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

SPONSOR Begaye

ORIGINAL DATE

LAST UPDATED

1-23-06

HB 15

SHORT TITLE Culturally Appropriate Tourist Activities

SB

ANALYST Hadwiger

APPROPRIATION (dollars in thousands)

Appropriation

Recurring

or Non-Rec

Fund

Affected

FY06

FY07

$50.0

Non-Recurring

General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

SOURCES OF INFORMATION

LFC Files

Responses Received From

Indian Affairs Department (IAD)

Department of Finance and Administration (DFA)

Tourism Department (TD)

SUMMARY

Synopsis of Bill

House Bill 15 appropriates $50 thousand from the general fund to the Department of Finance and

Administration for an existing Indian center in Farmington that promotes tourism and educa-

tional information that is culturally appropriate and traditionally oriented for use in FY06 and

FY07. The bill contains an emergency clause.

FISCAL IMPLICATIONS

HB15 appropriates non-recurring $50 thousand general fund for expenditure in FY06 and FY07.

SIGNIFICANT ISSUES

According to the Department of Finance and Administration (DFA), the $50 thousand appropria-

tion in this bill would go to the Farmington Intertribal Indian Organization, a nonprofit organiza-

tion which has been in existence for over 30 years. The appropriation will be partially used ($15

House Bill 15 – Page 2

thousand) to pay the salary of a coordinator who will coordinate the cultural activities to be

funded under this legislation. Additionally, $6 thousand will be used to fund a planning group to

monitor the activities funded under this legislation. The remainder of the funding will pay for

cultural activities put on by the nonprofit for local residents and tourists. Planned activities in-

clude an arts and craft bazaar, a youth cultural awareness conference, a Navajo song and dance

event, and an entrant into the Farmington city parade. Many of the funded activities are youth

oriented.

According to the Department of Indian Affairs (DIA), one of the top three most important rea-

sons people visit New Mexico is Indian culture. The New Mexico Indian Tourism Association

(NMITA), in partnership with the New Mexico Tourism Department (NMTD), is developing

educational programs for tribal communities that promote Indian tourism in a culturally sensitive

manner. DIA noted that, because tourism development in tribal communities is a sensitive issue,

any tourism education project would need to approach the project on the terms and conditions of

each individual tribe. Tourism in tribal communities should consider all available tribal re-

sources and take an approach that is sensitive to cultural privacy.

NMTD indicated support for HB15 as a means to promote tourism and educate visitors to New

Mexico.

PERFORMANCE IMPLICATIONS

NMTD indicated that the increased tourism promotion and greater educational resources for visi-

tors from HB15 may result in increased visitation to New Mexico, a key performance measure

for NMTD.

ADMINISTRATIVE IMPLICATIONS

DIA noted that HB15 directs that the appropriation be the Local Government Division of the

Department of Finance and Administration. However, appropriating the funds to the Tourism

Department may better serve the intent of HB15. DIA indicated the Tourism Department may be

better equipped to administer, monitor, and provide training and technical assistance to the In-

dian center, especially considering its partnership with NMITA.

DFA noted that the appropriation in HB15 will be administered through DFA which already has

the staff and the knowledge to easily fund and monitor this project.

DH/yr:nt