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| SPONSOR: | J.G. Taylor | DATE TYPED: | 03/12/99 | HB | HJR 20 | ||
| SHORT TITLE: | Investment of Public Money | SB | |||||
| ANALYST: | Eaton | ||||||
| Subsequent
Years Impact |
Recurring
or Non-Rec |
Fund
Affected | ||
| FY99 | FY2000 | |||
| NFI | ||||
(Parenthesis ( ) Indicate Revenue Decreases)
Companion to/Relates to HB 816 -Investment of Public Money (J.G. Taylor)
SOURCES OF INFORMATION
Legislative Finance Committee (LFC)
SUMMARY
Synopsis of Joint Resolution
This Joint Resolution would amend the New Mexico Constitution Article 8, Section 4. (TAXATION AND REVENUE, Misuse and deposit of public money). The proposed amendment would make way for House Bill 816/aHGUAC which sets forth new guidelines for county, municipal and state treasurers investment of public money.
The current constitutional requirement regarding investment of public money says that the public money invested must be invested in "interest bearing securities".
The proposed constitutional amendment would add flexibility to investment of public money by allowing investment decisions and guidelines to be made at the statutory level, rather than by constitution.
Significant Issues
This Joint Resolution is necessary by law for the enactment of House Bill 816, as amended. Upon passage of this Joint Resolution, the amendment proposed shall be submitted to the people for their approval or rejection at the next general election or at any special election prior to that date which may be called for that purpose.
FISCAL IMPLICATIONS
While this Joint Resolution has no direct fiscal impact, it is necessary if public money is to be available for investing in higher yield securities that the current constitution prohibits.
This proposed amendment will benefit all New Mexicans.
JBE/gm
Attachment - HB816