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

Altamirano

DATE TYPED

2/07/04

HB

 

 

SHORT TITLE

Commission for Deaf Persons Expenses

SB

545

 

 

ANALYST

Weber

 

REVENUE

 

Estimated Revenue

Subsequent

Years Impact

Recurring

or Non-Rec

Fund

Affected

FY04

FY05

 

(500.0)

 

Recurring

General Fund

 

 

See Narrative

Recurring

OSF

(Parenthesis ( ) Indicate Revenue Decreases)

 

Conflicts with HB 187

 

Relates to Appropriation in the General Appropriation Act

 

SOURCES OF INFORMATION

LFC Files

 

Response Received From

Department of Finance and Administration

 

No Response Received From

Commission for the Deaf and Hard-of-Hearing Persons

 

SUMMARY

 

Synopsis of Bill

 

Senate Bill 545 amends 63-9F-12 NMSA 1978 so funds in the Telecommunications Access Fund may be used for the direct operating expenses of the Commission for the Deaf and Hard-of-Hearing Persons. 

 

Significant Issues

 

Currently, use of the fund for administrative purposes is limited to 10 percent of the annual revenue that accrues to the fund.  Revenue to the fund was $2.9 million for the year ending June 30, 2003 and expenditures for the required telecommunications systems and equipment only $1.2 million with another $350 thousand distributed for administrative expenses.  The resultant balance was $5.8 million, up from $4.4 million the previous year.  The continuing growth of the fund allows for additional operation expense by the Commission.  

 

The Department of Finance and Administration reports:

 

This change in the law will save approximately $805.8 in General Fund in FY '05 and be a recurring savings.  This bill is similar to House Bill (HB) 187.   HB 187 also allows for funding of the Commission for the Deaf and Hard of Hearing Persons to be from the Telecommunications Access Fund, but further transfers the administration and implementation of the Telecommunications Access Act from the General Services Department to the Commission for the Deaf and Hard of Hearing Persons.  SB 545 is supported by the Executive; HB 187 is not.

 

FISCAL IMPLICATIONS

 

If these funds are used for the Commission operating expenses.  The general fund requirement will be reduced approximately $500 thousand annually for the next few years.

 

TECHNICAL ISSUES

 

As proposed, the bill allows the DFA Budget Division unlimited appropriation from the fund.  Consideration should be given to restricting appropriation authority to the Legislature.

 

POSSIBLE QUESTIONS

 

Why is the DFA Budget Division given appropriation authority over these funds even under the current statute?

 

MW/lg