State lawmakers debated and passed two separate measures (Senate Bills 1 and 4) to improve the health metrics of Hoosiers this year. The debate quickly turned to how to fund these important pieces of legislation. From the onset, the Indiana Chamber believed the best way to improve in these areas – directly and with a dedicated funding stream – was to increase Indiana’s cigarette tax by $2 per pack.
Indiana’s tobacco use statistics are abysmal at best and Indiana’s adult smoking rate is the eighth highest in the nation and has been too high for years. We believed raising the cigarette tax by $2 per pack should have been appealing to legislators for the one-two punch it provided: bettering Hoosier health and generating dedicated dollars that can specifically go to the state’s public health and mental health needs.
Unfortunately, the Indiana General Assembly decided to appropriate the funding for SB 1 and SB 4 directly from the state budget as opposed to an increased cigarette tax. However, we were encouraged to hear positive comments from legislators in both chambers and parties regarding the implementation of a tobacco tax. We hope to build on that momentum for 2024 as we look to increase the health of Hoosiers and decrease the health care costs of Indiana employers.
