Treherne hotelier to fight butt-ban charges in July -MB

Saturday, January 15th, 2005

TREHERNE hotel owner Robert Jenkinson will go to court in mid-July to fight the charges laid against him under the province's new anti-smoking legislation.

Jenkinson's lawyer, Art Stacey, said three days beginning July 18 have been set aside for the trial, which will be held in Portage la Prairie.

Jenkinson faces 13 charges under the new law, including failure to have proper signage, allowing ashtrays to be on tables, and failing to prevent customers from smoking.

Under the law, individuals can be fined $500, and businesses face a maximum fine of $3,000.

Stacey said he decided to forego a separate constitutional challenge of the new law, adding he will make those arguments as part of Jenkinson's defence.

More than $15,000 in cash and an equal amount in pledges has been raised by the Rural Hotel Owners, a provincewide group of business people opposed to the law, to help Jenkinson with his legal bills.

winnipegpress.com

IRIS EVANS, Alberta's Health Minister, is pushing too hard for banning  smoking, along with anti-smoking activist Les Hagen, just so they can get their names in the history pages. Welcome to Communist Canada.  Considering the revenue received from smokers, it will put quite a dent in  the government's cash-flow if we all butt out. I find it very ironic that these people are so against smoking and I've never heard of anyone hurting, killing or having a vehicle accident due to smoking. How about  getting rid of alcohol instead? Or would this be stepping on political toes?
Carol Koellmel
Redcliff, Alta.
(Klein has backed off on a province-wide ban.)

http://www.canoe.ca/CalgarySun/editorial.html#letters

By JERRY WARD, LEGISLATURE BUREAU Sat, January 15, 2005 

Premier wants to leave public smoking decision to municipalities

EDMONTON -- Premier Ralph Klein yesterday snuffed out a plan by his health minister to start discussions on invoking a complete public smoking ban in Alberta. After a speech in Montreal, Klein said his government is not looking to implement a blanket ban on butts in public places, instead leaving that decision up to individual municipalities.

"I've never called for a smoking ban and never will. But I think if you smoke, you're stupid," said Klein.

Provincial Health Minister Iris Evans said Wednesday in Edmonton she'd be bringing up the idea of a blanket public smoking ban for Alberta in the legislature by April.

"No, she wasn't presumptuous," said Klein's communications director Marisa Etmanski, who was travelling with the premier yesterday.

Etmanski said Klein and Evans, "haven't had a chance to talk" since he left the province for Eastern Canada on Tuesday.

Evans said she will still put forward a plan to a Tory MLA policy committee to look at ways of reducing smoking among young people to protect their wellness.

"I will clearly pay attention to the fact that the premier does not want a provincewide blanket over everything so that people who are legionnaires or people who have their favourite space to smoke can still enjoy those privileges," she said.

"I will bring forward some things that talk about the workplace, for the caucus' information, and I hear the premier clearly on this."

Klein has repeatedly said his government will not force no-smoking laws on businesses that can make their own decisions.

Les Hagen of Action on Smoking and Health described Klein's comments as "terrible news.

"I'm disappointed," he said.

Meanwhile, a Calgary alderman who's been pushing for a similar ban in this city said she's sure Evans will have no trouble gaining support for her plans.

"I know that the minister is very persuasive (and) she has a very strong voice on cabinet -- cabinet is more than one vote," said Ward 13 Ald. Diane Colley-Urquhart. "I have a lot of confidence in her ability ... you always know where you stand with Iris Evans."

-- with files from Bill Laye

http://www.canoe.ca/NewsStand/CalgarySun/News/2005/01/15/899353-sun.html

The Leader-Post January 15, 2005

I am writing with a question for the Saskatchewan government: does it know one end of profitable business management from another?

The decision to make all public places, including bars and restaurants, smoke- free on Jan. 1, was totally flawed in its timing. January and February are traditionally the coldest months of the year, which in turn are the lowest months for revenue for small restaurant owners in Saskatchewan due to the inclement weather. People who would ordinarily enjoy a stroll for coffee or for lunch are naturally more inclined to remain at work. This keeps their pennies in their pockets while reducing income for the local coffee shops. It's understandable, but the loss is recoverable later on in the year through increased traffic when the weather becomes nicer.

The anti-smoking law could NOT have come at a worse time. Not only is my income reduced as expected due to the cold weather, but it is also further drastically reduced due to the new law. If my customers can't smoke at the restaurant, why should they brave the cold? My estimated losses for January are $2,800. This is roughly equivalent to my gross income. Considering I have bills to pay at home and a family to support, what does the government suggest I do? Work for free? Get another job on top of the 12-hour days I now work just to keep the restaurant in business? Would government members work 20-hour days?

Would it not have been a better plan to bring this into law during the summer months when people could still smoke outside on decks and patios and get accustomed to a non-smoking environment slowly? Other provinces did it.

