Measure 108 would place a tax on tobacco products, such as cigars, cigarettes and e-cigarettes. The revenue from the tax would not only benefit the state, but it would also create extra funding for mental health services, tribal health providers and other programs regarding nicotine and tobacco. 

The proposed tax would increase the price of cigarette packs, raising the tax from $1.33 to $3.33. It would also add a tax to cigars and e-cigarettes, taxing them at 65 percent of the wholesale price. 

Those in support of this tax argue that it will help lower the cost for treating tobacco-related illnesses and ultimately reduce deaths.

“Ultimately, I’m tired of seeing my patients—too often the working poor who were targeted by big tobacco in their youth—die premature and painful deaths because of the impact of tobacco. This weighs on me every day. And it also ultimately weighs on the state—currently, the Oregon Health Plan spends roughly $374 million a year just treating tobacco-related illnesses,” Oregon Representative Rachel Prusak said.

On the other hand, these taxes may have a negative effect on Oregon’s economy because the tax will actually decrease revenue.

“Taxes on traditional cigarettes are intended to discourage use. But e-cigarettes and other smoke-free tobacco products are estimated to be 98–99 percent less harmful than smoking. Discouraging use of these low-risk products is counter to the goals of reducing smoking rates… Imposing a tax on these products will drive consumers to shop in neighboring states that do not have a similar tax… This is bad for the city/state and will result in less revenue, not more,” the Consumer Advocates for Smoke-Free Alternatives Association said.

This measure will be voted on Nov. 3, 2020. If passed, this bill would place the taxes on tobacco products starting Jan. 1, 2021.