· The tobacco industry has successfully achieved its four part policy agenda:

o Keep cigarette taxes low relative to their price

o No enforcement or regulation of the sale of cigarettes to youth

o Stop local ordinances requiring clean indoor air

o Preempt local authority to regulate cigarettes.

· These policies have contributed to:

o Higher than expected number of smokers and cigarette consumption given the state’s socio-economic characteristics (and resulting loss of life and economic burden).

o Among the highest rates of youth smoking in the nation.

o The highest rate of illegal tobacco sales to youth in the nation.

o Higher than average exposure to secondhand smoke in workplaces compared to the rest of the nation.

· The tobacco industry’s legislative victories were accomplished in large part through the lobbying and public relations efforts of their long-term allies:

o The Wisconsin Restaurant Association

o The Wisconsin Grocers Association

o The Wisconsin Tavern League

o The Wisconsin Association of Convenience Stores/ Petroleum Marketers

· Philip Morris Co. (now Altria) has been the dominant tobacco corporation in Wisconsin due to its half billion dollars in cigarettes sales and ownership of Miller Brewing, Oscar Mayer and other Kraft Foods manufacturing operations.

· In the last three legislative sessions, the tobacco industry and its allies spent $7.2 million in lobbying fees. Philip Morris alone expended $1.9 million in the same period.

· In the same period (1997-2002), reported political contributions have overwhelmingly been directed to Republican officeholders at the state and federal level. Contributions to "soft money" organizations that run campaign-style ads in elections are unreported and may be significant. Governor Scott McCallum received over $90,000 from the tobacco industry and its allies in this election cycle. Senator Gary George received $19,100 and Assembly Speaker Scott Jensen received $11,874.

· This report authors examined over 1000 previously secret documents, primarily internal industry memoranda, now made available to the public as a result of the Master Settlement Agreement between the tobacco industry and the states’ Attorneys General.