Rendell Wants New Cigarette Tax

Smokers could be paying 10 cents more a pack if Governor Ed Rendell gets his way.

His proposal is part of his plan to balance the state budget, and he says the additional cigarette tax would raise $50 million a year. He also wants to tax smokeless tobacco and cigars.

Rendell is proposing $150 million a year in new taxes on the extraction of natural gas from the Marcellus Shale formation.

The governor says he expects to cut 100 of the state budget's 750 line items, including funding for anti-drug education, health literacy and a summer program for high school students.

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