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	Maes		DATE TYPED	1/25/04		HB
SHORT TITLE		Cooperative Advertising Program				SB	36
					ANALYST		Collard

APPROPRIATION

Appropriation Contained		Estimated Additional Impact		Recurring or Non-Rec	Fund Affected
FY04	FY05	FY04	FY05
	$500.0			Recurring	General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

SOURCES OF INFORMATION

LFC Files

Responses Received From

Economic Development Department (EDD)

Tourism Department (NMTD)

SUMMARY

Synopsis of Bill

Senate Bill 36 appropriates $500 thousand from the general fund to the Economic Development Department for the purpose of financing the cooperative advertising program.

Significant Issues

EDD indicates the passing of this bill would provide the largest allocation to the cooperative advertising program to date. The purpose of the program is to provide matching marketing funds on a reimbursement basis to communities across the state. Statewide, regional, and local non-profit organizations are invited to apply for funds.

FISCAL IMPLICATIONS

The appropriation of $500 thousand contained in this bill is a recurring expense to the general fund. Any unexpended or unencumbered balance remaining at the end of FY05 shall revert to the general fund.

ADMINISTRATIVE IMPLICATIONS

EDD indicates no additional resources will be needed to administer the program.

OTHER SUBSTANTIVE ISSUES

There is $1 million in the Tourism Department’s budget for the same purpose. Although there will be no direct effect on NMTD, the department indicates this allocation may indirectly benefit the department because some grant recipients may advertise tourism related products.

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