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.



The LFC is only preparing FIRs on bills referred to the Senate Finance Committee, the Senate Ways and Means Committee, the House Appropriations and Finance Committee and the House Taxation and Revenue Committee. The chief clerks are responsible for preparing and issuing all other bill analyses.



Only the most recent FIR version, excluding attachments, is available on the Intranet. Previously issued FIRs and attachments may be obtained from the LFC office in Room 416 of the State Capitol Building.





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





SPONSOR: Nava DATE TYPED: 02/22/99 HB
SHORT TITLE: Early Literacy Program SB 242
ANALYST: Fernandez


APPROPRIATION



Appropriation Contained
Estimated Additional Impact
Recurring

or Non-Rec

Fund

Affected

FY99 FY2000 FY99 FY2000
$ 5,000.0 Recurring GF



(Parenthesis ( ) Indicate Expenditure Decreases)



Relates to SB 230, SB3/aSEC and HB3/aHEC



SOURCES OF INFORMATION



State Department of Public Education (SDE)



SUMMARY



Synopsis of Bill



Senate Bill 242 enacts a new section of the Public School Code to provide an early literacy program for students from kindergarten through second grade that are not reading at grade level.



Significant Issues



School districts must follow a program approval process and address specific program elements for students before or after school or on weekends. A school district's application must include a family involvement component that is based on family support principles.



An approved literacy program shall consist of a minimum of 90 hours of instruction per academic year for kindergarten students and a minimum of 180 hours of instruction per academic year for students in first and second grade.



Approved literacy programs shall demonstrate the following components: engaging and abundant literacy materials appropriate to the age of the students; effective instructional techniques that incorporate the most recent research in teaching reading; thorough integration of reading and writing activities; training for teachers and parents; and annual pre- and post-program assessments for students that delineate outcomes.



FISCAL IMPLICATIONS



Early literacy program units will be determined by multiplying the early literacy program MEM by the cost differential factor of .03.



Senate bill 242 appropriates $5,000.0 from the general fund to SDE for expenditure in fiscal year 2000 to fund early literacy programs in the public schools. Any unexpended or unencumbered balance remaining at the end of fiscal year 2000 shall revert to the general fund.

CONFLICT/DUPLICATION/COMPANIONSHIP/RELATIONSHIP



Included in SB3/aSEC and HB3/aHEC are appropriations of $15,000.0 to fund additional preschool and literacy programs to meet developmental and literacy needs of children age three through grade two. Such programs may include full-day kindergarten, half-day, summer or transition programs for children ages three through five or intensive literacy programs for students in kindergarten through second grade to ensure that all children are reading by the time they enter grade three.

TECHNICAL ISSUES



SDE indicates that in order to ensure that early literacy program units are included in the calculation of program cost, Section 22-8-19 NMSA 1978 should be amended to add the following:



C. The number of early literacy program units is determined by multiplying the early literacy program MEM by the cost differential factor .03.



POSSIBLE QUESTIONS



CTF/gm