Fiscal impact reports (FIRs) are prepared by the Legislative Finance Committee (LFC) for standing finance
committees of the Legislature. LFC does not assume responsibility for the accuracy of these reports if they
are used for other purposes.
F I S C A L I M P A C T R E P O R T
SPONSOR Sanchez
LAST UPDATED
ORIGINAL DATE 2/11/2025
SHORT TITLE Housing Construction Curriculum
BILL
NUMBER House Bill 338
ANALYST Jorgensen
APPROPRIATION*
(dollars in thousands)
FY25 FY26
Recurring or
Nonrecurring
Fund
Affected $750.0 Recurring General Fund
Parentheses ( ) indicate expenditure decreases.
*Amounts reflect most recent analysis of this legislation.
Sources of Information
LFC Files
Agency Analysis Received From
Higher Education Department (HED) Northern New Mexico College (NNMC)
SUMMARY
Synopsis of House Bill 338
House Bill 338 (HB338) appropriates $750 thousand from the general fund to Northern New
Mexico College (NNMC) to implement and develop a cost-effective, energy-efficient rapid
housing construction system and corresponding curriculum.
This bill does not contain an effective date and, as a result, would go into effect 90 days after the
Legislature adjourns if enacted, or June 20, 2025.
FISCAL IMPLICATIONS
The appropriation of $750 thousand contained in this bill is a recurring expense to the general
fund. Any unexpended or unencumbered balance remaining at the end of FY26 shall revert to the
general fund.
SIGNIFICANT ISSUES
It is unclear if this program is a for-credit or non-credit program. The Legislature appropriated
$20 million per year for three years in the 2024 General Appropriation Act to pay student tuition
and fees for non-credit workforce training programs resulting in an industry-recognized House Bill 338 – Page 2
certificate or credential. If the program is a for-credit program, students would be eligible for the
Opportunity Scholarship. In either case, the program would have access to tuition revenue should
the program creation lead to increased enrollment.
The bill does not define what constitutes a housing “system.” If this language is meant to suggest
a standardized or easily customizable set of building materials and construction practices, it
should be noted that numerous commercial modular and prefabricated housing systems that meet
the criteria of HB338 already exist. The U.S. Department of Energy’s Building Technologies
Office provides resources on how to vet housing systems for cost and energy efficiency.
B.PUBLIC Prefab is a certified Public Benefit Corporation in Santa Fe that specializes in
developing prefabricated building systems perhaps like those envisioned in this bill. It is unclear
what the development of a new system would gain students, as compared to the research and
adoption of an existing system, which may also include established curriculum for trades
students. Given the magnitude of and complexity of developing a new housing system, it is
unlikely that a $750 thousand appropriation and a year-long timeframe is sufficient to
accomplish the goals of the bill. A cooperative partnership with an architecture program at one of
New Mexico’s research institutions may provide the resources necessary to accomplish the goals
of HB338.
Creation of a new trades program may have implications for space and equipment needs in the
future.
CJ/hj/SR/rl