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

SPONSOR:	Luna		DATE TYPED:	2/24/03		HB	712
SHORT TITLE:		Preservation of “New Mexican” Wild Horses				SB
					ANALYST:		L. Baca

APPROPRIATION

Appropriation Contained		Estimated Additional Impact		Recurring or Non-Rec	Fund Affected
FY03	FY04	FY03	FY04
	$546.0			Recurring	GF

(Parenthesis ( ) Indicate Expenditure Decreases)

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

SOURCES OF INFORMATION

Responses Received From

Commission on Higher Education (CHE)

New Mexico Department of Agriculture (NMDA)

SUMMARY

Synopsis of Bill

House Bill 712 appropriates $546.0 from the general fund to the Board of Regents of New Mexico State University (NMSU) for the New Mexico Department of Agriculture (NMDA) to contract for services, including roundups and DNA testing, to assist in the preservation of wild horses known as “New Mexicans”.

Significant Issues

This request was not included in NMSU’s budget request to the NMSU Board of Regents, and thus was not included in the list of 13 priority projects submitted by NMSU to the Commission on Higher Education for review.

FISCAL IMPLICATIONS

The appropriation of $546.0 contained in this bill is a recurring expense to the general fund. Any unexpended or unencumbered balance remaining at the end of fiscal year 2004 shall revert to the general fund.

ADMINISTRATIVE IMPLICATIONS

If funded, this project will be added to the 117 projects Research and Public Service Projects (RPSP), which are funded as line item projects and are not part of the funding formula for higher education.

OTHER SUBSTANTIVE ISSUES

The NMDA reports that:

“The non-profit organization, “The New Mexico Horse Project,” has been rounding-up wild horses in the Valencia and Torrance county areas. These horses have been DNA tested with the results verifying they are direct descendants of the original horses brought into the region by the Spanish settlers four hundred years ago.  The project now needs to locate areas to preserve the species and to conduct further DNA testing as well as conduct additional round-ups of other wild horses throughout New Mexico. This breed is designated by the University of Kentucky as the ‘New Mexican Breed of Horse’ due to its unique genetic make-up. This appropriation will allow the project to continue.”

POSSIBLE QUESTIONS

1. Will this project be put out to bid in compliance with state purchasing statutes?

2. How has this project been funded in the past?

3. What other sources of funding are available for this project?

LRB/njw