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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 2/19/05
HB
SHORT TITLE County Commission Property Leases
SB 740
ANALYST Hadwiger
APPROPRIATION
(in $000s)
Appropriation Contained Estimated Additional Impact Recurring
or Non-Rec
Fund
Affected
FY05
FY06
FY05
FY06
NFI
(Parenthesis ( ) Indicate Expenditure Decreases)
SOURCES OF INFORMATION
LFC Files
Responses Received From
Department of Finance and Administration (DFA)
Agency and Long-Term Care Department (ALTCD)
SUMMARY
Synopsis of Bill
Senate Bill 740 would allow boards of county commissioners to contract the use of county build-
ings to nonprofit organizations with a history of service to sick and indigent persons, which ser-
vice could legally be expected to be provided by a governmental entity, at rates the organizations
can be reasonably expected to pay while maintaining their full service to their constituencies.
The contracts would be required to set forth the respective value of services provided by the
nonprofit organizations to county residents and relative value of the use of the property provided
by the county.
Significant Issues
DFA indicated SB740 might be beneficial to counties by providing low-cost lease space in ex-
change for relieving county governments of the costs of providing some services to sick and in-
digent persons.
pg_0002
Senate Bill 740 -- Page 2
FISCAL IMPLICATIONS
There would be no direct cost to the state from SB740.
OTHER SUBSTANTIVE ISSUES
Article IX, Section 14 of the New Mexico Constitution makes an exception to the anti-donation
clause: “Nothing in this section prohibits the state or any county or municipality from making
provision for the care and maintenance of sick and indigent persons.”
POSSIBLE QUESTIONS
1.
Would passage of SB740 raise any questions with respect to the anti-donation clause.
DH/yr