President Vetoes Children’s Health Insurance Legislation with Tobacco Tax Increase

On October 3, 2007, the President vetoed the Children’s Health Insurance Program Reauthorization Act of 2007 (HR 976), citing excessive increases in spending for the program. While the vote in the Senate had been by a veto proof margin, the vote in the House would not have been sufficient to overcome a veto. The Administration and Congressional leaders have indicated that they will try to work on a compromise. Additional funding for the insurance program as proposed had been paid for with a 61-cent increase in the federal tax on cigarettes as well as tax increases on other tobacco products.