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Omaha, Nebraska considering a 7% tax on tobacco products, including e-cigs

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JustJulie

CASAA
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Jan 30, 2009
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I don't know how many folks are from Omaha, but I thought I'd pop in and let y'all know that Omaha is considering passing a 7% tax on tobacco, including e-cigarettes. Here's a link to the news story:

http://www.wowt.com/news/headlines/Omaha-Reveals-Tobacco-Tax-Ordinance-Plan-169733356.html


And here's a link to the proposed ordinance:

http://www.cityofomaha.org/cityclerk/images/stories/agenda/ID 12_09_18/City Council/1280.pdf

There's going to be a public hearing on Tuesday, September 25th at City Hall in Omaha. (City Council meetings generally take place at 2:00 p.m., and I'll update this post tomorrow if there is going to be a different time.) If you live in or near Omaha, please take the time to let the City Council know why you feel that e-cigarettes and other smokeless alternatives shouldn't be subject to an additional tax. Contact information for the City Council members:

Pete Festersen
District 1
402-444-5527

Ben Gray
District 2
402-444-5524

Chris Jerram
District 3

402-444-5525


Garry Gernandt
District 4
402-444-5522

Jean Stothert
District 5
402-444-5528

Franklin Thompson
District 6
402-444-5523

Thomas Mulligan
District 7
402-444-5526

To email, please go to http://www.cityofomaha.org/citycouncil/contact-us and fill out the contact forms for each council member.


 

Vocalek

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ECF Veteran
Here is a copy of the letter CASAA faxed and emailed (via the online form) today to Omaha city officials and city council members:

September 21, 2012

City of Omaha officials:
Mayor Jim Suttle (FAX: 402-444-6059)
Paul D. Krantz, City Attorney (FAX: 402-444-5125)
Thomas O. Mumgaard, Deputy City Attorney (FAX: 402-444-5125)
Buster Brown, City Clerk (FAX: 402-444-5263)
City Council Members:
District 1: Pete Festersen
District 2: Ben Gray
District 3: Chris Jerram
District 4: Garry Gernandt
District 5: Jean Stothert
District 6: Franklin Thompson
District 7: Thomas Mulligan

Dear Omaha City Council Members and Officials:

The Consumer Advocates for Smoke-free Alternatives Association (CASAA) encourages the City Council of Omaha to correct scientifically inaccurate information in the proposed ordinance to amend Chapter 12, Article VII of the Omaha Municipal Code pertaining to the sale of tobacco products. Once this has been accomplished, it will become evident that, as currently structured, the proposed ordinance will endanger the physical health of citizens and damage the economic health of the city.

Section 12-135(a), Findings and Intent, fails to acknowledge the scientific evidence that cigarettes are by far the most hazardous type of tobacco product. Cigarettes are burned and inhaled, which makes them far more harmful than tobacco and nicotine products that do not produce lung-damaging, carcinogenic smoke.

A 2007 report by the Royal College of Physicians noted that a large percentage of smokers may never be able to give up all use of nicotine.(1) The practice of substituting a low-risk nicotine product for smoking is called Tobacco Harm Reduction (THR). Such low risk products include smokeless tobacco products, electronic cigarettes, and long-term use of Nicotine Replacement Therapy (NRT) products.(2) Rather than treat all tobacco products as equally dangerous, politicians and health care advocates should embrace THR. For those who are unable or unwilling to completely quit tobacco and/or nicotine use, switching to a smokeless alternative can achieve substantial health benefits, with many such products carrying less than 1 to 2% of the risk posed by smoking.

During the past several decades, millions of Swedish smokers switched to snus, a type of spit-free moist snuff. As a result, adult daily smoking (age 15 and older) has dropped to 12% for men and 17% for women, which represent reductions of 44% and 29%, respectively, between 1995 and 2008.(3) Not coincidentally, Sweden has the lowest lung cancer mortality rate in the European Union.(4)

In a 2010 FDA workshop, Dr. Neal Benowitz reviewed the scientific evidence on the health benefits of switching to smokeless tobacco (ST) products as proof that NRT would be safe for long-term use. His presentation noted, “The lack of increase in common cancers in lifelong ST users indicates that nicotine is not a general cancer promoter,” and “studies indicate minimal if any increased CV risks (i.e., heart attacks and strokes) with ST.”(5)

The Omaha City Council needs to revise the description of health risks and economic impacts in Section 12-135(b), Findings and Intent, to reflect the fact that there are no increased costs to the City or to Omaha’s private employers related to the use of smoke-free alternatives. Furthermore, the proposed ordinance may actually result in unintended consequences: reducing the City’s revenue and increasing the health risks of its citizens.

