44th legislature - STATE OF NEW MEXICO - second session, 2000
RELATING TO TAXATION; AUTHORIZING CERTAIN CLASS A COUNTIES TO IMPOSE A LOCAL LIQUOR EXCISE TAX; AMENDING AND ENACTING CERTAIN SECTIONS OF THE LOCAL LIQUOR EXCISE TAX ACT.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
Section 1. Section 7-24-9 NMSA 1978 (being Laws 1989, Chapter 326, Section 2) is amended to read:
"7-24-9. DEFINITIONS.--As used in the Local Liquor Excise Tax Act:
A. "alcoholic beverages" means distilled or rectified spirits, potable alcohol, brandy, whiskey, rum, gin and aromatic bitters or any similar alcoholic beverage, including blended or fermented beverages, dilutions or mixtures of one or more of the foregoing containing more than one-half of one percent alcohol, but excluding medicinal bitters;
[B. "county" means a class B county having a
population of more than fifty-six thousand but less than
seventy-five thousand, according to the most recent federal
decennial census or any subsequent decennial census, and
having a net taxable value for rate-setting purposes for the
1988 or any subsequent property tax year of more than five
hundred million dollars ($500,000,000) but less than seven
hundred million dollars ($700,000,000);
C.] B. "department" means the taxation and revenue
department, the secretary of taxation and revenue or any
employee of the department exercising authority lawfully
delegated to that employee by the secretary;
[D.] C. "governing body" means the board of county
commissioners of a county;
[E.] D. "person" means any individual, estate,
trust, receiver, cooperative association, club, corporation,
company, firm, partnership, joint venture, syndicate or other
association; "person" also means, to the extent permitted by
law, any federal, state or other governmental unit or
subdivision or agency, department or instrumentality thereof;
[F.] E. "price" means the total amount of money or
the reasonable value of other consideration or both paid for
alcoholic beverages, inclusive of the amount of any tax paid
pursuant to the Liquor Excise Tax Act; and
[G.] F. "retailer" means any person having a place
of business within the county who sells, offers for sale or
possesses for the purpose of selling alcoholic beverages
within the county."
Section 2. Section 7-24-10 NMSA 1978 (being Laws 1989, Chapter 326, Section 3) is amended to read:
"7-24-10. AUTHORIZATION FOR CERTAIN CLASS B COUNTIES TO IMPOSE LOCAL LIQUOR EXCISE TAX--RATE--USE OF PROCEEDS--ELECTION REQUIRED.--
A. A class B county having a population of more than fifty-six thousand but less than seventy-five thousand, according to the most recent federal decennial census or any subsequent decennial census, and having a net taxable value for rate-setting purposes for the 1988 or any subsequent property tax year of more than five hundred million dollars ($500,000,000) but less than seven hundred million dollars ($700,000,000) may impose a local liquor excise tax by following the procedures of this section.
[A.] B. The majority of the members elected to the
governing body may enact an ordinance imposing on any
retailer an excise tax on the price paid by the retailer for
alcoholic beverages purchased by the retailer upon which the
tax imposed by this section has not been paid. The tax may
be imposed at a rate not to exceed five percent; provided
that any lower rate shall be an even multiple of one percent.
The tax imposed under this section and Section 7-24-10.2 NMSA
1978 may be referred to as the "local liquor excise tax".
Any tax imposed under this section shall be for a period of
not more than three years from the effective date of the
ordinance imposing the tax.
[B.] C. The governing body at the time of enacting
an ordinance imposing the tax authorized in Subsection [A] B
of this section shall dedicate the revenue to fund
educational programs and prevention and treatment of
alcoholism and drug abuse within the county and for no other
purpose. After approval of the imposition of a local liquor
excise tax by the voters but before the effective date of the
ordinance, the governing body shall hold a public meeting for
the purpose of inviting comment on and suggestions for the
most appropriate programs on which to expend the revenue
produced by the tax. The governing body shall invite
representatives from the appropriate Indian tribes, nations
and pueblos to the meeting. If the governing body awards any
contract using funds derived from the local liquor excise
tax, it shall do so only through a selection process
requiring submission of sealed bids or proposals after public
notice of the opportunity to submit the sealed bids or
proposals.
