Moak hoping for progress on smoke tax bill
Published 5:00 am Tuesday, March 31, 2009
House lawmakers negotiating a potential cigarette tax increasewill make a new offer to opposing senators Tuesday morning, a dealthat will likely close the gap between the two chambers’ desiredincrease totals, a local legislator said.
District 53 Rep. Bobby Moak, D-Bogue Chitto – one of the House’scigarette tax conferees – said it would be the House’s turn to makea deal, likely coming down from its 80-cent position to move closerto the Senate’s 64-cent total. Since negotiations began on HouseBill 364 in February, the House has dropped 20 cents from itsoriginal $1 position, while the Senate has increased 15 cents fromits starting 49-cent position, he said.
“We should have some more movement,” Moak said of Tuesday’smeeting. “I was hopeful we’d get a plan instituted last week.”
Moak said negotiations failed last week, when he was sure acompromise was forthcoming, because of the Senate’s refusal toincrease its 60-cent stance and what he believes is a misguidedeffort to save the state’s car tag rebate program with cigarettetax revenue. The stalemate caused the conferees to miss alegislative deadline, and the full House and Senate had to vote tosuspend legislative rules Monday to revive HB 364.
The Senate is under pressure to institute a tax immediately,Moak said, because the Legislature will likely adjourn Wednesdayfor at least 30 days. That would derail the Senate’s hopes offunneling cigarette money into the car tag fund by May 1, when thestate tax commission will set new rates.
“They’re so worried about car tags they put it all in jeopardy,and they have it in jeopardy right now,” he said. “You would haveto have a $2 per pack tax increase to generate enough revenue totake care of that by May 1. If we leave for 30 days, May 1 is gone.If you’re gonna act, you’ve gotta act now.”
The House’s proposal for the issue, Moak said, is to transferapproximately $10 million into the car tag fund from the state’sgeneral fund, which he said would be made up later with deficitappropriations. He said the House’s plan is the only sure way tosave the car tag program.
“This is just someone trying to jockey for political positionwhen there is none,” Moak said of the Senate’s commitment to usingcigarette tax revenue for the car tag fund. “We feel like we have along-term solution.”