Bill Text: MI SB0678 | 2013-2014 | 97th Legislature | Introduced
Bill Title: Taxation; tobacco; distribution of tobacco products tax revenue; modify. Amends sec. 12 of 1993 PA 327 (MCL 205.432).
Spectrum: Partisan Bill (Republican 1-0)
Status: (Passed) 2014-07-16 - Assigned Pa 0272'14 With Immediate Effect [SB0678 Detail]
Download: Michigan-2013-SB0678-Introduced.html
SENATE BILL No. 678
November 12, 2013, Introduced by Senator KAHN and referred to the Committee on Government Operations.
A bill to amend 1993 PA 327, entitled
"Tobacco products tax act,"
by amending section 12 (MCL 205.432), as amended by 2012 PA 188.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 12. (1) The proceeds derived from the payment of taxes,
fees, and penalties provided for under this act and the license
fees received by the department shall be deposited with the state
treasurer and disbursed only as provided in this section and
section 7(5). However, before a distribution of funds is made under
this section, subject to appropriation, the funds described in this
section may be used by the department, the attorney general, and
the department of state police for enforcement and administration
of this act.
(2) The tax imposed under section 7(1)(a) shall be disbursed
as follows:
(a) 94% of the proceeds shall be credited to the state school
aid fund established by section 11 of article IX of the state
constitution of 1963.
(b) 6% of the proceeds shall be credited to the healthy
Michigan fund created under section 5953 of the public health code,
1978 PA 368, MCL 333.5953. Fifty percent of the proceeds described
in this subdivision that are used for smoking prevention programs
shall be used by the department of community health to expand the
free smokers quit kit program to include the nicotine patch or
nicotine gum.
(3) The tax imposed on cigarettes under section 7(1)(b) shall
be disbursed as follows:
(a) Beginning May 1, 1994 and through June 30, 2004, 5.3% of
the proceeds shall be credited to the health and safety fund
created in the health and safety fund act, 1987 PA 264, MCL 141.471
to 141.479.
(b) Beginning July 1, 2004, 6.5% of the proceeds shall be
credited to the health and safety fund created in the health and
safety fund act, 1987 PA 264, MCL 141.471 to 141.479.
(c) Through June 30, 2004, 25.3% of the proceeds shall be
credited to the general fund of this state.
(d) Beginning July 1, 2004 and through September 30, 2014,
24.1% of the proceeds shall be credited to the general fund of this
state.
(e) 63.4% of the proceeds shall be credited to the state
school aid fund established by section 11 of article IX of the
state constitution of 1963.
(f) 6% of the proceeds shall be credited to the healthy
Michigan fund created under section 5953 of the public health code,
1978 PA 368, MCL 333.5953. Fifty percent of the proceeds described
in this subdivision that are used for smoking prevention programs
shall be used by the department of community health to expand the
free smokers quit kit program to include the nicotine patch or
nicotine gum.
(g) Beginning October 1, 2014, 24.1% of the proceeds shall be
disbursed as follows:
(i) For the 2014-2015 fiscal year, $3,000,000.00 to the capitol
historic site fund. For the 2015-2016 fiscal year and each
subsequent fiscal year, the state treasurer shall adjust the figure
described in this subparagraph by an amount determined by the state
treasurer at the end of each calendar year to reflect the
cumulative annual percentage change in the consumer price index. As
used in this subsection, "consumer price index" means the most
comprehensive index of consumer prices available for this state
from the bureau of labor statistics of the United States department
of labor.
(ii) The remaining proceeds shall be credited to the general
fund of this state.
(4) Beginning August 1, 2002, the tax imposed on cigarettes
under section 7(1)(c) shall be disbursed as follows:
(a) Through June 30, 2004, 74.2%, and beginning July 1, 2004,
9.0% of the proceeds shall be credited to the general fund of this
state.
(b) Through June 30, 2004, 4.6%, and beginning July 1, 2004,
56.3% of the proceeds shall be credited to the state school aid
fund established by section 11 of article IX of the state
constitution of 1963.
