in the t~.~me.qt o~ the ears. tao~e. Lh.'ott~ and ~elJ~d ~Ct~FeS o~ ~he he~d and ne~L wl~h 1.200 rn em0eim. ~. Amer/¢a~ ~oc[ely of ~Iineal Oneolo- gy~-LS00 ctlni~al oneoiogL~t$ s~ecia]lz~ l~x ~he t ~L.~¢~en~ o~ ~macer. ] ~.~Mes~ ~fes~[o~ ~oeJ~ t~oix represent~n~ re~istered htt~m~ ha the country. ~j~h 18fi.000 member~. ~l. ~erJ¢~ Society of In~ernal ~edi* cL.ae--repre~en~n~ 18.000 ~h~'~a~ ~ho cerned ~th t~e aoeJoa~ot~m~c* of medioai care delivery. ~Z. a'~a~i~nal A&~oehttI0~ 0~ Children'~ ~ospit 8.1s and Related Inst tl~iti0~s (N&Cl~I)--rel~re~en~ 8:~ ahild~.n'~ hc~oi- taJa na~ [c~d~. I~ go&[ i.x t~ ~er ~.e aa aa ~d- voca~e ~oi" L~*. ~l.o %.ed c.h~[d h~lth ~d the de- li~,~ r~ of eomDrehe~ive q~Mat ~" h~lLh serv* Ices for ~1 ~h~dren. . ~3..~ma~m~ar* C~lle~ Of ~he~ ph.vMel~ (ACC~)--L~ ~ pI~f e~tonal medical s!~e~iali~:: ~ocie~ l'e~re~tllXg l~aol~e ¢2xa~. 11.000 ptty- ~i*t2~.s. ~ienti/~r~ a&d edu~o~ s~eeia]izin~ L.~ ptllm~n~r y ~.~d ¢~.r ~Lio~ a.~Lda~" dase~ea. 34. ~elJca/~ Couaacil 0It ~ci~r~¢e ~rl~ I~e~&lth (ACS~-i~ ~ r~lona/ cortstm~er education ~oci~t~on dh-ec~ed and ~d%'t~ed b~ • panel o~ ~ien~L~ L* f~om ~. v~riet ~" o~ dL~- ei~lln~- AC~ L~ ~m~ait~e4t I~ provld~n~; eon~umer~ w~tla ~en~ifica~lI~ ~:~.l~.need ~V~I- ~t ~.~iolm of L~s~te~ r e[~t.mg to food. chemicaL% tl*e envirolame~L ~a~d h~dt ~t. ~. American Academ~' of L~atci~---ml or~an]z:xrion ~| ~7~000 pedl~nckan~ de~l~al- ~*~ ~.~ '.he h~th. ~.fe ~r ~ .~eLL~ ¢~[ u~ fsalt& chfldrefL azid adolescents in Not~ia. central mad South A2aerie~ 36. The United .NIe~hoal~ ChL~ClX ~grta~en~ of ~um~n WeLters---The ~'ttited i~e~hoc~t. Church ha~ 9~ ~aLL!lon memt~et'~. T~e De~atrt~txt of ~LL*n82~ R~O~C~ iz re- Spol'~ibie f01" the Chttr~'$ I~O~tiOIL~ Ot~ L~ues of ~ub]/~ health ~ad ~o11¢~'. 3~: &merma~ L/eermad k~ticgl NU~m~s' more ~ht.~ ~.000 ~¢e~med ~r t~.eLlca/ mad v0ea. tJ0n~ I~ tll~ ~iao pr~de b~0aid e I t t~i~kl~J ha ~tin~s melu~n~ nu~ln~ laome~, hospitals. ~ iL.lics. ~ntmt~t~lt~ health cer*t ~t~. 21. As~oe~aIion of ~hc~$ of ~blio :~8. 2L~aerle~a C01]e~e of Cmrdi0lo~--A ~e~th--re~tld~ ~he ~ ~.ec'tedi~ed I~.000 member, non I~rofit ~rofe~ionaImed. gTadttat~ ~hooM of ptlblIe hea]di in the ict.I .~ocie~y and t~.chin~ l/L~ti~utl01% ded~. Uni~ed~tate~. . c~ed t~o elx~urmt/ o~tAmal care fa~ Det.~on~ business eo~ition e~ae~i~ CUtTen~ ~ttx the /~otentia~ ~f ~eveloDii~g c#~diov~2~lar refOIT~. Wl~h 1.~00 ~L~h'l~ slembel~, dlse~L~e. ~d th~oo~ ~du~tio~l ~At~d ~C:O- 2~. A~erie~al _a~o~l~tiort ~or ~ttsDit~.tot~ ~-o~or/lle ~eti~itietL rat. oon~rib*atiIt~ sih~oi/'l. The~apy--~ 2~000 2memt~e~ I~ofe~onal a~- caaltl~. ~o I~rewntion ~f e~i0~,~cular dis. xocia~i~n for ~espiratory tl~e~py p~c- e~se. ~4..~19~1¢~1 A~emy of OtsI~r.d~golo~ tlo~8~* or~anL~a~.lon reiir~e~tha~ ~pproxi- g.~--Hea~ ~: N~K ~kal~ery. ~i/c.~a ~i'ofe~ /r~stte]y 3000 :eg~tet'~ pr0fe~ior~t*l n~I~e$ ~on~l ~o¢~ttion ~on~rned ~lt~ e~c; ~rtd ~liied he~Ath pt~fes~l~ llXvolved ix~ thr08.r~ ~.~, head ~.2~d 1~eek ~url~ei~'. v;ith ~ lt~odaaities Of care aftd ~t1~er~. tta¢lud- appro2~l//~te]2t "/.~(~0 Ifle~lbe~. i~g h~o~ia]~t~, g]e~itoI~.l ~U~lysi$. Krtd ZZO013

Octobe ....... ~.? 13778 CONGRESSIONAL ~t~.CORD -- SENATE ~ ?~ : ~- trar~ntation. GI Datier~¢~ ~itn renM ~ds. The su~:¢y ~.E~ fo~.-7~ that ra0s~ Amer]- TheSE are jtl~t some of ~Ile hea~:h 40 N~.~ion~A Alliance uf ~nior Ci!i~en~. I~c.~ n~ on~ n embers p ~rg~nL~ 0n ~hf¢~ focuses i~ ~t~cR~[on on m~Jor [~ues ~f~,~ng older .~car~; it is ~.L~der~e Io ~oP~P~2tive in Dollt icT~ pilil oso ph y, ~z~ II~ nlon~!Is, a m~Jor .~ncel~. As rn~n3, I~ 75~ Of ~h0.se Do,led t;aid lhat ~ley reg~r¢' la~m- 01oymen~ 05 ~t k~g l.oil/Ig ~ue. Sllll l:iore. 80%. exDect, the level of i~fla~ion to inEu- spoKderlt$ ~aad L~atiogl wotild t)e ~.I i~ 41. Terry O0~theJf Lup~ ~'e~e~it It,ll. pre~ent level at the e~d of 198~. A.n~ While tuI~--est~b][sh~d Io he1~ ~JllioO~ of 11/13~ 2~. iGo~t for ~* lllgher ye~r.ev.~2 i~. o211y vic~ in lhe wol'id and ~o encourage. CO- l~%thottgh~that thelevel~ouldcb:op. ~rdirt~e. Rn~ ~.irect fLlttlre pto~o-e~ il~ ~he M~.~y o~ those DoIle~ re~ ~ntl%in~ed etiol0~y. '~.o$i$. ~d ~re~traeftt of th~ ill- t.h~3; bt~ine~ ¢~:cll~ie~ a~l l~.dtlis pri~ileKe~l 13¢.¢:~. p~itioyt 112 Ar~er!¢~2 $~iety. MO~ ~ht*~ ~2. A~etle~n Medi~ &s$c~i~tJo~l--~ v~l. hR[~ ~id ~hftt coE2ptJItel do F*Q~ D~y ~notlgh UJlt~i'j sm'Jety Of phy~i¢i~r~ ~o~ded ~o Dgo- ~e& whil~ severl o~2t of t~tl ~houg~ th&~ mot~ and [mDtov~ ~he sgience a2~.d &r** of ¢~rp~e nlanRg~ wer~ ovetpRic~ & ~.~ble ~ed:c!ne ~¢i tb~ be~ei~ae:l~ ol pub[~e ~ajority ~vored rak~L~ buSIneSS t2*xes i~t heail.h. WiLh ~roxL~.~.te[y 2~0.000 nl~..a- order toc]o~ethe~qdge~g~~ ~e~. ~h¢ A~I~*~ v$0ri~ aeli%.ities ~*re direct. The $.J2~'ey showe~ ~z~ much Of Lhe ed toward achiev!~ e.~ceilence among phF- public wt~ ~¢a.~ed by he 1981-82 r*.ge~ion ~Icl~ ~d a&~urt~z ~e .~merlcan ~uDh¢ of and remRu~s wary abo~ ~e ~u?2ook /0r ~he the ~Ighes~qual~ty.medlct*icare~ssible. future, lh~11y 80% of those qu~¢io~ed 43. America~ COile~ of Qb~tetrlctaP~ & ported no iraDr~vernen~ in he r ~ta~da2d 0~ 9yl~6~o]~gt$~.%p. OI'W~RtlG~ teDi'e~el~~. li~g over the I~a.~ yeats. Moreover. people's trig ~e~ 25.~ ~te~:ms~:~ ~a~4 ~]ner~i~.. expectations about how ~hey wli] fare in ~he ~ who Sp~clal~ze m women a health care. ¢¢~m/ng mo~th~ h~e b~-ely Im~rm.ed since 44. Am~rtcRrt C0~[eg~ Of ph~idl~.~ the deplh 0~ the ~l~r~.~ I]2 m£~m~er 1992. i~2. C~4~. *N~r. ~esideEtt. I would .Some 50% ~aw better days ~*head for them- aiso l~e to point out r/tat ~here is a grea~ de~l O~ SUI~OI~ thr0ttghou~ Out co~ry ~Or ~.~ increase in the, e~,~e tax On cigm"e;te$, In February of 19PA, a poIl found Lh~t 77 percent of reg~- ~ere~ vo~el~ supported art ~ncre~e ~. ~he tax to 32 ce~s a D~CI~ Th~.~ is only ta ~4 cen~ I ~s:¢ u~-~:nou~ c~!~ment tha~ the Ti.~e n~g~ine ~r ~icie d esc1-~ bir~g these results be Dr~$ed in the REcoaD a~ this po~L ThePe balng no objection, the ~.~icl e ~ ordered to ~% Dl~t~d m %he %v~lue th~ %Vhii~ ~ol~e fe~l~ ~.md VCall Slte*~ fret.s ~ut runaway federal deficit& ~lll ~tl-~e~ i~ doep]y co~el~l I~o. 'I~e efful s~'~l e4 ~he gene~ ~ublic'a fea~ ~boqt '~he Ollt]Ook for ~he U.