NOTE: As provided in LFC policy, this report is intended for use by the standing finance committees of the legislature.  The Legislative Finance Committee does not assume responsibility for the accuracy of the information in this report when used in any other situation.

Only the most recent FIR version, excluding attachments, is available on the Intranet. Previously issued FIRs and attachments may be obtained from the LFC office in Suite 101 of the State Capitol Building North.

(Parenthesis ( ) Indicate Expenditure Decreases)

Relates to House Bill 2 and House Bill 142

SOURCES OF INFORMATION

New Mexico Border Authority

LFC Files

SUMMARY

Synopsis of Bill

House Bill 64 appropriates funds for operational expenses to the New Mexico Border Authority for the next fiscal year.

Significant Issues

The New Mexico Border Authority received a budget reduction of over fifty percent during the 1999 legislative session. The effect of the reduction was to eliminate one FTE, leaving the agency with two authorized FTE and funding for only one. In addition, operational expenses were reduced. Currently, the Border Authority is operating with only one FTE, the Director, and a limited operational budget.

FISCAL IMPLICATIONS

The bill appropriates $70.0 to the New Mexico Border Authority for expenditure in fiscal year 2001. This appropriation is designed to address the difference between the Executive and LFC recommendation. The LFC recommendation funds the Border Authority at $171.1 with 2.00 FTE. In addition to the LFC recommendation this appropriation would restore the agency to its requested level. If the Executive recommendation is adopted, this appropriation would increase their operating budget by approximately thirty percent.

Any unexpended or unencumbered balance remaining at the end of fiscal year 2001 shall not revert to the general fund.

ADMINISTRATIVE IMPLICATIONS

The appropriation would ensure the New Mexico Border Authority would be able to effectively coordinated border activities in the best interest of New Mexico. Currently, there is a tremendous amount of activity at the border which is increasing rapidly. It is vital the New Mexico Border Authority have sufficient resources to coordinate and assist in the development of the border region.

In the past, the agency staff was criticized for being dissipated over too many programs. However, with a large number of different players in the region, it is important for New Mexico to have an entity that is focused on federal, interstate, and international issues. The New Mexico Border Authority is charged with this coordination and advocacy mission for the state of New Mexico.

CONFLICT/DUPLICATION/COMPANIONSHIP/RELATIONSHIP

The bill relates to House Bill 2 which contains the fiscal year 2001 appropriation to the New Mexico Border Authority. This appropriation would augment the general appropriation to NMBA. In addition, the bill relates to House Bill 142 which would appropriate funds for an additional FTE to be utilized in the current fiscal year.

MW/njw