Chicago Mayor Trims Cigarette Tax Hike

Mayor Rahm Emanuel settles on a 50-cents per pack cigarette tax.

November 27, 2013

CHICAGO – As a compromise to aldermen concerned about street corner sales of loose cigarettes, Chicago Mayor Rahm Emanuel trimmed his 75-cents-a-pack cigarette tax hike by 25 cents, the Chicago Sun-Times reports.

The concession will ease opposition to the mayor’s $7 billion 2014 budget, which includes the tobacco tax increase.

“He wasn’t budging. [But after] trying to get him to understand it would be detrimental to our communities, he came with us. So, it was like, ‘Thank you,’” said Budget Committee Chairman Carrie Austin.

Asked if she was surprised that the mayor blinked, Austin said, “On something that he was so passionate about, yes....Our membership was extremely focused on it being 25 cents [a-pack]. I didn’t think I could get him down to 25. But I was glad I could get him down to 50.”

Even with the 50-cent increase, Chicago’s combined state and local tax on cigarettes will still be the nation’s highest and 31 cents higher than New York City’s ($7.17 vs. $6.86).

“We still create the black market when we raise that bar at any level,” said Alderman Jason Ervin.

Public health experts expressed disappointment with the announcement.

“The cheaper the cigarettes, the more people who are going to buy cigarettes and the more people who are going to die,” said the American Heart Association’s Mark Peysakhovich. “It’s always difficult to see a health measure eroded by pushback from the other side. But 50-cents is better than nothing.”

In the meantime, the mayor’s critics are claiming a partial victory.

“While we would have preferred no increase, this compromise will make [for] less of an adverse impact on local businesses,” said Tanya Triche, spokesperson for the Chicago Retail Merchants Association.

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