MML #1: Taxing Vapes, Banning Menthol, Licensing Cigarette Retailers and More on the Table in Michigan
(Crystal A. Proxmire, March 18, 2024)
Lansing, MI – Smoking has re-emerged as a hot topic in Lansing as the Senate considers a package of bills related to tobacco regulation.
Minou Jones, CEO of Making it Count Community Development Corporation was a presented at the Michigan Municipal League’s Capital Conference in Lansing on March 13. After working in public health for more than two decades, and loosing her father to smoking-related COPD, Jones is working hard to not only raise awareness about the dangers of smoking and vaping, she’s pushing for laws to slow the tobacco companies down.
Senate Bill 647 would allow local governments to implement ordinances around tobacco sales and use.
Senate Bill 648 would tax e cigarettes/vapes.
Senate Bills 649 and 650 would end the flavoring of tobacco products, including menthol cigarettes and flavored cigars
Senate Bills 651 and 652 would require the licensing of tobacco retailers.
Senate Bill 653 would repeal penalties against minors who smoke.
The bills are currently in the Committee on Regulatory Affairs. The bills are not tied together, so officials could opt to vote yes or no on each bill. Jones is helping to spread the word by going to local communities and asking for resolutions in support of the bills. So far Ann Arbor, Detroit, Flint, Washtenaw County, Wayne County, and Benton Harbor have passed resolutions.
The health issues related to smoking and vaping may seem obvious, yet Michiganders – including youth – continue on the path of poor health and addiction at some of the highest rates in the nation. The Tobacco Network lists the twelve states with the highest rates of smoking.
The Truth Initiative expounds on the findings. “Smoking prevalence is nearly 50% higher in a group of Midwestern and Southern states compared to the rest of the country… In 12 states – a region we call “Tobacco Nation” that spans Alabama, Arkansas, Indiana, Kentucky, Louisiana, Michigan, Mississippi, Missouri, Ohio, Oklahoma, Tennessee, and West Virginia – both adults (19.2% vs. 13%) and young adults (11.2% vs. 7.6%) have 50% higher smoking prevalence and smoke many more cigarettes per capita annually than people living in other states (on average, 53 vs. 29 packs). That means a smoker living in Tobacco Nation could smoke nearly 500 more cigarettes per year than the average smoker in the rest of the U.S,” the groups website says.
Smoking is the number one cause of preventable death in Michigan, with 16,200 deaths in 2022. This far outpaced other causes including drug overdose (2,998), secondhand smoke (1,740), alcohol (1,586), suicide (1,494), auto accidents (1,211), homicide (795), and AIDS (90).
Preventing youth smoking is becoming increasingly challenging, for a number of reasons Jones explained. Vaping has distinctly increased the allure, with nicotine available in any number of flavors, packed to look as bright and fun as candy and easily available at gas stations and party stores across the state.
While sales of e-cigarettes and regular cigarettes to minors is a crime, enforcement is rare, and the penalties are small compared to the rewards. “Police are out there dealing with murders and assaults,” Jones said. “This isn’t a priority.”
She added that with a penalty of only $50, there is little to disincentivize sales. That’s why Senate Bills 651 and 652 are so important, she said. Requiring businesses that sell tobacco products to be licensed would give local governments some leverage in curbing underage sales.
In 2022, the Food and Drug Administration did compliance tests to see if local retailers were selling to minors. Across Michigan, 30% of those retailers tested failed. In Detroit that number was 57%. And in Pontiac it was 40%.
Licensing would also mean that officials would know where products are, or what products are in stores that sell tobacco and vape products. Jones’ presentation in Lansing came shortly after the March 4 fire in Clinton Township where a warehouse of improperly stored vaping chemicals caused hundreds of explosions with dangerous debris shooting into the air. A 19 year old was killed by debris.
The presenter lives less than three miles from the site, and was able to share how scary and massive the event was for neighbors. “Our house shook over and over again for more than an hour straight,” she said.
“This is an example of some of the issues we have in Michigan because we don’t have regulations and licensing.” Licensing would prevent people from being in the tobacco and vape business that don’t follow rules. Another recent example of this was in Detroit where a vape shop was closed after allegedly selling marijuana to a minor.
Jones also noted that in many cases, the owners of the vape shops and the stores selling cigarettes do not live in the communities where they sell these items. “They’ll make money off your community and take it somewhere else,” she said.
Low income communities are the heaviest consumers of tobacco products. Across the US, 13.5% of Americans smoke. In Genessee County, which includes Flint, that number is 22.4%. And in Pontiac that number is 24%.
The topic of banning menthol is particularly associated with low-income, black communities as well. According to the presentation, 85% of black people who smoke opt for the menthol varieties. Advertising of menthol cigarettes has often been aimed at the black community. Menthol increases the addictive properties of cigarettes. It also helps hook new users because the cooling properties and smoother taste make them feel like a less-harsh alternative to non-flavored tobacco.
In 2009, the FDA banned the use of flavors in cigarettes, with the exception of menthol. In 2022 the FDA proposed adding menthol to the list, as well as banning flavors in cigars, though there appears to be some politics slowing down final approval.
Banning menthol in cigarettes does present a quandary for the black community. Jones explained that because menthol is used predominantly by the black community, removing menthol could be seen as a cultural attack. She speculated that delays could be due in part to fears about push-back by black voters. Another fear is that if taxes were raised on regular cigarettes, or added to e-cigarettes, those taxes would disproportionately impact low income communities.
Her argument to this is that it doesn’t matter. “When the price goes up, people quit,” she said. “When you keep cigarettes cheap, you aren’t doing me any favors.”
Apart from the social justice and health issues around tobacco, there is also the economics and how that impacts the entire state.
The healthcare costs are an obvious burden. According to 2022 data, 8.5% of pregnant women smoked during their pregnancy. Medicaid costs were $1.46 billion dollars for smoking-related health issues. And the per capita cost of smoking related healthcare if $533 annually.
Tobacco sales could also be bringing more revenue into the state than they are now.
Currently cigarettes are taxed at $2 per pack. The amount has not changed in over 20 years. E-cigarettes are currently not taxed. “That’s $300 million in revenue we should be receiving [if they were taxed],” Jones said.
Revenue from taxation could help the general budget, as well as provide resources for education and cessation efforts.
Over the years, regulations have helped to reduce smoking. In 1965, 42.4% of Americans smoked, a number that has steadily declined over the decades. In her lifetime, Jones can remember when people would smoke everywhere – including bars and restaurants, college classrooms, and even in hospitals.
Not everyone is happy with the prospect of taxes, regulations, and reduced access, mainly those that profit from them. But there’s also another argument that comes up.
“Time and time again we’re asked, ‘what about smokers rights?'” Jones said. Her response is that 70% of people who smoke, want to quit, but simply struggle with the addiction. And that “even smokers don’t want their kids to smoke.”
For more information on Jones’ efforts, visit https://www.umakeitcount.org/.
This story is part of a series of stories from the Michigan Municipal League Capital Conference which took place in Lansing on March 12-13. Learn more about MML at https://mml.org/. Read more Oakland County Times stories from MML trainings and conferences here.
