Chris Koster on Health Care

Closed "tobacco loophole": $50M more in cigarette settlement

In 1998, Missouri and 45 other states sued the 5 biggest tobacco companies for selling cigarettes which they knew caused cancer. The settlement said that Missouri would receive roughly $130 million a year. All nonparticipating tobacco companies (other than the big 5) were required to pay into an escrow fund. The "loophole" is that, without "diligent enforcement" against the smaller companies, the bigger companies would lose market share (8%, it turns out) and would hold back part of the $130 million ($50 million in 2014, it turns out).

Koster negotiated a deal with the big 5 tobacco companies to return that $50 million to Missouri, on the condition the state "diligently enforce" on the smaller cigarette makers. We rate this claim True.

ObamaCare generates jobs as well as cuts healthcare costs

"The Affordable Care Act has succeeded at adding thousands of Missourians to the rolls of the insured, and continues to reduce costs. But its effect on Missouri's economy could be even more beneficial: it could create up to 24,000 jobs in our state and generate billions in labor income.

"Today's ruling was a positive step forward. The subsidies are an important part of building our health care infrastructure and providing affordable care to low- and middle-income families. I hope our state legislature will now see the economic value in Medicaid expansion and bring Missouri's tax dollars back."

Expanding Medicaid provides immediate fiscal stimulus

As lawmakers cut taxes to promote job growth in Missouri, they should simultaneously expand Medicaid. More than any other legislative act, Medicaid expansion will provide immediate fiscal stimulus to Missouri's economy.

Under the proposed program, each dollar Missouri dedicates to Medicaid expansion will return 19 dollars in new investment to our state, an annual return of 1,900 percent on our tax dollars.

Medicaid expansion is not supported by only Democrats. It is supported by many right-leaning groups and prominent Republicans as well, including the Missouri Chamber of Commerce and former U.S. Sen. Kit Bond.