~. ~l~onW. ThJ~ w~ the m~t fh~g of ~. new poll conducted for Tlr~e by Y~kelOvlcl~ Skelb, & White. The st~,,ey Of I.~R ~g~te~ that nearly 90% '~iew the defielt~ ~ a seri- au~ ~on~c problem* Even mol~. 95%, ~[der ~ngre~ ~,~ be re~nsible for the ~7% bI,~a~ e t~e~dent Re~g~. W~en re~pOl'~¢RL~ ~e~ ~ed Wh~.~ should be done about ~ne deficits, Ovly a fraction favor,~ eu'~ting ~1 spen~,u~ Tl~ I~ Jorit y sa~l ~h~ IheF t~ollld prefer to t[on, t~eF l~iected ~ i~r~ [t~ p~n~tl Selves when questioned then. compa¢~d with ~2% todd7. ~'£h~ public la ~esz 1¥ ¢on~e~ned ~c,~t ~.1~¢ future of the economy, y~nl~elovtch found th~ ~2% beli~'e the recovery chat g~t ur~der way iu~ over ~t y@~tr azo Will ~rove Uo be ~.~mpoFg, rg. O~l!y 10~, on the O~he~ ~and, $~xI =hey ex~e£t ~he economic I~npro% er~en~ r~ ~I2~L ~,Ir. CyLa~'EE, hfr. PresidenL I have talked generally abotF, the healt]l r~k~ involved with cigarette srn0~ng, I WOUld lik~ t~ take R lnoin.en~ to ~ more specific. sMo K~NG F~CrS First. (~ver 350.000 A~lerica~s die each year of the effcc~ of c:~reLte smokLR~: Th~ is 1,000 every day, SeCond, Cigarette smoking co~s o,Ar society in exc e~s o~ $%1 bll~isn a/muM- ly m he~.lth care cosf~, IOS~ work time and los~ productivity. Third. ~fore ~h~n one out of everj seven de~ths in th/s ¢otmtry are- ~k- ing related. FoUrth. Eighty percen~ of MI long c~.ncer de~.ths i~ this ~ountry are c~used by s~lokJ~g. Fifth. Cigarette sr~okLn g catmes one- third of all heRF~ 2Asea.se deaths In this ~ ~un~5~ ~Jl~ h~-~ d~ a~c~xtl~t ~ for nearly ~e~hR!f Of al~ deaths. Six. laerha~ RLmos~ I0 percert~ of nil persoil~ tqow al~ve---~ 2~ rilRlJ0n Arller - ic0ns--may die pre~natttre2y of hear~ rL~ a~ogiat~d v~'i~ cigarette a!!~ek* !nO. And all of them cost the Fedet~: Gotern.~. ent P.lOrley. They either cost th~ Goverrmaen~ money direstly through prog!'~n~ like ~Iedic,~re and ~edic~[d, or t~rough Lr~reased gram~- tl.,21s in 13riv~,e h~al~h iil~ll~8~ce ~or which we pr oyide a tax deduotion. Why Is it argued that It is wrong to a~k those individuals who src, oke to pny a lit~!e more~j~Is~ 8 cents moro I~er package--f0r t2%e c c~st s ~ey impose on the res~ of ~ls? One objective to raising the excise t~x is ~L~t~ R is regres~ive--~hat is it af- Iect~ the ~oor, mLnoritles ~-nd the el- fler~y m~re than o~her &~ouDs. ~e- se~ch by Dr. Je~fery ~.rTis of ~he 5~ea*saohusetts I:~titut e of Technology' h2.dlCa~e~, however, that lOW-LneOme Americans smoka Ies~ than midd!~ income Americans. Profe~or Harr~ ~0 finds that older Americans have much lower smoking rates than ~he keneral pODUIa$ioD. Pie a/so found tb~.t Lu c~r~iderir, g the nmml~er of ciga- rettes smoked per day, the actual dollar burden of ~ cigarette t~:~ in- " cre~se is greater for white~ ~han for ~1 a~'~s hn every Lucome category. These findings a~e confirmed by the I979 Surgeon General's repo~ on amokin~ av.d b.c,.It h. That repar~, decu- mended that s.'r, okin~ rates arnonz mrle~ are highest among middle ine0me 1~vels. while smoking rates ~or women rlse ~ead!ly wlr.h Income. The poorer the woman, the :e~s l]ke!y she ~s to ~moke. In ~h0rh the cigarette t~x fails rno~t heavily on people who ure well able to afford it. Lf we look a~ cigarette excise ~axes ~rom ~ ~oiscal pe~'e the kn- crease we are proposing in ~his amend- raent is clearly not extreme, lrffla~ion ha~ resulted in a reducflo~ in cigare~t e taxes in real terms and as a percentage of ~he Price of ¢isarettes. The Federal excme tax was lncremsed only twice during isle ~$t-wax ~eriod: From cents per pack in 1950 to 8 centa in 19SI; and from 8 cents tO 16 ~nts i~ ).982. This trar~lates to a declLne Lq th% ~x r~¢e measure4 t.n 19~ d~It~ from 37.S cents in 1946 ~o 8.6 cem~ m 1982, folIowe~ by Rn incre~e to 16 cen~ in 1984, The ~ederal tm~--a~ a percentage o£ the price per package of Income ~axes ~.~ ~ me,~Is of Deducing the shortlY21, ~y far ~he mo~ po~,/}2/ r~venu~ "[~1~ Qt~es~ioned were ~tlrpdslngly ttn~mo pres.~d by the 4rug) ~n h~ fladon, whicl~ turn* blect f¢om 12-~% ~a ~fiS0 to 3.8% [as~ ye~. atl~flflmg 44% og ~he r~12deflks wer~ t~n. ."0w~ ~p. OU grit Ih~ the e~d Of spir~g D]:i~ had ~ffe~d ~hei~l ~ Io~ ~gh~JF rnor~ i~ one-Lh~r~, by COC4g~, ~aJ~l l~e bre~ in tn* f]~t~ofl h~tci not ~fec~d t~le]~ ~.t R~L Whe~. 3=~ ked to pick re~ for in/q~ ~on's d~iine, iwo.~hil'ds ci~ofi lhe dro~J u~ oil pr~c~ ~s onus@, ~ome 59% rn~io~te~ ~l~e r~zess~ And high m~employ~ent, wh~l~- 54% S~,~ dl~ea.~e attribu~:abie to cigarette zmok- cigsrv¢'ce~le~lined ~rom 42.2 percent i~g. unle s~ smoking habitS ~re , to 10.7 percen~ betw~n 19~'~ and 1982: changed. It now stands ~t 18,~ percenL about ~even, L~s~en to this st, R~is~ie, Mr, the same r~te as in 1975. !vIind you~ President. ChiIdren of smoking par- cornpaxe tha~ ~:0 wh~.~ l~ was in 1.~7~ ent~ bt~ve an inerea.sed risk of br~nc.hl- 42 percent of ~he cc~s~. tis arid pneumn~ e~.rLy i~ li/e ~m,d Nc~. 5~r. PTesident, cnother ~.r%~t- ~eem to have a small bt~ m.e~stiFADle ment we will be littering to today is ddfferenc~" lit ~he ~z'ow~h of !u~ func- Ih~ ~ increase in th~ exei~e ~.x will tions, sigTm/ the death knell of the tobacco Eighth. LLsten to ~:hls one. N[atern.al f~rner. No one who ~u~por~ a~. 121- smoking during pre:!~l~cy ~igm~ic~- cref~e in the ex¢:~e tax "~'a~ts to see ~y increases t~he ~ o~ spor, t~.neous these I~2ners baz~A'upt, lrt fsct a aho~ion, nii~carrioge, bleeding cRu2ng ma~or reform of the tobaCCo Drogr~n pre~mcy, ~ill.biri:i2; and ~udden is par~ of the reccncIIL~ti~n legisl~tt:on i~fan~ de$~h syn(h-O~l~e, w~ are ¢ 0125i~eflP~g tod~y. 5 Z001367

