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F I S C A L I M P A C T R E P O R T
SPONSOR Wirth, P.
ORIGINAL DATE
LAST UPDATED
1/26/06
HB 262
SHORT TITLE Small Business Creation, Event and Website
SB
ANALYST Earnest
APPROPRIATION (dollars in thousands)
Appropriation
Recurring
or Non-Rec
Fund
Affected
FY06
FY07
NFI
$200.0
Recurring
General Fund
(Parenthesis ( ) Indicate Expenditure Decreases)
ESTIMATED ADDITIONAL OPERATING BUDGET IMPACT (dollars in thousands)
FY06
FY07
FY08 3 Year
Total Cost
Recurring
or Non-Rec
Fund
Affected
Total
NFI
($0.1)
($0.1)
($0.1) Recurring General
Fund
(Parenthesis ( ) Indicate Expenditure Decreases)
SOURCES OF INFORMATION
LFC Files
Responses Received From
Economic Development Department (EDD)
SUMMARY
Synopsis of Bill
HB 262 appropriates $200 thousand ($200,000) from the general fund to the Economic Devel-
opment Department for a project, event and website dedicated to uncovering the opportunities
and impediments to small business creation in North America.
pg_0002
House Bill 262 Page 2
FISCAL IMPLICATIONS
The appropriation of $200 thousand ($200,000) contained in this bill is a recurring expense to the
general fund. Any unexpended or unencumbered balance remaining at the end of FY08 shall re-
vert to the general fund.
Although difficult to estimate, the Economic Development Department would bear additional
operating expenses to carry out the project.
PERFORMANCE IMPLICATIONS
EDD indicates that the offices of Mexican Affairs and International Trade could be used to sup-
port this initiative. The appropriation for this project would expand the scope of work currently
performed by these divisions.
This appropriation would establish a new project in the Economic Development Department that
might prove helpful to new or expanding small business in New Mexico.
ADMINISTRATIVE IMPLICATIONS
According to EDD, the project would require additional personnel and budget to manage this
effort. There would be significant costs incurred after FY08 if the initiative is continued.
Execution of this legislation may require a contractual agreement with an entity outside of the
Economic Development Department.
BE/mt