Trump Wants E-Cigarette Companies to Pay User Fees

March 13, 2019
NACS News
Opponents say the “user fees” are just another tax.
WASHINGTON – The Trump administration wants the e-cigarette industry to pay $100 million a year in user fees to underwrite regulatory oversight by the Food and Drug Administration, the Washington Post reports.
While several other types of tobacco products, including cigarettes, cigars and snuff, are subject to similar fees, e-cigarettes are not. This fiscal year, the agency is expected to collect an estimated $712 million in user fees, with cigarettes providing more than 86% of the total.
According to administration insiders, the user-fee proposal for the e-cigarette industry would ensure that the FDA has the resources to address the rise in underage e-cigarette use, in addition to any new public health threats that may come along. Opponents of the fees argue that the a “user fee” is actually a tax.
Tobacco user fees provide all funding for the FDA’s Center for Tobacco Products. New fees imposed on e-cigarette manufacturers and importers of vaping devices and e-liquids would generate more resources as the agency tries to combat youth vaping.
Departing FDA Commissioner Scott Gottlieb has acknowledged that e-cigarettes may be a useful tool for adult smokers who want to wean themselves off regular cigarettes, but he believes young people should not use them since researchers are still investigating their long-term effects.
The FDA’s concerns about underage vaping increased after federal data showed that e-cigarette use among high school students rose 78% between 2017 and 2018. Officials say they want to prevent a new generation from becoming addicted to nicotine.