NOTE: As provided in LFC policy, this report is intended 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 in any other situation.
| SPONSOR: | Rodriguez | DATE TYPED: | 1/28/99 | HB | |||
| SHORT TITLE: | Business Incubation Services | SB | 56 | ||||
| ANALYST: | Hadwiger | ||||||
| Recurring
or Non-Rec |
Fund
Affected | ||||
| FY99 | FY2000 | FY99 | FY2000 | ||
| $ 295.0 | Recurring | GF | |||
(Parenthesis ( ) Indicate Expenditure Decreases)
Duplicates/Conflicts with/Companion to/Relates to
SOURCES OF INFORMATION
LFC Files
Economic Development Department
University of New Mexico
SUMMARY
Synopsis of Bill
The bill appropriates $295.0 general fund in FY2000 to the Economic Development Department (EDD) to contract for business incubation services. Unexpended balances at the end of FY2000 would revert.
Significant Issues
There are many business incubators in New Mexico which help small businesses to become financially viable. Business incubators help entrepreneurs to develop innovative concepts and in the process create new jobs, new wealth, and economic development. Incubators generally provide hands-on management assistance, access to financing and orchestrated exposure to critical business or technical support services. They also generally offer entrepreneurial firms shared office services, access to equipment, flexible leases and expandable space.
FISCAL IMPLICATIONS
According to EDD, that agency will not incur additional overhead costs to administer the funds in this bill. The agency will act as a fiscal agent. Funds will be passed on through a contractual agreement.
DH/njw