Fiscal impact reports (FIRs) are prepared by the Legislative Finance Committee (LFC) for standing finance committees of the NM Legislature. The LFC does not assume responsibility for the accuracy of these reports if they are used for other purposes.

Current FIRs (in HTML & Adobe PDF formats) are available on the NM Legislative Website (legis.state.nm.us). Adobe PDF versions include all attachments, whereas HTML versions may not. Previously issued FIRs and attachments may also 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	Madalena		DATE TYPED	1/31/04		HB	296
SHORT TITLE		Controlled Environment Agricultural Research				SB
					ANALYST		Weber

APPROPRIATION

Appropriation Contained		Estimated Additional Impact		Recurring or Non-Rec	Fund Affected
FY04	FY05	FY04	FY05	Recurring or Non-Rec	Fund Affected
	$250.0			Recurring	General

(Parenthesis ( ) Indicate Expenditure Decreases)

Duplicates SB 350

SOURCES OF INFORMATION

LFC Files

Responses Received From

None

No Responses Received From

Indian Affairs Department (IAD)

New Mexico State University, New Mexico Department of Agriculture

SUMMARY

Synopsis of Bill

House Bill 296 appropriates $250 thousand from the general fund to the Indian Affairs Department for the purpose of conducting research on controlled environment agriculture issues.

Significant Issues

The University of Arizona web site offers the following basic definition of controlled environment agriculture.

“CEA or Controlled Environment Agriculture is a high technology industry for the production of food crops, flowers, houseplants, and medicinals within greenhouses. The greenhouse is the controlled environment structure. It may have many shapes and sizes, but it will always be covered with a material transparent to sunlight. Sunlight is required by the plants to grow healthy, and to reach maturity to produce a nutritious edible product, or a beautiful, fragrant flower. The plants must also receive water and nutrients (fertilizer).”

FISCAL IMPLICATIONS

The appropriation of $250 thousand contained in this bill is a recurring expense to the general fund. Any unexpended or unencumbered balance remaining at the end of Fiscal Year 2005 shall revert to the general fund.

ADMINISTRATIVE IMPLICATIONS

Although there was no response from the Department of Indian Affairs, it does not appear the agency has agricultural research capacity.

POSSIBLE QUESTIONS

Since the bill requests research on the topic, should consideration be given to an appropriation to a post secondary educational institution with an agriculture specialty?

MW/dm:yr