$200M Tobacco Funds Aren’t For Pa. Coffers: Appeals Court

Law360, New York (March 6, 2013, 4:28 PM EST) -- A Pennsylvania appeals court ruled Monday that state lawmakers’ attempt to divert nearly $200 million from a tobacco settlement meant for a now-defunct health insurance program into the state’s general fund is unconstitutional, striking down two laws enacted to balance the budget.

Commonwealth Court Judge Dan Pellegrini ruled that the manner in which Acts 46 and 26 — amendments to the state’s fiscal code enacted in 2010 and 2011, respectively — were enacted unconstitutionally and diverted the money away from health programs for which the tobacco...
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