I agree that smoking is bad for everyone's health and I will never argue that the cost to my business due to burns in the carpet and inconsiderate smokers butting out on anything handy is not substantial. However, this anti-smoking law was brought into effect at the worst time of the year.

I may not be able to recover from this loss. Further, I am not alone in this.

Other restaurant owners with whom I have discussed this issue are feeling unseasonably high losses as well and are also considering the feasibility of remaining in business. To open my restaurant five years ago, I invested approximately $30,000 of my own money and went into a debt from which I am still trying to recover -- and there was no offer of assistance to me to open up a business, unlike the offers and tax breaks given to large chain stores to bring their big-box stores to this area. Consider that if 100 restaurants in Saskatchewan go out of business, and if each of those businesses employs at least five people, you will not only have 500 former employees of those businesses either swelling the welfare rolls or collecting Employment Insurance (EI) benefits, you will also have an additional 100 former business owners looking for employment who do NOT qualify for EI. If we can't find jobs, what do you suggest we do . . . leave the province? All of this because government members can't think further than the end of their collective noses. Will that look good come next election?

This leads me to wonder . . . has any one in the government ever run a restaurant, or been self-employed to the point where government decisions could make or break them in one fell swoop? Have any of them learned how NOT to immediately give in to the demands of whatever group is pressuring them at any given moment?

I didn't think so.

Paul Perreault

Perreault is owner of Pavlo's Eatery

Regina

http://www.canada.com/regina/leaderpost/news/letters/story.html?id=be30a18e-376d-44f8-ba72-81860bcce710

JERRY WARD, LEGISLATURE BUREAU Sat, January 15, 2005

Premier Ralph Klein yesterday snuffed out a plan by his health minister to start discussions on invoking a complete public smoking ban in Alberta. That left advocates "mystified" and "disappointed."

After a speech in Montreal, Klein, a longtime smoker, said his government is not looking to implement a blanket ban on butts in public places, instead leaving that decision up to individual municipalities.

"Smoking is still legal in Canada," Klein told a news conference after giving a speech to the Montreal board of trade.

"I've never called for a smoking ban and never will. But I think if you smoke, you're stupid."

That comment came despite the fact that Klein himself has tried frequently - and unsuccessfully - to kick the habit.

"I think the focus is going to be better spent on trying to get kids not to start, that kind of thing," said Klein's communications director Marisa Etmanski, who was travelling with the premier yesterday.

"You know, it's not an illegal thing, right? And some municipalities feel differently than others about it."

Etmanski said the premier and Health Minister Iris Evans, "haven't had a chance to talk" since he left the province for Eastern Canada on Tuesday.

"No, she wasn't presumptuous," Etmanski said.

Evans said she will still put forward a plan to a Tory MLA policy committee to look at ways of reducing smoking among young people to protect their wellness.

"I will clearly pay attention to the fact that the premier does not want a provincewide blanket over everything so that people who are legionnaires or people who have their favourite space to smoke can still enjoy those privileges," she said.

"I will bring forward some things that talk about the workplace, for the caucus's information, and I hear the premier clearly on this."

Klein has repeatedly said his government will not force no-smoking laws on businesses that can make their own decisions.

In March 2002, Klein said he wasn't about to order "old timers" in places like Crossfield's Oliver hotel to butt out.

"What are you going to do? Have a whole bunch of smoke cops saying, 'C'mon old-timer, put that cigarette out?'"

Les Hagen of Action on Smoking and Health described Klein's comments as "terrible news.

"I'm disappointed. They were on to a good thing," he said.

Dan MacLennan, president of the Alberta Union of Provincial Employees, said the issue is about health, not right-wing or left-wing ideology. "Cancer is an equal opportunity killer so let's reduce its opportunity," he said. "I'm hopeful he'll change his mind."

D'Arcy Lanovaz, president of CUPE Alberta, said Klein is going against the grain. "I think it's a regressive move on the premier's behalf," he said.

http://www.canoe.ca/NewsStand/EdmontonSun/News/2005/01/15/899454-sun.html

Tim Cook January 14, 2005

REGINA (CP) - The federal Indian Affairs minister acknowledged he's in a dilemma when it comes to dealing with smoking bylaws enacted by First Nations that attempt to do an end run around provincial rules.

Speaking in Regina on Thursday, Andy Scott said there are two conflicting issues at play - health and aboriginal self-government. "We would wish that communities have more authority over decisions," Scott said. "At the same time I believe strongly that we should do what we can to mitigate the health risks associated with smoking."

Scott made the comments when he was asked about the problems Saskatchewan is having with its tough new anti-smoking law.

Effective Jan. 1, smokers have had to butt out in all public buildings in the province or face fines. The law was meant to apply across the board, both on reserve and off.

But under the Indian Act, if a band were to pass a bylaw that conflicts with the provincial law, the band bylaw would prevail. For a bylaw to come into force, however, it must be first forwarded to the federal minister, who has 40 days to object.

