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





SPONSOR: Knauer DATE TYPED: 03/02/99 HB 700
SHORT TITLE: Interstate Stream Commission's Power and Duties SB
ANALYST: Pickering


APPROPRIATION



Appropriation Contained
Estimated Additional Impact
Recurring

or Non-Rec

Fund

Affected

FY99 FY2000 FY99 FY2000
NFI

(Parenthesis ( ) Indicate Expenditure Decreases)



Duplicates/Conflicts with/Companion to/Relates to



SOURCES OF INFORMATION



New Mexico Environment Department (NMED)

Office of the State Engineer/Interstate Stream Commission (OSE/ISC)



SUMMARY



Synopsis of Bill



HB 700 proposes to broaden the powers and duties of the ISC to include the protection of the natural environment dependent upon the waters and stream systems of the state.



Significant Issues



According to both the NMED and the ISC, protection of the natural environment dependent upon the waters and stream systems is currently shared by the Water Quality Control Commission (WQCC) and the NMED. HB 700 could conflict with the administrative authority of these two entities by duplicating parts of the New Mexico Water Quality Act (NMSA 74-6-1 through 74-6-17).



In addition, the ISC believes the bill could have the unintended consequence of limiting its authority and use of staff to sections 1 through 3 of Chapter 72, Article 14, rather than the entirety of Article 14, which includes a total of 44 sections. Also, the agency stated that in many instances, interstate stream compact compliance and water resource development (which are the existing statutory charges to the ISC) will be in conflict with preservation of the natural environment dependent upon the waters and stream systems of the state.



FISCAL IMPLICATIONS



According to the NMED, HB 700 could reduce the agency's ability to secure federal funding from sources like the Environmental Protection Agency (EPA) because of duplication of powers between the ISC and the New Mexico Water Quality Act (NMSA 74-6-17).



The ISC reports that the bill fails to provide any funding to carry out the new mandate it places on the agency. HB 700 would require the ISC to perform water quality and biological assessments for which

it receives no funding currently.



ADMINISTRATIVE IMPLICATIONS



In the view of the NMED, HB 700 could conflict with the agency's administrative authority as well as that of the WQCC, by duplicating parts of the New Mexico Water Quality Act (NMSA 74-6-1 through 74-6-17).



The ISC estimates the impact will be significant because the agency has no staff to perform the aquatic, biological and qualitative analyses which will be required. Since the bill authorizes no new FTE's, other important programs may have to be terminated or not performed in order to discharge the proposed new mandate. The agency maintains that if this situation occurred, it would be unable to meet its interstate compact obligations and deal with federal issues, including federal level plan and federally imitated interstate litigation that may have adverse effects on the state.



OTHER SUBSTANTIVE ISSUES



HB 700 may result in conflicting and competing jurisdiction between the ISC, the WQCC and the NMED. Also, the ISC cited that the added statutory duty could compromise the agency's ability to achieve and maintain balance between environmental considerations and compact compliance requirements.



CONSEQUENCES OF NOT ENACTING THIS BILL



Maintenance of the status quo.



AMENDMENTS



The ISC recommended striking out "Section 72-14-3 NMSA 1978" and replacing it with "Chapter 72, Article 14" in each of the three occurrences (page 2, lines 12, 14, 17).



RWP/gm