Higher prices on all tobacco products may result in closure of Omaha’s tobacco specialty stores, e-cigarette vendors, and other small businesses as consumers seek lower prices outside the city. It may also result in continued smoking among those who might have switched to a lower-risk product if those products had remained conveniently available and affordable on a local level.

CASAA urges the Omaha City Council to revise the proposed ordinance so as to achieve the stated purpose of just, proper, and equitable distribution of tax burdens within the city. If this cannot be accomplished, the ordinance should be tabled altogether because, as structured, it stands to do more harm than good.

CASAA is a non-profit organization that works to ensure the availability of low-risk alternatives to smoking and to provide the public with truthful information about such alternatives. Please feel free to contact us if you require any additional scientific information on relative risks of various tobacco and nicotine products.

Sincerely,



Elaine Keller, President ekeller@casaa.org
The Consumer Advocates for Smoke-free Alternatives Association
CASAA - The Consumer Advocates for Smoke-free Alternatives Association
(202) 241-9117

----------------------
1. Royal College of Physicians. Harm reduction in nicotine addiction: helping people who can’t quit. A report by the Tobacco Advisory Group of the Royal College of Physicians. London: RCP, 2007. http://www.tobaccoprogram.org/pdf/4fc74817-64c5-4105-951e-38239b09c5db.pdf
2. Rodu B. The scientific foundation for tobacco harm reduction, 2006-2011. Harm Reduct J. 2011 Jul 29;8:19. The scientific foundation for tobacco harm reduction, 2006-2011
3. OECD/European Union (2010), “Tobacco Consumption among Adults”, in Health at a Glance: Europe 2010, OECD Publishing. Tobacco Consumption among Adults - Health at a Glance: Europe 2010 - OECD iLibrary
4. OECD/European Union (2010), “Mortality from Cancer”, in Health at a Glance: Europe 2010, OECD Publishing. Mortality from Cancer - Health at a Glance: Europe 2010 - OECD iLibrary
5. Benowitz N. Smokeless Tobacco and Disease: Evidence Related to Long-term Safety of Nicotine. http://www.fda.gov/downloads/Drugs/NewsEvents/UCM232147.pdf

Omaha area residents, workers, and businesses: Keep in mind that a gazillion letters from organizations like CASAA will not be as effective as a couple of folks showing up at 2 p.m. on Tuesday in person for the public hearing to tell their story about how smoke-free alternatives helped them escape from smoking. If you can't go, call the 7 council members. If you can't go in person or call, at least submit your story via the online email form: Omaha City Clerk - Contact Us

Here is a copy of the Agenda for Sept 25 meeting.
View attachment a12-09-25 Omaha agenda.pdf

For those interested in the politics behind this legislation.... The proposed "occupancy tax" ordinance is item #37 on the Agenda. Item #38 is the "Interlocal agreement" between the City and the University of Nebraska pledging funding to help build the new cancer center. The "occupancy tax" idea was conceived as an easy way for the city to gather money to give to the University for the new cancer center. See the last WHEREAS clause on page 4 of 6 of the Interlocal Agreement (link to this from Agenda item #38).
 

Vocalek

CASAA Activist
Supporting Member
ECF Veteran
And this story is interesting:

Heineman criticizes NU for seeking extra government funds for cancer center - Omaha.com

Gov. Dave Heineman says University of Nebraska officials are changing their tune on funding for a $370 million cancer research and treatment center as it turns to the City of Omaha and Douglas County for money.

Heineman told The World-Herald that NU President J.B. Milliken, as he sought a $50 million commitment from the state, never indicated the university would seek additional local government funds for the project.

The governor on Thursday criticized Douglas County for committing $5 million in inheritance tax revenue for the University of Nebraska Medical Center project. And Heineman said Milliken should “explain what's going on” to the Omaha City Council as it considers a new cigarette tax to pump $35 million into the project.
 
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