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(Parenthesis ( ) Indicate Expenditure Decreases)

Relates to SB 246

SOURCES OF INFORMATION

State Department of Public Education (SDE)

Office of Indian Affairs (OIA) - no response

SUMMARY

Synopsis of HEC Amendment

The House Education Committee amendment proposes that the Native American Education Fund be administered by the Office of Indian Affairs. The amendment would also allow the funds to be expended in FY99 and subsequent years.

Synopsis of Bill

House Bill 279 creates the Native American Education Fund and requires the total amount of money submitted to the State by the Indian nations, tribes or pueblos pursuant to gaming revenue-sharing agreements be transferred to the Native American Education Fund. This bill also appropriates $31,632.8 from the general fund to the Native American Education Fund for projects selected by the Legislature.

Significant Issues

The money in the Native American Education Fund will fund the following: infrastructure for schools, including post-secondary schools, provided that they have been established in the state by the federal government or an Indian nation, tribe or pueblo to provide education to tribal members or are public schools in which the total Native American student membership is ten percent or greater; scholarships for students attending post-secondary educational institutions in New Mexico that were established by the federal government or an Indian nation, tribe or pueblo located in whole or in part in the state; and to augment the state funding of schools to allow programs or further the cultural competency of Native American students.

Each year, the Legislature shall designate projects to be funded from the Native American Education Fund.

FISCAL IMPLICATIONS

House Bill 279 appropriates $31,632.8 from the general fund to the Native American Education Fund for expenditure in FY99 and subsequent fiscal years. This will be a non-reverting fund. All interest or earnings made from investments shall accrue to the fund and be available for appropriation by the Legislature.

This year, receipts for two quarters from gaming compacts total approximately $16.0 million and based on current revenue projections, it is estimated that approximately $32.0 million dollars per year will be realized from gaming compacts.

The HEC amendment would allow the funds to be expended in FY99, which results in the possibility of expenditures exceeding total revenues at some point during the remainder of the fiscal year.

CONFLICT/DUPLICATION/COMPANIONSHIP/RELATIONSHIP

This bill partially duplicates SB 246.

TECHNICAL ISSUES

Page 1, Lines 19 through 24, it is unclear as to what is meant by "prior to the transfer by Indian nations, tribes or pueblos".

OTHER SUBSTANTIVE ISSUES

According to SDE, some individual public schools in districts that serve Native American students would not meet the 10 percent requirement in this bill.

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