PCA Magazine Fall 2019

PREMIUMCIGARS.ORG SEPTEMBER-OCTOBER 2019 | PCA The Magazine 13 S T A T E B R I I E F I N G Preserving Good Policy in the Great Lakes State By David Jessup, PCA Government Affairs Regional Representative Engaging in political speech these days can be a daunting undertaking, with cable news and social media platforms stoking controversy and devolving into an exercise in character smears rather than earnest policy debate. For small- business tobacconists, impacting the narrative surrounding the premium cigar industry and the regulations that govern how you do business may seem difficult. Frustrated and left with feelings of powerlessness, many have been happy to keep their political discourse within the friendly confines of the cigar lounge. That is the bad news. The good news, however, is that the premium cigar industry has a message of entrepreneurship, job creation and community enrichment to share. The roots are deep, the stories are rich and they transcend partisan lines in a hyper- partisan environment. Retailers in Michigan are making a difference today by lending their voices to legislative efforts to preserve and permanently install a statutory $0.50 tax cap on cigars by removing the existing grandfather clause. In 2012, when the cap was initially enacted, Michigan was a pioneering state in establishing a cap that helps level the playing field between brick-and-mortar retailers and internet outlets. Seven years later, Michigan is cultivating an active and engaged network of grassroots activists to educate lawmakers and the general public on cigar culture and how it is unique in the tobacco market. PCA members Mark Rezenbrink, owner of Tuttle’s Select Cigars in Grand Rapids, and Andy Hyde of Nolan’s Tobacco in Traverse City, offered expert testimony during a recent Senate hearing on the tax cap. In doing so, they were able to focus the debate on small business job growth and economic expansion instead of having it devolve into a debate about tobacco use. While the Michigan Department of Treasury has been unable to provide proper data to analyze the success of the cap, Mark and Andy provided the panel with their own business growth data relative to the tax cap’s implementation, definitively showing the positive impact on jobs and economic growth for the state. During his testimony, Hyde said: “I have seen tax rates change and public smoking policies enforced. Throughout these tax increases and regulations, support for our industry has been broad and bipartisan. This is not a trade reserved for Republicans or Democrats or Independents, but one that welcomes all. I ask that you support small business and the community of social engagement that thrives in our stores.” Cigar retailers are passionate people. When that passion is focused and applied at the right time and place in the political process, the impact is significant and benefits the industry as a whole. “PCA’s regional state government relations team understands that you have a business to run,” says Director of State Government Affairs Rachel Hall. “That is why we work with key decision-makers in order to cultivate a positive image of the premium cigar industry and anticipate the right strategic moment to call upon PCA member activists to engage public officials.” Real people engaging in real dialogue are ultimately who shape policy. I am proud to have meaningful conversations with lawmakers on behalf of premium cigar retailers across the Midwest. While it is important to give the industry a seat at the table when decisions are being made, the biggest impact will come from the readers of this article, not its author. David Jessup, PCA government affairs regional representative, speaking to lawmakers in Michigan. State Briefing