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

SPONSOR

Harden

DATE TYPED 02-09-05 HB

SHORT TITLE Clovis Agricultural Science Center

SB 579

ANALYST Woods

APPROPRIATION

Appropriation Contained Estimated Additional Impact Recurring

or Non-Rec

Fund

Affected

FY05

FY06

FY05

FY06

$362.0

Recurring General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

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

Relates to HB428, SC524

SOURCES OF INFORMATION

LFC Files

Responses Received From

New Mexico State University (NMSU), College of Agriculture and Home Economics (CAHE)

New Mexico Public Education Department (PED)

Responses Not Received From

New Mexico Commission on Higher Education (CHE)

SUMMARY

Synopsis of Bill

Senate Bill 579 – Making an Appropriation for the Agriculture Science Center at Clovis –

appropriates $362,000 from the general fund to the Board of Regents of New Mexico State Uni-

versity for expenditure in FY06 to enhance services and capability at the Agricultural Science

Center at Clovis. Any unexpended or unencumbered balance remaining at the end of FY06 shall

revert to the general fund.

Senate Bill 579 -- Page 2

Significant Issues:

NMSU-CAHE indicates that this bill provides for a conservation tillage specialist and an ento-

mologist, along with support staff and operating funds, to address unique challenges to the agri-

cultural industry in eastern New Mexico. Further, that agriculture is the economic mainstay of

eastern New Mexico and accounts for 60 percent of the state’s agricultural cash receipts.

NMSU-CAHE additionally observes that producers are confronted with a multitude of chal-

lenges, and additional work is needed to identify cropping and tillage systems that minimize the

potential for wind and water erosion, while maximizing crop yields from natural precipitation

and limited supplemental irrigation. Insect, disease and weed pests cause major production

losses and federal standards for pesticide use limit the availability of pest control options.

NMSU-CAHE suggests that developments in conservation tillage practices and pest control al-

ternatives are necessary to increase farm profitability and sustainability. Subsequent benefits will

be the production of an abundant supply of grain and forage crops that are essential to the long-

term success of the state’s dairy industry. As a secondary benefit, this initiative will create a

cadre of research and extension specialists in eastern New Mexico, who will be able to attract

external (grant) funds, which will further strengthen the research and information delivery pro-

gram.

This program is not included in the CHE 2005-2006 Higher Education Funding Recommenda-

tion.

FISCAL IMPLICATIONS

NMSU-CAHE indicates that the appropriation will be allocated as follows:

•

Agricultural Experiment Station ($223.6); and

•

Cooperative Extension Service ($138.4).

The appropriation of $362,000 contained in this bill is a recurring expense to the general fund;

and any unexpended or unencumbered balance remaining at the end of FY06 shall revert to the

general fund.

ADMINISTRATIVE IMPLICATIONS

NMSU will retain oversight of this project.

CONFLICT, DUPLICATION, COMPANIONSHIP OR RELATIONSHIP

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

Relates to HB428 in that HB428 seeks to appropriate $361,920 from the general fund to the

Board of Regents of New Mexico State University for expenditure in FY06 to fund faculty posi-

tions in water management, dairy production, soil sciences and general agronomy at the Agricul-

tural Science Center at Clovis.

Relates to SC524 in that SC524 seeks to appropriate $500,000 to purchase agricultural equip-

Senate Bill 579 -- Page 3

ment, including a storage barn, for the Agricultural Science Center of New Mexico State Univer-

sity in Clovis.

OTHER SUBSTANTIVE ISSUES

PED reiterates that the Clovis Agricultural Science Center’s work involves the development and

evaluation of new and existing crops and cropping systems to increase agricultural profitability,

and this bill would assist in developing a world-class agricultural research center to help New

Mexico’s agricultural producers in becoming more competitive in the global market by strength-

ening the existing program through the addition of:

•

a conservation tillage specialist who would provide for efficient use of our limited water

resources;

•

an entomology specialist who would improve cultural management techniques and envi-

ronmentally friendly control methods of the state’s insect pests;

•

three support staff that would include a research assistant and a farm laborer; and

•

operational monies.

BFW/njw