[C.] D. The governing body enacting an ordinance
imposing the local liquor excise tax shall submit the
question of imposing the tax to the qualified voters of the
county at a regular or special election.
[D.] E. Only those voters who are registered
within the county shall be permitted to vote. The election
shall be called, conducted and canvassed in substantially the
same manner as provided by law for general elections.
[E.] F. If at an election called pursuant to this
section a majority of the voters voting on the question
[vote] votes in the affirmative on the question, then the
ordinance imposing the local liquor excise tax shall be
approved. If at such an election a majority of the voters
voting on the question [fail] fails to approve the question,
then the ordinance shall be disapproved and the question
required to be submitted by Subsection [B] C of this section
shall not be submitted to the voters for a period of at least
one year from the date of the election.
[F.] G. Any ordinance enacted under the provisions
of this section [which] that imposes a local liquor excise
tax or changes the rate of tax imposed shall include an
effective date, which is the first day of any month [which]
that begins no earlier than ninety days after the date of the
election. A certified copy of any ordinance imposing a local
liquor excise tax shall be mailed or personally delivered to
the department within five days after the ordinance is
certified to have been approved by the voters.
[G.] H. Any ordinance repealing the imposition of
a tax under the provisions of this section shall contain an
effective date which is the first day of any month beginning
no earlier than sixty days from the date the ordinance
repealing the tax is adopted by the governing body. A
certified copy of any ordinance repealing a local liquor
excise tax shall be mailed or personally delivered to the
department within five days of the date the ordinance is
adopted."
Section 3. Section 7-24-10.1 NMSA 1978 (being Laws 1992, Chapter 35, Section 1) is amended to read:
"7-24-10.1. USE OF TAX PROCEEDS BY CLASS B COUNTIES--LOCAL LIQUOR EXCISE TAX COMMITTEE--JOINT POWERS AGREEMENT--COMMUNITY PARTICIPATION.--
A. Prior to [the] an election on the question of
imposing a local liquor excise tax pursuant to [the Local
Liquor Excise Tax Act] Section 7-24-10 NMSA 1978, the
governing body [of a county] shall enter into a joint powers
agreement with the governing body of the most populated
municipality and the governing bodies of any other
municipalities in the county that choose to be parties to the
agreement to provide for the use and administration of the
tax proceeds. The agreement shall provide for the
establishment and appointment of a local liquor excise tax
committee to provide advice, assist in preventing duplication
and supplanting of program funding and make recommendations
to the governing body of [a] the county and the municipal
governing bodies that are parties to the agreement on the use
of the tax proceeds and may include agreements that:
(1) clearly specify the use of the proceeds of the proposed local liquor excise tax, including the identification of specific local programs, agencies or entities that will be funded from the tax proceeds; and
(2) determine the allocation of election expenses among the parties to the agreement.
B. Prior to [any] the agreement by the governing
body of a county and the municipal governing bodies for use
of the proposed local liquor excise tax proceeds, the local
liquor excise tax committee established pursuant to the
[joint powers agreement in] provisions of Subsection A of
this section shall conduct a public hearing for the purpose
of inviting public comment on use of the proposed local
liquor excise tax proceeds. The committee shall make every
effort to provide public notice of the hearing and to invite
a broad cross-section of community representatives and groups
to comment on community needs. Following the hearing, the
committee shall make its funding recommendations to the
governing body of [a] the county and the municipal governing
bodies."
Section 4. A new section of the Local Liquor Excise Tax Act, Section 7-24-10.2 NMSA 1978, is enacted to read:
"7-24-10.2. [NEW MATERIAL] AUTHORIZATION FOR CERTAIN CLASS A COUNTIES TO IMPOSE LOCAL LIQUOR EXCISE TAX--RATE--ELECTION REQUIRED.--
A. A class A county having a population of three hundred thousand or more, according to the most recent federal decennial census or any subsequent decennial census, may impose a local liquor excise tax by following the procedures of this section.