Earlier this week, the Saskatchewan government came forward asking Scott to quash any bylaws that are weaker than the provincial anti-smoking legislation.

Scott said that he wants to consult with all of the stakeholders as well as his cabinet colleagues before he makes a decision.

But that will have to be done quickly.

The White Bear First Nation in the southeast corner of the province submitted a bylaw for approval on Dec. 9. It would allow smoking in bingo halls and casinos.

That means Scott's decision will have to come within a week.

Federation of Saskatchewan Indian Nations vice-chief Morley Watson said it should be up to native people to decide what is best for their health.

He said there are some bands in the province that came forward with anti-smoking bylaws before the province's rule came into effect.

"We're fully aware of making the best decision in our own lives," Watson said. "We cannot continue to have governements come along with very paternalistic attitudes that they have shown all along."

Saskatchewan Aboriginal Affairs Minister Maynard Sonntag got a chance to press the province's case with Scott on Thursday afternoon.

After the meeting, Sonntag told reporters that the Saskatchewan government respects First Nation self-governance, however, the province feels strongly about the health issues related to smoking.

"I don't think we are forcing anything on the federal minister at all," Sonntag said. "We are stating to him what we think is just a critically important health issue and want him to be aware of that."

Two other provinces, New Brunswick and Manitoba, have public smoking bans similar to the one in Saskatchewan. Quebec, Ontario and Newfoundland all have laws on the way and just this week Alberta's health minister mused publicly about getting on board.

New Brunswick is in the same situation as Saskatchewan in that politicians there have asked First Nations to respect the new rules, but can do little should a bylaw be passed

Manitoba avoided the issue by making reserves exempt from its smoking ban. The exemption has created controversy, however, with non-reserve business owners claiming it's a two-tier system.

http://www.canada.com/national/story.html?id=2d8246af-c276-422d-a9da-f5a4b562da9b

Two thirds of Scots believe that pubs and clubs should be able to accommodate smokers, according to a survey for the smoking lobby group Forest.

The poll found that a majority of Scots supported new smoking legislation.

Forest said when people were quizzed in more detail they were opposed to "sweeping proposals that would leave smokers nowhere to smoke in public".

But ministers said they had public backing for an outright ban which would reap "huge rewards" for health.

The Scottish Executive proposals to outlaw smoking in enclosed public places would bring in fines for pub licensees and persistent smokers who flout the law from spring 2006.

Ministers described the bill as "the most important piece of public health legislation in a generation".

However, Scottish Forest spokesman Neil Rafferty said people did not support the executive's proposed approach.

"Our research shows that the Scottish public overwhelmingly believes that people should be allowed to smoke in some public places," he said.

"Scots support a reasonable, rational, middle way, and when questioned in more detail are opposed to the sweeping proposals that would leave smokers nowhere to smoke in public, not even in a separate, well ventilated smoking area within pubs, bars or members' clubs."

The poll was conducted by Populus, which interviewed 1,000 people earlier this month.

Of those questioned, 59% said they supported new legislation on smoking.

When they were offered choices other than a blanket ban, 66% said that pubs, bars and clubs should be able to accommodate smokers.

Two-thirds of those surveyed said they thought it should be up to licensees rather than politicians to determine their own smoking policy.

More than 75% of those questioned said that people have the right to smoke in public as long as they do not inconvenience non-smokers.

Health Minister Andy Kerr said opinion polls had offered a mixed feedback on smoking.

"But we are not running government by opinion poll," he said.

"We have taken a decision that will reap huge rewards for the health of this and future generations.

"What we are doing is right for the people of Scotland - and we have their backing, as shown by the overwhelming response to our public consultation."

Populus, which conducted the survey, said it interviewed a sample of 1,000 people across Scotland from 6 to 8 January.

http://news.bbc.co.uk/2/hi/uk_news/scotland/4169797.stm

TWO thirds of Scots believe pubs and clubs should be able to accommodate smokers in separate areas when a smoking ban is introduced next spring, according to a survey published today.
More than half of those interviewed for a poll commissioned by smokers’ lobby group Forest backed the Executive’s ban on lighting up in enclosed public areas, but favoured options other than the planned blanket ban.
The findings were released as a pub smoking seminar was due to be held at Edinburgh’s Holyrood Hotel.
According to the poll, more than 75 per cent of Scots believe smokers have the right to smoke in public providing they do not inconvenience non-smokers. It also found two thirds of interviewees believe the decision to implement a ban should be up to pub owners rather than politicians.
Neil Rafferty, Scottish Forest spokesman, said the results were significant. He added: "The Scottish Executive must listen to what the public is telling them.
"Our research shows that the Scottish public overwhelmingly believes that people should be allowed to smoke in some public places."
Health minister Andy Kerr said: "We are not running Government by opinion poll. We have taken a decision that will reap huge rewards for the health of this and future generations."

http://news.scotsman.com/health.cfm?id=44752005

Reece To Launch Stop By Campaign

January 12, 2005

CINCINNATI -- Many Ohio cities have adopted smoking bans and there is speculation that Cincinnati could be next.

