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F I S C A L I M P A C T R E P O R T

SPONSOR Stapleton

DATE TYPED 02/10/05 HB 532

SHORT TITLE Revise Construction Industries Licensing

SB

ANALYST McSherry

APPROPRIATION

Appropriation Contained Estimated Additional Impact Recurring

or Non-Rec

Fund

Affected

FY05

FY06

FY05

FY06

NFI

NFI

NFI Indeterminate Recurring General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

SOURCES OF INFORMATION

LFC Files

Regulations and Licensing Department

SUMMARY

Synopsis of Bill

House Bill 532 proposes to amend the Construction Industries Licensing Section of the Business

Licenses Chapter of NM statute by removing references to specific building codes (the New

Mexico Uniform Building Code, the New Mexico Electrical Code, the New Mexico Plumbing

code, Natural Gas Code of New Mexico) and replacing the references with language authorizing

“applicable New Mexico building codes adopted pursuant to the Construction Industries Licens-

ing Act and the LPG and CNG Act in effect in the applicable time”

The bill also proposes to amend “the governor’s committee on concerns of the handicapped” to

be replaced with the group’s new name: “the governor’s commission on disability

.”

Significant Issues

According to the Construction Industries Division (CID), of the Regulations and Licensing De-

partment, the specific building codes being proposed for removal are no longer published, or are

no longer adopted by the State.

According to CID, the Division’s adoption of current codes would be consistent with the lan-

guage of the proposed statute.

House Bill 532 -- Page 2

CID asserts that the definition of “code,” found in the Construction Industries Licensing Act,

1978 NMSA, 60-13-2, was revised in the 2003 Legislative Session to be “a body or compilation

of provisions or standards adopted by the commission that govern contracting or some aspect of

contracting; that provide for safety and protection of life and health; and that are published by a

nationally recognized standards association.” CID further asserts that due to an oversight that

this section, 60-13-44, was not corrected at that time.

PERFORMANCE IMPLICATIONS

This change would provide that CID would be acting in compliance with the statute. The statute

would become much more general than previously.

FISCAL IMPLICATIONS

There is no appropriation included in this bill and other factors for impact are not apparent.

TECHNICAL ISSUES

It is not clear what “applicable NM building codes” and “applicable time” mean.

ALTERNATIVES

The explicit names of alternative codes that CID does currently use could be inserted.

WHAT WILL BE THE CONSEQUENCES OF NOT ENACTING THIS BILL.

The statute will continue to have an internal inconsistency and to reference building codes in this

one provision that are no longer published.

POSSIBLE QUESTIONS

1.

What is the definition of “applicable NM building codes” and “applicable time.”

EM/sb