NOTE:  As provided in LFC policy, this report is
intended only for use by the standing finance committees of the
legislature.  The Legislative Finance Committee does not assume
responsibility for the accuracy of the information in this report when used for
other purposes.
 
The most recent FIR
version (in HTML & Adobe PDF formats) is available on the Legislative
Website.  The Adobe PDF version includes
all attachments, whereas the HTML version does not.  Previously issued FIRs and attachments may be
obtained from the LFC in Suite 101 of the State Capitol Building North.
 
 
F I S C A
L   I M P A C T   R E P O R T
 
 
 
  |   SPONSOR: | Park |   DATE TYPED:  | 02/14/03 |   HB | 352 | 
 
  |   SHORT TITLE: | Fines to Reimburse Municipalities for Costs |   SB |   | 
 
  |  |   ANALYST: | Hayes | 
 
 
  |  |  |  |  |  |  |  |  | 
 
 
 
 
REVENUE
 
 
  | Estimated Revenue | Subsequent Years Impact | Recurring or
  Non-Rec | Fund Affected | 
 
  | FY03 | FY04 |   |   |   | 
 
  |   | ($555.0) | ($555.0) | Recurring | General
  Fund | 
 
  |   |   |   |   |   | 
 
(Parenthesis ( ) Indicate Revenue Decreases)
 
SOURCES OF INFORMATION
 
New Mexico Criminal and Traffic Law Manual,
2002 edition
 
Responses Received From
Bernalillo County
  Metropolitan Court (BCMC)
 
SUMMARY
 
     Synopsis of Bill
 
House Bill 352 amends
Section 34-8A-3 NMSA 1978 and adds subsection (C) which states that the amount
of any fine received by a metropolitan court for a violation of a municipal
traffic ordinance in excess of the penalty assessment specified in the Motor
Vehicle Code shall be transferred to the municipality to reimburse the
municipality for costs incurred in law enforcement.
 
The effective date of
the provisions in the bill is July
 1, 2003.
 
     Significant Issues
 
 - The only court and municipality this
     bill would affect is the Bernalillo County Metropolitan Court (BCMC) and
     the city of Albuquerque.  A “metropolitan court” is mainly distinguished
     from a magistrate court in that it has jurisdiction within county
     boundaries whose population exceeds 250,000.
 
 - BCMC is, in fact, collecting penalty
     assessments in excess of the prescribed penalty assessment.  The estimated amount collected by BCMC
     annually is $555,000.  According to
     state statute, those fines collected by BCMC are deposited and credited to
     the general fund.  This
     legislation would mean that the City of Albuquerque
     would receive the $555.0 instead of the State of New
       Mexico.
 
 - The proposed legislation may conflict with
     existing constitutional and statutory provisions mandating deposit
     of all revenue from collected fines into a state fund.  See, N. M. Const. Art. XII, §4
     (Current school fund) and NMSA 1978, §§22-8-32,
     34-8A-2, 35-7-4 (Current school fund).  This legislation may require a
     constitutional amendment.
 
 - The intent of this legislation is to
     reimburse the city of Albuquerque
     for costs associated with law enforcement, i.e., for police officers
     enforcing traffic laws and other Motor Vehicle Code regulations.  One of the duties of law enforcement
     officers is to enforce such laws. 
     It is unclear why the city of Albuquerque
     should receive “reimbursement” from the state for such services that it
     and every other village, town and city in New
       Mexico performs.
  
 - In all municipalities other than the
     city of Albuquerque,
     fees and fines collected for violation of a municipal traffic ordinances
     are kept by the municipality.  In
     all municipalities except the city of Albuquerque,
     the municipalities fund the municipal court; they fund the operating costs
     of the court along with court services. 
     
 
However,
the Bernalillo County Metropolitan Court
in Albuquerque
is funded by the State of New Mexico;
its operating costs are funded by state general fund monies.  In regards to traffic violations, BCMC
processes the tickets, completes the data entry and records updates, schedules
court hearings, provides all the accounting functions related to traffic
tickets and does the collection and deposit of the funds.  As a state agency, fines collected are deposited
with the state. 
 
FISCAL IMPLICATIONS
 
The impact of HB 352
would be the loss of approximately $555.0 yearly in revenue to the state general
fund which would instead be transferred to municipalities.
 
POSSIBLE QUESTIONS
 
 - Does the
     city of Albuquerque support this legislation? 
     Given the issues noted above regarding city/state jurisdiction, why
     does the city of Albuquerque want to receive excess penalty assessments?  Is the city of Albuquerque seeking new revenues sources to fund its
     police force and enforcement services?
 
 - If HB 352
     is enacted and the city of Albuquerque receives the monies from excess penalty
     violations, is the city also going to bear part of the expenses incurred
     by BCMC for processing traffic violations? 
 
 - Does this
     legislation violate existing constitutional and statutory provisions
     mandating deposit of fines into the general fund?
 
CMH/yr