SENATE BILL 827
48th legislature - STATE OF NEW MEXICO - first session, 2007
INTRODUCED BY
Pete Campos
AN ACT
RELATING TO CAPITAL EXPENDITURES; AUTHORIZING THE ISSUANCE OF SEVERANCE TAX BONDS; AUTHORIZING EXPENDITURES FROM CERTAIN FUNDS AND BALANCES; CLARIFYING CONDITIONS FOR THE ISSUANCE OF BONDS; ESTABLISHING CONDITIONS FOR THE EXPENDITURE OF SEVERANCE TAX BOND PROCEEDS; ESTABLISHING CONDITIONS FOR THE REVERSION OF UNEXPENDED BALANCES; MAKING APPROPRIATIONS; DECLARING AN EMERGENCY.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
Section 1. SEVERANCE TAX BONDS--AUTHORIZATIONS--APPROPRIATION OF PROCEEDS.--
A. The state board of finance may issue and sell severance tax bonds in compliance with the Severance Tax Bonding Act in an amount not to exceed the total of the amounts authorized for purposes specified in this act. The state board of finance shall schedule the issuance and sale of the bonds in the most expeditious and economical manner possible upon a finding by the board that the project has been developed sufficiently to justify the issuance and that the project can proceed to contract within a reasonable time. The state board of finance shall further take the appropriate steps necessary to comply with the Internal Revenue Code of 1986, as amended. Proceeds from the sale of the bonds are appropriated for the purposes specified in this act.
B. The agencies named in this act shall certify to the state board of finance when the money from the proceeds of the severance tax bonds authorized in this section is needed for the purposes specified in the applicable section of this act. If an agency has not certified the need for the issuance of the bonds for a particular project, including projects that have been reauthorized, by the end of fiscal year 2009, the authorization for that project is void.
C. Before an agency may certify for the issuance of severance tax bonds, the project must be developed sufficiently so that the agency reasonably expects to:
(1) incur within six months after the applicable bonds have been issued a substantial binding obligation to a third party to expend at least five percent of the bond proceeds for the project; and
(2) spend at least eighty-five percent of the bond proceeds within three years after the applicable bonds have been issued.
D. Except as otherwise provided in this section or another section of this act, the unexpended balance from the proceeds of severance tax bonds issued for a project, including projects that have been reauthorized, shall revert to the severance tax bonding fund as follows:
(1) for projects for which severance tax bonds were issued to match federal grants, six months after completion of the project;
(2) for projects for which severance tax bonds were issued to purchase vehicles, heavy equipment, educational technology or other equipment or furniture that is not related to a more inclusive construction or renovation project, at the end of the fiscal year two years following the fiscal year in which the severance tax bonds were issued for the purchase;
(3) for projects for which severance tax bonds were issued to purchase emergency vehicles or other vehicles that require special equipment, at the end of the fiscal year two years following the fiscal year in which the severance tax bonds were issued for the purchase; and
(4) for all other projects for which severance tax bonds were issued, within six months of completion of the project, but no later than the end of fiscal year 2011.
E. Except for appropriations to the capital program fund, money from severance tax bond proceeds provided pursuant to this act shall not be used to pay indirect project costs.
F. For the purpose of this section, "unexpended balance" means the remainder of an appropriation after reserving for unpaid costs and expenses covered by binding written obligations to third parties.
Section 2. GENERAL FUND AND OTHER FUND APPROPRIATIONS--LIMITATIONS--REVERSIONS.--
A. Except as otherwise provided in this section or another section of this act, the unexpended balance of an appropriation made in this act from the general fund or other state fund, including changes to prior appropriations, shall revert to the originating fund as follows:
(1) for projects for which appropriations were made to match federal grants, six months after completion of the project;
(2) for projects for which appropriations were made to purchase vehicles, heavy equipment, educational technology or equipment or furniture that is not related to a more inclusive construction or renovation project, at the end of the fiscal year two years following the fiscal year in which the appropriation was made for the purchase;
(3) for projects for which appropriations were made to purchase emergency vehicles or other vehicles that require special equipment, at the end of the fiscal year two years following the fiscal year in which the appropriation was made for the purchase; and
(4) for all other projects for which appropriations were made, within six months of completion of the project, but no later than the end of fiscal year 2011.
B. Upon certification by an agency that money from the general fund is needed for a purpose specified in this act, the secretary of finance and administration shall disburse such amount of the appropriation for that project as is necessary to meet that need.
C. Except for appropriations to the capital program fund, money from appropriations made in this act shall not be used to pay indirect project costs.
D. The unexpended balance of an appropriation made from the general fund or other state fund, including changes to prior appropriations, to the Indian affairs department or the aging and long-term services department for projects located on lands of an Indian nation, tribe or pueblo, including projects that have been reauthorized, shall revert in a time frame set forth in Subsection A of this section to the tribal infrastructure project fund.
E. For the purpose of this section, "unexpended balance" means the remainder of an appropriation after reserving for unpaid costs and expenses covered by binding written obligations to third parties.
