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AN ACT
RELATING TO THE STATE FISC; TRANSFERRING FUNDS; AUTHORIZING
EMERGENCY EXPENDITURES; AUTHORIZING THE ISSUANCE OF SEVERANCE
TAX BONDS; MAKING APPROPRIATIONS; DECLARING AN EMERGENCY.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
Section 1. WATER AND WASTEWATER PROJECTS--TRANSFERRING
MONEY FROM THE WATER AND WASTEWATER PROJECT GRANT FUND TO THE
GENERAL FUND--AUTHORIZING EXPENDITURES FOR EMERGENCY
PROJECTS.--
A. Twelve million dollars ($12,000,000) is
transferred from the water and wastewater project grant fund
to the general fund.
B. The New Mexico finance authority is authorized
to expend three million dollars ($3,000,000) of the
appropriation to the water and wastewater project grant fund
that was provided in Laws 2002, Chapter 110, Section 48 for
emergency public projects as provided in Subsection E of
Section 6-21-6.3 NMSA 1978.
Section 2. WATER PROJECTS--APPROPRIATION.--Ten million
dollars ($10,000,000) is appropriated from the general fund
to the water project fund for expenditure in fiscal year 2004
and subsequent fiscal years to carry out the provisions of
the Water Project Finance Act. Any unexpended or
unencumbered balance remaining at the end of a fiscal year
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shall not revert to the general fund.
Section 3. SEVERANCE TAX BONDS--AUTHORIZATIONS--
APPROPRIATION OF PROCEEDS--LIMITATION.--
A. The state board of finance may issue and sell
severance tax bonds in compliance with the Severance Tax
Bonding Act in an amount not to exceed the total of the
amounts authorized for purposes specified in this section.
The state board of finance shall schedule the issuance and
sale of the bonds in the most expeditious and economical
manner possible upon a finding by the board that the project
has been developed sufficiently to justify the issuance and
that the project can proceed to contract within a reasonable
time. The state board of finance shall further take the
appropriate steps necessary to comply with the Internal
Revenue Code of 1986, as amended. Proceeds from the sale of
the bonds are appropriated for the purposes specified in this
section.
B. The department of public safety shall certify
to the state board of finance when the money from the
proceeds of the severance tax bonds is needed. If the
department has not certified the need for the issuance of the
bonds for a particular project by the end of fiscal year
2004, the authorization for that project is void.
C. Before the department of public safety may
certify for the issuance of severance tax bonds, the project
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must be developed sufficiently so that the department
reasonably expects to incur within six months after the bonds
have been issued a substantial binding obligation to a third
party to expend the appropriation.
D. The unexpended balance from the proceeds of
severance tax bonds issued for a project specified in this
section shall revert to the severance tax bonding fund at the
end of the fiscal year following the fiscal year in which the
severance tax bonds were issued for the purchase after
reserving for unpaid costs and expenses covered by binding
written obligations to third parties. Money from severance
tax bond proceeds provided pursuant to this section shall not
be used to pay indirect project costs. For the purpose of
this subsection, "unexpended balance" means the remainder of
an appropriation after costs and expenses recognized in
accordance with generally accepted accounting principles have
been paid.
E. Upon certification by the department of public
safety that the need exists for the issuance of severance tax
bonds, two million six hundred thousand dollars ($2,600,000)
is appropriated to the department of public safety to
purchase and install state police radios.
F. Upon certification by the department of public
safety that the need exists for the issuance of severance tax
bonds, one million dollars ($1,000,000) is appropriated to
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the department of public safety to purchase and equip state
police motor vehicles.
Section 4. REPEAL.--Laws 2002, Chapter 110, Sections 47
and 48 are repealed.
Section 5. EMERGENCY.--It is necessary for the public
peace, health and safety that this act take effect
immediately.