• Ottober 22, $#85 . " CONGRESSIONAL RECORD-- SENATE $1,3779 BUt. th~ f~t ~ the% Con.~arnption Cent or ~20.O0O teens. AS for those that an increase in tax on cJgsrettes .&-ill continue to decrease without t~D~s slnendment~-a/~hough Drobmbly at slower r~e. I don')# ~hink the£ we C~ in ~c.od ¢onm~}ence. especi~/y in ~he~e d~ys oI[ ti~me~o~ d~fi~Tz. ~ote on th~s is~Ii e b~-ed on R desire to oontinl/e eI%coura~ing the DrOd'Acti{)i~ of a ~rod- t~o~ ~haL r~Bi~ in such hzI~e hes/T_h c~re costs to t~he l~era/Gove.nu-nenL Mr. PresidenL how much ~irne do I The PRE~IIDING OFPIC~/£ (~Ir. ~a'n0kerS aged 36 ~nd older, ~30,000 would have d:e e£fec~ of reducin% tile WotUd q'ait if the excise tax were in- ¸incidence of smoI~in~ in th~ coun!l~,, creased to 32 Ce*'Its per pack. in ~.ddition to the health conse- q~eP,¢~s Of Smoking, • ),he ~oRolni~ co~ts are enormous. The Office of T~chnoin~<~• ~$E4~I~1%~ e~tin~F.~ ~$ ~h~ disem~e ~nd los~ pDoduc~iviky from smoking COS~ OUr economy $$~ bIuinn yes.r. Ths~ ~s $2.17 for each D~Ck of cigaxet tes sold. Cigarette t~xe~ h~.ve ~rt int.-resting &nd ~eop]e who h~t*e r;ot yet started o ~A%o~c) peso e who ~llght ~ecol~..e smoke~ in the con-/ng years. I th~nk ths.t IS a.n imporE~n~ reason in 8uDI)oi~ Of th~ ~%naendment. [ thi,~.~: it i~ C|~ri# ~tLsti~ecL It is good ~ublic DOUCy tO tI:ore~e the £~x. I a=~rc~ With ~he Senator ~ro~ ~ho~e island that this is an inerea .~e which is re~onab!e. SY~L'~SL The 8ene2.or confrols 4%' r~ul- h~toi~. ~/Irsl; imposed during the C.~vil ute~. War. Zhey were raised ~enod~c~/ly Mr. CHAg~EE. I~Ir. President. I yield until 1951. Between 1951 ~.nd 1982 clg- wh~.t~ver ~L.ne the ~en~.t(~r ~rom N~w are~te e-x~e tax~ remsJi~ed ~In. Mexico desire~, changed. In 19~2. Con&~:e.%s ]pa~ed ~he Ti~e P}E~LDING O~CEP.. The Tax E~uity and F~mcs/ l~esponsib[lity Senator from New Mexico L~ recog- Act. whiehisbetterkno~n~TEF~R~%. hired. • ~A i~ised the cigar et 5e excise ~.~ -~. BI}IC~.C.~2~. Mr. Pre~idenL I from the 1951 8 cent tax ~o I~ cents wi~ ~e ~usL a few minur.es, if I n~.y. tmtll OCtober 1 o f this year. C%zrren~ ~r. Presi~enz. I ~u% i}leased ~o join law e.x~ends ti~e !6 cent tax until NO- with th~ dlsthn~shed Sen~or from v~raber 14. I~ is interesting to note }~hode Island. Senator C:~L~-~ ii~ of- tha~ if the ci~'~r~tte t~'{ had been ferkng this smaendmenL I ~elieve ths.~ r~/sed ~o keel) Dace with Lnflation mnce th~s is ~n important and r~cessary 1951. we ~ould tod~y h~ve • ~ of 32 me astlr~- c~n~ per pa~}~. This ~Ine~(~mf~i~t This IS ~ strai~ht-fcr~m'~ ~-aend- would tame fhe tax to m'dy 24 cents. mont. It ~row~(~e~ for an i~exe~se in No e~rmarkJng of funds is Called for the cigarette excise ~.x from 18 to 24 cent. wish no e--rmazking of fund~. I~ is ~. ~r~.g2~3.~ic ~l%d r~zon~b[e step toward ~ddressing ~. ~erio~ ~hre~& ~o the he~/th o~ thiS Na~iol% ciz0xer~t~ sm0ktn.g. Be/ore I go on to explain why I be~eve this tax wLll benefit ~s at both ~he i~(ilviduaI and nmti0na/ leveIs. I ~0u!d like to draw the Sen- ate's ~.~ten~lo~ to %Vhy ~:e Ileed to ]0o]£ at this mR~ter In the broader conL~xt Of health promotion. In the l~ndmmrk puh 'dc~t2on ".'~. ea[t hy P¢Opis.*' the Surgeon Gener- in this amendmenL I haDpen to be. iieve in earmarking Iun~ raised by tax such ss this to address the c~.~ses • nd effects of cigaret ~e smoking. Earli- er this year I untroduCed leg~iati0n which does just th:~t. I hop~ that ia!er ~his ~e~tr we ~ %'~r~f;l[ly ool2~ider ez.iT~rk~g f~r~ds for ~edic~re as well • s for henlLh promDtion ~.~d dkqeg.~e prevention. A~ ~his time. ~hough, Mr. Pre3ider~t, I ~,m $)le~Sed ~hat a simp]e il%cresze of the elgaret~e exci~e Lax is before the ~en~te. Pu~.aliy, some will argue that ~his is al outlineci the strong re!~onship be- ~ re,restive tax and inherently unfair. tween our lifestyle and the new health One may argue that excise tRxes such problern~ f~cing us aa v. n~on Knd • as this ~re l~deed regressive. IKowever. listed 15 ~riorl~Ie~ %V~ch mu~t be ad- the qaestion of the fairness of an dressed: C~:garetbe smmsking IS one of excise L~x on cigarettes can on/y be sever~/ r~sk f'a~o~ that contnbL~Zes to the in,easing in~denc~ of carcLfova~ eul~r disease--the NO. I ~ttse of de~.t h in America. CI~;.rette ~m.oklng ~s the NO. 1 I) ~'ve~table cause ~f d~th. A~e~cans are beeen~ng [ncressingly aware of the hes/th threat posed to this Na~on b~ cigarette smo~n~. This ne.v heg.lt~ coD~toltsi~.~ ~ei~ ~h the ind~vidu~l and the n~.t|or~/ tn~er- A~ the L~d~Id~al |e~l..~. P~ de~t. cigare~e ~mo~ng win 350.000 Americans this year. Thls hnrean t~}l from ~rnoldng c~n be pre- vent ed~ I~eee~.t ly. H ~.m.'SXd UIzivers~t Ts /ns~ture for ~he ~Ludy of Smoking Be- hayer and Policy era%eluded tl~mZ an ~xelse tax on cigg~re~s is perhaps the mos~ ef~e~e available too| to dolor smo~ag nmd tD red~ic~ Smok/l~g re.~.t- ed C~S~ to the ~der'~/ Oov~raent. If we %r~c.r~e ~ ~.~.x. ~he ~i~.~ eX- D!~L~3. cig~ra~t~ eo~ulnpLica~ ~:ou]d drop c~ic-a/ly, e~Deci~/l~ ~mong tax ~e~se woald d~ the nuazber of te~ge smoke~s b~" 17 pemo ar~wered accur~.tely ff we look ~t the effects of eig2~ette smoking on aIl fl~21el'~C~tD/;, smoke.-3 ~d no~s~22oker3. Is i~ fair that nonSmoke.'~ ~ay bil/iors of dollg~rs in taxes each year to hel]~ cover the heRlth c~re co~s incurred by smokers? I t/~/nk not..~Ir. Fresident. Cle~ly. i~ is not fan-. ~rnatever unfalr- ne~ rnny lie in ~. cig'~rer~e excise tax is. I belie~'e, outweighed many tim~ by r/~e unfair bur~en~ imposed on all Ameri~ by the high mcid~nc~ of sm~k-Jng in OUr soeieSy. This [$ nc~ R !~artisan L~ue. t ~m- m~nd my colleagues ~n b~th sides of the ~.[sle wh~ h~.ve worked to &ddre~ thL~ m~.~ter both on the floor and in com/nit*~ ee. e~DeciaI]y the d~tin- guished ~enator from l~ew Jersey. ~n~tor Bm~DL~Y. and the distin- ~u]sl~ed ~en~tor from Rhode Island Seu~tor CF2.~E and I urge all my cot- lea~e~ to sappor~ thi~ sxn ~ent. Mr. President, let me 7err briefly say t.bat I think the ~rim~ry thrust of thv argtrmen'~ thRt tl%e ~enat~r fr~:n 192~ ~ de Isiand ~ made is c~ec~ tb~ L~ th~ the ewi~e~ce is c~erWhelming It is not excessive in ligh~ of the PAs- toric tax rate that h~ been imposed in th~ country. The 8.mendment shouId be supposed by t~e Ser~e. I ~ha.n~ the Senator for yie]dh%g. ~/[r. CFL~~E~. Mr. Pr eside~t. 1 thank the ~eRa~or fror~ ~ew ~k[~XICO fOF those ~i~e ren~%r~ The P~F~SIDL'~ OIr~qCE~. Who yields time~ Mr. DON[ENICL Mr. President. I ylel~ the tinge th~.~ I h~ve in oppo~/- tion to the dL~tinguisbed cha~rrn~n of the F~nance Commit~ce~ ~n~.