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	Campos, J.A.		DATE TYPED	2/2/04		HB	72/aHEC
SHORT TITLE		NMSU-Clovis Science Center Research Programs				SB
					ANALYST		Baca

APPROPRIATION

Appropriation Contained

Estimated Additional Impact

Recurring

or Non-Rec

Fund

Affected

FY04

FY05

FY04

FY05

$582.0

Recurring

General Fund

(Parenthesis ( ) Indicate Revenue Decreases)

Duplicates HB 132 and SB 95

Relates to Appropriation in the General Appropriation Act

SOURCES OF INFORMATION

LFC Files

Commission on Higher Education (CHE)

Funding Recommendations For FY05

Responses Received From

New Mexico State University

College of Agriculture and Home Economics

Not Response

Commission on Higher Education

SUMMARY

Synopsis of HEC Amendment

The House Education Committee amendment adds an evaluation requirement which reads as follows:

“The institution receiving the appropriation in this bill shall submit a program evaluation to the Legislative Finance Committee and the Commission on Higher Education by August 2007 detailing the benefits to the State of New Mexico from having implemented this program over a three period.”

Synopsis of Original Bill

House Bill 72 appropriates $582 thousand from the general fund the Board of
regents of New Mexico State University to enhance research and education programs relating to water conservation, dairy production, cropping systems and agricultural science center at Clovis. The funds are appropriated as follows:

$354.5 thousand to the Agricultural Experiment Station, and
$227.5 thousand to the Cooperative Extension Service.

Significant Issues

This bill proposes to addresses water management, dairy specialization, soil science and general agronomic issues as they impact eastern New Mexico. NMSU submits that “agriculture is an economic mainstay of eastern New Mexico. In areas where groundwater is available, pumping costs are rising and land is being removed from irrigated crop production. Crops must be identified that produce economically viable yields with natural precipitation or with limited supplemental irrigation. Efficient systems of water conservation and irrigation application must be developed.” In addition, the educational and technical support needs of growers and dairy farmers need to be addressed, as proposed in this bill.

FISCAL IMPLICATIONS

The appropriation of $582 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.

OTHER SUBSTANTIVE ISSUES

NMSU reports that the Cooperative Extension Service and the Agricultural Experiment Station currently operate facilities in the Clovis area. This initiative will enhance the ability of these existing units to address issues specific and unique to the area

This program expansion was not included in the NMSU Board of Regents funding recommendations to the CHE. Consequently, the Commission did not recommend this program for funding.

AMENDMENTS

The following language is suggested for all new recurring higher education programs and expansion of current programs (assuming that funding will continue beyond FY05):

POSSIBLE QUESTIONS

1. Was this program submitted to the NMSU Board of regents for its consideration:

2. Why or Why not?

3. If it was submitted to the Board of Regents, why wasn’t it included in the funding recommendations submitted to the CHE?

LB/yr