Fiscal impact reports (FIRs) are prepared by the Legislative Finance Committee (LFC) for standing finance

committees of the NM Legislature. The LFC does not assume responsibility for the accuracy of these reports

if they are used for other purposes.

Current FIRs (in HTML & Adobe PDF formats) are a vailable on the NM Legislative Website (legis.state.nm.us).

Adobe PDF versions include all attachments, whereas HTML versions may not. Previously issued FIRs and

attachments may be obtained from the LFC in Suite 101 of the State Capitol Building North.

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

SPONSOR J Campos

ORIGINAL DATE

LAST UPDATED

1/31/07

2/23/07 HB 698/aHEVC

SHORT TITLE

Automatic Recount Procedures, Creating a Fund and

Making an Appropriation

SB

ANALYST Ortiz/McOlash

APPROPRIATION (dollars in thousands)

Appropriation

Recurring

or Non-Rec

Fund

Affected

FY07

FY08

$500.

Recurring

General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

Duplicates SB449

REVENUE (dollars in thousands)

Estimated Revenue

Recurring

or Non-Rec

Fund

Affected

FY07

FY08

FY09

$500.

Recurring Automatic Recount

Fund

(Parenthesis ( ) Indicate Revenue Decreases)

SOURCES OF INFORMATION

LFC Files

Responses Received From

Attorney General’s Office (AGO)

Administrative Office of the Courts (AOC)

Secretary of State (SOS)

SUMMARY

Synopsis of HVEC Amendment

The House Voters and Elections Committee (HVEC) amendment to House Bill 698 would:

(a) make the bill applicable to “state" candidates rather than “statewide"

House Bill 698/aHVEC – Page

2

candidates;

(b) substitute the state canvassing board for the county canvassing boards in

the initial notification process;

(c) delete the requirement that the Secretary of State create new rules;

(d) make the automatic recount process follow existing statutes in the Election

Code; and

(e) update the ballot terminology in Section 1-14-16 to reflect the use of paper

ballots rather than voting machines and to do away with the distinctions among

ballots, emergency paper and absentee ballots for recount purposes.

Synopsis of Bill

House Bill 698 would provide a requirement for automatic recounts of any federal or statewide

election where the margin of victory is less than one-half of one percent of the total votes cast.

The bill lays out requirements for the Secretary of State to implement those recounts and a means

of forcing compliance by authorizing the use of Mandamus. It also creates a means of funding

through the establishment of an election recount fund and an initial appropriation for FY08 of

$500,000.00. Any unspent funds up to $1,500,000.00 would remain in the Recount Fund and

would not revert to the General Fund. However, any unspent excess over $1,500,000.00 would

revert to the General Fund.

FISCAL IMPLICATIONS

The appropriation of $500 thousand contained in this bill is a RECURRING expense to the

GENERAL FUND. Any unexpended or unencumbered balance remaining at the end of a

FISCAL YEAR shall revert to the GENERAL FUND.

SIGNIFICANT ISSUES

According to the AGO, the bill would create an initial appropriation of $500,000.00 for FY08.

There is no known figure as to how much a recount would cost or how many would be required

in any given period of time. There is no language to address what would happen if there were

multiple recounts in an election cycle and the available funds were depleted. Also, the bill does

not address whether or not the $500,000.00 appropriation is to be made each and every year or

only in years with an election cycle applicable to the specific requirements of this bill – namely

when New Mexico has a federal or statewide election.

CONFLICT, DUPLICATION, COMPANIONSHIP, RELATIONSHIP

Duplicates SB449

POSSIBLE QUESTIONS

Why should the fund be limited to a maximum of $1.5 million.

Is there data from other states with automatic recounts to support the funding provided in this

bill.

EO/mt