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COMMITTEE REPORT
April 22, 1999
S. 656
Introduced by Senators McGill, Elliott, Land, Leatherman, Glover, Saleeby, Rankin and Ravenel
S. Printed 4/22/99--H.
Read the first time March 25, 1999.
To whom was referred a Concurrent Resolution (S. 656), memorializing the Congress of the United States and the Honorable William J. Clinton, etc., respectfully
That they have duly and carefully considered the same, and recommend that the same do pass:
RICHARD M. QUINN, JR., for Committee.
MEMORIALIZING THE CONGRESS OF THE UNITED STATES AND THE HONORABLE WILLIAM J. CLINTON, PRESIDENT OF THE UNITED STATES, TO PROHIBIT FEDERAL RECOUPMENT OF STATE TOBACCO SETTLEMENT RECOVERIES.
Whereas, the State of South Carolina settled its litigation against the tobacco industry on November 23, 1998; and
Whereas, the federal government has declined to bring its own lawsuit against the tobacco industry; and
Whereas, the federal government through the Health Care Financing Administration has asserted that it is entitled to a significant share of the state settlement on the basis that it represents the federal share of Medicaid costs; and
Whereas, the federal government asserts that it is authorized and obligated, under the Social Security Act, to collect its share of any settlement funds attributable to Medicaid; and
Whereas, the state lawsuit was brought for violation of state law under state law theories, and the state lawsuit did not make any federal claims; and
Whereas, the State bore all the risk and expense in the litigation brought in state court, and settled without any assistance from the federal government; and
Whereas, the State is entitled to all of the funds negotiated in the tobacco settlement agreement without any federal claim. Now, therefore,
Be it resolved by the Senate, the House of Representatives concurring:
That the members of the General Assembly, do hereby respectfully memorialize the Congress of the United States and the Honorable William J. Clinton, President of the United States, to prohibit federal recoupment of state tobacco settlement recoveries.
Be it further resolved that copies of this resolution be transmitted to the Honorable William J. Clinton, President of the United States, the President of the United States Senate, the Speaker of the House of Representatives, and each member of Congress from the State of South Carolina.
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