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

Leavall

DATE TYPED

1/28/03

HB

 

 

SHORT TITLE

Workers’ Comp Changes

SB

111

 

 

ANALYST

Collard

 

 

REVENUE

 

Estimated Revenue

Subsequent

Years Impact

Recurring

or Non-Rec

Fund

Affected

FY04

FY05

 

$750.0

Indeterminate

Recurring

Uninsured

Employers’ Fund

(Parenthesis ( ) Indicate Revenue Decreases)

 

Conflicts with SB 74

 

Relates to Appropriation in the General Appropriation Act

 

SOURCES OF INFORMATION

 

LFC Files

 

Response Received From

Workers’ Compensation Administration

 

SUMMARY

 

Synopsis of Bill

 

Senate Bill 111 provides an enforcement mechanism through the Taxation and Revenue Department for the Workers’ Compensation Administration’s (WCA) uninsured employers’ fund.  The uninsured employers fund will be administered subject to the provisions of the Tax Administration Act and all penalty and interest collected in connection with the uninsured employers’ fund will be deposited with the state treasurer for the uninsured employers’ fund.

 

FISCAL IMPLICATIONS

 

The agency anticipates the uninsured employers’ fund will generate $750 thousand annually.  Unspecified increases in the uninsured employers’ fund can be anticipated over time.

 

 

CONFLICT

 

WCA indicates this bill has a complimentary purpose to Senate Bill 74, but an incompatible approach.  Senate Bill 74 shifts the assessment to WCA, which is already subject to the Tax Administration Act and this leaves the assessment as it was passed by the Legislature last year and adds enforcement under the Tax Administration Act.

 

OTHER SUBSTANTIVE ISSUES

 

WCA indicates a consensus that the bill has been reviewed and supported by the Workers’ Compensation Advisory Council and the Taxation and Revenue Department.

 

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