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 Leavell

ORIGINAL DATE

LAST UPDATED

1/24/2007

HB

SHORT TITLE Soil & Water Conservation Districts

SB 12

ANALYST McOlash

APPROPRIATION (dollars in thousands)

Appropriation

Recurring

or Non-Rec

Fund

Affected

FY07

FY08

$550.0

Recurring

General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

Relates to Senate Bill 12

SOURCES OF INFORMATION

LFC Files

Responses Received From

New Mexico State University – Department of Agriculture (NMSU-DA)

Environment, Mineral, & Natural Resources Department (EMNRD)

Higher Education Department (HED)

SUMMARY

Synopsis of Bill

Senate Bill 12 appropriates $550,000 from the General fund to the Board of Regents of NMSU

for expenditure in FY 2008 for operating expenses of the Soil and Water Conservation

Commission (SWCC) and for management of Soil and Water Conservation Districts (SWCD)

and operation of district programs and projects pursuant to Section 73-20-25 through 73-20-48

NMSA 1978.

FISCAL IMPLICATIONS

The appropriation of $550,000 contained in this bill is a recurring expense to the General Fund.

Any unexpended or unencumbered balance remaining at the end of FY 2008 shall revert to the

General Fund.

Senate Bill 12 – Page

2

SIGNIFICANT ISSUES

Senate Bill 12 supports the operation and management of 47 soil and water conservation

districts. The SWCC is a seven member commission appointed by the Governor, but currently

has no staff and no mechanism for receiving or distributing funds. Staffing for the commission is

provided by the New Mexico Department of Agriculture (NMDA). Fiscal management,

oversight and accountability functions are conducted by NMDA and New Mexico State

University. The Soil and Water Conservation District Act (73-20-25 through 73-20-48 NMSA

1978) states that the Soil and Water Conservation Commission may advise NMDA and the

NMSU Board of Regents on any matter affecting soil and water conservation

.

The SWCC does not currently receive or manage a budget of its own; non-employee travel and

mileage is reimbursed to SWCC members from the NMDA budget.

NMSU-DA Analysis

An analysis by the NMSU general counsel indicates that SB 12 expands the authority and

powers of the SWCC beyond the statutory provisions which created the SWCC. The SWCC’s

role is advisory to the NMSU board of regents. The New Mexico department of agriculture

(NMDA) works directly with the SWCC on behalf of the board of regents in carrying out SWCD

programs and in its work with the SWCC.

The SWCDs received an additional $550,000 in FY07 for district operations. Until FY07

SWCDs had not received any increases to their district operations budgets in approximately ten

years. The fiscal implication of the FY08 appropriation is not clear because the legislation

provides for funding to the SWCC and for the management of districts and operation of

programs. The legislation does not specify what amount of funding would go to which elements

named in SB 12. In FY07 the funding was divided equally among the 47 SWCDs in the state;

that would not be the case in FY08.

This request was submitted to HED by New Mexico State University (NMSU) but was not

included in the Department’s funding recommendation for FY08.

ADMINISTRATIVE IMPLICATIONS

SB 12 creates a potential unintended conflict between the SWCC and the SWCDs because the

SWCC acts as an advisory body to NMDA with other clear responsibilities to SWCDs as

delineated in the statutory language in Sections 73-20-25 through 73-20-48.

CONFLICT, DUPLICATION, COMPANIONSHIP, RELATIONSHIP

Senate Bill 12 relates to Senate Bill 62 which provides federal matching funds to NMSU for

water conservation and resource restoration.

AMENDMENTS

As proposed by the New Mexico Department of Agriculture:

Amend Senate Bill 12 to remove the language naming the SWCC as a recipient

Senate Bill 12 – Page

3

of funding; or create a legal mechanism to allow the SWCC to receive and

manage its own budget.

BM/csd