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HOUSE JUDICIARY COMMITTEE SUBSTITUTE FOR

HOUSE JOINT RESOLUTION 8

TH LEGISLATURE

- STATE OF NEW MEXICO -

SECOND SESSION

, 2006

A JOINT RESOLUTION

PROPOSING AN AMENDMENT TO ARTICLE 9, SECTION 14 OF THE

CONSTITUTION OF NEW MEXICO TO PERMIT THE STATE, AN

INSTRUMENTALITY OF THE STATE AND LOCAL GOVERNMENTS TO PROVIDE

OR PAY A PORTION OF THE COST OF LAND, BUILDINGS OR NECESSARY

FINANCING FOR AFFORDABLE HOUSING PROJECTS.

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

Section 1. It is proposed to amend Article 9, Section 14

of the constitution of New Mexico to read:

"Neither the state nor any county, school district or

municipality, except as otherwise provided in this

constitution, shall directly or indirectly lend or pledge its

credit or make any donation to or in aid of any person,

association or public or private corporation or in aid of any

private enterprise for the construction of any railroad except

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as provided in Subsections A through F of this section.

A. Nothing in this section prohibits the state or

any county or municipality from making provision for the care

and maintenance of sick and indigent persons.

B. Nothing in this section prohibits the state from

establishing a veterans' scholarship program for Vietnam

conflict veterans who are post-secondary students at

educational institutions under the exclusive control of the

state by exempting such veterans from the payment of tuition.

For the purposes of this subsection, a "Vietnam conflict

veteran" is any person who has been honorably discharged from

the armed forces of the United States, who was a resident of

New Mexico at the original time of entry into the armed forces

from New Mexico or who has lived in New Mexico for ten years or

more and who has been awarded a Vietnam campaign medal for

service in the armed forces of this country in Vietnam during

the period from August 5, 1964 to the official termination date

of the Vietnam conflict as designated by executive order of the

president of the United States.

C. The state may establish by law a program of

loans to students of the healing arts, as defined by law, for

residents of the state who, in return for the payment of

educational expenses, contract with the state to practice their

profession for a period of years after graduation within areas

of the state designated by law.

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D. Nothing in this section prohibits the state or a

county or municipality from creating new job opportunities by

providing land, buildings or infrastructure for facilities to

support new or expanding businesses if this assistance is

granted pursuant to general implementing legislation that is

approved by a majority vote of those elected to each house of

the legislature. The implementing legislation shall include

adequate safeguards to protect public money or other resources

used for the purposes authorized in this subsection. The

implementing legislation shall further provide that:

(1) each specific county or municipal project

providing assistance pursuant to this subsection need not be

approved by the legislature but shall be approved by the county

or municipality pursuant to procedures provided in the

implementing legislation; and

(2) each specific state project providing

assistance pursuant to this subsection shall be approved by

law.

E. Nothing in this section prohibits the state, or

the instrumentality of the state designated by the legislature

as the state's housing authority, or a county or a municipality

from:

(1) donating [land owned by the state, county

or municipality] or otherwise providing or paying a portion of

the costs of land for the construction on it of affordable

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housing;

(2) donating [an existing building owned by

the state, county or municipality for] or otherwise providing

or paying a portion of the costs of construction or renovation

of affordable housing or the costs of conversion or renovation

of buildings into affordable housing; or

(3) providing or paying the costs of financing

or infrastructure necessary to support affordable housing

projects.

F. The provisions of Subsection E of this section

are not self-executing. Before the described assistance may be

provided, enabling legislation shall be enacted by a majority

vote of the members elected to each house of the legislature.

This enabling legislation shall:

(1) define "affordable housing";

(2) establish eligibility criteria for the

recipients of land, buildings and infrastructure;

(3) contain provisions to ensure the

successful completion of affordable housing projects supported

by assistance authorized pursuant to Subsection E of this

section;

(4) require a county or municipality providing

assistance pursuant to Subsection E of this section to give

prior formal approval by ordinance for a specific affordable

housing assistance grant and include in the ordinance the

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conditions of the grant; [and]

(5) require prior approval by law of [a

specific] an affordable housing assistance grant by the state;

and

(6) require the governing body of the

instrumentality of the state, designated by the legislature as

the state's housing authority, to give prior approval, by

resolution, for affordable housing grants that are to be given

by the instrumentality."

Section 2. The amendment proposed by this resolution

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 that may be called for that

purpose.

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