Presentation Outline

bull ISC Funds amp Operating Budget Revenues

bull The State Budget Process

bull Summary of Amendments to the Work Plan Process

0

ISC Funds amp Operating Budget Revenues

bull How Revenues are Budgeted

bull General Fund

bull Trust Funds ndash Irrigation Works Construction Fund

ndash Improvement to the Rio Grande Income Fund

bull Emergency Drought Water Revenue (EDWA)

bull Strategic Water Reserve

bull Pecos Land Management Fund

bull Ute Revenues

bull Capital Outlay Revenues

1

2

How Revenues are Budgeted

bull Appropriation Request Process

ndash Revenue Budgeted in the Operating Budget

bull General authority usually given in the General Appropriation Act

bull Budget Adjustment Request (BAR) authority requested in the Appropriation Process

bull Other Acts of the Legislature

ndash Funds set up by Statute

bull Infrastructure Capital Improvement Plan Request Process

3

General Fund

The general fund is the primary fund from which the operations of state government

are financed and is the largest fund in terms of annual revenues It is also the

default fund into which revenue sources are deposited Section 6-4-2 NMSA 1978

provides that the state treasurer shall credit all revenues not otherwise allocated by

law to the general fund General Fund revenues consist of gross receipts and

compensating tax selective sales taxes income taxes and interest earnings

including distributions from the land grant permanent fund and severance tax

permanent fund and earnings on balances held by the state treasurer

4

Irrigation Works Construction Fund (IWCF) amp Improvement to the Rio Grande Income Fund (IRGIF)

Trust Funds

The Trust Funds Revenue Source Background The Ferguson Act of 1898 designated about one-ninth of all land in the state as trust land to

benefit certain public institutions The legislation identified the beneficiaries of the trust land

dedicated the amount of land to be held in trust for each beneficiary and provided for a board

made up of the public land commissioner territorial Governor and solicitor general of the

territory to assign specific tracts of trust land to each beneficiary

The act designated 500000 trust land acres to benefit reservoirs and other irrigation

works and 100000 acres to fund improvements to the Rio Grande These lands and the

trust lands set aside for 19 other beneficiaries are managed by the State Land Office which

transfers the income from certain revenue-raising activities directly to the beneficiaries

and deposits the revenue from activities that deplete the resource ndash such as mining ndash in

the Land Grant Permanent Fund That fund is invested by the State Investment Council and

the investment income is distributed to the trust beneficiaries

6

Land Grant Permanent Fund

The Land Grant Permanent Fund (LGPF) also known as the Permanent School Fund is one

of the largest funds of its kind in the country and every year provides more than a half-

billion dollars in benefits to New Mexicorsquos public schools universities and other

beneficiaries ($638 million in FY17)

Established through New Mexicorsquos entry into statehood in 1912 the LGPF has evolved and

grown over time due to revenue from leases and royalties produced by non-renewable

natural resources in New Mexico (primarily oil and gas) and income from returns on

invested capital

The 11-member State Investment Council and its staff are fiduciaries to the Fund and invest

the LGPF in accordance with the Uniform Prudent Investor Act standard

7

8

9

10

11

12

Irrigation Works Construction Fund (IWCF) Projections

ACTUAL PRE-AUDIT

FY16 FY17 FY18 FY19

BEGINNING BALANCE $15207005 $13509420 $14379216 $7027116

REVENUE

Permanent Fund $6633195 $5818195 $6000000 $6000000

InterestLoans $23408 $21427 $25000 $25000

Lease Income $747611 $2961863 $1000000 $1000000

Investment Income (Loss) $342433 $1768626 $400000 $400000

Miscellaneous $35800 $6000 $35000 $35000

TOTAL REVENUE $7782447 $10576111 $7460000 $7460000

EXPENDITURES

Specials amp BAR Authority $2500000 $2175000

Operating Budget $9480032 $9706315 $12312100 $12312100

TOTAL EXPENDITURES $9480032 $9706315 $14812100 $14487100

ADJUSTED BALANCE $13509420 $14379216 $7027116 $16

IRRIGATION WORKS CONSTRUCTION FUND (326)

PROJECTED

13

IWCF Distribution by Program for the FY18 appropriated budget amount of $123121M

Water Rights

Allocation

Program 184460$ 15

Interstate

Stream

Commission 704640$ 57

Litigation amp

Adjudication

Program 249200$ 20

Program

Support 92910$ 8

14

IRGIF

72-14-4 Budget and plan submitted to governor annually

The interstate stream commission shall annually prepare and submit a budget together

with a complete and detailed plan looking toward the improvement of the Rio Grande in

this state and increasing the surface flow of water in the river during the ensuing

fiscal year The plan and budget shall be submitted annually in accordance with the

provisions of Sections 6-3-1 through 6-3-22 NMSA 1978

History Laws 1935 ch 24 sect 1 1941 Comp sect 77-3304 Laws 1947 ch 131 sect 1 1953

Comp sect 75-34-4 Laws 1973 ch 201 sect 1 1997 ch 241 sect 1 1997 ch 246 sect 1

15

ISC Funds amp Operating Budget Revenues

bull How Revenues are Budgeted

bull General Fund

bull Trust Funds ndash Irrigation Works Construction Fund

ndash Improvement to the Rio Grande Income Fund

bull Emergency Drought Water Revenue (EDWA)

bull Strategic Water Reserve

bull Pecos Land Management Fund

bull Ute Revenues

bull Capital Outlay Revenues

1

2

How Revenues are Budgeted

bull Appropriation Request Process

ndash Revenue Budgeted in the Operating Budget

bull General authority usually given in the General Appropriation Act

bull Budget Adjustment Request (BAR) authority requested in the Appropriation Process

bull Other Acts of the Legislature

ndash Funds set up by Statute

bull Infrastructure Capital Improvement Plan Request Process

3

General Fund

The general fund is the primary fund from which the operations of state government

are financed and is the largest fund in terms of annual revenues It is also the

default fund into which revenue sources are deposited Section 6-4-2 NMSA 1978

provides that the state treasurer shall credit all revenues not otherwise allocated by

law to the general fund General Fund revenues consist of gross receipts and

compensating tax selective sales taxes income taxes and interest earnings

including distributions from the land grant permanent fund and severance tax

permanent fund and earnings on balances held by the state treasurer

4

Irrigation Works Construction Fund (IWCF) amp Improvement to the Rio Grande Income Fund (IRGIF)

Trust Funds

The Trust Funds Revenue Source Background The Ferguson Act of 1898 designated about one-ninth of all land in the state as trust land to

benefit certain public institutions The legislation identified the beneficiaries of the trust land

dedicated the amount of land to be held in trust for each beneficiary and provided for a board

made up of the public land commissioner territorial Governor and solicitor general of the

territory to assign specific tracts of trust land to each beneficiary

The act designated 500000 trust land acres to benefit reservoirs and other irrigation

works and 100000 acres to fund improvements to the Rio Grande These lands and the

trust lands set aside for 19 other beneficiaries are managed by the State Land Office which

transfers the income from certain revenue-raising activities directly to the beneficiaries

and deposits the revenue from activities that deplete the resource ndash such as mining ndash in

the Land Grant Permanent Fund That fund is invested by the State Investment Council and

the investment income is distributed to the trust beneficiaries

6

Land Grant Permanent Fund

The Land Grant Permanent Fund (LGPF) also known as the Permanent School Fund is one

of the largest funds of its kind in the country and every year provides more than a half-

billion dollars in benefits to New Mexicorsquos public schools universities and other

beneficiaries ($638 million in FY17)

Established through New Mexicorsquos entry into statehood in 1912 the LGPF has evolved and

grown over time due to revenue from leases and royalties produced by non-renewable

natural resources in New Mexico (primarily oil and gas) and income from returns on

invested capital

The 11-member State Investment Council and its staff are fiduciaries to the Fund and invest

the LGPF in accordance with the Uniform Prudent Investor Act standard

7

8

9

10

11

12

Irrigation Works Construction Fund (IWCF) Projections

ACTUAL PRE-AUDIT

FY16 FY17 FY18 FY19

BEGINNING BALANCE $15207005 $13509420 $14379216 $7027116

REVENUE

Permanent Fund $6633195 $5818195 $6000000 $6000000

InterestLoans $23408 $21427 $25000 $25000

Lease Income $747611 $2961863 $1000000 $1000000

Investment Income (Loss) $342433 $1768626 $400000 $400000

Miscellaneous $35800 $6000 $35000 $35000

TOTAL REVENUE $7782447 $10576111 $7460000 $7460000

EXPENDITURES

Specials amp BAR Authority $2500000 $2175000

Operating Budget $9480032 $9706315 $12312100 $12312100

TOTAL EXPENDITURES $9480032 $9706315 $14812100 $14487100

ADJUSTED BALANCE $13509420 $14379216 $7027116 $16

IRRIGATION WORKS CONSTRUCTION FUND (326)

PROJECTED

13

IWCF Distribution by Program for the FY18 appropriated budget amount of $123121M

Water Rights

Allocation

Program 184460$ 15

Interstate

Stream

Commission 704640$ 57

Litigation amp

Adjudication

Program 249200$ 20

Program

Support 92910$ 8

14

IRGIF

72-14-4 Budget and plan submitted to governor annually

The interstate stream commission shall annually prepare and submit a budget together

with a complete and detailed plan looking toward the improvement of the Rio Grande in

this state and increasing the surface flow of water in the river during the ensuing

fiscal year The plan and budget shall be submitted annually in accordance with the

provisions of Sections 6-3-1 through 6-3-22 NMSA 1978

History Laws 1935 ch 24 sect 1 1941 Comp sect 77-3304 Laws 1947 ch 131 sect 1 1953

Comp sect 75-34-4 Laws 1973 ch 201 sect 1 1997 ch 241 sect 1 1997 ch 246 sect 1

15

2

How Revenues are Budgeted

bull Appropriation Request Process

ndash Revenue Budgeted in the Operating Budget

bull General authority usually given in the General Appropriation Act

bull Budget Adjustment Request (BAR) authority requested in the Appropriation Process

bull Other Acts of the Legislature

ndash Funds set up by Statute

bull Infrastructure Capital Improvement Plan Request Process

3

General Fund

The general fund is the primary fund from which the operations of state government

are financed and is the largest fund in terms of annual revenues It is also the

default fund into which revenue sources are deposited Section 6-4-2 NMSA 1978

provides that the state treasurer shall credit all revenues not otherwise allocated by

law to the general fund General Fund revenues consist of gross receipts and

compensating tax selective sales taxes income taxes and interest earnings

including distributions from the land grant permanent fund and severance tax

permanent fund and earnings on balances held by the state treasurer

4

Irrigation Works Construction Fund (IWCF) amp Improvement to the Rio Grande Income Fund (IRGIF)

Trust Funds

The Trust Funds Revenue Source Background The Ferguson Act of 1898 designated about one-ninth of all land in the state as trust land to

benefit certain public institutions The legislation identified the beneficiaries of the trust land

dedicated the amount of land to be held in trust for each beneficiary and provided for a board

made up of the public land commissioner territorial Governor and solicitor general of the

territory to assign specific tracts of trust land to each beneficiary

The act designated 500000 trust land acres to benefit reservoirs and other irrigation

works and 100000 acres to fund improvements to the Rio Grande These lands and the

trust lands set aside for 19 other beneficiaries are managed by the State Land Office which

transfers the income from certain revenue-raising activities directly to the beneficiaries

and deposits the revenue from activities that deplete the resource ndash such as mining ndash in

the Land Grant Permanent Fund That fund is invested by the State Investment Council and

the investment income is distributed to the trust beneficiaries

6

Land Grant Permanent Fund

The Land Grant Permanent Fund (LGPF) also known as the Permanent School Fund is one

of the largest funds of its kind in the country and every year provides more than a half-

billion dollars in benefits to New Mexicorsquos public schools universities and other

beneficiaries ($638 million in FY17)

Established through New Mexicorsquos entry into statehood in 1912 the LGPF has evolved and

grown over time due to revenue from leases and royalties produced by non-renewable

natural resources in New Mexico (primarily oil and gas) and income from returns on

invested capital

The 11-member State Investment Council and its staff are fiduciaries to the Fund and invest

the LGPF in accordance with the Uniform Prudent Investor Act standard

7

8

9

10

11

12

Irrigation Works Construction Fund (IWCF) Projections

ACTUAL PRE-AUDIT

FY16 FY17 FY18 FY19

BEGINNING BALANCE $15207005 $13509420 $14379216 $7027116

REVENUE

Permanent Fund $6633195 $5818195 $6000000 $6000000

InterestLoans $23408 $21427 $25000 $25000

Lease Income $747611 $2961863 $1000000 $1000000

Investment Income (Loss) $342433 $1768626 $400000 $400000

Miscellaneous $35800 $6000 $35000 $35000

TOTAL REVENUE $7782447 $10576111 $7460000 $7460000

EXPENDITURES

Specials amp BAR Authority $2500000 $2175000

Operating Budget $9480032 $9706315 $12312100 $12312100

TOTAL EXPENDITURES $9480032 $9706315 $14812100 $14487100

ADJUSTED BALANCE $13509420 $14379216 $7027116 $16

IRRIGATION WORKS CONSTRUCTION FUND (326)

PROJECTED

13

IWCF Distribution by Program for the FY18 appropriated budget amount of $123121M

Water Rights

Allocation

Program 184460$ 15

Interstate

Stream

Commission 704640$ 57

Litigation amp

Adjudication

Program 249200$ 20

Program

Support 92910$ 8

14

IRGIF

72-14-4 Budget and plan submitted to governor annually

The interstate stream commission shall annually prepare and submit a budget together

with a complete and detailed plan looking toward the improvement of the Rio Grande in

this state and increasing the surface flow of water in the river during the ensuing

fiscal year The plan and budget shall be submitted annually in accordance with the

provisions of Sections 6-3-1 through 6-3-22 NMSA 1978

History Laws 1935 ch 24 sect 1 1941 Comp sect 77-3304 Laws 1947 ch 131 sect 1 1953

Comp sect 75-34-4 Laws 1973 ch 201 sect 1 1997 ch 241 sect 1 1997 ch 246 sect 1

15

How Revenues are Budgeted

bull Appropriation Request Process

ndash Revenue Budgeted in the Operating Budget

bull General authority usually given in the General Appropriation Act

bull Budget Adjustment Request (BAR) authority requested in the Appropriation Process

bull Other Acts of the Legislature

ndash Funds set up by Statute

bull Infrastructure Capital Improvement Plan Request Process

3

General Fund

The general fund is the primary fund from which the operations of state government

are financed and is the largest fund in terms of annual revenues It is also the

default fund into which revenue sources are deposited Section 6-4-2 NMSA 1978

provides that the state treasurer shall credit all revenues not otherwise allocated by

law to the general fund General Fund revenues consist of gross receipts and

compensating tax selective sales taxes income taxes and interest earnings

including distributions from the land grant permanent fund and severance tax

permanent fund and earnings on balances held by the state treasurer

4

Irrigation Works Construction Fund (IWCF) amp Improvement to the Rio Grande Income Fund (IRGIF)

Trust Funds

The Trust Funds Revenue Source Background The Ferguson Act of 1898 designated about one-ninth of all land in the state as trust land to

benefit certain public institutions The legislation identified the beneficiaries of the trust land

dedicated the amount of land to be held in trust for each beneficiary and provided for a board

made up of the public land commissioner territorial Governor and solicitor general of the

territory to assign specific tracts of trust land to each beneficiary

The act designated 500000 trust land acres to benefit reservoirs and other irrigation

works and 100000 acres to fund improvements to the Rio Grande These lands and the

trust lands set aside for 19 other beneficiaries are managed by the State Land Office which

transfers the income from certain revenue-raising activities directly to the beneficiaries

and deposits the revenue from activities that deplete the resource ndash such as mining ndash in

the Land Grant Permanent Fund That fund is invested by the State Investment Council and

the investment income is distributed to the trust beneficiaries

6

Land Grant Permanent Fund

The Land Grant Permanent Fund (LGPF) also known as the Permanent School Fund is one

of the largest funds of its kind in the country and every year provides more than a half-

billion dollars in benefits to New Mexicorsquos public schools universities and other

beneficiaries ($638 million in FY17)

Established through New Mexicorsquos entry into statehood in 1912 the LGPF has evolved and

grown over time due to revenue from leases and royalties produced by non-renewable

natural resources in New Mexico (primarily oil and gas) and income from returns on

invested capital

The 11-member State Investment Council and its staff are fiduciaries to the Fund and invest

the LGPF in accordance with the Uniform Prudent Investor Act standard

7

8

9

10

11

12

Irrigation Works Construction Fund (IWCF) Projections

ACTUAL PRE-AUDIT

FY16 FY17 FY18 FY19

BEGINNING BALANCE $15207005 $13509420 $14379216 $7027116

REVENUE

Permanent Fund $6633195 $5818195 $6000000 $6000000

InterestLoans $23408 $21427 $25000 $25000

Lease Income $747611 $2961863 $1000000 $1000000

Investment Income (Loss) $342433 $1768626 $400000 $400000

Miscellaneous $35800 $6000 $35000 $35000

TOTAL REVENUE $7782447 $10576111 $7460000 $7460000

EXPENDITURES

Specials amp BAR Authority $2500000 $2175000

Operating Budget $9480032 $9706315 $12312100 $12312100

TOTAL EXPENDITURES $9480032 $9706315 $14812100 $14487100

ADJUSTED BALANCE $13509420 $14379216 $7027116 $16

IRRIGATION WORKS CONSTRUCTION FUND (326)

PROJECTED

13

IWCF Distribution by Program for the FY18 appropriated budget amount of $123121M

Water Rights

Allocation

Program 184460$ 15

Interstate

Stream

Commission 704640$ 57

Litigation amp

Adjudication

Program 249200$ 20

Program

Support 92910$ 8

14

IRGIF

72-14-4 Budget and plan submitted to governor annually

The interstate stream commission shall annually prepare and submit a budget together

with a complete and detailed plan looking toward the improvement of the Rio Grande in

this state and increasing the surface flow of water in the river during the ensuing

fiscal year The plan and budget shall be submitted annually in accordance with the

provisions of Sections 6-3-1 through 6-3-22 NMSA 1978

History Laws 1935 ch 24 sect 1 1941 Comp sect 77-3304 Laws 1947 ch 131 sect 1 1953

Comp sect 75-34-4 Laws 1973 ch 201 sect 1 1997 ch 241 sect 1 1997 ch 246 sect 1

15

General Fund

The general fund is the primary fund from which the operations of state government

are financed and is the largest fund in terms of annual revenues It is also the

default fund into which revenue sources are deposited Section 6-4-2 NMSA 1978

provides that the state treasurer shall credit all revenues not otherwise allocated by

law to the general fund General Fund revenues consist of gross receipts and

compensating tax selective sales taxes income taxes and interest earnings

including distributions from the land grant permanent fund and severance tax

permanent fund and earnings on balances held by the state treasurer

4

Irrigation Works Construction Fund (IWCF) amp Improvement to the Rio Grande Income Fund (IRGIF)

Trust Funds

The Trust Funds Revenue Source Background The Ferguson Act of 1898 designated about one-ninth of all land in the state as trust land to

benefit certain public institutions The legislation identified the beneficiaries of the trust land

dedicated the amount of land to be held in trust for each beneficiary and provided for a board

made up of the public land commissioner territorial Governor and solicitor general of the

territory to assign specific tracts of trust land to each beneficiary

The act designated 500000 trust land acres to benefit reservoirs and other irrigation

works and 100000 acres to fund improvements to the Rio Grande These lands and the

trust lands set aside for 19 other beneficiaries are managed by the State Land Office which

transfers the income from certain revenue-raising activities directly to the beneficiaries

and deposits the revenue from activities that deplete the resource ndash such as mining ndash in

the Land Grant Permanent Fund That fund is invested by the State Investment Council and

the investment income is distributed to the trust beneficiaries

6

Land Grant Permanent Fund

The Land Grant Permanent Fund (LGPF) also known as the Permanent School Fund is one

of the largest funds of its kind in the country and every year provides more than a half-

billion dollars in benefits to New Mexicorsquos public schools universities and other

beneficiaries ($638 million in FY17)

Established through New Mexicorsquos entry into statehood in 1912 the LGPF has evolved and

grown over time due to revenue from leases and royalties produced by non-renewable

natural resources in New Mexico (primarily oil and gas) and income from returns on

invested capital

The 11-member State Investment Council and its staff are fiduciaries to the Fund and invest

the LGPF in accordance with the Uniform Prudent Investor Act standard

7

8

9

10

11

12

Irrigation Works Construction Fund (IWCF) Projections

ACTUAL PRE-AUDIT

FY16 FY17 FY18 FY19

BEGINNING BALANCE $15207005 $13509420 $14379216 $7027116

REVENUE

Permanent Fund $6633195 $5818195 $6000000 $6000000

InterestLoans $23408 $21427 $25000 $25000

Lease Income $747611 $2961863 $1000000 $1000000

Investment Income (Loss) $342433 $1768626 $400000 $400000

Miscellaneous $35800 $6000 $35000 $35000

TOTAL REVENUE $7782447 $10576111 $7460000 $7460000

EXPENDITURES

Specials amp BAR Authority $2500000 $2175000

Operating Budget $9480032 $9706315 $12312100 $12312100

TOTAL EXPENDITURES $9480032 $9706315 $14812100 $14487100

ADJUSTED BALANCE $13509420 $14379216 $7027116 $16

IRRIGATION WORKS CONSTRUCTION FUND (326)

PROJECTED

13

IWCF Distribution by Program for the FY18 appropriated budget amount of $123121M

Water Rights

Allocation

Program 184460$ 15

Interstate

Stream

Commission 704640$ 57

Litigation amp

Adjudication

Program 249200$ 20

Program

Support 92910$ 8

14

IRGIF

72-14-4 Budget and plan submitted to governor annually

The interstate stream commission shall annually prepare and submit a budget together

with a complete and detailed plan looking toward the improvement of the Rio Grande in

this state and increasing the surface flow of water in the river during the ensuing

fiscal year The plan and budget shall be submitted annually in accordance with the

provisions of Sections 6-3-1 through 6-3-22 NMSA 1978

History Laws 1935 ch 24 sect 1 1941 Comp sect 77-3304 Laws 1947 ch 131 sect 1 1953

Comp sect 75-34-4 Laws 1973 ch 201 sect 1 1997 ch 241 sect 1 1997 ch 246 sect 1

15

Irrigation Works Construction Fund (IWCF) amp Improvement to the Rio Grande Income Fund (IRGIF)

Trust Funds

The Trust Funds Revenue Source Background The Ferguson Act of 1898 designated about one-ninth of all land in the state as trust land to

benefit certain public institutions The legislation identified the beneficiaries of the trust land

dedicated the amount of land to be held in trust for each beneficiary and provided for a board

made up of the public land commissioner territorial Governor and solicitor general of the

territory to assign specific tracts of trust land to each beneficiary

The act designated 500000 trust land acres to benefit reservoirs and other irrigation

works and 100000 acres to fund improvements to the Rio Grande These lands and the

trust lands set aside for 19 other beneficiaries are managed by the State Land Office which

transfers the income from certain revenue-raising activities directly to the beneficiaries

and deposits the revenue from activities that deplete the resource ndash such as mining ndash in

the Land Grant Permanent Fund That fund is invested by the State Investment Council and

the investment income is distributed to the trust beneficiaries

6

Land Grant Permanent Fund

The Land Grant Permanent Fund (LGPF) also known as the Permanent School Fund is one

of the largest funds of its kind in the country and every year provides more than a half-

billion dollars in benefits to New Mexicorsquos public schools universities and other

beneficiaries ($638 million in FY17)

