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.



Only the most recent FIR version, excluding attachments, is available on the Intranet. Previously issued FIRs and attachments may be obtained from the LFC office in Suite 101 of the State Capitol Building North.





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





SPONSOR: Dana DATE TYPED: 03/28/00 HB 13
SHORT TITLE: Loans for Public Projects SB
ANALYST: L. Kehoe


APPROPRIATION



Appropriation Contained
Estimated Additional Impact
 Recurring

or Non-Rec

 Fund

Affected

FY00 FY01 FY00 FY01
NFI

(Parenthesis ( ) Indicate Expenditure Decreases)



REVENUE



Estimated Revenue
 Subsequent

Years Impact

 Recurring

or Non-Rec

 Fund

Affected

FY00 FY01
NFI

(Parenthesis ( ) Indicate Revenue Decreases)



Duplicates/Conflicts with/Companion to/Relates to Duplicates Senate Bill 2 and House Bill 4



SOURCES OF INFORMATION



New Mexico Finance Authority (NMFA)



SUMMARY



Synopsis of Bill



House Bill 13 authorizes the New Mexico Finance Authority (NMFA) to provide loans to five qualified entities for public projects from the Public Project Revolving Fund (PPRF).

Significant Issues



House Bill 13, Section 1, provides legislative authority to the NMFA to make loans to five local entities for the following projects:



1. to Elephant Butte for a water project;

2. to Gallup for an equipment project;

3. to Hagerman for a building and related infrastructure;

4. to the South Central Solid Waste Authority for refinancing a project; and

5. to Tularosa for a building project.



Loans can only be made to those qualifying entities that can meet the financial criteria established by the NMFA and that can identify sufficient sources for repayment of the loan.



Section 2 of the bill provides that a project be considered void if by the end of fiscal year 2003 the grantee does not exercise its intent to pursue a loan from the Public Project Revolving Fund.



Section 3 of the bill contains an emergency clause.



FISCAL IMPLICATIONS



The authorization in House Bill 13 does not impact the general fund. However, loans for the project will decrease the loaning capacity of the Public Project Revolving Fund.



CONFLICT/DUPLICATION/COMPANIONSHIP/RELATIONSHIP



House Bill 13 duplicates Senate Bill 2 and House Bill 4.



LMK/gm