Teotihuacan was the first state-level society to appear in the Central Mexican Highlands. Between 200 A.C. and 300 A.C. Teotihuacan expanded beyond the Valley of Mexico and began the formation of a pan-Mesoamerican network aimed at controlling important economic resources. This study examines the evidence for Teotihuacan contact with the subtropical zone of Morelos. We find considerable variation not only in the quantity of stylistic materials documenting direct contact with Teotihuacan but also in the extent of population restructuring accompanying this contact. Our data suggest that Teotihuacan was very selective in its control of areas outside of the Valley of Mexico; the data also help to illustrate the nature of state expansion.