ALBANY — Smoking is on the decline in New York, state budget sources say.
New York expects to collect $30 million less than the originally projected $1.6 billion in cigarette and tobacco taxes next year “to reflect lower-than-anticipated consumption,” according to the Cuomo administration’s official mid-year budget report.
The trend is forecast to continue, with the state banking on about $30 million less in each of the following two years as well.
Tobacco revenues have been dropping as higher taxes and public-health campaigns have prompted more New Yorkers to kick the habit.
Overall, total tax collections for the state during the first six months of 2012-13 came in $170 million lower than previously forecast in the $133 billion budget — but that doesn’t calculate the impact of Hurricane Sandy.
Cuomo will present a fuller picture of the state’s fiscal footing in January, once he knows where New York stands in its request for $42 billion in federal disaster aid.
The report shows the state is still counting on revenues that haven’t yet materialized, including $250 million in the fiscal year that ends March 31 for the conversion of nonprofit health insurers to for-profit status — although that has yet to happen.