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APPROPRIATION

(Parenthesis ( ) Indicate Revenue Decreases)

SOURCES OF INFORMATION

State Treasurer's Office (STO)

Office of the Attorney General (AG)

Legislative Finance Committee (LFC)

SUMMARY

Synopsis of Bill

This bill would transfer the "office of guardianship services" from the Office of the Attorney General (AG) to the State Treasurer's Office (STO). The "office" consolidates guardianship services currently existing in various state agencies and negotiates and administers all contracts with community service providers.

The state requires court appointed guardianship services, limited guardianship services, conservatorship services, limited conservatorship services and other surrogate decision-making services for disabled or incapacitated income and resource eligible adults. The office of guardianship services is responsible for seeking out and entering into contracts with entities to perform these services. Currently, two providers, the ARC of New Mexico, a private not-for-profit organization, and Desert State Life Management, a private not-for-profit organization are contracted for these services. These two contractors serve approximately 437 clients.

This bill repeal's Section 8-5-16 NMSA 1978:

8-5-16. Office of guardianship services.

An "office of guardianship services" shall be established within the attorney general's office. The office shall consolidate guardianship services currently existing in various state agencies and shall negotiate and administer contracts for guardianship services with community service providers.

FISCAL IMPLICATIONS

While this bill does not appropriate funds to administer the program for the State Treasurer, the fiscal impact would be zero if the funds for this program in the operating budget of the Office of the Attorney General are transferred to the operating budget of the State Treasurer. This fiscal analysis reflects this scenario.

In Fiscal Year 1999, the guardianship services program operating budget under the Office of the Attorney General's budget was $1,371,100 with 1.5 FTE's. The amount budgeted for contracts was $1,266,700.

ADMINISTRATIVE IMPLICATIONS

The State Treasurer's reports that there would be no administrative impact if the budget for the operation of the office of guardianship services and all funding for FTE's therein are transferred in whole to the operating budget of the State Treasurer's Office.

TECHNICAL ISSUES

The contract with The ARC of New Mexico (Contract No. G-98-001) and the contract with Desert State Life Management (Contract No. G-98-002) will terminate upon the date of enactment.

This bill has no effective date of enactment.

Issuance of a request for proposal (RFP) for new contractors by the State Treasurer may be appropriate upon passage of this bill.

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