*For FY2009, federal spending refers to a nine-month grant provided to the states by the U.S. Centers for Disease Control and Prevention for the period beginning July 2008. In April 2009, the CDC will transition to a new funding agreement with the states that will provide the usual 12-month grant.
Summary: The U.S. Centers for Disease Control and Prevention (CDC) recommends that Tennessee spend $71.7 million a year to have an effective, comprehensive tobacco prevention program. Tennessee currently receives $6.1 million a year for tobacco prevention and cessation, which includes both state and federal funds. This is 8.5% of the CDC's recommendation and ranks Tennessee 40th among the states in the funding of tobacco prevention programs. Tennessee's spending on tobacco prevention amounts to 1.5% of the estimated $419 million in tobacco-generated revenue the state collects each year from settlement payments and tobacco taxes.
Recent Developments: Prior to FY2008, Tennessee had no history of dedicating state funds to tobacco prevention. The FY2008 budget passed by the Legislature and signed by Governor Phil Bredesen (D) allocated $10 million for tobacco prevention programs. Due to a statewide budget crisis, state funding for tobacco prevention was cut in half to $5 million for FY2009. In FY09, Tennessee will receive $6.1 million in federal and state funds for tobacco prevention programs.
In June 2007, prior to the passage of the prevention funding proposal, the Legislature approved and the Governor signed into law a 42-cent per pack increase in the cigarette tax, bringing Tennessee's cigarette tax to 62 cents per pack. The Legislature earmarked these funds for K-12 education.