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

SPONSOR Begaye

DATE TYPED 02/22/05 HB 546

SHORT TITLE Navajo Nation Chapter Emergency Preparedness

SB

ANALYST Weber

APPROPRIATION

Appropriation Contained Estimated Additional Impact Recurring

or Non-Rec

Fund

Affected

FY05

FY06

FY05

FY06

$600.0

Recurring

General

(Parenthesis ( ) Indicate Expenditure Decreases)

Relates to Appropriation in the General Appropriation Act

SOURCES OF INFORMATION

LFC Files

Responses Received From

Department of Indian Affairs (DIA)

Department of Health (DOH)

Department of Public Safety (DPS)

New Mexico commission on Higher Education (NMCHE)

SUMMARY

Synopsis of Bill

House Bill 546 appropriates $600 thousand from the general fund to the Department of Indian

Affairs for the purpose of enhancing the ability of 53 Navajo Chapters to mitigate, prepare for,

respond to and recover from emergencies.

Significant Issues

The Indian Affairs Department supplied the following information.

According to a proposed budget submitted by the Navajo Nation Department of Emer-

gency Management, the funds would be used to support efforts to mitigate, prepare for,

respond to, and recover from emergencies by providing direct assistance to chapter resi-

House Bill 546 -- Page 2

dents. Priority is to be given to individuals considered “high risk” such as the elderly,

handicapped, single parents, families with low or no income and those living in remote

areas.

According to the proposed budget submitted by the Navajo Nation Department of Emer-

gency Management, a majority of the requested funds would go towards administrative

costs and approximately 11% would go toward providing direct assistance, such as food,

shelter, and clothing, to individuals in need.

The NNDEM’s proposed budget is as follows:

Personnel & Benefits (8 positions/2 are currently vacant) $294,067.00

Travel Expenses $66,692.00

Supplies $28,600.00

Lease & Rental $19,026.00

Repairs & Maintenance $14,200.00

Contractual Services $3,000.00

Special Transactions $12,426.00

Assistance $68,716.00

Capital Outlay $40,000.00

Matching & Indirect $53,273.00

During the Interim Indian Affairs Committee Hearings held this past year, concerned State

Legislators and Navajo Nation community members expressed their disappointment in the

amount of funds/assistance going to those in immediate need compared to the funds going for

main office administrative costs, such as salaries, travel and supplies. Legislators expressed

that the intent of this funding from the State, which has been appropriated for several years,

was that it go directly to assist the need at the chapter level.

Currently, the Navajo Nation Departments of Emergency Management, located in Crown-

point and Shiprock, New Mexico are funded by the State of New Mexico with limited or no

contributions made by the Navajo Nation.

FISCAL IMPLICATIONS

The appropriation of $600 thousand contained in this bill is a recurring expense to the general

fund. Any unexpended or unencumbered balance remaining at the end of FY06 shall revert to the

general fund.

POSSIBLE QUESTIONS

Should a minimum percentage of direct assistance be stipulated in the bill.

Should an annual report of the prior fiscal year expenditures associated with this appropriation be

submitted to the Interim Indian Affairs Committee by September 1.

MW/lg