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

SPONSOR Lopez

ORIGINAL DATE

LAST UPDATED

2/12/07

2/20/07 HB

SHORT TITLE PUBLIC BENEFIT APPLICATIONS PROCESSING SB SJM 16

ANALYST Weber

APPROPRIATION (dollars in thousands)

Appropriation

Recurring

or Non-Rec

Fund

Affected

FY07

FY08

NFI

(Parenthesis ( ) Indicate Expenditure Decreases)

SOURCES OF INFORMATION

LFC Files

SUMMARY

Synopsis of Bill

Senate Joint Memorial 16 reports that one-fifth of all New Mexicans live at or below the federal

poverty level, while another twenty-five percent live below two hundred percent of the federal

poverty level. New Mexico was recently rated first in the nation for food insecurity. However

one-third of all New Mexicans who are eligible for food stamps are not receiving food stamps.

One-third of all New Mexicans who live below the federal poverty level are without health

insurance, and one-third of those who earn between one hundred percent and one hundred

eighty-five percent of the federal poverty level are uninsured. New Mexico has the nation's

second-highest percentage of people living without health insurance coverage. Also, almost one-

third of New Mexican children who are eligible for Medicaid are not enrolled.

Health care providers and advocates for the poor report that the current application procedures

for public benefits are burdensome and prevent eligible New Mexicans from receiving the

benefits to which they are entitled.

The combat some of these issues, HSD is requested to:

A.

conduct additional outreach so that New Mexicans who are potentially eligible for

public benefits are made aware of existing programs and the steps they must take to

apply for them;

Senate Joint Memorial 16 – Page 2

B.

use uniform and simple application procedures and policies in all field offices, so that

eligible applicants are not incorrectly denied benefits;

C.

ensure that applicants receive a receipt for their application so that they can provide

the date and place they applied;

D.

assist all applicants in both filling out the application and obtaining the verifications

necessary to receive benefits;

E.

ensure that anyone who applies for a benefits program be screened for all programs

for which the person may be eligible;

F.

ensure that applicants do not have to wait more than one hour to see a caseworker to

receive assistance with benefits programs;

G.

translate all forms into Spanish and, upon request, other languages used by the

clients; and

H.

identify applicants needing special assistance with the application procedures and

give them that assistance;

The Human Services Department is requested to track the use of the outlined procedures and

report to the interim Legislative Welfare Reform Oversight Committee concerning its progress in

the fall of 2007 and the fall of 2008

FISCAL IMPLICATIONS

HSD indicates there will be additional administrative costs for fulfilling some of the

recommendations such as monitoring, and development of additional forms.

The following are among the procedures requiring addition funds.

•

Conduct additional outreach for public benefits although no appropriation for expanding

outreach is included.

•

Ensure that applicants do not have to wait more than one hour to see a caseworker to

receive assistance with benefits programs. This recommendation is difficult to administer

based on existing staff caseloads and number of applicants served in the field office.

•

Translate all forms into Spanish and, upon request, other languages used by the clients,

HSD has translated most of the application forms into Spanish and adheres to the Civil

Rights Act in administering the programs along with federal program administration

requirements for serving participants and applicants with limited English proficiency.

Additional translating and printing of forms will also have a fiscal impact. Changing all

notices through the automated eligibility system (ISD2) would be extremely complex and

a significant fiscal impact as the current eligibility program does not have that capability.

SIGNIFICANT ISSUES

HSD reports assistance is provided to about 17,000 low-income families for TANF cash

assistance, about 1,900 households for disability assistance (General Assistance), over 90,000

households for Food Stamps, and over 200,000 Medicaid cases along with other large programs

as Low Income Home Energy Assistance Program and The Emergency Food Assistance

Program (TEFAP).

Senate Joint Memorial 16 – Page 3

PERFORMANCE IMPLICATIONS

HSD’s indicates its strategic plan and performance measures already include many of the

elements of SJM 16, including increasing the:

•

number of participants in Medicaid and SCHIP;

•

percent of New Mexicans with health insurance;

•

number of children and families participating in Food Stamp Program;

•

percent of expedited Food Stamp cases meeting federal required measures for

timeliness of benefits; and

•

number of elderly participating in the Food Stamp Program.

MW/mt