Established through New Mexicorsquos entry into statehood in 1912 the LGPF has evolved and

grown over time due to revenue from leases and royalties produced by non-renewable

natural resources in New Mexico (primarily oil and gas) and income from returns on

invested capital

The 11-member State Investment Council and its staff are fiduciaries to the Fund and invest

the LGPF in accordance with the Uniform Prudent Investor Act standard

7

8

9

10

11

12

Irrigation Works Construction Fund (IWCF) Projections

ACTUAL PRE-AUDIT

FY16 FY17 FY18 FY19

BEGINNING BALANCE $15207005 $13509420 $14379216 $7027116

REVENUE

Permanent Fund $6633195 $5818195 $6000000 $6000000

InterestLoans $23408 $21427 $25000 $25000

Lease Income $747611 $2961863 $1000000 $1000000

Investment Income (Loss) $342433 $1768626 $400000 $400000

Miscellaneous $35800 $6000 $35000 $35000

TOTAL REVENUE $7782447 $10576111 $7460000 $7460000

EXPENDITURES

Specials amp BAR Authority $2500000 $2175000

Operating Budget $9480032 $9706315 $12312100 $12312100

TOTAL EXPENDITURES $9480032 $9706315 $14812100 $14487100

ADJUSTED BALANCE $13509420 $14379216 $7027116 $16

IRRIGATION WORKS CONSTRUCTION FUND (326)

PROJECTED

13

IWCF Distribution by Program for the FY18 appropriated budget amount of $123121M

Water Rights

Allocation

Program 184460$ 15

Interstate

Stream

Commission 704640$ 57

Litigation amp

Adjudication

Program 249200$ 20

Program

Support 92910$ 8

14

IRGIF

72-14-4 Budget and plan submitted to governor annually

The interstate stream commission shall annually prepare and submit a budget together

with a complete and detailed plan looking toward the improvement of the Rio Grande in

this state and increasing the surface flow of water in the river during the ensuing

fiscal year The plan and budget shall be submitted annually in accordance with the

provisions of Sections 6-3-1 through 6-3-22 NMSA 1978

History Laws 1935 ch 24 sect 1 1941 Comp sect 77-3304 Laws 1947 ch 131 sect 1 1953

Comp sect 75-34-4 Laws 1973 ch 201 sect 1 1997 ch 241 sect 1 1997 ch 246 sect 1

15

The Trust Funds Revenue Source Background The Ferguson Act of 1898 designated about one-ninth of all land in the state as trust land to

benefit certain public institutions The legislation identified the beneficiaries of the trust land

dedicated the amount of land to be held in trust for each beneficiary and provided for a board

made up of the public land commissioner territorial Governor and solicitor general of the

territory to assign specific tracts of trust land to each beneficiary

The act designated 500000 trust land acres to benefit reservoirs and other irrigation

works and 100000 acres to fund improvements to the Rio Grande These lands and the

trust lands set aside for 19 other beneficiaries are managed by the State Land Office which

transfers the income from certain revenue-raising activities directly to the beneficiaries

and deposits the revenue from activities that deplete the resource ndash such as mining ndash in

the Land Grant Permanent Fund That fund is invested by the State Investment Council and

the investment income is distributed to the trust beneficiaries

6

Land Grant Permanent Fund

The Land Grant Permanent Fund (LGPF) also known as the Permanent School Fund is one

of the largest funds of its kind in the country and every year provides more than a half-

billion dollars in benefits to New Mexicorsquos public schools universities and other

beneficiaries ($638 million in FY17)

Established through New Mexicorsquos entry into statehood in 1912 the LGPF has evolved and

grown over time due to revenue from leases and royalties produced by non-renewable

natural resources in New Mexico (primarily oil and gas) and income from returns on

invested capital

The 11-member State Investment Council and its staff are fiduciaries to the Fund and invest

the LGPF in accordance with the Uniform Prudent Investor Act standard

7

8

9

10

11

12

Irrigation Works Construction Fund (IWCF) Projections

ACTUAL PRE-AUDIT

FY16 FY17 FY18 FY19

BEGINNING BALANCE $15207005 $13509420 $14379216 $7027116

REVENUE

Permanent Fund $6633195 $5818195 $6000000 $6000000

InterestLoans $23408 $21427 $25000 $25000

Lease Income $747611 $2961863 $1000000 $1000000

Investment Income (Loss) $342433 $1768626 $400000 $400000

Miscellaneous $35800 $6000 $35000 $35000

TOTAL REVENUE $7782447 $10576111 $7460000 $7460000

EXPENDITURES

Specials amp BAR Authority $2500000 $2175000

Operating Budget $9480032 $9706315 $12312100 $12312100

TOTAL EXPENDITURES $9480032 $9706315 $14812100 $14487100

ADJUSTED BALANCE $13509420 $14379216 $7027116 $16

IRRIGATION WORKS CONSTRUCTION FUND (326)

PROJECTED

13

IWCF Distribution by Program for the FY18 appropriated budget amount of $123121M

Water Rights

Allocation

Program 184460$ 15

Interstate

Stream

Commission 704640$ 57

Litigation amp

Adjudication

Program 249200$ 20

Program

Support 92910$ 8

14

IRGIF

72-14-4 Budget and plan submitted to governor annually

The interstate stream commission shall annually prepare and submit a budget together

with a complete and detailed plan looking toward the improvement of the Rio Grande in

this state and increasing the surface flow of water in the river during the ensuing

fiscal year The plan and budget shall be submitted annually in accordance with the

provisions of Sections 6-3-1 through 6-3-22 NMSA 1978

History Laws 1935 ch 24 sect 1 1941 Comp sect 77-3304 Laws 1947 ch 131 sect 1 1953

Comp sect 75-34-4 Laws 1973 ch 201 sect 1 1997 ch 241 sect 1 1997 ch 246 sect 1

15

Land Grant Permanent Fund

The Land Grant Permanent Fund (LGPF) also known as the Permanent School Fund is one

of the largest funds of its kind in the country and every year provides more than a half-

billion dollars in benefits to New Mexicorsquos public schools universities and other

beneficiaries ($638 million in FY17)

Established through New Mexicorsquos entry into statehood in 1912 the LGPF has evolved and

grown over time due to revenue from leases and royalties produced by non-renewable

natural resources in New Mexico (primarily oil and gas) and income from returns on

invested capital

The 11-member State Investment Council and its staff are fiduciaries to the Fund and invest

the LGPF in accordance with the Uniform Prudent Investor Act standard

7

8

9

10

11

12

Irrigation Works Construction Fund (IWCF) Projections

ACTUAL PRE-AUDIT

FY16 FY17 FY18 FY19

BEGINNING BALANCE $15207005 $13509420 $14379216 $7027116

REVENUE

Permanent Fund $6633195 $5818195 $6000000 $6000000

InterestLoans $23408 $21427 $25000 $25000

Lease Income $747611 $2961863 $1000000 $1000000

Investment Income (Loss) $342433 $1768626 $400000 $400000

Miscellaneous $35800 $6000 $35000 $35000

TOTAL REVENUE $7782447 $10576111 $7460000 $7460000

EXPENDITURES

Specials amp BAR Authority $2500000 $2175000

Operating Budget $9480032 $9706315 $12312100 $12312100

TOTAL EXPENDITURES $9480032 $9706315 $14812100 $14487100

ADJUSTED BALANCE $13509420 $14379216 $7027116 $16

IRRIGATION WORKS CONSTRUCTION FUND (326)

PROJECTED

13

IWCF Distribution by Program for the FY18 appropriated budget amount of $123121M

Water Rights

Allocation

Program 184460$ 15

Interstate

Stream

Commission 704640$ 57

Litigation amp

Adjudication

Program 249200$ 20

Program

Support 92910$ 8

14

IRGIF

72-14-4 Budget and plan submitted to governor annually

The interstate stream commission shall annually prepare and submit a budget together

with a complete and detailed plan looking toward the improvement of the Rio Grande in

this state and increasing the surface flow of water in the river during the ensuing

fiscal year The plan and budget shall be submitted annually in accordance with the

provisions of Sections 6-3-1 through 6-3-22 NMSA 1978

History Laws 1935 ch 24 sect 1 1941 Comp sect 77-3304 Laws 1947 ch 131 sect 1 1953

Comp sect 75-34-4 Laws 1973 ch 201 sect 1 1997 ch 241 sect 1 1997 ch 246 sect 1

15

8

9

10

11

12

Irrigation Works Construction Fund (IWCF) Projections

ACTUAL PRE-AUDIT

FY16 FY17 FY18 FY19

BEGINNING BALANCE $15207005 $13509420 $14379216 $7027116

REVENUE

Permanent Fund $6633195 $5818195 $6000000 $6000000

InterestLoans $23408 $21427 $25000 $25000

Lease Income $747611 $2961863 $1000000 $1000000

Investment Income (Loss) $342433 $1768626 $400000 $400000

Miscellaneous $35800 $6000 $35000 $35000

TOTAL REVENUE $7782447 $10576111 $7460000 $7460000

EXPENDITURES

Specials amp BAR Authority $2500000 $2175000

Operating Budget $9480032 $9706315 $12312100 $12312100

TOTAL EXPENDITURES $9480032 $9706315 $14812100 $14487100

ADJUSTED BALANCE $13509420 $14379216 $7027116 $16

IRRIGATION WORKS CONSTRUCTION FUND (326)

PROJECTED

13

IWCF Distribution by Program for the FY18 appropriated budget amount of $123121M

Water Rights

Allocation

Program 184460$ 15

Interstate

Stream

Commission 704640$ 57

Litigation amp

Adjudication

Program 249200$ 20

Program

Support 92910$ 8

14

IRGIF

72-14-4 Budget and plan submitted to governor annually

The interstate stream commission shall annually prepare and submit a budget together

with a complete and detailed plan looking toward the improvement of the Rio Grande in

this state and increasing the surface flow of water in the river during the ensuing

fiscal year The plan and budget shall be submitted annually in accordance with the

provisions of Sections 6-3-1 through 6-3-22 NMSA 1978

History Laws 1935 ch 24 sect 1 1941 Comp sect 77-3304 Laws 1947 ch 131 sect 1 1953

Comp sect 75-34-4 Laws 1973 ch 201 sect 1 1997 ch 241 sect 1 1997 ch 246 sect 1

15

9

10

11

12

Irrigation Works Construction Fund (IWCF) Projections

ACTUAL PRE-AUDIT

FY16 FY17 FY18 FY19

BEGINNING BALANCE $15207005 $13509420 $14379216 $7027116

REVENUE

Permanent Fund $6633195 $5818195 $6000000 $6000000

InterestLoans $23408 $21427 $25000 $25000

Lease Income $747611 $2961863 $1000000 $1000000

Investment Income (Loss) $342433 $1768626 $400000 $400000

Miscellaneous $35800 $6000 $35000 $35000

TOTAL REVENUE $7782447 $10576111 $7460000 $7460000

EXPENDITURES

Specials amp BAR Authority $2500000 $2175000

Operating Budget $9480032 $9706315 $12312100 $12312100

TOTAL EXPENDITURES $9480032 $9706315 $14812100 $14487100

ADJUSTED BALANCE $13509420 $14379216 $7027116 $16

IRRIGATION WORKS CONSTRUCTION FUND (326)

PROJECTED

13

IWCF Distribution by Program for the FY18 appropriated budget amount of $123121M

Water Rights

Allocation

Program 184460$ 15

Interstate

Stream

Commission 704640$ 57

Litigation amp

Adjudication

Program 249200$ 20

Program

Support 92910$ 8

14

IRGIF

72-14-4 Budget and plan submitted to governor annually

The interstate stream commission shall annually prepare and submit a budget together

with a complete and detailed plan looking toward the improvement of the Rio Grande in

this state and increasing the surface flow of water in the river during the ensuing

fiscal year The plan and budget shall be submitted annually in accordance with the

provisions of Sections 6-3-1 through 6-3-22 NMSA 1978

History Laws 1935 ch 24 sect 1 1941 Comp sect 77-3304 Laws 1947 ch 131 sect 1 1953

Comp sect 75-34-4 Laws 1973 ch 201 sect 1 1997 ch 241 sect 1 1997 ch 246 sect 1

15

10

11

12

Irrigation Works Construction Fund (IWCF) Projections

ACTUAL PRE-AUDIT

FY16 FY17 FY18 FY19

BEGINNING BALANCE $15207005 $13509420 $14379216 $7027116

REVENUE

Permanent Fund $6633195 $5818195 $6000000 $6000000

InterestLoans $23408 $21427 $25000 $25000

Lease Income $747611 $2961863 $1000000 $1000000

Investment Income (Loss) $342433 $1768626 $400000 $400000

Miscellaneous $35800 $6000 $35000 $35000

TOTAL REVENUE $7782447 $10576111 $7460000 $7460000

EXPENDITURES

Specials amp BAR Authority $2500000 $2175000

Operating Budget $9480032 $9706315 $12312100 $12312100

TOTAL EXPENDITURES $9480032 $9706315 $14812100 $14487100

ADJUSTED BALANCE $13509420 $14379216 $7027116 $16

IRRIGATION WORKS CONSTRUCTION FUND (326)

PROJECTED

13

IWCF Distribution by Program for the FY18 appropriated budget amount of $123121M

Water Rights

Allocation

Program 184460$ 15

Interstate

Stream

Commission 704640$ 57

Litigation amp

Adjudication

Program 249200$ 20

Program

Support 92910$ 8

14

IRGIF

72-14-4 Budget and plan submitted to governor annually

The interstate stream commission shall annually prepare and submit a budget together

with a complete and detailed plan looking toward the improvement of the Rio Grande in

this state and increasing the surface flow of water in the river during the ensuing

fiscal year The plan and budget shall be submitted annually in accordance with the

provisions of Sections 6-3-1 through 6-3-22 NMSA 1978

History Laws 1935 ch 24 sect 1 1941 Comp sect 77-3304 Laws 1947 ch 131 sect 1 1953

Comp sect 75-34-4 Laws 1973 ch 201 sect 1 1997 ch 241 sect 1 1997 ch 246 sect 1

15

11

12

Irrigation Works Construction Fund (IWCF) Projections

ACTUAL PRE-AUDIT

FY16 FY17 FY18 FY19

BEGINNING BALANCE $15207005 $13509420 $14379216 $7027116

REVENUE

Permanent Fund $6633195 $5818195 $6000000 $6000000

InterestLoans $23408 $21427 $25000 $25000

Lease Income $747611 $2961863 $1000000 $1000000

Investment Income (Loss) $342433 $1768626 $400000 $400000

Miscellaneous $35800 $6000 $35000 $35000

TOTAL REVENUE $7782447 $10576111 $7460000 $7460000

EXPENDITURES

Specials amp BAR Authority $2500000 $2175000

Operating Budget $9480032 $9706315 $12312100 $12312100

TOTAL EXPENDITURES $9480032 $9706315 $14812100 $14487100

ADJUSTED BALANCE $13509420 $14379216 $7027116 $16

IRRIGATION WORKS CONSTRUCTION FUND (326)

PROJECTED

13

IWCF Distribution by Program for the FY18 appropriated budget amount of $123121M

Water Rights

Allocation

Program 184460$ 15

Interstate

Stream

Commission 704640$ 57

Litigation amp

Adjudication

Program 249200$ 20

Program

Support 92910$ 8

14

IRGIF

72-14-4 Budget and plan submitted to governor annually

The interstate stream commission shall annually prepare and submit a budget together

with a complete and detailed plan looking toward the improvement of the Rio Grande in

this state and increasing the surface flow of water in the river during the ensuing

fiscal year The plan and budget shall be submitted annually in accordance with the

provisions of Sections 6-3-1 through 6-3-22 NMSA 1978

History Laws 1935 ch 24 sect 1 1941 Comp sect 77-3304 Laws 1947 ch 131 sect 1 1953

Comp sect 75-34-4 Laws 1973 ch 201 sect 1 1997 ch 241 sect 1 1997 ch 246 sect 1

15

12

Irrigation Works Construction Fund (IWCF) Projections

ACTUAL PRE-AUDIT

FY16 FY17 FY18 FY19

BEGINNING BALANCE $15207005 $13509420 $14379216 $7027116

REVENUE

Permanent Fund $6633195 $5818195 $6000000 $6000000

InterestLoans $23408 $21427 $25000 $25000

Lease Income $747611 $2961863 $1000000 $1000000

Investment Income (Loss) $342433 $1768626 $400000 $400000

Miscellaneous $35800 $6000 $35000 $35000

TOTAL REVENUE $7782447 $10576111 $7460000 $7460000

EXPENDITURES

Specials amp BAR Authority $2500000 $2175000

Operating Budget $9480032 $9706315 $12312100 $12312100

TOTAL EXPENDITURES $9480032 $9706315 $14812100 $14487100

ADJUSTED BALANCE $13509420 $14379216 $7027116 $16

IRRIGATION WORKS CONSTRUCTION FUND (326)

PROJECTED

13

IWCF Distribution by Program for the FY18 appropriated budget amount of $123121M

Water Rights

Allocation

Program 184460$ 15

Interstate

Stream

Commission 704640$ 57

Litigation amp

Adjudication

Program 249200$ 20

Program

Support 92910$ 8

14

IRGIF

72-14-4 Budget and plan submitted to governor annually

The interstate stream commission shall annually prepare and submit a budget together

with a complete and detailed plan looking toward the improvement of the Rio Grande in

this state and increasing the surface flow of water in the river during the ensuing

fiscal year The plan and budget shall be submitted annually in accordance with the

provisions of Sections 6-3-1 through 6-3-22 NMSA 1978

History Laws 1935 ch 24 sect 1 1941 Comp sect 77-3304 Laws 1947 ch 131 sect 1 1953

Comp sect 75-34-4 Laws 1973 ch 201 sect 1 1997 ch 241 sect 1 1997 ch 246 sect 1

15

Irrigation Works Construction Fund (IWCF) Projections

ACTUAL PRE-AUDIT

FY16 FY17 FY18 FY19

BEGINNING BALANCE $15207005 $13509420 $14379216 $7027116

REVENUE

Permanent Fund $6633195 $5818195 $6000000 $6000000

InterestLoans $23408 $21427 $25000 $25000

Lease Income $747611 $2961863 $1000000 $1000000

Investment Income (Loss) $342433 $1768626 $400000 $400000

Miscellaneous $35800 $6000 $35000 $35000

TOTAL REVENUE $7782447 $10576111 $7460000 $7460000

EXPENDITURES

Specials amp BAR Authority $2500000 $2175000

Operating Budget $9480032 $9706315 $12312100 $12312100

TOTAL EXPENDITURES $9480032 $9706315 $14812100 $14487100

ADJUSTED BALANCE $13509420 $14379216 $7027116 $16

IRRIGATION WORKS CONSTRUCTION FUND (326)

PROJECTED

13

IWCF Distribution by Program for the FY18 appropriated budget amount of $123121M

Water Rights

Allocation

Program 184460$ 15

Interstate

Stream

Commission 704640$ 57

Litigation amp

Adjudication

Program 249200$ 20

Program

Support 92910$ 8

14

IRGIF

72-14-4 Budget and plan submitted to governor annually

The interstate stream commission shall annually prepare and submit a budget together

with a complete and detailed plan looking toward the improvement of the Rio Grande in

this state and increasing the surface flow of water in the river during the ensuing

fiscal year The plan and budget shall be submitted annually in accordance with the

provisions of Sections 6-3-1 through 6-3-22 NMSA 1978

History Laws 1935 ch 24 sect 1 1941 Comp sect 77-3304 Laws 1947 ch 131 sect 1 1953

Comp sect 75-34-4 Laws 1973 ch 201 sect 1 1997 ch 241 sect 1 1997 ch 246 sect 1

15

IWCF Distribution by Program for the FY18 appropriated budget amount of $123121M

Water Rights

Allocation

Program 184460$ 15

Interstate

Stream

Commission 704640$ 57

Litigation amp

Adjudication

Program 249200$ 20

Program

Support 92910$ 8

14

IRGIF

72-14-4 Budget and plan submitted to governor annually

The interstate stream commission shall annually prepare and submit a budget together

with a complete and detailed plan looking toward the improvement of the Rio Grande in

this state and increasing the surface flow of water in the river during the ensuing

fiscal year The plan and budget shall be submitted annually in accordance with the

provisions of Sections 6-3-1 through 6-3-22 NMSA 1978

History Laws 1935 ch 24 sect 1 1941 Comp sect 77-3304 Laws 1947 ch 131 sect 1 1953

Comp sect 75-34-4 Laws 1973 ch 201 sect 1 1997 ch 241 sect 1 1997 ch 246 sect 1

15

IRGIF

72-14-4 Budget and plan submitted to governor annually

The interstate stream commission shall annually prepare and submit a budget together

with a complete and detailed plan looking toward the improvement of the Rio Grande in

this state and increasing the surface flow of water in the river during the ensuing

fiscal year The plan and budget shall be submitted annually in accordance with the

provisions of Sections 6-3-1 through 6-3-22 NMSA 1978

History Laws 1935 ch 24 sect 1 1941 Comp sect 77-3304 Laws 1947 ch 131 sect 1 1953

Comp sect 75-34-4 Laws 1973 ch 201 sect 1 1997 ch 241 sect 1 1997 ch 246 sect 1

15

Improvement to the Rio Grande Income Fund (IRGIF)

ACTUAL PRE-AUDIT

FY16 FY17 FY18 FY19

BEGINNING BALANCE $6502230 $6574788 $8830893 $6648293

REVENUE

Permanent Fund $1495407 $1329890 $1400000 $1400000

Lease Income $90505 $1443926 $100000 $100000

Investment Income (Loss) $35837 $245214 $50000 $50000

TOTAL REVENUE $1621749 $3019030 $1550000 $1550000

EXPENDITURES

Specials amp BAR Authority $1200000 $272000

Operating Budget $1549191 $762925 $2532600 $2532600

TOTAL EXPENDITURES $1549191 $762925 $3732600 $2804600

ADJUSTED BALANCE $6574788 $8830893 $6648293 $5393693

IMPROVEMENT OF THE RIO GRANDE INCOME FUND (328)

PROJECTED

16

IRGIF Distribution for the FY18 appropriated budget amount of $25326

Water Rights

Allocation

Program 14760$ 6

Interstate

Stream

Commission 238500$ 94

17

Emergency Drought Water Agreement Revenue

bull Revenue Source Relinquishment credit stored amp released pursuant to the EDWA agreement

bull Fund Balance $2691342

bull Revenue Budget Process

ndash For FY19 budgeted $668k in the FY19 appropriation request for personnel costs

ndash Also budget funds on an as needed basis through the Budget Adjustment Process but need authority in the GAA

18

19

20

21

22

23

24

25

26

27

28

29

30

Ute Revenues

bull Fund originally set up to pay bond debt issued years ago for Ute Dam

bull Revenues from bulk water sale encroachment license fees amp easements deposited into the fund

bull Revenues historically have been used for operation amp maintenance costs for Ute dam

bull Fund Balance $626593

bull Revenue Budget Process

ndash Budget revenue on an as needed basis through the budget adjustment request process (BAR) bull Need to request specific BAR language in the appropriation request process in order to

budget the funds since the Ute Construction Fund does not give the Commission authority to budget the revenue

31

Active Capital Outlay Appropriations

bull $1M to purchase land and water rights within the interstate stream commissions existing pricing guidelines

and for the development of augmentation well fields and pipelines and related professional services for the Pecos River Compact settlement for the Pecos Settlement to purchase water rights (funded from the Attorney General Settlement Fund) ndashAvailable Balance = $4266k

bull $2M - notwithstanding the provisions of the Water Project Finance Act to the contrary is appropriated from

the water project fund to the office of the state engineer for expenditure in fiscal years 2016 through 2020 unless otherwise provided in Section 2 of this act to plan design and construct an engineered levee in the San Acacia reach in Socorro county- Available Balance = $14M

bull $2M to plan design renovate construct and equip improvements to acequias statewide (Attorney

