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





SPONSOR: Irwin DATE TYPED: 01/22/01 HB 115
SHORT TITLE: Making an Appropriation for a Cotton Boll Weevil Control Program SB
ANALYST: Gilbert


APPROPRIATION



Appropriation Contained
Estimated Additional Impact
Recurring

or Non-Rec

Fund

Affected

FY01 FY02 FY01 FY02
$ 750.0 Recurring GF



(Parenthesis ( ) Indicate Expenditure Decreases)



Duplicates/Relates to Appropriation in The General Appropriation Act

SOURCES OF INFORMATION



LFC Files

New Mexico Department of Agriculture

SUMMARY



Synopsis of Bill



House Bill 115 appropriates $750.0 to the New Mexico Department of Agriculture (NMDA) for expenditure in FY02 for cotton boll weevil eradication. This appropriation would be passed through the NMDA to New Mexico's cotton boll weevil control districts, established under the Cotton Boll Weevil Control Act, Chapter 76, Article 6A, NMSA 1978. This appropriation is to match expenditures by New Mexico's Cotton Boll Weevil Control Districts.



Significant Issues



According to the NMDA, cotton is a $39.0 million industry in New Mexico. The cotton boll weevil has infested approximately 80,000 acres of cotton in New Mexico. Producers in all major cotton growing areas (Chaves, Curry, Dona Ana, Eddy, Lea, Luna, Sierra, and Roosevelt counties) have voted to create cotton boll weevil control districts. Producers in the remaining areas of the state, mainly Quay County, are currently involved in a voluntary monitoring and eradication program. The cotton boll weevil has been successfully eradicated from eight states, while seven states are currently involved with eradication programs. New Mexico producers, within established control districts, contributed approximately $783.0 during the 2000 crop year towards eradication. It is anticipated that for crop year 2001 the producers will contribute approximately $1,309.6 towards eradication.



FISCAL IMPLICATIONS



The appropriation of $750.0 contained in this bill is a recurring expense to the general fund. Any unexpended or unencumbered balance remaining at the end of FY02 shall revert to the general fund.



LG/ar