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AN ACT

RELATING TO TAXATION; PROVIDING FOR THE IMPOSITION OF A COUNTY

REGIONAL TRANSIT GROSS RECEIPTS TAX; REPEALING THE MUNICIPAL

REGIONAL TRANSIT GROSS RECEIPTS TAX.

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

Section 1. Section 7-20E-23 NMSA 1978 (being Laws 2004,

Chapter 17, Section 2) is amended to read:

"7-20E-23. COUNTY REGIONAL TRANSIT GROSS RECEIPTS TAX--

AUTHORITY TO IMPOSE--RATE--ELECTION REQUIRED.--

A. Upon a request by resolution of the board of

directors of a regional transit district, a majority of the

members of the governing body of each county that is within

the district shall impose by identical ordinances an excise

tax at the rate specified in the resolution, but not to exceed

one-half percent of the gross receipts of any person engaging

in business in the district for the privilege of engaging in

business. A tax imposed pursuant to this section may be

imposed by one or more ordinances, each imposing any number of

tax rate increments, but an increment shall not be less than

one-sixteenth percent of the gross receipts of any person

engaging in business in the district and the aggregate of all

rates shall not exceed one-half percent of the gross receipts

of any person engaging in business in the district. The tax

may be referred to as the "county regional transit gross

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receipts tax".

B. Each governing body, at the time of enacting an

ordinance imposing the tax authorized in Subsection A of this

section, shall dedicate the revenue for the purposes

authorized by the Regional Transit District Act.

C. An ordinance imposing a county regional transit

gross receipts tax shall not go into effect until after a

joint election is held by all counties within the district and

a majority of the voters of the district voting in the

election votes in favor of imposing the tax. Each governing

body shall adopt an ordinance calling for a joint election

within seventy-five days of the date the resolution is adopted

on the question of imposing the tax. The question shall be

submitted to the voters of the district as a separate question

at a general election or at a joint special election called

for that purpose by each governing body. A joint special

election shall be called, conducted and canvassed

substantially in the same manner as provided by law for

general elections. If a majority of the voters in the

district voting on the question approves the ordinance

imposing the county regional transit gross receipts tax, the

ordinance shall become effective in accordance with the

provisions of the County Local Option Gross Receipts Taxes

Act. If the question of imposing the county regional transit

gross receipts tax fails, the governing bodies shall not again

propose the imposition of any increment of the tax for a

period of one year from the date of the election.

D. The governing body of a county imposing a

county regional transit gross receipts tax shall transfer all

proceeds from the tax to the regional transit district for the

purposes specified in the ordinance and in accordance with the

provisions of the Regional Transit District Act.

E. As used in this section, "county within the

district" means a county within which lies any portion of a

regional transit district."

Section 2. REPEAL.--Section 7-19D-13 NMSA 1978 (being

Laws 2004, Chapter 17, Section 1) is repealed.

Section 3. EFFECTIVE DATE.--The effective date of the

provisions of this act is July 1, 2007.

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