~or pAC'X- WOOD. The PRESIDING OFF£CER~ The ~enator has that right. T~n5 Senator from Ore~om ~tr, PACKWOOD. h~r. Pr e~i~te-*t L let me explam the situation regar d~n~ the tobacco tsx and ~he Tobacco Pro~T~u~a in th~ r coon c'.liation bill. Admitted!y, putting zhe Tobacco Program into ~be reconciliation bill is unt~su~[, b~t iz is no~ unhea2d of f~r ~. CoR%.,~ittee [0 de~,] wi~h r~gtteI"~ In ~,/~- other ¢0narnittee's ]ur:sdiction when ~)r~viously C~DDrc~ved by the chafr~ll~n Rod r~mki~Ig member of the second conln~ttee. The F~n~nc~ Corn.mi~tee did it 2 years ~go en ~he Airport Devel- opmen~ Progr~. The Commerce Comrr~e, which had j~-risdietion over spending of the money. ~ked the Finance Comrmttee, which h~d juris- diction over the rai~ng of it, to ]pu~ the matter into reconcl]iation, At that time, the ADA1= Program h~d uniform s;1Dport "oy ~Im~ every- 0~ [I~ ~he ~enRt~. 'r~er~ w~ no s.er]- ous objection raised to the procedure because it had been requested by the ehR~lTaan ~und rankin~ member of the Conlltlerce C0~%~T~i~e. The ~?.~ce Coma~it tee did it aa an accommodation to ~he commerce C ornmit%ee. Th~.~ i~ OP.~ p~u~clenL I~ is ~ v~lid precedent. ~Nh~t ~he F~s~nee Commit- tee C~Jd then in%,o~Ved nothing more or le~ th~ul wh~t %he Ccrnmitte~ did by pu~ting ~l~e Tobacco Progr~n in the Fi- r~anc~ Cornm[%~ r~ci!i~.ti¢i1 pack° Rge ~t ~he request of the ch~irnlan and the r~ruking member of the Agri- culture Con~aictee. The preceden~ is exactly ~e ~me. ~/hy did We do it? We knew tha~ if, we at~cempte~ tO add ~r~y ¢ig~re.'~e t~.x ~0 ~. bl]l DB~sed by Zl%e HCe~Se. We would face ~ f~ibu~ter and we ~ould face • veto. We ~lso knew !{l~t the cig. ~rette tax explred ore. the 1st of Octo- ber. For theae of ~s wha ~n~nted keep the cigarette tax ~ I~s present 5Z 0013C,8

CONGRESSIONAL RECORD -- SENATE October ~2, 1985 the thousands of small family farmers WhO depend I~pon ~O~aCco for a SIib- . stand behind the agreement which ha~ been made between ghe Finance Com- mittee and ~e Agriculture Comml~. tee, We ~ave s~ruck wha~ we ~hink i~ ~. fair bar gai~l so that each aChieves par~ of what wo wanted to aChieve. Other- ~e. neither of u~ might have been able to achieve ~y Dart of Our objec* rive. 1~ ~ms perfec~ example Of the art of ~om DroFi2~ Therefor~ I would o~pose She effort ~f my ~od friend fyom Rhode Island tm incre~ the t~haeco t0~x t~ 24 cer:~ or to an~/¸other fisure tha~ may be suggested. I believe we have r~ken good ste~ for the c otmr~, ~ big a S~D ~s we c~lld have taken. I do not ~hink w~ coold h~ve p~ed ~he 16~ent ciga- rette ~ax s~Rnding by i~elL I think the tax woul~ have gone down to 8 cents s~an~ial portion of their incomes. _~h'. ~esldent. tobacco in all IL~ f of*ms h~s been. and r~mains, the ~no$~ heavily taxed ~ingl~ cons'urner prod- uet. If eigaret'~e ta%es are further in* e~ed. rngny e~gal'e[~e me2111f~.e[~r. re~te prices. ~dll likely turn to cheap, sub~idzed, forei~,n-~r~dueed tobacco. Th~ woU/d hur~ noc only our farmers. but a/so the U.S. balance of trade. In. crossed ~o;~ao~o ir~po~ wo~lld meR/i less U.S. tobacco purchased domesti- caUy. Thousands of small farmers coald lose ~heir m&i~ source of income th2ohgh thlS Ic~a of business, In addi- tion. our belt.nee of payme1~ts would suffer. veloed it standing ~/one In any event. We were able to add i~ to the reeon- cilia~io~ inr a~,o%h.~r reason, We coUSd also see the po~ibili~y of the Gr~ra2~- l~udm2.n amendment being en~led. We COUld see t~le need for additional Rudman amendment wall finMly be en~te~ i~ at th~ momen~ being d~ter- t~cd by a conference betvceez~ the House Rr, d the Senate w'itl~ members from ~ com~ittees in the i~ouse and thzee eom~u~tees in ~he Senate. On balance, considerl~g what ~'e hopefully will dO on the deb~ c~illng. the comBromi~ stx~ck between the Agriculture Comr~/tt.e~,+o and the ~i- hence Con-m~Mtzee is a fair arrange- mentinr~21concerned- If the U.& Congress further kn- I am fuIly aw~xe tha~ there w~]l be or¢~s cigarette taxes ~.nd ~.he maau- another time wllen we will again visit, facturers do not abSorb all or at le~t the i~tie of 24. 30, or 36 cents a pack part of an increased cigarette tax, the eigare~te tax. This is n0t the time or Lucreaaed l~rice will primarily impact theplzceinrit. Iwouldhopetha&tny individuals ~th loW" to moderate in- colle~'ues weald turn do~ the comes. A2though some groups have amendment of my good fAend from ar~.led thaZ the cigarette t~x Should RhodeL~innd. be incremsed becat~e a higher price The PRESLDL"qO Ol~ICEl~. Who would forc~ these consumers to smoke Yield thne? I~. I b~e':~ th~ m~% p~ple will The Senator from Rhode Islan~L continue to smoke, whatever the ec~t. Mr. C~. ~/'. President. I listed Personally. I do not smo~e a~d do noz ~th ini.eres~ to the ~ccurate'deSCrip- encourage others to smoke, t~owet'er. tion tile disfingUished ch~zrnan of the do not believe that it is soUnd public ~!nance Committee gave. but I do not policy to use the tmx system saa think he meant to give zhe impression m~r~ of dIctatk~g the smoking habJr~ that this is a bargain that everybody cf the individual. in the Finance committee wa~ In- ~Ir. l=residenL I ~2rge rny ¢olleague~ vo[ved in. Cert~.inly. Z ~ meyer L~.- voNed in ~ny such agreement. Indeed, to oppose this increase in ta:~es. as has~ been pointed out, I mad~ the Mr. HELMS addressed the Chair. motion for the 32 cents a pack and was The PI~,~LDLNO ~FFICEI~. Who defeated. BU~. tl%ere wa~ nothing thaz yields time? subsequently tr~Isalred that rn~y be~r. PAC~V;OOD. I Yield to the Senator from North Carolina SUCh tL~e ~a he may desire. - The PRESIDINO OFFICER. The Senator from North CarolL~a~ Mr. HELMS. Mr. Pres£den~. I thank t~e chaivm~ and I th~Jk the Chair. Ylrst. I Wi~h ms' distinguished friend (l~r. CIg&F~E) a happy birehday. I con- f,. however tha~ f hol=~ l~ will not be too happy when th~ vote is ~ken. The Senator is my good friend. ~e and I were talking a few minutes ~]2e ~I~12Hle12t here is not a~o~E rebec- or the mel~r~ 0f srnokmg. I have n~'er e~Rffed ~ ~g2£1nellts abo~lt ~a~loking a=~ health. None o~ my chil- dren smrJk~s and I hope none of my 8randehildYen will. Wha~ I try to brfng before the Senate~ Mr. Presiden~ L~ the prevention-of the livelihoods of s~rne 2~,000 f~m'n~ inmilie~ Who ~re d@pende~lt on ~h~ growii2g income they e~.