U.S. State and Local Issues

Spending on Tobacco Prevention: New Mexico

Last updated November 29, 2011

  FY2012 FY2011
State Rank 15 14
State Spending on Tobacco Prevention $5.9 million $7 million
% of CDC Recommended Spending
($23.4 million)		 25.3% 29.8%

Summary: The U.S. Centers for Disease Control and Prevention (CDC) recommends that New Mexico spend $23.4 million a year to have an effective, comprehensive tobacco prevention program.  New Mexico currently allocates $5.9 million a year for tobacco prevention and cessation.  This is 25.3% of the CDC’s recommendation and ranks New Mexico 15th among the states in the funding of tobacco prevention programs.  New Mexico’s spending on tobacco prevention amounts to 4.3% of the estimated $138 million in tobacco-generated revenue the state collects each year from settlement payments and tobacco taxes.

Recent Developments: New Mexico’s tobacco settlement funds are governed by a law passed in 2000 by the legislature and signed by Governor Gary E. Johnson (R) that placed 50 percent of the state’s tobacco settlement payments in a permanent trust fund. Under the law, the other half of settlement payments are placed into a program fund that can be spent on a variety of health-related programs appropriated through the state’s annual budget process.
State spending on tobacco prevention for FY2012 will be $5.9 million, which is a 15% cut from what was spent in FY2011 and more than a 35% cut from what was spent in FY2010.

New Mexico is receiving more tobacco-generated revenue than ever before as a result of a 75-cent cigarette tax increase, to $1.66 a pack, which went into effect on July 1, 2010.

In addition, New Mexico is receiving $1.9 million in federal funds dedicated to tobacco prevention and control:

  • $1.1 million from the U.S. Centers for Disease Control and Prevention in a 12-month grant for the period beginning April 2011 (from annual appropriations).

  • $85,482 from the Prevention and Public Health Fund in the new health care reform law. 

  • $684,720 from the Food and Drug Administration for enforcement of the Family Smoking Prevention and Tobacco Control Act, including the provision regarding tobacco sales to minors.