General Settlement Fund) Available Balance Available Balance = $1005k bull $900k to rehab the LLSMR to plan design remodel rebuild construct and equip conservation rearing

ponds and hatcheries for a silvery minnow refugium production facility in Los Lunas in Valencia county (STB revenue bonds) Available Balance $0

bull $450k to plan design and construct habitat restoration projects in the middle Rio Grande conservancy

district or habitat restoration in the MRG (STB revenue Bonds) Available Balance = $1455k bull IWR appropriations ndash $58M Fund Balance for Taos Settlement bull Flow through appropriations to the ISC to act as fiscal agent for specific acequia projects ndash 28 current

appropriations that total approximately $13M

32

State Budget Process

bull Statutory Deadlines amp Submittals of Required Documents

bull Analysis amp Recommendation Process

bull What Happens During the Session (executive perspective)

33

Important to remember throughout this process

bull The Governor is our boss and controls what we will officially request in the appropriation request process

bull The Governor through the Department of Finance and Administration and the Legislature control the budget budget increases what is allowable to budget the dollar amount and time period and the request to move budget between appropriated budget categories

bull There are always exceptions to the appropriation request process

ndash Every administration interprets policies processes and laws differently and applies it based on their interpretation

bull Take inventory of our budget needs in July to be prepared to discuss and try and persuade the Governors office and DFA to allow us to make the official request on paper

ndash If not allowed to make the official budget request then cannot lobby for the budget need (need to be careful on how to respond when asked about the need)

bull Another chance to make a difference to the recommendation is the first few weeks of January to persuade the DFA andor LFC that their recommendation will not work for the agency before their recommendation is adopted in HAFC for the GAA (HB2)

34

Budget Requests Time Line

bullInfrastructure Capital Improvement Plan Due (ICIP) Statutory Deadline

July 1st

bullAppropriation Request Statutory Deadline September 1st

bullDFA State Budget Division amp Legislative Finance Committee staff analyze agency budget requests amp hold meetings and hearings to pursue issues pertinent to requests

Sept - Dec

bullInstructions amp deadlines for the Special Appropriations Deficiencies Supplemental and Budget Adjustment Request Authority submittals

October - November

bullState law requires the Governor to prepare a budget to the LFC January 5th (even yrs) January10th (odd years)

bullLFC amp SBD prepare different sheets that shows major differences in revenues expenditures amp total budget between the executive and LFC recommendations

January

bullHAFC holds budget hearings in which the different sheets are presented and the committee will either adopt the executive recommendation

Session

bullOperating Budget Submittal Statutory Deadline May 1st

35

Capital Improvement Plan (ICIP) (July 1)

bull Governor amp DFA do not usually restrict agencies from submitted their capital outlay needs in the 5 year plan

bull Purchase of assets ie water rights equipment etc

bull Construction ie pipelines buildings etc

bull Long term in nature

bull Personnel costs not allowed

bull Appropriated for longer time frame 4 years amp 3 years to purchase an asset

bull If bonds are certified for project than 5 of appropriation must be expended within 6 months and 85 expended within 3 years

bull Funding Sources for projects from either GO Bonds Severance Tax Bonds or General Fund

36

37

38

The State Budget Act (sect6-3A-7 NMSA 1978) and the

Accountability in Government Act (sect6-3A-1 to 6-3A-8 NMSA

1978) set forth the framework and requirements for state

government budgeting in New Mexico

39

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

IRGIF Distribution for the FY18 appropriated budget amount of $25326

Water Rights

Allocation

Program 14760$ 6

Interstate

Stream

Commission 238500$ 94

17

Emergency Drought Water Agreement Revenue

bull Revenue Source Relinquishment credit stored amp released pursuant to the EDWA agreement

bull Fund Balance $2691342

bull Revenue Budget Process

ndash For FY19 budgeted $668k in the FY19 appropriation request for personnel costs

ndash Also budget funds on an as needed basis through the Budget Adjustment Process but need authority in the GAA

18

19

20

21

22

23

24

25

26

27

28

29

30

Ute Revenues

bull Fund originally set up to pay bond debt issued years ago for Ute Dam

bull Revenues from bulk water sale encroachment license fees amp easements deposited into the fund

bull Revenues historically have been used for operation amp maintenance costs for Ute dam

bull Fund Balance $626593

bull Revenue Budget Process

ndash Budget revenue on an as needed basis through the budget adjustment request process (BAR) bull Need to request specific BAR language in the appropriation request process in order to

budget the funds since the Ute Construction Fund does not give the Commission authority to budget the revenue

31

Active Capital Outlay Appropriations

bull $1M to purchase land and water rights within the interstate stream commissions existing pricing guidelines

and for the development of augmentation well fields and pipelines and related professional services for the Pecos River Compact settlement for the Pecos Settlement to purchase water rights (funded from the Attorney General Settlement Fund) ndashAvailable Balance = $4266k

bull $2M - notwithstanding the provisions of the Water Project Finance Act to the contrary is appropriated from

the water project fund to the office of the state engineer for expenditure in fiscal years 2016 through 2020 unless otherwise provided in Section 2 of this act to plan design and construct an engineered levee in the San Acacia reach in Socorro county- Available Balance = $14M

bull $2M to plan design renovate construct and equip improvements to acequias statewide (Attorney

General Settlement Fund) Available Balance Available Balance = $1005k bull $900k to rehab the LLSMR to plan design remodel rebuild construct and equip conservation rearing

ponds and hatcheries for a silvery minnow refugium production facility in Los Lunas in Valencia county (STB revenue bonds) Available Balance $0

bull $450k to plan design and construct habitat restoration projects in the middle Rio Grande conservancy

district or habitat restoration in the MRG (STB revenue Bonds) Available Balance = $1455k bull IWR appropriations ndash $58M Fund Balance for Taos Settlement bull Flow through appropriations to the ISC to act as fiscal agent for specific acequia projects ndash 28 current

appropriations that total approximately $13M

32

State Budget Process

bull Statutory Deadlines amp Submittals of Required Documents

bull Analysis amp Recommendation Process

bull What Happens During the Session (executive perspective)

33

Important to remember throughout this process

bull The Governor is our boss and controls what we will officially request in the appropriation request process

bull The Governor through the Department of Finance and Administration and the Legislature control the budget budget increases what is allowable to budget the dollar amount and time period and the request to move budget between appropriated budget categories

bull There are always exceptions to the appropriation request process

ndash Every administration interprets policies processes and laws differently and applies it based on their interpretation

bull Take inventory of our budget needs in July to be prepared to discuss and try and persuade the Governors office and DFA to allow us to make the official request on paper

ndash If not allowed to make the official budget request then cannot lobby for the budget need (need to be careful on how to respond when asked about the need)

bull Another chance to make a difference to the recommendation is the first few weeks of January to persuade the DFA andor LFC that their recommendation will not work for the agency before their recommendation is adopted in HAFC for the GAA (HB2)

34

Budget Requests Time Line

bullInfrastructure Capital Improvement Plan Due (ICIP) Statutory Deadline

July 1st

bullAppropriation Request Statutory Deadline September 1st

bullDFA State Budget Division amp Legislative Finance Committee staff analyze agency budget requests amp hold meetings and hearings to pursue issues pertinent to requests

Sept - Dec

bullInstructions amp deadlines for the Special Appropriations Deficiencies Supplemental and Budget Adjustment Request Authority submittals

October - November

bullState law requires the Governor to prepare a budget to the LFC January 5th (even yrs) January10th (odd years)

bullLFC amp SBD prepare different sheets that shows major differences in revenues expenditures amp total budget between the executive and LFC recommendations

January

bullHAFC holds budget hearings in which the different sheets are presented and the committee will either adopt the executive recommendation

Session

bullOperating Budget Submittal Statutory Deadline May 1st

35

Capital Improvement Plan (ICIP) (July 1)

bull Governor amp DFA do not usually restrict agencies from submitted their capital outlay needs in the 5 year plan

bull Purchase of assets ie water rights equipment etc

bull Construction ie pipelines buildings etc

bull Long term in nature

bull Personnel costs not allowed

bull Appropriated for longer time frame 4 years amp 3 years to purchase an asset

bull If bonds are certified for project than 5 of appropriation must be expended within 6 months and 85 expended within 3 years

bull Funding Sources for projects from either GO Bonds Severance Tax Bonds or General Fund

36

37

38

The State Budget Act (sect6-3A-7 NMSA 1978) and the

Accountability in Government Act (sect6-3A-1 to 6-3A-8 NMSA

1978) set forth the framework and requirements for state

government budgeting in New Mexico

39

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

Emergency Drought Water Agreement Revenue

bull Revenue Source Relinquishment credit stored amp released pursuant to the EDWA agreement

bull Fund Balance $2691342

bull Revenue Budget Process

ndash For FY19 budgeted $668k in the FY19 appropriation request for personnel costs

ndash Also budget funds on an as needed basis through the Budget Adjustment Process but need authority in the GAA

18

19

20

21

22

23

24

25

26

27

28

29

30

Ute Revenues

bull Fund originally set up to pay bond debt issued years ago for Ute Dam

bull Revenues from bulk water sale encroachment license fees amp easements deposited into the fund

bull Revenues historically have been used for operation amp maintenance costs for Ute dam

bull Fund Balance $626593

bull Revenue Budget Process

ndash Budget revenue on an as needed basis through the budget adjustment request process (BAR) bull Need to request specific BAR language in the appropriation request process in order to

budget the funds since the Ute Construction Fund does not give the Commission authority to budget the revenue

31

Active Capital Outlay Appropriations

bull $1M to purchase land and water rights within the interstate stream commissions existing pricing guidelines

and for the development of augmentation well fields and pipelines and related professional services for the Pecos River Compact settlement for the Pecos Settlement to purchase water rights (funded from the Attorney General Settlement Fund) ndashAvailable Balance = $4266k

bull $2M - notwithstanding the provisions of the Water Project Finance Act to the contrary is appropriated from

the water project fund to the office of the state engineer for expenditure in fiscal years 2016 through 2020 unless otherwise provided in Section 2 of this act to plan design and construct an engineered levee in the San Acacia reach in Socorro county- Available Balance = $14M

bull $2M to plan design renovate construct and equip improvements to acequias statewide (Attorney

General Settlement Fund) Available Balance Available Balance = $1005k bull $900k to rehab the LLSMR to plan design remodel rebuild construct and equip conservation rearing

ponds and hatcheries for a silvery minnow refugium production facility in Los Lunas in Valencia county (STB revenue bonds) Available Balance $0

bull $450k to plan design and construct habitat restoration projects in the middle Rio Grande conservancy

district or habitat restoration in the MRG (STB revenue Bonds) Available Balance = $1455k bull IWR appropriations ndash $58M Fund Balance for Taos Settlement bull Flow through appropriations to the ISC to act as fiscal agent for specific acequia projects ndash 28 current

appropriations that total approximately $13M

32

State Budget Process

bull Statutory Deadlines amp Submittals of Required Documents

bull Analysis amp Recommendation Process

bull What Happens During the Session (executive perspective)

33

Important to remember throughout this process

bull The Governor is our boss and controls what we will officially request in the appropriation request process

bull The Governor through the Department of Finance and Administration and the Legislature control the budget budget increases what is allowable to budget the dollar amount and time period and the request to move budget between appropriated budget categories

bull There are always exceptions to the appropriation request process

ndash Every administration interprets policies processes and laws differently and applies it based on their interpretation

bull Take inventory of our budget needs in July to be prepared to discuss and try and persuade the Governors office and DFA to allow us to make the official request on paper

ndash If not allowed to make the official budget request then cannot lobby for the budget need (need to be careful on how to respond when asked about the need)

bull Another chance to make a difference to the recommendation is the first few weeks of January to persuade the DFA andor LFC that their recommendation will not work for the agency before their recommendation is adopted in HAFC for the GAA (HB2)

34

Budget Requests Time Line

bullInfrastructure Capital Improvement Plan Due (ICIP) Statutory Deadline

July 1st

bullAppropriation Request Statutory Deadline September 1st

bullDFA State Budget Division amp Legislative Finance Committee staff analyze agency budget requests amp hold meetings and hearings to pursue issues pertinent to requests

Sept - Dec

bullInstructions amp deadlines for the Special Appropriations Deficiencies Supplemental and Budget Adjustment Request Authority submittals

October - November

bullState law requires the Governor to prepare a budget to the LFC January 5th (even yrs) January10th (odd years)

bullLFC amp SBD prepare different sheets that shows major differences in revenues expenditures amp total budget between the executive and LFC recommendations

January

bullHAFC holds budget hearings in which the different sheets are presented and the committee will either adopt the executive recommendation

Session

bullOperating Budget Submittal Statutory Deadline May 1st

35

Capital Improvement Plan (ICIP) (July 1)

bull Governor amp DFA do not usually restrict agencies from submitted their capital outlay needs in the 5 year plan

bull Purchase of assets ie water rights equipment etc

bull Construction ie pipelines buildings etc

bull Long term in nature

bull Personnel costs not allowed

bull Appropriated for longer time frame 4 years amp 3 years to purchase an asset

bull If bonds are certified for project than 5 of appropriation must be expended within 6 months and 85 expended within 3 years

bull Funding Sources for projects from either GO Bonds Severance Tax Bonds or General Fund

36

37

38

The State Budget Act (sect6-3A-7 NMSA 1978) and the

Accountability in Government Act (sect6-3A-1 to 6-3A-8 NMSA

1978) set forth the framework and requirements for state

government budgeting in New Mexico

39

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

19

20

21

22

23

24

25

26

27

28

29

30

Ute Revenues

bull Fund originally set up to pay bond debt issued years ago for Ute Dam

bull Revenues from bulk water sale encroachment license fees amp easements deposited into the fund

bull Revenues historically have been used for operation amp maintenance costs for Ute dam

bull Fund Balance $626593

bull Revenue Budget Process

ndash Budget revenue on an as needed basis through the budget adjustment request process (BAR) bull Need to request specific BAR language in the appropriation request process in order to

budget the funds since the Ute Construction Fund does not give the Commission authority to budget the revenue

31

Active Capital Outlay Appropriations

bull $1M to purchase land and water rights within the interstate stream commissions existing pricing guidelines

and for the development of augmentation well fields and pipelines and related professional services for the Pecos River Compact settlement for the Pecos Settlement to purchase water rights (funded from the Attorney General Settlement Fund) ndashAvailable Balance = $4266k

bull $2M - notwithstanding the provisions of the Water Project Finance Act to the contrary is appropriated from

the water project fund to the office of the state engineer for expenditure in fiscal years 2016 through 2020 unless otherwise provided in Section 2 of this act to plan design and construct an engineered levee in the San Acacia reach in Socorro county- Available Balance = $14M

bull $2M to plan design renovate construct and equip improvements to acequias statewide (Attorney

General Settlement Fund) Available Balance Available Balance = $1005k bull $900k to rehab the LLSMR to plan design remodel rebuild construct and equip conservation rearing

ponds and hatcheries for a silvery minnow refugium production facility in Los Lunas in Valencia county (STB revenue bonds) Available Balance $0

bull $450k to plan design and construct habitat restoration projects in the middle Rio Grande conservancy

district or habitat restoration in the MRG (STB revenue Bonds) Available Balance = $1455k bull IWR appropriations ndash $58M Fund Balance for Taos Settlement bull Flow through appropriations to the ISC to act as fiscal agent for specific acequia projects ndash 28 current

appropriations that total approximately $13M

32

State Budget Process

bull Statutory Deadlines amp Submittals of Required Documents

bull Analysis amp Recommendation Process

bull What Happens During the Session (executive perspective)

33

Important to remember throughout this process

bull The Governor is our boss and controls what we will officially request in the appropriation request process

bull The Governor through the Department of Finance and Administration and the Legislature control the budget budget increases what is allowable to budget the dollar amount and time period and the request to move budget between appropriated budget categories

bull There are always exceptions to the appropriation request process

ndash Every administration interprets policies processes and laws differently and applies it based on their interpretation

bull Take inventory of our budget needs in July to be prepared to discuss and try and persuade the Governors office and DFA to allow us to make the official request on paper

ndash If not allowed to make the official budget request then cannot lobby for the budget need (need to be careful on how to respond when asked about the need)

bull Another chance to make a difference to the recommendation is the first few weeks of January to persuade the DFA andor LFC that their recommendation will not work for the agency before their recommendation is adopted in HAFC for the GAA (HB2)

34

Budget Requests Time Line

bullInfrastructure Capital Improvement Plan Due (ICIP) Statutory Deadline

July 1st

bullAppropriation Request Statutory Deadline September 1st

bullDFA State Budget Division amp Legislative Finance Committee staff analyze agency budget requests amp hold meetings and hearings to pursue issues pertinent to requests

Sept - Dec

bullInstructions amp deadlines for the Special Appropriations Deficiencies Supplemental and Budget Adjustment Request Authority submittals

October - November

bullState law requires the Governor to prepare a budget to the LFC January 5th (even yrs) January10th (odd years)

bullLFC amp SBD prepare different sheets that shows major differences in revenues expenditures amp total budget between the executive and LFC recommendations

January

bullHAFC holds budget hearings in which the different sheets are presented and the committee will either adopt the executive recommendation

Session

bullOperating Budget Submittal Statutory Deadline May 1st

35

Capital Improvement Plan (ICIP) (July 1)

bull Governor amp DFA do not usually restrict agencies from submitted their capital outlay needs in the 5 year plan

bull Purchase of assets ie water rights equipment etc

bull Construction ie pipelines buildings etc

bull Long term in nature

bull Personnel costs not allowed

bull Appropriated for longer time frame 4 years amp 3 years to purchase an asset

bull If bonds are certified for project than 5 of appropriation must be expended within 6 months and 85 expended within 3 years

bull Funding Sources for projects from either GO Bonds Severance Tax Bonds or General Fund

36

37

38

The State Budget Act (sect6-3A-7 NMSA 1978) and the

Accountability in Government Act (sect6-3A-1 to 6-3A-8 NMSA

1978) set forth the framework and requirements for state

government budgeting in New Mexico

39

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

20

21

22

23

24

25

26

27

28

29

30

Ute Revenues

bull Fund originally set up to pay bond debt issued years ago for Ute Dam

bull Revenues from bulk water sale encroachment license fees amp easements deposited into the fund

bull Revenues historically have been used for operation amp maintenance costs for Ute dam

bull Fund Balance $626593

bull Revenue Budget Process

ndash Budget revenue on an as needed basis through the budget adjustment request process (BAR) bull Need to request specific BAR language in the appropriation request process in order to

budget the funds since the Ute Construction Fund does not give the Commission authority to budget the revenue

31

Active Capital Outlay Appropriations

bull $1M to purchase land and water rights within the interstate stream commissions existing pricing guidelines

and for the development of augmentation well fields and pipelines and related professional services for the Pecos River Compact settlement for the Pecos Settlement to purchase water rights (funded from the Attorney General Settlement Fund) ndashAvailable Balance = $4266k

bull $2M - notwithstanding the provisions of the Water Project Finance Act to the contrary is appropriated from

the water project fund to the office of the state engineer for expenditure in fiscal years 2016 through 2020 unless otherwise provided in Section 2 of this act to plan design and construct an engineered levee in the San Acacia reach in Socorro county- Available Balance = $14M

bull $2M to plan design renovate construct and equip improvements to acequias statewide (Attorney

General Settlement Fund) Available Balance Available Balance = $1005k bull $900k to rehab the LLSMR to plan design remodel rebuild construct and equip conservation rearing

ponds and hatcheries for a silvery minnow refugium production facility in Los Lunas in Valencia county (STB revenue bonds) Available Balance $0

bull $450k to plan design and construct habitat restoration projects in the middle Rio Grande conservancy

district or habitat restoration in the MRG (STB revenue Bonds) Available Balance = $1455k bull IWR appropriations ndash $58M Fund Balance for Taos Settlement bull Flow through appropriations to the ISC to act as fiscal agent for specific acequia projects ndash 28 current

appropriations that total approximately $13M

32

State Budget Process

bull Statutory Deadlines amp Submittals of Required Documents

bull Analysis amp Recommendation Process

bull What Happens During the Session (executive perspective)

33

Important to remember throughout this process

bull The Governor is our boss and controls what we will officially request in the appropriation request process

bull The Governor through the Department of Finance and Administration and the Legislature control the budget budget increases what is allowable to budget the dollar amount and time period and the request to move budget between appropriated budget categories

bull There are always exceptions to the appropriation request process

ndash Every administration interprets policies processes and laws differently and applies it based on their interpretation

bull Take inventory of our budget needs in July to be prepared to discuss and try and persuade the Governors office and DFA to allow us to make the official request on paper

ndash If not allowed to make the official budget request then cannot lobby for the budget need (need to be careful on how to respond when asked about the need)

bull Another chance to make a difference to the recommendation is the first few weeks of January to persuade the DFA andor LFC that their recommendation will not work for the agency before their recommendation is adopted in HAFC for the GAA (HB2)

34

Budget Requests Time Line

bullInfrastructure Capital Improvement Plan Due (ICIP) Statutory Deadline

July 1st

bullAppropriation Request Statutory Deadline September 1st

bullDFA State Budget Division amp Legislative Finance Committee staff analyze agency budget requests amp hold meetings and hearings to pursue issues pertinent to requests

Sept - Dec

bullInstructions amp deadlines for the Special Appropriations Deficiencies Supplemental and Budget Adjustment Request Authority submittals

October - November

bullState law requires the Governor to prepare a budget to the LFC January 5th (even yrs) January10th (odd years)

bullLFC amp SBD prepare different sheets that shows major differences in revenues expenditures amp total budget between the executive and LFC recommendations

January

bullHAFC holds budget hearings in which the different sheets are presented and the committee will either adopt the executive recommendation

Session

bullOperating Budget Submittal Statutory Deadline May 1st

35

Capital Improvement Plan (ICIP) (July 1)

bull Governor amp DFA do not usually restrict agencies from submitted their capital outlay needs in the 5 year plan

bull Purchase of assets ie water rights equipment etc

bull Construction ie pipelines buildings etc

bull Long term in nature

bull Personnel costs not allowed

bull Appropriated for longer time frame 4 years amp 3 years to purchase an asset

bull If bonds are certified for project than 5 of appropriation must be expended within 6 months and 85 expended within 3 years

bull Funding Sources for projects from either GO Bonds Severance Tax Bonds or General Fund

36

37

38

The State Budget Act (sect6-3A-7 NMSA 1978) and the

Accountability in Government Act (sect6-3A-1 to 6-3A-8 NMSA

1978) set forth the framework and requirements for state

government budgeting in New Mexico

39

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

21

22

23

24

25

26

27

28

29

30

Ute Revenues

bull Fund originally set up to pay bond debt issued years ago for Ute Dam

bull Revenues from bulk water sale encroachment license fees amp easements deposited into the fund

bull Revenues historically have been used for operation amp maintenance costs for Ute dam

bull Fund Balance $626593

bull Revenue Budget Process

ndash Budget revenue on an as needed basis through the budget adjustment request process (BAR) bull Need to request specific BAR language in the appropriation request process in order to

budget the funds since the Ute Construction Fund does not give the Commission authority to budget the revenue

31

Active Capital Outlay Appropriations

bull $1M to purchase land and water rights within the interstate stream commissions existing pricing guidelines

and for the development of augmentation well fields and pipelines and related professional services for the Pecos River Compact settlement for the Pecos Settlement to purchase water rights (funded from the Attorney General Settlement Fund) ndashAvailable Balance = $4266k

bull $2M - notwithstanding the provisions of the Water Project Finance Act to the contrary is appropriated from

the water project fund to the office of the state engineer for expenditure in fiscal years 2016 through 2020 unless otherwise provided in Section 2 of this act to plan design and construct an engineered levee in the San Acacia reach in Socorro county- Available Balance = $14M

bull $2M to plan design renovate construct and equip improvements to acequias statewide (Attorney

