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Tax Cigarettes, not universities

At least he didn't say "Read my lips."

At least he didn't say "Read my lips." News reports this week say Kentucky Gov. Steve Beshear may reconsider his opposition to tax increases, a key theme in his election campaign last year. Beshear, reported the Louisville Courier-Journal, may support a House plan that includes a substantial hike in the state's cigarette tax. This is good news in at least two big ways: It would help correct or even cancel out the ridiculously punitive 12 percent cuts in university funding that Beshear built into his budget proposal - cuts that leaders such as House Speaker Jody Richards, D-Bowling Green, have vowed they will not allow to happen. It would make Kentucky's cigarette tax, one of the nation's lowest, More comparable to neighboring states' - a move we've long advocated - and provide a disincentive to new smokers, particularly young people. It appears that Richards, who was unsuccessful in a bid for his party's gubernatorial nomination last year, has been successful in forcing this issue. On Sunday, he said he thought Kentuckians would rather have higher cigarette taxes than take a step backward on education. Pressed by the Courier-Journal, Beshear admitted his budget may represent that backward step, and said he'd meet with House Democrats to gauge the mood on a tax hike. A plan by House Budget Chairman Harry Moberly, D-Richmond, would restore most of Beshear's budget cuts by finding $400 million a year from new revenue sources. About $100 million a year might come from raising the tax 25 cents a pack. A tax hike may be highly unpopular in some quarters, but legislators should have the fortitude to make it happen. In 2005, Kentucky raised the state's then-token 3-cent-a-pack tax by 27 cents, boosting revenues in the tax's first three months by $38 million while cutting cigarette sales by 10 percent. But lawmakers dropped the ball by not indexing Kentucky's tax to rates in neighboring states, and former Gov. Ernie Fletcher's push to double the tax in 2006 was rejected. Kentucky's tax now is 30 cents a pack. Only Mississippi (18 cents), Missouri (17 cents) and South Carolina (7 cents) have lower taxes. The states bordering Kentucky average 69.5 cents. We agree with Richards. It's hard to believe that Kentuckians would rather decimate higher education than accept cigarette taxes that still would be low by regional standards.

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