Report Title:

Substance Abuse; Health Care Benefits

Description:

Allocates 1/2 cent increase in the tobacco tax that takes effect on 7/1/04, and an additional 1/2 cent increase in the tobacco tax, to prevention and treatment programs and services for crystal methamphetamine. Appropriates funds for evidence-based substance abuse prevention programs. Appropriates funds to permit parents with children under the age of nineteen to participate in residential substance abuse treatment and therapeutic living homes. (SB2153 SD2)

THE SENATE

S.B. NO.

2153

TWENTY-SECOND LEGISLATURE, 2004

S.D. 2

STATE OF HAWAII

 


 

A BILL FOR AN ACT

 

RELATING TO HEALTH.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

PART I. CRYSTAL METHAMPHETAMINE TREATMENT AND PREVENTION

SECTION 1. The legislature finds that the increase in the tobacco tax for treatment and prevention programs is an effective way to raise revenues to combat the State's crystal methamphetamine epidemic. This new source of revenue will ensure that current public health services are maintained, while at the same time funding additional treatment and prevention programs to deal with the crystal methamphetamine crisis.

SECTION 2. Chapter 321, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

"§321- Crystal methamphetamine treatment and prevention special fund. There is established a special fund to be known as the crystal methamphetamine treatment and prevention special fund, into which shall be deposited one cent of the excise tax collected on each cigarette sold, used, or possessed by a wholesaler or dealer pursuant to section 245-3(a)(4). The special fund shall be administered by the department and used to fund programs and services for the treatment and prevention of crystal methamphetamine use."

SECTION 3. Section 245-3, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

"(a) Every wholesaler or dealer, in addition to any other taxes provided by law, shall pay for the privilege of conducting business and other activities in the State:

(1) An excise tax equal to 5.00 cents for each cigarette sold, used, or, possessed by a wholesaler or dealer after June 30, 1998, whether or not sold at wholesale, or if not sold then at the same rate upon the use by the wholesaler or dealer;

(2) An excise tax equal to 6.00 cents for each cigarette sold, used, or possessed by a wholesaler or dealer after September 30, 2002, whether or not sold at wholesale, or if not sold then at the same rate upon the use by the wholesaler or dealer;

(3) An excise tax equal to 6.50 cents for each cigarette sold, used, or possessed by a wholesaler or dealer after June 30, 2003, whether or not sold at wholesale, or if not sold then at the same rate upon the use by the wholesaler or dealer;

(4) An excise tax equal to [7.00] 7.50 cents for each cigarette sold, used, or possessed by a wholesaler or dealer after June 30, 2004, whether or not sold at wholesale, or if not sold then at the same rate upon the use by the wholesaler or dealer; and

(5) An excise tax equal to forty per cent of the wholesale price of each article or item of tobacco products sold by the wholesaler or dealer, whether or not sold at wholesale, or if not sold then at the same rate upon the use by the wholesaler or dealer.

Where the tax imposed has been paid on cigarettes or tobacco products that thereafter become the subject of a casualty loss deduction allowable under chapter 235, the tax paid shall be refunded or credited to the account of the wholesaler or dealer. The tax shall be applied to cigarettes through the use of stamps."

SECTION 4. Section 245-15, Hawaii Revised Statutes, is amended to read as follows:

"§245-15 Disposition of revenues. (a) [All] Except as provided in subsection (b), all moneys collected pursuant to this chapter shall be paid into the state treasury as state realizations to be kept and accounted for as provided by law.

(b) One cent of the excise tax collected on each cigarette sold, used, or possessed by a wholesaler or dealer, pursuant to section 245-3(a)(4), shall be deposited into the crystal methamphetamine treatment and prevention special fund."

PART II. EVIDENCE-BASED SUBSTANCE ABUSE PREVENTION

SECTION 5. The legislature finds that evidence-based substance abuse prevention program principles are tested in laboratory, clinical, and community settings using the most rigorous research methods. These programs are federally endorsed and are broadly supported by a growing body of research.

The legislature further finds that there are numerous quality programs funded and administered through the alcohol and drug abuse division at the department of health. Many of the substance abuse prevention programs were developed not only to educate people as to the dangers of substance abuse but to also encourage the strengthening of family roles and offer economic and social development opportunities. Thus, it is important that the department of health continue to incorporate the most current and clinically proven methods into these programs with evidence-based principles.

The purpose of this Act is to appropriate funds to the department of health to support evidence-based substance abuse prevention programs.

SECTION 6. There is appropriated out of the general revenues of the State of Hawaii the sum of $ , or so much thereof as may be necessary for fiscal year 2004-2005, for evidence-based substance abuse prevention programs.

PART III. RESIDENTIAL DRUG TREATMENT FOR PARENTS

SECTION 7. The legislature finds that treatment for substance abuse patients with children require specialized services. Treatment is the key to battling drugs, but parents who are substance abusers also need family counseling services to guide them back to supplying a healthy environment for their children. The State understands the importance of preserving the integrity of the family without jeopardizing the safety of the children. Currently, the State funds programs that help parents achieve independence from drugs while receiving family counseling. Through programs like the Salvation Army's Women's Way and Child and Family Services, the State is able to provide residential drug treatment for parents.

The purpose of this Act is to provide additional funding to the department of health's alcohol and drug abuse division to continue its support of residential drug treatment programs and therapeutic living homes for parents with children under the age of nineteen.

SECTION 8. There is appropriated out of the general revenues of the State of Hawaii the sum of $1,499,680, or so much thereof as may be necessary for fiscal year 2004-2005, for the alcohol and drug abuse division of the department of health to support residential drug treatment programs and therapeutic living homes that provide family services to parents with children under the age of nineteen.

SECTION 9. The sums appropriated in this Act shall be expended by the department of health for the purposes of this Act.

SECTION 10. This Act shall take effect on July 1, 2004.