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Tobacco Settlement

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BY A SUN STAFF WRITER | November 25, 1998
Gov. Parris N. Glendening is backing a $1.50 increase to the existing 36-cents-per-pack tax on cigarettes. An article in yesterday's Maryland section incorrectly stated the proposed tobacco increase.The Sun regrets the errors.The state Board of Public Works agreed unanimously yesterday to accept a tobacco settlement that will pay Maryland more than $4.2 billion over the next quarter-century.Gov. Parris N. Glendening, chairman of the board, called the deal a "major win" for the state, which has been spending more than $100 million a year on tobacco-related health costs.
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NEWS
By Larry Carson and Larry Carson,larry.carson@baltsun.com | April 26, 2009
Furloughs, layoffs and budget cuts in every department except schools in the $1.4 billion budget proposed by County Executive Ken Ulman don't mean the government will disappear starting July 1. But residents will surely see and feel the difference, officials say. And while government spending would fall by 1.5 percent, most residents will pay more for reduced services, though neither the income nor property tax rates are to rise. Homeowners' property tax bills still would go up about 5 percent on average under the county's cap on rising state assessments, and water and sewer bills would rise an average of $10.95 per quarter for a family of four using city water, officials said.
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FEATURES
By Dave Barry and Dave Barry,Knight-Ridder News Service | August 10, 1997
Could you please explain the recent historic tobacco settlement?Sure! Basically, the tobacco industry has admitted that it is killing people by the millions, and has agreed that from now on it will do this under the strict supervision of the federal government.Will there be monetary damages assessed?Yes. To compensate for the immense suffering caused by its products, the tobacco industry will pay huge sums of money to the group most directly affected.Lawyers?Yes.Will the federal government also receive large quantities of money?
NEWS
By Patrick Basham | July 28, 2008
Two recent events underscore big problems with the way society tries to fight tobacco use. First, a new Harvard study came out alleging that the tobacco industry manipulated menthol levels in cigarettes to hook young smokers in violation of the 1998 Master Settlement Agreement, which bans tobacco companies from targeting youths. And second, billionaires Michael R. Bloomberg and Bill Gates last week threw their support behind a new $500 million worldwide effort to stop smoking. Whatever the tobacco companies may have done with menthol levels, the bigger scandal is how states have misspent the billions paid to them by the tobacco industry.
NEWS
By Mary Gail Hare and Mary Gail Hare,SUN STAFF | September 26, 2000
Carroll County will tap a local group of health care providers to administer cancer prevention programs, funded by $427,147 the county will receive this year from the state's cigarette restitution fund. "We are really fortunate in Carroll County that we have already formed a partnership and have identified the issues," said Patricia A. Supik, executive director of the Partnership for a Healthier Carroll County. "A lot of people in the community are ready to go on this." Like other health departments throughout the state, Carroll will receive money from the tobacco settlement to pay for cancer prevention and screening.
NEWS
By M. Dion Thompson and M. Dion Thompson,SUN STAFF | January 11, 2001
Gov. Parris N. Glendening told key legislators yesterday that he will provide taxpayer money to replace more than $40 million for cancer research and other efforts aimed at reducing the number of smokers in the state. The money should have been available through Maryland's portion of the national tobacco settlement, but the administration has been holding the money in escrow because of the state's dispute with lawyer Peter G. Angelos over his fees. The state will provide $16 million for cancer research and other programs that had been denied money pending resolution of the dispute.
NEWS
By Tom Pelton and Tom Pelton,SUN STAFF | December 12, 2001
The University of Maryland School of Law announced yesterday the creation of a legal resource center to promote anti-smoking legislation, the first of its kind in the nation funded by tobacco settlement money. Two full-time attorneys employed by the Legal Resource Center for Tobacco Regulation, Litigation and Advocacy will advise local governments on ways they can draft anti-smoking laws that will stand up to court challenges by the tobacco industry. "A number of local governments in Maryland have been frustrated, to say the least, in trying to pass restrictions or bans on smoking," said Karen H. Rothenberg, dean of the law school.
NEWS
By Scott Shane and Scott Shane,SUN STAFF | April 5, 2000
A Baltimore law firm has filed a class action lawsuit against the state of Maryland, seeking as much as three-fourths of the state's $4.6 billion tobacco settlement on behalf of Medicaid patients suffering from smoking-related illnesses. "The tobacco industry paid a lot of money to the state because it victimized a lot of people," said Marc Seldin Rosen, of Scanlan, Rosen & Shar. The lawsuit, filed Monday in Baltimore Circuit Court, is based on federal regulations governing the Medicaid program, which pays for health care for the poor.
BUSINESS
By Ted Shelsby and Ted Shelsby,SUN STAFF | March 18, 1999
Tobacco farmers in Virginia stand to receive half of the $4 billion the state will receive from the nationwide settlement last year with cigarette manufacturers. Maryland leaf growers won't be nearly as fortunate.Gov. Parris N. Glendening is opposed to a plan -- which was drafted in part by the state Agriculture Department -- that would provide 4 percent of Maryland's $4.2 billion share of the settlement to assist tobacco growers and help stabilize the agriculture economy of Southern Maryland, state Agriculture Secretary Henry A. Virts said yesterday.
NEWS
By Scott Shane and Scott Shane,SUN STAFF | November 19, 1998
Maryland health groups urged state officials yesterday to reject the proposed tobacco settlement, saying that many of its purported benefits are illusory and warning that it could hamstring future attempts to battle smoking.Most significantly, Smoke Free Maryland, a coalition of 65 organizations that includes all the state's major health advocacy groups, wrote Gov. Parris N. Glendening and Attorney General J. Joseph Curran Jr. yesterday urging them not to sign the deal."We think we can get a better deal by taking Maryland's case to court," said Dr. Albert L. Blumberg, president of Smoke Free Maryland.
