Racers edge santa clarita11/28/2023 Meanwhile, the First 5 in Monterey County said in its most recent annual report (PDF) that almost 40% of its funding now comes from grants and philanthropy. For example, First 5 in Kern County relies almost entirely on tobacco taxes. Statewide, tobacco tax dollars make up about 73% of First 5’s annual budget (PDF), although this largely varies by county. “But that’s a pretty tall order for county governments,” Ong said. Ong, chair of the state tobacco oversight committee, said First 5s would ideally try to diversify their sources of revenue if they can. From 1989 to 2019, California’s smoking rate among adults has dropped from 22% to 10%, according to UCSF research.Įxperts say tobacco tax projections should be taken cautiously as revenues are difficult to forecast immediately after a major change, such as the flavored tobacco ban. In 1999-2000, First 5 received about $690 million in tobacco tax revenue, the most ever, according to First 5 California.Ĭalifornia tacks on $2.87 tax to each standard pack of cigarettes. It’s far less than First 5 received from tobacco taxes two decades ago. How much of that each local First 5 gets is based on a formula that takes into account a county’s birth rate. After voters passed the flavored tobacco ban, updated estimates show that First 5 expects to receive $38 million less than that.īy 2026 that number could go down to $280 million, according to the projections. Last spring, First 5 projected it would receive approximately $348 million from California’s cigarette taxes this budget year. It came up with yearly projections based on updated tobacco tax estimates from the state’s Department of Finance. First 5 California revenue fallingīy 2026, the First 5 Association of California expects to receive almost 30% less from tobacco tax compared to 2021. Services vary by county, but some of the programs they fund include: children’s mobile immunization clinics, dental services, developmental screenings, family case management, parenting classes, and home visits from a nurse for first-time mothers. That comes in addition to other recent funding cuts for programs supporting foster children and dental health services.įirst 5 funds a broad number of programs in partnership with nonprofits, local hospitals, clinics and county health and education offices. For example, the First 5 in Stanislaus County most recently cut one of its PlanetBaby! programs, which provide support for pregnant women and moms of babies up to a year old. The cuts are unfolding in different ways based on local decisions.
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