NOTE: As provided in LFC policy, this report is intended for use by the standing finance committees of the legislature.  The Legislative Finance Committee does not assume responsibility for the accuracy of the information in this report when used in any other situation.

The LFC is only preparing FIRs on bills referred to the Senate Finance Committee, the Senate Ways and Means Committee, the House Appropriations and Finance Committee and the House Taxation and Revenue Committee. The chief clerks are responsible for preparing and issuing all other bill analyses.

Only the most recent FIR version, excluding attachments, is available on the Intranet. Previously issued FIRs and attachments may be obtained from the LFC office in Room 416 of the State Capitol Building.

(Parenthesis ( ) Indicate Expenditure Decreases)

Relates to HB 715 / SC 413 / SC 629

SOURCES OF INFORMATION

New Mexico Veterans' Service Commission (NMVSC)

SUMMARY

Synopsis of Bill

SB 643 appropriates $300.0 from the general fund to the NMVSC for expenditure in FY 2000 and

FY 2001 for the purpose of acquiring land surrounding the Vietnam Memorial in Colfax County for use as a "match" with federal funds to establish a state cemetery. The site is commonly known as the Angel Fire Vietnam Memorial.

Significant Issues

According to the NMVSC, the bill does not address the question of how the cemetery will be maintained in terms of personnel, office space, equipment and other items. Such expenditures are recurring and without further study, it is difficult to ascertain the future costs that could accrue.

Also in its review of SB 643, the agency reported that the federal government did not have a matching portion at the present time.

FISCAL IMPLICATIONS

SB 643 appropriates $300.0 from the general fund for expenditure in FY 2000 and FY 2001. Any unexpended or unencumbered balance remaining at the end of FY 2001 shall revert to the general fund. As previously mentioned, the bill does not address the long-term recurring costs associated with the operation and maintenance of the cemetery.

ADMINISTRATIVE IMPLICATIONS

The NMVSC reported that the passage of SB 643 could theoretically burden the agency's small staff. While the agency director has vast expertise with respect to the national cemetery system, the NMVSC has no particular experience with respect to the many issues inherent in land acquisition.

CONFLICT/DUPLICATION/COMPANIONSHIP/RELATIONSHIP

According to the NMVSC, SB 643 relates to HB 715, which would study the feasibility of creating a cemetery at Fort Stanton on land that the state currently owns. The agency maintains that HB 715 offers a better choice for cemetery creation since there is no cost for land purchase. Other related bills cited by the NMVSC include SC 413 which appropriates $150.0 to the Vietnam Memorial for renovation, and SC 629 which funds $750.0 to purchase 280,000 acres near the Angel Fire Memorial for creating the cemetery.

TECHNICAL ISSUES

The NMVSC states that the bill does not address which agency or entity would administer the cemetery along with the accompanying issues surrounding the land purchase.

OTHER SUBSTANTIVE ISSUES

The agency raised the issue of establishing whether the new cemetery would honor veterans of all wars or just Vietnam veterans as the Angel Fire Memorial does.

ALTERNATIVES

The NMVSC recommends HB 715 as an alternative since this bill will study the feasibility of establishing a cemetery.

AMENDMENTS

The agency proposed amending SB 643 to reduce funding and to change the bill's purpose to preparing a study on the feasibility of creating a cemetery at Angel Fire (as opposed to buying land for it without first undertaking a study).

RP/njw