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





SPONSOR: Kidd DATE TYPED: 1/8/01 HB
SHORT TITLE: Waste Isolation Pilot Plant Section SB 206
ANALYST: Belmares


APPROPRIATION



Appropriation Contained
Estimated Additional Impact
 Recurring

or Non-Rec

 Fund

Affected

FY01 FY02 FY01 FY02
See Fiscal and Administrative Implications sections.



(Parenthesis ( ) Indicate Expenditure Decreases)





Duplicates House Bill 305



SOURCES OF INFORMATION



Department of Environment



SUMMARY



Synopsis of Bill



Senate Bill 206 amends several sections of the Hazardous Waste Act (74-4-4.2 NMSA 1978). SB206 establishes a discrete Waste Isolation Pilot Plan (WIPP) Section within the Department of Environment's Hazardous Waste Bureau. SB206 establishes a fund in the state treasury into which all generator and permit fees collected from WIPP and appropriated monies would be deposited. Additionally, SB206 establishes specific activities for the WIPP Section relating to WIPP's hazardous waste permitting.



Significant Issues



The Department of Environment issues a permit to operate WIPP, a United State Department of Energy (DOE) hazardous and radioactive waste disposal facility. The Department of Environment currently operates a Permits Management Program within the Hazardous Waste Bureau that the department claims functions similarly to the WIPP Section described in Senate Bill 206. This section is funded primarily through hazardous waste permit fees.



FISCAL IMPLICATIONS



Senate Bill 206 contains no appropriation. Under Senate Bill 206, funds that are currently deposited into the Hazardous Waste Permit Fund would be deposited into a newly created WIPP fund. According to the Department of Environment, the approximate amount deposited into the WIPP fund in FY02 would be approximately $830.0.



CONFLICT



Senate Bill 206 exempts from the Environmental Improvement Board's purview the establishment of generator or permit fees for WIPP. However, SB206 does not specify an alternate entity to establish those fees for WIPP. The Environmental Improvement Act may need to be amended to reflect HB305. Additionally, the agency claims SB206 limits the Department of Environment's Cabinet Secretary flexibility in organizing the department as authorized by the Department of Environment Act 9-7A-6(B)(3) NMSA 1978.



TECHNICAL ISSUES



"Hazardous and Radioactive Bureau" should be replaced with "Hazardous Waste Bureau" throughout Senate Bill 206.



POSSIBLE QUESTIONS



A multi-year fiscal plan for the Hazardous Waste Permit Fund and a newly created WIPP fund may need to be completed by the Department of Environment to include an analysis of known and anticipated expenditures compared to know and anticipated revenues.



EB/njw