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Draft, Sp17 - Dr 2, Briefing of Gerald Long, Chairman, Executive Committee, the Tobacco Institute, January 20-21, 1988, Comments, Samuel D. Chilcote, Jr.

Date: 20 Jan 1988 (est.)
Length: 47 pages
TIMN0283614-TIMN0283660
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snapshot_ti TOB11506.45-TOB11506.91

Abstract

This talk (given by Samuel Chilcote of the Tobacco Institute in 1988) was a briefing for the chair of the Institute about the progress the Institute was making against the anti-tobacco movement at that time.

In the talk Chilcote expressly states that the "primary mission [of the Tobacco Institute] is to defeat legislation."

He describes how the Institute successfully "defeated or postponed 93 percent of all the bills we faced [betwewen 1979 and 1987]...and 95 percent of those of major concern."

Boasting about how little it cost the Institute to avoid such legisation, Chilcote states,

"...[T]he total cost of dealing with federal excises last year was less than what our members pay every three hours in federal excises....[T]he cost of dealing with advertising restrictions in 1987 was less than the industry spent in a few issues of "People Magazine."

Chilcote also states that the Institute gathers extensive intelligence about anti-tobacco organizations, including the sources of their funding, their internal organzation and internal disputes.

Perhaps most interesting (and significant) are the statistics Chilcote recites to show what the Institute wase up against on the public smoking issue. The statistics show astoundingly strong national support for public smoking restrictions, even at the workplace and even among their own customers, smokers:

"--In 1974, 50 percent of the public favored restaurant restrictions. It was up to 81 percent in 1980, and by 1984 the figure was at 90 percent.

--Workplace restrictions. 55 percent favored them in '74, 62 percent in 1980 and 75 percent in 1984.

--Among smokers, four years ago 64 percent favored workplace restrictions. 83 percent agreed to separate sections in restaurants. That's 83 percent among our own customers four years ago.

If you were to think about these numbers, and read the newspaper, you might fairly assume that there is no place left to smoke in the United States. But the fact is, our legislative track record is exceptionally good..."

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Our primary mission [of the Tobacco Institute] is to defeat legislation.

From the 96th Congress through the first session of the 100th Congress...1979 to 1987... we faced 200 bills of major concern...and another 383 of lesser concern to our industry. All told, we defeated or postponed 93 percent of all the bills we faced...and 95 percent of those of major concern.

...At the state level, since 1982 we have faced a total of 2,420 bills and have defeated or postponted 85 percent of them. Locally...the numbers are not as good. Of the 1,181 county and municipal measures we have faced since 1982, about 40 percent have passed over time. While this record does not meet our standards, it should be placed into context. More than 80 percent of these losses involved smoking restrictions...and better than half of those were confined to five states: California, Colorado, Texas, Massachusetts and New York. Overall, half were in communities of less than 50,000 population and of those half were in towns of less than 20,000. Leiglsative success is rather easy to measure...you win or you lose. Public relations activity is far harder to assess. But, if the objective is to gain public support for our positions, we can look, once again, to tangible results. A very wide assortment of non-tobacco groups now routinely speak out on our behalf on every issue we face. They testify at hearings, write letters to legislators and to editors, hold press conferences, provide intelligence, help us expand our ranks, and some have even helped fund our efforts....Our allies include labor unions, farm groups, veterans and active military associations, racial and ethnic minorities, fire fighters, the ACLU, publishers and advertisingindustry executives, retail and restaurateurs, chambers of commerce, consumers, and even some health care groups. Our success in this area is an enormous frustration to the anti-smokers...

...We look at ourselves as an investment. We know that the total cost of dealing with federal excises last year was less than what our members pay every three hours in federal excises. We know that the cost of dealing with advertising restrictions in 1987 was less than the industry spent in a few issues of "People Magazine." No one knows what it might have cost this industry to deal with self-extinguishing cigarette regulation in even one state, but I assure you that since our inception, our program has to deal with this issue has been modest...

...There was a time when our adversaries were few in number, poorly organized, radical, amateur, without funding. That no longer is the case. The anti-smoking movememnt today is large, exceptionally well-funded, sophisticated and increasingly well coordinated. We make it our business to know all we can about the anti-smokers...their strategies, their sources of funding, their organization and means of coordination...and their internal disputes.

