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
|
SPONSOR |
SJC |
DATE TYPED |
|
HB |
|
||
|
SHORT
TITLE |
Off-Highway Motor Vehicle Requirements |
SB |
CS/174 |
||||
|
|
ANALYST |
Valenzuela |
|||||
APPROPRIATION
|
Appropriation
Contained |
Estimated
Additional Impact |
Recurring or
Non-Rec |
Fund Affected |
||
|
FY04 |
FY05 |
FY04 |
FY05 |
||
|
|
|
See Fiscal Implications |
|
|
|
|
|
|
|
|
|
|
(Parenthesis
( ) Indicate Expenditure Decreases)
REVENUE
|
Estimated Revenue |
Subsequent Years Impact |
Recurring or
Non-Rec |
Fund Affected |
|
|
FY05 |
FY06 |
|||
|
|
|
|
Recurring |
State
Road Fund (vehicle registrations) |
|
|
|
|
Recurring |
Local
Gvmt (MV suspense decrease) |
|
|
|
|
Recurring |
New
Trail Safety Fund |
|
|
|
|
Recurring |
NM
Clean and Beautiful Program |
|
|
|
|
Recurring |
Motor
Vehicle Division |
(Parenthesis ( ) Indicate Revenue Decreases)
Note:
Since the ATV registration would be for a 2-year period, for the first
few years ATV registration fee revenue will tend to be significant in
odd-numbered fiscal years, and tend to be small in even-numbered fiscal
years. The bill includes no transition
provision for existing 3-year registrations, so the full revenue impact will
not be realized until FY2007 (when 3-year registrations obtained in FY2004 are
due for renewal).
Assumptions: 40,000 registered vehicles, plus some unknown
number of nonresident permits (+).
Department of Tourism
Department of Transportation
Taxation and Revenue Department
Energy, Minerals and Natural Resources
Department
SUMMARY
Synopsis
of SFC amendment
The Senate Finance
Committee (SFC) amendment to the Ccommittee
Ssubstitute
for SB174 makes several substantive changes: (1) it reduces
the cap on the off-highway user fee by $10.00; (2) it includes the
Department of Game and Fish to be responsible for developing collection sites
and issuing permits but also allows DGF
to keep $7.00 of each fee it collects;
and (3) item number 5 of the amendment
makes an important
technical correction pertaining
to distribution of these
revenues. The
amendment makes other minor technical corrections.
Based on this
amendment, revenue projections for the trail safety fund would be reduced by 25
percent. All the distributions will be reduced by
$7.00/fee for the DGF share, but projections are difficult given no history on
these permits.
Synopsis of Original
BillSJC Committee SubstituteBill
The Senate Judiciary
Committee (SJC) Ssubstitute
to Senate Bill 174 proposes comprehensive additions and revisions
to the Off-highway Motor Vehicle Act to promote responsible use of snowmobiles,
all-terrain vehicles and off-highway motorcycles. The bill sets up a financing mechanism, through a new fund
called the trail safety fund, for implementation of the bill.
A section-by-section analysis follows:
Section
1. Adds
new definitions to the act;
Section
2. Makes
technical corrections and clean up for the registration requirements and process;
Section 3. Revises Increases registration fee to $17.00 paid every
two years, and reduces validation time from three
to two years for residents and creates a ninety day permit for non-residents
at same price. Creates a new registration fee, the off-highway
user fee, of up to $40.00 for residents or non-residents. Increases the fee for duplicate certificates
to $7.50. Provides rulemaking
authority to Tourism Department. Provides authority for a $1.00 fee for the New Mexico Clean
and Beautiful Program on an annual basis for both residents and
non-residents;
Section 4. Provides registration
exemptions for off-highway vehicles operated exclusively on private
lands,
or used for agricultural purposes and for those used in
competitions;
Section
5. Makes
technical corrections to statute describing criteria for permit refusal,
principally when applicant cannot be registered in home state;
Section
6. Makes
technical corrections;
Section
7. Makes
technical corrections;
Section
8. Adds new section for dealer demonstration certificates, for a fee of
$15.00/vehicle (first three vehicles and $5.00/vehicle additional vehicles)
used as a demonstrator on land not owned by the dealer;
Section
108. Adds new section outlining criteria under
which safety training organizations may be licensed and terms of the licenses,
i.e., annual renewal, certification by board (see Section 18), etc;
Section
119. Adds new section outlining operation and safety
requirements by age and provides for requirements to be met before these motor
vehicles may be sold (note: very important and detailed section);
Section
1210. Adds new section requiring dealers to
provide operational, safety and training information to consumers including
information of the potential risks involved;
Section
1311. Provides limited exceptions for operation
of off-highway vehicles near or on public roads or highways, prohibits use
within state parks, and must receive a permit from the Department
of Game and Fish for operation on its land
;
Section
1412. Provides limited exceptions for operation
of off-highway vehicles near or on public roads or highways;
Section
1513. Makes technical corrections;
Section
164. Makes revisions to statute
requiring accident reports of more then $250 500
in damage to law enforcement.
