Tobacco Documents Online

I. State Overview: Montana Politics The legislature meets biannually and will convene the 1997 session on January 6th. The session will last 90 days. There are 50 Senators that serve for 4 year terms; the 100 House members serve 2 year terms. Both houses are expected to remain republican controlled with new Senate leadership. This is not a favorable state for many of our issues. This is a strong local government control state. The AG and Gov have both indicated a willingness to file a Medicaid lawsuit if it could be demonstrated to ease school finance. State Objectives Introduce AAA/Youth Access bill Defeat possible marketing and smoking bans in legislature and local communities Proactively work on OSHA. Assist federal office on federal issues. Work with MU team. {I. Strategies/Tactics Continue to build coalitions to support PM objectives. Ill. Recommended Activities/Tools Hire additional governmental affairs consultant. Current lobbyist has had help during sessions in the past and has requested assistance again this year. Need continuous development of coalition for AAA, AG lawsuit issues, FDA, local activities and other issues as they develop. Need updated arguments and state specific materials re Medicaid lawsuit, FDA, and local issues. Possibly, 2 statewide general and an undetermined number of local mobilizations on smoking/marketing issues, possibly MU issues. Strengthen relationship with sales force.

1. State Overview: North Dakota Politics The legislature meets biannually and will convene the 1997 session on January 7th. The session may last 80 days, but often adjourns earlier. There are 49 Senators that serve for 4 year terms; the 98 House members serve 2 year terms. Both houses are expected to remain republican controlled with no new leadership. This is not a favorable state for many of our issues. This is a strong local government control state. The Governor's wife has become the spokesperson for Tobacco-Free Kids and is supporting self-service merchandising ordinances at the local level. The AG has indicated that she is not interested in filing a Medicaid lawsuit. State Objectives Introduce AAA/Youth Access bill Defeat possible smoking bans in legislature and local communities. Proactively work on OSHA and FDA issues. Defeat Excise taxes. Defeat Marketing restrictions at the state and local levels. Defeat Divestment issues. II. Strategies/Tactics Continue to build coalitions with retailers, hospitality and wholesalers to support PM objectives at the state and local level. Strengthen relationships with sales force and their accounts. 111. Recommended Activities/Tools Need continuous development of coalition for AAA, local activities and other issues as they develop. Need updated arguments and state specific materials re federal legislation, divestment and local issues. Possibly, 2 statewide general and an undetermined number of local mobilizations. Need to better identify local government activities through better communications with local retailers and through the sales force.

Draft Nebraska State Plan t. State Overview: • Politics The legislature meets every year and will convene the 1997 session on January 7 and will run through June 5. There is a 90 day limit on the number of days they can meet in '97. Nebraska is a non-partisan Unicameral legislature in which all 49 members are Senators elected for a 4 year term. The interim study period is usually from September 1 to Decernber 10. The political environment is reasonably favorable. The Nebraska Governor is currently running for U.S. Senate with a 21 point lead. If elected, Lt. Governor Kim Robak will fulfill the remaining 2 years of Governor Nelson's term. The Lt. Governor was appointed to this position by Governor Nelson, and is expected to be reasonable on tobacco issues and concerned about youth access to tobacco products. The Nebraska Attorney General has been reluctant to file suit against the tobacco industry, but is receiving considerable pressure from the Department of Social Services and we expect a legislative attempt in '97 requiring him to file suit. This is not likely to pass. The majority of Nebraska legislators are reasonably stable on tobacco issues and not prone to support a great deal of change. There is however, a small contingent of anti-tobacco legislators that will push the limits on such things as divestiture, advertising bans, Florida Medicaid legislation, taxes etc... And we expect in '97 to see all of these. The'96 session was limited to 60 days and youth access legislation pushed by retailers was not a priority. Local activity throughout Nebraska has been minimal. Center of anti activity resides in Omaha. State Objectives 1. Pass AAA type youth access with sales & marketing preemption. 2. Pass employment discrimination legislation. 3. Look for opportunity to move medical liability & defense bill (North Carolina language), Medicaid offset language and prohibition of contingency fee arrangements. 4. Support Washington Relations office on Federal level (i.e. FDA initiative, OSHA etc...). 5. Defeat the following anti initiatives expected this year: - Divestiture - Increased Excise Tax - Statute of Repose - Advertising Restrictions - Florida type Medicaid legislation 6. Cultivate new allies.

Draft Nebraska State Plan II. Strategies • Meet with key Senate leadership to educate and seek support for youth access legislation. • Use pub4ic relation consultants and media affairs to support attainment of objectives by developing the right public atmosphere. • Use media affairs to reach out to editorial boards prior to youth access bill in order to clarify industry & retail positions. • Convince retail associations and industry counterparts AAA type youth access legislation is needed even if preemption cannot be obtained. Demonstrate how this type of legislation offsets the need for local activity. • Position We Card Program as state-wide approved training vehicle to support new legislation. Worked through Attorney General's office for support (i.e. Nevada). • Utilize traditional and new third party allies to support proactive youth access legislation. • Enlist the assistance of wholesalers, retailers, and anti-tax groups to educate legislators and executive branch regarding the potential economic downside new excise taxes will have on economy. Identify alternative funding sources for earmarked taxation. • Develop business coalition willing to support employment discrimination legislation. Ill. Recommended Activities/Tools Arauments/Talking Points/Studies Need updated arguments and state specific materials from issues management and talking points from media affairs and legal. - Excise Tax - Medicaid Liability - Sales & Marketing Preemption - Youth Access AAA - Divestiture - Advertising (Freedom of Speech) - Employment Discrimination Mobilizations

Draft Nebraska State Plan Possibly, 5 targeted phone bank mobilizations and 2 targeted letter writing campaigns. - Excise Tax Mobilization (smokers & retailers) - AAA Mobilization (retailers) - Employment Discrimination Mobilization(smokers) Accommodation TAP to aggressively market program in Omaha and Lincoln (advertising, exhibits and recruitment). Sales Force Ask PMUSA sales force to assist in getting information out to the retail dommunity and to identify other potential allies/spokespeople (AAA, FDA, Accommodation etc....)