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F I S C A L I M P A C T R E P O R T

SPONSOR Cravens

ORIGINAL DATE

LAST UPDATED

2/21/07

HB

SHORT TITLE Alcohol Advertisement to Youth Task Force

SB SJM 58

ANALYST Guambaña

ESTIMATED ADDITIONAL OPERATING BUDGET IMPACT (dollars in thousands)

FY07

FY08

FY09 3 Year

Total Cost

Recurring

or Non-Rec

Fund

Affected

Total

$0.1

Recurring General

Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

SOURCES OF INFORMATION

LFC Files

SUMMARY

Synopsis of Bill

Senate Joint Memorial 58 requests the creation of a Task Force to study the effects of alcohol

advertisements on youth and to recommend constitutionally valid methods of restricting youth

exposure to alcohol advertisements.

SIGNIFICANT ISSUES

Senate Joint Memorial 58 requests that:

•

The Director of the Alcohol and Gaming Division of the Regulation and Licensing

Department assemble and chair a task force to study the relationship between youth

exposure to alcohol advertising and access to and consumption of alcohol, and thereby

recommend methods of restricting youth exposure to alcohol advertising;

•

The task force include a member of the Children's Cabinet and representatives from the

attorney general's office, the Department of Health, the Children Youth and Families

Department, the Public Education Department, the Commission on Higher Education, the

New Mexico Parent Teacher Association, Mothers Against Drunk Driving and other relevant

and interested groups;

•

The task force study other states' alcohol advertising laws and their current status, model

policies and best practices and recommend ways of applying best practices in New Mexico;

•

The task force examines the alcohol industry's sponsorship of community events where

children are present and suggest constitutionally valid methods of restricting alcohol industry

sponsorship and signage at community events;

Senate Joint Memorial 58 – Page

2

•

The task force study and recommend constitutionally defensible restrictions on alcohol

advertising and sponsorship in state publications and on state owned and state-leased lands,

including state universities, college campuses, state parks, public buildings and state

sponsored civic events;

•

The task force study and recommend regulation of billboard and other forms of outdoor

advertising of alcoholic beverages;

•

The task force analyzes and determines what authority state governments may have to protect

youth by restricting the placement of alcohol advertising in media with disproportionately

large youth audiences;

•

The Director of Alcohol and Gaming report to the interim legislative Health and Human

Services Committee no later than November 2007 regarding the study and recommendations

of the task force; and

•

That copies of this memorial be transmitted to the Director of the Alcohol and Gaming

Division of the Regulation and Licensing Department.

Senate Joint Memorial maintains that:

•

Each day more than seven thousand children in the United States under age sixteen take their

first drink, three teens die from drinking and driving, and at least six more die from other

alcohol-related causes;

•

Underage drinking costs in the United States totals $53,000,000,000 a year in medical care,

lost productivity and pain and suffering of young drinkers;

•

Approximately one-third of high school seniors engage in heavy episodic or binge drinking,

increasing the probability of alcohol-induced brain damage and alcohol dependence later in

life;

•

Youths who drink alcohol are more likely to experience educational, social and legal

problems and are at a higher risk for suicide and homicide;

•

A USA Today survey found that teens say alcohol ads have a greater influence on the desire

to drink in general than on the desire to buy a particular brand;

•

A study published in the Journal of the American Medical Association found that the number

of beer and distilled spirits ads increases per a magazine's youth readership;

•

A study of children ages nine to eleven found that children were more familiar with

Budweiser's television frogs than Kellogg's Tony the Tiger, the Mighty Morphin' Power

Rangers or Smokey Bear;

•

The Institute of Medicine has called for reforms on the alcohol industry's advertising to those

audiences known to include a significant number of children or teens;

•

The Institute of Medicine has called on the U.S. Department of Health and Human Services

to monitor alcohol advertising and report its findings to Congress and the public;

•

The city of Philadelphia unanimously passed an ordinance banning future alcohol advertising

on city-owned property, and the state of Ohio adopted a rule prohibiting alcohol advertising

on billboards within five hundred feet of schools, parks and churches; and

•

The National Association of Attorney Generals created the Youth Access to Alcohol Task

Force to reduce underage drinking, to study youth exposure to alcohol advertising, and to

educate state attorney generals on ways to reduce access to alcohol by youth and change

social norms about underage drinking.

Senate Joint Memorial 58 – Page

3

FISCAL IMPLICATIONS

Although Senate Joint Memorial 58 submits no appropriation request, the creation of a Task

Force implies a recurring fiscal impact of an indeterminate amount to the General Fund.

AG/csd