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
|
SPONSOR |
Leavell |
DATE TYPED |
|
HB |
|
||
|
SHORT
TITLE |
Fees for Interest in Game and |
SB |
76 |
||||
|
|
ANALYST |
Aguilar |
|||||
APPROPRIATION
|
Appropriation Contained |
Estimated Additional Impact |
Recurring or Non-Rec |
Fund Affected |
||
|
FY04 |
FY05 |
FY04 |
FY05 |
||
|
|
NFI |
|
Indeterminate |
Recurring |
Game
Protection
Fund |
|
|
|
|
|
|
|
(Parenthesis ( ) Indicate Expenditure Decreases)
LFC
Files
Responses
Received From
Department
of Game and Fish (DGF)
Commissioner
of Public Lands (SLO)
SUMMARY
Synopsis of Bill
Senate Bill 76 amends Section
Significant Issues
The
State Game Commission recently approved a rate schedule to reflect current
desires and market values. This schedule
sets rates above current appraised market value for the land based on specific
use.
Implications to the Department of Game and Fish
would be that appraisals would need to be obtained
prior to establishing a fee for a particular commercial activity. Fees are presently set
by the State Game Commission rule.
The
State Land Office (SLO) is also currently updating their rate schedule for
commercial activities. An alternative would be to utilize as much of the SLO
standard rate schedule as possible without appraisals. Other than special circumstances, i.e.
microwave towers, this would standardize user rates for state land use across
both agencies.
The
Commissioner of Public Lands may authorize a credit of up to 30% of the fair
market value of the interest to be granted if, after a written showing by the
applicant, the commissioner, in his sole discretion, determines that the grant
of an easement or right of way, with a credit, will enhance oil and gas
production from trust lands and that the royalties resulting from the enhanced
oil and gas production will far exceed any benefits derived from receiving fair
market value from the grant of easement or right of way.
The
State Game Commission owns approximately 170,000 acres dispersed throughout
DGF
reports:
·
Of
the 16 rates approved, public concern has been raised on 4
specific items.
·
Any
monetary fees collected by the State Game Commission properties are subject to
federal aid requirements if they were purchased using
federal aid dollars.
·
Fees
collected must be recorded as program income and 75% of the fee must be returned
to the Federal Aid Program.
·
The
Department will only realize 25% of the fee.
·
As
written, the bill would require the Department of Game and Fish to maintain a
portfolio of current market or appraised value for lands. The department would be subject to following
the states property control division rules and regulations
and those of the U.S. Fish and Wildlife Service in obtaining market values.
FISCAL
IMPLICATIONS
The
cost of establishing and maintaining this portfolio would fall on the DGF who
at this time does not have the real estate expertise or personnel to carry out
this work.
TECHNICAL
ISSUES
There
may be no basis for an appropriate valuation of wildlife or wildlife habitat
under current commercial appraisal methods. This could potentially result in
substantial under valuation of fees necessary to offset damage to habitats and
cause an inequity in relation to other state land use fees.
PA/njw:yr