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(Parenthesis ( ) Indicate Expenditure Decreases)

SOURCES OF INFORMATION

Economic Development Department

LFC Files

SUMMARY

Synopsis of Bill

Senate Bill 208 appropriates $150.0 from the general fund to the Economic Development Department for fiscal years 2002 and 2003. The state funds are to match federal funds in order to carry out the New Mexico Rural Development Response Council Program.

Significant Issues

The New Mexico Rural Development Response Council Program is under the National Rural Development Partnership. In addition, the contracted funds would fall under the Community Development Program of the New Mexico Economic Development Department's performance-based budget. There are two primary performance measurements relating to economic development of rural New Mexico:

Measure Target

Average wage for rural jobs created by the efforts

of the agency programs. $10.67/hour

Of the total jobs created by the job creation and job growth

program, the percent created in rural New Mexico. 55%

The funds in this bill would aid the department in addressing these issues in rural New Mexico.

FISCAL IMPLICATIONS

The appropriation of $150.0 contained in this bill is a recurring expense to the general fund. Any unexpended or unencumbered balance remaining at the end of fiscal year 2003 shall revert to the general fund.

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