New Mexico 2025 2025 Regular Session

New Mexico House Bill HB390 Introduced / Fiscal Note

Filed 02/13/2025

                    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 Zamora 
LAST UPDATED 
ORIGINAL DATE 
 
SHORT TITLE Curry County Water Lines 
BILL 
NUMBER House Bill 390 
  
ANALYST Davidson 
 
APPROPRIATION* 
(dollars in thousands) 
FY25 	FY26 
Recurring or 
Nonrecurring 
Fund 
Affected 
 $12,000 Nonrecurring General Fund 
Parentheses ( ) indicate expenditure decreases. 
*Amounts reflect most recent analysis of this legislation. 
  
Duplicates Senate Bill 339 
 
Sources of Information
 
 
LFC Files 
 
Agency Analysis Received From 
New Mexico Environment Department (NMED) Agency Analysis was Solicited but Not Received From 
Office of the State Engineer (OSE) Department of Finance Administration (DFA) 
 
SUMMARY 
 
Synopsis of House Bill 390   
 
House Bill 390 appropriates $12 million from the general fund to New Mexico Environment 
Department for the purpose of planning, designing, constructing, replacing, and improving the 
water lines in Curry County. 
 
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 $12 million contained in this bill is a nonrecurring expense to the general 
fund. Any unexpended or unencumbered balance remaining at the end of FY28 shall revert to the 
general fund. 
 
  House Bill 390 – Page 2 
 
Analysis from the New Mexico Environment Department (NMED) notes they would award the 
funding from the bill through a procurement process.  
 
SIGNIFICANT ISSUES 
 
The state currently has existing tools to implement projects such as the one highlighted in House 
Bill 390. The state’s drinking water state revolving fund provides funding for water 
infrastructure projects like the one proposed in the bill. Additionally, large amounts of federal 
funds are available to entities such as Curry County for use in water infrastructure projects. 
NMED analysis also foregrounds existing sources of infrastructure funding and notes that 
encouraging communities to use existing reserves of capital for infrastructure projects would aid 
in bolstering the state’s water infrastructure.  
 
Analysis from NMED notes the agency does not have the administrative or technical capacity to 
directly manage large-scale infrastructure projects. Agency analysis notes that because NMED 
serves as the regulatory authority for public water systems, taking on project related 
responsibilities could impact its regulatory duties. Therefore, the agency will go through the 
procurement process to find a contractor to implement the project. 
  
NMED analysis further notes the bill could be amended to provide the funding directly to Curry 
County or the appropriate local public water system to administer the project. 
 
CONFLICT, DUPLICATION, COMPANIONSHIP, RELATIONSHIP 
 
House Bill 390 is a duplicate of Senate Bill 339. 
 
AD/rl/SR