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.



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





SPONSOR: Carraro DATE TYPED: 03/04/01 HB
SHORT TITLE: Land Parcels for State Veterans' Cemetery SB 609
ANALYST: Chabot


APPROPRIATION



Appropriation Contained
Estimated Additional Impact
Recurring

or Non-Rec

Fund

Affected

FY01 FY02 FY01 FY02
$ 50.0 Recurring General Fund



(Parenthesis ( ) Indicate Expenditure Decreases)



REVENUE



Estimated Revenue
Subsequent

Years Impact

Recurring

or Non-Rec

Fund

Affected

FY01 FY02
$ (50.0) Recurring General Fund
$ 50.0 Recurring State Veterans' Cemetery Fund



(Parenthesis ( ) Indicate Revenue Decreases)



SOURCES OF INFORMATION



LFC Files

New Mexico Veterans' Service Commission (VSC)



SUMMARY



Synopsis of Bill



This bill appropriates $50.0 from the general fund to create the State Veterans' Cemetery Fund for the purpose of establishing a state veterans' cemetery. Money in the fund is appropriated to VCS and will not revert to any other fund. The appropriation for fiscal year 2002 is to used for conducting a study of parcels of state land in Rio Rancho in Sandoval county and other available state lands to assess their suitability for a state veterans' cemetery.







Significant Issues



At the present, the federal Veterans' Administration has no plans for establishing new or expanding existing veterans' cemeteries in New Mexico. However, the New Mexico congressional delegation has expressed support to do so. It is estimated that the cemetery in Santa Fe will use all its available space in approximately ten years. States may establish their own veterans' cemeteries. The federal government will provide grants for establishing and initial maintenance assistance to state veterans' cemeteries. This process is being used to convert the state owned cemetery in Fort Stanton to a state veterans' cemetery. Once the grant funds for a specific location are used, maintenance and administrative costs are state responsibility.



FISCAL IMPLICATIONS



The appropriation of $50.0 contained in this bill is a recurring expense to the general fund. Any unexpended or unencumbered balance shall not revert.



ADMINISTRATIVE IMPLICATIONS



VCS will have to establish the fiscal year 2002 budget from the Veterans' Cemetery Fund through a budget adjustment request. VCS will have to determine the best and cost effective method of conducting the survey of available state lands to find candidate locations for a state veterans' cemetery.



TECHNICAL ISSUES



Page 3, line 14, should be amended to read: "cemetery. The veterans' service commission will report its findings to the forty-fifth legislature, second session. Any unexpended or unencumbered balance shall not".



GAC/ar