Bill would ban tobacco discounts, coupons in New York
ALBANY - Coupons and other discounts for tobacco products would be banned under a proposal from a pair of state lawmakers from the Lower Hudson Valley.
The bill, which was re-introduced in the state Senate last week, would prohibit retailers from accepting any coupons or offering discounts on cigarettes, cigars, e-cigarettes or most other types of tobacco.
The proposal -- sponsored by Sen. David Carlucci, D-Clarkstown, Rockland County, and Assemblywoman Shelley Mayer, D-Yonkers -- is modeled after a local law in New York City.
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It's meant to combat tobacco use by taking away an avenue to reduce the price of products like cigarettes, which are taxed by the state at $4.35 a pack.
"Time and time again, we've seen that as prices go up for tobacco products, the usage declines," Carlucci said Monday. "(Coupons and discounts) are a way for big tobacco companies to get around the high prices of cigarettes."
The bill would not apply to products -- like nicotine gum -- meant to help people quit smoking.
If approved, stores that violate the ban would face a $1,000 fine for a first offense, $2,000 for a second and $5,000 for a third.
New York City's cigarette coupon ban took effect in 2014 after it stood up to a legal challenge from cigarette manufacturers and convenience store owners, who claimed the ban violated their First Amendment rights.
Mayer and Carlucci first introduced their statewide bill last year, but it died in committee.
The lawmakers re-introduced the bill this year, where it currently sits in Senate and Assembly's health committees.
The bill has support from the American Lung Association and a group representing county health officials, which listed it among the bills they lobbied on at the Capitol last year.
Opponents of the bill have been active, too.
State records show tobacco giant Altria among those who lobbied on the measure in 2016, along with the state Association of Convenience Stores and the Cigar Association of America.
In the lawsuit challenging New York City's cigarette discount ban, opponents claimed the ban would cause "irreparable harm" to convenience stores and tobacco outlets and would unconstitutionally limit their ability to market their products.
Ultimately, a judge disagreed, siding with the city.
State law sets a minimum price for cigarettes based on a formula that takes the wholesale price and various markups into account.
New York's $4.35-a-pack state excise tax is the highest in the nation, according to the Campaign for Tobacco-Free Kids. Connecticut is second at $3.90.