Vice Mayor Alicia Reece announced Wednesday the next steps toward a potential smoking ban.

Discuss: Cincinnati Smoking Ban?

First, Reece said she will launch a stop by campaign where she will make visits to restaurants, bars, bingo halls, bowling alleys and other establishments to talk with owners and citizens about the issue.

Then Reece will meet with advocating and opposing groups and organizations. A citizen survey will also be launched.

Reece, in conjunction with the late Dr. Malcolm Adcock, launched the smoking advisory group last fall to study the issue of a potential smoking ban.

http://www.channelcincinnati.com/news/4076590/detail.html

By Tomos Livingstone, PA Welsh Affairs Correspondent
An attempt to give the Welsh Assembly the power to introduce its own ban on smoking in public places will be launched today.
Cardiff North MP Julie Morgan will formally launch a Private Member’s Bill that would transfer the relevant powers to the Assembly – where her husband, Rhodri Morgan, is First Minister.
A White Paper unveiled by Westminster Health Secretary John Reid last November proposed a similar move, but Ms Morgan’s bill would transfer the powers immediately.
The White Paper proposed a ban on smoking in England’s restaurants and offices, and a restriction in pubs, by 2008. Scottish First Minister Jack McConnell has promised to introduce a “comprehensive” ban by Spring 2006, while Ireland introduced a ban in March 2004.
Ms Morgan is due to be joined at the Westminster launch of her bill by members of the British Medical Association and representatives from anti-smoking charity Ash.
She said: “The purpose of the bill is to give powers to the Assembly to restrict smoking in whatever way it wishes. Without this bill the Assembly would be dependent on public health legislation from Westminster. This bill would enable Wales to do what it wants.”
She denied Dr Reid’s announcement had made her bill redundant.
“The White Paper would give the power to Wales, but that is dependent on if and when legislation is introduced, whereas it can be done quickly with a private members’ bill,” she said.
The public now had the appetite for a ban on smoking public places, she said.
“The tide has turned fairly recently. I wouldn’t have anticipated we would be in this situation two or three years ago.”
A similar private bill, which fell, was introduced in the House of Lords by Baroness Finlay of Llandaff in 2003.
The Welsh Assembly has already overwhelmingly backed the idea of a smoking ban in a free vote. An Assembly committee is currently investigating policy options, and is due to report in May.

http://news.scotsman.com/latest.cfm?id=3990033

A watchdog has concluded Tony Blair did nothing wrong by failing to declare a holiday with a tobacco industry figure, Downing Street has said.

The Parliamentary Commissioner for Standards, Sir Philip Mawer, investigated the prime minister's stay at a French home of Alain Perrin.

A Tory MP, Chris Grayling, had complained the stay was not in the MPs' register of interests.

But the stay did not need to be declared, Downing Street said.

"Sir Philip Mawer, the Parliamentary Commissioner for Standards, has dismissed a request from Chris Grayling MP that he should investigate whether or not the prime minister should have registered his stay with Alain Perrin in August 2002," the spokesman said.

"Sir Philip agreed with the prime minister's decision not to register the hospitality and said there was no merit in pursuing the issue further."

The Blairs stayed with Alain Perrin, then chairman of a company said to have a stake in British American Tobacco, in 2002.

The Sunday Telegraph newspaper said the family spent five days in Mr Perrin's 15th Century chateau in south-western France.

The Commons rules state that an MP is required to disclose any information of any "material benefit which ... might reasonably be thought by others to influence his or her actions, speeches or votes".

Mr Blair caused controversy three years ago when his family stayed in Sharm-el-Sheik at the Egyptian taxpayers' expense.

Since then he has paid for two further visits.

http://news.bbc.co.uk/1/hi/uk_politics/4176381.stm

http://news.scotsman.com/latest.cfm?id=3991475

ANTI-smoking campaigners want Victorian drivers to butt out.
Health groups are calling for a ban on smoking in cars for medical and road safety reasons.

The Asthma Foundation of Victoria has launched an appeal asking parents to stop lighting up when in their car with children.

The foundation will send letters to Victorians written from the perspective of a child sitting in the back of a smoke-filled car.

"I'm asking you not to smoke. You may not think it is affecting me, but it does," it reads.

"Tobacco smoke and poisonous chemicals enter my lungs, and boy, do I hate it."

Almost two out of three smoking parents in Victoria light up in their cars when their children are present.

Passive smoking puts a child at risk from asthma, bronchitis, pneumonia, cot death and middle ear disease and it also has an adverse impact on learning and awareness development.