General Settlement Fund) Available Balance Available Balance = $1005k bull $900k to rehab the LLSMR to plan design remodel rebuild construct and equip conservation rearing

ponds and hatcheries for a silvery minnow refugium production facility in Los Lunas in Valencia county (STB revenue bonds) Available Balance $0

bull $450k to plan design and construct habitat restoration projects in the middle Rio Grande conservancy

district or habitat restoration in the MRG (STB revenue Bonds) Available Balance = $1455k bull IWR appropriations ndash $58M Fund Balance for Taos Settlement bull Flow through appropriations to the ISC to act as fiscal agent for specific acequia projects ndash 28 current

appropriations that total approximately $13M

32

State Budget Process

bull Statutory Deadlines amp Submittals of Required Documents

bull Analysis amp Recommendation Process

bull What Happens During the Session (executive perspective)

33

Important to remember throughout this process

bull The Governor is our boss and controls what we will officially request in the appropriation request process

bull The Governor through the Department of Finance and Administration and the Legislature control the budget budget increases what is allowable to budget the dollar amount and time period and the request to move budget between appropriated budget categories

bull There are always exceptions to the appropriation request process

ndash Every administration interprets policies processes and laws differently and applies it based on their interpretation

bull Take inventory of our budget needs in July to be prepared to discuss and try and persuade the Governors office and DFA to allow us to make the official request on paper

ndash If not allowed to make the official budget request then cannot lobby for the budget need (need to be careful on how to respond when asked about the need)

bull Another chance to make a difference to the recommendation is the first few weeks of January to persuade the DFA andor LFC that their recommendation will not work for the agency before their recommendation is adopted in HAFC for the GAA (HB2)

34

Budget Requests Time Line

bullInfrastructure Capital Improvement Plan Due (ICIP) Statutory Deadline

July 1st

bullAppropriation Request Statutory Deadline September 1st

bullDFA State Budget Division amp Legislative Finance Committee staff analyze agency budget requests amp hold meetings and hearings to pursue issues pertinent to requests

Sept - Dec

bullInstructions amp deadlines for the Special Appropriations Deficiencies Supplemental and Budget Adjustment Request Authority submittals

October - November

bullState law requires the Governor to prepare a budget to the LFC January 5th (even yrs) January10th (odd years)

bullLFC amp SBD prepare different sheets that shows major differences in revenues expenditures amp total budget between the executive and LFC recommendations

January

bullHAFC holds budget hearings in which the different sheets are presented and the committee will either adopt the executive recommendation

Session

bullOperating Budget Submittal Statutory Deadline May 1st

35

Capital Improvement Plan (ICIP) (July 1)

bull Governor amp DFA do not usually restrict agencies from submitted their capital outlay needs in the 5 year plan

bull Purchase of assets ie water rights equipment etc

bull Construction ie pipelines buildings etc

bull Long term in nature

bull Personnel costs not allowed

bull Appropriated for longer time frame 4 years amp 3 years to purchase an asset

bull If bonds are certified for project than 5 of appropriation must be expended within 6 months and 85 expended within 3 years

bull Funding Sources for projects from either GO Bonds Severance Tax Bonds or General Fund

36

37

38

The State Budget Act (sect6-3A-7 NMSA 1978) and the

Accountability in Government Act (sect6-3A-1 to 6-3A-8 NMSA

1978) set forth the framework and requirements for state

government budgeting in New Mexico

39

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

22

23

24

25

26

27

28

29

30

Ute Revenues

bull Fund originally set up to pay bond debt issued years ago for Ute Dam

bull Revenues from bulk water sale encroachment license fees amp easements deposited into the fund

bull Revenues historically have been used for operation amp maintenance costs for Ute dam

bull Fund Balance $626593

bull Revenue Budget Process

ndash Budget revenue on an as needed basis through the budget adjustment request process (BAR) bull Need to request specific BAR language in the appropriation request process in order to

budget the funds since the Ute Construction Fund does not give the Commission authority to budget the revenue

31

Active Capital Outlay Appropriations

bull $1M to purchase land and water rights within the interstate stream commissions existing pricing guidelines

and for the development of augmentation well fields and pipelines and related professional services for the Pecos River Compact settlement for the Pecos Settlement to purchase water rights (funded from the Attorney General Settlement Fund) ndashAvailable Balance = $4266k

bull $2M - notwithstanding the provisions of the Water Project Finance Act to the contrary is appropriated from

the water project fund to the office of the state engineer for expenditure in fiscal years 2016 through 2020 unless otherwise provided in Section 2 of this act to plan design and construct an engineered levee in the San Acacia reach in Socorro county- Available Balance = $14M

bull $2M to plan design renovate construct and equip improvements to acequias statewide (Attorney

General Settlement Fund) Available Balance Available Balance = $1005k bull $900k to rehab the LLSMR to plan design remodel rebuild construct and equip conservation rearing

ponds and hatcheries for a silvery minnow refugium production facility in Los Lunas in Valencia county (STB revenue bonds) Available Balance $0

bull $450k to plan design and construct habitat restoration projects in the middle Rio Grande conservancy

district or habitat restoration in the MRG (STB revenue Bonds) Available Balance = $1455k bull IWR appropriations ndash $58M Fund Balance for Taos Settlement bull Flow through appropriations to the ISC to act as fiscal agent for specific acequia projects ndash 28 current

appropriations that total approximately $13M

32

State Budget Process

bull Statutory Deadlines amp Submittals of Required Documents

bull Analysis amp Recommendation Process

bull What Happens During the Session (executive perspective)

33

Important to remember throughout this process

bull The Governor is our boss and controls what we will officially request in the appropriation request process

bull The Governor through the Department of Finance and Administration and the Legislature control the budget budget increases what is allowable to budget the dollar amount and time period and the request to move budget between appropriated budget categories

bull There are always exceptions to the appropriation request process

ndash Every administration interprets policies processes and laws differently and applies it based on their interpretation

bull Take inventory of our budget needs in July to be prepared to discuss and try and persuade the Governors office and DFA to allow us to make the official request on paper

ndash If not allowed to make the official budget request then cannot lobby for the budget need (need to be careful on how to respond when asked about the need)

bull Another chance to make a difference to the recommendation is the first few weeks of January to persuade the DFA andor LFC that their recommendation will not work for the agency before their recommendation is adopted in HAFC for the GAA (HB2)

34

Budget Requests Time Line

bullInfrastructure Capital Improvement Plan Due (ICIP) Statutory Deadline

July 1st

bullAppropriation Request Statutory Deadline September 1st

bullDFA State Budget Division amp Legislative Finance Committee staff analyze agency budget requests amp hold meetings and hearings to pursue issues pertinent to requests

Sept - Dec

bullInstructions amp deadlines for the Special Appropriations Deficiencies Supplemental and Budget Adjustment Request Authority submittals

October - November

bullState law requires the Governor to prepare a budget to the LFC January 5th (even yrs) January10th (odd years)

bullLFC amp SBD prepare different sheets that shows major differences in revenues expenditures amp total budget between the executive and LFC recommendations

January

bullHAFC holds budget hearings in which the different sheets are presented and the committee will either adopt the executive recommendation

Session

bullOperating Budget Submittal Statutory Deadline May 1st

35

Capital Improvement Plan (ICIP) (July 1)

bull Governor amp DFA do not usually restrict agencies from submitted their capital outlay needs in the 5 year plan

bull Purchase of assets ie water rights equipment etc

bull Construction ie pipelines buildings etc

bull Long term in nature

bull Personnel costs not allowed

bull Appropriated for longer time frame 4 years amp 3 years to purchase an asset

bull If bonds are certified for project than 5 of appropriation must be expended within 6 months and 85 expended within 3 years

bull Funding Sources for projects from either GO Bonds Severance Tax Bonds or General Fund

36

37

38

The State Budget Act (sect6-3A-7 NMSA 1978) and the

Accountability in Government Act (sect6-3A-1 to 6-3A-8 NMSA

1978) set forth the framework and requirements for state

government budgeting in New Mexico

39

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

23

24

25

26

27

28

29

30

Ute Revenues

bull Fund originally set up to pay bond debt issued years ago for Ute Dam

bull Revenues from bulk water sale encroachment license fees amp easements deposited into the fund

bull Revenues historically have been used for operation amp maintenance costs for Ute dam

bull Fund Balance $626593

bull Revenue Budget Process

ndash Budget revenue on an as needed basis through the budget adjustment request process (BAR) bull Need to request specific BAR language in the appropriation request process in order to

budget the funds since the Ute Construction Fund does not give the Commission authority to budget the revenue

31

Active Capital Outlay Appropriations

bull $1M to purchase land and water rights within the interstate stream commissions existing pricing guidelines

and for the development of augmentation well fields and pipelines and related professional services for the Pecos River Compact settlement for the Pecos Settlement to purchase water rights (funded from the Attorney General Settlement Fund) ndashAvailable Balance = $4266k

bull $2M - notwithstanding the provisions of the Water Project Finance Act to the contrary is appropriated from

the water project fund to the office of the state engineer for expenditure in fiscal years 2016 through 2020 unless otherwise provided in Section 2 of this act to plan design and construct an engineered levee in the San Acacia reach in Socorro county- Available Balance = $14M

bull $2M to plan design renovate construct and equip improvements to acequias statewide (Attorney

General Settlement Fund) Available Balance Available Balance = $1005k bull $900k to rehab the LLSMR to plan design remodel rebuild construct and equip conservation rearing

ponds and hatcheries for a silvery minnow refugium production facility in Los Lunas in Valencia county (STB revenue bonds) Available Balance $0

bull $450k to plan design and construct habitat restoration projects in the middle Rio Grande conservancy

district or habitat restoration in the MRG (STB revenue Bonds) Available Balance = $1455k bull IWR appropriations ndash $58M Fund Balance for Taos Settlement bull Flow through appropriations to the ISC to act as fiscal agent for specific acequia projects ndash 28 current

appropriations that total approximately $13M

32

State Budget Process

bull Statutory Deadlines amp Submittals of Required Documents

bull Analysis amp Recommendation Process

bull What Happens During the Session (executive perspective)

33

Important to remember throughout this process

bull The Governor is our boss and controls what we will officially request in the appropriation request process

bull The Governor through the Department of Finance and Administration and the Legislature control the budget budget increases what is allowable to budget the dollar amount and time period and the request to move budget between appropriated budget categories

bull There are always exceptions to the appropriation request process

ndash Every administration interprets policies processes and laws differently and applies it based on their interpretation

bull Take inventory of our budget needs in July to be prepared to discuss and try and persuade the Governors office and DFA to allow us to make the official request on paper

ndash If not allowed to make the official budget request then cannot lobby for the budget need (need to be careful on how to respond when asked about the need)

bull Another chance to make a difference to the recommendation is the first few weeks of January to persuade the DFA andor LFC that their recommendation will not work for the agency before their recommendation is adopted in HAFC for the GAA (HB2)

34

Budget Requests Time Line

bullInfrastructure Capital Improvement Plan Due (ICIP) Statutory Deadline

July 1st

bullAppropriation Request Statutory Deadline September 1st

bullDFA State Budget Division amp Legislative Finance Committee staff analyze agency budget requests amp hold meetings and hearings to pursue issues pertinent to requests

Sept - Dec

bullInstructions amp deadlines for the Special Appropriations Deficiencies Supplemental and Budget Adjustment Request Authority submittals

October - November

bullState law requires the Governor to prepare a budget to the LFC January 5th (even yrs) January10th (odd years)

bullLFC amp SBD prepare different sheets that shows major differences in revenues expenditures amp total budget between the executive and LFC recommendations

January

bullHAFC holds budget hearings in which the different sheets are presented and the committee will either adopt the executive recommendation

Session

bullOperating Budget Submittal Statutory Deadline May 1st

35

Capital Improvement Plan (ICIP) (July 1)

bull Governor amp DFA do not usually restrict agencies from submitted their capital outlay needs in the 5 year plan

bull Purchase of assets ie water rights equipment etc

bull Construction ie pipelines buildings etc

bull Long term in nature

bull Personnel costs not allowed

bull Appropriated for longer time frame 4 years amp 3 years to purchase an asset

bull If bonds are certified for project than 5 of appropriation must be expended within 6 months and 85 expended within 3 years

bull Funding Sources for projects from either GO Bonds Severance Tax Bonds or General Fund

36

37

38

The State Budget Act (sect6-3A-7 NMSA 1978) and the

Accountability in Government Act (sect6-3A-1 to 6-3A-8 NMSA

1978) set forth the framework and requirements for state

government budgeting in New Mexico

39

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

24

25

26

27

28

29

30

Ute Revenues

bull Fund originally set up to pay bond debt issued years ago for Ute Dam

bull Revenues from bulk water sale encroachment license fees amp easements deposited into the fund

bull Revenues historically have been used for operation amp maintenance costs for Ute dam

bull Fund Balance $626593

bull Revenue Budget Process

ndash Budget revenue on an as needed basis through the budget adjustment request process (BAR) bull Need to request specific BAR language in the appropriation request process in order to

budget the funds since the Ute Construction Fund does not give the Commission authority to budget the revenue

31

Active Capital Outlay Appropriations

bull $1M to purchase land and water rights within the interstate stream commissions existing pricing guidelines

and for the development of augmentation well fields and pipelines and related professional services for the Pecos River Compact settlement for the Pecos Settlement to purchase water rights (funded from the Attorney General Settlement Fund) ndashAvailable Balance = $4266k

bull $2M - notwithstanding the provisions of the Water Project Finance Act to the contrary is appropriated from

the water project fund to the office of the state engineer for expenditure in fiscal years 2016 through 2020 unless otherwise provided in Section 2 of this act to plan design and construct an engineered levee in the San Acacia reach in Socorro county- Available Balance = $14M

bull $2M to plan design renovate construct and equip improvements to acequias statewide (Attorney

General Settlement Fund) Available Balance Available Balance = $1005k bull $900k to rehab the LLSMR to plan design remodel rebuild construct and equip conservation rearing

ponds and hatcheries for a silvery minnow refugium production facility in Los Lunas in Valencia county (STB revenue bonds) Available Balance $0

bull $450k to plan design and construct habitat restoration projects in the middle Rio Grande conservancy

district or habitat restoration in the MRG (STB revenue Bonds) Available Balance = $1455k bull IWR appropriations ndash $58M Fund Balance for Taos Settlement bull Flow through appropriations to the ISC to act as fiscal agent for specific acequia projects ndash 28 current

appropriations that total approximately $13M

32

State Budget Process

bull Statutory Deadlines amp Submittals of Required Documents

bull Analysis amp Recommendation Process

bull What Happens During the Session (executive perspective)

33

Important to remember throughout this process

bull The Governor is our boss and controls what we will officially request in the appropriation request process

bull The Governor through the Department of Finance and Administration and the Legislature control the budget budget increases what is allowable to budget the dollar amount and time period and the request to move budget between appropriated budget categories

bull There are always exceptions to the appropriation request process

ndash Every administration interprets policies processes and laws differently and applies it based on their interpretation

bull Take inventory of our budget needs in July to be prepared to discuss and try and persuade the Governors office and DFA to allow us to make the official request on paper

ndash If not allowed to make the official budget request then cannot lobby for the budget need (need to be careful on how to respond when asked about the need)

bull Another chance to make a difference to the recommendation is the first few weeks of January to persuade the DFA andor LFC that their recommendation will not work for the agency before their recommendation is adopted in HAFC for the GAA (HB2)

34

Budget Requests Time Line

bullInfrastructure Capital Improvement Plan Due (ICIP) Statutory Deadline

July 1st

bullAppropriation Request Statutory Deadline September 1st

bullDFA State Budget Division amp Legislative Finance Committee staff analyze agency budget requests amp hold meetings and hearings to pursue issues pertinent to requests

Sept - Dec

bullInstructions amp deadlines for the Special Appropriations Deficiencies Supplemental and Budget Adjustment Request Authority submittals

October - November

bullState law requires the Governor to prepare a budget to the LFC January 5th (even yrs) January10th (odd years)

bullLFC amp SBD prepare different sheets that shows major differences in revenues expenditures amp total budget between the executive and LFC recommendations

January

bullHAFC holds budget hearings in which the different sheets are presented and the committee will either adopt the executive recommendation

Session

bullOperating Budget Submittal Statutory Deadline May 1st

35

Capital Improvement Plan (ICIP) (July 1)

bull Governor amp DFA do not usually restrict agencies from submitted their capital outlay needs in the 5 year plan

bull Purchase of assets ie water rights equipment etc

bull Construction ie pipelines buildings etc

bull Long term in nature

bull Personnel costs not allowed

bull Appropriated for longer time frame 4 years amp 3 years to purchase an asset

bull If bonds are certified for project than 5 of appropriation must be expended within 6 months and 85 expended within 3 years

bull Funding Sources for projects from either GO Bonds Severance Tax Bonds or General Fund

36

37

38

The State Budget Act (sect6-3A-7 NMSA 1978) and the

Accountability in Government Act (sect6-3A-1 to 6-3A-8 NMSA

1978) set forth the framework and requirements for state

government budgeting in New Mexico

39

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

25

26

27

28

29

30

Ute Revenues

bull Fund originally set up to pay bond debt issued years ago for Ute Dam

bull Revenues from bulk water sale encroachment license fees amp easements deposited into the fund

bull Revenues historically have been used for operation amp maintenance costs for Ute dam

bull Fund Balance $626593

bull Revenue Budget Process

ndash Budget revenue on an as needed basis through the budget adjustment request process (BAR) bull Need to request specific BAR language in the appropriation request process in order to

budget the funds since the Ute Construction Fund does not give the Commission authority to budget the revenue

31

Active Capital Outlay Appropriations

bull $1M to purchase land and water rights within the interstate stream commissions existing pricing guidelines

and for the development of augmentation well fields and pipelines and related professional services for the Pecos River Compact settlement for the Pecos Settlement to purchase water rights (funded from the Attorney General Settlement Fund) ndashAvailable Balance = $4266k

bull $2M - notwithstanding the provisions of the Water Project Finance Act to the contrary is appropriated from

the water project fund to the office of the state engineer for expenditure in fiscal years 2016 through 2020 unless otherwise provided in Section 2 of this act to plan design and construct an engineered levee in the San Acacia reach in Socorro county- Available Balance = $14M

bull $2M to plan design renovate construct and equip improvements to acequias statewide (Attorney

General Settlement Fund) Available Balance Available Balance = $1005k bull $900k to rehab the LLSMR to plan design remodel rebuild construct and equip conservation rearing

ponds and hatcheries for a silvery minnow refugium production facility in Los Lunas in Valencia county (STB revenue bonds) Available Balance $0

bull $450k to plan design and construct habitat restoration projects in the middle Rio Grande conservancy

district or habitat restoration in the MRG (STB revenue Bonds) Available Balance = $1455k bull IWR appropriations ndash $58M Fund Balance for Taos Settlement bull Flow through appropriations to the ISC to act as fiscal agent for specific acequia projects ndash 28 current

appropriations that total approximately $13M

32

State Budget Process

bull Statutory Deadlines amp Submittals of Required Documents

bull Analysis amp Recommendation Process

bull What Happens During the Session (executive perspective)

33

Important to remember throughout this process

bull The Governor is our boss and controls what we will officially request in the appropriation request process

bull The Governor through the Department of Finance and Administration and the Legislature control the budget budget increases what is allowable to budget the dollar amount and time period and the request to move budget between appropriated budget categories

bull There are always exceptions to the appropriation request process

ndash Every administration interprets policies processes and laws differently and applies it based on their interpretation

bull Take inventory of our budget needs in July to be prepared to discuss and try and persuade the Governors office and DFA to allow us to make the official request on paper

ndash If not allowed to make the official budget request then cannot lobby for the budget need (need to be careful on how to respond when asked about the need)

bull Another chance to make a difference to the recommendation is the first few weeks of January to persuade the DFA andor LFC that their recommendation will not work for the agency before their recommendation is adopted in HAFC for the GAA (HB2)

34

Budget Requests Time Line

bullInfrastructure Capital Improvement Plan Due (ICIP) Statutory Deadline

July 1st

bullAppropriation Request Statutory Deadline September 1st

bullDFA State Budget Division amp Legislative Finance Committee staff analyze agency budget requests amp hold meetings and hearings to pursue issues pertinent to requests

Sept - Dec

bullInstructions amp deadlines for the Special Appropriations Deficiencies Supplemental and Budget Adjustment Request Authority submittals

October - November

bullState law requires the Governor to prepare a budget to the LFC January 5th (even yrs) January10th (odd years)

bullLFC amp SBD prepare different sheets that shows major differences in revenues expenditures amp total budget between the executive and LFC recommendations

January

bullHAFC holds budget hearings in which the different sheets are presented and the committee will either adopt the executive recommendation

Session

bullOperating Budget Submittal Statutory Deadline May 1st

35

Capital Improvement Plan (ICIP) (July 1)

bull Governor amp DFA do not usually restrict agencies from submitted their capital outlay needs in the 5 year plan

bull Purchase of assets ie water rights equipment etc

bull Construction ie pipelines buildings etc

bull Long term in nature

bull Personnel costs not allowed

bull Appropriated for longer time frame 4 years amp 3 years to purchase an asset

bull If bonds are certified for project than 5 of appropriation must be expended within 6 months and 85 expended within 3 years

bull Funding Sources for projects from either GO Bonds Severance Tax Bonds or General Fund

36

37

38

The State Budget Act (sect6-3A-7 NMSA 1978) and the

Accountability in Government Act (sect6-3A-1 to 6-3A-8 NMSA

1978) set forth the framework and requirements for state

government budgeting in New Mexico

39

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

26

27

28

29

30

Ute Revenues

bull Fund originally set up to pay bond debt issued years ago for Ute Dam

bull Revenues from bulk water sale encroachment license fees amp easements deposited into the fund

bull Revenues historically have been used for operation amp maintenance costs for Ute dam

bull Fund Balance $626593

bull Revenue Budget Process

ndash Budget revenue on an as needed basis through the budget adjustment request process (BAR) bull Need to request specific BAR language in the appropriation request process in order to

budget the funds since the Ute Construction Fund does not give the Commission authority to budget the revenue

31

Active Capital Outlay Appropriations

bull $1M to purchase land and water rights within the interstate stream commissions existing pricing guidelines

and for the development of augmentation well fields and pipelines and related professional services for the Pecos River Compact settlement for the Pecos Settlement to purchase water rights (funded from the Attorney General Settlement Fund) ndashAvailable Balance = $4266k

bull $2M - notwithstanding the provisions of the Water Project Finance Act to the contrary is appropriated from

the water project fund to the office of the state engineer for expenditure in fiscal years 2016 through 2020 unless otherwise provided in Section 2 of this act to plan design and construct an engineered levee in the San Acacia reach in Socorro county- Available Balance = $14M

bull $2M to plan design renovate construct and equip improvements to acequias statewide (Attorney

General Settlement Fund) Available Balance Available Balance = $1005k bull $900k to rehab the LLSMR to plan design remodel rebuild construct and equip conservation rearing

ponds and hatcheries for a silvery minnow refugium production facility in Los Lunas in Valencia county (STB revenue bonds) Available Balance $0

bull $450k to plan design and construct habitat restoration projects in the middle Rio Grande conservancy

district or habitat restoration in the MRG (STB revenue Bonds) Available Balance = $1455k bull IWR appropriations ndash $58M Fund Balance for Taos Settlement bull Flow through appropriations to the ISC to act as fiscal agent for specific acequia projects ndash 28 current

appropriations that total approximately $13M

32

State Budget Process

bull Statutory Deadlines amp Submittals of Required Documents

bull Analysis amp Recommendation Process

bull What Happens During the Session (executive perspective)

