78R7648 CBH-D

By:  Uresti                                                       H.B. No. 3192


A BILL TO BE ENTITLED
AN ACT
relating to an increase in the cigarette tax and to the use of that increase for certain health and human services programs. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 154.021(b), Tax Code, is amended to read as follows: (b) The tax rates are: (1) $70.50 [$20.50] per thousand on cigarettes weighing three pounds or less per thousand; and (2) the rate provided by Subdivision (1) plus $2.10 per thousand on cigarettes weighing more than three pounds per thousand. SECTION 2. Section 154.603, Tax Code, is amended to read as follows: Sec. 154.603. DISPOSITION OF REVENUE. (a) After the deductions for the purposes provided by Section 154.602 [of this code], the revenue remaining of the first $2 of tax received per 1,000 cigarettes for cigarettes weighing three pounds or less per thousand and the first $4.10 per 1,000 cigarettes of the tax received for cigarettes weighing more than three pounds per thousand is allocated: (1) 18.75 percent to the foundation school fund; and (2) 81.25 percent to the general revenue fund. (b) The revenue remaining after the deductions for the purposes provided by Section 154.602 [of this code] and allocation under Subsection (a) of the next $18.50 of tax received per 1,000 cigarettes for cigarettes weighing three pounds or less per thousand and the next $18.50 per 1,000 cigarettes of the tax received for cigarettes weighing more than three pounds per thousand [this section] is allocated to the general revenue fund. (c) The revenue remaining after the deductions for the purposes provided by Section 154.602 and allocation under Subsections (a) and (b) shall be deposited as follows: (1) the next $5 of tax received per 1,000 cigarettes for cigarettes weighing three pounds or less per thousand and the next $5 per 1,000 cigarettes of the tax received for cigarettes weighing more than three pounds per thousand shall be deposited to the credit of the tobacco cessation account in the general revenue fund and may be appropriated only to the Texas Department of Health for programs to reduce the use of cigarettes and tobacco products by children in this state; (2) the next $2.50 of tax received per 1,000 cigarettes for cigarettes weighing three pounds or less per thousand and the next $2.50 per 1,000 cigarettes of the tax received for cigarettes weighing more than three pounds per thousand shall be deposited to the credit of the children's health care account in the general revenue fund and may be appropriated only to the Texas Department of Health to provide immunizations for children and newborn hearing and screening services; (3) the next $1.50 of tax received per 1,000 cigarettes for cigarettes weighing three pounds or less per thousand and the next $1.50 per 1,000 cigarettes of the tax received for cigarettes weighing more than three pounds per thousand shall be deposited to the credit of the Texas Department of Mental Health and Mental Retardation account in the general revenue fund and may be appropriated only to the Texas Department of Mental Health and Mental Retardation to provide community mental health and mental retardation services for children and respite care for children with developmental delay; (4) the next $1.50 of tax received per 1,000 cigarettes for cigarettes weighing three pounds or less per thousand and the next $1.50 per 1,000 cigarettes of the tax received for cigarettes weighing more than three pounds per thousand shall be deposited to the credit of the Texas Commission on Alcohol and Drug Abuse account in the general revenue fund and may be appropriated only to the Texas Commission on Alcohol and Drug Abuse to provide youth treatment prevention services and rehabilitative services for children; (5) the next $10 of tax received per 1,000 cigarettes for cigarettes weighing three pounds or less per thousand and the next $10 per 1,000 cigarettes of the tax received for cigarettes weighing more than three pounds per thousand shall be deposited to the credit of the children's health insurance program account in the general revenue fund and may be appropriated only to the Health and Human Services Commission for the child health plan program under Chapter 62, Health and Safety Code; (6) the next $2.50 of tax received per 1,000 cigarettes for cigarettes weighing three pounds or less per thousand and the next $2.50 per 1,000 cigarettes of the tax received for cigarettes weighing more than three pounds per thousand shall be deposited to the credit of the Interagency Council on Early Childhood Intervention account in the general revenue fund and may be appropriated only to the Interagency Council on Early Childhood Intervention to provide services to children considered at risk of developmental delay; (7) the next $2 of tax received per 1,000 cigarettes for cigarettes weighing three pounds or less per thousand and the next $2 per 1,000 cigarettes of the tax received for cigarettes weighing more than three pounds per thousand shall be deposited to the credit of the child abuse and neglect prevention trust fund account in the general revenue fund; and (8) the remaining $25 of tax received per 1,000 cigarettes for cigarettes weighing three pounds or less per thousand and the remaining $25 per 1,000 cigarettes of the tax received for cigarettes weighing more than three pounds per thousand shall be deposited to the credit of the trauma care account in the general revenue fund and may be appropriated only to the Texas Department of Health for programs to reimburse hospitals and physicians for trauma care services in this state for which the hospitals and physicians do not otherwise receive reimbursement. SECTION 3. This Act takes effect September 1, 2003.