~n by t0bac~o. As for S.~nator C~'S amendment. whert tL~.~ ~a~ ~eo. yielded b~ ~r ~ed br a ~ombination thereof, a point of order ~L! be ~i~ed. and f suspect It will be suaSained. Of course, the Sena- tor will be within his ldghra, to appeal t~e ruling of the C ba~r. Let me point ou~ that in my Judg- ment. this a~12dr~el2t ~ no~ ger~aan~ 5; Z0013 L erA! ~XC&~ tax on ei~tes fxor~ the 16 cents per pack DroWded for in the reconciliation bill to 24 cents per pack. The 16-cents~De~pack tax already represent~ a doubling of what current L~W would establLsh. A~ my colleagues know, the additional 8~ent~-per-pack t&x W~.S sohedtfled to s~u~et ~his year. However, the Senate Fip2.uce Coronet- tee h~ ~ropo~{~ a pef2Tl3nerl~, extort* sion of the ~dditional 8-cent r.ax, making the total permauent tax equal to 16 cen~ per pack. In SO dome, the eonur~ee al~ [i1c~:dd~ to. the reeat~4 cflla~i0n bi£1 a sect!on which ~'oUld aChieve a much needed ~a~d important reforn~ o~ the etlrre]~t tobacco pl~ce ~uppoft program. Incre2~ing c~gz~ret~e ~:ax~ beyoDd the Fccorflr/l~J2d~10n Of the c0mmis~ee, however, woUld hRve extremely detrLu~ental effect on

iOctober 27,, t985 • " CONGRESSIONAL ~CORD --SENATE S 13781 The ~obz;Cco pro~lon of the budget tlon therefore bec~me a package. I re- chance to sur~ve or whether 'xe are recone~ation hi]/ merely strikes the luet~ntly gave my support to the IS- October 1, 1~8~, datg. l~taLh,e to the cent ~2.x l~ exch~e for ~ refor~ Of so.called sur~ezttng of ~e ~X. The theprog:~un. effect of ~z~.~ng ~e date is to m~- I w~ll ~Ry tl-as, ~.r. t~esident. If ~'e Cain the Federal excise tax a~ 1~ cents, can ar~ompiish tb/s. I be~AeTe 1~ ~i.li b~ bu~ th~c amount is not mentioned. H0- the last t/me Lha~ at le~t th~ Senator where fs tl~s legislation IS ~here & pro* Will be on th/s floor txY~ to referee ~Mon which spec/fica$/y se~ the tax the Tobacco Pr0gr~ I thLnk th~s ~fd a~ 16 cents ot 2~ ~y ~iher level I~ L~ do the job becaP~e it lower~ the sun- my mn~2er~bam~mg t~t t/~e oaly port ~r~¢e t~ below the m2.r~et !evel :~]ei2d~2~n~s Ln order or~ :~ b~/d~e~ l'~co 8~ld ~he ~xce~ pr~oe hs.~ b~n the onciIi~ti~ b~ll ~2e those to s~2ike or to c~use of the problerm So I thimk it is ch~.~ numhe-ns aad dates or to l~m/~ bmpor~nt t0 emph~lze the benefits or r_~sr21ct the s~ope Of the D~V/SiOD3. o~ nlaint~i~ing the ~obsmco package i12 This araen~e~t to lug-ease the ~1.-( it3 entirety, umamcnded ~nd tmm.odi- ~bove 16 cenLg adds new pro~%Mons to f~d~ the bil feather than striking ~/~e entre Th~ agreem%ent Lh~.t is the basis fo~ previsions, ~nd does not ch~mge ~- the t~baccu legislation is a finale.ned. ber~ or change d&tes or lim/t or re- deUcately ba/anced ~nstrct~enL I~ IS ~c~ the ~cope of the pro~dz/ons. In t~he product ~t months of v~x/ous fac~, it coldd be ar~aed Zh~t Lncres3i~g mad constant ne~oti~io~.~ amcn~ the She ~ax ex~K~d.~ oy bro~deDz ~.h@ ~:~pe ~fowe~, r~6. ~l~et~ r~A~ufRctur~r~--- of the ex~tln¢ excise tax provision. "everybody across the sl:~ctrum. If ~O, when the time ]92£ expired one a~nyone here t~|t 12~.~ been e~y to way or the o~her, either by y~elding 1~ b~k or usin~,- it, • l~mt of order cer- talnly ought to be raised n~/ns~ thi~ amendment, perhaps by the distin- ~UShed chairm~n of the Cou~.u~ttee on P~n~nce or the di~in~ui~hed chmr- m~n of the ComZ~tte~ on ~he Bud~et-~r I ~h~/l be glad ~o do it. Prelunm~ry to tha£, Mr. !=resident, on behRlf of the app~x'~nately 20~.000--some esth~. &fez are (h~.t ther~ are r~ many as 300,00(]--~obzeco fa..'rn- e-'~, I l~.Ust o~*~ose hi~ 8~lendD~e~t, ~%3 the Chair ~l! rec~l], i~ w~ my zmend- men~ to the Tax Equity and ~s c ~/ ~e- s~on~ibLhty Act of 1982 that called for the temporsry 16-~en~ Federal ex~t- ing tax to suP~et back to its o~i~m:~. level of 8 cents on October I. 19S5, T~lere~ore, it is somewhat Of an ~*iom. ~ly for me to ~o to ~OB PACI~W'OOD ~ I did a/Id dJe~ss the srran~ement that, v/as eventu zl/y Klrlved ~L The ~tln~ ~rovision which- I added to that 1982 act w~.~ ~, ~sitlon to which I w~--s c~t~d. I felt ~h~t t.he ~unse~ shou/d ~e place. ~U~ tnne ~)~.~ses ~nd el2~/D~stan~es ch~2~e. H~re in 1885, I find myself repres~ntLng juss ~bout every~)ody conce-'ned in ~erms of ~he Drodu~on of ~ob~.cco advo~aling that ~ m~m~e¢ provist on not be hnpie- mezlr~e d. HAvin~ snJd ~h~t ~ President, iX the repeal of the m~ns ec prof.,/on %ve~ lJke/y he t~nsidex~d ~d the concez~ w'.~s to ~void ex~ended debe£e, we ooll- eluded th~.t tob~-~o ~TOWerS deserved some degree of pro~e¢~ionlr~m the ~.d- verse eff~ ~f the ~.x iucr ~e. It wss fei~ that the ~ost aD~r~Dr/~te Way achieve th~ w~a ~o ~end ~he Fb~-n~ C~imi~ee recor~t~.tlon package to Lndud~ our tobs.cco ~r~gra~) Drov~- sio]33 ~.~ ~. CD~I~IdO/~ m~dre to the 16-cent per~ne~ tax. Tha~ was e~ tir ely fair b e~u.~e ouz ~"~gn~ were ~- tended to estabUsh ~, diree~ ~e be- twe~ the ci~A'et~ ~_~ In£Tesse ~d. ~enaLo~" PA~W~2OD l~S elo~'AeIl~ expla/ned ~, the ref~rnl of the Tobac- co Fro~r'~s. The 16-ce~¢ e~L~e t~.~ the To~-mzc~ ~r~ ~d£f~- br~.~ KU these people together, let me a~sure ray ¢0llea~*~es it h2.~ not been easy. We cotmted up not i~g ag~* ~nd~ s~nce the fL'~t of this year, I h~ve Der- ~ on ~dly been involved in oTe~ 100 meet° L~F:~. cordoned, studies. S3]d tele- ]~ho~e cs.l~ o~ an h21~or~ant n~.$ur~ c OD~.~TJ/2~ tl~S refor~ of the Tobacco Pro~ram. Many of the par~ioiD~-n~ in t.he development of t]'/~ package have been d.~ggcd k~ck~'lg ~-~d ~cre~rnl~ toward wh2,t We h~ve now. The ~olnl~ is th~ I do believe that with rare e~- c~pLiom mc~ Deo~!e u~derst~nd this is the er/y ~y that we can ;~reserve th~ ]/v~lihoods Of th~ people ~ whom I ~n~ interested, q-n~t i~ the ~rol~p Of up to 300,000 t ob~cco farmers. C~lrette ~s/%tt~ct~re~'s h~ve i~l~de cleSx to me ~hat they ~11 not par~.ici- pate ~ the buy-~uL of the SUrpl~/S stock~ in st~bfiizatlon if the gigurette tax goe~ ~bove 16 cen~. ~o that blows ~/s ol~t of the ?.