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| SPONSOR: | Tsosie | DATE TYPED: | 02/15/00 | HB | |||
| SHORT TITLE: | Public School Capital Outlay | SB | 316 | ||||
| ANALYST: | Williams | ||||||
| Recurring
or Non-Rec |
Fund
Affected | ||||
| FY00 | FY01 | FY00 | FY01 | ||
| $ 26,200.0 | $ 106,500.0 | Recurring | Severance Tax Bonding | ||
(Parenthesis ( ) Indicate Expenditure Decreases)
Relates to HB 317; HB 279; SB 297
SOURCES OF INFORMATION
LFC Files
SUMMARY
Synopsis of Bill
This bill would require that one-half of the severance tax bonding authority be used for public school capital outlay. The bill amends the current authority for long-term supplemental severance tax bonds such that all proceeds would be used for public school capital outlay. Currently the authorization is for $100 million for public schools and $25 million for higher education, and the bill would eliminate unused authorization for higher education projects. All remaining severance tax revenues could be used for short-term supplemental severance tax bonds for public school capital outlay.
In addition, the bill would change the criteria for receiving funding from the public school capital outlay council to include school districts that are indebted at less than 75 percent, but which have a critical need that requires action before the next bond election cycle. The public school capital outlay council would also identify which of the recommended projects would be funded from severance tax bonds.
FISCAL IMPLICATIONS
Severance Tax Bonding Fund FY00 FY01
Dedicate 50% of severance tax bond authorizations $26,200.0 $37,300.0
Current total estimate is $52,300.0 for senior program
in FY00 and $74,500.0 for FY01
Increase supplemental severance tax sponge bonds
to use 100% of prior year revenues $69,200.0
Total $26,200.0 $106,500.0
General Fund
Increasing supplemental severance tax sponge bonds would decrease the distribution of revenues to the Severance Tax Permanent Fund, which distributes to the General Fund. The impact would be approximately $800.0 in FY02, the first year assumed for this bill, but would grow over time.
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