Date: Fri 27-Nov-1998
Date: Fri 27-Nov-1998
Publication: Bee
Author: CURT
Quick Words:
tobacco-settlement-Blumenthal
Full Text:
State Joins National Tobacco Pact; Connecticut To Get $3.5 Billion
By Diane Scarponi
Associated Press
HARTFORD -- Connecticut has joined a multistate settlement with tobacco
companies that will put $3.5 billion in state coffers and restrict the
marketing and advertising of tobacco products.
The payout -- estimated to grow through inflation to $5.5 billion over the 25
years of the deal -- can be spent as state leaders choose, although
anti-smoking groups say much of the money should be used to boost medical care
and anti-smoking campaigns.
The decision by Attorney General Richard Blumenthal ends a lawsuit he filed
against the tobacco companies to recover money the state has spent treating
sick smokers.
"We decided to accept the settlement because it will help to save lives now
and begin to fairly compensate Connecticut for the horrendous harm done by the
tobacco industry over the years," Blumenthal said. "This settlement will give
us public health protections and amounts of money that would have been
virtually unimaginable when we filed this lawsuit some two and a half years
ago."
If Connecticut were to reject the deal and continue its lawsuit, Blumenthal
said the effort would have taken at least five years and would have meant
"thousands of lives lost and dollars wasted."
The agreement also will allow people to continue to sue tobacco companies --
something that a failed June 1997 agreement would have barred.
A Connecticut lobbyist for tobacco companies said his clients are pleased that
lawyers drafted an acceptable settlement.
"We've resolved what would have been a long, expensive trial with an uncertain
result, and the only sure thing is that someone would have filed an appeal,"
said Bourke Spellacy, a lobbyist for the Tobacco Institute, an industry trade
group.
The American Lung Association said it "mistrusts" the settlement, fearing
lawyers have crafted loopholes to get tobacco companies out of the agreement,
but the Connecticut chapter said it supported Blumenthal's decision.
"In light of the reality that so many other states have joined, I think the
attorney general probably had to decide for those reasons, and it would be
years before Connecticut could bring its own case before the court, if ever,"
said Richard Straub, vice president for government relations for the lung
association.
Under the settlement, tobacco companies cannot advertise on billboards, buses
and merchandise and cannot target teenagers. The settlement also bars tobacco
companies from some kinds of licensing agreements, such as naming rights for a
stadium.
Eight state attorneys general reached the $206 billion deal with tobacco
companies Monday. Other states unanimously endorsed the deal by Friday, the
deadline to accept the settlement.
Connecticut will get $44.5 million by April and over $100 million annually
thereafter.
The governor and the legislature will decide how to spend the money.
Blumenthal and anti-smoking groups pushed for funding of health care and
programs to help people quit smoking and stop children from lighting up.
"Unless this money goes towards tobacco prevention and cessation programs
targeted towards our children, we will lose yet another generation of our kids
to this industry and their tactics," said David Woodmansee, vice president of
communications for the Connecticut chapter of the American Cancer Society.
The governor's office could not comment late last week on specifics of how the
money would be spent.
"Remember, Connecticut got this money because tobacco made people ill," Straub
said.
Blumenthal and anti-smoking groups said Congress now should allow the US Food
and Drug Administration to regulate tobacco as a drug.