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| SPONSOR: | Thompson | DATE TYPED: | 02/23/99 | HB | HJR-18 | ||
| SHORT TITLE: | Property Tax Exemption for Veterans, CA | SB | |||||
| ANALYST: | Pickering | ||||||
| Recurring
or Non-Rec |
Fund
Affected | ||||
| FY99 | FY2000 | FY99 | FY2000 | ||
| N/A | N/A |
Estimated $400.0 |
Estimated $400.0 |
Recurring | GF |
(Parenthesis ( ) Indicate Expenditure Decreases)
Duplicates/Conflicts with/Companion to/Relates to
SOURCES OF INFORMATION
New Mexico Veterans Service Commission (NMVSC)
SUMMARY
Synopsis of Bill
HJR-18 proposes a constitutional amendment to now include non-combat veterans to qualify for property tax exemptions. The amendment deletes language which specifically tailored the exemptions for combat veterans only.
Significant Issues
The NMVSC believes HJR-18 does not provide the agency with the necessary resources to handle the potential influx of new veterans seeking tax exemptions. The NMVSC suggests an analysis should be conducted to determine how many veterans would apply for exemptions and what those effects would be on revenues.
FISCAL /ADMINISTRATIVE IMPLICATIONS
According to the NMVSC, the state has approximately 175,000 veterans and because many are peacetime veterans, there will be a huge increase in applications for exemption. The agency would incur a huge fiscal/administrative impact since it currently has only one staff person assigned to work on special issues such as tax exemptions, license plates and scholarships for veterans.
The NMVSC claims HJR-18 would increase its workload twenty-fold, necessitating an additional twenty FTE at a cost of $400.0 to $500.0. The agency says the funding would have to be done through an emergency appropriation.
AMENDMENTS
The NMVSC recommends maintaining the tax exemption as is, but deleting the obsolete language contained on page one (lines 21 through 23).
RWP/gm