Senecas urge senators to fight cigarette trafficking act
By Christopher Michel

The Seneca Nation of Indians hopes to gain support from Congressional members in its effort to fight the Prevention of All Cigarette Trafficking (PACT) Act.

On Jan. 5, nation officials announced the tribe had purchased space on two electronic billboards along the eastbound Interstate 90 in Buffalo. The billboards implore senators Chuck Schumer (D-N.Y.) and Kristen Gillibrand (D-N.Y.) to vote against the legislation. Additionally, the billboards cite the impact of the potential law and ask citizens to oppose it as well.

Under the terms of the PACT Act, requirements in reporting cigarette sales from tobacco merchants will be strengthened, penalties for violations of falsely reporting cigarette sales will be increased, both federal and state governments will have more power to investigate violations and the United States Postal Service will be prohibited from delivering tobacco products.

Citing the effects of the pending legislation, Barry E. Snyder Sr., nation president, said in a press release the PACT Act would devastate the Seneca’s economy.

“If the PACT Act becomes law, it will prevent all mail-order cigarette sales and destroy roughly 1,000 native and non-native tobacco industry jobs here in Western New York,” President Snyder said. “We applaud the goal of halting rogue tobacco smuggling, but it’s wrong to wipe out legitimate jobs in the process.”

Nation officials estimate enforcement of the PACT Act could result in up to a 65 percent loss in import/export revenue. Revenues from the nation’s import/export are used to fund Seneca health and education programs.

Although not the cornerstone of the nation’s billion-dollar economy, a study done on its finances in 2007 said native cigarette sales are largely dependent on being tax-exempt. The study, entitled “The Seneca Nation Economy: Its Foundations, Size, and Impact on New York State and the Western New York Region,” concluded that “Export sales would drop to near zero percent, as purchasers (would) flea to neighboring states with (cigarette) taxes lower than New York’s.”

In his statements, President Snyder took issue with how the PACT Act is being touted by many politicians and anti-tobacco activist groups.
“The PACT Act is being portrayed as a tool to fight cigarette smuggling. In reality, it will kill legitimate, treaty-sanctioned Native American commerce, causing significant economic harm,” President Snyder said.

In late November, the United States’ Senate Judiciary Committee completed its review of the proposed legislation and approved the act to be voted on. At that time, the nation’s tribal leaders claimed the act was an “overreaction at a time of economic uncertainty.”

Officials maintain the nation has taken measures to regulate the sale of tobacco products by its members. In addition to working with the Federal Bureau of Alcohol, Tobacco and Firearms, the Nation implemented a cigarette carton stamping and enforcement mechanism to comply with internal regulations and have banned the sale of tobacco products to minors.

Since the PACT Act came out of the Senate Judiciary Committee, the nation’s Foreign Relations Committee - co-led by Tribal Councilors Richard E. Nephew and J.C. Seneca - has focused much of its attention on defeating the PACT Act.

With the Philip Morris Corporation backing the PACT Act, Mr. Nephew said cigarette corporations are trying to eliminate all competition.

“This is an overt attempt by big cigarette corporations to simply stomp out any market competition and in this case, its big tobacco targeting a single Indian tribe: The Seneca Nation,” said Mr. Nephew.
Echoing Mr. Nephew, Mr. Seneca encouraged area citizens to opposed the legislation.

“Tobacco is a legal product and the Seneca Nation regulates and monitors the manufacture and sale of tobacco products consistent with our treaty rights,” Mr. Seneca said. “Western New Yorkers should be asking Senators supporting the PACT Act, especially Senators right here in New York State, why are they letting Philip Morris take jobs and money from the Seneca Nation and the Western New York economy? What hurts the Seneca, hurts Western New York.”

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