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.
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in
|
SPONSOR |
Silva |
DATE TYPED |
|
HB |
123 |
||
|
SHORT
TITLE |
Water & Wastewater Funds for Conservation |
SB |
|
||||
|
|
ANALYST |
Kehoe, L. |
|||||
APPROPRIATION
|
Appropriation
Contained |
Estimated
Additional Impact |
Recurring or
Non-Rec |
Fund Affected |
||
|
FY04 |
FY05 |
FY04 |
FY05 |
||
|
$1,000.0 |
|
|
|
Non-Recurring |
General
Fund |
|
|
|
|
|
|
|
(Parenthesis
( ) Indicate Expenditure Decreases)
REVENUE
|
Estimated Revenue |
Subsequent Years Impact |
Recurring or
Non-Rec |
Fund Affected |
|
|
FY04 |
FY05 |
|||
|
$1,000.0 |
|
|
Non-Recurring |
W&WW
Planning Fund |
|
|
|
|
|
|
(Parenthesis ( ) Indicate Revenue Decreases)
LFC
Files
SUMMARY
Synopsis of Bill
House Bill 123 appropriates $1 million from the
general fund to the water and wastewater planning fund for the purpose of
making grants to qualified entities for planning water and wastewater
projects. The bill further amends the
definition of qualified projects to allow grants for development of water conservation
plans.
Significant Issues
The water and wastewater planning fund was
created by the 2002 Legislature within NMFA for the purpose of making grants to
qualified entities to evaluate and estimate the costs of implementing the most
feasible alternatives for meeting water and wastewater public projects needs,
and to pay administrative costs of the water and wastewater planning
program. NMFA is currently authorized to
issue revenue bonds payable from the public project revolving fund in an amount
not to exceed $1 million for the purpose of providing grants for studies and
analyses.
This bill would provide funding for planning
purposes from the general fund rather than the public project revolving loan
fund. The bill also expands the purposes
of the funds to include development of water conservation plans.
Grants may be made from the fund only with the agreement
of the qualified entity to reimburse the fund for the amount of the grant when
financing from any source is subsequently received by the qualified entity for
the water or wastewater public project.
Repayments to the fund are made without interest or fee.
NMFA may make grants from the water and
wastewater planning fund to qualified entities without specific authorization
by law for each grant.
The bill contains an
emergency clause.
FISCAL IMPLICATIONS
The appropriation of $1,000.0 contained in this
bill is a non-recurring expense to the general fund. Any unexpended or
unencumbered balance remaining at the end of fiscal year 2004 and subsequent
years shall not revert to the general fund.
OTHER SUBSTANTIVE ISSUES
Laws
2003, Chapter 138 stipulates that after December 31, 2005, neither the water trust
board nor the NMFA shall accept an application from a covered entity, a
municipality, county, or any other person that supplies, distributes or
otherwise provides at least 500 acre-feet of water annually for domestic,
commercial, industrial or government purposes, for financial assistance in the
construction of any water diversion, storage, conveyance, water treatment or
wastewater treatment facility unless the covered entity includes a copy of its
water conservation plan.
POSSIBLE QUESTIONS
LMK/lg:njw