2003 House Bill 5221 ↩

House Roll Call 629: Passed

To impose a 35-cent per pack "equity assessment" on the sale of cigarettes by tobacco companies which are not parties to the 1998 tobacco settlement. The companies would be required to annually prepay the "assessment" for the coming year, based on a sales estimate made by the Department of Treasury. This refers to the multi-billion dollar out-of-court settlement between tobacco companies and 46 states for compensation to state taxpayers for the increased cost they may have incurred for the medical care for thousands of smokers. The Senate Fiscal Agency estimates that Michigan’s share of the settlement will average around $300 million a year for the next several years. This bill will levy approximately $3 million in additional "assessments".