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.

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 Suite 101 of the State Capitol Building North.

(Parenthesis ( ) Indicate Expenditure Decreases)

SOURCES OF INFORMATION

Economic Development Department

LFC Files

SUMMARY

Synopsis of Bill

House Bill 589 amends Section 21-19-7 NMSA 1978 to change the size of a project located within fifty miles of the New Mexico border that would qualify for an exception to the In-Plant Training residency requirement from 1,500 employees to 150 employees.

Significant Issues

Currently, the statute requires that employees receiving training that is funded by the Development Training Fund must be New Mexico residents. This requirement is waived if the project:

• •Is located within fifty mile of the New Mexico border where the resident labor force is not sufficient;
• •Gives preference to New Mexico workers;
• •Employs no less than fifty percent of the project's workforce with New Mexico residents; and
• •Employs more than one thousand five hundred (1,500) employees.

This bill proposes to amend the last requirement to be only one hundred fifty (150) employees.

FISCAL IMPLICATIONS

The bill does not contain an appropriation or significant fiscal implication.

MW/njw