Cigar "factory" proposal passes committee
Along with a proposal to increase the tax on cigarettes,
"The committee also approved a bill [Bill 31-0115], sponsored by Sen. Jean Forde, to relax V.I. public smoking restrictions to allow a "cigar factory" to operate a smoking and possibly smoking and drinking lounge for adults only. The bill would require such a business to have at least one cigar roller employed making cigars. ...
... The bill appears to envision such establishments will sell alcohol, although it does not explicitly authorize it. It says that such a "factory" must employ cigar rollers and roll its own cigars; and that "not more than 60 percent" of the business' revenue can come from "sales other than cigar and tobacco products, such as ... liquor and other beverages."
Forde said the bill would generate jobs and help the territory compete for tourism against destinations that have businesses like this, such as Cuba and Florida."
Full article in the Source.
http://stthomassource.com/content/news/local-news/2016/02/09/rules-oks-cigarette-tax-increase-and-cigar-factory-smoking-exempt
I'd like to see the data which demonstrates that cigar aficionados (visitors and locals alike) would flock to and support such establishments and that such operations would result in substantial government revenues and employment opportunities which is allegedly the intent. One employee does not a factory make.
My gut reaction is that either Senator Forde smokes cigars himself and is looking to start a new business or has relatives or good friends seeking to benefit from such an exemption.
I have no problem with a cigar lounge whether they roll their own or not. Soon enough, we'll have lounges to roll joints when Positive Nelson's medical marijuana bill becomes law in the spring. Now there's something exciting to look forward to.
Roger Mink off got Forde to sponsor the bill. Some ships have cigar lounges, and San Juan has cigar stores with rollers. Barbados has a cigar factory near the ships and they offer tours. They are able to import tobacco leaves from Cuba so that's their selling point. Plenty of tobacco rollers in DR.
Don't see how VI can stand out in a crowded market.
When they put a sin tax on cigarettes, St. Martin and Cuba are waiting in the wings for our tourist dollars. Our senators, in addition to the now 12% Room Tax, wish to add a $5 per day visitor tax to be collected by hotels, guest houses, villas, etc.
I really don't think people spend thousands of dollars to vacation in tropical locations purely to save money on tobacco products.
Cruise ship passengers often do.
Duty free port.
Cigars are not a bargain here. They usually buy what they can't get at home which are usually "Cubans". Someone here used to offer cigar parties before the ban.
Cruise ship passengers often do.
Duty free port.
There's a huge difference between buying cigars at a duty free port when on a cruise ship and planning a whole vacation around the ability to do so. A visitor can only leave the territory with a duty-free allowance of a limited amount of tobacco products for personal consumption.
A 100 cigars should hold someone over for a bit...
Its an end around for a bar that allows smoking (Both cigar & cigarette)
Every vacation we take, part of my research involves if/where I can buy and smoke a few cigars. It isn't a driving force as to where we go. It just determines whether I bring my own or get to support local businesses and maybe get some cigars that I cannot get anywhere else, like something rolled onsite.
Will this little proposal specifically draw more tourists? Hell no but it will give those who do travel to the VI an option if they are looking for one and giving tourists more options will, in the long run, draw more tourists. Who knows, maybe Crucian tobacco could give the Cubans a run for their money and a real cottage industry could be born. Maybe that is what Senator Forde has in mind not just a small rolling operation but a much bigger picture. Just a thought.
... It isn't a driving force as to where we go.
Exactly my point. The whole point behind this legislation is to increase revenues for the territory's General Fund and this is something I feel is simply unrealistic and is being proposed by special interests and not for the good of the whole.
Agree with OT. This benefits Roger Mink off for sure. Cigar rolling is a minimum wage job. We have enough of those already.
I guess we should pass on any jobs until Intel opens a microprocessor plant or GM opens an assembly plant.
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