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.

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

SPONSOR SFC

ORIGINAL DATE

LAST UPDATED

2/19/07

HB

SHORT TITLE Firefighters’ Survivors Supplemental Benefits

SB 329/SFCS

ANALYST Earnest

REVENUE (dollars in thousands)

Estimated Revenue

Recurring

or Non-Rec

Fund

Affected

FY07

FY08

FY09

($50.0)

*($0.1) Recurring Fire Protection Fund

$50.0

*$0.1 Recurring

Firefighters’

Survivors Fund

(Parenthesis ( ) Indicate Revenue Decreases)

*Unknown but there may be a shift of revenue from the fire protection fund to the newly created

firefighters’ survivors benefit fund.

SOURCES OF INFORMATION

LFC Files

Energy, Minerals, and Natural Resources Department (EMNRD)

SUMMARY

Synopsis of Bill

The Senate Finance Committee Substitute for Senate Bill 329 establishes the Firefighters’

Survivors Fund, creates the Firefighters’ Survivors Supplemental Death Benefits Review

Committee, provides supplemental death benefits for surviving spouses and family, and

establishes a distribution to the new fund.

The bill defines a firefighter as any full- or part-time member or a volunteer member of a fire

department that is part of or administered by the state or any political subdivision of the state and

any red-carded firefighter trained in wildland firefighting skills and hired by the State of New

Mexico.

The State Fire Marshal will administer the Firefighters’ Survivors Fund, which will consist of all

gifts, donations and bequests of money as well as appropriations and distributions to the fund.

The fund will not revert to the general fund.

Senate Bill 329/SFCS – Page

2

The Firefighters’ Survivors Supplemental Death Benefits Review Committee will consist of the

Attorney General, the President of the New Mexico Fire Chief’s Association and the State

President of the New Mexico Professional Firefighters Association or their designees. The

Committee will determine whether a firefighter has been killed in the line of duty and advice the

State Fire Marshal of the determination. In addition to any other death benefit, the beneficiaries

will be paid $50,000 from the fund as a supplemental death benefit whenever a firefighter is

killed in the line of duty.

The benefit will be paid entirely to the surviving spouse. If no spouse exists, the benefit will be

paid in pro rata shares to all surviving children. If there are no children or spouse, the benefit will

be paid to the surviving parents of the firefighter.

The bill would establish an annual distribution from the fire protection fund to the firefighters’

survivors fund, whenever the state fire marshal certifies that the balance in the fund is less than

$50,000.

FISCAL IMPLICATIONS

The bill establishes a minimum balance of $50,000 in the firefighters’ survivors fund and, to

maintain the balance, creates an annual distribution from the fire protection fund. Thus, the

revenue impact to the fire protection fund would be $50,000 in FY08. The FY09 impact is

unknown.

Continuing Appropriations language

This bill creates a new fund and provides for continuing appropriations. The LFC has concerns

with including continuing appropriation language in the statutory provisions for newly created

funds, as earmarking reduces the ability of the legislature to establish spending priorities.

SIGNIFICANT ISSUES

According to EMNRD’s analysis of the original bill, a firefighter’s income is often relatively

small and the firefighter does not have sufficient life insurance to provide for the family if killed

in the line of duty. There have been instances where families of firefighters killed in the line of

duty have been left without adequate financial resources.

The Forestry Division of EMNRD has approximately 46 full-time, red card qualified employees

whose families would qualify for this benefit if killed in the line of duty. During a severe fire

season, the division may also employ approximately 200 additional emergency firefighters,

whose families would also qualify.

CONFLICT, DUPLICATION, COMPANIONSHIP, RELATIONSHIP

The SFC substitute for Senate Bill 329 relates to House Bill 377 and House Bill 484. HB 484

would establish a special license plate from which fees would be distributed to the fund.

BE/csd