Already the states involved in the Medicaid settlement have fully incorporated tobacco revenues in their spending budget for the rest of time. Their dirty secret was their deliberate phasing in of higher prices, so smokers wouldn't quit from sticker shock. In Ohio, they're having a fine debate about whether to spend the tobacco windfall fostering the biotech industry. That would make some biotech engineers and entrepreneurs very grateful. Other states are engaged in similarly delicious decisions.
Politicians enjoy hanging around with people who are grateful.
At the federal level, the Democrats have Medicare expansion in mind and other entitlements for the middle class that, in elections ahead, they will want to accuse the Republicans of trying to take away. Tobacco money will help pay for these programs. The crypto-nationalization of the Big Four, perversely, has made the cigarette industry attractive again for private enterprise. Spain's Tabacalera is just one of several foreign brands taking a new look at the U.S. market. Eventually there will be a flourishing smuggling trade as well.