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

SPONSOR Gutierrez

ORIGINAL DATE

LAST UPDATED

2/12/07

HB 1007

SHORT TITLE Dona Ana Community Action Agency

SB

ANALYST Propst

APPROPRIATION (dollars in thousands)

Appropriation

Recurring

or Non-Rec

Fund

Affected

FY07

FY08

$100.0

Recurring

General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

SOURCES OF INFORMATION

LFC Files

Responses Received From

Department of Finance and Administration (DFA)

SUMMARY

Synopsis of Bill

House Bill 1007 appropriates $100.0 for Dona Ana County to contract with a community action

agency for services.

FISCAL IMPLICATIONS

The appropriation of $100.0 contained in this bill is a recurring expense to the General Fund.

Any unexpended or unencumbered balance remaining at the end of FY08 shall revert to the

General Fund.

SIGNIFICANT ISSUES

HB 1007 appropriates $100.0 for the Community Action Agency of Southern New Mexico

(CAASNM) to provide operating funds for the Tres Manos Program. Tres Manos is a training

and a micro-enterprise development program targeting low-income families living in the Dona

Ana County’s colonias. The program seeks to increase family resources to improve quality of

life. The focus of the program is skill development in the textile arts including sewing and

spinning. Job creation for program participants is the ultimate goal of the program.

House Bill 1007 – Page

2

The training programs include: (1) learning the art of weaving; (2) learning the many facets of

clothing construction; (3) developing the ability to spin yarn; (4) developing the ability to deal

successfully with life situations; and (5) learning how to run a micro-enterprise business successfully.

There is also a micro-enterprise component where women participants sell the clothing they

make in a boutique in Mesilla. Seventy percent of the sales price goes to the women and the

remaining 30% goes to CAASNM for operating costs and to purchase additional materials.

Currently, the Tres Manos Program is not self supporting although that is the eventual goal of

CAASNM. The $100.0 appropriated in HB 1007 will pay for operating expenses of the training

and micro-enterprise programs, such as purchasing materials, paying the weaving instructor,

rental costs and utilities, and to fund an increased sales and marketing campaign. The marketing

campaign is to let more people in the community know about the boutique in an effort to

increase sales. This $100.0 will help move toward the goal of self sufficiency.

WHAT WILL BE THE CONSEQUENCES OF NOT ENACTING THIS BILL

Tres Manos Program could be in jeopardy due to its current deficit funding. Loss of this program

would further hurt colonias families already facing difficult prospects.

WEP/csd