The foundation's chief executive, Robin Ould, said: "Smoking is a major trigger for people with asthma.

"It also inhibits the development of lungs in young children."

Mr Ould said the letter would be sent to people who purchase Dunlop Foams booster seats and cushions from KMart and Big W stores across Australia.

The Australian Medical Association and Action on Smoking and Health have called for smoking bans, which will affect pubs, clubs and other licensed premises in Victoria from July 2007, to be extended to the family car.

AMA Victoria president Dr Sam Lees said people who smoked in cars were ignoring a child's right to a healthy environment.

"The concentration of cigarette smoke in cars, I'm sure, is higher than that in a bar," he said.

"To be depositing carcinogens in young lungs is not appropriate from a health perspective and an ethical and moral perspective."

ASH chief executive Anne Jones said: "We believe it's time for governments to extend smoke bans to all forms of transport."

She said smoking while driving was as distracting as talking on a mobile phone and a danger.

http://www.news.com.au/common/story_page/0,4057,11948249%255E2862,00.html

By Paul Paterra TRIBUNE-REVIEW Saturday, January 15, 2005

Stacy Clemmer could be attending today's Steelers playoff game against the New York Jets with her brother.

However, she will not be joining him.

Clemmer is the director of conferencing at the University of Pittsburgh at Greensburg, which has its annual La Cultura planned tonight. La Cultura is the primary fund-raiser for the school's travel fund, and Clemmer is on the prize and sponsorship committee.

"I was a little disappointed at first, but I knew that this was for a good cause," Clemmer said. "I'll probably be making sure I'm getting score updates."

Yes, Steelermania has taken hold of western Pennsylvania. That's what happens when you're 15-1.

The condition seems to have affected attendance for La Cultura. Karen Gavula, UPG's secretary of university relations and institutional advancement, said 175 people are expected, down from last year's capacity crowd of 240.

"We think it has had an effect," Gavula said. "We don't know positively. They haven't actually called and said they are going to the game." She did say scoring updates will be provided by students carrying placards during the cocktail hour only from 6-7 p.m.

Greensburg YMCA has begun raising money for this year's Strong Kids Campaign for disadvantaged youths, day camps and child care.

Executive Director Rick Nedley said Patti Peters, administrative assistant, suggested riding this Steelers wave and raising money for Strong Kids at the same time.

If any of the YMCA's 225 employees wear Steelers garb on Fridays while the Black and Gold stays alive in the playoffs, they donate $1.

"We could raise about $600," Nedley said. "It's kind of a fun way to get psyched up for the Steelers and raise money for Strong Kids."

That psyched-up feeling seems to be hitting schools as well.

Friday was Steelers Day at Dr. Robert F. Nicely Elementary School, in Greensburg. The lunch menu was loaded with Steelers fare, such as "Roethlisburgers," hotdogs with "Cowher" kraut, Randle El barbecued rib sandwiches, Bettis baked beans, fries with "Hines Ward" ketchup, Polamalu pineapple, black and yellow Jell-O and a black-and-gold Steelers cake.

Students, teachers and staff alike wore the black and gold.

"It's just a lot of fun," said Principal Dr. Luanne Matta. "It was really neat to see them coming off the bus. It gets the kids excited and makes them part of something happening in the area. "

Speaking of menus, restaurants too are capitalizing on the team's season. Several have sandwiches named for rookie quarterback Ben Roethlisberger, such as the Big Ben wrap at Mr. Bones in Greensburg.

Then there's the "Steeler Burger" at This and That Coffee bar in Punxsutawney. The creation by co-owners Patricia Stewart and David Miller contains beef, hot sausage, grilled onions, mushrooms, American cheese and honey mustard and is available Mondays and Fridays.

An ounce of beef is added with each consecutive victory, bringing the current total to 14 ounces. "David and I were watching the game when they won their sixth straight," Stewart said. "We got all excited and said, 'Let's add an ounce every time they win.' We never make it until the day we need it. I don't want to jinx it."

Steelers paraphernalia is sprouting up everywhere.

But it's always present in the yard of Regis Klimchok, of Youngwood, which has held a Steelers sign for some 20 years. Among the current messages: "This is the Year."

"We never take it down," Klimchok said. "We leave it up because we believe in the Steelers."

Jerseys, hats, pennants and, of course, the Terrible Towel, are available at several outdoor stands.

Joe Sprinko traveled to Steelers Country from Florida to "sell T-shirts" and other items. He's been doing just that for a few weeks in the parking lot of the Sheetz convenience store along Route 22 in Murrysville.

"Everybody's on pins and needles. They're waiting for the Steelers to start winning (playoff games)," Sprinko said. "We'll be here as long as the boys keep winning. It's up to the Steelers how long we stay."

Leo Hammer, of Big Top Sports.com, has set up shop in the parking lot of Choice Cigarette Discount Outlet on Route 22 in Murrysville for five weeks. "It was huge before Christmas," Hammer said. "With the playoff games coming, they're into it big time."

