For Immediate
Release: May 12, 2004
Senate President Pro Tempore Cal Hobson
After
Closer Look at GOP Proposal, Senate Democrats
Conclude Henry’s Health Care Plan Still Best for Oklahoma
While praising Senate Republicans for stepping
forward with an 11th-hour proposal Tuesday, Senate President
Pro Tempore Cal
Hobson said today that he will support moving forward
with Governor Brad
Henry’s tobacco tax plan and health care initiative.
The Senate Republican plan, Hobson said, simply calls for
too large of an increase in the per pack tax on cigarettes
given the tobacco tax rates throughout the region.
“When you look at the taxes in other states, Oklahoma
can’t afford to raise its cigarette tax to the level
Republicans in the Senate propose. I, too, began this fight
seeking $1 increase in the cigarette tax, but the reality
is that the taxes in states surrounding us are such that
a net increase of 99 cents in the Oklahoma tobacco tax would
be too high,” Hobson said.
Several surrounding states are currently considering cigarette
tax increases and should the regional climate change, Hobson
said he would consider joining Republicans in seeking to
increase Oklahoma’s tobacco tax again next year.
Henry on Tuesday released the details of a compromise plan
that calls for a net 55-cent increase in the Oklahoma cigarette
tax to fund an important list of health care initiatives.
Hobson praised the Henry plan Tuesday, but also didn’t
close the door on the Senate GOP proposal offered just hours
later. That plan called for a net 99-cent increase in the
tax on a pack of cigarettes and funded basically the same
health initiatives as the governor’s plan.
“It’s extremely gratifying to have our Republican
colleagues acknowledge the pressing health care needs of
our state in their proposal. I’m encouraged that Senator
Williamson and his caucus recognize the seriousness of Oklahoma’s
health crisis and agree with Governor Henry in how best
to address it,” Hobson said.
The Senate leader said he was also encouraged Tuesday by
Senate Republican Leader James
A. Williamson’s assertion that the GOP plan could
garner the three-fourths super majority needed to pass the
tax hike in the Legislature without sending it to a vote
of the people.
But, Hobson said, his enthusiasm on that front was short
lived when House Minority Leader Todd Hiett did not indicate
support for the Senate GOP plan in a late afternoon meeting
and suggested several changes.
“We said we’d take a closer look at the Senate
Republican plan and we did. In addition to a tax increase
we believe is just too high, we found some other troubling
aspects of the plan. The truth is, however, that even if
we could embrace that plan, the House Republican leader
wouldn’t support it and the measure would never pass
with a three-fourths majority,” Hobson said.
The Senate leader said that in addition to the size of the
tax increase, the Senate GOP’s spending limits proposal
could possibly jeopardize the governor’s plan to raise
teacher’s salaries in Oklahoma to the regional average
over the next four years and would require more study than
would be possible in the waning days of the session. Also,
Hobson said, Senate leaders are concerned that the so-called
parity language could abrogate the state’s tobacco
compacts with Native American tribes, giving tribal smoke
shops an enormous competitive advantage over non-tribal
retailers.
“On the whole, however, when you compare the two plans,
there are more similarities than differences. Given that
the members of the Republican caucus in the Senate have
acknowledged Oklahoma’s health crisis and agreed with
Governor Henry on how best to address it, I am hopeful they
will join us is supporting the governor’s plan,”
Hobson said.
For
more information contact:
President Pro Tempore's Office -
(405) 521-5605
