E.B. Lane Faces Another Hurdle

After winning Arizona's anti-tobacco account twice this year, once in a do-over review, E.B. Lane Marketing Communications now faces the possibility that the account's funding will evaporate. The program may be among several to be axed, at least temporarily, as the state looks to offset a possible $1.6 billion budget shortfall. The advertising and public relations account, budgeted at $7-10 million a year for the next four years, is one of the largest and most prized accounts in Arizona. Michael Murphy, communications director for the Arizona Department of Health Services, confirmed that Gov. Jane Hull is proposing to cut funding for the tobacco education program dramatically. "We've signed the contract [with E.B. Lane], but the funding is on hold," Murphy said. He said the proposed cuts could affect the program for one year, and possibly two. It's the second unu sual development since the account went into mandatory review earlier this year. E.B. Lane in Phoenix first edged out crosstown incumbent Riester-Robb for the account—then pegged at $10-15 million—in June [Adweek, July 2], only to have it yanked back following protests by competing agencies over the bidding process. State officials took the unusual step of putting the account back in review, with a revised budget, and E.B. Lane again prevailed [Adweek, Nov. 5]. Gov. Hull is recommending that funding for the campaign be shifted into direct health services. She told a joint session of the state legislature in November: "I don't want one child to even start [smoking]. But when it comes down to either a new anti-smoking slogan or a doctor visit for a sick patient at the state hospital, in my book the patient comes first." A decision is expected within the next few weeks. E.B. Lane CEO Beau Lane said he remains enthusiastic about the account. "We're confident that the right outcome will prevail and the program will remain intact," he said. "It's a very good program, it's proven to be effective, and the people of Arizona certainly want it because they voted on it." A 58-cents-a-pack cigarette tax funds the initiative, and there is a question if the legislature should be allowed to touch that money, Lane said. Organizations such as the American Lung Association and the American Heart Association are also fighting to save the account, he said. E.B. Lane laid off six of its 80 staffers in August but has not made any more cuts as it awaits the state's decision, Lane said.

Brand Marketing

E.B. Lane Faces Another Hurdle

Rebecca Flass

About

Subscriptions

Events

Publications

WORK SMARTER - LEARN, GROW AND BE INSPIRED.

Subscribe today!

Rebecca Flass