Nevada counties want a say in how tobacco settlement money is used

"We want to be a part of the dialogue with the executive branch of government as well as with the Legislature," says NACO executive director Bob Hadfield.

The group's main argument for being included is that counties help to pay the medical bills for indigents treated for smoking-related illnesses.

Guinn's proposal to spend half the state's settlement on Millennium Scholarships has raised questions about where the monies can be legally spent.

Attorney General Frankie Sue Del Papa has cautioned Guinn against including settlement proceeds in the 1999-2000 budget.

"The governor and I have had a frank and open discussion about the tobacco settlement proceeds," said Del Papa. "We have agreed to discuss this matter further in the near future."

"I respect his intent and what he wants to accomplish. I share his concern for education. However, the tobacco proceeds were intended for public health purposes and I need to further gather and explore some additional data before finalizing any recommendations and the next course of action."

Anne Cathcart, special assistant attorney general, said the state could benefit from the settlement by seeking grants from an education foundation being set up by the National Association of Attorneys General and funded with $1.5 billion from the nationwide settlement.

She added cities, counties, state agencies and even some private organizations who believe they're eligible should come to the Legislature with their suggestions.

The decree calls for $1.2 billion to be paid to the state over the next 25 years followed by annual payments in excess of $48 million to be paid indefinitely.

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