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.



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





SPONSOR: Heaton DATE TYPED: 02/03/00 HB 113
SHORT TITLE: Amend Hazardous Waste Act SB
ANALYST: O'Connell


APPROPRIATION



Appropriation Contained
Estimated Additional Impact
Recurring

or Non-Rec

Fund

Affected

FY00 FY01 FY00 FY01
NFI NFI

(Parenthesis ( ) Indicate Expenditure Decreases)



Duplicates/Conflicts with/Companion to/Relates to



SOURCES OF INFORMATION



LFC files

New Mexico Environment Department (NMED)



SUMMARY



Synopsis of Bill



House Bill 113 amends the Hazardous Waste Act to remove the authority of the Environmental Improvement Board to require financial assurance from federal government facilities or facilities operated by federal government contractors.



Significant Issues



According to New Mexico Environment Department (NMED) analysis, House Bill 113 could result in additional long-term costs to the state (potentially as much as $100 million) if significant cleanup is needed as a result of improper operation or closure of the Waste Isolation Pilot Project (WIPP).



OTHER SUBSTANTIVE ISSUES



NMED's requirement of financial assurance from Westinghouse, the federal contractor that operates WIPP, has been challenged by the federal Department of Energy and is currently being litigated in state and federal courts.



BOC/gm