SJR 7: Relating to prohibiting federal claims against funds obtained by settlement of tobacco litigation.
00SENATE JOINT RESOLUTION NO. 7 01 Relating to prohibiting federal claims against funds obtained by settlement of 02 tobacco litigation. 03 BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 WHEREAS, in November 1998, 46 states agreed to a historic settlement with the 05 tobacco industry ending a four-year battle with the industry over treatment costs states have 06 incurred for smoking-related illnesses; and 07 WHEREAS the 46 states could receive up to $196,000,000,000 over a 25-year period; 08 and 09 WHEREAS, because the Master Settlement Agreement does not restrict or earmark 10 use of the money that will be received under the settlement, the general belief is that the funds 11 may be appropriated according to state law; and 12 WHEREAS the decision for states now is how to best use the money; and 13 WHEREAS the federal Department of Health and Human Services contends that 14 existing Medicaid law (Sec. 1903(d), Social Security Act) compels it to recover its share of
01 third-party payments collected by states on behalf of Medicaid clients and argues that state 02 tobacco settlement funds are third-party recoveries under the provisions of the Medicaid 03 statute; 04 BE IT RESOLVED that the Alaska State Legislature respectfully requests the 05 Congress of the United States and the Clinton Administration to recognize state interests and 06 enact legislation that would prohibit the federal Department of Health and Human Services 07 from recouping the tobacco settlement funds as third-party recoveries under Medicaid law. 08 COPIES of this resolution shall be sent to the Honorable Ted Stevens and the 09 Honorable Frank Murkowski, U.S. Senators, and the Honorable Don Young, U.S. 10 Representative, members of the Alaska delegation in Congress.