Tobacco & Vaping 101: Florida
Taxpayers Protection Alliance
February 3, 2022
Current Adult Smoking Rates
According to data from the Centers for Disease Control and Prevention’s (CDC) Behavioral Risk Factor Surveillance Survey (BRFSS), smoking rates continue to decline in the Sunshine State.[i]
In 2020, 14.7 percent of adults were classified as current smokers, amounting to 616,278 adults.[ii] This is an 0.7 percent decrease from 2019 when 14.8 percent of adults were current smokers. Further, this is a 36.6 percent decrease from 1995 when 23.2 percent of Florida adults reported smoking and the first year the BRFSS started collecting data on smoking rates.
In 2020, among adults, 9.4 percent reported smoking every day, 5.3 percent reported smoking some days, 27 percent reported being a former smoker, and 58.3 percent had never smoked. Daily smoking rates have decreased by 4.1 percent since 2019, and by 53.7 percent since 1995. Moreover, never-smokers decreased by one percent between 2019 and 2020, but increased by 20.2 percent between 1995 and 2020.
Lower Income Persons More Likely to Smoke
Among current adult smokers in Florida, in 2020, 19.7 percent reported annual incomes of less than $15,000 and 24 percent of current smokers reported earning between $15,000 and $24,999 per year. In fact, nearly half (43.7 percent) of all current adult smokers earned less than $24,999 per year in 2020. Only 10.8 percent of current adult smokers in Florida reported earning $50,000 or more a year in 2020.
Interestingly, smoking rates have declined more rapidly among higher income persons in the Sunshine State than their low-income counterparts. Between 1995 and 2020, smoking rates among current smokers earning $24,999 or less decreased by only 15.3 percent. Conversely, among persons earning $50,000 or more, rates decreased by 46.3 percent during the same period.
Adult Vaping Rates
Despite providing annual data on cigarette and smokeless tobacco use, the CDC’s BRFSS only reports on adult e-cigarette use for 2016 and 2017.
In 2017, according to the BRFSS, 4.3 percent of Florida adults were current e-cigarette users. Similar to income status among smokers, lower income persons are more likely to use vapor products. In 2017, among current adult e-cigarette users, 12 percent reported household incomes of $25,000 or less per year. Conversely, only 3.4 percent reported earning $50,000 a year or more.
Economic Impact of Vaping in Florida
In 2021, according to the analysis by the Vapor Technology Association, the industry created 4,901 direct vaping-related jobs in Florida. These jobs generated more than $175.5 million in wages.[iii] Moreover, the industry has created hundreds of secondary jobs in the Sunshine State, bringing the total economic impact in 2021 to $1.4 billion. In the same year, Florida received more than $94.4 million in state taxes attributable to the vaping industry.
Unfortunately, efforts by anti-vaping organizations and policymakers have negatively affected vape shops in the Sunshine State. The number of employees has decreased by 8.4 percent from 5,353 in 2018 to 4,901 in 2021, representing a loss of $22.6 million in wages .[iv] Overall, the economic output from the vaping industry in Florida decreased by 6.5 percent from $1.5 billion in 2018 to $1.4 billion in 2021.
Youth Tobacco and Vaping Rates
The most recent data on youth tobacco and vapor product use in Florida comes from the 2021 Florida Youth Survey.[v] In 2021, 32.2 percent of Florida high school students reported ever trying e-cigarettes and 18.3 percent reported using e-cigarettes on at least one occasion in the 30 days prior to the survey, defined as past current use.
Regarding combustible cigarette use, in 2021, among high school students, 12.6 percent reported ever trying cigarettes and 1.7 percent reported past month use, which represent a 10.6 and 26.1 percent decline, respectively, from 2020 rates. Moreover, ever vapor product rates have declined by 11.8 percent from 2020 and current vapor product use has declined by 15.3 percent in same period. Indeed, current vapor product use among Floridian high school students has declined by 28.5 percent since 2019 when 25.6 percent of high school students reported using an e-cigarette in the month prior to the survey.
