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committees of the NM Legislature. The LFC does not assume responsibility for the accuracy of these reports

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

SPONSOR Komadina

ORIGINAL DATE

LAST UPDATED

1/18/2008

1/30/2008 HB

SHORT TITLE

Waiver Licensure Fees For Medical Doctors

SB 127/aSFC

ANALYST Moser

APPROPRIATION (dollars in thousands)

Appropriation

Recurring

or Non-Rec

Fund

Affected

FY08

FY09

NFI

(Parenthesis ( ) Indicate Expenditure Decreases)

REVENUE (dollars in thousands)

Estimated Revenue

Recurring

or Non-Rec

Fund

Affected

FY08

FY09

FY10

($80.0)

($80.0)

Recurring Medical Board

fund

(Parenthesis ( ) Indicate Revenue Decreases)

SOURCES OF INFORMATION

LFC Files

Responses Received From

New Mexico Medical Board (NMMB)

SUMMARY

Synopsis of Senate Finance Committee Amendment

Senate Finance Committee Amendment removes the appropriation of $80 thousand.

Synopsis of Original Bill

Senate Bill 127 appropriates $80 thousand dollars from the general fund to the NM Medical

Board for the purpose of assisting in the recruitment and retention of medical doctors to the state

by waiving licensure fees for those medical doctors who apply to New Mexico as their first state

of licensure.

Senate Bill 127/aSFC– Page

2

Senate bill 127 also extends the Sunset date for the medical board from 2009 to 2015 pursuant to

the Sunset Act.

FISCAL IMPLICATIONS

The Medical Board reports that it is supportive of the SFC amendment and is able to fund the

initiative from existing resources.

The appropriation of $80 thousand contained in this bill is a recurring expense to the general

fund. Any unexpended or unencumbered balance remaining at the end of FY09 shall not revert

to the general fund.

In waiving the $400 application fee for medical doctors who apply to New Mexico as their first

state of licensure there will be loss of revenue to the NM Medical Board which is entirely self-

funded. The medical board reports that the goal is to recruit at least 200 residents to choose New

Mexico as the first state of licensure. This would result in a potential loss of $80 thousand in

revenue to the medical board fund.

SIGNIFICANT ISSUES

Physicians who are completing their residency and fellowship programs, and preparing to go into

independent practice for the first time, require a medical license from the state in which they will

practice. The medical board indicates that SB 127 would eliminate the initial expense for a

physician applying to practice in New Mexico under their first post-training medical license.

Analysis indicates that the medical board typically receives 51 applications a year for medical

doctors that would qualify for this waiver.

ADMINISTRATIVE IMPLICATIONS

The medical board indicates that licensing staff will need to monitor applications closely to

ensure that NM is the applicant’s first state of licensure.

OTHER SUBSTANTIVE ISSUES

The New Mexico Medical Board indicates that it is supportive of this bill.

POSSIBLE QUESTIONS

Is it realistic to assume that a physician would make the decision to come to New Mexico based

upon the ability to receive a $400 fee waiver.

GM/mt