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





SPONSOR: Stell DATE TYPED: 02/02/00 HB 375
SHORT TITLE: Inventory of Domestic and Livestock Wells SB
ANALYST: Pickering


APPROPRIATION



Appropriation Contained
Estimated Additional Impact
Recurring

or Non-Rec

Fund

Affected

FY00 FY01 FY00 FY01
NFI $ 200.0 NFI Indeterminate Recurring General



(Parenthesis ( ) Indicate Expenditure Decreases)



Duplicates/Conflicts with/Companion to/Relates to



SOURCES OF INFORMATION



Office of the State Engineer/Interstate Stream Commission (OSE/ISC)



SUMMARY

Synopsis of Bill



HB375 appropriates $200.0 from the general fund to OSE for expenditure in FY2001 and FY2002 for the purpose of an inventory, an update of permit information and to establish a database on all domestic and livestock wells. The bill authorizes the state engineer to provide forms and a process for the collection of well data which shall include well location; extraction method; purpose of the well; whether the well is active or abandoned; when the well was drilled; and abandoned and why; and other information as determined by the engineer.



Significant Issues



OSE reports that the engineer currently has approximately 120,000 domestic and livestock wells on file in the Water Administration Technical Engineering Resources System (WATERS) database. The database does not contain well logs for the majority of those wells. The well logs are vital information for well depth, water depth and the geology of the well hole. In addition, the agency estimates there are 50,000 domestic and livestock wells that have not been reported to the state engineer and for which no information exists.



FISCAL IMPLICATIONS

According to OSE, it will be required to use its existing budget for data acquisition and entry. However, the $200.0 appropriation will help defray those expenses and will provide a means to update current files and create new ones for domestic and livestock wells.



ADMINISTRATIVE IMPLICATIONS



OSE will use water rights staff throughout the state for data acquisition and database entry. Also, the agency will use existing contractors for data entry and database maintenance.



CONFLICT/DUPLICATION/COMPANIONSHIP/RELATIONSHIP



Section 72-12-5 NMSA 1978 allows water users claiming to be owners of a vested right to file declarations stating that claim, with all pertinent information describing that claim. However, HB375 does not require water users to file declarations.



SUBSTANTIVE ISSUES



The bill authorizes the state engineer to post notices requiring well owners to submit information on their wells; however, there is no incentive for submittal of this information. Consequently, OSE proposes amending the bill in order provide incentives for requiring all domestic and livestock users to submit information.



Another alternative offered by OSE, is to amend Section 72-12-5 NMSA to require that declarations be filed for all water users including domestic well owners. Ultimately, if the bill is not enacted, the agency contends it will be unable to acquire necessary information on existing wells throughout the state for evaluating present and future water use.



RP/njw