SENATE BILL 380

57th legislature - STATE OF NEW MEXICO - first session, 2025

INTRODUCED BY

Pete Campos

 

 

 

 

 

AN ACT

RELATING TO PUBLIC FUNDS; CREATING THE PHYSICIAN GRADUATE MEDICAL EDUCATION TRUST FUND AND THE PHYSICIAN GRADUATE MEDICAL EDUCATION PROGRAM FUND; MAKING A TRANSFER FROM THE GENERAL FUND TO THE PHYSICIAN GRADUATE MEDICAL EDUCATION TRUST FUND.

 

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

     SECTION 1. [NEW MATERIAL] PHYSICIAN GRADUATE MEDICAL EDUCATION TRUST FUND.--

          A. The "physician graduate medical education trust fund" is created as a nonreverting fund in the state treasury. The trust fund consists of distributions, appropriations, gifts, grants and donations. Income from the trust fund shall be credited to the trust fund. Money in the trust fund shall be expended only as provided in this section.  

          B. The state investment officer shall invest money

in the trust fund in accordance with the prudent investor rule as set forth in Chapter 6, Article 8 NMSA 1978 and in consultation with the secretary of health care authority.

          C. The state investment officer shall report

quarterly to the legislative finance committee and the state

investment council on the investments made pursuant to this

section. An annual report shall be submitted no later than

October 1 of each year to the legislative finance committee,

the revenue stabilization and tax policy committee and any

other appropriate interim committees.

          D. On July 1 of each year, a distribution shall be made from the trust fund to the physician graduate medical education program fund in an amount equal to five percent of the average of the year-end market values of the trust fund for the immediately preceding three calendar years. If, on July 1 of a year, the trust fund has been in effect for less than three calendar years, the distribution shall be in an amount equal to five percent of the average of the year-end market values of the trust fund for the immediately preceding number of calendar years that the trust fund has been in effect.

     SECTION 2. [NEW MATERIAL] PHYSICIAN GRADUATE MEDICAL EDUCATION PROGRAM FUND.--

          A. The "physician graduate medical education program fund" is created in the state treasury. The fundconsists of distributions, appropriations, gifts, grants, donations and income from investment of the fund. The health care authority shall administer the fund. Money in the fund is subject to appropriation by the legislature to provide:

                (1) for each fiscal year 2026 through 2028:

                     (a) up to two million five hundred thousand dollars ($2,500,000) for supporting physician graduate medical education programs located in rural and underserved areas that are in the process of developing applications with the body responsible for accrediting physician graduate medical education programs;

                     (b) up to five hundred thousand dollars ($500,000) for supporting physician graduate medical education programs located in rural and underserved areas that have been accredited by the body responsible for accrediting physician graduate medical education programs for less than one year; and

                     (c) up to the balance of the fund for further supporting physician graduate medical education programs located in rural and underserved areas that have been accredited by the body responsible for accrediting physician graduate medical education programs for more than one year; and

                (2) for fiscal years beginning in fiscal year 2029, up to the balance of the fund for supporting physician graduate medical education programs located in rural and underserved areas that have been accredited by the body responsible for accrediting physician graduate medical education programs for more than one year.

          B. Expenditures from the fund shall be by warrant

of the secretary of finance and administration pursuant to

vouchers signed by the secretary of health care authority or

the secretary's authorized representative. Any unexpended or

unencumbered balance remaining at the end of a fiscal year

shall revert to the physician graduate medical education trust fund."

     SECTION 3. TRANSFER.--One hundred million dollars

($100,000,000) is transferred from the general fund to the physician graduate medical education trust fund.

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