They seem to be, indeed, which experts feel is a great thing.

Dr. Audrey Guskey, professor of marketing and consumer trends expert at Duquesne University, said the timing is perfect because bad news has been prevalent in a city where retailers have been closing and population has dwindled.

"I think it has a huge impact," Guskey said. "It boosts everybody in the city. Post-holiday is a real downer for everybody. This comes at a wonderful time to give people something to look forward to and follow carefully. It's putting Pittsburgh in the winner's bracket across the country. It's just phenomenal. It's great for the city economically and psychologically.

Paul Paterra can be reached at ppaterra@tribweb.com or (724) 836-6220.

http://pittsburghlive.com/x/tribune-review/trib/regional/s_293511.html

The Associated Press Jan 15, 2005

RALEIGH, N.C. -- A group overseeing payments from a 1999 tobacco settlement said yesterday it has no objection to the state Supreme Court hearing a dispute over whether major cigarette-makers must pay $424 million to leaf farmers in 14 states, including Virginia.

The 1999 agreement gave North Carolina jurisdiction in the case for all states involved.

Five of the seven justices, including Chief Justice I. Beverly Lake Jr., said this week that they had potential conflicts of interest in the case, including stock ownership in tobacco-related companies and interests in tobacco farming.

A statement from lawyers for the North Carolina Phase II Tobacco Certification Entity called the potential conflicts "immaterial and insubstantial," and said the group felt the justices were qualified to hear the case.

Among the justices with Virginia connections, Lake and his wife own 2,000 shares of stock in Altria Group Inc., the parent of industry leader Philip Morris USA, which has its headquarters in Richmond. Justice Robert Edmunds and his sister own tobacco allotment on a family farm in Halifax County, for which they receive a yearly income of about $1,600.

A state Business Court judge ruled last month that cigarette companies didn't have to make a final, $189 million payment to growers because the 1999 settlement was superseded by Congress' October approval of a $10.1 billion tobacco buyout. He also ruled that the companies were due a refund of payments they made to farmers in 2004.

Agencies that oversee the Phase II payments in all 14 states asked the state Supreme Court last week to hear an expedited appeal that would bypass the North Carolina Court of Appeals.

http://www.timesdispatch.com/servlet/Satellite?pagename=RTD/MGArticle/RTD_BasicArticle&c=MGArticle&cid=1031780264309

NEW YORK Two cigarette makers are raising some prices. Analysts say it is the latest indication that conditions have stabilized in the U-S market.

Lorillard and Richmond-based Philip Morris are raising wholesale prices on a number of smaller brands, including Chesterfield and Kent, by one-dollar a carton.

The changes do NOT affect Marlboro, the leading U-S cigarette brand. Analysts say the brands going up in price reflect only a small percentage of business for both companies.

Both companies are also cutting back on some promotional discounts.

http://www.wavy.com/Global/story.asp?S=2812845

By MELINDA J. OVERSTREET

The parking lot overflowed at the State Theater Friday morning as people flocked to hear Lt. Gov. Steve Pence discuss Gov. Ernie Fletcher's tax modern-ization plan, also known as JOBS for Kentucky. The presen-tation was one of 13 scheduled to be held across the state.

Pence said there were twice as many in attendance at Elizabethtown as showed up in Louisville to hear about the program that he said focuses on economic development.

"What Governor Fletcher has done with this tax modernization program is find a way for us all to move Kentucky forward," Pence said.

Compared with the current tax code, which was written in the 1950s, Fletcher's plan is reliable, fair and friendly to businesses, Pence said.

"If corporations are not willing to locate here, we're not going to have good jobs," he said. "The majority of businesses are small companies that want to move here," and when they look at the bottom line, they look at the tax structure to see how it's set up.

The best and brightest young people are leaving the state to find more and better jobs, he said.

"That's the primary purpose of this — to bring better jobs to Kentucky."

The state is the 10th friendliest for manufacturing jobs, but it's in the bottom 10 for knowledge-based jobs, and that's the direction the economy is taking, Pence said, making his point by holding up his cellular phone and asking how many in the audience of about 140 had one.

"We have got to do a better job of preparing for the knowledge-based economy," Pence said, drawing an analogy of how jobs and education run on parallel but interdependent tracks.

"You do not get the money for education by taxing more," he said.

You get it by bringing more money into the state, he said.

The plan Fletcher is proposing lowers the tax rate for most companies by broadening the base of those taxed and redefining which and how businesses are taxed in a manner that is more fair, the lieutenant governor said.

For example, some cable television is taxed, while satellite is not.

About 300,000 low-income Kentuckians would be taken off the individual tax rolls, and 98 percent, or 1.25 million people, would have a tax reduction, he said.

