0001|                               AN ACT
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0002| MAKING AN APPROPRIATION FOR A NATURAL GAS PIPELINE TRANSPORTATION STUDY.
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0003| 
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0004| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
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0005|      Section 1.  APPROPRIATION--FINDINGS--PURPOSE.--
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0006|           A.  The legislature finds that:
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0007|                (1)  because of the lack of transportation facilities,
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0008| natural gas produced in the San Juan basin of New Mexico is essentially
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0009| marketable only in western markets;
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0010|                (2)  the availability of only one market has caused,
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0011| and will continue to cause, both the price and volume of natural gas
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0012| produced in the San Juan basin to be depressed when compared to gas
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0013| produced elsewhere and marketed in multiple markets;
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0014|                (3)  New Mexico ranks second among the states in
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0015| onshore natural gas reserves and will likely continue to be a major
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0016| producer of natural gas for the foreseeable future;
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0017|                (4)  unless additional markets are available for
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0018| natural gas produced in New Mexico, state revenues derived from
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0019| royalties, production taxes and other sources will continue to be
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0020| depressed; and
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0021|                (5)  a pipeline, financed by the most feasible method,
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0022| that is capable of transporting natural gas to additional markets may,
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0023| in both the short and long term, be in the best interests of New Mexico.
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0024|           B.  The purpose of this section is to provide for a
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0025| comprehensive study of the costs and benefits of financing, constructing
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0001| and operating a pipeline to transport natural gas produced in New Mexico
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0002| to additional markets.
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0003|           C.  Two hundred fifty thousand dollars ($250,000) is
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0004| appropriated from the general fund to the economic development
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0005| department for expenditure in fiscal year 1997 for the purpose of
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0006| conducting studies and research pursuant to the Resource Transportation
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0007| and Passenger Transportation Development Act on the financing,
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0008| construction and operation of a natural gas pipeline to transport
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0009| natural gas to eastern markets.  Any unexpended or unencumbered balance
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0010| remaining at the end of fiscal year 1997 shall revert to the general
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0011| fund.             
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0012| 
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0013|                                                              HB
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0014| 46
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0015|                                                              Page 
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