2019 Tobacco Master Settlement Agreement Payment Forecast

Colorado receives annual payments from tobacco manufacturers as part of the Tobacco Master Settlement Agreement (MSA).  In April 2018, the state received $177.3 million, including a one‑time payment of $113.3 million pursuant to the Nonparticipating Manufacturers Adjustment Settlement Agreement, a supplementary legal agreement that Colorado signed in 2018.

This memorandum presents the anticipated effects of the new settlement on future payments.  The state is expected to receive $85.8 million in 2019 and $85.5 million in 2020; these receipts will drive disbursements to MSA‑funded programs in FY 2019‑20 and FY 2020‑21, respectively.