NOTE:  As provided in LFC policy, this report is intended only 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 for other purposes.

 

The most recent FIR version (in HTML & Adobe PDF formats) is available on the Legislative Website.  The Adobe PDF version includes all attachments, whereas the HTML version does not.  Previously issued FIRs and attachments may be obtained from the LFC in Suite 101 of the State Capitol Building North.

 

 

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

 

 

 

SPONSOR:

Begaye

 

2/14/03

 

HB

527

 

SHORT TITLE:

Farmington Agricultural Science Center

 

SB

 

 

 

ANALYST:

L. Baca

 

APPROPRIATION

 

Appropriation Contained

Estimated Additional Impact

Recurring

or Non-Rec

Fund

Affected

FY03

FY04

FY03

FY04

 

 

 

$500.0

 

 

Recurring

GF

(Parenthesis ( ) Indicate Expenditure Decreases)

 

 

Relates to Appropriation for New Mexico State University in the General Appropriation Act

 

SOURCES OF INFORMATION

 

Responses Received From

 

Commission on Higher Education (CHE)

 

SUMMARY

 

     Synopsis of Bill

 

House Bill 527appropriates $500.0 from the general fund to the Board of Regents of New Mexico State University (NMSU) to support the continued operation of the Farmington Agricultural Science Center of the NMSU Agricultural Experiment Center.

 

   Significant Issues

 

A request for this expansion project was not included in NMSU’s budget request to the NMSU Board of Regents, and thus was not included in the list of priority projects submitted by NMSU to the Commission on Higher Education for review

 

FISCAL IMPLICATIONS

 

The appropriation of $500.0 contained in this bill is a recurring expense to the general fund. Any unexpended or unencumbered balance remaining at the end of fiscal year shall revert to the general fund.

The total operating budget for AES for fiscal year 2003 is $21, 463.9 and includes $11,413.9 from the general fund, $1,150.0 in other state funds, and $8,650.0 in federal funds. The CHE general fund recommendation for the base budget for continued operations of the AES for fiscal year 2004 is $11,834.6.

 

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 2003-2004):

 

“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 June 30, 2005 detailing the benefits to the State of New Mexico from having this program implemented for a three-year period.”

 

 

POSSIBLE QUESTIONS

 

1.                  If funds for the AES are already in the appropriation bill, is this amount really necessary?

2.                  What will the additional funds enable AES to do?

 

LRB/njw