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

SPONSOR Nava

ORIGINAL DATE

LAST UPDATED

1/31/08

2/4/08 HB

SHORT TITLE Athletic Activity Trophy & Printing Costs

SB 322/aSEC

ANALYST Cox

APPROPRIATION (dollars in thousands)

Appropriation

Recurring

or Non-Rec

Fund

Affected

FY08

FY09

$50.0

Recurring

General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

SOURCES OF INFORMATION

LFC Files

Responses Received From

Department of Public Education (PED)

Department of Finance & Administration (DFA)

SUMMARY

Synopsis of SEC Amendment

The Senate Education Committee amendment provides “Clean-up" language. This language does

not substantially affect this Bill

1.

[(On page 1, lines 11 and 12 strike “By the New Mexico Activities Association".)]

2.

[(On page 1, line 13, after “OTHER", insert “SCHOOL".)]

3.

[(On page 1, line 19, strike “by the New Mexico activities association")]

4.

[(On page 1, line 20, after “other", insert “school".

Synopsis of Original Bill

Senate Bill 322 requests an appropriation of fifty thousand dollars ($50,000)from the General

Fund to the Public Education Department for expenditure in fiscal year 2009 to defray costs

incurred by the New Mexico Activities Association for printing and trophies related to athletics

and other activities.

Senate Bill 322/aSEC – Page

2

FISCAL IMPLICATIONS

The appropriation of fifty thousand dollars ($50,000) contained in this bill is a recurring expense

to the General Fund. Any unexpended or unencumbered balance remaining at the end of fiscal

year 2009 shall revert to the general fund.

PED states that additional manpower will be required as follows:

It is estimated that it would take approximately 40 hours of time by an Education Administrator

O ($22.74 x 40 + 30% Benefits = $1,182) to develop, administer and monitor either a Joint

Powers Agreement or Memorandum of Understanding between PED and NMAA for distribution

of the funding.

SIGNIFICANT ISSUES

•

A consequence of this bill would be the substitution of state monies for private monies.

•

Currently the NMAA is absorbing the cost of printing, trophies and medals with the fees

that are assessed to schools for being members of the NMAA, ticket sales at the

extracurricular events and corporate sponsorships.

•

Every student athlete on a championship team receives a medal commemorating the

achievement. For example: Mayfield High School’s championship football team had 75

members on the team; costs would vary from year to year depending on the number of

athletes on championship teams.

ADMINISTRATIVE IMPLICATIONS

SB 322 creates PED oversight responsibilities for the distribution of the funds; maintaining fund

accounting; and monitoring that the funds are expended in accordance with the intentions of the

Legislature.

CONFLICT, DUPLICATION, COMPANIONSHIP, RELATIONSHIP

SB 322 duplicates HB 234.

PRC/mt:bb