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: Lujan DATE TYPED: 02/09/00 HB 367/aHAGC
SHORT TITLE: Acequia and Community Ditch Fund SB
ANALYST: Pacheco-Perez


APPROPRIATION



Appropriation Contained
Estimated Additional Impact
Recurring

or Non-Rec

Fund

Affected

FY00 FY01 FY00 FY01
$ 500.0 Rec GF

(Parenthesis ( ) Indicate Expenditure Decreases)

SOURCES OF INFORMATION



Commission on Higher Education (CHE)

New Mexico Department of Agriculture (NMDA)



SUMMARY



Synopsis of HAGC Amendment



The amendment changes the appropriation from reverting to non-reverting.



Synopsis of Original Bill



This bill appropriates $500.0 from the general fund to the Acequia and Community Ditch Fund for the purpose of providing assistance to associations involved in the adjudication process. No more than 5% of the appropriation may be expended by the NMDA for administrative costs incurred in the administration of the Fund.



FISCAL IMPLICATIONS



The appropriation of $500.0 contained in this bill is a recurring expense to the general fund. Any unexpended or unencumbered balance remaining at the end of FY01 shall revert to the general fund.



TECHNICAL ISSUES



According to the CHE, appropriations are historically made to NMDA or the New Mexico State University Board of Regents as they have fiduciary responsibility over NMDA.





OTHER SUBSTANTIVE ISSUES



According to the NMDA, New Mexico citizens stand to lose water rights if funds are not provided for adjudications.



The CHE recommends that the following language be included for all new recurring higher education programs: "A plan for a program evaluation, including specific program goals and criteria for assessing program effectiveness shall be submitted to the LFC and the CHE by October 1, 2000. An assessment of the program will be completed prior to June 30, 2001 and submitted to the LFC and the CHE."



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