Tobacco.org

• Senecas Fear Act Will Harm Economy 

The Prevent All Cigarette Trafficking Act, also known as the PACT Act, passed the Senate Judiciary Committee on Thursday. It was previously passed by the House of Representatives and will next go to the full Senate, although a vote has not yet been scheduled. . . .

Although Kohl said the act is necessary to curb illegal Internet sales that lead to funding criminal and terrorist activity, Seneca Indians report the act could jeopardize Seneca and non-Seneca businesses, their employees and the Seneca Nation government. Privately owned Seneca businesses take cigarette orders via phone and Internet and mail them, which the act would prohibit. The Seneca Nation licenses the businesses, which pay a fee for the licenses. Government revenues would therefore diminish if the entrepreneurs go out of business due to the law's effect. The government revenues, Senecas report, go toward health and education initiatives.

Seneca Nation President Barry E. Snyder said Monday the law's passage could result in up to a 65 percent loss in import/export revenue to the Nation, which funds health and education programs, along with a projected job loss of 1,000 Seneca and non-Seneca positions that stem from mailed cigarette order businesses.

Snyder said the Nation has a state-of-the-art stamping and enforcement mechanism that ensures compliance with a rigorous set of internal regulations, including retailer authorization, minimum pricing and a ban on sales to minors. The Nation works in close partnership with the Federal Bureau of Alcohol, Tobacco and Firearms Enforcement. He alleged the act would benefit big tobacco by steering customers to them and eliminating competitors, like those on Seneca territory.

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