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

SPONSOR Papen

DATE TYPED 2/5/05

HB

SHORT TITLE NMSU Equestrian Program

SB 281

ANALYST Woods

APPROPRIATION

Appropriation Contained Estimated Additional Impact Recurring

or Non-Rec

Fund

Affected

FY05

FY06

FY05

FY06

$300.0

Recurring

General

(Parenthesis ( ) Indicate Expenditure Decreases)

Relates to the appropriation for New Mexico State University in the General Appropriations Act.

Relates to HB17, Duplicates HEC Committee Substitute for HB17

Relates to SB345

SOURCES OF INFORMATION

LFC Files

Responses Received From

New Mexico State University (NMSU) (HB17)

New Mexico Commission on Higher Education (CHE) (HB17)

SUMMARY

Synopsis of Bill

Senate Bill 281 – Making an Appropriation for the Equestrian Program at New Mexico State

University – appropriates $300,000 from the general fund to the Board of Regents of New Mex-

ico State University for expenditure in FY06 for the equestrian program. Any unexpended or un-

encumbered balance remaining at the end of FY06 shall revert to the general fund.

Significant Issues

NMSU notes that this bill will enable NMSU to retain its Division 1-A membership classifica-

tion in the National Collegiate Athletics Association (NCAA) for all intercollegiate sports spon-

sored by the university. Further, that this action is necessary as new membership criterion estab-

lished by the NCAA require that for an institution to be designated a Division 1-A program – the

highest level of competition in the NCAA – it must sponsor a minimum of sixteen sports. NMSU

Senate Bill 281 -- Page 2

has elected to add women’s equestrian as a sixteenth sport so as to meet the newly established

sports sponsorship criterion for the NCAA’s Division 1-A membership classification.

CHE indicates that this request was not included in the list of priority projects submitted by the

NMSU Board of Regents to CHE for review. Accordingly, this request was not included in the

commission’s funding recommendation for FY06.

PERFORMANCE IMPLICATIONS

NMSU indicates that women’s equestrian – to include scholarships, coaching and an athletic

trainer position – begins competition in spring 2005.

FISCAL IMPLICATIONS

The appropriation of $300,000 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 gen-

eral fund.

ADMINISTRATIVE IMPLICATIONS

NMSU would retain oversight of the program.

CONFLICT, DUPLICATION, COMPANIONSHIP, RELATIONSHIP

Relates to the appropriation for NMSU in the General Appropriations Act.

Relates to HB17 and duplicates HEC Committee Substitute for HB17 in that HEC Committee

Substitute for HB17 also seeks to appropriate $300,000 from the general fund to the Board of

Regents of New Mexico State University for expenditure in FY06 for the equestrian program.

Relates to SB345 in that SB345 seeks to appropriate $1,647,500 from the general fund to the

Board of Regents of Western New Mexico University for expenditure in fiscal years 2005 and

2006 to fund athletics at both school and conference levels and to meet NCAA certification crite-

ria.

WHAT WILL BE THE CONSEQUENCES OF NOT ENACTING THIS BILL.

NMSU suggests that scholarships, coaching staff positions and other operating expenses within

the current sports programs sponsored by NMSU may need to be cut in order to meet the new

NCAA Division 1-A membership requirements. Further, that these cuts would impact negatively

upon student-athlete welfare issues and upon the competitiveness of the athletics program at

NMSU.

BFW/yr