[1] NOTE:  As provided in LFC policy, this report is intended only 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.

 

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

 

 

 

SPONSOR:

Lyons

 

DATE TYPED:

01/30/02

 

HB

 

 

SHORT TITLE:

State Legislators’ Annual Salary

 

SB

SJR 9

 

 

ANALYST:

Burch

 

APPROPRIATION

 

Appropriation Contained

Estimated Additional Impact

Recurring

or Non-Rec

Fund

Affected

FY02

FY03

FY02

FY03

 

 

 

 

 

30.0

Nonrecurring

General Fund

 

 

 

$1,120.0

Recurring

General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

 

Conflicts with House Joint Resolution 13 and House Bill 266

                                                                                                                                                           

 

SOURCES OF INFORMATION

 

LFC files

 

SUMMARY

 

     Synopsis of Bill

 

Senate Joint Resolution 9 proposes to amend Article 4, Section 10 of the New Mexico Constitution to provide legislator’s with a monthly salary of $2.0, except during regular sessions, the monthly salary is $1.0 for those months when the legislature is in session for a part of the month.

 

     Significant Issues

 

FISCAL IMPLICATIONS

 

The next general election that would include constitutional questions on the ballot will be in November 2002.  If the question is approved by the voters, the change would not make a fiscal impact until the 2003 Legislature.  The total recurring cost to the general fund during FY03 would be $1,120.0.   The total cost for a full fiscal year would be $2,464.0 for years with 60-day sessions ($22.0 per member x 112 members) and $2,352.0 for years with 30-day sessions.

 

If passed, this question would appear on the ballot in the November 2002 general election.  The Secretary of State reports it costs $30.0 to place an item on the ballot for advertising and printing. Included in the cost is: (1) the publishing of constitutional amendments in English and Spanish for four consecutive weeks in one newspaper in each county of the state; (2) the oral translation and radio broadcast into the Native American languages of Tewa, Tiwa, Towa, Keres, Zuni, Mescalero Apache, Jicarilla Apache and Navajo; and (3) the printing of amendments booklets in English and Spanish (including Spanish language translation cost) and distribution to all county clerks (100,000 booklets were printed for 2000 general election).  Therefore, there would be a nonrecurring cost to the general fund of $30.0 in FY03.  This legislation does not include an appropriation needed to fund these costs.

 

CONFLICT

 

House Joint Resolution proposes to amend the constitution to provide for a cap on legislative salaries to the average paid in the five contiguous states.  A companion measure, House Bill 226 amends Section 2-1-8 NMSA 1978 to provide for an annual salary of $21.0.  See attachment for National Conference of State Legislature’s study of legislative compensation for the five contiguous states.

 

DKB/njw

Attachment


TABLE 1. COMPENSATION & LIVING EXPENSE ALLOWANCE DURING SESSION, 2000

State

Salary

Per Diem

Arizona

$24,000/year.

$35/day for 1st 120 days of regular session and special session and $10/day thereafter.  Members residing outside Maricopa County receive an additional $25/day for the 1st 120 days of a regular session and a special session and an additional $10/day thereafter. Set by statute.

Colorado

$30,000/year.

$45/day for members living in the Denver metro area. $99/day for members living outside Denver. Per diem is determined by the legislature.

New Mexico

None.

$136/day tied to federal rate & the constitution.

Oklahoma

$38,400/year.

$103/day tied to federal rate.

Texas

$ 7,200/year.

$118/day set by the Ethics Commission.

Utah

$   100/day.

$75/day lodging allotment for each calendar day, tied to federal rate. $42/day per diem for each calendar day. (NOTE: Regular session is 45 days long.)

 

TABLE 2. LIVING EXPENSE ALLOWANCE DURING INTERIM, 2000

State

Interim Per Diem

Arizona

$35/day with prior approval of presiding officer set by statute.

Colorado

Members are reimbursed for actual expenditures.

New Mexico

$136/day tied to federal rate.

Oklahoma

$25/day set by the legislature.

Texas

Senators receive $118/day for legislative business in Travis County, not to exceed 10 days per month.  Representatives receive $118/day for legislative business in Travis County, not to exceed 12 days per month.  Per diem amount is determined by the Ethics Commission and the number of days is determined by the Senate Caucus and the Committee on House Administration.

Utah

$42/day meals; up to $75/day for lodging.

 

TABLE 3. ADDITIONAL COMPENSATION FOR HOUSE/ASSEMBLY LEADERS, 1999

State

Presiding Officer

Majority Leader

Minority Leader

Other Leaders

Arizona

None.

None.

None.

None.

Colorado

All leaders receive $99/day during interim when in attendance at committee or leadership matters.

New Mexico

None.

None.

None.

None.

Oklahoma

$17,932

$12,364

$12,364

Speaker pro tem, $12,364

Texas

None.

None.

None.

None.

Utah

$1,000

$500

$500

Whips and asst whips, $500


 

TABLE 4. ADDITIONAL COMPENSATION FOR SENATE LEADERS, 1999

State

Presiding Officer

Majority Leader

Minority Leader

Other Leaders

Arizona

$500

None.

None.

None.

Colorado

All leaders receive $99/day during interim when in attendance at committee or leadership matters.

New Mexico

None.

None.

None.

None.

Oklahoma

$17,932

$12,364

$12,364

None.

Texas

None.

None.

None.

None.

Utah

$1,000

$500

$500

Whips and asst  whips, $500



 

TABLE 5. ADDITIONAL COMPENSATION FOR COMMITTEE CHAIRS, 1999

State

Additional Compensation for Committee Chairs

Arizona

None.

Colorado

None.

