Bureau of Business & Economic Research
Michael O’Donnell, JD, PhD
Director
Fiscal Year 2022 Annual Review of Category 3 Research Centers/Institutes | 11 January 2023
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Mission
The Bureau of Business and Economic Research’s mission is to provide New Mexico’s citizens, educators, business leaders, and public-sector decision makers with accurate economic research, forecasts, and economic and demographic data affecting the quality of life and doing business in New Mexico.
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FY 2022 Goals and Status
• Renew state forecasting contract (completed; up for renewal again for FY23).
• Complete landowners tax analysis authorized by RPSP (completed, delivered to RSTP committee).
• Resolve status of Associate Director position (completed).
• Continue update of BBER’s website to broaden use of API data retrieval and interactive data visualization (ongoing).
• Identify and develop recurring revenue streams to support BBER’s Data Bank including data subscription services and data dashboards (complete and ongoing).
• Continue to expand contract-funded research in all regions of New Mexico (ongoing).
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Membership of Advisory Committee
• Derek Hamilton, Professor, Psychology and Former Assoc. VP Research
• Robert Berrens, Professor and Chair, Economics
• Melissa Binder, Assoc. Professor, Economics
• Claudia Isaac, Professor, Community & Regional Planning
• Nancy Lopez, Professor, Sociology
• Tom Turner, Professor, Biology
• Robin Brule, Former Sr. VP Community Relations, Nusenda Credit Union
Last meeting in 2019. No annual review held.
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FY 2022 Highlights
• Michael O’Donnell made permanent Director
• Major Awards: Generous RPSP and line-item awards ($100k, $87k and $50k); State Treasurers Office/AARP ($60k); Lea County ($60k); NM EDD ($60k); EMNRD ($70k); MFA ($50k)
• Legislation changed based on our work
• Paid sick leave; uranium cleanup; Community Solar; Treasurer’s Work & Save
• Presented to Federal Reserve of KC
• Transitioned RaeAnn McKernan to administrator role
• Work regularly featured in print, television, and radio media
• Staff research interviews given to: Bloomberg News, Albuquerque Journal, Santa Fe New Mexican, New Mexico Business First, Taos News, KOATV, KOBTV, KRQETV, KUNM, and others
• Held Data User’s Conference November 2021 (virtual).
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100,000 200,000 300,000 400,000 500,000 600,000 FY18 FY19 FY20 FY21 FY22 Proposals50,000 100,000 150,000 200,000 250,000 300,000 350,000 400,000 450,000 FY18 FY19 FY20 FY21 FY22 Awards
Proposals and Awards
Annual Review of Category 3 Research Centers/Institutes F&A Return, 15,928.29 , 2% Contracts & Grants, 399,199.52 , 41% VPR Allocation, 100,000.00 , 10% State Appropriation, 87,100.00 , 9% Other, 180,484.00 , 19% Gifts, 25,000.00 , 3% FY21 to FY22 Reserves, 160,550.75 , 16% BBER Revenue Details FY22 Sources of Revenue F&A Return 15,928.29 Contracts & Grants 399,199.52 VPR Allocation 100,000.00 State Appropriation 87,100.00 Other 180,484.00 Gifts 25,000.00 FY21 to FY22 Reserves 160,550.75 Total 968,262.56 7
Research Expenditures and F&A
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20,000 40,000 60,000 80,000 100,000 120,000 140,000 160,000 180,000 FY18 FY19 FY20 FY21 FY22 Expenditures5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 FY18 FY19 FY20 FY21 FY22 F&A
Annual Review of Category 3 Research Centers/Institutes Salaries & Fringe, 600,921.76 , 84.5% Travel, 439.25 , 0.1% Materials & Supplies, 19,693.95 , 2.8% Communications/Servic es, 45,305.21 , 6.4% Plant/Maintenance, 1,693.39 , 0.2% Other Expenses, 43,486.21 , 6.1% BBER Expenditure Details FY22 Expenditures: Salaries & Fringe 600,921.76 Travel 439.25 Materials & Supplies 19,693.95 Communications/Services 45,305.21 Plant/Maintenance 1,693.39 Other Expenses 43,486.21 Total 711,539.77 9
Research Center Impacts
• Provides the State and local governments and private businesses with economic forecasts and analysis used in revenue estimation, budgeting, and strategic planning.
• Supports economic development in New Mexico by providing data, analysis, and technical assistance to policymakers, businesses, and governments throughout the state.
• Principal source of evidence-based policy analysis for State and local governmental organizations in New Mexico.
• Serves as US Census Bureau’s designated State Data Center.
• Provides businesses, communities, and media with information in support of public discourse.
• Support UNM’s educational mission by training students, serving as guest lecturers, providing data, and analytical support to researchers.
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Return on Investment
- BBER represents UNM as a recognized authority on the New Mexico economy, serving State and local governments, private businesses, and non-profit organizations.
- BBER has completed dozens of impactful research projects, supporting organizations including: New Mexico state government (LFC, TRD, DOT, DFA, NMDWS, Treasurer’s Office, NM EDD, and many others); Cities and Counties (Albuquerque, Bernalillo County, Lea County, San Juan County, and many others); Mortgage Finance Authority, 19 Pueblos & IPCC, Los Alamos National Laboratory, the Middle Rio Grande Conservation District, and many more.
- BBER currently employs seven full-time professional staff and five graduate and under-graduate students.
- 100% of students employed by BBER over the past ten years are employed in their chosen field, including key positions in State and local government in New Mexico.
- BBER provides UNM with research services, including economic impact analysis, compensation equity analysis, program evaluation, and strategic planning, including the Provost’s Redesigning the University Initiative.
- BBER staff serve on various UNM and non-UNM advisory boards.
- 80-90% of BBER’s funding is self-generated.
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75+ years of experience
Strong relationships with public and private sector leaders across the state
Solid reputation as credible and non-partisan source for research and analysis
Staff expertise and experience (avg. tenure > 8 yrs.)
Public service mission with diminished public support
Private sector presence is limited
Work primarily in Central NM
Expand presence outside Central NM
Increase subscriptions to economic forecast services
Broaden dissemination of data, economic forecasting, and research
Increase awareness of BBER’s contract services – e.g. economic impact studies, economic analysis, data subscriptions, and the like
Apply to competitive opportunities through RFP processes
Vulnerable to loss of state funding
History and perception of free public service
Perception that academic research is not relevant to business
WEAKNESSES STRENGTHS OPPORTUNITIES
THREATS
Annual Review of Category 3 Research Centers/Institutes
Economic downturn – reduced project potential
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Looking Ahead to Fiscal Year 2023
• Solidify forecasting program & renew state forecasting contract.
• Complete RPSP (Legislative Compensation & Santolina) and NM PSFA projects.
• Continue to broaden research portfolio in terms of scale, type & content, and geographic scope.
• Hire new staff to assist with forecasting program and research.
• Continue update of BBER’s website to broaden use of API data retrieval and interactive data visualization.
• Identify and develop recurring revenue streams to support BBER’s Data Bank including data subscription services, data dashboards, and contract research.
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Summary
• BBER has a viable, broad-based strategy to diversify revenue sources in New Mexico, including contract research, fee-based data curation and dissemination, economic forecast, and expert analysis.
• BBER has taken key steps to implement this strategy by creating Communications Coordinator/Administrator position, developing and refining messaging and materials, and establishing and nurturing key relationships.
• BBER continues to emphasize the development of its staff’s research capacity and project management skills, helping to diversify funding opportunities and creating a broader-based project management structure.
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