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F I S C A L I M P A C T R E P O R T
SPONSOR Campos
ORIGINAL DATE
LAST UPDATED
1/30/06
HB 287
SHORT TITLE NMSU Organic Farmer Services
SB
ANALYST Earp
APPROPRIATION (dollars in thousands)
Appropriation
Recurring
or Non-Rec
Fund
Affected
FY06
FY07
$293.5
Recurring
General Fund
$206.5 Non-Recurring
General Fund
(Parenthesis ( ) Indicate Expenditure Decreases)
Duplicates Senate Bill 26
SOURCES OF INFORMATION
LFC Files
Responses Received From
Higher Education Department(HED)
New Mexico State University(NMSU)
Organic Commodity Commission(OCC)
SUMMARY
Synopsis of Bill
House Bill 287 appropriates $500,000 from the general fund to the Board of Regents of New
Mexico State University (NMSU) to provide teaching, research and extension services to small
organic farmers by the Small Farm Institute.
FISCAL IMPLICATIONS
Information provided by NMSU indicates that $206,500 of the appropriation of $500,000 con-
tained in this bill is a non-recurring request to support the development of infrastructure (small
greenhouse, cold storage and equipment) for a small farm demonstration, teaching and research
site on the NMSU campus. The remaining $293,500 would be a recurring expense to the general
fund. Any unexpended or unencumbered balance remaining at the end of fiscal year 2007 shall
revert to the general fund.
pg_0002
House Bill 287 Page
2
SIGNIFICANT ISSUES
This proposal was not included among the special program funding requests submitted by the
NMSU to the Higher Education Department (HED) for review in September 2005 and, conse-
quently, this proposal has not been included in the HED fiscal year 2007 funding recommenda-
tions to the Legislature. However, the Small Farm Initiative was later added to the NMSU-board
supported legislative package for 2006-07.
ADMINISTRATIVE IMPLICATIONS
NMSU would administer the proposed program. No significant administrative impact is antici-
pated.
CONFLICT, DUPLICATION, COMPANIONSHIP, RELATIONSHIP
House Bill 287 and Senate Bill 26 are duplicate measures.
OTHER SUBSTANTIVE ISSUES
NMSU reports that the Small Farm Institute will carry out teaching, research and extension ac-
tivities that focus on the needs of small farmers. Particular emphasis will be placed on increased
profitability through improved business management practices, the development of new markets
for small growers, and field research in sustainable agriculture practice and technologies. The
Institute will be located in Las Cruces, but its mission is statewide.
DKE/mt