CA's healthcare-focused tobacco tax defeated

California's proposition 86 has been defeated in this week's mid-term vote. The proposition would have boosted the tax on cigarettes from $.87 to $2.60 per pack, as well as boosting taxes on products like cigars and smokeless tobacco. The measure was projected to bring in an estimated $2.1 billion, and save $16 billion in state health costs. California would have used the revenues to fund hospital services, provide health insurance for children, support medical research and provide anti-smoking education. Tobacco industry groups, of course protested vigorously, spending more than $66 million to fight the measure, and it seems they won the day.

For more background on the California battle:
- read this Los Angeles Times article

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