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





SPONSOR: Duran DATE TYPED: 02/11/99 HB
SHORT TITLE: Tularosa Irrigation Reservoir SB 473
ANALYST: Pickering


APPROPRIATION



Appropriation Contained
Estimated Additional Impact
Recurring

or Non-Rec

Fund

Affected

FY99 FY2000 FY99 FY2000
$ 66.0 Non-Recurring General Fund



(Parenthesis ( ) Indicate Expenditure Decreases)



Duplicates HB402



SOURCES OF INFORMATION



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



SUMMARY



Synopsis of Bill



Senate Bill 473 appropriates $66.0 from the general fund to the OSE for the purpose of repairing and maintaining the reservoir for the Tularosa Community Ditch.



Significant Issues



According to the OSE, the Tularosa Community Ditch is a recognized subdivision of state government. According to the president of the ditch commission, funds will be used to remove sediment from the reservoir which has accumulated during the past few years due to runoff from the forest fires. The OSE estimates the quantity of sediment to be removed is 60,000 cubic yard. No plans and specifications are available for the project. Also, the OSE conservatively estimates the cost for sediment removal at one dollar and ten cents per cubic yard.







FISCAL IMPLICATIONS



The OSE estimates that there will be minimal fiscal impact.



ADMINISTRATIVE IMPLICATIONS



Cost of preparing agreements, inspection of project and processing payment.



ALTERNATIVES



Financial assistance is available from the ISC through a cost share and loan program. The Tularosa Community Ditch has received grant and loan funds in the past. According to the ISC, there is a waiting list of ditch projects, delays of up to two years.



CONSEQUENCES OF NOT ENACTING THIS BILL



In the view of the ISC, most of the reservoir capacity is silted up and lack of storage will limit irrigation.



RP/sb:njw