BUSINESS LEADERS: CIGARETTE TAX INCREASE WOULD HELP TEXAS COMPANIES
Group criticizes Texas Association of Business for opposition to proposal

Key Texas business leaders on Friday spoke out in favor of a proposed cigarette tax increase, saying it will contribute to healthier, more productive employees without penalizing Texas companies.

“The only businesses hurt by a higher cigarette tax, and therefore fewer smokers, are tobacco companies themselves, none of which are based in Texas,” said Lynn Hancock, a principal in Booker/Hancock and Associates in Houston and a board member of the American Cancer Society – Texas Division. “The Texas Comptroller, who supports a $1 per pack raise in the cigarette user fee, says it is one tax increase that will not cost Texans’ jobs.”

The business leaders who have banded together in support of a cigarette tax increase also serve as board members of major health advocacy organizations. They include:

• From the American Cancer Society – Texas Division: Lynn A. Hancock, APR, principal, Booker/Hancock and Associates, LLC, Houston; Donald L. Curry, attorney, Lubbock; R. Clifford Parker, Parker & Associates, Fort Worth; Mary Coyne, McCormick Company, Amarillo; William H. Lowell, president, Lowell and Co. Inc., Lubbock; Angelo and Royalyn Reid, Reid Consulting Solutions, Coppell; Hal M. Whitaker, Whitaker & Co. CPAs, Waco; Mark Clanton, MD, MPH, FAAP, National Health Care Consultant, Dallas; Jesse and Meg Garza, Cristina's Jewelry, San Antonio; and Michael Dany, CEO, American Cancer Society – Texas Division.
  
  
• From the American Lung Association of Texas – Helen Butler, consultant, Ear Management Group, San Antonio; Jeff Conner, officer, Bank One, Fort Worth; Debbie Forester, benefits manager, Burlington Northern Railway, Fort Worth; Nancy Laster, president, The Laster Group, El Paso; Cher Montalvo, Southern Union Gas Company, Austin; and Mary Partridge, president, Impact Consulting, Austin.

The group said it was compelled to speak up for a higher cigarette tax because of a recent full-page newspaper advertisement against the idea. The ad featured the Texas Association of Business (TAB) logo, but an examination of the legal fine print at the bottom of the ad reveals that it was paid for by TAB and Philip Morris USA, the country’s largest cigarette producer.

“We thought it was important for the Texas Legislature to know that the Texas Association of doesn’t always speak for all businesses in Texas,” said Mary Partridge, president of Impact Consulting in Austin and chairwoman of the American Lung Association of Texas. “In this case, TAB apparently does speak for New York-based Philip Morris USA.”

The group said it does not understand why TAB is opposing an idea that would only benefit Texas companies.

“The Texas Association of Business has been vocal that the skyrocketing cost of employer health insurance premiums is hurting Texas business,” said Dr. Mark Clanton, a Dallas healthcare consultant and president of the American Cancer Society – Texas Division. “Evidence in other states shows that a cigarette tax increase prompts some smokers to quit. For businesses, that means healthier, more productive employees and, therefore, lower company healthcare costs.” 

Smoking costs Texans an estimated $10 billion a year in healthcare bills and lost productivity, according to the Campaign for Tobacco-Free Kids. 

“Tobacco companies care only about their bottom line,” said Jeff Conner, an officer with Bank One in Fort Worth and a board member for the American Lung Association of Texas. “For Texas, the bottom line is that raising the cigarette user fee – paid only by those who smoke – will raise much needed state revenue and, by encouraging smokers to quit, save lives and cut state Medicaid expenditures.”

The current cigarette tax of 41 cents per pack has not been increased since 1990. Texans Investing in Healthy Families is advocating a $1 per pack increase, with at least 5 cents dedicated to developing statewide tobacco prevention and cessation programs.

Texans Investing in Healthy Families is a statewide coalition of individuals and organizations dedicated to reducing the toll of tobacco in Texas. Coalition members include the Texas PTA, the American Heart Association – Texas Affiliate, the American Lung Association of Texas, the American Cancer Society – Texas Division, Campaign for Tobacco-Free Kids and TRUST For a Smoke-Free Texas.

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