Tobacco Documents Online

c MINUTES of the STATE ACTIVITIES POLICY COhIlMITTEE of the TOBACC&INSTTTUTE The committee met at the Tobacco Institute offices in Washington from 10:00 a.m. until 2:00 p.m., Friday, March 4, 1983. In attendance for the companies were Mr. Shepard Pollack, Chair- man of the committee, and Messrs. Gene Ainsworth, James Cherry, K. V. Dey, Ernest Pepples, Stanley S. Scott, and Kendrick Wells. The Tobacco Institute was represented by Messrs. Samuel D: Chilcote, Jr., President; W'ill'iam A. 0'Flaherty, Counsellor; John D. Kelly, Senior Vice President for State Activities; John Rupp of Covington & Burling; and Martin Haley of the Haley Companies. A. State Activities Division: Review and Assessment This agenda item was based on the outside study done two years ago by ORC, their recommendations, and subsequent TI implementa- tion. Recommendations and~' implementation were described~in a written report distributed to the committee. W ~ .1 W~ 1. TAN Communications ~ Mr. Wells raised'~ the question of how companies communicate con- cerning TAN mobilizations and requests: do the company

f„ P a ge 2 representatives communicate with employees, or should background information go directly from the TI to company enrollees? Because a variety of viewpoints became evident, the Chairman asked each company to decide how it wanted employee TAN commu- nications to be handled, and bring their wishes back to the next meeting (May 13, 1983). TI staff will also make a recom- mendation. , 2. 1983 TAN Plans It was the consensus of the committee that methods are needed for refining layers within TAN: to identify (a) One or a few persons in each Congres'sional district who have particular capabilities for support in Congressional activities; (b) A relatively small group of TAN enrollees (perhaps 15 to 25)~ in each state, an "A List" of provedlactivists with a demonstrateddesire and capability to assist; (c) A "B list", much larger, perhaps 2001to 500 in each state, whom Area Directors communicate with, train, and know personally; and

C Page 3 (d) Meantime preserve the numbers within TAN, "the mass", but with reasonable expectations of what they may accomplish through only occasional, broad activation. They would receive communications once or twice a year. A survey of all TAN enrollees will be undertaken to attempt to measure their level of interest and commitment to the industry and its problems and areas of special interest and~ concern. A method will be developed for segregating the lists, determining the quality and capabilities of enrollees. They would then be classified according to levels along the lines of those described above, with provision for a single enrollee beirig'simultaneously in more than one category. The "A list" should be able to be activated locally, on extremely short notice, when legislative counsel needs immediate support. It was agreed that highly specific ground rules or guidelines for this type of local activation should be developed for the committee's study. 3. The Southeast For the Southeast, the committee's earlier discussion of this subj ect was reaffirmed:

C Page 4 (a) Companies make individual decisions about enrolling salaried employees; Retailers and others in the trade make individual decisions about enrolling; (c) As would potential coalition groups such as hotel and restaurant associations; (d) And related tobacco organizations are . mobilized through the National Tobacco Council. It was suggested that the title of TAN need not be used in the states of this region if it would stand in the way of accom- plishing the purpose of inventory and'~ preparedness. While company policy concerning employees might vary, all were in favor of including as enrollees those engaged in the distributive pro- cess of the finished product. In this context, it was also recommended that regions where TAN `O may be needed most be identified. ~ ~ ~ 4. The Future Development of TAN ~ Q--- The desirability of quick response by an "A" level within TAN;J decentralized for individual state uses, but clearly responsible

Page 5 . to individual company-employer policies, was emphasized at several points in the discussion. There was general consensus on the need to increase the par- ticipation of distributors. It was pointed out that building national coalitions should be a general TI function. Developing alliances within individual states is a responsibility of the State Activities Division. The companies will determine whether they will include suppliers as TAN enrollees or available for ac.tiva:tion; one company has, so far, supplied TI with a list of suppliers. A formal request will be made of each company to provide a list of retirees for solicitation to join TAN. It was generally agreed that member companies' subsidiaries should also be included in the system. But there will be com- pany limitations, it was agreed, on how they should be included, andihow they should'be activated. This resource will be re- searched and a plan submitted for the method of possible future activation.

Page 6 Mr. Kelly was requested to • Define the levels of and categories within TAN, along the lines described above, and the systems required by this method, and • Develop local mobilization guidelines for de- centralized activation. This overall agenda item will be carried forward to the next committee meeting. B. Status of 1983 Legislation New York was discussed as most urgent, based on the number of bills andlimmediacy of action. A public relations plan and lobbying coverage plan were discussed, and it was agreed that an ad hoc New York task force would' hold discussions at least once a week, if not by meeting, then by telephone conference call. San Francisco workplace restrictions were reviewed; an amendment to the proposed ordinance was being prepared by the City Attorney at the request of the author. o3s'75'703 Arkansas and its new tax increase was described in terms of the difficult intra-industry situation which made the bill impossible to defeat.

k Page 7 C A_new type of tax proposal was described, arising in Kansas, by which there would be a cigarette tax increase if the federal tax sunsets in 1985. - C. Alliance/Coalition Building The proposed Consumer Tax Alliance in California, as described in the Nelson-Padberg Consulting proposal and program~distributed to:the committee, is moving- towardi an organizational meeting. D. Legislative Strategy Individual state task forces are being formed in certain key states. Their charge is to develop an individual state strategy, based~on determinations within the state from local experts' points of view. . A first meeting of the California task force would be held by mid-March; a meeting would be held in Florida anda subsequent paper submitted; action in New York should wait on resolution of current legislative problems. E. Proposals for the Next Agenda (1) Study and report on the subject of State Political Action Committees. . ~O ~ ~ ~ (2) Review and discussion of liaison with, and the ~ 04 capabilities of, state wholesale and distributor

Page age 8 ' c organizations, including groups such as retailers and grocers. (3) The building of coalitions and alliances. (4) The possibility of having prepared and distributed throughfieLd staff and member companies articles prepared for smaller-city newspapers. (5) Future discussion should~be had on overall state activities resource allocation, for contributions, legislative counsel, field and supporting staff: What more is required? What should be the proper balance? ------------- The date of the next meeting was confirmed for May 13, 1983 at 1&:00 a.m., at the Tobacco Institute office in Washington.