Most people don't want to have to think about what the government is doing in Frankfort, Pence said. With no budget approved last year before the legislative session ended, and a judicial mandate to pass one or cut back to essential services by the end of June, everyone needs to take note, he said.

"This time it is important that our legislators deliver tax modernization, which has been talked about but never acted on," he said, and there has to be a budget.

If Fletcher's plan is approved, "it will send the right message to companies," and 7,000 jobs would be created in the first year of implementation, Pence said.

Rep. Mike Weaver, D-Radcliff, said the tax modernization plan would have to be in the hands of the House of Representatives' leadership as soon as it reconvenes at the first of February in order for there to be enough time for it to be dealt with during the 30-day session. The leadership of both chambers, with help from the Legislative Research Commission, should work on it at the same time, he said.

"I think we have an opportunity here to do something," Weaver said. There are three ways to do it: pass a budget; pass a budget and tax modernization together; or pass the two things separately. He's willing to work with any of the three approaches, he said. "It's going to take a lot of negotiations and a lot of thought to make it happen."

Part of the budget standstill in the 2004 General Assembly came from disagreement over whether tax modernization should be attached to the budget bill.

At least 15 attendees were employees of Hardec's Wholesale, which, among other things, distributes tobacco products. An increase in the commonwealth's cigarette tax is going to be a key component in the tax plan, Pence had said.

Hardec's president, Charlie Casper, questioned the plan after Pence's presentation, stating that the low cigarette tax rate (3 cents per pack) that Kentucky has now gives it a competitive edge. Many people come from neighboring states to buy cigarettes and spend money on other things while they're here, he said, predicting a $60 million loss of revenue and job losses as well.

Further, he said, the 40 cents a pack rate he's heard mentioned as a possibility would be a 1,300 percent increase that is not fair and puts more of a burden on people who can afford it the least.

"We couldn't agree with you more about Kentucky needing jobs and tax modernization," Casper said. But he asked what other types of tax changes the state has investigated.

Pence countered that although the 40-cent figure is one that has been "out there," he doesn't know that it is the one that will be final.

"One of our biggest expenses is Medicaid costs, and much of that is related to people who smoke," and smoking's associated health risks, the lieutenant governor said.

A higher cigarette tax would place more responsibility on smokers to help offset that cost, but that is "only one component of a multifaceted tax plan," Pence said.

Other questions from the audience centered around Medicaid costs and fraud, concern about whether the equine industry is being treated fairly, and whether tax incentives to encourage companies to revitalize older buildings would be part of the tax modernization plan.

After the forum, Pence said that, overall, the plan had received "a very favorable response" from the public.

"I think all voters believe we need this, but they're skeptical because of the last session," he said, adding that many of them had made their dissatisfaction with the lack of a budget known to their representatives and senators.

"I think most of the legislators got the message."

Melinda J. Overstreet can be reached at 769-1200, Ext. 240, or at moverstreet@thenewsenterprise.com