Moreover, nationally, the youth vaping rate continues to decline. In 2021, according to the National Youth Tobacco Survey (NYTS), an estimated 11.3 percent of high school students and 2.8 percent of middle school students reported having used a vapor product on a least one occasion in the month prior to the survey.[vi] Further, only 3.1 percent of high school students and less than one percent of middle schoolers reported daily e-cigarette use. The rate of decline is remarkable: among high school students, vaping rates have declined by 41.8 percent since 2020 and by 58.9 percent since 2019, when 27.5 percent reported using e-cigarettes.
Young Adult Smoking Rates
Electronic cigarettes and vapor products were first introduced to the U.S. in 2007 “and between 2009 and 2012, retail sales of e-cigarettes expanded to all major markets in the United States.”[vii] Moreover, between September 2014 and May 2020, e-cigarette sales in the U.S. increased by 122.2 percent.[viii]
Examining data from the CDC’s BRFSS finds that e-cigarettes’ market emergence has coincided with a significant reduction in smoking rates among young adults.
In 1998, among current adult smokers, 26.6 percent were 18 to 24 years old. In 2008, this had decreased by 17.7 percent to 21.9 percent of adult smokers in Florida being between 18 to 24 years old.
In the years after e-cigarette’s market emergence in the early 2010s, smoking rates among current smokers aged 18 to 24 years decreased by 72.6 percent. Indeed, in 2010, among current smokers in Florida, 21.5 percent were between 18 to 24 years old. In 2020, only 5.9 percent of current smokers were 18 to 24 years old.
Interestingly, e-cigarettes’ market emergence was associated with greater declines in average annual percent decreases. Between 1998 and 2008, the percentage of current smokers aged 18 to 24 years old increased on average by 0.7 percent each year. Between 2010 and 2020, annual percentage decreases average at 11.3 percent.
Further, since 2016, when the U.S. surgeon general issued an alarm about youth e-cigarette use, smoking rates among adults aged 18 to 24 years in the Sunshine State have decreased by 47.3 percent, with an average annual decrease of 11.4 percent.
Wasted Tobacco Dollars
Between 2000 and 2020, Florida collected an estimated $16.4 billion in cigarette taxes.[ix] During the same 20-year period, the Sunshine State increased the tax rate on cigarettes once. The last tax increase raised the rate by $1.00, to $1.339 per pack.
The last tax increase did lead to an immediate 196 percent increase in cigarette tax revenue two years after the tax was imposed, but this has steadily declined in the long-term. Between 2012 and 2020, cigarette tax revenue declined on average by 2.5 percent annually. In 2020, Florida collected $992.8 million in cigarette tax revenue, a 20.3 percent decrease from the $1.2 billion in cigarette tax revenue that was collected in 2012.
In the mid-1990s, Florida sued tobacco companies to reimburse Medicaid for the costs of treating smoking-related health issues. And, in 1997, the Sunshine State settled with the major tobacco companies with the Florida tobacco settlement agreement, becoming the second state to reach an agreement.
Under the settlement agreement, Florida receives annual payments – in perpetuity – from the tobacco companies, while relinquishing future claims against the participating companies. Between 1998 and 2019, Florida collected $9 billion in MSA payments.[x]
Tobacco taxes and tobacco settlement payments are justified to help offset the costs of smoking, as well as prevent youth initiation. Like most states, Florida spends very little of existing tobacco moneys on tobacco control programs – including education and prevention.
Between 2000 and 2020, Florida allocated only $1 billion in state funds towards tobacco control programs.[xi] This is 6.2 percent of what the state collected in cigarette taxes in the same 20-year time span and 11.3 percent of MSA payments. In total, in 20 years, Florida allocated only four percent of what the state received in tobacco taxes and settlement payments towards tobacco education and prevention efforts. In essence, for every $100 received in tobacco-related taxes and settlement payments, the state spent $4.00 funding tobacco control programs.
Summary Points:
- Smoking rates continue to decline in the Sunshine State. In 2020, only 14.7 percent of adults were current smokers. This is an 0.7 percent decrease from 2019.
- Nearly half (43.7 percent) of all current smokers earned less than $24,999 per year in 2020.
