Jump to full article: Des Moines (IA) Register, 2008-04-24
Author: TONY LEYS / REGISTER STAFF WRITER
Intro: Iowa has spent nearly all of the bonanza it gained from suing tobacco companies in the 1990s.
The cigarette makers agreed in 1998 to pay up to $2 billion to Iowa over 25 years. In 2002, the state sold off the rights to most of those payments for about $500 million in immediate cash. . . .
State representatives gave final legislative approval Wednesday to a bill that would allow the state to sell off remaining future income from the settlement and place the money in the general fund.
Sen. David Johnson said both parties share responsibility for what happened to the money. "When we established it, legislators from both sides of the aisle saw it as a source of funding for many years," the Ocheyedan Republican said. This year's Legislature is using what's left to finance anti-smoking efforts and related activities, he said.
"Now, we're staring down the barrel of a $30 million problem next session," he said.
Jump to full article » |