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| SPONSOR: | Aragon | DATE TYPED: | 02/04/99 | HB | |||
| SHORT TITLE: | Remove Housing Subsidy | SB | 95 | ||||
| ANALYST: | Burris | ||||||
| Recurring
or Non-Rec |
Fund
Affected | ||||
| FY99 | FY2000 | FY99 | FY2000 | ||
(Parenthesis ( ) Indicate Expenditure Decreases)
| Subsequent
Years Impact |
Recurring
or Non-Rec |
Fund
Affected | ||
| FY99 | FY2000 | |||
| $ 20,000.0 | Rec | FF | ||
(Parenthesis ( ) Indicate Revenue Decreases)
Conflicts with SB2 and HB301
SOURCES OF INFORMATION
LFC Files
Human Services Department analysis not provided
Synopsis of Bill
Senate Bill 95 amends the New Mexico Works Act (Act) to strike Section 27-2B-7, Financial Standard of Need. As written, the Act requires the cash benefit level for a benefit group not living in government-subsidized housing or receiving government-subsidized housing payments to be increased by $100.00 per month. Current projections estimate that the cost of providing subsidy is roughly $20.0 million per year.
FISCAL IMPLICATIONS
The housing assistance is paid to participants of the Act at the same time and in the same form as their cash assistance is given to them. The funding source for the housing assistance is federal funds from the Temporary Assistance to Needy Families block grant. However, the repeal of this section of the Act will not result in any savings because the block grant is a fixed amount each year. What the repeal of this section will do is allow for the funds to be reallocated to other areas such as cash assistance, transportation, child care, or any other program that will help move participants into employment.
ADMINISTRATIVE IMPLICATIONS
The repeal of Section 27-2B-7 will require the Human Services Department to remove related programming on the ISD2 computer system, which is responsible for, among other things, calculating cash assistance amounts. This costs of this can be borne by the agency's budget and will not require additional funding.
CONFLICT
House Bill 301 appropriates $20.0 million from the Temporary Assistance to Needy Families block grant to the Human Services Department to fund the housing subsidy.
Senate Bill 2 appropriates $19.8 million from the Temporary Assistance to Needy Families block grant to the Human Services Department to fund the housing subsidy.
RLB/njw