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SPONSOR: | Eisenstadt | DATE TYPED: | 02/02/00 | HB | |||
SHORT TITLE: | Telecommunications Infrastructure Fund Act | SB | 181 | ||||
ANALYST: | Valenzuela |
Recurring
or Non-Rec |
Fund
Affected | ||||
FY00 | FY01 | FY00 | FY01 | ||
$ 10,000.0 | $ 750.0 | Non-recurring | General Fund |
(Parenthesis ( ) Indicate Expenditure Decreases)
Subsequent
Years Impact |
Recurring
or Non-Rec |
Fund
Affected | ||
FY00 | FY01 | |||
$ 10,000.0 | Non-Recurring | New |
(Parenthesis ( ) Indicate Revenue Decreases)
Relates to SB116 and SB124
SOURCES OF INFORMATION
LFC Files
Public Regulation Commission (PRC)
Office of the Attorney General (AG)
General Services Department (GSD)
SUMMARY
Synopsis of Bill
Senate Bill 181 creates and appropriates $10,000.0 from the general fund to the "Telecommunications Infrastructure Fund." Municipalities, educational or health care institutions and school districts could apply for funding to the Public Regulation Commission (PRC), who would administer the fund, to address its telecommunication infrastructure needs. The bill outlines criteria for applicants to follow when submitting grant requests to the PRC and criteria for making awards. Senate Bill 181 designates the political subdivision as the owner of any infrastructure improvements. Additionally, the bill allows state agencies to loan its staff to the PRC to assist in administration of the provisions of this bill.
Significant Issues
Though not explicitly stated, Senate Bill 181 is part of a comprehensive legislative package to address telecommunication policy in New Mexico. It relates to Senate Bills 116 and 124 to create councils to make assessments of or develop statewide goals for enhancing New Mexico's telecommunications infrastructure.
Two issues are significant with Senate Bill 181. First, the bill would create "patchwork ownership" of infrastructure. The existing infrastructure is owned by utility and telecommunications companies, who have charged consumers through rates to pay for development and maintenance costs.
Second, the bill would require the PRC to administer the fund. However, the PRC does not have a division to administer this program, and consequently, the agency would require additional resources to carry out the provisions of the bill. Other cabinet agencies such as the General Services Department (GSD) or the Department of Finance Administration's Local Government Division do have the mechanisms in place to adequately administer the program.
FISCAL IMPLICATIONS
Aside from the appropriation made in the bill, Senate Bill 181 would place a considerable fiscal and administrative burden on the PRC. According to the agency, additional resources would be required of almost $750.0: seven new positions and related operating costs.
MFV/njw