GRICULTURAL PRESERVATION FUND: ADMINISTRATIVE CAP
Senate Bill 1014, S-1
Sponsor: Senator Bob Emerson
Committee: Appropriations
First Analysis (March 11 , 2004)
FISCAL IMPACT: This bill would increase the amount that the Department of Agriculture can spend for administrative purposes from the Agricultural Preservation Fund from $700,000 to $900,000.
THE APPARENT PROBLEM: Total appropriations for FY 2003-04 from the Agricultural Preservation fund for administrative costs exceed the statutory cap.
THE CONTENT OF THE BILL: This bill would increase the amount that the Department of Agriculture can spend for administrative purposes from the Agricultural Preservation Fund from $700,000 to $900,000. If deposits into the fund exceed $11,250,000, up to 8% of the deposits may be expended for administrative costs.
BACKGROUND INFORMATION: The Agricultural Preservation Fund was established to provide funds for the purchase of farmland development rights or to acquire agricultural conservation easements.
FISCAL INFORMATION: The enacted Department of Agriculture budget for FY 2003-04 included $727,300 from the Agricultural Preservation Fund for administrative costs. The Executive Order reductions (EO2003-23) cut $170,000 from the Farmland and Open Space program with the expectation that these funds would be replaced by Agriculture Preservation Fund revenue. The FY 2003-04 supplemental appropriation (PA 237 of 2003) provided this fund shift. Consequently, the total amount appropriated for department administrative expenses from the Agricultural Preservation Fund, $837,300, exceeds the $700,000 cap in the existing statute. This bill would allow the department to spend the full amount appropriated.
There would be no fiscal impact on local governmental units.
Fiscal Analyst: Kirk Lindquist
■ This analysis was prepared by nonpartisan House staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.