...If the excise tax issue is our most pressing challengs, the public smoking issue is our most persistent. We think of this issue as a relatively new challenge, but it precedes the founding of the Institute by eight years. More than 500 bills restricting the sale and/or use of tobacco were proposed between 1950 and 1970. But for all intents and purposes, the modern history of the public smoking issue began abruptly in 1971, when Surgeon General Jesse Steinfeld said,

"The nonsmoker may have untoward effects from the pollution his smoking neighbor forces upon him."

Within months, six states began considering legislation to restrict smoking in public places. And in 1973, Arizona became the first to adopt a public smoking law. Just two years later, we faced 137 separate public smoking bills. A workload that caused us to retaliate with lobbyists and expanded public relations activities....

...Let me cite a few statistics to further illustrate the maturity of this issue.

--In 1974, 50 percent of the public favored restaurant restrictions. It was up to 81 percent in 1980, and by 1984 the figure was at 90 percent.

--Workplace restrictions. 55 percent favored them in '74, 62 percent in 1980 and 75 percent in 1984.

--Among smokers, four years ago 64 percent favored workplace restrictions. 83 percent agreed to separate sections in restaurants. That's 83 percent among our own customers four years ago.

If you were to think about these numbers, and read the newspaper, you might fairly assume that there is no place left to smoke in the United States. But the fact is, our legislative track record is exceptionally good, and much of the credit goes to the man who will lead off our discussion...Roger [Mozingo].

Rank
1
Company
Tobacco Institute
Author
Chilcote, Samuel D., Jr. (TI President (1981-1997))
Chilcote has knowledge of The Tobacco Institute's and the tobacco industry's participation in public fraud and disinformation relative to health hazards of tobacco use, in the manipulation of nicotine in tobacco products and in marketing of tobacco products to children.
Recipient
Long, G. 1
Region
United States
Named Organization
Tobacco Institute
Litigation
Minnesota Ag
Named Person
Mozingo, Roger L. (TI Lobbyist, Sr. VP, headed up state and local lobbying)
Involved in state and local level lobbying for the tobacco industry. Was a Vice President at TI, in the State Activities Division in the 1970's & 1980's, later went to RJR. Roger L. Mozingo was Vice President of State Government Relations for RJR in 1994. (Source: R. J. Reynolds Summary - RJR Liability Notebook)
Kloepfer, William J., Jr. (TI Public Affairs VP, c. 1988)
Senior Vice President of Public Affairs Relations for the Tobacco Institute
Sparber, Peter G. (TI Vice President)
Worked on combatting legislated and voluntary workplace smoking restrictions, a Tobacco Institute program to attack the insurance industry and undermine non-smoker discounts on insurance premiums, and and a program to form a coalition to publicly portray public health adovcates as intolerant, anti-social and in need of help.
lewis
Type
SPEECH/PRESENTATION
Subject
anti-smoking advocacy
excise tax
secondhand smoke
smoking restriction
legislation

