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New Jersey currently spends nothing, except for close to $3 million in federal funds, on anti-smoking programs. The U.S. Centers for Disease Control and Prevention recommends that New Jersey spend more than US$103 million a year on anti-smoking programs, or almost $73 million as a bare minimum. This is the fifth straight year the state has spent none of its own money.
A new bill may change that, though only slightly. A proposal to commit 5% of cigarette tax revenues to smoking programs is advancing, but it was scaled back to just 1% to gain the support of New Jersey governor, Chris Christie’s administration and avoid a veto. This would mean that the state would spend around $6.7 million.
New Jersey’s cigarette tax is currently the nation’s ninth-highest at $2.70 a pack. This year the state expects to collect around $700 million in tobacco taxes, including a wholesale tax, and an additional amount of more than $200 million a year from the state’s share of a 1998 settlement with tobacco companies.
Close to $400 million in revenue from the cigarette tax is directed to hospitals for charity care for the uninsured, and more than $100 million goes to repay past borrowing. Only about $150 million goes into the state’s general fund.
New Jersey has been steadily reducing its spending on anti-smoking efforts for more than a decade. After 2001-2003, when it would spend $30 million a year, it has spent around $75 million total in the last 14 years combined – including nothing since fiscal year 2012.