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More About the Cigarette User Fee POSITION: Support an increase in the cigarette user fee by $1.00 per pack in Florida, and use the additional revenue to: 1) ensure and expand access to health care for low-income children and adults, with an emphasis on the treatment of smoking-related illnesses; and 2) reduce smoking rates and alleviate the severe toll that smoking exacts on Floridians and their health. FLORIDA BRINGS IN LESS MONEY THAN MOST STATES FROM TOBACCO SALES CIGARETTES COST FLORIDA MONEY AND LIVES Tobacco use imposes enormous costs on our state. The burden on the Medicaid program alone exceeds $1 billion annually. Total smoking-related health costs are more than $6 billion per year, with the combined costs - including lost productivity – reaching almost $13 billion. This year, more than 31,000 Floridians will die from smoking-related illnesses. A $1 INCREASE PER PACK OF CIGARETTES WOULD BOOST STATE REVENUE AND GET FLORIDIANS HEALTHIER An additional $1 fee per pack in Florida would generate a billion dollars in additional revenue in 2009-10 alone, according to the Florida Legislature’s economists. This could significantly increase access to health care, both directly (through expansion of programs and increases in services) and indirectly (by providing critically-needed increases in physician reimbursement rates under the Medicaid program). The Healthy Florida Alliance proposes the following uses for increased cigarette revenue: · Medically Needy: A dedicated source of revenue for short-term Medicaid coverage for low-income patients with no other way of paying their catastrophic medical bills. · MEDS-AD Waiver Program: A dedicated source of revenue for Medicaid coverage for particularly vulnerable seniors and persons with disabilities, all of whom have incomes below 88% of poverty level.
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