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Tobacco settlement spending challenged

September 21, 2001

Granholm

Michigan Attorney General Jennifer Granholm is calling on the state Legislature to re-examine its priorities in appropriating Michigan’s share of the $206 billion national tobacco settlement.

Granholm hosted Mississippi Attorney General Mike Moore, who led lawsuit efforts against the tobacco companies in 1994, for meetings with MSU students and state leaders Thursday. A portion of the award from the lawsuit was intended to offer additional money to help the state campaign against smoking, but the settlement has been used elsewhere.

“The point is to educate students who are coming into power - those who will be doctors, lawyers, citizens - about the importance of spending this money for the purpose that this lawsuit was brought in the first place,” Granholm said.

In November 1998, attorneys general of 46 states announced tobacco companies had agreed to the $206 billion settlement over 25 years. The agreement also banned outdoor billboards, merchandise with brand name logos, advertising in subways, and the use of cartoon characters in marketing programs.

Michigan has received about $615 million of its $8.2 billion portion of the settlement since payments began in December 1999.

“We haven’t spent one dime of the tobacco settlement on prevention,” Granholm said. “What a travesty that is.”

Moore said states that have used the settlement on campaigns aimed at preventing smoking have seen positive results. In Mississippi, Moore said youth smoking rates dropped 30 percent, chewing tobacco is down 40 percent and cigar smoking has been reduced 50 percent in his state.

“Only about six states in America are really spending the money right,” he said. “Michigan is dead last in how it is spending the tobacco proceeds. They aren’t spending the money on improving the public health of citizens, or spending on prevention of tobacco use, especially among kids.

“What excuse does Michigan have?”

Michigan legislators, including state Reps. Virg Bernero, D-Lansing, and Doug Hart, R-Rockford, spoke at a press conference with Granholm and Moore, asking fellow legislators to re-evaluate the uses of the settlement.

“Too many kids in Michigan continue to pick up this filthy habit,” Bernero said. “We must do more through effective education and outreach to stop addiction to cigarettes before it happens.”

More than 3,000 children become smokers every day, said the Campaign for Tobacco-Free Kids.

Hart said tobacco companies are spending $185 million in Michigan in marketing, so the state needs to educate potential smokers.

“We need to support creative and effective efforts to combat this recruitment and to prevent our kids from falling prey to the addictive impact of tobacco,” Hart said.

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