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.





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



SPONSOR: Sanchez M DATE TYPED: 03/01/01 HB
SHORT TITLE: Long-Term Care Administrators Act SB 477/aSPAC
ANALYST: Wilson


APPROPRIATION



Appropriation Contained
Estimated Additional Impact
Recurring

or Non-Rec

Fund

Affected

FY01 FY02 FY01 FY02
$ 100.0 Recurring General Fund



(Parenthesis ( ) Indicate Expenditure Decreases)



REVENUE



Estimated Revenue
Subsequent

Years Impact

Recurring

or Non-Rec

Fund

Affected

FY01 FY02
$ 62.5 $ 50.0 Recurring Regulation and Licensing/Nursing Home Administrators Fund



(Parenthesis ( ) Indicate Revenue Decreases)



SOURCES OF INFORMATION



Agency on Aging (AOA)

Board of Nursing (BN)

Regulation and Licensing (RLD)



SUMMARY



     Synopsis of SPAC Amendment



The Senate Public Affairs amendment adds a $100,000 appropriation from the general fund to the Regulation and Licensing Department for the purpose of administering the Long-Term Care Administrators Act for fiscal year 2002. Any unexpended or unencumbered balance remaining at the end of fiscal year 2002 shall revert to the general fund.





Synopsis of Original Bill



SB 477 amends the Nursing Home Administrator Act to the Long Term Care Administrators Act and adds Adult Residential Care Facilities Administrators. SB 477 expands the Board of Nursing which is now called the Long Term Care Administrators Board by four members. SB 477 allows nursing facility administrators to receive a license as residential care facility administrators without additional testing and requires the Board to adopt and implement an examination for licensure as an adult residential care facility administrator.



Significant Issues



The AOA supports SB 477 for the following reasons:





FISCAL IMPLICATIONS



RLD says that there needs to be a one time start-up cost appropriation of $100,000. This would include one FTE with space, supplies and travel. RLD also wants funding to promulgate the rules and for the additional meetings and the additional Board members. RLD is also would like an ongoing general fund appropriation to support the added FTE.



Revenue will be up to $250 per licensed administrator. Currently there are about 250 of these facilities in New Mexico. Estimated revenue is up to $62,500. Renewal fees maybe as high as $200 which would give a recurring revenue of $50,000.

ADMINISTRATIVE IMPLICATIONS



See Fiscal Implications



OTHER SUBSTANTIVE ISSUE



Advocating for the frail and vulnerable elders of New Mexico is a primary purpose of the AOA. They believe that SB 477 needs to be enacted in order to create professional standards for adult residential care facility administrators so that the frail and vulnerable adults at risk for abuse, neglect and exploitation can be protected.



DW/ar/njw