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

SPONSOR HEC

ORIGINAL DATE

LAST UPDATED

2/20/2007

HB 62/HECS

SHORT TITLE Educational Tech Deficiency Correction Fund

SB

ANALYST Aguilar

APPROPRIATION (dollars in thousands)

Appropriation

Recurring

or Non-Rec

Fund

Affected

FY07

FY08

$29,650.0

Recurring

General Fund

$32,500.0

Nonrecurring

General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

Duplicates SB 78.

Relates to HB 584 and SB 561

Relates to appropriations in the General Appropriation Act

REVENUE (dollars in thousands)

Estimated Revenue

Recurring

or Non-Rec

Fund

Affected

FY07

FY08

FY09

$27,000.0

Recurring

Educational

Technology

Deficiency

Correction Fund

(Parenthesis ( ) Indicate Revenue Decreases)

SOURCES OF INFORMATION

LFC Files

Responses Received From

Public Education Department (PED)

House Bill 62/HECS – Page

2

SUMMARY

Synopsis of Bill

The House Education Committee Substitute for House Bill 62 appropriates $62.15 million from

the general fund to the computer systems enhancement fund, the public education department,

the higher education department, regional education cooperatives, Rio Rancho public schools

and other school districts for the purpose of correcting educational technology deficiencies and

to replace functionally obsolete computers and network devices in the public schools and to

support a sustainable statewide support system for distance learning.

FISCAL IMPLICATIONS

The appropriation of $29,650.0 contained in this bill is a recurring expense to the general fund.

Any unexpended or unencumbered balance remaining at the end of fiscal year 2008 shall revert

to the general fund.

The appropriation of $32,500.0 contained in this bill is a nonrecurring expense to the general

fund. Any unexpended or unencumbered balance remaining at the end of fiscal year 2008 shall

revert to the general fund.

The LFC remains concerned with funding initiatives outside of the funding formula as it tends to

disequalize school funding and diverts funding away from core educational needs.

SIGNIFICANT ISSUES

The computer systems enhancement fund is considered to be part of the general fund.

HB62/HECS appropriates $27 million from the general fund to the Educational Technology

Deficiency Correction Fund for expenditure in fiscal year 2007 and subsequent years to correct

serious deficiencies in education technology infrastructure. Funds remaining at the end of a

fiscal year do not revert but remain in the fund.

HB62/HECS appropriates $24 million from the general fund to the Public Education Department

for expenditure in fiscal years 2007 and 2008 to make distributions to school districts to replace

functionally obsolete computers and network devices. Funds remaining at the end of a fiscal

year 2008 shall revert to the computer systems enhancement fund.

HB62/HECS appropriates $8.5 million from the general fund to the Higher Education

Department for expenditure in fiscal years 2007 and 2008 to fund the infrastructure for a

sustainable statewide support system for distance learning in New Mexico. Funds remaining at

the end of a fiscal year 2008 shall revert to the computer systems enhancement fund.

HB62/HECS appropriates $1.45 million from the general fund to the Higher Education

Department for expenditure in fiscal years 2007 and 2008 for program administration,

information technology services and maintenance costs. Funds remaining at the end of a fiscal

year 2008 shall revert to the general fund.

HB62/HECS appropriates $630 thousand from the general fund to the Public Education

House Bill 62/HECS – Page

3

Department for expenditure in fiscal years 2007 and 2008 for the statewide cyber academy for

program administration, professional development, curriculum development and purchase and

operating costs. Funds remaining at the end of a fiscal year 2008 shall revert to the general fund.

HB62/HECS appropriates $120 thousand from the general fund to the Public Education

Department for expenditure in fiscal years fiscal years 2007 and 2008 for distribution to regional

education cooperatives three, eight and nine for distance learning networks. Funds remaining at

the end of a fiscal year 2008 shall revert to the general fund.