New Mexico

None.

Oklahoma

$12,364 for Appropriations and Budget Committee Chairs.

Texas

None.

Utah

None.

 

TABLE 6. STATE LEGISLATORS’ TRAVEL ALLOWANCE, 1999

State

Mileage

Access to State Autos

Credit

Card

Phone Card/ Phone Allowance

Arizona

30¢/mile on actual miles.

Access to motorpool for legislative trips only.

No.

No.

Colorado

20¢ or 24¢ if 4wd vehicle. Actual miles paid.

No.

No.

Yes. Official state business only.

New Mexico

32.5¢/mile tied to federal rate

No.

No.

No.

Oklahoma

32.5¢/mile tied to federal rate.

No.

No.

$1,000 during interim.


Texas

28¢/mile set by General Appropriations bill; an allowance for single, twin and turbo engines from 40¢ to $1/mile is also given.

No.

Members are eligible for American Express Cards for official use.

Official state business only.  House members are limited to available balance in their monthly operating accounts.

Utah

31¢/mile, round trip from home to capital.

No.

No.

Yes. Legislative use only.

 

TABLE 7. CAPITOL OFFICE, DISTRICT OFFICE AND STAFFING ALLOWANCES, 1999

State

Allowances

Arizona

None.

Colorado

$2,000/year.

New Mexico

None.

Oklahoma

$350/year for unvouchered office supplies plus seven rolls of stamps.

Texas

Senate: $25,000/month for staff salaries.  House:$9,750/month for staff salaries, supplies, stationery, postage, district office rental, telephone expense, etc.

Utah

None.

 

TABLE 8. HEALTH, DENTAL AND OPTICAL INSURANCE BENEFITS FOR STATE LEGISLATORS, 1999

State

Health

Dental

Optical

Arizona

State pays a set amount, legislator pays remaining balance; depending on plan selected.

Optional at legislator’s expense.

Optional at legislator’s expense.

Colorado

State pays a portion, legislator pays a portion; amount differs according to plan selected.

State pays full amount. Dependents coverage at legislator’s expense.

Not available.

New Mexico

Not available.

Not available.

Not available.

Oklahoma

State pays full amount.

State pays full amount.

Optional at legislator’s expense,

Texas

State pays for legislator, legislator pays for dependent coverage.

Optional at legislator’s expense.

Included in health coverage.

Utah

State pays full amount depending on plan chosen.

State pays full amount depending on plan chosen.

Optional at legislator’s expense.

 

TABLE 9. DISABILITY AND LIFE INSURANCE BENEFITS FOR STATE LEGISLATORS, 1999

State

Disability Insurance

Same as State Employee Plan

Life Insurance

Same as State Employee Plan

Arizona

State pays portion and legislator pays portion for long-term disability; short-term disability available at legislator’s expense.

Yes.

Legislator may opt to purchase up to 3 times additional life insurance above the standard $10,000 base that all state employees receive.

Yes.

Colorado

Not available.

No.

State pays full amount for $12,000 policy.

Yes.

New Mexico

Not available.

No.

Not available.

No.

Oklahoma

State pays full amount.

Yes. Same as management employees.

State pays full amount ($20,000). For optional amounts above that, legislator pays.

Yes. Same as management employees.

Texas

Optional at legislator’s expense.

Yes.

Optional at legislator’s expense.

Yes.

Utah

Optional at legislator’s expense.

Yes.

State pays full amount for basic coverage ($18,000). Additional coverage optional at legislator’s expense.

Yes.


 

 

 

TABLE 10. RETIREMENT BENEFITS FOR LEGISLATORS, 1999

State

Participation

Same as State Employees

Minimum Age and Service Requirement

Contribution Rate

Arizona

Optional.

No.

Age 65 with 5+ years of service; or

age 60 with 25+ years of service.

7%.

Colorado

Mandatory.

No.

Age 60 with 5 years of service.

8% of gross salary.

New Mexico

Optional.

No.

Age 65 with 5+ years of service;

age 64 with 8+ years of service;

age 63 with 12+ years of service; or

any age with 14+ years of service.

$100 per year for service after 1959.

Oklahoma

Optional.

No.

Age 60 with 6 years of service.

Optional contribution of 4.5%, 6%, 7.5%, 8.5%, 9% or 10%.

Texas

Optional.

No.

Age 60 with 8 years of service; or age 50 with 12 years.

8%

Utah

Mandatory.

No.

Age 65 with 4 years of service.

Non-contributory.


 

TABLE 11. RETIREMENT BENEFITS FOR LEGISLATORS, 1999

 

Estimated Monthly

State

4 Years

12 Years

20 Years

Benefit Formula

Arizona

$333.33/month.

$1,000/month.

$1,667/month.

4%/year of credited service x 3 year average; maximum is 30% of member’s average yearly salary.

Colorado

Not yet vested.

$350/month.

$729/month.

2.5% x HAS x creditable service through 20 years plus 1.5% x HAS for 21 through 40 years.  Maximum benefit = 80% of employee’s HAS.

New Mexico

$83.33/month.

$250/month.

$416.66/month.

$250 x years of service (after 1959)

Oklahoma

$426.68 at 10%.

$1,280.04 at 10%.

$2,133.40 at 10%.

Average participated salary x length of service x computation factor depending on optional contributions ranging from .019 to .040.

Texas

Not eligible.

$2,288.25/month.

$3,813.75/month.

2.25% x district judge’s salary (currently $8,475) x length of service.

Utah

Varies.

Varies.

Varies.

$10/month x years of service; adjusted semi-annually according to consumer price index, limited to maximum of 4%.


 


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