~ter ~ ter]21s of ~v/r- lug the r~formm that glv~ ~ any h~pe Of restor~on of ~ subst~ntl~/ ~ort trade ~nd ~ the other b~nelI~ to our economy. ~o I have to fight ~s beat I to Dyeserve ~h8 D~ck~ge ~h~t Sei2a- tor PAC~K~'00D a2~d o~he~ ~d 1 ~.2.ve worked 0~t. Let ~'~e S&y here 8~d now th~lt ~ g~ateful to senator pAc~rwoo~ for ~U the coo~er~.~io~ he h~.~ ~'~ver* us. "I'i2e bu:;~ou~ L~ an Lnterdependent p~v~ of the Tob~co Pro~ reform. T.he ne- ~tiated package weu/d be severely d~ged if the comp~nies were forced to t~Ke & w~/k a~ z~ r~.~l~ of the tax rK~e of 24 cents. One more poL'lt ~J'ld I sh~!l eone!ud e and let the others speak~ Every s~ep of the ~-ay I h~ve ende~zor~d ~ act Ln good f~Rh, and h~ve. SO ha~'e those w~h whom I have dealt, and not ~.I1 of thema are entirely fr~endly ~ my pos~- ti~ NO~ all of them are entirely f~iendly toward m~ p~tior~ kll~ wher~ we .h~%'e dJs~gr~e~ we h~ve ~.%'reed to ~./s~gr~ 8.gree~b~y, ~o we come r~ ~2~ point .q(~w wher~ w@ ~e gOL']g r/) ~x/r~ over tObRC~O ]2~d;~C~ioIl to fozeign producers ~:~h a!! of [.~s L~- ~l]cations. .~fs.n$, press re~orts, including uhe W~shln~on PO~L indicated ~ome th~ back that the Presidvnt was going to veto the 45-day extension of ~he ci~a- rette tax. The President end I had conver~t~on, znd I am grateful to him for hL~ ]udB2nent that he OUght to go a~ong with that exte~.~on. Now, ~he PTcsident has a/zo--amd I ~/ ~7 this because it ough~ to be • mai~er of reCord--gone on ~ublic record as being Ln¢lined to veto even a Dern'm/2ent ex- ter~fon ~f the cig~met~e tax ~ the cur- rent level of 18 cent~. Now, if he is going to veto *.h~.~, Wh~.t ~II he do tO Senator C za~/~'s proposal to elevate it to Z4 eels? Now) I c~m-not ~ ~ nc~ ~sk ~h~ President to s~gn ~u~ng greater than i~ cents, Another remson why the tax should not be increased Is t~ ~he budge~ reconciliation package is already ~2.S billion over in ~roJected s~_ving~, Now, ~r~cr/ve t~rget to make up any short- c~ming~ in rev.~nue, but ~ccording to the statistics avai!able to me the Senate i~ living up to its obligation without z.ny added t axatioI~: ~nd we all know how ~he President fee!~ about I do than~ ~he Senator from Oregon for yi¢!ding to me. The PRES~IN~ OFFICER. %~Jho y[e!ds ~ Lrae ? I~I~. pAC]~*V.rOOD.~ yield such t~:~e a~ the Senatc~ from Kentucky may Deed. The PRESLDI~G OFFICER. "iq:e Senator from Kentucky. Mr. I~ORD. I~r. PyeSident, I thank the distinguished manager of the ~ill, the Senator from Oregon [Mr. PAC~- WO~D], for allowing me ~o have some t~*me to ~ on this fs.sue, "~nL~ is probably one of th, e most lmporr~J3~ Issues t~ the con.~kueney that I rel~re- se~t~ I~ LS a~ important to my State ~s is, ~o the d~nguished Senu~0r from P~ode Island. jeWelery ~nd silver and S~ver pI~e, ][ ~ S~12~ he does not wsau~, a tax placed ~n thos~ Just a~ I wan~ no I~dditiomfl t~ on cigarettes. Bu~ let me ra~ke a couple ef ~oint~, if I m~y. Mr. P~-es~den~. We have worked on tl'ds Dackage for ~ year. Many fine peoD!e in my S~a:e have traveled from ~own ~o to~n hold meet- Lugs on this l~ue. Our farme~ h~ve pitched Lu and hm'e b~n able to hire some peopIe to help pet some lem- ~l~ge tog~'~her thaz WOUld ~e ~e- able to ~er~ They h~ve come to- ~ther ~ith manufacturers. They have s$~rlfk~d t~ th~ niece of leg~l~tion that we a:e hop Lug to pa~s as milch ~s any group of people in this co~/~ .~rI. They tunde.~mnd ~h~t thm~s change. They understand th~.~ pe~.ple h~.ve to ~'~mg tm deelde whether ~he 250,G00 $o give and to sacrifice. ~u% they do rot 3~,000 ~obacco fa~erz ~q]l ]~ve ~ h~ve to give all thell b1~d. 5BZ001370

13782 , CONGRESSIONAL RECORD -- SENATE October :72, 1585 Let us lock at what we are attel~p~- ~'Ir~t, ~e h~.ve increased the basic Tobacco price support progran~ a¢- ing to do w~th this amendmcnL I think the farmers, the ~Powe.~, ~nd the m~.w.ifaoturers I%~ve arrived ~.t ~2 asreement. We reduce the SUpDt)rt price approximately 3~ cent2, & poulad. Thax is ~ goo~ ~.nd substmatiM red~c. titan. T~'o, we have ~rrit'ed ~ ~ ~Agr ce- ment to elil~nate the surpltus of to- b,tees ~er ~ period of time, Three, we h@.ve ila my opild(~ia allo~%~d aDproxi- mtt~ely $2 billion to come back to the Commodity Credit Corpox-a~ion, The GAO said that this bill xvou]d ~&ve. from the tlme of its enactment in th~ fiscal year. in 3 years $235 million, o%'er 5 year~ it ~'otdd be 8~00 mellon. A~d four~h, we ia~ve impOsed a new ~X 0]% st~okc!ess t Q~8.cco. }For all practical purposes the addi- tional 8 c~nts is a new t~.x becaume i~ should have ~unsetted on September 30. The :President ha~ ~en{. word 1;/~at he L~ not very happy with ths.t ex~en- si0n, bu~ hopeful/y if we can hold it a~ 16 eenr~, the companies then ~211 be part of ~l~e ~.w:eenlen~, $nd ~tle ?e=~la* tion w~l b~come laW. We mu~t lOOk at tha~ sraa/l fanaer, -~r. President. W~ talk about damag- ing Ii~le peo~le. ~n my ~ta*e, there are approxtmately 101.000 small farm- e.,-5 wi~h all avocado of thr2e-qus~el~ o~ itn 8.cr~ of tobficco--tlaP~-Q~rters of :~n acre, Think abou~ tha~--~ small ~m~II piece of income. And we ~.re s~.ylng here today ~h~t We not only W~It to iI2creflse the tax to ~ce wh~t we ~vei¢. we wai~ ~o ir?cr~Rse i~ ~22r~ times. We are sa~4~ng to tb~t small farmer, who asks very Uttle but pa~s a 10~. to go out of i)tashaess. Oh, we oxe ~oin~ ~o hear tb~ is fDr our heallh, bta~ we at@ tlot ~r~uing hea/th, we ~.re arguing tlie ~urv~val of rsbt~Cco $.nd the cost. due to increased taxes, the I~ purchas~ af durnestiC ]eal. Let me say this to you, Jolt. Presi- dent: If this legi~la~ion is defe~.t~d-- a~d it ~ill be defe~ted if we increase the t~x beyond 16 cenL~--there wfl] be .no Tobacco Progr~trm Just think ~ou% it a little bit. All tha~ mu~plus will belong to the Goverrmlelxt ~2xd we call get rid of it the bes~ ~ay we can @.t a. c~st of $4 bflllon. When you c~.n grow rob@coo fror~ fence row, ~0 ~e/Ice ~ox1~, a2W a~notln~ that¸ ~'ou v;KIl~--t~er~ is nu limatatien--th~ cost is going to go down. R'O~ can buy generlcs now. Oh, ~e have been told on zhis floor today Wha~ c~st, cigarette smo~Lng h~ been ~0 the t~xps.~e~ through .