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

SPONSOR Nunez

DATE TYPED 2/23/05

HB 87/aHAGC

SHORT TITLE New Mexico State University Pecan Tree Pest Control SB

ANALYST Woods

APPROPRIATION

Appropriation Contained Estimated Additional Impact Recurring

or Non-Rec

Fund

Affected

FY05

FY06

FY05

FY06

$80.0

Recurring General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

Relates to the appropriation for New Mexico State University in the General Appropriations Act.

SOURCES OF INFORMATION

LFC Files

Responses Received From

New Mexico Department of Agriculture (NMDA)

SUMMARY

Synopsis of HAGC Amendment

House Agriculture and Water Resources Committee amendment to HB87 amends the legislation

as follows:

•

on page 1, line 12, the word “exotic” is removed; and

•

on page 1, line 20, the word “exotic” is again removed.

House Agriculture and Water Resources Committee amendment to HB87 adds no additional ap-

propriation to this legislation.

Synopsis of Original Bill

House Bill 87 – Making an Appropriation to New Mexico State University for Control of Exotic Pe-

can Tree Pests – appropriates $80,000 from the general fund to the Board of Regents of New Mexico

State University for expenditure in FY06 for the New Mexico Department of Agriculture to provide

House Bill 87/aHAGC -- Page 2

support for the prevention, detection and eradication of exotic pecan pests. Any unexpended or unen-

cumbered balance remaining at the end of FY06 shall revert to the general fund.

Significant Issues

The NMDA estimates that the annual commercial value of New Mexico’s pecan production to be

in excess of $50 million. Further, that the recent inadvertent introduction of the pecan weevil

into three regions of the state necessitated NMDA to solicit volunteer funding from pecan pro-

ducers to initiate a temporary detection and eradication program. Accordingly, the department

suggests two central objectives drawn from this funding request:

•

To prevent the spread of pecan weevil to uninfested areas while allowing for inter- and

intrastate shipment of pecans.

•

To implement a permanent and expanded program directed at protecting the pecan indus-

try from new pests that threaten its economic viability.

FISCAL IMPLICATIONS

The appropriation of $80,000 contained in this bill is a recurring expense to the general fund.

Any unexpended or unencumbered balance remaining at the end of FY06 shall revert to the gen-

eral fund.

ADMINISTRATIVE IMPLICATIONS

NMDA would be the pass-through agency for this appropriation and would retain oversight of

the program.

CONFLICT, DUPLICATION, COMPANIONSHIP, RELATIONSHIP

Relates to the appropriation for NMSU in the General Appropriations Act.

OTHER SUBSTANTIVE ISSUES

This request for funding was not submitted to the Commission on Higher Education (CHE) by

the Board of Regents of NMSU, and, accordingly, was not reviewed by the CHE.

WHAT WILL BE THE CONSEQUENCES OF NOT ENACTING THIS BILL.

NMDA considers a continued reliance on volunteer funding from pecan producers unreliable and

currently inadequate to maintain a viable detection and eradication program.

BFW/yr:lg