February 8, 2002

 

HOUSE EXECUTIVE MESSAGE NO. 92

 

 

The Honorable Ben Lujan and

Members of the House of Representatives

Executive-Legislative Building

Santa Fe, New Mexico 87503

 

Honorable Speaker and Members of the House:

 

I have this day VETOED and am returning HOUSE BILL 8, as amended,  enacted by the Forty-Fifth Legislature, Second Session, 2002.

 

The tobacco settlement permanent fund was established just three years ago in 1999 as a repository for the proceeds from the multi-year settlement agreement between the state and various cigarette companies.  The enabling legislation clearly had two fundamental purposes:  1) to direct the revenue from the settlement proceeds to tobacco use cessation programs and health issues related to tobacco; and 2)  to establish a fund which would continue to exist even after the settlement proceeds cease.  As originally established, the proceeds from the tobacco settlement are divided into two parts – approximately half of the yearly proceeds are available for specific purposes and the other half are placed in the permanent fund to remain and earn interest.

 

This legislation amends the original act to allow for a complete raid on the tobacco permanent fund.  However, the Legislature attempted to deplete the fund in House Bill 2, authorizing such a depletion even before this legislation reached my desk. It is hardly appropriate or fiscally responsible to approve legislation authorizing the depletion of a “permanent” fund, an action that would certainly lead to its ultimate demise. 

 

 

Sincerely,         

 

 

          Gary E. Johnson         

Governor         

 

 

 Page 2

House Executive Message 92

 

 

 

 

 

RECEIVED FROM THE OFFICE OF THE GOVERNOR:

 

Time: _____________________                By:_____________________________

                                                                     Secretary of State

Date:______________________             

 

 

Time:______________________

 

Date:_______________________               By:_____________________________

                                                                     Chief Clerk of the House     

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