B. Upon the vote of a majority of the members elected to the governing body or upon a petition filed with the county clerk and signed by no less than fifteen percent of the registered voters in the county, the governing body shall enact an ordinance imposing on each retailer an excise tax on the price paid by the retailer for alcoholic beverages purchased by the retailer upon which the tax imposed by this section has not been paid. The tax may be imposed at a rate not to exceed three percent; provided that any lower rate shall be an even multiple of one percent. The tax imposed by this section and Section 7-24-10 NMSA 1978 may be referred to as the "local liquor excise tax". Any tax imposed pursuant to this section shall be for a period of not more than five years from the effective date of the ordinance imposing the tax.
C. No ordinance imposing a local liquor excise tax pursuant to this section shall take effect until after an election is held and a majority of the registered voters of the county voting in the election vote in favor of imposing the tax. The question of imposing the local liquor excise tax shall be submitted to the registered voters of the county at any general election or a special election called by the governing body for that purpose within ninety days after the date the ordinance imposing the tax is adopted.
D. If, at an election called pursuant to this section, a majority of the voters voting on the question votes in the affirmative on the question, then the ordinance imposing the local liquor excise tax shall be approved. If, at the election, a majority of the voters voting on the question fails to approve the question, then the ordinance shall be disapproved and the governing body shall not enact another ordinance imposing the tax for a period of at least one year from the date of the election.
E. An ordinance imposing a local liquor excise tax pursuant to the provisions of this section shall include an effective date of either July 1 or January 1, whichever date occurs first after the expiration of at least three months from the date the results of the election are certified to be in favor of its adoption. A certified copy of any ordinance imposing a local liquor excise tax shall be mailed or personally delivered to the department within five days after the ordinance is certified to have been approved by the voters."
Section 5. A new section of the Local Liquor Excise Tax Act, Section 7-24-10.3 NMSA 1978, is enacted to read:
"7-24-10.3. [NEW MATERIAL] USE OF TAX PROCEEDS BY CLASS A COUNTIES--LOCAL LIQUOR EXCISE TAX COMMITTEE.--
A. All proceeds from the local liquor excise tax imposed by class A county pursuant to Section 7-24-10.2 NMSA 1978 shall be deposited in a separate fund created by the governing body and shall not be deposited in the county general fund. Income earned on the separate fund shall be credited to the fund. The fund shall be expended only for the following purposes:
(1) funding an alcohol detoxification and treatment facility located within the county and operated jointly by the county and the most populated incorporated municipality within the county; and
(2) funding new or expanded programs for education and prevention and treatment of the misuse or abuse of alcohol or other drugs.
B. In funding programs and facilities pursuant to Subsection A of this section, the county and the most populated incorporated municipality in the county may contract for the provision of treatment with the university of New Mexico medical center or any other qualified provider.
C. Prior to an election on the question of imposing a local liquor excise tax pursuant to Section 7-24-10.2 NMSA 1978, the governing body shall appoint a local liquor excise tax committee, including representatives of the Class A county and the most populated incorporated municipality within the county, to provide advice, assist in preventing duplication and supplanting of program funding and make recommendations to the county and the incorporated municipalities within the county on the use of tax proceeds, including recommendations that clearly specify the use of the proceeds of the proposed local liquor excise tax, including the identification of specific local programs, agencies or entities that will be funded from the tax proceeds.
D. As used in this section:
(1) "programs for education and prevention" means efforts designed to promote avoidance of the misuse or abuse of alcohol or other drugs and includes school-based education programs, community-based education programs, early intervention services, court ordered remedial services, peer support services, community mobilization and prevention projects and special projects to serve high-risk populations; and
(2) "treatment" means organized, clinically appropriate intervention designed to rehabilitate those who misuse or abuse alcohol or other drugs and to provide support services for the victim of that misuse or abuse. "Treatment" includes outpatient counseling, aftercare and relapse intervention, family counseling, residential treatment, mental health treatment, inpatient treatment, detoxification, social and medical services, vocational services, education and special projects to serve groups in need of expanded treatment resources."
Section 6. EFFECTIVE DATE.--The effective date of the provisions of this act is July 1, 2000.