44TH LEGISLATURE - STATE OF NEW MEXICO - FIRST SESSION, 1999

RELATING TO TAXATION; CHANGING THE DISTRIBUTION OF MOTOR VEHICLE EXCISE TAX REVENUES; AMENDING, REPEALING AND ENACTING SECTIONS OF THE NMSA 1978; MAKING AN APPROPRIATION.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

Section 1. Section 7-14-10 NMSA 1978 (being Laws 1988, Chapter 73, Section 20, as amended) is amended to read:

"7-14-10. DISTRIBUTION OF PROCEEDS.--The receipts from the tax and any associated interest and penalties shall be deposited in the "motor vehicle suspense fund", hereby created in the state treasury. As of the end of each month, the net receipts attributable to the tax and associated penalties and interest shall be distributed [to the general fund] as follows:

A. prior to July 1, 2000, to the general fund;

B. for the period July 1, 2000 through June 30, 2001, seven hundred fifty thousand dollars ($750,000) to the energy, minerals and natural resources department, and of the remainder, two-thirds to the general fund, one-sixth to the state road fund and one-sixth to counties and municipalities in accordance with Section 7-14-10.1 NMSA 1978;

C. for the period July 1, 2001 through June 30, 2002, seven hundred fifty thousand dollars ($750,000) to the energy, minerals and natural resources department, and of the remainder, one-third to the general fund, one-third to the state road fund and one-third to counties and municipalities in accordance with Section 7-14-10.1 NMSA; and

D. after June 30, 2002, seven hundred fifty thousand dollars ($750,000) to the energy, minerals and natural resources department, and of the remainder, two-thirds to the state road fund and one-third to counties and municipalities in accordance with Section 7-14-10.1 NMSA 1978."

Section 2. A new Section 7-14-10.1 NMSA 1978 is enacted to read:

"7-14-10.1. [NEW MATERIAL] ADDITIONAL DISTRIBUTION TO COUNTIES AND MUNICIPALITIES.--

A. To determine the amount to be distributed to counties and municipalities pursuant to Section 7-14-10 NMSA 1978, an amount shall be allocated first to each county in an amount equal to the proportion, determined by the department in accordance with Subsection C of this section, that the registration fees for vehicles in the county are to the total registration fees for vehicles in all counties.

B. The amount allocated to each county in Subsection A of this section shall be distributed to the county and to the municipalities in the county as follows:

(1) fifty percent shall be credited to the respective county road fund to be used for the improvement and maintenance of the public roads in the county and to pay for acquisition of rights of way and material pits. By agreement and in cooperation with the state highway and transportation department, the boards of county commissioners of the various counties may use or designate any of the funds provided in this paragraph for any federal aid program; and

(2) fifty percent shall be transferred to the municipalities within the county in the proportion, determined by the department of finance and administration in accordance with Subsection C of this section, that the sum of the net taxable value, as that term is defined in the Property Tax Code, plus the assessed value, as that term is used in the Oil and Gas Ad Valorem Production Tax Act and in the Oil and Gas Production Equipment Ad Valorem Tax Act, and the taxable value, as that term is defined in the Copper Production Ad Valorem Tax Act, determined for the incorporated municipality is to the sum of net taxable value plus assessed value determined for all incorporated municipalities within the county. Amounts transferred to incorporated municipalities pursuant to the provisions of this paragraph shall be used for the construction, maintenance and repair of streets within the municipality and for payment of paving assessments against property owned by federal, county or municipal governments. In any county in which there are no incorporated municipalities, the amount allocated pursuant to this paragraph shall be transferred to the county government road fund and used in accordance with the provisions of Paragraph (1) of this subsection.

C. To carry out the provisions of this section, during the month of June of each year:

(1) the department shall determine and certify to the department of finance and administration the proportions that the department is required to determine pursuant to Subsection A of this section using information for the preceding calendar year on the number of vehicles registered in each county based on the address of the owner or place where the vehicle is principally located, the registration fees for the vehicles registered in each county, the total number of vehicles registered in the state and the total registration fees for all vehicles registered in the state; and

(2) the department of finance and administration shall determine the proportions that the department of finance and administration is required to determine pursuant to Subsection B of this section based upon the net taxable value, as that term is defined in the Property Tax Code, the assessed value, as that term is used in the Oil and Gas Ad Valorem Production Tax Act and the Oil and Gas Production Equipment Ad Valorem Tax Act, and the taxable value, as that term is used in the Copper Production Ad Valorem Tax Act, for the preceding property tax year and the tax rates imposed pursuant to Subsection B of Section 7-37-7 NMSA 1978 in that tax year. By June 30 of each year, the department of finance and administration shall determine the appropriate percentage of money to be transferred to each municipality in accordance with Subsection B of this section based upon the proportions determined by or certified to the department of finance and administration. The percentages determined shall be used to compute the amounts to be transferred to the counties and municipalities during the succeeding fiscal year."

Section 3. [NEW MATERIAL] DUTY TO REPAIR AND MAINTAIN STATE PARK ROADS, BRIDGES AND PARKING AREAS--FUNDS.--

A. The state parks division of the energy, minerals and natural resources department shall repair and maintain the public roads and highways other than those on the state highway system that provide access to state park and recreation areas and shall repair and maintain all roads, bridges and parking areas within the boundaries of the state park and recreation areas that will best serve the needs of the general public.

B. Money distributed to the energy, minerals and natural resources department pursuant to the provisions of Section 7-14-10 NMSA 1978 is appropriated to the department to carry out its duties pursuant to Subsection A of this section.

Section 4. REPEAL.--Section 67-3-19 NMSA 1978 (being Laws 1967, Chapter 165, Section 1) is repealed.