Philip Morris targets S.F.'s cigarette fee

In what has become a familiar scenario, Philip Morris USA has filed a complaint in San Francisco Superior Court over the city's new 20-cent fee tacked onto packs of cigarettes.
The move likely foreshadows a lawsuit - the second time in 18 months the tobacco giant will have sued San Francisco over its cutting-edge cigarette policies. The company said the city's first-of-its-kind ban on cigarette sales in drug stores including Walgreens violated its constitutional rights to advertise its products, but its claim was rejected in court.
Now, Philip Morris and some local retailers say the city's 20-cent charge on cigarette packs, the brainchild of Mayor Gavin Newsom that was implemented Oct. 1, violates state law because voters didn't approve it. The city argues that since it's a fee, rather than a tax, voter approval isn't required.
Newsom said the city completed an extensive study showing that it costs San Francisco $7.5 million every year to clean up cigarette butts tossed onto city streets - and that smokers should be the ones picking up the tab.
"Twenty cents a pack - that's what it costs us," Newsom said of the clean-up, adding he wasn't surprised by Philip Morris' complaint. "We anticipated this. I think they'll lose. They lose most of their lawsuits."
Newsom has long said he believes chewing gum is the real culprit when it comes to littering the city's streets, but he's not ready to levy a fee on packs of gum. Even in open-minded San Francisco, that would likely be a real, um, sticky situation.