Senate Finance and Taxation hears bill to raise cigarette tax, add vaping tax and direct funds to local public health

Senator Kathy Hogan, sponsor of Senate Bill 2281, told the Senate Committee on Finance and Taxation that the bill would raise the cigarette tax and create a new wholesale tax on electronic smoking products, with the additional revenue directed to the Department of Health and Human Services for local public health units and 988 suicide-prevention services.

"This is a public health bill primarily," Senator Kathy Hogan said, noting the bill would raise the state cigarette tax from $0.44 per pack to about $0.69 per pack and add an ad valorem tax on vaping products based on wholesale price.

The bill drew sharply divided testimony. Public‑health advocates and local health-unit officials told the committee that higher prices reduce youth nicotine use and that including newer nicotine products in the tax code would close loopholes in current law. Andrew Horn, coalition program director for Tobacco Free North Dakota, said the bill contains useful definitions…