(c) 6.0% of the proceeds shall be credited to the healthy
Michigan fund created under section 5953 of the public health code,
1978 PA 368, MCL 333.5953. Fifty percent of the proceeds described
in this subdivision that are used for smoking prevention programs
shall be used by the department of community health to expand the
free smokers quit kit program to include the nicotine patch or
nicotine gum.
(d)
Through June 30, 2004, 3.0%, and beginning July 1, 2004 ,
and through September 30, 2013, 3.7% of the proceeds shall be paid
to counties with a 2000 population of more than 2,000,000, to be
used only for indigent health care.
(e)
Through June 30, 2004, 12.2%, and beginning July 1, 2004 ,
and through September 30, 2013, 25.0%, and beginning October 1,
2013, 28.7% of the proceeds shall be credited to the medicaid
benefits trust fund created under section 5 of the Michigan trust
fund act, 2000 PA 489, MCL 12.255.
(5) Beginning August 1, 2002, the tax imposed under section
7(1)(f) shall be disbursed as follows:
(a) 75.6% of the proceeds shall be credited to the state
school aid fund established by section 11 of article IX of the
state constitution of 1963.
(b) 6.0% of the proceeds shall be credited to the healthy
Michigan fund created under section 5953 of the public health code,
1978 PA 368, MCL 333.5953. Fifty percent of the proceeds described
in this subdivision that are used for smoking prevention programs
shall be used by the department of community health to expand the
free smokers quit kit program to include the nicotine patch or
nicotine gum.
(c) 18.4% of the proceeds shall be credited to the general
fund of this state.
(6) Beginning August 1, 2002, the tax imposed on cigarettes
under section 7(1)(d) shall be disbursed as follows:
(a) 94.0% of the proceeds shall be credited to the state
school aid fund established by section 11 of article IX of the
state constitution of 1963.
(b) 6.0% of the proceeds shall be credited to the healthy
Michigan fund created under section 5953 of the public health code,
1978 PA 368, MCL 333.5953. Fifty percent of the proceeds described
in this subdivision that are used for smoking prevention programs
shall be used by the department of community health to expand the
free smokers quit kit program to include the nicotine patch or
nicotine gum.
(7) Beginning July 1, 2004, the tax imposed on cigarettes
under section 7(1)(e) shall be disbursed as follows:
(a) Beginning July 1, 2004 and through September 30, 2005,
100% of the proceeds shall be credited to the Michigan medicaid
benefits trust fund created under section 5 of the Michigan trust
fund act, 2000 PA 489, MCL 12.255.
(b) Beginning October 1, 2005, 75.0% of the proceeds shall be
credited to the medicaid benefits trust fund created under section
5 of the Michigan trust fund act, 2000 PA 489, MCL 12.255.
(c) Beginning October 1, 2005 and through September 30, 2014,
25.0% of the proceeds shall be credited to the general fund of this
state.
(d) Beginning October 1, 2014, 25% of the proceeds shall be
disbursed as follows:
(i) For the 2014-2015 fiscal year and each subsequent fiscal
year, $10,000,000.00 for the department of community health for the
statewide trauma system described in section 4 of 1989 PA 196, MCL
780.904.
(ii) The remaining proceeds shall be credited to the general
fund of this state.
(8) Beginning July 1, 2004, the tax imposed under section
7(1)(g) shall be disbursed as follows:
(a) Beginning July 1, 2004 and through September 30, 2005,
100% of the proceeds shall be credited to the Michigan medicaid
benefits trust fund created under section 5 of the Michigan trust
fund act, 2000 PA 489, MCL 12.255.
(b) Beginning October 1, 2005, 75.0% of the proceeds shall be
credited to the medicaid benefits trust fund created under section
5 of the Michigan trust fund act, 2000 PA 489, MCL 12.255.
(c) Beginning October 1, 2005, 25.0% of the proceeds shall be
credited to the general fund of this state.
(9) The proceeds of the fees and penalties provided for in
this act shall be used for the administration of this act.
