{"id":47439,"date":"2001-07-12T00:00:00","date_gmt":"2001-07-12T05:00:00","guid":{"rendered":"https:\/\/www.unmc.edu\/newsroom\/2001\/07\/12\/at-signing-ceremony-gov-johanns-says-historic-tobaccofund-distribution-will-impact-countless-nebraskans\/"},"modified":"2022-08-29T10:52:05","modified_gmt":"2022-08-29T15:52:05","slug":"at-signing-ceremony-gov-johanns-says-historic-tobaccofund-distribution-will-impact-countless-nebraskans","status":"publish","type":"post","link":"https:\/\/www.unmc.edu\/newsroom\/2001\/07\/12\/at-signing-ceremony-gov-johanns-says-historic-tobaccofund-distribution-will-impact-countless-nebraskans\/","title":{"rendered":"At Signing Ceremony, Gov. Johanns Says Historic Tobacco\n\nFund Distribution Will Impact Countless Nebraskans"},"content":{"rendered":"<div class=\"panel body-content\"><div class=\"panel__container\"><p>Governor Mike Johanns re-enacted the signing of legislative bill (LB)<\/p>\n<p>692 on Thursday morning at the Durham Outpatient Center at the University<\/p>\n<p>of Nebraska Medical Center in Omaha.&nbsp; Nebraskans representing each<\/p>\n<p>of the designated beneficiaries of the states proceeds from the national<\/p>\n<p>tobacco settlement participated in the event.&nbsp; LB 692 authorizes the<\/p>\n<p>distribution of approximately $50 million annually for health related programs<\/p>\n<p>and services across Nebraska.<\/p>\n<p>This legislation is of historic importance for the entire State of<\/p>\n<p>Nebraska, said Governor Johanns.&nbsp; Never before have we had an opportunity<\/p>\n<p>to do something so meaningful and so sweeping in scope that will have such<\/p>\n<p>a real and lasting impact on the health of so many Nebraskans for so many<\/p>\n<p>years to come.<\/p>\n<p>Under LB 692, the tobacco settlement proceeds will be allocated to behavioral<\/p>\n<p>health services including mental health and substance abuse treatment,<\/p>\n<p>juvenile services, minority health, developmental disabilities, respite<\/p>\n<p>care, biomedical research, and public health.&nbsp; Representatives of<\/p>\n<p>each of the seven areas spoke at the signing ceremony.<\/p>\n<p>Nebraska was among a group of 46 states that agreed to a $246 billion<\/p>\n<p>dollar settlement with the tobacco industry.&nbsp; The 1998 settlement<\/p>\n<p>was a result of the states efforts to recoup money spent to care for ill<\/p>\n<p>smokers.&nbsp; Nebraskas share of the settlement is about $1.2 billion<\/p>\n<p>over a 25-year period.<\/p>\n<p>In 1998, the state Legislature approved a plan distributing Nebraskas<\/p>\n<p>tobacco settlement funds to health care needs through a competitive grant<\/p>\n<p>process.&nbsp; The Legislature amended its plans for distributing the<\/p>\n<p>funds in 2000 by allocating $21 million over three years for tobacco use<\/p>\n<p>prevention and cessation efforts.&nbsp; However, in 2001, Governor Johanns<\/p>\n<p>and legislative leaders including the Speaker of the Legislature, Sen.<\/p>\n<p>Doug Kristensen of Minden, proposed a dramatically different approach.<\/p>\n<p>Instead of spending the funds as the state received them or spending<\/p>\n<p>only the interest on those funds, a plan to allocate $50 million annually<\/p>\n<p>to designated health care needs was developed.&nbsp; The $50 million would<\/p>\n<p>be a combination of principal and interest from Nebraskas share of the<\/p>\n<p>tobacco settlement.&nbsp; As payments from the settlement were received,<\/p>\n<p>they would be deposited in a Health Care Trust Fund.&nbsp; The principal<\/p>\n<p>of the fund would grow over time causing an increasingly larger share of<\/p>\n<p>the annual distribution of proceeds to be interest.<\/p>\n<p>The question was how would the $50 million be distributed.&nbsp; Many<\/p>\n<p>senators were involved in crafting the eventual compromise with the Governor<\/p>\n<p>including Speaker Kristensen, Sen. Jim Jensen of Omaha  chairman of the<\/p>\n<p>Health and Human Services Committee, Sen. Roger Wehrbein of Plattsmouth<\/p>\n<p> chairman of the Appropriations Committee, the vice chairs of the two<\/p>\n<p>committees, Sen. Dennis Byars of Beatrice and Sen. Don Pederson of North<\/p>\n<p>Platte, respectively, and other members of these two key committees as<\/p>\n<p>well as other legislators.<\/p>\n<p>The allocation of funds for the current fiscal year (FY 2002):<\/p>\n<p>$10 million for biomedical research at UNMC, Creighton, UNL, and Boys<\/p>\n<p>Town National Research Hospital (increasing to $14 million annually by<\/p>\n<p>FY 2006)<\/p>\n<p>$2.8 million for minority public health services<\/p>\n<p>$9.9 million in FY 02 and $10.1 million in FY 03 for behavioral health<\/p>\n<p>provider rate increases<\/p>\n<p>$1.5 million for emergency protective care<\/p>\n<p>$7.5 million for mental health and substance abuse capacity, including<\/p>\n<p>$1 million each of the next two years for children served by the Office<\/p>\n<p>of Juvenile Services<\/p>\n<p>$5.7 million for county health departments for public health services,<\/p>\n<p>planning infrastructure and development<\/p>\n<p>$3 million in FY 02 and $5 million in FY 03 for individuals with developmental<\/p>\n<p>disabilities on the waiting list for services<\/p>\n<p>$1,060,000 for the respite care program<\/p>\n<p>$5 million for health care grants awarded by the Nebraska Health Care<\/p>\n<p>Council including $700,000 designated for grants to improve racial and<\/p>\n<p>minority health<\/p>\n<p>&nbsp;<\/p>\n<\/div><\/div>","protected":false},"excerpt":{"rendered":"<p>Governor Mike Johanns re-enacted the signing of legislative bill (LB) 692 on Thursday morning at the Durham Outpatient Center at the University of Nebraska Medical Center in Omaha.&nbsp; Nebraskans representing each of the designated beneficiaries of the states proceeds from the national tobacco settlement participated in the event.&nbsp; LB 692 authorizes the distribution of approximately [&hellip;]<\/p>\n","protected":false},"author":79,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_relevanssi_hide_post":"","_relevanssi_hide_content":"","_relevanssi_pin_for_all":"","_relevanssi_pin_keywords":"","_relevanssi_unpin_keywords":"","_relevanssi_related_keywords":"","_relevanssi_related_include_ids":"","_relevanssi_related_exclude_ids":"","_relevanssi_related_no_append":"","_relevanssi_related_not_related":"","_relevanssi_related_posts":"","_relevanssi_noindex_reason":"","footnotes":""},"categories":[1],"tags":[],"class_list":["post-47439","post","type-post","status-publish","format-standard","hentry","category-uncategorized","department-press-release"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.2 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>At Signing Ceremony, Gov. 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