33

Important to remember throughout this process

bull The Governor is our boss and controls what we will officially request in the appropriation request process

bull The Governor through the Department of Finance and Administration and the Legislature control the budget budget increases what is allowable to budget the dollar amount and time period and the request to move budget between appropriated budget categories

bull There are always exceptions to the appropriation request process

ndash Every administration interprets policies processes and laws differently and applies it based on their interpretation

bull Take inventory of our budget needs in July to be prepared to discuss and try and persuade the Governors office and DFA to allow us to make the official request on paper

ndash If not allowed to make the official budget request then cannot lobby for the budget need (need to be careful on how to respond when asked about the need)

bull Another chance to make a difference to the recommendation is the first few weeks of January to persuade the DFA andor LFC that their recommendation will not work for the agency before their recommendation is adopted in HAFC for the GAA (HB2)

34

Budget Requests Time Line

bullInfrastructure Capital Improvement Plan Due (ICIP) Statutory Deadline

July 1st

bullAppropriation Request Statutory Deadline September 1st

bullDFA State Budget Division amp Legislative Finance Committee staff analyze agency budget requests amp hold meetings and hearings to pursue issues pertinent to requests

Sept - Dec

bullInstructions amp deadlines for the Special Appropriations Deficiencies Supplemental and Budget Adjustment Request Authority submittals

October - November

bullState law requires the Governor to prepare a budget to the LFC January 5th (even yrs) January10th (odd years)

bullLFC amp SBD prepare different sheets that shows major differences in revenues expenditures amp total budget between the executive and LFC recommendations

January

bullHAFC holds budget hearings in which the different sheets are presented and the committee will either adopt the executive recommendation

Session

bullOperating Budget Submittal Statutory Deadline May 1st

35

Capital Improvement Plan (ICIP) (July 1)

bull Governor amp DFA do not usually restrict agencies from submitted their capital outlay needs in the 5 year plan

bull Purchase of assets ie water rights equipment etc

bull Construction ie pipelines buildings etc

bull Long term in nature

bull Personnel costs not allowed

bull Appropriated for longer time frame 4 years amp 3 years to purchase an asset

bull If bonds are certified for project than 5 of appropriation must be expended within 6 months and 85 expended within 3 years

bull Funding Sources for projects from either GO Bonds Severance Tax Bonds or General Fund

36

37

38

The State Budget Act (sect6-3A-7 NMSA 1978) and the

Accountability in Government Act (sect6-3A-1 to 6-3A-8 NMSA

1978) set forth the framework and requirements for state

government budgeting in New Mexico

39

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

27

28

29

30

Ute Revenues

bull Fund originally set up to pay bond debt issued years ago for Ute Dam

bull Revenues from bulk water sale encroachment license fees amp easements deposited into the fund

bull Revenues historically have been used for operation amp maintenance costs for Ute dam

bull Fund Balance $626593

bull Revenue Budget Process

ndash Budget revenue on an as needed basis through the budget adjustment request process (BAR) bull Need to request specific BAR language in the appropriation request process in order to

budget the funds since the Ute Construction Fund does not give the Commission authority to budget the revenue

31

Active Capital Outlay Appropriations

bull $1M to purchase land and water rights within the interstate stream commissions existing pricing guidelines

and for the development of augmentation well fields and pipelines and related professional services for the Pecos River Compact settlement for the Pecos Settlement to purchase water rights (funded from the Attorney General Settlement Fund) ndashAvailable Balance = $4266k

bull $2M - notwithstanding the provisions of the Water Project Finance Act to the contrary is appropriated from

the water project fund to the office of the state engineer for expenditure in fiscal years 2016 through 2020 unless otherwise provided in Section 2 of this act to plan design and construct an engineered levee in the San Acacia reach in Socorro county- Available Balance = $14M

bull $2M to plan design renovate construct and equip improvements to acequias statewide (Attorney

General Settlement Fund) Available Balance Available Balance = $1005k bull $900k to rehab the LLSMR to plan design remodel rebuild construct and equip conservation rearing

ponds and hatcheries for a silvery minnow refugium production facility in Los Lunas in Valencia county (STB revenue bonds) Available Balance $0

bull $450k to plan design and construct habitat restoration projects in the middle Rio Grande conservancy

district or habitat restoration in the MRG (STB revenue Bonds) Available Balance = $1455k bull IWR appropriations ndash $58M Fund Balance for Taos Settlement bull Flow through appropriations to the ISC to act as fiscal agent for specific acequia projects ndash 28 current

appropriations that total approximately $13M

32

State Budget Process

bull Statutory Deadlines amp Submittals of Required Documents

bull Analysis amp Recommendation Process

bull What Happens During the Session (executive perspective)

33

Important to remember throughout this process

bull The Governor is our boss and controls what we will officially request in the appropriation request process

bull The Governor through the Department of Finance and Administration and the Legislature control the budget budget increases what is allowable to budget the dollar amount and time period and the request to move budget between appropriated budget categories

bull There are always exceptions to the appropriation request process

ndash Every administration interprets policies processes and laws differently and applies it based on their interpretation

bull Take inventory of our budget needs in July to be prepared to discuss and try and persuade the Governors office and DFA to allow us to make the official request on paper

ndash If not allowed to make the official budget request then cannot lobby for the budget need (need to be careful on how to respond when asked about the need)

bull Another chance to make a difference to the recommendation is the first few weeks of January to persuade the DFA andor LFC that their recommendation will not work for the agency before their recommendation is adopted in HAFC for the GAA (HB2)

34

Budget Requests Time Line

bullInfrastructure Capital Improvement Plan Due (ICIP) Statutory Deadline

July 1st

bullAppropriation Request Statutory Deadline September 1st

bullDFA State Budget Division amp Legislative Finance Committee staff analyze agency budget requests amp hold meetings and hearings to pursue issues pertinent to requests

Sept - Dec

bullInstructions amp deadlines for the Special Appropriations Deficiencies Supplemental and Budget Adjustment Request Authority submittals

October - November

bullState law requires the Governor to prepare a budget to the LFC January 5th (even yrs) January10th (odd years)

bullLFC amp SBD prepare different sheets that shows major differences in revenues expenditures amp total budget between the executive and LFC recommendations

January

bullHAFC holds budget hearings in which the different sheets are presented and the committee will either adopt the executive recommendation

Session

bullOperating Budget Submittal Statutory Deadline May 1st

35

Capital Improvement Plan (ICIP) (July 1)

bull Governor amp DFA do not usually restrict agencies from submitted their capital outlay needs in the 5 year plan

bull Purchase of assets ie water rights equipment etc

bull Construction ie pipelines buildings etc

bull Long term in nature

bull Personnel costs not allowed

bull Appropriated for longer time frame 4 years amp 3 years to purchase an asset

bull If bonds are certified for project than 5 of appropriation must be expended within 6 months and 85 expended within 3 years

bull Funding Sources for projects from either GO Bonds Severance Tax Bonds or General Fund

36

37

38

The State Budget Act (sect6-3A-7 NMSA 1978) and the

Accountability in Government Act (sect6-3A-1 to 6-3A-8 NMSA

1978) set forth the framework and requirements for state

government budgeting in New Mexico

39

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

28

29

30

Ute Revenues

bull Fund originally set up to pay bond debt issued years ago for Ute Dam

bull Revenues from bulk water sale encroachment license fees amp easements deposited into the fund

bull Revenues historically have been used for operation amp maintenance costs for Ute dam

bull Fund Balance $626593

bull Revenue Budget Process

ndash Budget revenue on an as needed basis through the budget adjustment request process (BAR) bull Need to request specific BAR language in the appropriation request process in order to

budget the funds since the Ute Construction Fund does not give the Commission authority to budget the revenue

31

Active Capital Outlay Appropriations

bull $1M to purchase land and water rights within the interstate stream commissions existing pricing guidelines

and for the development of augmentation well fields and pipelines and related professional services for the Pecos River Compact settlement for the Pecos Settlement to purchase water rights (funded from the Attorney General Settlement Fund) ndashAvailable Balance = $4266k

bull $2M - notwithstanding the provisions of the Water Project Finance Act to the contrary is appropriated from

the water project fund to the office of the state engineer for expenditure in fiscal years 2016 through 2020 unless otherwise provided in Section 2 of this act to plan design and construct an engineered levee in the San Acacia reach in Socorro county- Available Balance = $14M

bull $2M to plan design renovate construct and equip improvements to acequias statewide (Attorney

General Settlement Fund) Available Balance Available Balance = $1005k bull $900k to rehab the LLSMR to plan design remodel rebuild construct and equip conservation rearing

ponds and hatcheries for a silvery minnow refugium production facility in Los Lunas in Valencia county (STB revenue bonds) Available Balance $0

bull $450k to plan design and construct habitat restoration projects in the middle Rio Grande conservancy

district or habitat restoration in the MRG (STB revenue Bonds) Available Balance = $1455k bull IWR appropriations ndash $58M Fund Balance for Taos Settlement bull Flow through appropriations to the ISC to act as fiscal agent for specific acequia projects ndash 28 current

appropriations that total approximately $13M

32

State Budget Process

bull Statutory Deadlines amp Submittals of Required Documents

bull Analysis amp Recommendation Process

bull What Happens During the Session (executive perspective)

33

Important to remember throughout this process

bull The Governor is our boss and controls what we will officially request in the appropriation request process

bull The Governor through the Department of Finance and Administration and the Legislature control the budget budget increases what is allowable to budget the dollar amount and time period and the request to move budget between appropriated budget categories

bull There are always exceptions to the appropriation request process

ndash Every administration interprets policies processes and laws differently and applies it based on their interpretation

bull Take inventory of our budget needs in July to be prepared to discuss and try and persuade the Governors office and DFA to allow us to make the official request on paper

ndash If not allowed to make the official budget request then cannot lobby for the budget need (need to be careful on how to respond when asked about the need)

bull Another chance to make a difference to the recommendation is the first few weeks of January to persuade the DFA andor LFC that their recommendation will not work for the agency before their recommendation is adopted in HAFC for the GAA (HB2)

34

Budget Requests Time Line

bullInfrastructure Capital Improvement Plan Due (ICIP) Statutory Deadline

July 1st

bullAppropriation Request Statutory Deadline September 1st

bullDFA State Budget Division amp Legislative Finance Committee staff analyze agency budget requests amp hold meetings and hearings to pursue issues pertinent to requests

Sept - Dec

bullInstructions amp deadlines for the Special Appropriations Deficiencies Supplemental and Budget Adjustment Request Authority submittals

October - November

bullState law requires the Governor to prepare a budget to the LFC January 5th (even yrs) January10th (odd years)

bullLFC amp SBD prepare different sheets that shows major differences in revenues expenditures amp total budget between the executive and LFC recommendations

January

bullHAFC holds budget hearings in which the different sheets are presented and the committee will either adopt the executive recommendation

Session

bullOperating Budget Submittal Statutory Deadline May 1st

35

Capital Improvement Plan (ICIP) (July 1)

bull Governor amp DFA do not usually restrict agencies from submitted their capital outlay needs in the 5 year plan

bull Purchase of assets ie water rights equipment etc

bull Construction ie pipelines buildings etc

bull Long term in nature

bull Personnel costs not allowed

bull Appropriated for longer time frame 4 years amp 3 years to purchase an asset

bull If bonds are certified for project than 5 of appropriation must be expended within 6 months and 85 expended within 3 years

bull Funding Sources for projects from either GO Bonds Severance Tax Bonds or General Fund

36

37

38

The State Budget Act (sect6-3A-7 NMSA 1978) and the

Accountability in Government Act (sect6-3A-1 to 6-3A-8 NMSA

1978) set forth the framework and requirements for state

government budgeting in New Mexico

39

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

29

30

Ute Revenues

bull Fund originally set up to pay bond debt issued years ago for Ute Dam

bull Revenues from bulk water sale encroachment license fees amp easements deposited into the fund

bull Revenues historically have been used for operation amp maintenance costs for Ute dam

bull Fund Balance $626593

bull Revenue Budget Process

ndash Budget revenue on an as needed basis through the budget adjustment request process (BAR) bull Need to request specific BAR language in the appropriation request process in order to

budget the funds since the Ute Construction Fund does not give the Commission authority to budget the revenue

31

Active Capital Outlay Appropriations

bull $1M to purchase land and water rights within the interstate stream commissions existing pricing guidelines

and for the development of augmentation well fields and pipelines and related professional services for the Pecos River Compact settlement for the Pecos Settlement to purchase water rights (funded from the Attorney General Settlement Fund) ndashAvailable Balance = $4266k

bull $2M - notwithstanding the provisions of the Water Project Finance Act to the contrary is appropriated from

the water project fund to the office of the state engineer for expenditure in fiscal years 2016 through 2020 unless otherwise provided in Section 2 of this act to plan design and construct an engineered levee in the San Acacia reach in Socorro county- Available Balance = $14M

bull $2M to plan design renovate construct and equip improvements to acequias statewide (Attorney

General Settlement Fund) Available Balance Available Balance = $1005k bull $900k to rehab the LLSMR to plan design remodel rebuild construct and equip conservation rearing

ponds and hatcheries for a silvery minnow refugium production facility in Los Lunas in Valencia county (STB revenue bonds) Available Balance $0

bull $450k to plan design and construct habitat restoration projects in the middle Rio Grande conservancy

district or habitat restoration in the MRG (STB revenue Bonds) Available Balance = $1455k bull IWR appropriations ndash $58M Fund Balance for Taos Settlement bull Flow through appropriations to the ISC to act as fiscal agent for specific acequia projects ndash 28 current

appropriations that total approximately $13M

32

State Budget Process

bull Statutory Deadlines amp Submittals of Required Documents

bull Analysis amp Recommendation Process

bull What Happens During the Session (executive perspective)

33

Important to remember throughout this process

bull The Governor is our boss and controls what we will officially request in the appropriation request process

bull The Governor through the Department of Finance and Administration and the Legislature control the budget budget increases what is allowable to budget the dollar amount and time period and the request to move budget between appropriated budget categories

bull There are always exceptions to the appropriation request process

ndash Every administration interprets policies processes and laws differently and applies it based on their interpretation

bull Take inventory of our budget needs in July to be prepared to discuss and try and persuade the Governors office and DFA to allow us to make the official request on paper

ndash If not allowed to make the official budget request then cannot lobby for the budget need (need to be careful on how to respond when asked about the need)

bull Another chance to make a difference to the recommendation is the first few weeks of January to persuade the DFA andor LFC that their recommendation will not work for the agency before their recommendation is adopted in HAFC for the GAA (HB2)

34

Budget Requests Time Line

bullInfrastructure Capital Improvement Plan Due (ICIP) Statutory Deadline

July 1st

bullAppropriation Request Statutory Deadline September 1st

bullDFA State Budget Division amp Legislative Finance Committee staff analyze agency budget requests amp hold meetings and hearings to pursue issues pertinent to requests

Sept - Dec

bullInstructions amp deadlines for the Special Appropriations Deficiencies Supplemental and Budget Adjustment Request Authority submittals

October - November

bullState law requires the Governor to prepare a budget to the LFC January 5th (even yrs) January10th (odd years)

bullLFC amp SBD prepare different sheets that shows major differences in revenues expenditures amp total budget between the executive and LFC recommendations

January

bullHAFC holds budget hearings in which the different sheets are presented and the committee will either adopt the executive recommendation

Session

bullOperating Budget Submittal Statutory Deadline May 1st

35

Capital Improvement Plan (ICIP) (July 1)

bull Governor amp DFA do not usually restrict agencies from submitted their capital outlay needs in the 5 year plan

bull Purchase of assets ie water rights equipment etc

bull Construction ie pipelines buildings etc

bull Long term in nature

bull Personnel costs not allowed

bull Appropriated for longer time frame 4 years amp 3 years to purchase an asset

bull If bonds are certified for project than 5 of appropriation must be expended within 6 months and 85 expended within 3 years

bull Funding Sources for projects from either GO Bonds Severance Tax Bonds or General Fund

36

37

38

The State Budget Act (sect6-3A-7 NMSA 1978) and the

Accountability in Government Act (sect6-3A-1 to 6-3A-8 NMSA

1978) set forth the framework and requirements for state

government budgeting in New Mexico

39

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

30

Ute Revenues

bull Fund originally set up to pay bond debt issued years ago for Ute Dam

bull Revenues from bulk water sale encroachment license fees amp easements deposited into the fund

bull Revenues historically have been used for operation amp maintenance costs for Ute dam

bull Fund Balance $626593

bull Revenue Budget Process

ndash Budget revenue on an as needed basis through the budget adjustment request process (BAR) bull Need to request specific BAR language in the appropriation request process in order to

budget the funds since the Ute Construction Fund does not give the Commission authority to budget the revenue

31

Active Capital Outlay Appropriations

bull $1M to purchase land and water rights within the interstate stream commissions existing pricing guidelines

and for the development of augmentation well fields and pipelines and related professional services for the Pecos River Compact settlement for the Pecos Settlement to purchase water rights (funded from the Attorney General Settlement Fund) ndashAvailable Balance = $4266k

bull $2M - notwithstanding the provisions of the Water Project Finance Act to the contrary is appropriated from

the water project fund to the office of the state engineer for expenditure in fiscal years 2016 through 2020 unless otherwise provided in Section 2 of this act to plan design and construct an engineered levee in the San Acacia reach in Socorro county- Available Balance = $14M

bull $2M to plan design renovate construct and equip improvements to acequias statewide (Attorney

General Settlement Fund) Available Balance Available Balance = $1005k bull $900k to rehab the LLSMR to plan design remodel rebuild construct and equip conservation rearing

ponds and hatcheries for a silvery minnow refugium production facility in Los Lunas in Valencia county (STB revenue bonds) Available Balance $0

bull $450k to plan design and construct habitat restoration projects in the middle Rio Grande conservancy

district or habitat restoration in the MRG (STB revenue Bonds) Available Balance = $1455k bull IWR appropriations ndash $58M Fund Balance for Taos Settlement bull Flow through appropriations to the ISC to act as fiscal agent for specific acequia projects ndash 28 current

appropriations that total approximately $13M

32

State Budget Process

bull Statutory Deadlines amp Submittals of Required Documents

bull Analysis amp Recommendation Process

bull What Happens During the Session (executive perspective)

33

Important to remember throughout this process

bull The Governor is our boss and controls what we will officially request in the appropriation request process

bull The Governor through the Department of Finance and Administration and the Legislature control the budget budget increases what is allowable to budget the dollar amount and time period and the request to move budget between appropriated budget categories

bull There are always exceptions to the appropriation request process

ndash Every administration interprets policies processes and laws differently and applies it based on their interpretation

bull Take inventory of our budget needs in July to be prepared to discuss and try and persuade the Governors office and DFA to allow us to make the official request on paper

ndash If not allowed to make the official budget request then cannot lobby for the budget need (need to be careful on how to respond when asked about the need)

bull Another chance to make a difference to the recommendation is the first few weeks of January to persuade the DFA andor LFC that their recommendation will not work for the agency before their recommendation is adopted in HAFC for the GAA (HB2)

34

Budget Requests Time Line

bullInfrastructure Capital Improvement Plan Due (ICIP) Statutory Deadline

July 1st

bullAppropriation Request Statutory Deadline September 1st

bullDFA State Budget Division amp Legislative Finance Committee staff analyze agency budget requests amp hold meetings and hearings to pursue issues pertinent to requests

Sept - Dec

bullInstructions amp deadlines for the Special Appropriations Deficiencies Supplemental and Budget Adjustment Request Authority submittals

October - November

bullState law requires the Governor to prepare a budget to the LFC January 5th (even yrs) January10th (odd years)

bullLFC amp SBD prepare different sheets that shows major differences in revenues expenditures amp total budget between the executive and LFC recommendations

January

bullHAFC holds budget hearings in which the different sheets are presented and the committee will either adopt the executive recommendation

Session

bullOperating Budget Submittal Statutory Deadline May 1st

35

Capital Improvement Plan (ICIP) (July 1)

bull Governor amp DFA do not usually restrict agencies from submitted their capital outlay needs in the 5 year plan

bull Purchase of assets ie water rights equipment etc

bull Construction ie pipelines buildings etc

bull Long term in nature

bull Personnel costs not allowed

bull Appropriated for longer time frame 4 years amp 3 years to purchase an asset

bull If bonds are certified for project than 5 of appropriation must be expended within 6 months and 85 expended within 3 years

bull Funding Sources for projects from either GO Bonds Severance Tax Bonds or General Fund

36

37

38

The State Budget Act (sect6-3A-7 NMSA 1978) and the

Accountability in Government Act (sect6-3A-1 to 6-3A-8 NMSA

1978) set forth the framework and requirements for state

government budgeting in New Mexico

39

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

Ute Revenues

bull Fund originally set up to pay bond debt issued years ago for Ute Dam

bull Revenues from bulk water sale encroachment license fees amp easements deposited into the fund

bull Revenues historically have been used for operation amp maintenance costs for Ute dam

bull Fund Balance $626593

bull Revenue Budget Process

ndash Budget revenue on an as needed basis through the budget adjustment request process (BAR) bull Need to request specific BAR language in the appropriation request process in order to

budget the funds since the Ute Construction Fund does not give the Commission authority to budget the revenue

31

Active Capital Outlay Appropriations

bull $1M to purchase land and water rights within the interstate stream commissions existing pricing guidelines

and for the development of augmentation well fields and pipelines and related professional services for the Pecos River Compact settlement for the Pecos Settlement to purchase water rights (funded from the Attorney General Settlement Fund) ndashAvailable Balance = $4266k

bull $2M - notwithstanding the provisions of the Water Project Finance Act to the contrary is appropriated from

the water project fund to the office of the state engineer for expenditure in fiscal years 2016 through 2020 unless otherwise provided in Section 2 of this act to plan design and construct an engineered levee in the San Acacia reach in Socorro county- Available Balance = $14M

bull $2M to plan design renovate construct and equip improvements to acequias statewide (Attorney

General Settlement Fund) Available Balance Available Balance = $1005k bull $900k to rehab the LLSMR to plan design remodel rebuild construct and equip conservation rearing

ponds and hatcheries for a silvery minnow refugium production facility in Los Lunas in Valencia county (STB revenue bonds) Available Balance $0

bull $450k to plan design and construct habitat restoration projects in the middle Rio Grande conservancy

district or habitat restoration in the MRG (STB revenue Bonds) Available Balance = $1455k bull IWR appropriations ndash $58M Fund Balance for Taos Settlement bull Flow through appropriations to the ISC to act as fiscal agent for specific acequia projects ndash 28 current

appropriations that total approximately $13M

32

State Budget Process

bull Statutory Deadlines amp Submittals of Required Documents

bull Analysis amp Recommendation Process

bull What Happens During the Session (executive perspective)

33

Important to remember throughout this process

bull The Governor is our boss and controls what we will officially request in the appropriation request process

bull The Governor through the Department of Finance and Administration and the Legislature control the budget budget increases what is allowable to budget the dollar amount and time period and the request to move budget between appropriated budget categories

bull There are always exceptions to the appropriation request process

ndash Every administration interprets policies processes and laws differently and applies it based on their interpretation

bull Take inventory of our budget needs in July to be prepared to discuss and try and persuade the Governors office and DFA to allow us to make the official request on paper

ndash If not allowed to make the official budget request then cannot lobby for the budget need (need to be careful on how to respond when asked about the need)

bull Another chance to make a difference to the recommendation is the first few weeks of January to persuade the DFA andor LFC that their recommendation will not work for the agency before their recommendation is adopted in HAFC for the GAA (HB2)

34

Budget Requests Time Line

bullInfrastructure Capital Improvement Plan Due (ICIP) Statutory Deadline

July 1st

bullAppropriation Request Statutory Deadline September 1st

bullDFA State Budget Division amp Legislative Finance Committee staff analyze agency budget requests amp hold meetings and hearings to pursue issues pertinent to requests

Sept - Dec

bullInstructions amp deadlines for the Special Appropriations Deficiencies Supplemental and Budget Adjustment Request Authority submittals

October - November

bullState law requires the Governor to prepare a budget to the LFC January 5th (even yrs) January10th (odd years)

bullLFC amp SBD prepare different sheets that shows major differences in revenues expenditures amp total budget between the executive and LFC recommendations

