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| SPONSOR: | Heaton | DATE TYPED: | 02/11/00 | HB | 390 | ||
| SHORT TITLE: | Tire Recycling Fees | SB | |||||
| ANALYST: | Segura | ||||||
| Recurring
or Non-Rec |
Fund
Affected | ||||
| FY00 | FY01 | FY00 | FY01 | ||
| See Narrative | |||||
(Parenthesis ( ) Indicate Expenditure Decreases)
| Subsequent
Years Impact |
Recurring
or Non-Rec |
Fund
Affected | ||
| FY00 | FY01 | |||
| $ 785.0 | Recurring | Tire Recycling | ||
| $ 0.0 | Recurring | Highway Infras | ||
(Parenthesis ( ) Indicate Revenue Decreases)
Duplicates/Conflicts with/Companion to/Relates to
SOURCES OF INFORMATION
Taxation and Revenue Department (TRD)
SUMMARY
Synopsis of Bill
House Bill 390 increases the add-on fees to passenger car, light truck, commercial and agricultural bus and motorcycle registration fees to be used for implementing a tire recycling program administered by the Environment Department.
Significant Issues
House Bill 390 reinstates a program that because of a reassignment of the revenue to the highway infrastructure fund was effectively abolished.
FISCAL IMPLICATIONS
TRD estimates HB390 could result in $785.0 in revenue to Tire Recycling Fund. NMHTD is in agreement with the estimated revenue.
ADMINISTRATIVE IMPLICATIONS
Minimal system changes and processing costs.
TECHNICAL ISSUES
TRD notes that the bill does not increase the tire recycling fees in interstate heavy vehicles.
OTHER SUBSTANTIVE ISSUES
According to TRD, prior to 1999, the tire recycling fee was split between a remediation program
(tire recycling program) and a rubberized asphalt program assigned to SHTD. 1999 legislation abolished both the tire recycling and rubberized asphalt programs in favor of a highway infrastructure fund.
According to TRD, in 1994, when the tire recycling fee was first imposed, industry leaders testified that the state's tire disposal problem could be remediated in about five years through a combination of recycling and remanufacturing. The approach was to be considered a pilot and demonstration program. Apparently, this bill testifies that there is still a significant problem with abandoned tires or tire disposal, and that over five years of money transferred to recycling and remanufacturing programs was not sufficient to deal with the accumulated problem.
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