Tobacco settlement trust fund

Establishes the Hawaii Tobacco Settlement Trust Fund and Advisory

HOUSE OF REPRESENTATIVES                H.B. NO.1651       
TWENTIETH LEGISLATURE, 1999                                
STATE OF HAWAII                                            

                   A  BILL  FOR  AN  ACT



 1      SECTION 1.  Research has shown that cigarette smoking and
 2 tobacco use are the greatest preventable causes of morbidity and
 3 mortality in Hawaii and the nation.  As a result of the
 4 marketing, sale, and use of tobacco products, over 1,300 Hawaii
 5 residents die annually from tobacco-related illnesses, accounting
 6 for 16 per cent of resident deaths.
 7      Committed to reducing underage youth tobacco usage,
 8 promoting public health efforts, and improving the health and
 9 well-being of its residents, Hawaii is one of forty-six states
10 that has signed a master settlement agreement with participating
11 tobacco manufacturers.  Under the terms of the master settlement
12 agreement, Hawaii is scheduled to receive, subject to inflation
13 and other adjustments, payments of over $1,179,000,000 over a 25-
14 year period from 1999 through 2025.
15      The purpose of this Act is to strengthen health promotion
16 and disease prevention initiatives and reduce tobacco consumption
17 in Hawaii by establishing the Hawaii tobacco settlement trust
18 fund.

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                                     H.B. NO.1651       

 1      SECTION 2.  Chapter 321, Hawaii Revised Statutes, is amended
 2 by adding a new part to be appropriately designated and to read
 3 as follows:
 5      321- Definitions.  As used in this part:
 6      "Fund" means the Hawaii tobacco settlement trust fund.
 7      "Master settlement agreement" means the tobacco settlement
 8 agreement entered into by forty-six states and participating
 9 tobacco manufacturers under which Hawaii is entitled to
10 compensation from 1999 through 2025.
11      321-   Hawaii tobacco settlement trust fund.(a)  There is
12 established within the State treasury the Hawaii tobacco
13 settlement trust fund.  The fund shall serve as a mechanism:
14      (1)  To maximize financial resources for tobacco prevention
15           and control;
16      (2)  For health promotion and disease prevention programs;
17           and
18      (3)  To serve as a long-term source of stable funding for
19           prevention-oriented public health efforts.
20      (b)  The following may be deposited into the fund:
21      (1)        per cent of the annual payments from the master
22           settlement agreement; and

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                                     H.B. NO.1651       

 1      (2)  All other moneys, including gifts, bequests, and grants
 2           or other funds, from private and public sources
 3           designated for the fund.
 4      (c)  All moneys in the fund shall be expended in accordance
 5 with the general laws of the State and shall be used exclusively
 6 to fund programs and services including but not limited to
 7 planning activities intended to promote tobacco prevention and
 8 control.  Expenditures from the fund shall not be used to
 9 supplant state expenditures for health care services being made
10 prior to the creation of the fund.
11      321-   Hawaii tobacco settlement trust fund advisory board.
12 (a)  There is established the Hawaii tobacco settlement trust
13 fund advisory board, which shall make the final recommendations
14 for the expenditure of funds for the following activities:
15      (1)  Grantmaking with private nonprofit organizations,
16           public agencies, professional associations, or
17           qualified individuals to provide community-based
18           services and education designed to:
19           (A)  Reduce tobacco consumption and exposure to
20                environmental tobacco smoke; and
21           (B)  Increase health promotion and disease prevention
22                programs within the State and community;

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                                     H.B. NO.1651       

 1      (2)  Grantmaking to raise community awareness of the trust
 2           fund; and
 3      (3)  Administration of the trust fund."
 4      SECTION 3.  This Act shall take effect upon its approval.
 6                           INTRODUCED BY:  _______________________