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

SPONSOR Lujan, B.

DATE TYPED 2/22/05

HB 741/aHEC

SHORT TITLE Study Northern NM Graduate Center

SB

ANALYST Woods

APPROPRIATION

Appropriation Contained Estimated Additional Impact Recurring

or Non-Rec

Fund

Affected

FY05

FY06

FY05

FY06

$100.0

Non-Recurring General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

Relates to the appropriation for the Northern New Mexico State School in the General Appropriations

Act.

SOURCES OF INFORMATION

LFC Files

Responses Received From

New Mexico Commission on Higher Education (CHE)

SUMMARY

Synopsis of HEC Amendment

House Education Committee amendment to HB741 amends the legislation as follows:

On page 1, line 13: After the word “Mexico,” insert the phrase “DECLARING

AN EMERGENCY”

On page 2, between lines 20 and 21: Insert the following new section:

Section 2. EMERGENCY.--It is necessary for the public peace, health and

safety that this act take effect immediately.

This amendment adds no additional appropriation to the legislation.

House Bill 741/aHEC -- Page 2

Synopsis of Original Bill

House Bill 741 – Making an Appropriation for a Study of the Efficacy of Creating a Center for

Graduate Studies and Research in Northern New Mexico – appropriates $100,000 from the gen-

eral fund to the Board of Regents of Northern New Mexico State School for expenditure in FYs

05 And 06 to conduct a study on the efficacy of creating a center for graduate studies and re-

search in northern New Mexico, in which universities offer graduate-level courses leading to

master's and doctoral degrees. The study shall consider at least the following:

•

the need for offering off-campus programs leading to graduate degrees in northern New

Mexico, including projected student enrollments and the potential area job market for

graduates;

•

the fields of study for which there is demonstrated interest and the interest expressed by

public post-secondary educational institutions to offer graduate-level course work at the

center;

•

possible governance structures for the center;

•

operational and capital costs for the center and how programs would be funded through

the higher education funding formula; and

•

whether other in-state and out-of-state post-secondary educational institutions should

participate in offering graduate-level course work at the center.

The Board of Regents of Northern New Mexico State School shall report its findings and rec-

ommendations to the legislature by December 15, 2005.

Any unexpended or unencumbered balance remaining at the end of fiscal year 2006 shall revert

to the general fund.

Significant Issues

CHE indicates that, at present, there is no single center for graduate study and research in north-

ern New Mexico.

CHE further notes that this request was not in the list of priority projects submitted by Northern

New Mexico Community College to the Commission on Higher Education for review. Conse-

quently, this request was not included in the Commission’s funding recommendation for FY06.

FISCAL IMPLICATIONS

The appropriation of $100,000 contained in this bill is a non-recurring expense to the general

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

general fund.

House Bill 741/aHEC -- Page 3

ADMINISTRATIVE IMPLICATIONS

The Northern New Community College will retain oversight of this appropriation.

CHE indicates that statute indicates that the commission must play a role in reviewing the need

for additional instructional programs or centers as follows:

21-1-26.9. Limitation; commission on higher education; review of proposed campuses.

Effective January 1, 1998, no new public post-secondary educational institution, branch

campus or off-campus instructional center shall be created except as specifically created by

the legislature. The commission on higher education shall review any proposal for the es-

tablishment of a new public post-secondary educational institution or campus and submit

its recommendations to the legislature. In reviewing proposals, the commission may con-

sider:

A. provisions for a local mill levy of at least two mills;

B. population base to provide at least five hundred full-time students;

C. at least fifty percent of the costs of initial construction comes from private or

local sources;

D. governance structure;

E. means for acquisition of property, including purchase, lease, donations or any

other means;

F. eligibility and level of funding request of the state; and

G. brokering of extended learning provisions.

OTHER SUBSTANIVE ISSUES

CHE offers the following overview of existing academic programs in northern New Mexico:

•

master degree programs are offered at various centers by New Mexico Highlands

University (NMHU) and the University of New Mexico (UNM);

•

New Mexico Highlands University offers degree-completion and graduate pro-

grams (distance education, internet courses, and on-site faculty) in Rio Rancho,

Santa Fe, Española, Farmington, and Roswell;

•

bachelor and master degree programs are offered in Los Alamos through the

University of New Mexico’s Extended University, concentrations include univer-

sity studies, computer science, chemical-nuclear engineering, electrical and com-

puter engineering, and mechanical engineering. Master degrees are offered in

computer science, as well as the above noted engineering programs, public ad-

ministration and educational leadership; and

House Bill 741/aHEC -- Page 4

•

the UNM – Taos Center offers a bachelor's degree program in university Studies

and master's degree program courses in educational leadership and public ad-

ministration. Other opportunities for the center's students to access upper-

division and graduate-level courses include online and independent study through

correspondence courses.

CONFLICT, DUPLICATION, COMPANIONSHIP, RELATIONSHIP

Relates to the appropriation for the Northern New Mexico Community College in the General Appro-

priations Act.

BFW/yr:lg