Tobacco settlement money must be used for health care
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HARRISBURG, Pa. (AP) — A portion of Pennsylvania’s tobacco settlement proceeds must fund the defunct adultBasic health insurance program for lower-income adults or a similar plan, rather than be used to help balance the government budget or pay for teacher pensions, a judge ruled Tuesday.
Commonwealth Court Judge Dan Pellegrini, applying a previous and related court ruling, declared unconstitutional two state laws that siphoned the money away from adultBasic and Medicaid for disabled workers.
He threw out state laws passed in 2010 and 2011 that diverted funds from a landmark 1998 settlement with tobacco companies. He denied a request from those who sued that adultBasic be reinstated under court supervision and that some $200 million be reimbursed to the funds from those two years.
Lawyers for the dozens of adultBasic enrollees who challenged the laws said the decision means adultBasic, closed down by Gov. Tom Corbett shortly after he took office in 2011, should be reinstated.