January

bullHAFC holds budget hearings in which the different sheets are presented and the committee will either adopt the executive recommendation

Session

bullOperating Budget Submittal Statutory Deadline May 1st

35

Capital Improvement Plan (ICIP) (July 1)

bull Governor amp DFA do not usually restrict agencies from submitted their capital outlay needs in the 5 year plan

bull Purchase of assets ie water rights equipment etc

bull Construction ie pipelines buildings etc

bull Long term in nature

bull Personnel costs not allowed

bull Appropriated for longer time frame 4 years amp 3 years to purchase an asset

bull If bonds are certified for project than 5 of appropriation must be expended within 6 months and 85 expended within 3 years

bull Funding Sources for projects from either GO Bonds Severance Tax Bonds or General Fund

36

37

38

The State Budget Act (sect6-3A-7 NMSA 1978) and the

Accountability in Government Act (sect6-3A-1 to 6-3A-8 NMSA

1978) set forth the framework and requirements for state

government budgeting in New Mexico

39

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

Active Capital Outlay Appropriations

bull $1M to purchase land and water rights within the interstate stream commissions existing pricing guidelines

and for the development of augmentation well fields and pipelines and related professional services for the Pecos River Compact settlement for the Pecos Settlement to purchase water rights (funded from the Attorney General Settlement Fund) ndashAvailable Balance = $4266k

bull $2M - notwithstanding the provisions of the Water Project Finance Act to the contrary is appropriated from

the water project fund to the office of the state engineer for expenditure in fiscal years 2016 through 2020 unless otherwise provided in Section 2 of this act to plan design and construct an engineered levee in the San Acacia reach in Socorro county- Available Balance = $14M

bull $2M to plan design renovate construct and equip improvements to acequias statewide (Attorney

General Settlement Fund) Available Balance Available Balance = $1005k bull $900k to rehab the LLSMR to plan design remodel rebuild construct and equip conservation rearing

ponds and hatcheries for a silvery minnow refugium production facility in Los Lunas in Valencia county (STB revenue bonds) Available Balance $0

bull $450k to plan design and construct habitat restoration projects in the middle Rio Grande conservancy

district or habitat restoration in the MRG (STB revenue Bonds) Available Balance = $1455k bull IWR appropriations ndash $58M Fund Balance for Taos Settlement bull Flow through appropriations to the ISC to act as fiscal agent for specific acequia projects ndash 28 current

appropriations that total approximately $13M

32

State Budget Process

bull Statutory Deadlines amp Submittals of Required Documents

bull Analysis amp Recommendation Process

bull What Happens During the Session (executive perspective)

33

Important to remember throughout this process

bull The Governor is our boss and controls what we will officially request in the appropriation request process

bull The Governor through the Department of Finance and Administration and the Legislature control the budget budget increases what is allowable to budget the dollar amount and time period and the request to move budget between appropriated budget categories

bull There are always exceptions to the appropriation request process

ndash Every administration interprets policies processes and laws differently and applies it based on their interpretation

bull Take inventory of our budget needs in July to be prepared to discuss and try and persuade the Governors office and DFA to allow us to make the official request on paper

ndash If not allowed to make the official budget request then cannot lobby for the budget need (need to be careful on how to respond when asked about the need)

bull Another chance to make a difference to the recommendation is the first few weeks of January to persuade the DFA andor LFC that their recommendation will not work for the agency before their recommendation is adopted in HAFC for the GAA (HB2)

34

Budget Requests Time Line

bullInfrastructure Capital Improvement Plan Due (ICIP) Statutory Deadline

July 1st

bullAppropriation Request Statutory Deadline September 1st

bullDFA State Budget Division amp Legislative Finance Committee staff analyze agency budget requests amp hold meetings and hearings to pursue issues pertinent to requests

Sept - Dec

bullInstructions amp deadlines for the Special Appropriations Deficiencies Supplemental and Budget Adjustment Request Authority submittals

October - November

bullState law requires the Governor to prepare a budget to the LFC January 5th (even yrs) January10th (odd years)

bullLFC amp SBD prepare different sheets that shows major differences in revenues expenditures amp total budget between the executive and LFC recommendations

January

bullHAFC holds budget hearings in which the different sheets are presented and the committee will either adopt the executive recommendation

Session

bullOperating Budget Submittal Statutory Deadline May 1st

35

Capital Improvement Plan (ICIP) (July 1)

bull Governor amp DFA do not usually restrict agencies from submitted their capital outlay needs in the 5 year plan

bull Purchase of assets ie water rights equipment etc

bull Construction ie pipelines buildings etc

bull Long term in nature

bull Personnel costs not allowed

bull Appropriated for longer time frame 4 years amp 3 years to purchase an asset

bull If bonds are certified for project than 5 of appropriation must be expended within 6 months and 85 expended within 3 years

bull Funding Sources for projects from either GO Bonds Severance Tax Bonds or General Fund

36

37

38

The State Budget Act (sect6-3A-7 NMSA 1978) and the

Accountability in Government Act (sect6-3A-1 to 6-3A-8 NMSA

1978) set forth the framework and requirements for state

government budgeting in New Mexico

39

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

State Budget Process

bull Statutory Deadlines amp Submittals of Required Documents

bull Analysis amp Recommendation Process

bull What Happens During the Session (executive perspective)

33

Important to remember throughout this process

bull The Governor is our boss and controls what we will officially request in the appropriation request process

bull The Governor through the Department of Finance and Administration and the Legislature control the budget budget increases what is allowable to budget the dollar amount and time period and the request to move budget between appropriated budget categories

bull There are always exceptions to the appropriation request process

ndash Every administration interprets policies processes and laws differently and applies it based on their interpretation

bull Take inventory of our budget needs in July to be prepared to discuss and try and persuade the Governors office and DFA to allow us to make the official request on paper

ndash If not allowed to make the official budget request then cannot lobby for the budget need (need to be careful on how to respond when asked about the need)

bull Another chance to make a difference to the recommendation is the first few weeks of January to persuade the DFA andor LFC that their recommendation will not work for the agency before their recommendation is adopted in HAFC for the GAA (HB2)

34

Budget Requests Time Line

bullInfrastructure Capital Improvement Plan Due (ICIP) Statutory Deadline

July 1st

bullAppropriation Request Statutory Deadline September 1st

bullDFA State Budget Division amp Legislative Finance Committee staff analyze agency budget requests amp hold meetings and hearings to pursue issues pertinent to requests

Sept - Dec

bullInstructions amp deadlines for the Special Appropriations Deficiencies Supplemental and Budget Adjustment Request Authority submittals

October - November

bullState law requires the Governor to prepare a budget to the LFC January 5th (even yrs) January10th (odd years)

bullLFC amp SBD prepare different sheets that shows major differences in revenues expenditures amp total budget between the executive and LFC recommendations

January

bullHAFC holds budget hearings in which the different sheets are presented and the committee will either adopt the executive recommendation

Session

bullOperating Budget Submittal Statutory Deadline May 1st

35

Capital Improvement Plan (ICIP) (July 1)

bull Governor amp DFA do not usually restrict agencies from submitted their capital outlay needs in the 5 year plan

bull Purchase of assets ie water rights equipment etc

bull Construction ie pipelines buildings etc

bull Long term in nature

bull Personnel costs not allowed

bull Appropriated for longer time frame 4 years amp 3 years to purchase an asset

bull If bonds are certified for project than 5 of appropriation must be expended within 6 months and 85 expended within 3 years

bull Funding Sources for projects from either GO Bonds Severance Tax Bonds or General Fund

36

37

38

The State Budget Act (sect6-3A-7 NMSA 1978) and the

Accountability in Government Act (sect6-3A-1 to 6-3A-8 NMSA

1978) set forth the framework and requirements for state

government budgeting in New Mexico

39

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

Important to remember throughout this process

bull The Governor is our boss and controls what we will officially request in the appropriation request process

bull The Governor through the Department of Finance and Administration and the Legislature control the budget budget increases what is allowable to budget the dollar amount and time period and the request to move budget between appropriated budget categories

bull There are always exceptions to the appropriation request process

ndash Every administration interprets policies processes and laws differently and applies it based on their interpretation

bull Take inventory of our budget needs in July to be prepared to discuss and try and persuade the Governors office and DFA to allow us to make the official request on paper

ndash If not allowed to make the official budget request then cannot lobby for the budget need (need to be careful on how to respond when asked about the need)

bull Another chance to make a difference to the recommendation is the first few weeks of January to persuade the DFA andor LFC that their recommendation will not work for the agency before their recommendation is adopted in HAFC for the GAA (HB2)

34

Budget Requests Time Line

bullInfrastructure Capital Improvement Plan Due (ICIP) Statutory Deadline

July 1st

bullAppropriation Request Statutory Deadline September 1st

bullDFA State Budget Division amp Legislative Finance Committee staff analyze agency budget requests amp hold meetings and hearings to pursue issues pertinent to requests

Sept - Dec

bullInstructions amp deadlines for the Special Appropriations Deficiencies Supplemental and Budget Adjustment Request Authority submittals

October - November

bullState law requires the Governor to prepare a budget to the LFC January 5th (even yrs) January10th (odd years)

bullLFC amp SBD prepare different sheets that shows major differences in revenues expenditures amp total budget between the executive and LFC recommendations

January

bullHAFC holds budget hearings in which the different sheets are presented and the committee will either adopt the executive recommendation

Session

bullOperating Budget Submittal Statutory Deadline May 1st

35

Capital Improvement Plan (ICIP) (July 1)

bull Governor amp DFA do not usually restrict agencies from submitted their capital outlay needs in the 5 year plan

bull Purchase of assets ie water rights equipment etc

bull Construction ie pipelines buildings etc

bull Long term in nature

bull Personnel costs not allowed

bull Appropriated for longer time frame 4 years amp 3 years to purchase an asset

bull If bonds are certified for project than 5 of appropriation must be expended within 6 months and 85 expended within 3 years

bull Funding Sources for projects from either GO Bonds Severance Tax Bonds or General Fund

36

37

38

The State Budget Act (sect6-3A-7 NMSA 1978) and the

Accountability in Government Act (sect6-3A-1 to 6-3A-8 NMSA

1978) set forth the framework and requirements for state

government budgeting in New Mexico

39

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

Budget Requests Time Line

bullInfrastructure Capital Improvement Plan Due (ICIP) Statutory Deadline

July 1st

bullAppropriation Request Statutory Deadline September 1st

bullDFA State Budget Division amp Legislative Finance Committee staff analyze agency budget requests amp hold meetings and hearings to pursue issues pertinent to requests

Sept - Dec

bullInstructions amp deadlines for the Special Appropriations Deficiencies Supplemental and Budget Adjustment Request Authority submittals

October - November

bullState law requires the Governor to prepare a budget to the LFC January 5th (even yrs) January10th (odd years)

bullLFC amp SBD prepare different sheets that shows major differences in revenues expenditures amp total budget between the executive and LFC recommendations

January

bullHAFC holds budget hearings in which the different sheets are presented and the committee will either adopt the executive recommendation

Session

bullOperating Budget Submittal Statutory Deadline May 1st

35

Capital Improvement Plan (ICIP) (July 1)

bull Governor amp DFA do not usually restrict agencies from submitted their capital outlay needs in the 5 year plan

bull Purchase of assets ie water rights equipment etc

bull Construction ie pipelines buildings etc

bull Long term in nature

bull Personnel costs not allowed

bull Appropriated for longer time frame 4 years amp 3 years to purchase an asset

bull If bonds are certified for project than 5 of appropriation must be expended within 6 months and 85 expended within 3 years

bull Funding Sources for projects from either GO Bonds Severance Tax Bonds or General Fund

36

37

38

The State Budget Act (sect6-3A-7 NMSA 1978) and the

Accountability in Government Act (sect6-3A-1 to 6-3A-8 NMSA

1978) set forth the framework and requirements for state

government budgeting in New Mexico

39

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

Capital Improvement Plan (ICIP) (July 1)

bull Governor amp DFA do not usually restrict agencies from submitted their capital outlay needs in the 5 year plan

bull Purchase of assets ie water rights equipment etc

bull Construction ie pipelines buildings etc

bull Long term in nature

bull Personnel costs not allowed

bull Appropriated for longer time frame 4 years amp 3 years to purchase an asset

bull If bonds are certified for project than 5 of appropriation must be expended within 6 months and 85 expended within 3 years

bull Funding Sources for projects from either GO Bonds Severance Tax Bonds or General Fund

36

37

38

The State Budget Act (sect6-3A-7 NMSA 1978) and the

Accountability in Government Act (sect6-3A-1 to 6-3A-8 NMSA

1978) set forth the framework and requirements for state

government budgeting in New Mexico

39

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

37

38

The State Budget Act (sect6-3A-7 NMSA 1978) and the

Accountability in Government Act (sect6-3A-1 to 6-3A-8 NMSA

1978) set forth the framework and requirements for state

government budgeting in New Mexico

39

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

38

The State Budget Act (sect6-3A-7 NMSA 1978) and the

Accountability in Government Act (sect6-3A-1 to 6-3A-8 NMSA

1978) set forth the framework and requirements for state

government budgeting in New Mexico

39

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

The State Budget Act (sect6-3A-7 NMSA 1978) and the

Accountability in Government Act (sect6-3A-1 to 6-3A-8 NMSA

1978) set forth the framework and requirements for state

government budgeting in New Mexico

39

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

State Budget Act

6-3-19 Agencies to complete budget forms

Each state agency shall fill out the budget forms provided for in Section 6-3-18 NMSA 1978 in the

manner prescribed by the state budget division Each state agency in completing the budget forms

shall include information for all divisions subdivisions and offices of the agency Related agencies

upon approval of the state budget division may join in submitting one set of budget forms

Completed budget forms shall be returned to the state budget division not later than September 1 in

each year

History 1953 Comp sect 11-4-75 enacted by Laws 1955 ch 114 sect 10 1963 ch 147 sect 3 1977

ch 247 sect 130 1999 ch 5 sect 11 1999 ch 15 sect 11

40

72-14-34 Budgets required (1973)

The interstate stream commission shall annually prepare and submit a budget in

accordance with the provisions of Sections 6-3-1 through 6-3-22 NMSA 1978

covering all funds created or held under the provisions of Sections 72-14-9 through

72-14-33 NMSA 1978

History 1953 Comp sect 75-34-321 enacted by Laws 1973 ch 201 sect 4

41

42

43

44

45

46

47

48

Appropriation Request Process Submittal Due September 1st

bull Agency Strategic Plan

bull Performance Measures

bull Current amp Proposed Budgets

bull Expansion requests (optional amp if allowed by GovernorDFA)

bull New program requests (optional amp if allowed by GovernorDFA)

bull Information Technology Plan (IT plan)

49

Appropriation Process Submittal Includes (Sept ndash Nov)

bull Deficiencies

ndash Funding request to pay for budget deficiency

bull Supplemental

ndash Funding needed in current year for unanticipated costs ie move the Deming office

bull Specials

ndash Nonrecurring needsprojects ie Litigation Funding

bull Extension of existing special appropriations (cannot ask for extension of operating budget)

bull Budget Adjustment Authority (BAR) Language

50

51

Budget Authority

52

January

bull DFA amp LFC prepare different sheets and summary of big differences of recommendations

bull Agency performs analysis on impact of DFA amp LFC recommendations

ndash Agency prepares for budget hearing

53

Request Exec LFC LFC - Exec Exec-Req LFC-Req

ISC P552 Opbud Base Base Base Base Base Base

General Fund Transfers 17649 17649 15835 18535 2700 (1814) 886

Other Transfers 103239 120302 119507 120302 795 (795) -

Federal Prgm Revenues 1749 1834 1834 1834 - - -

Other Prgm Revenues 1198 1198 1198 1198 - -

Fund Balance 2660 2660 2660 2660 - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Personal ServEmp Ben 37818 40165 38351 40165 1814 (1814) -

Contractual Services 49299 64422 64422 65308 886 - 886

Other Costs 39378 39056 38261 39056 795 (795) -

Other Uses - - - - - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Perm 470 470 470 470 - - -

Term 20 20 20 20 - - -

54

Legislative Session

bull The House Appropriations amp Finance Committee adopts either the DFA or LFC recommendation or combination of recommendations presented in the different sheets

bull Initial HAFC adoption becomes part of HB2

bull The Senate Finance Committee hearing does not adopt either recommendation but may amend the HAFC budget after the hearing

bull Agency tracks adoption of recommendations and amendments to determine affects throughout session

bull Provide impact analysis to DFA of adopted recommendation (if applicable)

55

Substantive Sections of General Appropriation Act

bull Section 4 Recurring appropriations and performance targets for the daily

bull operation of state agencies public schools and higher education

bull institutions

bull Section 5 Special nonrecurring appropriations

bull Section 6 Supplemental appropriations for the current fiscal year and for

bull deficiencies from the previous fiscal year

bull Section 7 Appropriations for significant information systems and language

bull extending or reauthorizing certain projects

bull Section 8 Compensation appropriations for public employees

bull Section 9 Additional budget adjustment authority for the current year

bull Section 10 Specific budget adjustment authority for the upcoming year

bull Section 11 Authority to move money from the general fund to other funds

bull Section 12 Authority for the Department of Finance and Administration to

bull move funds from reserves in case of a shortfall

bull Section 13 Severability - authority for the bill to remain in effect even if

bull part of the bill is found invalid

56

Legislative Session

bull HB 2 amp Capital Bill ndash When both houses agree on final version it is enrolled and engrossed and

sent to governor

bull Governorrsquos Approval or Veto ndash Bills received during or after the last 3 days of session are automatically

vetoed (pocket veto) if governor does not sign within 20 days of adjournment

ndash Bills received prior to the last 3 days of session automatically become law unless acted upon

bull Effective Date of Bill ndash Emergency Clause (effective when signed)

ndash 90 days after session adjourns

ndash Start of fiscal or calendar year

57

58

Sample of Special Appropriation Language in HB 2 Section 5 of the Bill

(16) STATE ENGINEER 4000 6000 10000 To continue water

litigation under interstate compacts The other state funds

appropriation is from the improvement of Rio Grande income fund

59

Budget Implementation

bull Start spending ndash Timing and Planning

ndash Work Plan Preparation for Commission Approval bull RFPrsquoS

bull Contract prep

bull Budget adequacy amp accuracy

bull Encumbrance

bull Work Orders

bull Deliverables

bull Monitor Budget ndash Year Round ndash Budget Status Reports

ndash Adjustments

ndash Mid-year Budget Review

60

43

44

45

46

47

48

Appropriation Request Process Submittal Due September 1st

bull Agency Strategic Plan

bull Performance Measures

bull Current amp Proposed Budgets

bull Expansion requests (optional amp if allowed by GovernorDFA)

bull New program requests (optional amp if allowed by GovernorDFA)

bull Information Technology Plan (IT plan)

49

Appropriation Process Submittal Includes (Sept ndash Nov)

bull Deficiencies

ndash Funding request to pay for budget deficiency

bull Supplemental

ndash Funding needed in current year for unanticipated costs ie move the Deming office

bull Specials

ndash Nonrecurring needsprojects ie Litigation Funding

bull Extension of existing special appropriations (cannot ask for extension of operating budget)

bull Budget Adjustment Authority (BAR) Language

50

51

Budget Authority

52

January

bull DFA amp LFC prepare different sheets and summary of big differences of recommendations

bull Agency performs analysis on impact of DFA amp LFC recommendations

ndash Agency prepares for budget hearing

53

Request Exec LFC LFC - Exec Exec-Req LFC-Req

ISC P552 Opbud Base Base Base Base Base Base

General Fund Transfers 17649 17649 15835 18535 2700 (1814) 886

Other Transfers 103239 120302 119507 120302 795 (795) -

Federal Prgm Revenues 1749 1834 1834 1834 - - -

Other Prgm Revenues 1198 1198 1198 1198 - -

Fund Balance 2660 2660 2660 2660 - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Personal ServEmp Ben 37818 40165 38351 40165 1814 (1814) -

Contractual Services 49299 64422 64422 65308 886 - 886

Other Costs 39378 39056 38261 39056 795 (795) -

Other Uses - - - - - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Perm 470 470 470 470 - - -

Term 20 20 20 20 - - -

54

Legislative Session

bull The House Appropriations amp Finance Committee adopts either the DFA or LFC recommendation or combination of recommendations presented in the different sheets

bull Initial HAFC adoption becomes part of HB2

bull The Senate Finance Committee hearing does not adopt either recommendation but may amend the HAFC budget after the hearing

bull Agency tracks adoption of recommendations and amendments to determine affects throughout session

bull Provide impact analysis to DFA of adopted recommendation (if applicable)

55

Substantive Sections of General Appropriation Act

bull Section 4 Recurring appropriations and performance targets for the daily

bull operation of state agencies public schools and higher education

bull institutions

bull Section 5 Special nonrecurring appropriations

bull Section 6 Supplemental appropriations for the current fiscal year and for

bull deficiencies from the previous fiscal year

bull Section 7 Appropriations for significant information systems and language

bull extending or reauthorizing certain projects

bull Section 8 Compensation appropriations for public employees

bull Section 9 Additional budget adjustment authority for the current year

bull Section 10 Specific budget adjustment authority for the upcoming year

bull Section 11 Authority to move money from the general fund to other funds

bull Section 12 Authority for the Department of Finance and Administration to

bull move funds from reserves in case of a shortfall

bull Section 13 Severability - authority for the bill to remain in effect even if

bull part of the bill is found invalid

56

Legislative Session

bull HB 2 amp Capital Bill ndash When both houses agree on final version it is enrolled and engrossed and

sent to governor

bull Governorrsquos Approval or Veto ndash Bills received during or after the last 3 days of session are automatically

vetoed (pocket veto) if governor does not sign within 20 days of adjournment

ndash Bills received prior to the last 3 days of session automatically become law unless acted upon

bull Effective Date of Bill ndash Emergency Clause (effective when signed)

ndash 90 days after session adjourns

ndash Start of fiscal or calendar year

57

58

Sample of Special Appropriation Language in HB 2 Section 5 of the Bill

(16) STATE ENGINEER 4000 6000 10000 To continue water

litigation under interstate compacts The other state funds

appropriation is from the improvement of Rio Grande income fund

59

Budget Implementation

bull Start spending ndash Timing and Planning

ndash Work Plan Preparation for Commission Approval bull RFPrsquoS

bull Contract prep

bull Budget adequacy amp accuracy

bull Encumbrance

bull Work Orders

bull Deliverables

bull Monitor Budget ndash Year Round ndash Budget Status Reports

ndash Adjustments

ndash Mid-year Budget Review

60

44

45

46

47

48

Appropriation Request Process Submittal Due September 1st

bull Agency Strategic Plan

bull Performance Measures

bull Current amp Proposed Budgets

bull Expansion requests (optional amp if allowed by GovernorDFA)

bull New program requests (optional amp if allowed by GovernorDFA)

bull Information Technology Plan (IT plan)

49

Appropriation Process Submittal Includes (Sept ndash Nov)

bull Deficiencies

ndash Funding request to pay for budget deficiency

bull Supplemental

ndash Funding needed in current year for unanticipated costs ie move the Deming office

bull Specials

ndash Nonrecurring needsprojects ie Litigation Funding

bull Extension of existing special appropriations (cannot ask for extension of operating budget)

bull Budget Adjustment Authority (BAR) Language

50

51

Budget Authority

52

January

bull DFA amp LFC prepare different sheets and summary of big differences of recommendations

bull Agency performs analysis on impact of DFA amp LFC recommendations

ndash Agency prepares for budget hearing

53

Request Exec LFC LFC - Exec Exec-Req LFC-Req

ISC P552 Opbud Base Base Base Base Base Base

General Fund Transfers 17649 17649 15835 18535 2700 (1814) 886

Other Transfers 103239 120302 119507 120302 795 (795) -

Federal Prgm Revenues 1749 1834 1834 1834 - - -

Other Prgm Revenues 1198 1198 1198 1198 - -

Fund Balance 2660 2660 2660 2660 - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Personal ServEmp Ben 37818 40165 38351 40165 1814 (1814) -

