SENATE BILL 424

49th legislature - STATE OF NEW MEXICO - first session, 2009

INTRODUCED BY

Sue Wilson Beffort

AN ACT

RELATING TO STATE EXPENDITURES; REQUIRING A SALARY REDUCTION FOR CERTAIN STATE EMPLOYEES; DECLARING AN EMERGENCY.

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

     Section 1. TEMPORARY PROVISION--EMERGENCY SALARY REDUCTIONS.--

          A. The legislature finds that, because of the state and national recession and the resulting shortfall in state revenues, funding for important government services will have to be reduced, resulting in a hardship for many New Mexicans. The legislature also finds that, as a matter of equity, higher paid state employees, whose positions were obtained outside the competitive state personnel system, should also make a relatively small contribution toward restoring the fiscal integrity of the state.

          B. Except as provided in Subsection C of this section, each state agency shall reduce the salary of each employee who is not subject to the coverage of the Personnel Act and whose current annual salary is greater than seventy-five thousand dollars ($75,000). The amount of the salary reduction shall equal ten percent of the current salary.

          C. The salary reduction otherwise required by Subsection B of this section shall not apply to:

                (1) state officers whose salaries are fixed by statute; or

                (2) employees of state educational institutions, the legislative branch of government or the judicial branch of government who are not employed in managerial or policy-making positions.

          D. The reduced salary shall remain in place for the remainder of fiscal year 2009 and throughout fiscal year 2010.

          E. Salary reductions mandated by this section shall take effect in the first full pay period following the effective date of this act.

          F. As used in this section, "state agency" means any department, institution, board, bureau, commission, district or committee of government of the state of New Mexico and means every office or officer of any of the above.

     Section 2. EMERGENCY.--It is necessary for the public peace, health and safety that this act take effect immediately.