Annotations

1. Long, G. Recipient
  • Affiliation:

    Tobacco Institute

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Page 1: TOB11506.45
DRAFT sp 17-dr 2 Briefing of Gerald Long Chairman, Executive Committee The Tobacco Institute January 20-2~, 1988 COMMENTS Samuel D. Chilcote, Jr. CONFIDENTIAL: MINNESOTA TOBACCO LITIGATION TIMN 283614
Page 2: TOB11506.46
GOOD MORNING ... AND WELCOME. JERRY ... PAUL ... CHAMP ... WAYNE ... WE VERY MUCH APPRECIATE THE TIME YOU HAVE TAKEN TO BE WITH US TODAY AND TOMORROW. AND WE APPRECIATE THE OPPORTUNITY TO DESCRIBE THE INSTITUTE ... ITS CHALLENGES AND ITS PROGRAMS. CONFIDENTIAL: MINNESOTA TOBACCO LITIGATION TIMN 283615
Page 3: TOB11506.47
3 (pause) THE PURPOSE OF OUR MEETINGS THESE NEXT TWO DAYS ... IS: -- TO GIVEYOU A DETAILED BRIEFING ON THE MAJOR ISSUES FACING OURINDUSTRY ... CONFIDENTIAL: MINNESOTA TOBACCO LITIGATION TIMN 283616 .,.
Page 4: TOB11506.48
4 -- TO DESCRIBE ... IN DETAIL ... INSTITUTE PROGRAMS TO DEAL WiTH THOSE CHALLENGES ... -- AND TO TAKE A HARD LOOK AT THE COURSE WE HAVE CHOSEN. AT YOUR REQUEST ... WE HAVE PROVIDED A GOOD DEAL OF READING. WE WILL NOT REVIEW THIS MATERIAL ... BUT WILL REFER TO IT AS WE MOVE ALONG. CONFIDENTIAL: MINNESOTA TOBACCO LITIGATION TIMN 283617
Page 5: TOB11506.49
5 WE WILL WORK THROUGH THE AGENDA ... TAKING AS MUCH TIME AS YOU WOULD LIKE ON ANY ITEM. PLEASE FEEL FREE TO ASK QUESTIONS OR MAKE COMMENTS AT ANY POINT ... (pause) BY WAY OF BACKGROUND ... R.J. REYNOLDS WAS ONE OI 12 CIGARETTE MANUFACTURERS WHICH FOUNDED THE TOBACCO INSTITUTE IN 1958 ... CONFIDENTIAL: MINNESOTA TOBACCO LITIGATION TIMN 283618
Page 6: TOB11506.50
6 INITIALLY FOCUSED JUST ON FEDERAL AFFAIRS ... THE INSTITUTE ASKED BILL KLOEPFER TO CREATE AND DIRECT A PUBLIC RELATIONS FUNCTION IN 1967 ... IN THE MID 70'S ... AS STATE PUBLIC SMOKING BILLS BEGAN TO EMERGE ... A FIELD OPERATION WAS CREATED TO DEAL WITH STATE AND LOCAL LEGISLATION. THEN IN 1982 ... THE TOBACCO TAX COUNCIL WAS AMALGAMATED INTO THE INSTITUTE ... AND WE BECAME RESPONSIBLE FOR TAX LEGISLATION AT THE STATE AND LOCAL LEVEL. CONFIDENTIAL: TIMN 283619 MINNESOTA TOBACCO LITIGATION
Page 7: TOB11506.51
7 SINCE I JOINED THE INSTITUTE IN 1981 ... I HAVE RECOMMENDED STAFFING REDUCTIONS FROM THE 130 POSITIONS WE HAD WHEN ED HORRIGAN WAS CHAIRMAN ... BETWEEN 1980 AND 1982 ... TO THE 107 POSITIONS AUTHORIZED AS WE ENTER 1988. IN TERMS OF DOLLARS ... THE INSTITUTE BUDGET FOR 1988 IS $35.3 MILLION. CONFIDENTIAL: MINNESOTA TOBACCO LITIGATION TIMN 283620
Page 8: TOB11506.52
8 IN ADDITION ... THERE IS A BUDGET OF $6.3 MILLION .... WHICH REQUIRES SPECIAL EXECUTIVE COMMITTEE APPROVAL ... TO COVER ADVERTISING THIS YEAR. INASMUCH AS WE HAVE JUST FINISHED THEBUDGETING PROCESS... I WlLL NOT GO INTO FURTHERDEPTH ON THiS SUBJECT... UNLESS YOU HAVE SPECIFIC QUESTIONS. (pause) CONFIDENTIAL: MINNESOTA TOBACCO LITIGATION TIMN 283621
Page 9: TOB11506.53
9 I LIKE TO DESCRIBE ORGANIZATIONS ... NOT JUST BY THEIR ACTIVITIES ... BUT BY THEIR RESULTS. OUR PRIMARY MISSION IS TO DEFEAT LEGISLATION. FROM THE 96TH CONGRESS THROUGH THE FIRST SESSION OF THE 100TH CONGRESS ... 1979 TO 1987 ... WE FACED 200 BILLS OF MAJOR CONCERN ... AND ANOTHER 383 OF LESSER CONCERN TO OUR INDUSTRY. CONFIDENTIAL: MINNESOTA TOBACCO LITIGATION TIMN 283622
Page 10: TOB11506.54
10 ALL TOLD ... WE DEFEATED OR POSTPONED 93 PERCENT OF ALL OF THE BILLS WE FACED ... AND~ 95 PERCENT OF THOSE OF MAJOR CONCERN. AND ... WE .DID NOT OPPOSE ALL OF THOSE WHICH PASSED. THE FIRE SAFE CIGARETTE STUDY ... AND VARIOUS FARM PROGRAM BILLS ENJOYED INDUSTRY SUPPORT. CONFIDENTIAL: TIMN 283623 MINNESOTA TOBACCO LITIGATION

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