http://www.newsenterpriseonline.com/articles/2005/01/16/news/news2.txt

By Kate Thayer Of the Post-Dispatch 01/15/2005
For most Illinois cigarette smokers, it seems that convenience trumps frugality.
Two years after Illinois increased its cigarette taxes to 98 cents, up from 58 cents, Metro East retailers report that cigarette sales are strong as ever - even though smokers can save $1 or more a pack by crossing to Missouri, where the tax is 17 cents. (The spread is slightly smaller in St. Louis County, which has an additional 22-cent tax.)
Illinois officials, who raised the tax to offset budget shortfalls, say new revenue is finally approaching levels they had hoped for. Steady sales boosted revenue by $86.1 million last year in Illinois.
Revenue from the tax initially fell short of expectations. State officials attributed weak early returns to a combination of smokers crossing state lines to save money, and vendors who had stocked up on millions of excise stamps at pre-hike rates.
Kim Schultz, assistant manager at BAC Moto Mart in Belleville, said customers notice the price increase but don't seem to be crossing into Missouri to buy their cigarettes.
"(Customers) talk about getting their cigarettes in another state, but I don't think they do," Schultz said. "Our sales haven't decreased."
She said it appears that customers are more likely to respond to price hikes by switching to cheaper brands.
Time mattered more than money for smokers who bought Marlboros last week at the Club Centre Moto Mart in Edwardsville.
"I don't have time to go to Missouri to save on cigarettes," said John Leitschuh, 26, a landscaper from Edwardsville. He had paid $4.21 for a pack of Marlboro Reds.
Leitschuh said he has smoked a pack a day for 10 years. "If I don't have them, I stop where I am and get them," he said.
Joe Hicks, 26, a construction worker from Granite City, ducked in to the convenience shop on his lunch break and bought a pack of cigarettes to go with a deli sandwich.
"If I'm closer to Missouri, I might go over and get a pack, but not usually," said Hicks, who has smoked for nine years.
Store manager Jim Warnecke said he also sees customers continue with their smoking habit, despite higher taxes.
"There are some who go across the border to buy (cigarettes), but for the most part, people say they're going to quit or cut back, but that may only last for about one to two weeks."
Raking in revenue
Mike Klemens, spokesman for the Illinois Department of Revenue, said since the 40-cent increase, sales have generated a total of about $215 million in additional revenue since 2002.
Revenue officials first estimated that the tax increase would bring in about $230 million in additional revenue in the first year, but those figures fell short because retailers stockpiled packs with the old 58-cent tax before the new rate started, Klemens said.
In the fiscal year ended in June 2003, the first year with the higher cigarette tax, the state collected $643.1 million from the tax. That was a $178.6 million increase over 2002. A fiscal year runs from July through June.
Although the first year's revenue from the tax fell short of expectations, Klemens said last fiscal year - ended in June 2004 - made up most of the difference.
"People stocked up at a lower price, so that pushed off receipts to (the 2004 fiscal year)," Klemens said.
In 2004, the state collected an additional $86.1 million, bringing the total new revenue from the tax to $264.7 million.
However, about $50 million of that was advance payment for cigarette tax stamps for the coming year, bringing total take of the new tax to about $215 million.
If figures remain steady, the tax will continue to bring in about $700 million each year, as opposed to less than $500 million before the tax increase.
Kicking costly habit
Kathy Drea, public policy director for the American Lung Association, said cigarette tax increases often prompt smokers to kick their habit for good. She also said the higher the cost for cigarettes, the less likely teens will start smoking.
When there is a tax increase, the volume of calls to the Lung Association's Illinois Tobacco Quitline also increases, she said. Drea added that even though revenue is pouring in for the state, it does not mean people aren't quitting.
"People want to quit," she said. "(The tax increase) makes them think about it twice."
Diane Moore of Brighton said she considered quitting after the tax increase but opted instead to cross the Clark Bridge to St. Charles County to stock up on cartons of Doral. She pays $21.46 a carton at the Fisca gas and convenience store in West Alton. Dorals average about $27 a carton in Illinois.
"I save on gas here, too, so it's well worth it," Moore said. A gallon of regular gasoline at Fisca was $1.76 on Friday, about 14 cents cheaper than in Illinois.
Fisca manager Randall Brown said the tax increase in Illinois "was the best thing ever for our business."
"I wish they'd raise it again," Brown said. "Our business is up 30 to 40 percent since the tax hike."
A Peoria smoker, John Quinlan, 49, was installing a new ATM at Fisca on Friday morning.
His work brings him to Missouri twice a month.
"I resent that Illinois is balancing the budget on smokers' backs," said Quinlan, who favors Marlboros. "I refuse to buy (cigarettes) in Illinois. And I think anybody who does is a fool."
Paul Hampel of the Post-Dispatch contributed to this report.
Reporter Kate Thayer
Phone: 217-782-4912

http://www.stltoday.com/stltoday/news/stories.nsf/metroeast/story/991B40CB92D5887786256F8A00376C72?OpenDocument&Headline=In

+Illinois,+cigarette+tax+hike+hasn%E2%80%99t+hurt+sales

By Reuters January 14, 2005,

New York City Mayor Michael Bloomberg said Friday that smokers who bought cigarettes over the Internet had better be prepared to cough up taxes they tried to avoid by going online.

"The law says you got to pay your taxes. The handful of people who don't are just stealing from the rest of us," Bloomberg said in a weekly radio address.

The city's finance department this week sent letters to 3,700 smokers asking them to fork over $1.3 million in city taxes from Internet tobacco purchases.

The annual loss to the city from online tobacco sales totals $40 million, according to Joanna Perlman, a finance department spokeswoman. Some individuals owed as much as $10,000.

"If you have a bill for $10,000 for cigarette taxes, you're a dealer, you're not just smoking," Bloomberg said.

"The finance commissioner is required by the city charter to enforce the law. It's against the law to buy something out of state and bring it in and avoid sales tax," he said.

http://news.com.com/N.Y.+asks+online+cigarette+buyers+to+cough+up+tax/2100-1030_3-5537213.html

By: Tim Boyum & Web Staff 1/14/2005

Saturday morning Governor Mike Easley takes the oath of office for his second term.

Easley beat Patrick Ballentine convincingly in the November election. He also enjoys a General Assembly controlled by fellow Democrats.

Four years ago Mike Easley walked into office facing a major budget crunch. This time he faces another shortage, close to $1 billion.

“I think the major thing he's going to do in his second term is continue to do what he did with the Dell deal which is bringing new business to North Carolina,” David McLennan, Peace College political expert, said.

Beyond business, Easley made early education his priority in his first term. Political experts believe he'll focus on high schools in his second term.

“I heard a legislator the other day say’ that's all I ever hear from him education, education, education,’” Ferrell Guillory, UNC political expert said. “The legislator was grumbling because he wanted to