Tobacco fee coming before state Supreme Court

Updated: April 10, 2006 - 7:04 AM

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State lawyers will ask the Minnesota Supreme Court this week to overturn a judge's ruling that struck down the health impact fee on cigarettes and tobacco products.

The tobacco industry has argued that the 75-cent charge on a pack of cigarettes violates a 1998 court settlement funneling billions of dollars to the state. The industry says the settlement shields major cigarette producers from future attempts to make them pay for health costs caused by smoking.

Ramsey County District Judge Michael Fetsch has ruled in favor of the tobacco industry.

The lawsuit could undercut the Legislature's financial planning for the state. At stake is $15 million or more a month.