~:~edle:are al~d ~tedicald. Well,-le~ rae ask this quest, ion: if ~he heaisll groups ci~i.~l tha~ ciga:ret/e sr~oklng has cos~ the tax: second, ~'e have taxed smokeless; third, we h~ve reduced the ¢os~ ts the ~eder~l Government. and hiur~h, if ti~ ag?eeraent is ~'lot held, then ~;e S~'e ilo tob~co pro~. OUr f ~l'~ep~ wfli vote i~ Out...gli of ~he cost~ o~ the sur~lu~ tobacco will be borI~e bF the ta~ay.ers ~ ~. whole. We hi,re g prO- po~l~l to work i~ o~t and to save a~ lea~ $3 bilifon--at lea~t $3 billion, Go to the GAO report, ~he blue boo~ le~ me read from the Comptrol- ler General's report, Ig say~, as it re- latas r~ who would "0e paylng in the future: B~use a prog'ram is no longer in effect, any I~es on ~ t ol~eeo. ~o ~he extem not OffSet, By ~r~%'io~sly collected ~essmerlI~, ~.roUld be ~md b~' r2~e taxpayer. Should flue.c~red ~.=¢i burleF ~roducers ~L~o decide ~.gzd, l~t approving ~ pr~gr'a~. ~het~er in re~p~e to a~ incr~ed ~c~p men~ or for ~ome ot~er ~a~ lut~e o~- ~e~ment~ ce~d not be placed u~*n them, umd t ~xpaye~ ~ould be liable for may losses that occur on nue-~,~ed ~n~ hurley tobacco ~r~def lomb. SO if you begin to look I~t all the facts mad try to ~2/*dersgs.lld t~, we have offered a whale of an opportunity to save ~h.e taxpayers money. Wlay kiIl now? We tlave come more than half WS, y. S*[I~/lOW yoI2 wRnt tO ~0~ th~ ~-K on the little fellow, tile th~ee-quarter ~f an acre small f~er. 101.000 Of them tn m~ Sm~e. You wffi ~tand up and ~quea/ pretty good when we offer a 2o-percen~ tax en some .,c~eir~ and ~Iver ~'~ Silver' plate. I can hear ~he z~ueal$. I can hear everybody sa$~ng, "YOU csn't do th~ tO u~. [$ ~ otlr maiD. ir*eo]~.e" Well ~his is our n~Lo incor~e in oLur State, e~peci0J/y in the rural area. I implore my colleagues: Let us not go this route. We have m~.de ~n agree- menL Ih is good for everybody con- ceraed. It hurts the farmer more th~n an~'bod~' else, The grower is hurt more than ~nybody e~e. Ye~, we keep want- kng tO do a little more. ~U I have hear(1 toda~ is "fan~ crisis," "in dehg." "hard ~h~eB." Yet, we stand on ~his floor and ~ttng to put a little more hard tLmes on zhe little feliow in the f~rm con'daunit y. t yieid the floor. l%¢r. PAC~WOOD, Mr. President, ho~" mu6h time do I have remaining? The PRESIDING OFF/CE~. The Senator has 30 minutes and 51 ~ec- on~. Mr. PAC~'~VOOD, I yield 8 minutes to ~he Sem~.or from Nentueicy, a~d ~hen I ~all yield to the Senator from Virginia- taxpayers S4.2 bfl]ion through ~A~edi- /~r. ~cCO1TN~ I thank the Sena- care ~nd _%~edfcaid. th.e total co~t to tot f/~m O~egon. the chall2nan of the the Federal GovelnmenL of M.edisa/d ~t~ance Cnmrnlttee, and. I thank ,%rid Mecd~re Programs for fism~J. 1984 esDecizJ/y for his ttndersta.nding and ~.'~ approxinmtelF $82.5 billion. If to- cooperar/on in tills most Lraportant t:~cc0 t~se,-s "amoLtn~ ~o o~dy $4.2 b/I- iszUe to ~. number of tob~ec0 S~a, te~. lion. tha~ c/early raeazm ~here must be As m?," eo]/eague from Kel%tucky has ~. group OLIL there respo:b~ibie for a, said very e!oQueIl~ly, whet* you ~re l~rger pare: of i~. . talking about tmba¢co ms it. rel~.tes to /~ec me ge~ doWr* to ~he ~oiu~ chg&t is /Cen~uok~, .~u are r~'l#ft~ s.bott~ ~he ~o hnport~nt--the pack~ge: b~is o/out econo~ay. count for more than 9 percent of the " lobs in the State of Kentucky. The to~al cash flow of Kentueky'~ tobacco crops exceeda $I billion. Indirect bene- fi~ from this crop amoun~ to Over $2.5 b]ili0n. Fully $ percent of Kentucky's ==ross Stat~ product is dire~tW deper~dent on eonthiu~ton of the q['obacco llrograrn. Just ~ i-perc~nt ios~ itl tobacco output causes ~ 10ss of 545,000 Jobs and $25 million to K en~ucl~.v's economy. LO~S ol the Tobacco Progra.tn would . cutme ~ ~ec!ine of over $1.5 billion in farm/and values. Fu/iy $130 n'J/iion in State tax ret'enu~s is ge~le.'t~d as ~t dire~t r esu/1: of thlS pro granl. K~I1tuck~ county g0~'~r~e~t5 would lose $50 rcAlllor~ in property t~x revel21tes without ~. Tob~,cco Progrsy~. This less wolald be partieo/arly devas- tatlr*g to IOCal school sy$~:em~, county services, ~nd ~ount y roads. O~'er 150.000 Kentucky farme:s prodnce tobacco, snd 250,000 families ~ha.re in ~he proceeds. It ~.ffec~s 5¢7 percent ¢~f ~entue~F% 3,8 mAllion oitl- zeDs. Over ~wo+thirds of Kentucky's fS.IT~el~ de!u~d ola tobacco prodLtotion for over 50 percen~ of taheir gross This is even more s~gnificsmt when you realize tha~ 75 percent of Ken- ~v.c~.~"s farmers h~ve ne~ £~ ?i2corn~ of less than $10,000. Tobacco produe, tlon aceount~ for 12 Percent of the em~ plo~Tnent Ln ~entueky's 10 poorest the ~entuck~ aveI~g~. F~Ta Supply dealer~ would be devas- tated, as over 40 peI~e~ of gross S0.1ee, ~ze ~]~.t ~d to ~obacco produc~on. On a eoLmty level, the l~ of the to- "oa.c~0 prog'TS,D2 iIx a I:iloder2.t~ tobacco county would account for ~ loSS of income roughly eqL~/ tO W'b~ ~he new General Mo~ors factory is expected to brlng ~ SDr ung Hill, TN. },~r, President, I tl~nk that puLs the i~utt in Derspect~e in terms of the hnp~t of this crop or, Kentuqky. What are we talking about in this debate? The Issue, I a~ure Senators, is no~ smoking. YOU can e}irnIp~te the tobacco DrO~'~L YOU can r~ime the cigarette tax, as ~he cUst ~nguia hod Sen- ator from ~.hode Island ha~ suggested. There wall ~U be smoking. Wh~t this whole ismm is related to is ~he welfare of the farme,'~ of Ken- ~ucg.v, North CarolL'2a, virginia, Ten- nessee, Sou~h Carolina. and neighbor- mg St~.tes. who make s. slgxlificmnt ~u~ttnt o~ their income fror~ ~rowing this legal er0p. There is ~0 gOOd alter- narJ.%'e in many part2, of our State. in the eastern par~ of Kentucky, wher~ the hills 0axd mountains are iotund in vLr~ually every e~un~y, there is not much flat la.~d. %Vhat cma you do prof- itably on on.half am'e? A~ ray dlstingtdshed eelte~.gue front E~entuck.v [~enator PO~] pointed out, the &verage siz~ Df ~he tobacco ~llo~- m~,~ ;x~ o~ ~£~.£e is abou¢ three-quit. ~ei~ of ~/i ~r¢, a.xld ~ ~'e mueb 5Z 00137

