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

HTC

DATE TYPED

2/13/2004

HB

621/HTCS

 

SHORT TITLE

Road Development and Improvements

SB

 

 

 

ANALYST

Valenzuela

 

APPROPRIATION

 

Appropriation Contained

Estimated Additional Impact

Recurring

or Non-Rec

Fund

Affected

FY04

FY05

FY04

FY05

 

$8.4 million

 

 

Non-recurring

General fund

(Parenthesis ( ) Indicate Expenditure Decreases)

 

 

SOURCES OF INFORMATION

LFC Files

 

SUMMARY

 

Synopsis of Bill

 

The House Transportation Committee Substitute for House Bill 621 appropriates $8.4 million from the general fund to New Mexico Department of Transportation for the purpose of improving three roads:

 

1.      $ 3 million   For northwest loop in Albuquerque (15 miles)

2.      $ 1.4 million            For forest road 235 near Magdalena (7 miles)

3.      $ 4 million   For state road 234 to state road 207 (5.1 miles)

 

Significant Issues

 

The $1.6 billion package for the Governor Richardson Investment Partnership (GRIP) did not include these road projects. The tax increases of approximately $60 million of new revenue into the state road fund and the GRIP legislation provide two opportunities to fund these projects with state road funds.

 

Project Duplication in GRIP and STIP.  GRIP contained duplicate funding for several projects identified in the statewide transportation improvement plan (STIP), which had the impact of releasing obligated federal funding for projects. The STIP is a federally funded list of highway reconstruction projects. An opportunity may exist to include some of these projects in the STIP.

 

State Construction Program: Approximately $11 million of the new revenue into the state road fund was appropriated for the state construction program, which has not been funded since FY03. The state construction program is designed to address road improvements for roughly 1,100 miles of road in New Mexico that is ineligible for federal funding. The new funds in this program could be used for some of the projects identified in the bill.

 

FISCAL IMPLICATIONS

 

The appropriation of $8.4 million contained in this bill is a non-recurring expense to the general fund. Any unexpended or unencumbered balance remaining at the end of FY06 shall revert to the general fund.

 

MFV/lg:yr