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Indianas actually had a lower tax rate than Kentucky the last several years, but they have a state minimum price that they require retailers to use, so that has made the difference in pricing a little bit more competitive in Kentucky. A test purchase by Spectrum News 1 highlighted the price disparity: a pack of Marlboro Black cigarettes cost $10.55 in Evansville, Indiana, compared to $6.47 at Trocadero Plaza in Kentucky

As shown in row [G], accounting for improper payments in PY 2022 causes the blended benchmark update factor to decrease from 1.042 to 1.036