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





SPONSOR: Griego DATE TYPED: 02/15/00 HB
SHORT TITLE: Hazardous Materials Task Force & Fund SB 383
ANALYST: Valenzuela


APPROPRIATION



Appropriation Contained
Estimated Additional Impact
Recurring

or Non-Rec

Fund

Affected

FY00 FY01 FY00 FY01
$ 500.0 $ 500.0 $ 500.0 Recurring General Fund



(Parenthesis ( ) Indicate Expenditure Decreases)



REVENUE



Estimated Revenue
Subsequent

Years Impact

Recurring

or Non-Rec

Fund

Affected

FY00 FY01
$ (500.0) $ (500.0) Indefinite Recurring General Fund



(Parenthesis ( ) Indicate Revenue Decreases)



Duplicates/Conflicts with/Companion to/Relates to



SOURCES OF INFORMATION



LFC Files

Public Regulation Commission (PRC)

New Mexico Environment Department (NMED)



SUMMARY



Synopsis of Bill



Senate Bill 383 adds a new section to the Fire Protection Fund Law [59A-53-1, NMSA1978] that creates the Hazardous Materials Task Force Fund to equip and train first responders to emergencies involving the transport of hazardous materials. The fund would be available to counties and incorporated municipalities through the State Fire Marshal's Office of the Public Regulation Commission (PRC). The bill identifies criteria for funding and limits for applicants. A percentage, 1.25 percent, of the fire protection fund would be the revenue source. The bill contains a clause that would require the PRC to revert any unexpended balance to the general fund.



Significant Issues



The purpose of the Fire Protection Fund Law is to provide for distribution of funds to incorporated cities, towns and villages, and to county fire districts, in proportion to their respective needs. The balance in the fund ranges from $37 to $41 million. Consequently, the effect of the bill would be to make an annual appropriation from $462.5 to $512.5. Additionally, the fire protection fund reverts to the general fund, aside from the operating budgets for the State Fire Marshal's Office and the Fire Training Academy. Therefore, Senate Bill 383 would reduce the available general fund by almost $500.0.



FISCAL IMPLICATIONS



Aside from the appropriation contained in the bill, enactment would not have a fiscal impact on the State Fire Marshal's Office, which already has mechanisms in place to distribute the funding to localities.



ADMINISTRATIVE IMPLICATIONS



Enactment of Senate Bill 383 would have a minor impact on the agency, which could be absorbed with its existing resources.



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