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

SPONSOR Smith

DATE TYPED 3/10/05

HB

SHORT TITLE Animas Valley Watershed Hydrographic Survey

SB 1028

ANALYST Aguilar

APPROPRIATION

Appropriation Contained Estimated Additional Impact Recurring

or Non-Rec

Fund

Affected

FY05

FY06

FY05

FY06

$100.0

Recurring General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

Duplicates HB589

SOURCES OF INFORMATION

LFC Files

Responses Received From

New Mexico Department of the Agriculture (NMDA)

Attorney General’s Office (AGO)

Office of the State Engineer (OSE)

SUMMARY

Synopsis of Bill

Senate Bill 1028 appropriates $100 thousand from the general fund to the Office of the State En-

gineer for the purpose of accomplishing a hydrographic survey of the Animas valley watershed

and an adjudication of the water rights in the watershed.

SB 1028 declares an emergency.

Significant Issues

The Animas Valley compromises approximately 425 square miles in the boot heel region of New

Mexico. The primary source of water in the region is groundwater, with no perennial source of

water available. This bill will provide funding to complete the hydrographic survey of the Ani-

mas Valley Underground Water Basin in southwestern New Mexico. The State Engineer was

Senate Bill 1028 -- Page 2

ordered to complete the adjudication of the Animas Valley Underground Water Basin by the

Sixth Judicial Court in 2004.

The State Engineer notes the groundwater of this region flows north and west, providing poten-

tial impact scenarios on the Gila River in the Red Rock and Virden Valley sub-areas. A geo-

thermal anomaly also exists in the basin that is the subject of suits between users and the federal

government. Further, the basin boundaries are in close proximity to the US/Mexico border. De-

velopment in Mexico in the recent past has been substantial.

The cost of both a hydrographic survey and water rights adjudication are likely to be substan-

tially larger than $100 thousand.

PERFORMANCE IMPLICATIONS

The completion of adjudications in the basin would assist the department in achieving perform-

ance targets relating to the percent of adjudications complete in the state.

FISCAL IMPLICATIONS

The appropriation of $100 thousand contained in this bill is a recurring expense to the general

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

revert to the general fund.

PA/lg