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HomeHealth and Safety CodeDiv. 103Pt. 3Ch. 1Art. 2§ 104500 Tobacco Tax Revenue Decline

§ 104500 Tobacco Tax Revenue Decline

Health and Safety Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 104500 Tobacco Tax Revenue Decline

This law talks about how California is trying to reduce smoking and how the money from tobacco taxes is being used for research on smoking-related diseases.

Key Takeaways

  • •California is happy that fewer people are smoking, even though it means less money from tobacco taxes.
  • •The money from tobacco taxes is used for research on smoking-related diseases.
  • •The research programs must be fair and open to all scientists who want to study smoking-related diseases.

Example

Imagine California collects less money from tobacco taxes because fewer people are smoking.

The law says this is a good thing because it means fewer people are smoking, but it also means there's less money for research programs that study smoking-related diseases.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 104500 Tobacco Tax Revenue Decline

(a)  (1) The Legislature finds that the efforts to reduce smoking in California have led to a drop in the consumption of tobacco. Although not on target to meet the goal of achieving a 75-percent reduction in tobacco consumption in California by the year 1999, the results are encouraging. (2) The Legislature further finds that as a result of the success of the programs, the money received from the taxation of tobacco has been dropping. The Legislature declares this a sign of success, not a matter of concern. (3) The Legislature further notes that programs, organizations, and individuals receiving money from the Cigarette and Tobacco Products Surtax Fund are receiving money from a declining revenue source. The Legislature finds that this success has led to an obvious concern and fear among recipients that “their money” is shrinking every year. (4) The Legislature finds that, assuming the success of the antismoking efforts continue, there will be necessary reductions in spending in the years to come. (5) The Legislature declares its intention to seek full analysis of all programs receiving money under Proposition 99 and declares its intention to critically evaluate how the money is being spent and whether the spending is achieving the results desired. (6) The Legislature specifically rejects the notion that every dollar of expenditure made by every program, organization, or activity is of equal value. Instead, the Legislature declares its intention to choose between competing programs and to allocate moneys to those programs and activities that are most successful in meeting the goals of the initiative. (b) It is the intent of the Legislature to provide for the continuation of the Cigarette and Tobacco Products Surtax Research Program to support research into tobacco-related disease. It is the intent of the Legislature that this program be administered by the University of California and that this program be administered pursuant to the following principles: (1) The research program established should adhere to the objectives stated in the provisions of the initiative act entitled Cigarette and Tobacco Products Surtax regarding research: “The Research Account . . . shall only be available for tobacco-related disease research.” (2) All research funds shall be awarded on the basis of scientific merit as determined by an open, competitive peer review process that assures objectivity, consistency, and high quality. All qualified investigators, regardless of institutional affiliation, shall have equal access and opportunity to compete for the funds in the Research Account. (3) The peer review process for the selection of grants awarded under this program shall be modeled on that used by the National Institutes of Health in its grantmaking process. (4) Awardees shall be reimbursed for the full cost, both direct and indirect, of conducting the sponsored research consistent with federal guidelines governing all federal research grants and contracts. (c) It is further the intent of the Legislature that on or before December 31, 2010, and every five years thereafter, the University of California transmit programmatic, as well as financial, reports to the state, including a report on the grants made, pending grants, program accomplishments, and the future direction of the program. (Amended by Stats. 2009, Ch. 386, Sec. 29. (AB 1182) Effective January 1, 2010.)

Last verified: January 11, 2026

Key Terms

Cigarette and Tobacco Products Surtax FundProposition 99tobacco-related disease researchpeer review process

Related Statutes

  • § 104430 Tobacco Prevention Education Funding
  • § 104455 Tobacco-Free School Policy Oversight
  • § 104460 Pregnant Minor Tobacco Cessation
  • § 104505 Tobacco Research Grant Program
  • § 104510 Tobacco Disease Research Funding

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Health and Safety Code. Section 104500.
View Official Source