The Stogie Guys blog has an interesting post in their Friday Sampler..

1) Only eight weeks after Colorado’s statewide smoking ban was thrust upon citizens by the state government, Denver’s ABC 7 reports many small bars have been devastated – losing up to 80 percent of their income. This crushing financial nightmare has triggered massive layoffs and sparked numerous brawls among patrons who are forced to go outside to smoke. Thankfully, a group of local bar owners – calling themselves the Coalition for Equal Rights – filed a lawsuit in federal court challenging the constitutionality of the ban. Good for them. There’s nothing constitutional about forcing your “high horse” agenda on private businesses and individuals.

While Prop 86 isn't about banning smoking in restaurants and bars (too late for that in CA), it does illustrate the ripple effect that these types of legislation has on the small business community. Prop 86's effect on small, mom and pop cigar and pipe shops will be devastating, perhaps even more so than that massive Prop 10 fiasco. Not only does this idiotic proposition not constrain itself to cigarettes, it doesn't provide a cap on the tax increase on other tobacco products.

It also has provisions for a floor tax on existing inventory that could amount to having to fork over 80% of the value of existing inventory to the state at the beginning of the year. Most small stores will not be able to afford this and will end up folding their tents instead. This is one of the reason why the small business groups through out the state are against this proposition.

The increase in cost for tobacco products will also decrease sales to small businesses as smokers are forced to turn to online sales from out of state vendors as well as to black markets. The increase in illegal sales (who's profits will benefit gangs and organized crime most likely) is why this bill is being opposed by Sheriff and Police organizations through out the state.

Vote NO on Prop 86!