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

 

 

 

SPONSOR:

Komadina

 

DATE TYPED:

2/11/03

 

HB

 

 

SHORT TITLE:

Outdoor Advertising for Local Governments

 

SB

258

 

 

ANALYST:

Reynolds-Forte

 

REVENUE

 

Estimated Revenue

Subsequent

Years Impact

Recurring

or Non-Rec

Fund

Affected

FY03

FY04

 

 

 

 

($127.0)

($127.0)

Recurring

Road Fund

 

 

 

 

 

(Parenthesis ( ) Indicate Revenue Decreases)

 

Conflicts with SB72.

 

SOURCES OF INFORMATION

 

Responses Received From

New Mexico State Highway and Transportation Department

 

SUMMARY

 

     Synopsis of Bill

 

SB258             changes the Highway Beautification Act to provide counties and municipalities the authority to acquire by agreement or condemnation all outdoor advertising and property rights.  Currently the Highway Commission has sole authority.         

   

FISCAL IMPLICATIONS

 

The State Highway and Transportation Department collects the annual twenty-five dollar ($25.00) outdoor advertising renewal fee.  Revenues from this fee are deposited into the state road fund.  Annual collections from this fee are $127.0.  Revenue loss will be dependant upon how many cities and counties remove outdoor advertising from their communities; $127.0 is the maximum impact.

 

ADMINISTRATIVE IMPLICATIONS

 

The State Highway and Transportation Department notes that passage of this bill could decrease or possibly eliminate the administrative duty of the annual NMSHTD Outdoor Advertising Permit Renewal process, should county and municipal government entities choose to acquire Outdoor Advertising.  Also, passage of the bill will create new administrative duties.  It will become necessary for the New Mexico State Highway and Transportation Department to become involved in each county or municipal government outdoor advertising acquisition.  The NMSHTD would have to verify permit validity, verify permit fees paid, and verify conformance with the established regulations before the county or municipal government entity could proceed with acquisition.  This would entail thorough research, site inspections, verification, and documentation, etc.

 

CONFLICT

 

SB258 conflicts to SB72 which prohibits construction of new outdoor advertising for general advertising purposes and prohibits the State Highway Commission from issuing new permits.

 

PFR/prr