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

SPONSOR Tripp

DATE TYPED 2/13/05

HB 571

SHORT TITLE Magdalena Theater Program

SB

ANALYST Hadwiger

APPROPRIATION

(in $000s)

Appropriation Contained Estimated Additional Impact Recurring

or Non-Rec

Fund

Affected

FY05

FY06

FY05

FY06

$50.0

Recurring General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

SOURCES OF INFORMATION

LFC Files

Responses Received From

Cultural Affairs Department (DCA)

Public Education Department (PED)

SUMMARY

Synopsis of Bill

House Bill 571 appropriates $50,000 from the general fund to the Cultural Affairs Department

(DCA) in FY06 to develop a theater program for Magdalena in Socorro County.

Significant Issues

According to PED, this is a community program that will impact local and surrounding areas.

The program is not specifically being designed for student participation at this time, but could

serve the Magdalena schools in the future. This will include theatrical and other performances

and could serve as a theater program regionally and across the state.

DCA indicated its records show that a theater program currently exists in Magdalena. This com-

pany has received funding from New Mexico Arts in the past. In FY03 the company applied for

grants funding through New Mexico Arts but was deemed ineligible for funding because of an

incomplete application. In FY04 the company did receive funding. For the years FY05 and

FY06, New Mexico Arts did not receive an application from this Magdalena theater company for

funding.

House Bill 571 -- Page 2

PERFORMANCE IMPLICATIONS

The DCA tracks the amount of funding distributed in rural areas in one of its performance meas-

ures. The department’s performance on this measure would be increased by offering additional

service.

FISCAL IMPLICATIONS

The appropriation of $50,000 contained in this bill is a recurring expense to the general fund.

Any unexpended or unencumbered balance remaining at the end of FY06 would revert to the

general fund.

ADMINISTRATIVE IMPLICATIONS

DCA indicates the passage of HB571 would require a request for proposals (RFP) process be

conducted by DCA to accommodate the state procurement process. This process would require

staff to develop an RFP, review and select eligible applicants, and to process arts services con-

tracts. Perhaps a portion of the $50.0 could be used for associated administrative costs, espe-

cially those “hard” costs, such as advertising, which is required by the state procurement code.

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