Mississippi Bill Would Nearly Double NPM Fee
A bill has been introduced in Mississippi that would nearly double the fee applicable to non-signatories to the state’s tobacco settlement agreement.
Mississippi is one of four states that are not signatories to the MSA, having settled separately with the major tobacco companies. Of the four non-signatories, Mississippi and Minnesota have enacted separate “equity fees” applicable to non-signatories, which require the non-signatories to make payments similar to the major tobacco companies’ settlement payments. Cigarettes manufactured by the SPMs, which are part of the MSA but which have not settled with Mississippi, are subject to the “equity fees.”
The current amount of the fee is 27 cents per pack. The bill, House Bill 116 (which would be effective on July 1, 2013) would nearly double that amount to 50 cents per pack.