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	Marquardt		DATE TYPED	1/31/04		HB	282
SHORT TITLE		Tularosa Creek Water Storage System Study				SB
					ANALYST		Maloy

APPROPRIATION

Appropriation Contained		Estimated Additional Impact		Recurring or Non-Rec	Fund Affected
FY04	FY05	FY04	FY05
	$365.0		See Narrative	Recurring	General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

SOURCES OF INFORMATION

LFC Files

No Responses Received From

Office of the State Engineer

Department of Finance and Administration

Environment Department

Energy, Minerals and Natural Resources Department

SUMMARY

Synopsis of Bill

House Bill 282 appropriates $365 thousand from the general fund to the Office of the State Engineer, Interstate Stream Commission, for expenditure in FY05 for a feasibility study for constructing reservoir at Tularosa Creek, and a pipeline to deliver stored water to the Tularosa community ditch association in Otero County.

Any unexpended or unencumbered balance remaining at the end of FY05 shall revert to the general fund.

Significant Issues

· If the study determines the reservoir and pipeline are feasible, additional revenue will likely be sought from the general fund for the construction. Thus, the expense is recurring.

· The Finance Authority has estimated New Mexico’s water needs in excess of $4.8 billion. In prioritizing projects, statewide needs and the opportunity to expand water resources are the key.

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