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

SPONSOR Rodella

ORIGINAL DATE

LAST UPDATED

2-2-06

HB 585

SHORT TITLE HOUSE DISTRICT 41 LIBRARIES

SB

ANALYST Hadwiger

APPROPRIATION (dollars in thousands)

Appropriation

Recurring

or Non-Rec

Fund

Affected

FY06

FY07

$75.0

Recurring

General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

SOURCES OF INFORMATION

LFC Files

Responses Received From

Department of Finance and Administration (DFA)

Cultural Affairs Department (CAD)

SUMMARY

Synopsis of Bill

House Bill 585 appropriates $75 thousand from the general fund to the Local Government Divi-

sion (LGD) of the Department of Finance and Administration (DFA) in FY07 for libraries in

House District 41, including those in Abiquiu, El Rito, and Dixon.

FISCAL IMPLICATIONS

The appropriation of $75 thousand contained in this bill is a recurring expense to the general

fund. Any unexpended or unencumbered balance remaining at the end of FY07 would revert to

the general fund.

SIGNIFICANT ISSUES

DFA indicated HB585 appropriates funds through LGD to public libraries in Rio Arriba County.

No method of distribution of funds is addressed in the legislation. The libraries belong to the Rio

Arriba Independent Libraries (RAIL) organization, which is a non-profit. To avoid violations of

the anti-donation clause, the appropriation should go directly to Rio Arriba County. The County

House Bill 585 – Page 2

can administer the funds to the libraries based on their own criteria. Rio Arriba Independent Li-

braries (RAIL) is a non-profit organization consisting of four public libraries in Rio Arriba

County. Libraries belonging to the RAIL organization are in Abiquiu, El Rito, Dixon and

Truchas. RAIL receives funding through various grants, foundations and donations from the

communities. The public libraries offer free services including books, internet access, big screen

public movies and document notarization. This appropriation will be used to fund operations of

these four public libraries.

ADMINISTRATIVE IMPLICATIONS

LGD has the capacity to fund and monitor the project, if a specific recipient is identified.

TECHNICAL ISSUES

LGD typically administers appropriations such as this efficiently; however, this will be facili-

tated if the bill clearly designates the government that will be the recipient of appropriation.

DH/nt