HB62/HECS appropriates $50 thousand from the general fund to the Public Education

Department for expenditure in fiscal years 2007 and 2008 for distribution to Rio Rancho Public

Schools for the Rio Rancho cyber academy. Funds remaining at the end of a fiscal year 2008

shall revert to the general fund.

HB62/HECS appropriates $400 thousand from the general fund to the Public Education

Department for expenditure in fiscal years 2007 and 2008 for distribution to school districts to

support distance learning. Funds remaining at the end of a fiscal year 2008 shall revert to the

general fund.

The following are the Adequacy Standards for Educational Technology

The following builds upon the Public School Capital Outlay Task Force Report section on

Educational Technology. The standards are based upon Best Practices, and apply to all 754

schools in New Mexico:

Category

Standard

Benchmark

Network

Safe and secure network

supporting voice, video & data

to the desktop; sufficient server

capacity to support uses both

within the district, and

connecting students, teachers

and parents

E-mail for all educators and

administrators; network capable of

functioning when all computers are used

at the same time; 5% downtime, or less;

includes network operating software,

network management software, virus

protection, security

Sufficient bandwidth and access

to support anywhere, anytime

learning

Students can participate in online

courses from school and/or home;

Teachers can upgrade professional skills

via online courses from school and/or

home

Distance

Learning

Multipoint videoconferencing

systems available for student

learning and educator

professional development.

One two-way videoconferencing system

per school. Schools with more than 400

students have additional systems for

each additional 400 students enrolled.

House Bill 62/HECS – Page

4

Computers and

Software

•

2 students per multimedia

computer; 1 to 1 computing

devices for students and

staff

•

Age of computers allows for

current browsers and

operating systems

(Windows 2000 or XP; Mac

OS-X)

•

Standard Productivity

Software

•

Age Appropriate Content

and Area Specific Software

•

Elementary use: 2 hrs per week per

student Secondary use: 5 hrs per

week per student

•

Replace computers unable to run

current browsers and operating

systems in next refresh cycle.

•

Word Processing, Spreadsheet,

PowerPoint, or equivalent

•

Math & Science simulations,

multimedia authoring, online

curriculum subscriptions

Peripherals:

•

Printers

•

Projectors

•

Science

Probes

•

Assistive

Technologies

Sufficient peripherals to allow

students to print, view, hear

instructional materials, as well as

complete individual tasks

appropriate to their learning

styles and abilities.

•

One printer and projector per

classroom.

•

1 science probe per 2 lab students

•

Sufficient number and types of

assistive technologies to support

each student with an identified

learning difference.

Technology Infrastructure enables the following core practices required by schools, districts and

the state:

•

Administration, Instruction, Accountability & Communication

•

ADS, Financials, HR/Payroll, Assessment systems

•

Online opportunities to learn

All schools must reach at least a minimum level of access to district systems, information and

communications.

The council, working with the PED, has undergone the following to determine the estimated

costs for schools to meet minimum standards and annual needs for equipment and network

replacement:

•

Researched existing technology standards and models in leading NM districts and

other states

•

Developed educational technology adequacy standards

•

Surveyed district technology infrastructure across the state

•

Technology adequacy standards integrated into the NM State Educational

Technology Plan and reported on annually

•

Developed a model based upon the capital outlay process to identify, prioritize

and correct deficiencies in school buildings

•

Developed initial estimates to correct the deficiencies

•

Developed a methodology to prioritize projects.

House Bill 62/HECS – Page

5

The Council has identified the following needs/costs:

o

Minimum Technology Standards, including:

.

Network upgrades - One-to-one Internet connection or high-speed access

.

4 Network connections per classroom

.

100 MB connections per computer/printer in labs, libraries, portables and

offices

.

Cafeterias, auditoriums and gymnasiums must have wireless access points

or network connections

Estimated cost: $94,348.4

o

Five-year overall cost for annual network and equipment replacement:

.

Based on one computer for every three students or 110,000 computers

.

The cost per computer and hardware is $1,100

Estimated cost: $121,000.0

PA/nt