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.

(Parenthesis ( ) Indicate Expenditure Decreases)

Duplicates Senate Bill 79

Relates to House Bill 116 and Senate Bill 91

SOURCES OF INFORMATION

LFC Files

Commission for Higher Education (CHE)

CHE Files - Special Funding Requests Submitted by NMSU

New Mexico Department of Agriculture (NMDA)

SUMMARY

Synopsis of Bill

House Bill 201 appropriates $1,538.8 to New Mexico State University (NMSU) for various water related projects. The appropriation is to be distributed as follows: $600.0 to the Water Resources Research Institute for conducting aquatic species research; $138.2 to the Agriculture Experiment Station for water use education and research programs, $300.6 to the Cooperative Extension Service for water use education and research programs, and $500.0 to New Mexico soil and Water Conservation Districts for watershed management and restoration project technical and financial incentives to landowners.

Significant Issues

According to the New Mexico Department of Agriculture (NMDA), many current water research, education, and outreach activities are funded with short-term, project specific grants. Appropriations from this bill will enable long term funding of projects which are necessary to ensure prudent water resources management in New Mexico.

Institutions were asked to provide the CHE with an overall priority listing of all new and expansion research and public service project requests. The NMSU Board of Regents ranked the water research projects as a high priority in the institution programs category.

The CHE recommended funding the Water Resources Research Institute project at $300.0, but does not recommend funding the $1238.8 balance requested in this bill.

PERFORMANCE IMPLICATIONS

The Water Resources Research Institute is scheduled for evaluation using the CHE's evaluation process during 2002. The evaluation process was developed in conjunction with DFA and the LFC to be responsive to the Accountability in Government Act.

FISCAL IMPLICATIONS

The appropriation of $1,538.8 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.

CONFLICT/DUPLICATION/COMPANIONSHIP/RELATIONSHIP

House Bill 201 duplicates Senate Bill 79.

This bill is also related to Senate Bill 91 and House Bill 116. These bills all appropriate funds to soil and water conservation districts and are administered/distributed by NMSU and the NMDA.

AMENDMENTS

The CHE suggests the following language for all new recurring higher education programs and expansion of current programs (assuming that funding will continue beyond 2001-2002):

"The institution receiving the appropriation in this bill shall submit a program evaluation to the Legislative Finance Committee and the Commission on Higher Education by August 2, 2004 detailing the benefits to the State of New Mexico from having this program implemented for a three-year period."

LG/prr:ar