"If we can raise that by 10 cents, think of the upside," he said.
And the recent experience in California, which raised the tax by 25 cents in 1989, has also had an impact.
They also raised cigarette taxes by 80 cents a pack.
The total settlement is expected to raise cigarette prices by 35 cents per pack over five years.
President Clinton supports raising the minimum wage by 90 cents, to $5.15 an hour.
As governor, I'd raise the cigarette tax by 25 cents, and put all the money into our schools.
Above all, he would raise the cigarette tax by 25 cents to supplement the education budget.
Some other Republican governors have raised cigarette taxes, but most by 10 to 20 cents.
Analysts speculate that the industry would try to quickly raise prices by 50 cents to $1 a pack.
"I couldn't afford it, especially with the Governor talking about raising the gas tax by 10 cents a gallon," she said.