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

SPONSOR Ortiz y Pino

DATE TYPED 1/27/2005 HB

SHORT TITLE CYFD Child and Adult Food Program Software

SB 183

ANALYST Dunbar

APPROPRIATION

Appropriation Contained Estimated Additional Impact Recurring

or Non-Rec

Fund

Affected

FY05

FY06

FY05

FY06

$75.0

Non-recurring General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

SOURCES OF INFORMATION

LFC Files

Responses Received From

Children Youth and Families Department (CYFD)

SUMMARY

Synopsis of Bill

Senate Bill 183 appropriates $75 thousand from the general fund to Children Youth and Families

Department for purchase or development of a software program for use in the Child and Adult

Care Food Program (CACFP).

Significant Issues

CACFP is a national USDA Child Nutrition Program administered in New Mexico through

CYFD. CACFP reimburses child care providers for serving nutritious meals to children in their

care. The current software application used by CYFD is outdated and no longer meets the needs

of the Department or local sponsoring agencies to track and report federally required information

Senate Bill 183 -- Page 2

PERFORMANCE IMPLICATIONS

The software update will allow local sponsoring agencies to submit their monthly claim for re-

imbursement electronically, which will greatly improve the processing time for claims and re-

duce overall administrative burden

FISCAL IMPLICATIONS

The appropriation of $75 thousand 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.

ADMINISTRATIVE IMPLICATIONS

The CACFP nutrition program in New Mexico currently serves over 28,000 children each day

through over 6,000 home providers statewide, and processes over 15 million dollars in claims

each month. The appropriation would allow CYFD and sponsoring organizations to store and

track program information on CACFP participants to process claims for reimbursement more

efficiently, and would enable CYFD to identify possible instances of fraud.

WD/sb