Section
1715. Makes revisions to allow law enforcement officers to
request proof of training certification of drivers.
Section
1816. Creates the Off-highway Motor Vehicle
Safety Board made up of 23 members (nine ex-officio and 14 15 appointed
members) and outlines its policy-making to certify training programs, set
safety standards, supplement the Clean and Beautiful Program, and set criteria
for locating ATV parks, trails and other facilities.
Section
1917. Creates the trail safety fund to be
administered by the Tourism Department; the fund will receive 0.013
percent from the gas tax distribution (state road fund) and will
receive all fees identified previously in bill; provides for earmarked use of
fund, namely to develop and maintain trails, staging areas and to promote
safety in this sport;
Section
2018. Provides for penalties of violation of this act.
Section 19. Adds
a new section that would ensure that a
driver or passenger, under the age of eighteen, who
did not use a safety helmet would not constitute fault
or negligence and would not limit or apportion damages.
Section 201. Repeals the Snowmobile Act.
Section 221. Makes the effective date
Significant Issues
SB174 is designed to address the proliferation
of off-highway vehicle recreation to ensure public and environmental safety. As
this sport grows in popularity, fatalities and injuries have increased. The
Department of Tourism cites a Consumer Products Safety Commission report that
shows a 50 percent increase from 1997 to 2001 in all-terrain vehicles driving
hours. Additionally, outdoor enthusiasts seek to find consensus with
off-highway vehicle enthusiasts on use of public lands and forests.
FISCAL IMPLICATIONS
SB174 does not contain
an appropriation, but does provide for continuing appropriations to the Tourism
Department from the new Trail Safety Fund created in the bill. The LFC objects to including
continuing appropriation language in the statutory provisions for newly created
funds. Earmarking reduces the ability of
the legislature to establish spending priorities.
Both
NMDOT and TRD report that Section 4(A) directs the $15 registration fee “to the
division”. The bill is not clear about
whether this revenue goes to MVD to offset expenses, to the MV Suspense Fund or
to the Trail Safety Fund. Section 19(C)
permits MVD to receive distributions from the Trail Safety Fund for any
expenses incurred in carrying out the provisions of the Off-Highway Motor
Vehicle Act.
ADMINISTRATIVE IMPLICATIONS
TRD will experience an
increased workload. However, access to
the fund will allow it to absorb its incremental cost.
TECHNICAL ISSUES
TRD reports the
following technical issues:
Section 11, paragraph
A(2) establishes a safety violation if the person drives the off-highway motor
vehicle while intoxicated. The language
in this section, “incapable of reasonable operation”, is not the same language used under Section
66-8-102. Section 66-8-102 has per se
limits but also states that someone is DWI if it “renders him incapable of
safely driving a vehicle.” The courts
have interpreted that phrase to mean someone is DWI if the ability to drive a
vehicle is impaired to the slightest degree.
It is not defined as a matter of “reasonable operation.” The language should be the same.
Secondly, under
Section 66-8-102, a refusal to be tested is an aggravated offense. There is no requirement, however, in this
bill that a driver of an OHMV submit to a chemical test. An OHMV is not considered a motor vehicle for
purposes of DWI and the Implied Consent Act.
The easiest solution is to put an OHMV under the definition of a motor
vehicle. The alternative is to provide
that an OHMV can violate the Implied Consent Act by adding such language under
paragraph A(2).
MFV/yr:lg