- Among Florida high school students, current vapor product use declined by 15.3 percent from 21.6 percent of high school students using e-cigarettes in 2020 to 18.3 percent in 2021. Youth combustible cigarette use declined by 26.1 percent, from 2.3 percent in 2020 to 1.7 percent in 2021.
- Nationally, current vapor product use among high school students has declined by 41.8 percent since 2020 and by 58.9 percent since 2019, when 27.5 percent reported using e-cigarettes on at least one occasion in the 30 days prior to the survey.
- E-cigarettes’ market emergence is associated with low young adult smoking rates. In 2020, among current smokers in Florida, only 5.9 percent current smokers were 18 to 24 years old – a 72.6 percent decrease from 2010. Further, since 2016, smoking rates among young adults have decreased by 47.3 percent.
- Florida’s vaping industry created $1.4 billion in economic activity in 2021 while generating 4,901 direct vaping-related jobs and contributed more than $94.4 million in state taxes.
- Unfortunately, anti-vaping efforts have reduced the industry’s economic impact. The number of employees decreased by 8.4 percent from 5,353 employees in 2018, and overall economic activity decreased by 6.5 percent from $1.5 billion in 2018.
- Florida continues to allocate very little of tobacco-related settlement payments and taxes on tobacco control programs, including education and prevention.
- In 2020, the Sunshine State collected $992.8 million in state cigarette excise taxes and $335.3 million in tobacco settlement payments, yet allocated only $72.1 million (5.4 percent) to tobacco control. In 20 years, for every $100 the state received in tobacco-related payments, it spent $4.00 funding tobacco control programs.
[i] Centers for Disease Control and Prevention, “BRFSS Prevalence & Trends Data,” 2020, https://www.cdc.gov/brfss/brfssprevalence/.
[ii] Kids Count Data Center, “Total population by child and adult populations in the United States,” The Annie E. Casey Foundation, September 2021, https://datacenter.kidscount.org/data/tables/99-total-population-by-child-and-adult-populations#detailed/1/any/false/1729,37,871,870,573,869,36,868,867,133/39,40,41/416,417.
[iii] Vapor Technology Association, “The Economic Impact of the Vapor Industry Florida,” 2021, https://vta.guerrillaeconomics.net/reports/e7d35536-8158-4a34-9f50-8e820a961c75?.
[iv] Vapor Technology Association, “The Economic Impact of the Vapor Industry Florida,” 2018, https://vta.guerrillaeconomics.net/reports/8d469ccd-8cd7-49cc-811e-e54b50bc1762?.
[v] Centers for Disease Control and Prevention, “High School YRBS 2019 Results,” 2019, https://nccd.cdc.gov/Youthonline/App/Default.aspx.
[vi] Eunice Park-Lee PhD. et al., “Notes from the Field: E-Cigarette Use Among Middle and High School Students – National Youth Tobacco Survey, United States, 2021,” Morbidity and Mortality Weekly Report, Centers for Disease Control and Prevention, October 1, 2021, https://www.cdc.gov/mmwr/volumes/70/wr/mm7039a4.htm.
[vii] National Center for Chronic Disease Prevention and Health Promotion, “E-Cigarette Use Among Youth and Young Adults: A Report of the Surgeon General,” 2016, https://www.ncbi.nlm.nih.gov/books/NBK538679/.
[viii] Fatma Romeh M. Ali, PhD., et al., “E-cigarette Unite Sales, by Product and Flavor Type – United States, 2014 – 2020,” Morbidity and Mortality Weekly Report, Centers for Disease Control and Prevention, September 18, 2020, https://www.cdc.gov/mmwr/volumes/69/wr/mm6937e2.htm/.
[ix] Orzechowski and Walker, “The Tax Burden on Tobacco Historical Compilation Volume 55,” 2021. Print.
[x] Campaign for Tobacco-Free Kids, “Actual Annual Tobacco Settlement Payments Received by the States, 1998 – 2021,” January 11, 2022, https://www.tobaccofreekids.org/assets/factsheets/0365.pdf.
[xi] Campaign for Tobacco-Free Kids, “Appendix A: History of Spending for State Tobacco Prevention Programs,” 2021, https://www.tobaccofreekids.org/assets/factsheets/0209.pdf.
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