Chicago Mayor Rahm Emanuel plans to increase the cigarette tax by 75 cents a pack -- a move that would raise total taxes to $7.42-per-pack, giving Chicago the highest rate in the nation.
The proposal was reported by The Chicago Sun-Times. Another increase reportedly could drive more smokers across state lines to purchase cartons of cigarettes. Already, the city's cigarette tax take has plummeted — from a high of $32.9 million in 2006 after two straight years of tax hikes — to $16.5 million this year.
Since 2006, Chicago's cigarette tax has been fixed at 68 cents a pack. This was after back-to-back increases of 20 and 32 cents a pack. The state and county each added on $1 over the last 18 months.
Emanuel reportedly plans to use the estimated $10 million in revenue toward expanding a vision and eye-care program now serving 30,000 Chicago Public School students. He also plans to invest more heavily in after-school and summer jobs programs for at-risk youth.
The mayor will present his proposed budget in his annual budget address on Oct. 23.
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