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 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	Robinson		DATE TYPED	2/8/04		HB
SHORT TITLE		Office of Archaeological Studies Operations				SB	514
					ANALYST		Johnson

APPROPRIATION

Appropriation Contained		Estimated Additional Impact		Recurring or Non-Rec	Fund Affected
FY04	FY05	FY04	FY05
	$150.0		See Narrative	Recurring	General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

Relates to Appropriation in the General Appropriation Act

SOURCES OF INFORMATION

LFC Files

Response Received From

Office of Cultural Affairs (OCA)

SUMMARY

Synopsis of Bill

Senate Bill 514 appropriates $150,000 from the general fund to office of cultural affairs for salaries, personnel and operating expenses for the office of archaeological studies.

Significant Issues

The office of cultural affairs provided the following:

The Office of Archaeological Studies (OAS) is a revenue-generating division of OCA. The division frequently must turn down public and governmental requests for assistance or consultation because there is no way to cover the cost of senior staff time. From its revenues, the OAS must also cover basic operating costs including telecommunications, vehicle leasing, information services and human resources training. Having to cover these costs from the OAS revenue stream significantly raises the costs for state agencies that use the division.

FISCAL IMPLICATIONS

The appropriation of $150.0 contained in this bill is a recurring expense to the general fund. Any unexpended or unencumbered balance remaining at the end of fiscal year 2005 shall revert to the general fund.

The office of cultural affairs provided the following:

The OAS generates about $1 million in revenue by providing archaeological services to various departments. These revenues must cover all OAS operating costs. During FY 2005, the cost of moving from the La Villa Rivera Building cannot be easily accommodated. The appropriation of $150.0 from the General Fund would help ensure that the move occurs with minimal interruption in service.

This appropriation would also reduce costs for client agencies. It would also reduce OCA’s financial liability should the OAS generate insufficient revenue to cover the costs of telecommunications, vehicle leasing, computer networks, insurance and human resources training.

COMPANIONSHIP RELATIONSHIP

The proposed state budget includes an appropriation of $1,000.0 of interagency transfers in OCA’s preservation, arts and library services program. These funds are from the NM Transportation Department to the Office of Archaeological Studies for archaeological services provided.

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