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

Ingle

DATE TYPED

1/21/04

HB

 

 

SHORT TITLE

Fort Sumner Irrigation District Debt Payment

SB

14

 

 

ANALYST

Maloy

 

APPROPRIATION

 

Appropriation Contained

Estimated Additional Impact

Recurring

or Non-Rec

Fund

Affected

FY04

FY05

FY04

FY05

 

$1,200.0

 

 

Non-Recurring

General Fund

 

 

 

 

 

 

 

 

 

 

 

 

(Parenthesis ( ) Indicate Expenditure Decreases)

 

Duplicates HB 36

 

SOURCES OF INFORMATION

 

LFC Files

 

Responses Received From

Office of the State Engineer

 

SUMMARY

 

Synopsis of Bill

 

Senate Bill 14 appropriates $1.2 million from the general fund for the purpose of paying the outstanding debt of the Fort Sumner Irrigation District to the Federal Bureau of Reclamation.

 

Significant Issues

 

According to the Office of the State Engineer, “an act of Congress would be still be required to transfer title of the Fort Sumner Irrigation District irrigation facilities from Reclamation to the District in order to end the Federal nexus. The unstated performance implication of this bill is that the federal nexus that currently exists because the Bureau of Reclamation holds title to project facilities will be removed or reduced by payment of the outstanding debt.  Because the act of Congress is required to transfer the title and because such Congressional transfers have historically occurred slowly, the federal nexus threat will likely exist sometime into the future.”

 

 

 

 

FISCAL IMPLICATIONS

 

The appropriation of $1.2 million contained in this bill is a non-recurring expense to the general fund. Any unexpended or unencumbered balance remaining at the end of FY05 shall revert to the general fund.

 

ADMINISTRATIVE IMPLICATIONS

 

According to the Office of the State Engineer, “this effort would require technical and legal staff support from the Interstate Stream Commission.  Given the workload of Pecos River basin staff, a term staff support position would be needed to effectively and efficiently implement the transactions called for in the bill.”

 

SJM/lg