First Things First was created by Arizona voters in a 2006 landslide vote. As a result of this initiative, 80 cents on every pack of cigarettes sold is set aside to expand early learning and health programs for children from birth through age five. The creation of First Things First demonstrates that Arizonans value early childhood as the foundation of a child’s learning and that they understand that investment in the early years results in children who are more successful in school and in life.

First Things First funding comes from taxes on tobacco products. Voters set aside these funds to be used exclusively for the expansion of early learning and health programs for children from birth through age five. In addition, the funds cannot be used to offset spending on programs already receiving state appropriations. The funds are deposited into a state account and invested by the state treasurer. About $150 million per year is collected. While tobacco taxes represented a stable source of revenue for the start-up of First Things First, the Board continues to explore opportunities for public and private partnerships to increase the resources available for investment in early childhood.

First Things First Regional Partnership Councils determine how 81% of all First Things First funds will be spent. A percentage of FTF funds are allocated to each regional council based upon how many children age five or under live in the region, including how many of those children live in poverty. The councils – which are made up of 11 members who reside or work in the region – complete a needs assessment of children from birth to age five in their communities and make spending recommendations based on those needs. The statewide First Things First Board – consisting of nine voting members appointed by the Governor and confirmed by the state Senate – then approves the councils’ recommendations. Representatives of the state departments of Economic Security, Education and Health Services also sit on the statewide board, but they do not vote. In addition, about 10% of First Things First funds are spent on statewide initiatives. Two current initiatives focus on establishing a statewide quality rating system for early learning environments and ensuring that early caregivers have the training and support to provide quality early learning experiences for children. Less than 10% of First Things First funding is spent on administration. The central administration is responsible for ensuring that First Things First funds are invested in strategies and initiatives that will yield the most positive results for Arizona’s youngest children.