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F I S C A L I M P A C T R E P O R T
SPONSOR Vigil
DATE TYPED 2/23/05
HB 928
SHORT TITLE Encino Village Planning Grant
SB
ANALYST Hadwiger
APPROPRIATION
(in $000s)
Appropriation Contained Estimated Additional Impact Recurring
or Non-Rec
Fund
Affected
FY05
FY06
FY05
FY06
$25.0
Non-Recurring General Fund
(Parenthesis ( ) Indicate Expenditure Decreases)
SOURCES OF INFORMATION
LFC Files
Responses Received From
Department of Finance and Administration (DFA)
SUMMARY
Synopsis of Bill
House Bill 928 appropriates $25,000 from the general fund to the Department of Finance and
Administration (DFA) for the purpose of providing a planning grant to the Village of Encino.
Significant Issues
The Local Government Division (LGD) of DFA provides planning grants to communities and
counties, through an annual $500,000 set aside of federal Community Development Block Grant
funds. It requires that any community or county applying for a CDBG planning grant must first
apply for and conduct a comprehensive plan before conducting other kinds of plans. The plan
must include at least seven elements: land use, transportation, economic development, housing,
water, infrastructure, and implementation.
DFA indicates that, to date, the Village of Encino has received one planning grant from LGD, a
1996 infrastructure plan. Major changes to the village since then include the widening of the
highway, as part of the WIPP route, and the closing of a nearby mine. Thus, devising a plan to
figure out the village's future is prudent, especially if it includes the elements as called for in a
CDBG-funded plan. DFA notes that, given the proposed severe cuts in CDBG funding, this re-
pg_0002
House Bill 928 -- Page 2
quest for legislative funding may be a precursor to many future requests of the legislature.
FISCAL IMPLICATIONS
The appropriation of $25,000 contained in this bill is a non-recurring expense to the general
fund. Any unexpended or unencumbered balance remaining at the end of FY06 would revert to
the general fund.
DH/yr