Contractual Services 49299 64422 64422 65308 886 - 886

Other Costs 39378 39056 38261 39056 795 (795) -

Other Uses - - - - - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Perm 470 470 470 470 - - -

Term 20 20 20 20 - - -

54

Legislative Session

bull The House Appropriations amp Finance Committee adopts either the DFA or LFC recommendation or combination of recommendations presented in the different sheets

bull Initial HAFC adoption becomes part of HB2

bull The Senate Finance Committee hearing does not adopt either recommendation but may amend the HAFC budget after the hearing

bull Agency tracks adoption of recommendations and amendments to determine affects throughout session

bull Provide impact analysis to DFA of adopted recommendation (if applicable)

55

Substantive Sections of General Appropriation Act

bull Section 4 Recurring appropriations and performance targets for the daily

bull operation of state agencies public schools and higher education

bull institutions

bull Section 5 Special nonrecurring appropriations

bull Section 6 Supplemental appropriations for the current fiscal year and for

bull deficiencies from the previous fiscal year

bull Section 7 Appropriations for significant information systems and language

bull extending or reauthorizing certain projects

bull Section 8 Compensation appropriations for public employees

bull Section 9 Additional budget adjustment authority for the current year

bull Section 10 Specific budget adjustment authority for the upcoming year

bull Section 11 Authority to move money from the general fund to other funds

bull Section 12 Authority for the Department of Finance and Administration to

bull move funds from reserves in case of a shortfall

bull Section 13 Severability - authority for the bill to remain in effect even if

bull part of the bill is found invalid

56

Legislative Session

bull HB 2 amp Capital Bill ndash When both houses agree on final version it is enrolled and engrossed and

sent to governor

bull Governorrsquos Approval or Veto ndash Bills received during or after the last 3 days of session are automatically

vetoed (pocket veto) if governor does not sign within 20 days of adjournment

ndash Bills received prior to the last 3 days of session automatically become law unless acted upon

bull Effective Date of Bill ndash Emergency Clause (effective when signed)

ndash 90 days after session adjourns

ndash Start of fiscal or calendar year

57

58

Sample of Special Appropriation Language in HB 2 Section 5 of the Bill

(16) STATE ENGINEER 4000 6000 10000 To continue water

litigation under interstate compacts The other state funds

appropriation is from the improvement of Rio Grande income fund

59

Budget Implementation

bull Start spending ndash Timing and Planning

ndash Work Plan Preparation for Commission Approval bull RFPrsquoS

bull Contract prep

bull Budget adequacy amp accuracy

bull Encumbrance

bull Work Orders

bull Deliverables

bull Monitor Budget ndash Year Round ndash Budget Status Reports

ndash Adjustments

ndash Mid-year Budget Review

60

45

46

47

48

Appropriation Request Process Submittal Due September 1st

bull Agency Strategic Plan

bull Performance Measures

bull Current amp Proposed Budgets

bull Expansion requests (optional amp if allowed by GovernorDFA)

bull New program requests (optional amp if allowed by GovernorDFA)

bull Information Technology Plan (IT plan)

49

Appropriation Process Submittal Includes (Sept ndash Nov)

bull Deficiencies

ndash Funding request to pay for budget deficiency

bull Supplemental

ndash Funding needed in current year for unanticipated costs ie move the Deming office

bull Specials

ndash Nonrecurring needsprojects ie Litigation Funding

bull Extension of existing special appropriations (cannot ask for extension of operating budget)

bull Budget Adjustment Authority (BAR) Language

50

51

Budget Authority

52

January

bull DFA amp LFC prepare different sheets and summary of big differences of recommendations

bull Agency performs analysis on impact of DFA amp LFC recommendations

ndash Agency prepares for budget hearing

53

Request Exec LFC LFC - Exec Exec-Req LFC-Req

ISC P552 Opbud Base Base Base Base Base Base

General Fund Transfers 17649 17649 15835 18535 2700 (1814) 886

Other Transfers 103239 120302 119507 120302 795 (795) -

Federal Prgm Revenues 1749 1834 1834 1834 - - -

Other Prgm Revenues 1198 1198 1198 1198 - -

Fund Balance 2660 2660 2660 2660 - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Personal ServEmp Ben 37818 40165 38351 40165 1814 (1814) -

Contractual Services 49299 64422 64422 65308 886 - 886

Other Costs 39378 39056 38261 39056 795 (795) -

Other Uses - - - - - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Perm 470 470 470 470 - - -

Term 20 20 20 20 - - -

54

Legislative Session

bull The House Appropriations amp Finance Committee adopts either the DFA or LFC recommendation or combination of recommendations presented in the different sheets

bull Initial HAFC adoption becomes part of HB2

bull The Senate Finance Committee hearing does not adopt either recommendation but may amend the HAFC budget after the hearing

bull Agency tracks adoption of recommendations and amendments to determine affects throughout session

bull Provide impact analysis to DFA of adopted recommendation (if applicable)

55

Substantive Sections of General Appropriation Act

bull Section 4 Recurring appropriations and performance targets for the daily

bull operation of state agencies public schools and higher education

bull institutions

bull Section 5 Special nonrecurring appropriations

bull Section 6 Supplemental appropriations for the current fiscal year and for

bull deficiencies from the previous fiscal year

bull Section 7 Appropriations for significant information systems and language

bull extending or reauthorizing certain projects

bull Section 8 Compensation appropriations for public employees

bull Section 9 Additional budget adjustment authority for the current year

bull Section 10 Specific budget adjustment authority for the upcoming year

bull Section 11 Authority to move money from the general fund to other funds

bull Section 12 Authority for the Department of Finance and Administration to

bull move funds from reserves in case of a shortfall

bull Section 13 Severability - authority for the bill to remain in effect even if

bull part of the bill is found invalid

56

Legislative Session

bull HB 2 amp Capital Bill ndash When both houses agree on final version it is enrolled and engrossed and

sent to governor

bull Governorrsquos Approval or Veto ndash Bills received during or after the last 3 days of session are automatically

vetoed (pocket veto) if governor does not sign within 20 days of adjournment

ndash Bills received prior to the last 3 days of session automatically become law unless acted upon

bull Effective Date of Bill ndash Emergency Clause (effective when signed)

ndash 90 days after session adjourns

ndash Start of fiscal or calendar year

57

58

Sample of Special Appropriation Language in HB 2 Section 5 of the Bill

(16) STATE ENGINEER 4000 6000 10000 To continue water

litigation under interstate compacts The other state funds

appropriation is from the improvement of Rio Grande income fund

59

Budget Implementation

bull Start spending ndash Timing and Planning

ndash Work Plan Preparation for Commission Approval bull RFPrsquoS

bull Contract prep

bull Budget adequacy amp accuracy

bull Encumbrance

bull Work Orders

bull Deliverables

bull Monitor Budget ndash Year Round ndash Budget Status Reports

ndash Adjustments

ndash Mid-year Budget Review

60

46

47

48

Appropriation Request Process Submittal Due September 1st

bull Agency Strategic Plan

bull Performance Measures

bull Current amp Proposed Budgets

bull Expansion requests (optional amp if allowed by GovernorDFA)

bull New program requests (optional amp if allowed by GovernorDFA)

bull Information Technology Plan (IT plan)

49

Appropriation Process Submittal Includes (Sept ndash Nov)

bull Deficiencies

ndash Funding request to pay for budget deficiency

bull Supplemental

ndash Funding needed in current year for unanticipated costs ie move the Deming office

bull Specials

ndash Nonrecurring needsprojects ie Litigation Funding

bull Extension of existing special appropriations (cannot ask for extension of operating budget)

bull Budget Adjustment Authority (BAR) Language

50

51

Budget Authority

52

January

bull DFA amp LFC prepare different sheets and summary of big differences of recommendations

bull Agency performs analysis on impact of DFA amp LFC recommendations

ndash Agency prepares for budget hearing

53

Request Exec LFC LFC - Exec Exec-Req LFC-Req

ISC P552 Opbud Base Base Base Base Base Base

General Fund Transfers 17649 17649 15835 18535 2700 (1814) 886

Other Transfers 103239 120302 119507 120302 795 (795) -

Federal Prgm Revenues 1749 1834 1834 1834 - - -

Other Prgm Revenues 1198 1198 1198 1198 - -

Fund Balance 2660 2660 2660 2660 - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Personal ServEmp Ben 37818 40165 38351 40165 1814 (1814) -

Contractual Services 49299 64422 64422 65308 886 - 886

Other Costs 39378 39056 38261 39056 795 (795) -

Other Uses - - - - - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Perm 470 470 470 470 - - -

Term 20 20 20 20 - - -

54

Legislative Session

bull The House Appropriations amp Finance Committee adopts either the DFA or LFC recommendation or combination of recommendations presented in the different sheets

bull Initial HAFC adoption becomes part of HB2

bull The Senate Finance Committee hearing does not adopt either recommendation but may amend the HAFC budget after the hearing

bull Agency tracks adoption of recommendations and amendments to determine affects throughout session

bull Provide impact analysis to DFA of adopted recommendation (if applicable)

55

Substantive Sections of General Appropriation Act

bull Section 4 Recurring appropriations and performance targets for the daily

bull operation of state agencies public schools and higher education

bull institutions

bull Section 5 Special nonrecurring appropriations

bull Section 6 Supplemental appropriations for the current fiscal year and for

bull deficiencies from the previous fiscal year

bull Section 7 Appropriations for significant information systems and language

bull extending or reauthorizing certain projects

bull Section 8 Compensation appropriations for public employees

bull Section 9 Additional budget adjustment authority for the current year

bull Section 10 Specific budget adjustment authority for the upcoming year

bull Section 11 Authority to move money from the general fund to other funds

bull Section 12 Authority for the Department of Finance and Administration to

bull move funds from reserves in case of a shortfall

bull Section 13 Severability - authority for the bill to remain in effect even if

bull part of the bill is found invalid

56

Legislative Session

bull HB 2 amp Capital Bill ndash When both houses agree on final version it is enrolled and engrossed and

sent to governor

bull Governorrsquos Approval or Veto ndash Bills received during or after the last 3 days of session are automatically

vetoed (pocket veto) if governor does not sign within 20 days of adjournment

ndash Bills received prior to the last 3 days of session automatically become law unless acted upon

bull Effective Date of Bill ndash Emergency Clause (effective when signed)

ndash 90 days after session adjourns

ndash Start of fiscal or calendar year

57

58

Sample of Special Appropriation Language in HB 2 Section 5 of the Bill

(16) STATE ENGINEER 4000 6000 10000 To continue water

litigation under interstate compacts The other state funds

appropriation is from the improvement of Rio Grande income fund

59

Budget Implementation

bull Start spending ndash Timing and Planning

ndash Work Plan Preparation for Commission Approval bull RFPrsquoS

bull Contract prep

bull Budget adequacy amp accuracy

bull Encumbrance

bull Work Orders

bull Deliverables

bull Monitor Budget ndash Year Round ndash Budget Status Reports

ndash Adjustments

ndash Mid-year Budget Review

60

47

48

Appropriation Request Process Submittal Due September 1st

bull Agency Strategic Plan

bull Performance Measures

bull Current amp Proposed Budgets

bull Expansion requests (optional amp if allowed by GovernorDFA)

bull New program requests (optional amp if allowed by GovernorDFA)

bull Information Technology Plan (IT plan)

49

Appropriation Process Submittal Includes (Sept ndash Nov)

bull Deficiencies

ndash Funding request to pay for budget deficiency

bull Supplemental

ndash Funding needed in current year for unanticipated costs ie move the Deming office

bull Specials

ndash Nonrecurring needsprojects ie Litigation Funding

bull Extension of existing special appropriations (cannot ask for extension of operating budget)

bull Budget Adjustment Authority (BAR) Language

50

51

Budget Authority

52

January

bull DFA amp LFC prepare different sheets and summary of big differences of recommendations

bull Agency performs analysis on impact of DFA amp LFC recommendations

ndash Agency prepares for budget hearing

53

Request Exec LFC LFC - Exec Exec-Req LFC-Req

ISC P552 Opbud Base Base Base Base Base Base

General Fund Transfers 17649 17649 15835 18535 2700 (1814) 886

Other Transfers 103239 120302 119507 120302 795 (795) -

Federal Prgm Revenues 1749 1834 1834 1834 - - -

Other Prgm Revenues 1198 1198 1198 1198 - -

Fund Balance 2660 2660 2660 2660 - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Personal ServEmp Ben 37818 40165 38351 40165 1814 (1814) -

Contractual Services 49299 64422 64422 65308 886 - 886

Other Costs 39378 39056 38261 39056 795 (795) -

Other Uses - - - - - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Perm 470 470 470 470 - - -

Term 20 20 20 20 - - -

54

Legislative Session

bull The House Appropriations amp Finance Committee adopts either the DFA or LFC recommendation or combination of recommendations presented in the different sheets

bull Initial HAFC adoption becomes part of HB2

bull The Senate Finance Committee hearing does not adopt either recommendation but may amend the HAFC budget after the hearing

bull Agency tracks adoption of recommendations and amendments to determine affects throughout session

bull Provide impact analysis to DFA of adopted recommendation (if applicable)

55

Substantive Sections of General Appropriation Act

bull Section 4 Recurring appropriations and performance targets for the daily

bull operation of state agencies public schools and higher education

bull institutions

bull Section 5 Special nonrecurring appropriations

bull Section 6 Supplemental appropriations for the current fiscal year and for

bull deficiencies from the previous fiscal year

bull Section 7 Appropriations for significant information systems and language

bull extending or reauthorizing certain projects

bull Section 8 Compensation appropriations for public employees

bull Section 9 Additional budget adjustment authority for the current year

bull Section 10 Specific budget adjustment authority for the upcoming year

bull Section 11 Authority to move money from the general fund to other funds

bull Section 12 Authority for the Department of Finance and Administration to

bull move funds from reserves in case of a shortfall

bull Section 13 Severability - authority for the bill to remain in effect even if

bull part of the bill is found invalid

56

Legislative Session

bull HB 2 amp Capital Bill ndash When both houses agree on final version it is enrolled and engrossed and

sent to governor

bull Governorrsquos Approval or Veto ndash Bills received during or after the last 3 days of session are automatically

vetoed (pocket veto) if governor does not sign within 20 days of adjournment

ndash Bills received prior to the last 3 days of session automatically become law unless acted upon

bull Effective Date of Bill ndash Emergency Clause (effective when signed)

ndash 90 days after session adjourns

ndash Start of fiscal or calendar year

57

58

Sample of Special Appropriation Language in HB 2 Section 5 of the Bill

(16) STATE ENGINEER 4000 6000 10000 To continue water

litigation under interstate compacts The other state funds

appropriation is from the improvement of Rio Grande income fund

59

Budget Implementation

bull Start spending ndash Timing and Planning

ndash Work Plan Preparation for Commission Approval bull RFPrsquoS

bull Contract prep

bull Budget adequacy amp accuracy

bull Encumbrance

bull Work Orders

bull Deliverables

bull Monitor Budget ndash Year Round ndash Budget Status Reports

ndash Adjustments

ndash Mid-year Budget Review

60

48

Appropriation Request Process Submittal Due September 1st

bull Agency Strategic Plan

bull Performance Measures

bull Current amp Proposed Budgets

bull Expansion requests (optional amp if allowed by GovernorDFA)

bull New program requests (optional amp if allowed by GovernorDFA)

bull Information Technology Plan (IT plan)

49

Appropriation Process Submittal Includes (Sept ndash Nov)

bull Deficiencies

ndash Funding request to pay for budget deficiency

bull Supplemental

ndash Funding needed in current year for unanticipated costs ie move the Deming office

bull Specials

ndash Nonrecurring needsprojects ie Litigation Funding

bull Extension of existing special appropriations (cannot ask for extension of operating budget)

bull Budget Adjustment Authority (BAR) Language

50

51

Budget Authority

52

January

bull DFA amp LFC prepare different sheets and summary of big differences of recommendations

bull Agency performs analysis on impact of DFA amp LFC recommendations

ndash Agency prepares for budget hearing

53

Request Exec LFC LFC - Exec Exec-Req LFC-Req

ISC P552 Opbud Base Base Base Base Base Base

General Fund Transfers 17649 17649 15835 18535 2700 (1814) 886

Other Transfers 103239 120302 119507 120302 795 (795) -

Federal Prgm Revenues 1749 1834 1834 1834 - - -

Other Prgm Revenues 1198 1198 1198 1198 - -

Fund Balance 2660 2660 2660 2660 - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Personal ServEmp Ben 37818 40165 38351 40165 1814 (1814) -

Contractual Services 49299 64422 64422 65308 886 - 886

Other Costs 39378 39056 38261 39056 795 (795) -

Other Uses - - - - - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Perm 470 470 470 470 - - -

Term 20 20 20 20 - - -

54

Legislative Session

bull The House Appropriations amp Finance Committee adopts either the DFA or LFC recommendation or combination of recommendations presented in the different sheets

bull Initial HAFC adoption becomes part of HB2

bull The Senate Finance Committee hearing does not adopt either recommendation but may amend the HAFC budget after the hearing

bull Agency tracks adoption of recommendations and amendments to determine affects throughout session

bull Provide impact analysis to DFA of adopted recommendation (if applicable)

55

Substantive Sections of General Appropriation Act

bull Section 4 Recurring appropriations and performance targets for the daily

bull operation of state agencies public schools and higher education

bull institutions

bull Section 5 Special nonrecurring appropriations

bull Section 6 Supplemental appropriations for the current fiscal year and for

bull deficiencies from the previous fiscal year

bull Section 7 Appropriations for significant information systems and language

bull extending or reauthorizing certain projects

bull Section 8 Compensation appropriations for public employees

bull Section 9 Additional budget adjustment authority for the current year

bull Section 10 Specific budget adjustment authority for the upcoming year

bull Section 11 Authority to move money from the general fund to other funds

bull Section 12 Authority for the Department of Finance and Administration to

bull move funds from reserves in case of a shortfall

bull Section 13 Severability - authority for the bill to remain in effect even if

bull part of the bill is found invalid

56

Legislative Session

bull HB 2 amp Capital Bill ndash When both houses agree on final version it is enrolled and engrossed and

sent to governor

bull Governorrsquos Approval or Veto ndash Bills received during or after the last 3 days of session are automatically

vetoed (pocket veto) if governor does not sign within 20 days of adjournment

ndash Bills received prior to the last 3 days of session automatically become law unless acted upon

bull Effective Date of Bill ndash Emergency Clause (effective when signed)

ndash 90 days after session adjourns

ndash Start of fiscal or calendar year

57

58

Sample of Special Appropriation Language in HB 2 Section 5 of the Bill

(16) STATE ENGINEER 4000 6000 10000 To continue water

litigation under interstate compacts The other state funds

appropriation is from the improvement of Rio Grande income fund

59

Budget Implementation

bull Start spending ndash Timing and Planning

ndash Work Plan Preparation for Commission Approval bull RFPrsquoS

bull Contract prep

bull Budget adequacy amp accuracy

bull Encumbrance

bull Work Orders

bull Deliverables

bull Monitor Budget ndash Year Round ndash Budget Status Reports

ndash Adjustments

ndash Mid-year Budget Review

60

Appropriation Request Process Submittal Due September 1st

bull Agency Strategic Plan

bull Performance Measures

bull Current amp Proposed Budgets

bull Expansion requests (optional amp if allowed by GovernorDFA)

bull New program requests (optional amp if allowed by GovernorDFA)

bull Information Technology Plan (IT plan)

49

Appropriation Process Submittal Includes (Sept ndash Nov)

bull Deficiencies

ndash Funding request to pay for budget deficiency

bull Supplemental

ndash Funding needed in current year for unanticipated costs ie move the Deming office

bull Specials

ndash Nonrecurring needsprojects ie Litigation Funding

bull Extension of existing special appropriations (cannot ask for extension of operating budget)

bull Budget Adjustment Authority (BAR) Language

50

51

Budget Authority

52

January

bull DFA amp LFC prepare different sheets and summary of big differences of recommendations

bull Agency performs analysis on impact of DFA amp LFC recommendations

ndash Agency prepares for budget hearing

53

Request Exec LFC LFC - Exec Exec-Req LFC-Req

ISC P552 Opbud Base Base Base Base Base Base

General Fund Transfers 17649 17649 15835 18535 2700 (1814) 886

Other Transfers 103239 120302 119507 120302 795 (795) -

Federal Prgm Revenues 1749 1834 1834 1834 - - -

Other Prgm Revenues 1198 1198 1198 1198 - -

Fund Balance 2660 2660 2660 2660 - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Personal ServEmp Ben 37818 40165 38351 40165 1814 (1814) -

Contractual Services 49299 64422 64422 65308 886 - 886

Other Costs 39378 39056 38261 39056 795 (795) -

Other Uses - - - - - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Perm 470 470 470 470 - - -

Term 20 20 20 20 - - -

54

Legislative Session

bull The House Appropriations amp Finance Committee adopts either the DFA or LFC recommendation or combination of recommendations presented in the different sheets

bull Initial HAFC adoption becomes part of HB2

bull The Senate Finance Committee hearing does not adopt either recommendation but may amend the HAFC budget after the hearing

bull Agency tracks adoption of recommendations and amendments to determine affects throughout session

bull Provide impact analysis to DFA of adopted recommendation (if applicable)

55

Substantive Sections of General Appropriation Act

bull Section 4 Recurring appropriations and performance targets for the daily

bull operation of state agencies public schools and higher education

bull institutions

bull Section 5 Special nonrecurring appropriations

bull Section 6 Supplemental appropriations for the current fiscal year and for

bull deficiencies from the previous fiscal year

bull Section 7 Appropriations for significant information systems and language

bull extending or reauthorizing certain projects

bull Section 8 Compensation appropriations for public employees

bull Section 9 Additional budget adjustment authority for the current year

bull Section 10 Specific budget adjustment authority for the upcoming year

bull Section 11 Authority to move money from the general fund to other funds

bull Section 12 Authority for the Department of Finance and Administration to

bull move funds from reserves in case of a shortfall

bull Section 13 Severability - authority for the bill to remain in effect even if

bull part of the bill is found invalid

56

Legislative Session

bull HB 2 amp Capital Bill ndash When both houses agree on final version it is enrolled and engrossed and

sent to governor

bull Governorrsquos Approval or Veto ndash Bills received during or after the last 3 days of session are automatically

vetoed (pocket veto) if governor does not sign within 20 days of adjournment

ndash Bills received prior to the last 3 days of session automatically become law unless acted upon

bull Effective Date of Bill ndash Emergency Clause (effective when signed)

ndash 90 days after session adjourns

ndash Start of fiscal or calendar year

57

58

Sample of Special Appropriation Language in HB 2 Section 5 of the Bill

(16) STATE ENGINEER 4000 6000 10000 To continue water

litigation under interstate compacts The other state funds

appropriation is from the improvement of Rio Grande income fund

59

Budget Implementation

bull Start spending ndash Timing and Planning

ndash Work Plan Preparation for Commission Approval bull RFPrsquoS

bull Contract prep

bull Budget adequacy amp accuracy

bull Encumbrance

bull Work Orders

bull Deliverables

bull Monitor Budget ndash Year Round ndash Budget Status Reports

ndash Adjustments

ndash Mid-year Budget Review

60

Appropriation Process Submittal Includes (Sept ndash Nov)

bull Deficiencies

ndash Funding request to pay for budget deficiency

bull Supplemental

ndash Funding needed in current year for unanticipated costs ie move the Deming office

bull Specials

ndash Nonrecurring needsprojects ie Litigation Funding

bull Extension of existing special appropriations (cannot ask for extension of operating budget)

bull Budget Adjustment Authority (BAR) Language

50

51

Budget Authority

52

January

bull DFA amp LFC prepare different sheets and summary of big differences of recommendations

bull Agency performs analysis on impact of DFA amp LFC recommendations

ndash Agency prepares for budget hearing

53

Request Exec LFC LFC - Exec Exec-Req LFC-Req

ISC P552 Opbud Base Base Base Base Base Base

General Fund Transfers 17649 17649 15835 18535 2700 (1814) 886

Other Transfers 103239 120302 119507 120302 795 (795) -

Federal Prgm Revenues 1749 1834 1834 1834 - - -

Other Prgm Revenues 1198 1198 1198 1198 - -

Fund Balance 2660 2660 2660 2660 - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Personal ServEmp Ben 37818 40165 38351 40165 1814 (1814) -

