Minneapolis smokers will pay some of the highest cigarette prices in the country after the City Council voted unanimously Thursday to impose a minimum retail price of $15 per pack to promote public health.
The ordinance not only sets a minimum price. It prevents smokers and retailers from circumventing it by banning price cuts and coupons, which several tobacco companies circulate online to attract customers and reinforce brand loyalty. The minimum price also applies to four-packs of cigars. Distribution of free samples is prohibited.
Consumer prices are expected to rise further once taxes are calculated. While retailers will pocket the extra money paid by smokers, the higher prices are expected to wipe out at least some of their sales. E-cigarettes, which have grown in popularity, were excluded because their prices vary too much.
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The minimum price will go into effect as soon as Mayor Jacob Frey signs the measure, which he is expected to do in the coming days.
Evalyn Carbrey, the city’s senior public health specialist, said at a committee hearing last week that staff research indicates Minneapolis’ minimum will be the highest in the country. Staff determined that cigarettes typically sold in Minneapolis for between $11 and $13.50 a pack. The change puts Minneapolis ahead of New York City, which set its minimum at $13 in 2018.
“I’m excited that this council is taking this public health crisis seriously because that’s what it is,” said the ordinance’s author, Councilwoman LaTrisha Vetaw.
Council President Andrea Jenkins said the price of cigarettes was one of the reasons she quit smoking eight years ago and she hopes the new low will encourage more people to quit or never start.
“If you travel across the country, around New York City, you can’t buy a pack of cigarettes for less than $18. Chicago, $17. In some places, Los Angeles, I think they’re up to $20,” Jenkins said. .
Penalties will range from a $500 fine for a first offense to license suspensions and revocations for repeat offenders.
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“If it helps even one person to stop using tobacco, one person to use less tobacco or one person to stop starting to use tobacco, to me it’s worth it,” said Councilwoman Linea Palmisano. “I know it’s easy for me to sit here and say that, as a non-smoker, but it’s the truth. The only way we can break our dependence on tobacco is if we make some really big changes.”