Carly Palady, Quit Coach, Service Delivery:
It was 5 o' clock in the morning as I settled in to start the day with a hot decaf mocha, and my computer purring along in anticipation of the calls to come. In the back of my mind, I knew that like every other day this week, I would be building more Quit Plans for the residents of Washington State, who experienced a $1.00 tax increase on tobacco on May 1, 2010. This puts some cigarette packs at over $7.00. For a pack a day smoker, this would equal over $200 a month; a hefty sum for a month of cigarettes.
Still, for many Washington State residents, the financial benefits are not the common taxation concerns that I am hearing. Rather, with the economy in a slow state, many are asking:
1. "We're in a recession- if we tax tobacco, and nobody can afford it, then what do we really gain from the higher tax?"
2. "Washington already charges over $3.00 a pack in taxes- why punish us? I pay my taxes, and I work. I shouldn't have to have this freedom taken away."
Both of these general statements I have been hearing from callers are valid: What do we gain from a higher tax, if more people quit because of this taxation? Are we taking away a freedom of choice, if financial reasons alone lead a person to quit tobacco?
What does this $1.00 taxation bring to those of us who live in Washington State?
According to the Washington State Department of Revenue, this means more funds for:
1. Healthcare Funding (Medicaid, Medicare, etc.)
2. K-12 Education (Including more education on tobacco cessation and Illness Prevention)
3. Drug Enforcement (including Tobacco Cessation Programs, such as the Washington State Quit Line)
4. Salmon Recovery: Commercial Fishing brings in over $38 Million in Economic Revenue in the state (According to the Washington State Department of Fish and Wildlife)
If we take a snapshot of Washington State from a health and taxation perspective in regards to number one on this list, Healthcare Funding, we see the largest personal and economical impact with Medicaid. Medicaid is one of the programs most impacted by tobacco and supported by taxpayers in Washington State. Medicaid's deficit budget in Washington State is more than 5 million dollars annually. While the state is making cuts to save money during this recession, according to USA Today, enrollments have increased 5.8% in 2009, from 2008. USA Today also shows that federally, Medicaid enrollments have increased 5.8%, despite the national deficit. 21% of a state budget is allocated to Medicaid- roughly the same as education. This means, that both on the State and Federal level, more people are seeking Medicaid assistance, while there are less funds to cover new enrollments. Ironically, Medicaid members (which include seniors in nursing homes, people with disabilities and chronic illness [such as COPD/Emphysema], pregnant women, and low-income children and adults), use tobacco 53% more than the average population (Centers for Disease Control and Prevention). With enrollments increasing, and the majority of this population using tobacco, more taxpayer money will be used to close the deficit, and treat preventable illnesses caused by tobacco use.
So, because over half of the Medicaid population uses tobacco, a larger percentage of taxpayer funds are going towards the treatment of COPD, Emphysema, lung cancer, chronic bronchitis, asthma, and other smoking-related illnesses that Medicaid members are granted benefits for, or are diagnosed with, while they are in the program. In the future, more people quitting, especially Medicaid members, means a lower state deficit, and less taxpayer money being used for the treatment of preventable chronic conditions. If less people have chronic conditions, then less are going to have to seek state and federal coverage like Medicaid to pay for these treatment costs. Overall, for those who smoke now, quitting means a lower chance of them having to deal with a smoking-related illness, and in turn having to use Medicaid for a tobacco-related illness in the future.
Finally, increasing tobacco taxes to pay for the prevention of tobacco use, and the cessation for those that use it, gives freedom to Washington State citizens. With taxes likely to continue to increase on tobacco products in the future, those who quit now who are in general good health, save more money exponentially, and they have a lower likelihood of needing Medicaid in the future. These illnesses take away working years of their lives, a chance to save more for retirement, and spend time with family. Quitting tobacco gives people financial freedom, personal health and mobility, more time with family, and the joy of not having their daily routine dictated by an addiction.