Lindsey Graham: “the Finance Committee's proposal reauthorizing the SCHIP program for 5 years is funded by a permanent tobacco tax…”

“the Finance Committee's proposal reauthorizing the SCHIP program for 5 years is funded by a permanent tobacco tax increase. That is a $35.2 billion expansion of SCHIP, which is above the $25 billion in the baseline budget. The money for this comes from a cigarette tax increase of 61 cents to $1 per pack. There will be a tax increase on cigars by 53 percent, with the sales price up to $10 per cigar. Despite being a 5-year reauthorization, the tax part of it goes in perpetuity. So it is a very simple amendment. When the program itself is sunset to be reviewed, let's sunset the tax part of it to be reviewed. That is all it is. If you are going to sunset the program, sunset the tax increases and make an intelligent decision at that point.”