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

SPONSOR Nava

ORIGINAL DATE

LAST UPDATED

2/8/07

HB

SHORT TITLE University Science Course Funding Formula

SB 499

ANALYST Earp

APPROPRIATION (dollars in thousands)

Appropriation

Recurring

or Non-Rec

Fund

Affected

FY06

FY07

$582.0

Recurring

General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

Duplicates House Bill 567

Relates to Appropriation in the General Appropriation Act

Responses Received From

Higher Education Department (HED)

SUMMARY

Synopsis of Bill

Senate Bill 499 appropriates $582,000 from the general fund to the Higher Education Depart-

ment to equalize the funding for lower division science courses at two-year institutions with the

funding provided to the universities for this purpose.

FISCAL IMPLICATIONS

The appropriation of $582,000 contained in this bill is a recurring expense to the general fund.

Any unexpended or unencumbered balance remaining at the end of fiscal year 2007 shall revert

to the general fund. HED reports that the appropriation will be distributed as follows: New Mex-

ico State University -Dona Ana branch $10,900; Albuquerque Technical Vocational Institute

$82,000; Luna Community College $23,400; New Mexico Junior College $3,300; and San Juan

College $462,200. (There is a $200 rounding difference from the total in the bill.)

As of the date of this analysis, it is noted that the funding adjustment proposed in this legislation

has been incorporated in the “Instruction & General” appropriations made to these institutions in

the General Appropriation Act of 2006 (HAFCS/HB2 et al).

Senate Bill 499 – Page

2

SIGNIFICANT ISSUES

This proposal was recommended by HED and incorporated in the Executive funding recommen-

dation for fiscal year 2007.

ADMINISTRATIVE IMPLICATIONS

This proposal would have little administrative impact on HED. The funding formula calcula-

tions for future years would automatically incorporate this adjustment.

CONFLICT, DUPLICATION, COMPANIONSHIP, RELATIONSHIP

House Bill 567 and Senate Bill 499 are duplicate measures.

OTHER SUBSTANTIVE ISSUES

At its December 2005 meeting, the HED Higher Education Formula Enhancement Taskforce de-

termined the $582,000 dollar amount as the technical adjustment for funding the science clusters

for two-year institutions at the same rate as the universities. This is the basis for the figures that

are included in this bill.

DKE/mt