The Osage Nation has agreed to a new tobacco compact, a spokesperson for the Oklahoma Tax Commission said.

Tribal retailers will collect 66 cents per pack, according to the commission. That's higher than the rate in a prior compact but lower than the 86 cents that some smoke shops pay.

A tribal retailer sued the state to fight the higher tax rate. But the Oklahoma Supreme Court said the compact requires disputes to be resolved through arbitration.

Get the Story:
Okla. Supreme Court rules in tobacco dispute (AP 10/6)

Oklahoma Supreme Court Decision:
Feather Smoke Shops v. Oklahoma Tax Commission (September 29, 2009)