PCA Applauds Governor Grisham’s Veto of Harmful Cigar Tax Increase in New Mexico

PCA Applauds Governor Grisham’s Veto of Harmful Cigar Tax Increase in New Mexico

 

Washington, D.C. – The Premium Cigar Association (PCA) today expressed its appreciation to Governor Michelle Lujan Grisham for vetoing the harmful 25% cigar tax hike in H.B. 547. The veto shields New Mexico premium cigar retailers from the adverse consequences such a drastic tax increase would have on their business.

 

PCA Director of State Advocacy, Glynn Loope, said, “We are grateful to Governor Grisham for recognizing the impact this tax increase would have had on small businesses and consumers in New Mexico, especially during these challenging times. Her decision to veto the cigar tax will undoubtedly work to keep sales of premium cigars in New Mexico.”

 

However, actions by the legislature to strip the cigar tax cap during the session need to be addressed. Loope stated, “Last week, I spoke to the Governor’s Office on this issue. Procedurally, her hands were tied. We look forward to working with the Governor’s Office and legislative allies to revisit this matter in the 2024 session.”

 

Loope continued, “We are pleased that the legislation that would have banned flavored tobacco products, as well as legislation that would have granted local governments sweeping authority over tobacco products failed to advance. We appreciate all of our premium cigar advocates, both retailers and consumers alike, who let their voices be heard on these issues.”

 

PCA represents over 3,000 members nationwide, including retailers, manufacturers, and distributors of premium cigars, and works to protect the interests of the premium cigar industry. The association has been advocating for the protection of premium cigars from harmful regulation, taxes, and other measures that threaten the industry.

CARES Act Passes House & Heads to the President

CARES Act Passes House & Heads to the President

 

March 27, 2020 —Today, the House of Representatives passed a historic stimulus package known as the Coronavirus Aid, Relief, and Economic Security or “CARES” act, which contains an unprecedented $2.2 trillion in total financial relief for businesses, public institutions and individuals hit hard by the COVID-19 pandemic. The Senate passed the bill earlier this week and President Trump is expected to sign the legislation into law shortly.

 

Included in the CARES act are critical provisions from Senator Marco Rubio’s bipartisan Keeping American Workers Paid and Employed Act, a small business emergency economic relief plan that provides more than $377 billion for small businesses to meet their payroll and expenses, and receive education and assistance throughout the coronavirus pandemic. Provisions like the Paycheck Protection Program in this act will assist small businesses in retaining employees through these difficult times. The program has $350 billion dollars to support employers with 500 employees or less to maintain their payroll. This program is retroactive to February 15, 2020 to help bring workers who may have already been laid off back onto payrolls as well. Many PCA members will be eligible for provisions of the CARES act when it is signed into law.

 

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Stay up-to-date on all COVID-19 information, resources and news by visiting (and bookmarking) our COVID-19 web page.

The Premium Cigar Association (PCA) and Cigar Rights of America (CRA) filed a Joint Petition with several independent premium cigar manufacturers requesting that both the Secretary of Health and Human Services as well as the Commissioner of the FDA to enact a six month stay from the May 12th deadline for filing Substantial Equivalence Reports due to COVID-19.

 

These Substantial Equivalence Reports are required to continue to sell the thousands of premium cigars introduced to the markets between February 15, 2007 and August 8, 2016 and each report requires time, considerable cost, and effort.

 

The Secretary has the authority to stay any regulatory report in the public interest and the interests of justice and the Commissioner has independent authority to do the same for any Report required to be filed during a “public health emergency” and “as events reasonably require”. Given the hardship of completing these reports and the required closing of both Factories and Offices of the Premium Manufacturers, we asked both Secretary Azar and Commissioner Hahn to exercise their independent statutory authority to grant the delay.

 

Given the looming Substantial equivalence Report Submission Date, we advised both the Secretary and the Commissioner that absent such relief, that PCA and CRA would be amending our Complaint in the Federal District Court for the District of Columbia at the end of the week and requesting Judge Mehta grant the Premium Cigar Industry relief from the crushing burden and impossible schedule for these Reports caused by this unexpected Pandemic.

 

“Despite the challenges facing the industry and the new challenges presented by COVID-19, PCA will continue to advocate on our members behalf, provide timely and accurate information, and serve as the voice of the premium cigar industry in Washington, DC, State Capitols across the country, and before regulators and the courts on a consistent basis,” says Scott Pearce PCA Executive Director. We hope that everyone continues to stay safe and well during this crisis as we continue to protect the interests of Premium Cigars retailers, manufactures, and enthusiasts.

Stay up-to-date on all COVID-19 information, resources and news by visiting (and bookmarking) our COVID-19 web page.