45th legislature - STATE OF NEW MEXICO - second session, 2002

REQUESTING THE NEW MEXICO LEGISLATIVE COUNCIL TO DIRECT THE APPROPRIATE LEGISLATIVE INTERIM COMMITTEE OR TASK FORCE TO DEVELOP A STRUCTURE AND PROCESS TO SYNTHESIZE VARIOUS PAST STUDIES OF STATE TAX POLICY AND RECOMMEND A FUTURE COURSE OF ACTION.

WHEREAS, the New Mexico tax system or portions of it have been the subject of numerous studies over the last several years, including studies by the bureau of business and economic research at the university of New Mexico, KPMG Peat Marwick, the professional tax study committee, New Mexico First and Think New Mexico; and

WHEREAS, numerous recommendations have emerged from those studies, many of which are consistent, but some of which are in direct conflict; and

WHEREAS, elected policymakers have often not been directly involved in the process of developing the scope and goals for the tax reform studies and, therefore, are not invested in the study results; and

WHEREAS, elected policymakers tend to use the results of those various tax studies in a political context to support their positions rather than to reflect upon what might be the best tax policy for the state; and

WHEREAS, tax policy continues to be made in New Mexico in a haphazard fashion, with exemptions, incentives, deductions and credits being considered and approved outside of the context of an overarching tax policy; and

WHEREAS, the legislature and the executive could benefit from the collective wisdom and recommendations of various tax studies, but only if the conflicting results of those studies can be synthesized and if a future course of direction articulated;

NOW, THEREFORE, BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO that the New Mexico legislative council be requested to direct an appropriate interim committee or task force to develop a structure and process to review the results of previous tax studies and to examine any questions still needing study; and

BE IT FURTHER RESOLVED that the interim committee report its recommendations for implementing this structure and process prior to the first session of the forty-sixth legislature; and

BE IT FURTHER RESOLVED that a copy of this memorial be transmitted to the New Mexico legislative council.