BUSINESS
By M. William Salganik and M. William Salganik,SUN STAFF | February 9, 2005
The chairman of the House of Delegates' health committee unveiled a plan yesterday to provide more medical care for the uninsured using funds from the state's tobacco settlement and a forced contribution from CareFirst BlueCross BlueShield. The plan drew immediate opposition at its initial hearing, but Del. John Adams Hurson, the Montgomery County Democrat who heads the House Health and Government Operations Committee, said he remains optimistic that a consensus can be reached. "We've sat here for years not addressing the uninsured," Hurson said.
NEWS
February 3, 2005
RESEARCHERS AT the University of Maryland's Greenebaum Cancer Center recently began testing a vaccine to prevent prostate cancer from recurring in men. It could prove an extraordinary development in the long-term fight against the disease. Cancer is the No. 1 killer of American adults under age 85, and prostate cancer is its most common form in men. Credit for this potential breakthrough goes to some dedicated scientists - and to a critical source of money for their mission, the CRF. That's the Cigarette Restitution Fund.
BUSINESS
By BLOOMBERG NEWS | April 19, 2003
NEW YORK -Standard & Poor's cut the credit ratings yesterday on $18 billion in municipal bonds backed by payments cigarette makers owe the states, blaming weakening industry conditions. The ratings reductions, which apply to debt maturing after April 15, 2004, come as cigarette makers encounter an "adverse litigation environment and expectations for additional state excise tax increases," Standard & Poor's said. Also contributing to the ratings downgrades was a report by Philip Morris USA that cigarette shipments fell by 16 percent in the first quarter.
NEWS
By David Nitkin and David Nitkin,SUN STAFF | September 27, 2002
Lt. Gov. Kathleen Kennedy Townsend released a detailed plan yesterday for closing a $1.7 billion state budget gap over the next 18 months, saying she would use a combination of cuts, transfers and the possibility of a tobacco tax increase to balance spending and revenues. A key component of her proposal is the sale of a portion of Maryland's stream of tobacco settlement payments to generate cash. The technique, known as securitization, was criticized by Republican gubernatorial nominee Robert L. Ehrlich Jr. as an irresponsible robbing of future resources, and by health advocates who feared the anti-cancer programs funded by tobacco dollars would be at risk.
SPORTS
By Jon Morgan and Jon Morgan,SUN STAFF | August 29, 2002
Last time the owners and players of Major League Baseball met on the field of battle, it wasn't clear to some hard-liners which side Orioles owner Peter Angelos was on. He alone among the 28 team owners refused to sign replacement players that year, 1994. A rookie owner, he even had the audacity to suggest other teams follow his lead and disclose summaries of their finances to build sympathy for their cause. That was then. This is now: The one-time outsider now has a seat at the table, literally.
NEWS
By Gerard Shields and Gerard Shields,SUN STAFF | June 16, 2002
Millions in tobacco settlement funds for smoking cessation and cancer screening programs throughout Maryland have not been spent because of the state's inability to quickly distribute the money. Many counties also were unprepared to spend the money when it was finally made available. Baltimore County gave back $3.1 million of the $3.4 million it received through the state's Cigarette Restitution Fund, the account into which Maryland deposits funds obtained from a $206 billion nationwide tobacco settlement.
NEWS
By NEW YORK TIMES NEWS SERVICE | September 14, 1997
WASHINGTON -- Just three months ago, state attorneys general and tobacco industry executives announced a $368.5 billion legislative proposal that was to mark a turning point in the United States' decades-old conflict over smoking and health.But today the proposed tobacco settlement is all but dead. And what, if anything, will rise in its place remains the subject of intense debate.Though White House officials helped shape the proposed tobacco accord, a chasm has since opened within the Clinton administration over whether the president should give it a qualified endorsement or abandon it in favor of a broader public-health initiative.
BUSINESS
By BLOOMBERG NEWS | April 19, 2003
NEW YORK -Standard & Poor's cut the credit ratings yesterday on $18 billion in municipal bonds backed by payments cigarette makers owe the states, blaming weakening industry conditions. The ratings reductions, which apply to debt maturing after April 15, 2004, come as cigarette makers encounter an "adverse litigation environment and expectations for additional state excise tax increases," Standard & Poor's said. Also contributing to the ratings downgrades was a report by Philip Morris USA that cigarette shipments fell by 16 percent in the first quarter.
NEWS
By Larry Carson and Larry Carson,SUN STAFF | February 17, 2002
Standing outside one day with a friend who was smoking, Howard County Fire Battalion Chief Sean Kelly remembers thinking that since he had stopped two years earlier, it wouldn't hurt to have just one. "I was dead wrong," Kelly, a pack-a-day man, said -- eight years later at one of the Howard County Health Department's new stop-smoking classes at the Bureau of Utilities on Old Montgomery Road. Now, he's gearing up to stop again -- Feb. 27 -- at the fifth class of the 12-week, $140,000 course, funded with state tobacco settlement money.
NEWS
By Tom Pelton and Tom Pelton,SUN STAFF | December 12, 2001
The University of Maryland School of Law announced yesterday the creation of a legal resource center to promote anti-smoking legislation, the first of its kind in the nation funded by tobacco settlement money. Two full-time attorneys employed by the Legal Resource Center for Tobacco Regulation, Litigation and Advocacy will advise local governments on ways they can draft anti-smoking laws that will stand up to court challenges by the tobacco industry. "A number of local governments in Maryland have been frustrated, to say the least, in trying to pass restrictions or bans on smoking," said Karen H. Rothenberg, dean of the law school.
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