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|
SPONSOR: |
Stapleton |
DATE TYPED: |
1-25-02 |
HB |
HJM 30 |
||
|
SHORT TITLE: |
Increase Permanent School Fund Distribution |
SB |
|
||||
|
|
ANALYST: |
Baca |
|||||
REVENUE
|
Estimated Revenue |
Subsequent Years
Impact |
Recurring or Non-Rec |
Fund Affected |
|
|
FY02 |
FY03 |
|
|
|
|
|
|
($0.1)
See narrative |
Recurring |
General Fund |
|
|
|
$0.1
See narrative |
Recurring |
Permanent School Fund |
(Parenthesis ) Indicate Revenue Decreases)
State Investment Council (SIC)
LFC Files
Relates
to HJM 44
SUMMARY
Synopsis
of Bill
House Joint Memorial
30 requests the Congress of the United States to consent to the amendment of
the New Mexico Constitution to increase the annual distribution from the
Permanent School Fund.
Significant
Issues
HJM 30 proposes to amend the New Mexico Constitution to provide more money for public schools by increasing the distribution from the Permanent School Fund by eighth tenths of one percent
and to ensure that the increased distribution
will only be used to supplement revenue otherwise available to the public. The additional revenue available will enable
public schools to better provide for the instructional, safety and health needs
of students.
FISCAL IMPLICATIONS
According to the SIC,
impact of this bill on the general fund will be revenue neutral the first year
of implementation. Revenue to the
general fund will decrease incrementally each subsequent year with the rate of decrease
becoming greater each year. On the other hand, revenue available for public
schools will increase each year, at least in nominal dollars. According to SIC, the value of the Permanent School Fund will be eroded over
the long-term with the rate of decrease being greater with each passing
year. The ability of the fund to keep
pace with inflation will be eroded.
Information concerning
the “dollar amount” impact of this proposal was not available when this FIR was
prepared.
TECHNICAL ISSUES
The voters must approve the amendment proposed.
RELATIONSHIP
HJM Memorial 30 relates to HJM Memorial 44. HJM 44 proposes to amend the constitution to allow the
distributiion form the School Permanent fund to be increased from 4.9% to 6.0%.
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