SENATE BILL 482

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

INTRODUCED BY

Mimi Stewart

 

 

 

 

 

AN ACT

RELATING TO TAX INCREMENT DEVELOPMENT DISTRICTS; AUTHORIZING THE ISSUANCE OF BONDS NOT TO EXCEED ONE BILLION DOLLARS ($1,000,000,000) SECURED BY A STATE GROSS RECEIPTS TAX INCREMENT FOR A TAX INCREMENT DEVELOPMENT DISTRICT THAT CONSISTS OF ALL LAND OWNED BY THE STATE, COMMONLY KNOWN AS THE "STATE FAIRGROUNDS", AND LYING WITHIN THE EXTERIOR BOUNDARIES OF THE CITY OF ALBUQUERQUE; PROVIDING AN EFFECTIVE DATE THAT IS CONTINGENT ON THE APPROVED FORMATION OF THE TAX INCREMENT DEVELOPMENT DISTRICT.

 

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

     SECTION 1. A new Section 5-15D-1 NMSA 1978 is enacted to

read:

     "5-15D-1. [NEW MATERIAL] AUTHORIZATION OF ISSUANCE OF

BONDS.--

          A. The legislature authorizes the issuance of bonds not to exceed one billion dollars ($1,000,000,000) in net proceeds as adjusted for inflation, secured by tax increments authorized pursuant to the Tax Increment for Development Act to be pledged to pay the principal of and interest on the bonds, including a gross receipts tax increment attributed to the imposition of the state gross receipts tax within a tax increment development district that consists of all land owned by the state, commonly known as the "state fairgrounds", and lying within the exterior boundaries of the city of Albuquerque, subject to the following:

                (1) the state board of finance acting by resolution to dedicate a gross receipts tax increment attributable to the state gross receipts tax to pay the financing and refinancing costs, the principal of, the interest on and any premium due in connection with gross receipts tax increment bonds issued to finance a project within the tax increment development district;

                (2) prior to a distribution pursuant to Section 7-1-6.54 NMSA 1978 attributable to the state gross receipts tax being made, the review and approval by the New Mexico finance authority of the proposed issuance of the bonds and determination that the proceeds of the bonds shall be used for the tax increment development project in accordance with the district's tax increment development plan; and

                (3) prior to the issuance of bonds, the review and approval by the New Mexico finance authority of:

                     (a) the proposed issuance of the bonds and determination that the proceeds of the bonds shall be used for a tax increment development project in accordance with the district's tax increment development plan;

                     (b) the master indenture prior to issuance of any bonds; and

                     (c) any amendments to the master indenture prior to issuance of any bonds after any amendments are made.

          B. Notwithstanding the provisions of the Tax Increment for Development Act, a tax increment development district that consists of all land owned by the state, commonly known as the "state fairgrounds", and lying within the exterior boundaries of the city of Albuquerque, shall not be subject to local requirements limiting its authority to issue tax increment bonds."

     SECTION 2. A new Section 5-15D-2 NMSA 1978 is enacted to read:

     "5-15D-2. [NEW MATERIAL] DURATION OF AUTHORIZATION.--The duration of the authorization for issuance of bonds provided for in this 2025 act shall be twenty-five years from the date of issuance of the first series of tax increment bonds of the district, unless and until this 2025 act is repealed or modified by the legislature."

     SECTION 3. A new Section 5-15D-3 NMSA 1978 is enacted to

read:

     "5-15D-3. [NEW MATERIAL] CERTAIN CAPITAL PROJECTS PROHIBITED.--

          A. The legislature shall not approve or authorize

any capital outlay projects within a tax increment development district that consists of all land owned by the state, commonly known as the "state fairgrounds", and lying within the exterior boundaries of the city of Albuquerque, during the period in which any bonds issued by the district pursuant to Section 5-15D-1 NMSA 1978 are outstanding, except for buildings, facilities and infrastructure that are owned by the state or one of its agencies, institutions or political subdivisions and that are:

                (1) public school buildings or facilities;

                (2) higher education buildings or facilities;

                (3) cultural buildings or facilities;

                (4) buildings, facilities or infrastructure

used for public safety; or

                (5) buildings, facilities or infrastructure

used for other public purposes.

          B. Nothing in this section prohibits the legislature from authorizing expenditures pursuant to law for

economic development projects within the state fairgrounds tax

increment development district during the period in which tax

increment development bonds are outstanding."

     SECTION 4. CONTINGENT EFFECTIVE DATE.--The provisions of

this act shall become effective on the first day of the month following the approved formation, pursuant to the Tax Increment for Development Act, of a tax increment development district that consists of all land owned by the state, commonly known as the "state fairgrounds", and lying within the exterior boundaries of the city of Albuquerque. Upon the formation of that district, the governing body of the tax increment development district shall immediately deliver a copy of the resolution ordering formation of the district to the director of the legislative council service, the New Mexico compilation commission, the state board of finance and the New Mexico finance authority.

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