Section 3. CULTURAL AFFAIRS DEPARTMENT PROJECTS--SEVERANCE TAX BONDS.--Pursuant to the provisions of Section 1 of this act, upon certification by the cultural affairs department that the need exists for the issuance of the bonds, the following amounts are appropriated to the cultural affairs department for the following purposes:
1. one million eight hundred thousand dollars ($1,800,000) to construct, equip and furnish phase 1 of the New Mexico archaeology center in Santa Fe in Santa Fe county; and
2. one million three hundred thousand dollars ($1,300,000) for the educational complex project at the national Hispanic cultural center in Albuquerque in Bernalillo county.
Section 4. STATE BUILDING PROJECTS--PROPERTY CONTROL DIVISION--SEVERANCE TAX BONDS.--Pursuant to the provisions of Section 1 of this act, upon certification by the property control division of the general services department that the need exists for the issuance of the bonds, the following amounts are appropriated to the capital program fund for the following purposes:
1. six million dollars ($6,000,000) for security upgrades at correctional facilities statewide;
2. five million dollars ($5,000,000) for upgrades to heating, ventilation and air conditioning systems and roofs at correctional facilities statewide;
3. four million dollars ($4,000,000) for infrastructure upgrades at department of health facilities statewide; and
4. one million dollars ($1,000,000) to plan and design a facility at the Lordsburg port of entry in Hidalgo county.
Section 5. WATER AND WASTEWATER SYSTEM PROJECTS--DEPARTMENT OF ENVIRONMENT--SEVERANCE TAX BONDS.--Pursuant to the provisions of Section 1 of this act, upon certification by the department of environment that the need exists for the issuance of the bonds, the following amounts are appropriated to the department of environment for the following purposes:
1. four million dollars ($4,000,000) to plan, design, construct and equip the wastewater treatment plant in Santa Rosa in Guadalupe county;
2. two hundred fifty thousand dollars ($250,000) to plan, design and construct a wastewater treatment facility in Edgewood in Santa Fe county; and
3. four hundred eighty thousand dollars ($480,000) to plan, design and construct water and wastewater system improvements, including a generator, in Encino in Torrance county.
Section 6. LOCAL PROJECTS--LOCAL GOVERNMENT DIVISION--SEVERANCE TAX BONDS.--Pursuant to the provisions of Section 1 of this act, upon certification by the local government division of the department of finance and administration that the need exists for the issuance of the bonds, the following amounts are appropriated to the local government division for the following purposes:
1. one hundred thousand dollars ($100,000) to construct a library for the valle de Anton Chico land grant in San Miguel and Guadalupe counties; and
2. five hundred fifty thousand dollars ($550,000) to plan, design and construct a recreation complex in Edgewood in Santa Fe county.
Section 7. PUBLIC EDUCATION PROJECTS--PUBLIC EDUCATION DEPARTMENT--SEVERANCE TAX BONDS.---Pursuant to the provisions of Section 1 of this act, upon certification by the public education department that the need exists for the issuance of the bonds, the following amounts are appropriated to the public education department for the following purposes:
1. one hundred sixty-five thousand dollars ($165,000) to purchase vehicles and equipment for the Las Vegas city public school district in San Miguel county; and
2. one hundred thirty-five thousand dollars ($135,000) to purchase and equip an activity bus for the Las Vegas city public school district in San Miguel county.
Section 8. AGING PROJECT--AGING AND LONG-TERM SERVICES DEPARTMENT--GENERAL FUND.--Eight million two hundred thousand dollars ($8,200,000) is appropriated from the general fund to the aging and long-term services department for expenditure in fiscal years 2007 through 2011 to make improvements and renovations, purchase vehicles and purchase and install meals and other equipment at senior centers statewide.
Section 9. INSTITUTIONS OF HIGHER LEARNING AND CONSTITUTIONAL SPECIAL SCHOOLS PROJECT--HIGHER EDUCATION DEPARTMENT--GENERAL FUND.--Forty million dollars ($40,000,000) is appropriated from the general fund to the higher education department for expenditure in fiscal years 2007 through 2011 for infrastructure renovation, expansion and deferred maintenance at institutions of higher learning and constitutional special schools statewide.
Section 10. WATER AND NATURAL RESOURCES PROJECTS--OFFICE OF THE STATE ENGINEER--GENERAL FUND.--The following amounts are appropriated from the general fund to the office of the state engineer for expenditure in fiscal years 2007 through 2011 for the following purposes:
1. three million dollars ($3,000,000) for purchasing water rights and land and making related infrastructure improvements to implement the long-term strategy for the state's permanent compliance with the Pecos River Compact and the United States supreme court amended decree in Texas v. New Mexico, No. 65 original; and
2. six million six hundred thousand dollars ($6,600,000) to conduct surface and ground water measurements and dam repairs statewide.
Section 11. PROJECT SCOPE--EXPENDITURES.--If an appropriation for a project authorized in this act is not sufficient to complete all the purposes specified, the appropriation may be expended for any portion of the purposes specified in the appropriation. Expenditures shall not be made for purposes other than those specified in the appropriation.
Section 12. ART IN PUBLIC PLACES.--Pursuant to Section 13-4A-4 NMSA 1978 and where applicable, the appropriations authorized in this act include one percent for the art in public places fund.
Section 13. EMERGENCY.--It is necessary for the public peace, health and safety that this act take effect immediately.
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