Contractual Services 49299 64422 64422 65308 886 - 886

Other Costs 39378 39056 38261 39056 795 (795) -

Other Uses - - - - - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Perm 470 470 470 470 - - -

Term 20 20 20 20 - - -

54

Legislative Session

bull The House Appropriations amp Finance Committee adopts either the DFA or LFC recommendation or combination of recommendations presented in the different sheets

bull Initial HAFC adoption becomes part of HB2

bull The Senate Finance Committee hearing does not adopt either recommendation but may amend the HAFC budget after the hearing

bull Agency tracks adoption of recommendations and amendments to determine affects throughout session

bull Provide impact analysis to DFA of adopted recommendation (if applicable)

55

Substantive Sections of General Appropriation Act

bull Section 4 Recurring appropriations and performance targets for the daily

bull operation of state agencies public schools and higher education

bull institutions

bull Section 5 Special nonrecurring appropriations

bull Section 6 Supplemental appropriations for the current fiscal year and for

bull deficiencies from the previous fiscal year

bull Section 7 Appropriations for significant information systems and language

bull extending or reauthorizing certain projects

bull Section 8 Compensation appropriations for public employees

bull Section 9 Additional budget adjustment authority for the current year

bull Section 10 Specific budget adjustment authority for the upcoming year

bull Section 11 Authority to move money from the general fund to other funds

bull Section 12 Authority for the Department of Finance and Administration to

bull move funds from reserves in case of a shortfall

bull Section 13 Severability - authority for the bill to remain in effect even if

bull part of the bill is found invalid

56

Legislative Session

bull HB 2 amp Capital Bill ndash When both houses agree on final version it is enrolled and engrossed and

sent to governor

bull Governorrsquos Approval or Veto ndash Bills received during or after the last 3 days of session are automatically

vetoed (pocket veto) if governor does not sign within 20 days of adjournment

ndash Bills received prior to the last 3 days of session automatically become law unless acted upon

bull Effective Date of Bill ndash Emergency Clause (effective when signed)

ndash 90 days after session adjourns

ndash Start of fiscal or calendar year

57

58

Sample of Special Appropriation Language in HB 2 Section 5 of the Bill

(16) STATE ENGINEER 4000 6000 10000 To continue water

litigation under interstate compacts The other state funds

appropriation is from the improvement of Rio Grande income fund

59

Budget Implementation

bull Start spending ndash Timing and Planning

ndash Work Plan Preparation for Commission Approval bull RFPrsquoS

bull Contract prep

bull Budget adequacy amp accuracy

bull Encumbrance

bull Work Orders

bull Deliverables

bull Monitor Budget ndash Year Round ndash Budget Status Reports

ndash Adjustments

ndash Mid-year Budget Review

60

51

Budget Authority

52

January

bull DFA amp LFC prepare different sheets and summary of big differences of recommendations

bull Agency performs analysis on impact of DFA amp LFC recommendations

ndash Agency prepares for budget hearing

53

Request Exec LFC LFC - Exec Exec-Req LFC-Req

ISC P552 Opbud Base Base Base Base Base Base

General Fund Transfers 17649 17649 15835 18535 2700 (1814) 886

Other Transfers 103239 120302 119507 120302 795 (795) -

Federal Prgm Revenues 1749 1834 1834 1834 - - -

Other Prgm Revenues 1198 1198 1198 1198 - -

Fund Balance 2660 2660 2660 2660 - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Personal ServEmp Ben 37818 40165 38351 40165 1814 (1814) -

Contractual Services 49299 64422 64422 65308 886 - 886

Other Costs 39378 39056 38261 39056 795 (795) -

Other Uses - - - - - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Perm 470 470 470 470 - - -

Term 20 20 20 20 - - -

54

Legislative Session

bull The House Appropriations amp Finance Committee adopts either the DFA or LFC recommendation or combination of recommendations presented in the different sheets

bull Initial HAFC adoption becomes part of HB2

bull The Senate Finance Committee hearing does not adopt either recommendation but may amend the HAFC budget after the hearing

bull Agency tracks adoption of recommendations and amendments to determine affects throughout session

bull Provide impact analysis to DFA of adopted recommendation (if applicable)

55

Substantive Sections of General Appropriation Act

bull Section 4 Recurring appropriations and performance targets for the daily

bull operation of state agencies public schools and higher education

bull institutions

bull Section 5 Special nonrecurring appropriations

bull Section 6 Supplemental appropriations for the current fiscal year and for

bull deficiencies from the previous fiscal year

bull Section 7 Appropriations for significant information systems and language

bull extending or reauthorizing certain projects

bull Section 8 Compensation appropriations for public employees

bull Section 9 Additional budget adjustment authority for the current year

bull Section 10 Specific budget adjustment authority for the upcoming year

bull Section 11 Authority to move money from the general fund to other funds

bull Section 12 Authority for the Department of Finance and Administration to

bull move funds from reserves in case of a shortfall

bull Section 13 Severability - authority for the bill to remain in effect even if

bull part of the bill is found invalid

56

Legislative Session

bull HB 2 amp Capital Bill ndash When both houses agree on final version it is enrolled and engrossed and

sent to governor

bull Governorrsquos Approval or Veto ndash Bills received during or after the last 3 days of session are automatically

vetoed (pocket veto) if governor does not sign within 20 days of adjournment

ndash Bills received prior to the last 3 days of session automatically become law unless acted upon

bull Effective Date of Bill ndash Emergency Clause (effective when signed)

ndash 90 days after session adjourns

ndash Start of fiscal or calendar year

57

58

Sample of Special Appropriation Language in HB 2 Section 5 of the Bill

(16) STATE ENGINEER 4000 6000 10000 To continue water

litigation under interstate compacts The other state funds

appropriation is from the improvement of Rio Grande income fund

59

Budget Implementation

bull Start spending ndash Timing and Planning

ndash Work Plan Preparation for Commission Approval bull RFPrsquoS

bull Contract prep

bull Budget adequacy amp accuracy

bull Encumbrance

bull Work Orders

bull Deliverables

bull Monitor Budget ndash Year Round ndash Budget Status Reports

ndash Adjustments

ndash Mid-year Budget Review

60

Budget Authority

52

January

bull DFA amp LFC prepare different sheets and summary of big differences of recommendations

bull Agency performs analysis on impact of DFA amp LFC recommendations

ndash Agency prepares for budget hearing

53

Request Exec LFC LFC - Exec Exec-Req LFC-Req

ISC P552 Opbud Base Base Base Base Base Base

General Fund Transfers 17649 17649 15835 18535 2700 (1814) 886

Other Transfers 103239 120302 119507 120302 795 (795) -

Federal Prgm Revenues 1749 1834 1834 1834 - - -

Other Prgm Revenues 1198 1198 1198 1198 - -

Fund Balance 2660 2660 2660 2660 - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Personal ServEmp Ben 37818 40165 38351 40165 1814 (1814) -

Contractual Services 49299 64422 64422 65308 886 - 886

Other Costs 39378 39056 38261 39056 795 (795) -

Other Uses - - - - - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Perm 470 470 470 470 - - -

Term 20 20 20 20 - - -

54

Legislative Session

bull The House Appropriations amp Finance Committee adopts either the DFA or LFC recommendation or combination of recommendations presented in the different sheets

bull Initial HAFC adoption becomes part of HB2

bull The Senate Finance Committee hearing does not adopt either recommendation but may amend the HAFC budget after the hearing

bull Agency tracks adoption of recommendations and amendments to determine affects throughout session

bull Provide impact analysis to DFA of adopted recommendation (if applicable)

55

Substantive Sections of General Appropriation Act

bull Section 4 Recurring appropriations and performance targets for the daily

bull operation of state agencies public schools and higher education

bull institutions

bull Section 5 Special nonrecurring appropriations

bull Section 6 Supplemental appropriations for the current fiscal year and for

bull deficiencies from the previous fiscal year

bull Section 7 Appropriations for significant information systems and language

bull extending or reauthorizing certain projects

bull Section 8 Compensation appropriations for public employees

bull Section 9 Additional budget adjustment authority for the current year

bull Section 10 Specific budget adjustment authority for the upcoming year

bull Section 11 Authority to move money from the general fund to other funds

bull Section 12 Authority for the Department of Finance and Administration to

bull move funds from reserves in case of a shortfall

bull Section 13 Severability - authority for the bill to remain in effect even if

bull part of the bill is found invalid

56

Legislative Session

bull HB 2 amp Capital Bill ndash When both houses agree on final version it is enrolled and engrossed and

sent to governor

bull Governorrsquos Approval or Veto ndash Bills received during or after the last 3 days of session are automatically

vetoed (pocket veto) if governor does not sign within 20 days of adjournment

ndash Bills received prior to the last 3 days of session automatically become law unless acted upon

bull Effective Date of Bill ndash Emergency Clause (effective when signed)

ndash 90 days after session adjourns

ndash Start of fiscal or calendar year

57

58

Sample of Special Appropriation Language in HB 2 Section 5 of the Bill

(16) STATE ENGINEER 4000 6000 10000 To continue water

litigation under interstate compacts The other state funds

appropriation is from the improvement of Rio Grande income fund

59

Budget Implementation

bull Start spending ndash Timing and Planning

ndash Work Plan Preparation for Commission Approval bull RFPrsquoS

bull Contract prep

bull Budget adequacy amp accuracy

bull Encumbrance

bull Work Orders

bull Deliverables

bull Monitor Budget ndash Year Round ndash Budget Status Reports

ndash Adjustments

ndash Mid-year Budget Review

60

January

bull DFA amp LFC prepare different sheets and summary of big differences of recommendations

bull Agency performs analysis on impact of DFA amp LFC recommendations

ndash Agency prepares for budget hearing

53

Request Exec LFC LFC - Exec Exec-Req LFC-Req

ISC P552 Opbud Base Base Base Base Base Base

General Fund Transfers 17649 17649 15835 18535 2700 (1814) 886

Other Transfers 103239 120302 119507 120302 795 (795) -

Federal Prgm Revenues 1749 1834 1834 1834 - - -

Other Prgm Revenues 1198 1198 1198 1198 - -

Fund Balance 2660 2660 2660 2660 - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Personal ServEmp Ben 37818 40165 38351 40165 1814 (1814) -

Contractual Services 49299 64422 64422 65308 886 - 886

Other Costs 39378 39056 38261 39056 795 (795) -

Other Uses - - - - - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Perm 470 470 470 470 - - -

Term 20 20 20 20 - - -

54

Legislative Session

bull The House Appropriations amp Finance Committee adopts either the DFA or LFC recommendation or combination of recommendations presented in the different sheets

bull Initial HAFC adoption becomes part of HB2

bull The Senate Finance Committee hearing does not adopt either recommendation but may amend the HAFC budget after the hearing

bull Agency tracks adoption of recommendations and amendments to determine affects throughout session

bull Provide impact analysis to DFA of adopted recommendation (if applicable)

55

Substantive Sections of General Appropriation Act

bull Section 4 Recurring appropriations and performance targets for the daily

bull operation of state agencies public schools and higher education

bull institutions

bull Section 5 Special nonrecurring appropriations

bull Section 6 Supplemental appropriations for the current fiscal year and for

bull deficiencies from the previous fiscal year

bull Section 7 Appropriations for significant information systems and language

bull extending or reauthorizing certain projects

bull Section 8 Compensation appropriations for public employees

bull Section 9 Additional budget adjustment authority for the current year

bull Section 10 Specific budget adjustment authority for the upcoming year

bull Section 11 Authority to move money from the general fund to other funds

bull Section 12 Authority for the Department of Finance and Administration to

bull move funds from reserves in case of a shortfall

bull Section 13 Severability - authority for the bill to remain in effect even if

bull part of the bill is found invalid

56

Legislative Session

bull HB 2 amp Capital Bill ndash When both houses agree on final version it is enrolled and engrossed and

sent to governor

bull Governorrsquos Approval or Veto ndash Bills received during or after the last 3 days of session are automatically

vetoed (pocket veto) if governor does not sign within 20 days of adjournment

ndash Bills received prior to the last 3 days of session automatically become law unless acted upon

bull Effective Date of Bill ndash Emergency Clause (effective when signed)

ndash 90 days after session adjourns

ndash Start of fiscal or calendar year

57

58

Sample of Special Appropriation Language in HB 2 Section 5 of the Bill

(16) STATE ENGINEER 4000 6000 10000 To continue water

litigation under interstate compacts The other state funds

appropriation is from the improvement of Rio Grande income fund

59

Budget Implementation

bull Start spending ndash Timing and Planning

ndash Work Plan Preparation for Commission Approval bull RFPrsquoS

bull Contract prep

bull Budget adequacy amp accuracy

bull Encumbrance

bull Work Orders

bull Deliverables

bull Monitor Budget ndash Year Round ndash Budget Status Reports

ndash Adjustments

ndash Mid-year Budget Review

60

Request Exec LFC LFC - Exec Exec-Req LFC-Req

ISC P552 Opbud Base Base Base Base Base Base

General Fund Transfers 17649 17649 15835 18535 2700 (1814) 886

Other Transfers 103239 120302 119507 120302 795 (795) -

Federal Prgm Revenues 1749 1834 1834 1834 - - -

Other Prgm Revenues 1198 1198 1198 1198 - -

Fund Balance 2660 2660 2660 2660 - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Personal ServEmp Ben 37818 40165 38351 40165 1814 (1814) -

Contractual Services 49299 64422 64422 65308 886 - 886

Other Costs 39378 39056 38261 39056 795 (795) -

Other Uses - - - - - - -

Total 126495 143643 141034 144529 3495 (2609) 886

Perm 470 470 470 470 - - -

Term 20 20 20 20 - - -

54

Legislative Session

bull The House Appropriations amp Finance Committee adopts either the DFA or LFC recommendation or combination of recommendations presented in the different sheets

bull Initial HAFC adoption becomes part of HB2

bull The Senate Finance Committee hearing does not adopt either recommendation but may amend the HAFC budget after the hearing

bull Agency tracks adoption of recommendations and amendments to determine affects throughout session

bull Provide impact analysis to DFA of adopted recommendation (if applicable)

55

Substantive Sections of General Appropriation Act

bull Section 4 Recurring appropriations and performance targets for the daily

bull operation of state agencies public schools and higher education

bull institutions

bull Section 5 Special nonrecurring appropriations

bull Section 6 Supplemental appropriations for the current fiscal year and for

bull deficiencies from the previous fiscal year

bull Section 7 Appropriations for significant information systems and language

bull extending or reauthorizing certain projects

bull Section 8 Compensation appropriations for public employees

bull Section 9 Additional budget adjustment authority for the current year

bull Section 10 Specific budget adjustment authority for the upcoming year

bull Section 11 Authority to move money from the general fund to other funds

bull Section 12 Authority for the Department of Finance and Administration to

bull move funds from reserves in case of a shortfall

bull Section 13 Severability - authority for the bill to remain in effect even if

bull part of the bill is found invalid

56

Legislative Session

bull HB 2 amp Capital Bill ndash When both houses agree on final version it is enrolled and engrossed and

sent to governor

bull Governorrsquos Approval or Veto ndash Bills received during or after the last 3 days of session are automatically

vetoed (pocket veto) if governor does not sign within 20 days of adjournment

ndash Bills received prior to the last 3 days of session automatically become law unless acted upon

bull Effective Date of Bill ndash Emergency Clause (effective when signed)

ndash 90 days after session adjourns

ndash Start of fiscal or calendar year

57

58

Sample of Special Appropriation Language in HB 2 Section 5 of the Bill

(16) STATE ENGINEER 4000 6000 10000 To continue water

litigation under interstate compacts The other state funds

appropriation is from the improvement of Rio Grande income fund

59

Budget Implementation

bull Start spending ndash Timing and Planning

ndash Work Plan Preparation for Commission Approval bull RFPrsquoS

bull Contract prep

bull Budget adequacy amp accuracy

bull Encumbrance

bull Work Orders

bull Deliverables

bull Monitor Budget ndash Year Round ndash Budget Status Reports

ndash Adjustments

ndash Mid-year Budget Review

60

Legislative Session

bull The House Appropriations amp Finance Committee adopts either the DFA or LFC recommendation or combination of recommendations presented in the different sheets

bull Initial HAFC adoption becomes part of HB2

bull The Senate Finance Committee hearing does not adopt either recommendation but may amend the HAFC budget after the hearing

bull Agency tracks adoption of recommendations and amendments to determine affects throughout session

bull Provide impact analysis to DFA of adopted recommendation (if applicable)

55

Substantive Sections of General Appropriation Act

bull Section 4 Recurring appropriations and performance targets for the daily

bull operation of state agencies public schools and higher education

bull institutions

bull Section 5 Special nonrecurring appropriations

bull Section 6 Supplemental appropriations for the current fiscal year and for

bull deficiencies from the previous fiscal year

bull Section 7 Appropriations for significant information systems and language

bull extending or reauthorizing certain projects

bull Section 8 Compensation appropriations for public employees

bull Section 9 Additional budget adjustment authority for the current year

bull Section 10 Specific budget adjustment authority for the upcoming year

bull Section 11 Authority to move money from the general fund to other funds

bull Section 12 Authority for the Department of Finance and Administration to

bull move funds from reserves in case of a shortfall

bull Section 13 Severability - authority for the bill to remain in effect even if

bull part of the bill is found invalid

56

Legislative Session

bull HB 2 amp Capital Bill ndash When both houses agree on final version it is enrolled and engrossed and

sent to governor

bull Governorrsquos Approval or Veto ndash Bills received during or after the last 3 days of session are automatically

vetoed (pocket veto) if governor does not sign within 20 days of adjournment

ndash Bills received prior to the last 3 days of session automatically become law unless acted upon

bull Effective Date of Bill ndash Emergency Clause (effective when signed)

ndash 90 days after session adjourns

ndash Start of fiscal or calendar year

57

58

Sample of Special Appropriation Language in HB 2 Section 5 of the Bill

(16) STATE ENGINEER 4000 6000 10000 To continue water

litigation under interstate compacts The other state funds

appropriation is from the improvement of Rio Grande income fund

59

Budget Implementation

bull Start spending ndash Timing and Planning

ndash Work Plan Preparation for Commission Approval bull RFPrsquoS

bull Contract prep

bull Budget adequacy amp accuracy

bull Encumbrance

bull Work Orders

bull Deliverables

bull Monitor Budget ndash Year Round ndash Budget Status Reports

ndash Adjustments

ndash Mid-year Budget Review

60

Substantive Sections of General Appropriation Act

bull Section 4 Recurring appropriations and performance targets for the daily

bull operation of state agencies public schools and higher education

bull institutions

bull Section 5 Special nonrecurring appropriations

bull Section 6 Supplemental appropriations for the current fiscal year and for

bull deficiencies from the previous fiscal year

bull Section 7 Appropriations for significant information systems and language

bull extending or reauthorizing certain projects

bull Section 8 Compensation appropriations for public employees

bull Section 9 Additional budget adjustment authority for the current year

bull Section 10 Specific budget adjustment authority for the upcoming year

bull Section 11 Authority to move money from the general fund to other funds

bull Section 12 Authority for the Department of Finance and Administration to

bull move funds from reserves in case of a shortfall

bull Section 13 Severability - authority for the bill to remain in effect even if

bull part of the bill is found invalid

56

Legislative Session

bull HB 2 amp Capital Bill ndash When both houses agree on final version it is enrolled and engrossed and

sent to governor

bull Governorrsquos Approval or Veto ndash Bills received during or after the last 3 days of session are automatically

vetoed (pocket veto) if governor does not sign within 20 days of adjournment

ndash Bills received prior to the last 3 days of session automatically become law unless acted upon

bull Effective Date of Bill ndash Emergency Clause (effective when signed)

ndash 90 days after session adjourns

ndash Start of fiscal or calendar year

57

58

Sample of Special Appropriation Language in HB 2 Section 5 of the Bill

(16) STATE ENGINEER 4000 6000 10000 To continue water

litigation under interstate compacts The other state funds

appropriation is from the improvement of Rio Grande income fund

59

Budget Implementation

bull Start spending ndash Timing and Planning

ndash Work Plan Preparation for Commission Approval bull RFPrsquoS

bull Contract prep

bull Budget adequacy amp accuracy

bull Encumbrance

bull Work Orders

bull Deliverables

bull Monitor Budget ndash Year Round ndash Budget Status Reports

ndash Adjustments

ndash Mid-year Budget Review

60

Legislative Session

bull HB 2 amp Capital Bill ndash When both houses agree on final version it is enrolled and engrossed and

sent to governor

bull Governorrsquos Approval or Veto ndash Bills received during or after the last 3 days of session are automatically

vetoed (pocket veto) if governor does not sign within 20 days of adjournment

ndash Bills received prior to the last 3 days of session automatically become law unless acted upon

bull Effective Date of Bill ndash Emergency Clause (effective when signed)

ndash 90 days after session adjourns

ndash Start of fiscal or calendar year

57

58

Sample of Special Appropriation Language in HB 2 Section 5 of the Bill

(16) STATE ENGINEER 4000 6000 10000 To continue water

litigation under interstate compacts The other state funds

appropriation is from the improvement of Rio Grande income fund

59

Budget Implementation

bull Start spending ndash Timing and Planning

ndash Work Plan Preparation for Commission Approval bull RFPrsquoS

bull Contract prep

bull Budget adequacy amp accuracy

bull Encumbrance

bull Work Orders

bull Deliverables

bull Monitor Budget ndash Year Round ndash Budget Status Reports

ndash Adjustments

ndash Mid-year Budget Review

60

58

Sample of Special Appropriation Language in HB 2 Section 5 of the Bill

(16) STATE ENGINEER 4000 6000 10000 To continue water

litigation under interstate compacts The other state funds

appropriation is from the improvement of Rio Grande income fund

59

Budget Implementation

bull Start spending ndash Timing and Planning

ndash Work Plan Preparation for Commission Approval bull RFPrsquoS

bull Contract prep

bull Budget adequacy amp accuracy

bull Encumbrance

bull Work Orders

bull Deliverables

bull Monitor Budget ndash Year Round ndash Budget Status Reports

ndash Adjustments

ndash Mid-year Budget Review

60

Sample of Special Appropriation Language in HB 2 Section 5 of the Bill

(16) STATE ENGINEER 4000 6000 10000 To continue water

litigation under interstate compacts The other state funds

appropriation is from the improvement of Rio Grande income fund

59

Budget Implementation

bull Start spending ndash Timing and Planning

ndash Work Plan Preparation for Commission Approval bull RFPrsquoS

bull Contract prep

bull Budget adequacy amp accuracy

bull Encumbrance

bull Work Orders

bull Deliverables

bull Monitor Budget ndash Year Round ndash Budget Status Reports

ndash Adjustments

ndash Mid-year Budget Review

60

Budget Implementation

bull Start spending ndash Timing and Planning

ndash Work Plan Preparation for Commission Approval bull RFPrsquoS

bull Contract prep

bull Budget adequacy amp accuracy

bull Encumbrance

bull Work Orders

bull Deliverables

bull Monitor Budget ndash Year Round ndash Budget Status Reports

ndash Adjustments

ndash Mid-year Budget Review

60