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F I S C A L I M P A C T R E P O R T



SPONSOR: Duran DATE TYPED: 01/31/00 HB
SHORT TITLE: Alamogordo Water Treatment Project SB 155
ANALYST: Woodlee

REVENUE



Estimated Revenue
Subsequent

Years Impact

Recurring

or Non-Rec

Fund

Affected

FY00 FY01
$ 200.0 Recurring General Fund

(Parenthesis ( ) Indicate Revenue Decreases)



Duplicates HB 99

SOURCES OF INFORMATION



Environment Department (ED)



SUMMARY



Synopsis of Bill



Senate Bill 155 appropriates funds to the Environment Department for a pilot project using reverse osmosis or equivalent water treatment technology in the city of Alamogordo.



Significant Issues



According to the Environment Department, the city of Alamogordo's current needs are just being met under normal conditions and are not being met under drought conditions. Future needs will exceed the available supply under normal and drought conditions. Other available alternate water supplies are of poor quality and contain high mineral content. Phase I of this project began last year.



FISCAL IMPLICATIONS



The bill appropriates $200.0 from the general fund for expenditure in fiscal year 2001. Any unexpended or unencumbered balance remaining at the end of fiscal year 2001 shall revert to the general fund.



The total cost of the pilot project is $400.0. Phase I was implemented last year with an appropriation of $100.0 from the state. This appropriation was matched by the city of Alamogordo.



MW/gm