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

SPONSOR Garcia, M

DATE TYPED 02/21/05 HB 562

SHORT TITLE Eligibility for Food Stamp Notification

SB

ANALYST Weber

APPROPRIATION

Appropriation Contained Estimated Additional Impact Recurring

or Non-Rec

Fund

Affected

FY05

FY06

FY05

FY06

See Narrative Recurring General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

REVENUE

Estimated Revenue

Subsequent

Years Impact

Recurring

or Non-Rec

Fund

Affected

FY05

FY06

See Narrative Recurring Federal: Good

Stamp Program

(Parenthesis ( ) Indicate Revenue Decreases)

Duplicates

Relates to HB 235 and SB 112

SOURCES OF INFORMATION

LFC Files

Responses Received From

Human Services Department

NO RESPONSE RECEIVED FROM

Taxation and Revenue Department

SUMMARY

Synopsis of Bill

House Bill 562 amends the Public Assistance Act to require the Human Services Department to

include a notice with with an income tax refund or other notice to a taxpayer whose income is

within 130 percent of the federal poverty guidelines that the taxpayer may be eligible for food

stamps. Included in the notice shall be general information about food stamps and the location

of all offices that determine eligibility. This must be available by January 30 of each year.

House Bill 562-- Page 2

Significant Issues

HSD reports.

New Mexico is ranked high nationally for food insecurity and hunger problems through-

out the State. Currently in the state over 91,000 households participate in the Food Stamp

Program or about 12% of the State population.

HB 562 does not include any general fund appropriation or identify department responsi-

bility for developing materials or information to be included in the tax refund or other

Taxation and Revenue Department notices about the Food Stamp Program. State general

fund monies may be matched with federal fund with the United States Department of Ag-

riculture Food and Nutrition Service for outreach efforts for the Food Stamp Program.

Any funds that would be utilized for any Food Stamp Program outreach must be coordi-

nated through the Human Services Department to receive federal match if the expendi-

tures are eligible for a match. Responsibilities and costs that are not identified in the HB

562 include: development of information about the Food Stamp Program inclusive of the

location of Income Support Division field offices and additional printing and mailing

costs associated with the program information.

FISCAL IMPLICATIONS

There will be expenses associated with such a program for development and production of the

notice. As suggested by HSD in the above section the expenses may be eligible for a 50 percent

federal match but only if done directly through HSD.

MW/lg