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S 1:3";84 " " CONGRESSIONAL RECORD -- SENA.TE OctoSer 22. 198J !!shed m ~he other body. Our actiol-~ ~x~ and r.o~ iL is ~ime for the eflect what [~ does i~ ~o pena!L~e ~l~e That ~ ~. nuclei! ~ wh~ ~ob~C~o fa~inK~n~u~ydepend~iL i~gi~ia~lon is ~c!uded h~ ~ budga~ deii- ~i~ ~LL~sioI~4 ~lII. ~r~ ~X~ some o~her kssues ~volved ~h&t should b~ addresse{~ here. ~TOklp~ t~d the t~bacco m~u~&~b~et~ that L~ ~e ba~ts for the Tobaec~ I~c~ gram Impro~-emen~ Ac~ of I~85 is an long anck dt(~i~l~ neg(~on leot t{~ ~l~i~ &~xeem~n~ ~nd ~LI ~f the l~**~s ~he~'eLtI are critfcal to t~¢ ~ho1~o I~ one sh~gl~ l~al't of this &~eeme~ ks changed ~b.s~&ntfall~, ~hen the p~o~- L.~[ i~- cite o~e- ~x~ic~]pl~. ]~ll-. ~/-e~- dent, o~ ~h~t I m~mu A l-cen~ ~- crease in the c~g~ ~x tz-a~sI~.le~ re~e m~r~ttfactu~s. ~c~ wh~ ~i~? sales ~olnme co~t~ bi]1~(ins o~ doIia~ in means th~ m~ I~e~tuc~ f au'~JF f~m~ ei~ ~l} be- !otced ~o ~ca.nt~.t!y reCILk~. ~1~ir ~.~r~e o~ tobB.coc~ at I~ tim_~ whe~1 ti~efr back.~ ~re a~re~d~ l~e~cl le~s t(~t~cc~D. As ~ res~]~ of ~.he the i~,clinat io n. to spend ~he bii~io~s o~ dO!la:~ which ~i]l be req~i.'e~ t~ ~r- ch~se ~. billio~ I~ounds of ~d~]~S tO- tO ~a~'~q~t e i~ t~ invent o~" bt~'out. which is an in~eg~ par~ of the a~Te~ ment. I submit to my coIIea~e~ ~h&~ b1~ ~nd the t~x~ayez~ will be left h~Idin~ the bag for $4~ bl] llo~ woI~ o~ tobacco. be made adch-es~m~ th~ l~Fk~ is~u~ I ~co~m~e ~ba~ the heatzl~ ~oin~ to gn awa }'~ 18u~ I think I I~ ~k'c} to eotl~a~e~_ peOl~le a~e gOL~@~ ~O ~UZO~ even L( t~e~ ~ ~ • viab}e t~bacc~ p~o~tam. So the real issue L~ no~ ~he~ze~" peopI~ Will ~ont~ to SIil~ ke S~at~ or by h~nd~eds o£ ~ho~sand~ o~ arc~Ii ~amfly ~azme~. As ~ matt~ ol econom~ and s~eial policy. I pre~e~ to thL~ t~e latter is deniable. In eo~c!usio~m Mx. l~es~d~r I ~uld ~e m~' collea~ue~ ~o ~jec*. any ~t- Mx. President. i~ Closing. I s~hou!d like to make one othel cbseF:~i~, i am e~rdiden~ ~13~ ~here ~7~ many here toda~ who s~pl}or% ~he C~ee a~nendme.~¢ a~d be~ev~ ~h~ a~ L~4 the sta~Lstics, yo~ tmm~diat~ c-oi~c!~- sio~ k~ th&t i~ mi~h~ ~erBely aYSec~ has levele~ ou~ I venture tc~ ~i~ t~at what ~ re~lly h~p~.e~ L~ ~ ~£~o rett~ ~.~ |~ mc~e'~sed, as tJ~e dJ~zkno ~L~ed ~en~a~ from l~de I~le.~d would stm~iy fled ~ Way to ob L~in ~.~e tob~c-~o rn~_-i~ ~e~p]~'. That is. i~or~ additional tob~c'¢0, a~ the "~cJ~- ~is1~d ~a~a~ o~ the A~c'o$.~o.Te Commi~.~ t~e ~e~a~or f~r~i~ .~*orT2~ Carolina. k~low$ in order to ~io the~ ~'~fi~ recap.in; a~d ~he I~_~ l~er Ca~nIir~ ~e~n~cl~y. vizglzda. ~Eer_nes- see. E~-~ C.~rtfl.in~ and o~her Sta~e~ To ~:ive ~ ~ew s~.tL~tie~ along th&~ line. dI~z~.n.~ tJce pe~od o~ t.~ 8-cen.~ o°5~4 mJ~ior~ un 1984. D~tng ~e £ame ~.e~d, ~he col!e~ ~Lbrley a~c~ ~ue-c~zed tobacco was re~ d~d by ~er SO0 rnJ]lio n p(~ ~d~ or I~-13~.-~13t CI~(%-~e L~ ~he ~.o~J~ o~ tobacco th~ ~.n individ~l¸ ~'er ¢c~Jd ~.lan~. • Eve~ v.~th this ~i~,~.~ z'~:~on ~21ue-¢urec[ tn~ea~ed by ~T~ ~i~ioz~ • I~{I ~0 mCIto~ !~otmd~, r es~e~cively. eLsewi~e~ to b~y cheape~ tob*zo~o to re~au~ their pr~fi~ mat=*'zr~* Th~ !m~r- cha~e o~ foreiR.~ toba~o ~nd Lb~ 1.~o~e Iz~ve~t ar$ ~tock~ v¢fil m~dat e ~ Lbe ev¢~ thoL~gh cig~r~tt~ ~r~dtl~io,~ not d~ol)I~ed~ ~mc~ I~ beL~.g p~u~'~ ~md • r~re ~*obaeeo being Lmpo~d. [~tlz~o~ L~ ~¢rvec~ by e'xtendin~ ~tn~ ~a.~ be~toncl th~ l~ee~t le~'eL I hope I~ ~de ISLT~ d will ~ de~eated. tempt Lo dLsm~n&le.th~ a~p~ez~ent. The P.R.~SI35~G OFEIC~. Who The p~ti~ oi the bobaeo} f,~nE1~" h~ve ~ y~elcL~ time? ct~l~l&ye~ Lmpreeede~ted ~mt~ to .~,~r. l~AC~07OOI). ~I]t. ~'e~iden~, I reac~ Lh~ I~oL~ and [~ ~ c."it~c'~I ~h&~ yield 5 m0~t}~e~ to L~e ~e~a~or L~m ti~.~ en~ir~ a~reem~ rern~irt ~ Vir~ia. Th~ Senate- Eilm~.ee Commit~e~ ~..~s I~Ir. W2~I~. :Mr. P~si~er~. I reac~ea • ve_~ re~:~bl~ comp~mi~e th~]d~ IJae di~iz~.u~hed ~en~tot I~m grower~ ~d c~mpante~ hav~ ~ea~hed ~ ~ ~r_ ~ide~r. I ~ blink thL~ t~ 0t1~h~ OLlt b}" the ~WO dis~in~dfsl'~d Se:zg.cors %rorn Kentucky, a~d falls dh'ec:l$" on I~ u~ha*~e ~.~i e'~- ¢}~aret te~. The a~luei".~ L~d~vidua2s will ~cceI~ ~h~ ~x ~d i~ will :~ot ~ffec~ ~le£r l£fes~yles wh&~<o- ever, bt1~ thL~ ~x will direc~ly l~p~ct It ~eem~ to m~ ~hLs i~s~e wa~ ca~ f~lo ly resolved i~ tha FLrmnc~ C(]romi~t~ and ~'e w() uld ba well ~dv~ed to, l~&ve it &s ~ w'~.~ decided ]~y tha~ c(~rn mi~ tee. The PP~ESIDING OP!~IC~EL ~-no yie!~s ~tme_~ t~ PACIC37CO GD. k~r. Pr~ident, let me jus~ &sk this ~ne ~esti(~n. I ~old a13-~ady. I do i~o~ kI1o~r il the Sen~.Lor from New .Te~ey i~- read'.t to s~e~k- ~iml)ly want ~0 ~ind ~u~ i~ ~I~.e ~en~tor w~.rlts ~0- g~ ~or~ Or ~fter ~he Senator ~o BE~AI2L~3£_ I ~ill gc~ .~ftcr the 1~r. I=ACKN¢OC)D. I yield 5 mL~utes t*D t~e ~iis.+~¢Ji, ~i-o~ T~ r~ ess~e. The ]PR~SI~I~TG O~-~PIC~. T~e ~e.n2.t~r fiord. Tenne~ee is reco£-/LL~eci *3~r. SASS~I~. }..'r. P~-e~ident, I ~ha-'Lk ~-. pr. e~f de:~t* ~ st ron~1~ ~]p]p o~e tlzi~, c~g~t e~. ~ my col]e&~tles have !ndi- c~ted, the aiT~end/~eZlt before ~ ~o~]d 1~ein~ o~ these ~homsa~c~ 0~ ~m~JJy f~i'~is Se eL~s to ~e loss on the ~1~i3.ot-t - ~LL~ clear to t21(}$e o~ U~ who l~P.v~ ~o- bo.cc 0 ~a~Tne~ z~ ouz home Sta~e. If% my 13om~ S~.te o~ Tezii~L~see, we have ~0~ 38,000 ~arm~ o~ ~¢hicl~ t(~ ]e~e~ usu".~IIy a~soelat~ tob&¢co with ~es ~ch a~ I~e ntllc[~y or t~e C~:oli- na~ ot Tennessee or VirBinia~ i~ is • worth notin~ th~ tobacco L~ ~'. 0 wl~ i.n 17 States. FT0~ iv[a.~s~cbu~ett~ a~d ~or~3ect icu~ ~o Wisc ortsLn ancI Indlar~a. ~zo~} %n31 tL~d tobaccc~ ~a~T~ers. T~ b~cco b~Li1e~e~ I~I~os~ L~ C o~nt~y_ The £mportance o~ tob~cc~ ~ ou~ ~tiorx'~ fatmer~ L~ ~ee~ L~ the fact ~ha~ ~obaeco ts ~sua~ly ~he Si.x~ LT~- e~ ~ CZ~p L~I tSme~ca. I~ 1983, ~o- ba~co farm ~ale~ totaleCi $~.4 bilI~n~ 4.~ perc~ o£ 311 arol~ ~ale~. for that ye~ and 2.~ p~cent of the va.L~ ~r ~Ii ~m e~mmoditie~. Tobacco ~.nc[ to- bacec, produet~ addeck $~.~ bi111o~ to the ."T~.tiol).'$ ~i-0~ i1~on~.1 1~rocti~ fn 19T9. ~Yoe Depo.~T~ue~u~ of A~i~m~It-&re ~po~t.~ t1~t. bo~h dlreeilv a~nd i~d{- tecta, t.oh~cco ~.~r~ete.ce~ ~ ~iEon j~bs. $30 b&]].i0r~ i~ w~e~ a.~c~ ~arni~.~s ~.nd ~i~ bLlIion in. ~apit s2. i~,ve~t m e~ per },ear. IS ~.~ ~o~ a.~ thov~h th~ tobacco farmer ~ ~h~ ~h(~ se~} t~o 5 2001373