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 a vailable 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 Balderas

DATE TYPED 2/16/05

HB 682

SHORT TITLE Colfax Workforce Training Programs

SB

ANALYST Hadwiger

APPROPRIATION

(in $000s)

Appropriation Contained Estimated Additional Impact Recurring

or Non-Rec

Fund

Affected

FY05

FY06

FY05

FY06

$225.0

Recurring General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

SOURCES OF INFORMATION

LFC Files

Responses Received From

Department of Finance and Administration (DFA)

Economic Development Department (EDD)

Office of Workforce Training and Development (OWTD)

Public Education Department (PED)

SUMMARY

Synopsis of Bill

House Bill 682 appropriates $225,000 from the general fund to the Department of Finance and

Administration for development, staffing and related activities in conjunction with a post-

secondary education and workforce training program in Colfax County in FY06 and subsequent

years. The appropriation would be nonreverting.

Significant Issues

The Public Education Department (PED) reported that HB682 is intended to provide support to

the Northeastern New Mexico Learning Center in Raton. Staff at the Center stated that the Cen-

ter has been providing educational services to residents of Colfax, Union and Harding counties

since 1998. The Center’s role is to bring postsecondary education to the area through partner-

ships with nearby colleges. Currently, Northern New Mexico Community College and The Col-

House Bill 682-- Page 2

lege of Santa Fe bring classes to the Learning Center site in Raton, and New Mexico Highlands

University provides educational services through an ITV link. The Center offers programs lead-

ing to associate, bachelor’s and master’s degrees, as well as Workforce Training in the form of

OSHA certification courses and a community program in computer applications. A culinary arts

program is also available. The Center is working with PED to establish a GED testing site at its

facility. The Center reports a current enrollment of 247 active students.

The Office of Workforce Training and Development (OWTD) indicated that agency currently

manages a number of State funded workforce training grants for at risk youth. OWTD noted it

may be more appropriate for the appropriation to be made to the OWTD because OWTD already

administers approximately $12 million of workforce training funds annually.

FISCAL IMPLICATIONS

The appropriation of $225,000 contained in this bill is a recurring expense to the general fund.

Any unexpended or unencumbered balance would not revert to the general fund.

TECHNICAL ISSUES

The Economic Development Department (EDD) questioned the appropriateness of appropriating

funds to the DFA for this purpose rather than the Commission on Higher Education, which is

specifically responsible for post-secondary educational programs. EDD noted that another more

appropriate agency which deals with workforce training is the Office of Workforce Training and

Development.

POSSIBLE QUESTIONS

1.

Why is it preferable to appropriate these funds to DFA rather than OWTD, PED or CHE.

DH/lg