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

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

SPONSOR Begaye

ORIGINAL DATE

LAST UPDATED

1/22/08

1/28/08 HJM 11a/HBIC

SHORT TITLE Ship Rock Pinnacle as State Monument

SB

ANALYST Woods

APPROPRIATION (dollars in thousands)

Appropriation

Recurring

or Non-Rec

Fund

Affected

FY08

FY09

NFI

NFI

(Parenthesis ( ) Indicate Expenditure Decreases)

ESTIMATED ADDITIONAL OPERATING BUDGET IMPACT (dollars in thousands)

FY08

FY09

FY10 3 Year

Total Cost

Recurring

or Non-Rec

Fund

Affected

Total

NA

25.0

1

NA

NA

NA

NA

(Parenthesis ( ) Indicate Expenditure Decreases)

Relates to HB321

SOURCES OF INFORMATION

LFC Files

Original Responses Received From

Energy, Minerals and Natural Resources Department (EMNRD)

Department of Cultural Affairs (DCA)

SUMMARY

Synopsis of HBIC Amendment

House Business and Industry Committee amendment to House Joint Memorial 11 clarifies that

the State Parks Division of the Energy, Minerals and Natural Resources Department is being

requested to conduct a feasibility study regarding the designation of the Ship Rock pinnacle as a

state park. Specifically, the amendment addresses the following:

1. On page 1, line 13, strike "MONUMENT" and insert in lieu thereof "PARK".

1

Cost projections are included in the agency response. See Fiscal Implications section for methodology.

House Joint Memorial 11a/HBIC – Page

2

2. On page 2, line 24, strike "monument" and insert in lieu thereof "park".

3. On page 3, line 3, strike "monument" and insert in lieu thereof "park".

The amendment adds no appropriation to the legislation.

Synopsis of Original Bill

House Joint Memorial 11 resolves that the State Parks Division of the Energy, Minerals and

Natural Resources Department be requested to conduct a feasibility study regarding the

designation of the Ship Rock pinnacle as a state monument.

There is no appropriation attached to this legislation.

FISCAL IMPLICATIONS

EMNRD advises that HJM11 directs SPD to undertake a study that would cost SPD around

$25,000 in personnel and other costs (salary, travel, per diem, printing, etc.). SPD does not have

available budget in FY08 to begin the study, SPD has not requested any funding in the FY09

budget to perform the requested study, and HJM 11 does not include any appropriations to SPD

in order to conduct the study. If no funds are appropriated for either fiscal year, study costs

would have to come out of the FY08 and FY09 operating budgets for SPD or not be performed.

SIGNIFICANT ISSUES:

DCA indicates that while the legislation directs EMNRD to undertake a feasibility study of the

Ship Rock Pinnacle as a possible state monument, state monuments are under the auspices of the

Department of Cultural Affairs. Further that the memorial is “as written is somewhat unclear

about whether the intention of the study is to determine whether the Ship Rock Pinnacle should

be designated a state monument or a state park." The Department of Cultural Affairs Policy On

Cultural Properties) (4.51.26 NMAC) outlines the procedures through which a cultural property

may be acquired by the State Monuments Division and designated a state monument. This

policy states that should there be sufficient interest in prehistoric or historic sites of statewide or

regional significance to warrant their inclusion within the state monument system, a feasibility

study shall be conducted by the Museum of New Mexico.

EMNRD also notes that although the language of the legislation requests a feasibility study by

SPD regarding the designation of the Shiprock Pinnacle as a “state monument," in fact, state

monuments are managed by the Department of Cultural Affairs and SPD has no statutory

authority over state monuments. Further, SPD does not undertake feasibility studies for proposed

state monuments and does not manage monuments. The stated intent of HJM 11 is for the Ship

Rock Pinnacle to be included as a monument. Therefore, EMNRD proposes that HJM11 should

be revised (see Amendments) to direct the study be performed by the Department of Cultural

Affairs, State Monuments Division.

EMNRD adds that “an important additional consideration is that the Shiprock Pinnacle is located

on Navajo Nation land, which raises significant questions regarding sovereignty, legal

jurisdiction, cultural sensitivity, and future management."

House Joint Memorial 11a/HBIC – Page

3

CONFLICT, DUPLICATION, COMPANIONSHIP, RELATIONSHIP

This legislation is related to HB 321 which seeks to appropriate $15,000 to EMNRD to fund a

feasibility study as to the designation of Ship Rock pinnacle as a state monument.

OTHER SUBSTANTIVE ISSUES

As background, DCA advises Ship Rock Pinnacle is a geologic feature within the Navajo Nation,

rising one thousand four hundred feet above the surrounding environment. Known in the Navajo

language as "tse bit'ta'i"—rock with wings—the Ship Rock Pinnacle is of great religious and

historical significance to the Navajo Nation and is associated with a number of Navajo myths

and ceremonies. Ship Rock Pinnacle is without doubt an environment feature of New Mexico

worthy of recognition and protection. In May 1975 the Ship Rock Pinnacle was designated by

the United States National Park Service as a National Natural Landmark. The Navajo Nation has

duly recommended that the Ship Rock Pinnacle be designated as an official park of the state of

New Mexico, and the Ship Rock chapter of the Navajo Nation unanimously adopted a resolution

requesting Governor Bill Richardson to designate the Ship Rock Pinnacle as a New Mexico state

park.

AMENDMENTS

EMNRD suggests the following:

1.

On page 2, line 21 and 22, replace “state parks division of the energy, minerals and

natural resources department" with “state monuments division of the department of

cultural affairs"

2.

On page 2, line 25, and on page 3, line 1, replace “state parks division of the energy,

minerals and natural resources department" with the “state monuments division of the

department of cultural affairs"

3.

On page 3, lines 7, 8 and 9, replace “energy, minerals and natural resources department,

the director of the state parks division" with “of the department of cultural affairs, the

director of the state monuments division"

BFW/bb