SENATE BILL 621
49th legislature - STATE OF NEW MEXICO - first session, 2009
INTRODUCED BY
Michael S. Sanchez
AN ACT
RELATING TO STATE EXPENDITURES; TRANSFERRING MONEY TO THE GENERAL FUND FROM THE LOCAL GOVERNMENT TRANSPORTATION FUND; AUTHORIZING SEVERANCE TAX BONDS FOR THE LOCAL GOVERNMENT TRANSPORTATION FUND; MAKING AN APPROPRIATION FOR THE EMERGENCY SUPPORT OF SCHOOL DISTRICTS FACING SHORTFALLS IN THEIR OPERATING BUDGETS; MAKING AN APPROPRIATION FOR CERTAIN SUPPLIES, EQUIPMENT AND OPERATING COSTS OF NEW SCHOOLS; DECLARING AN EMERGENCY.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
Section 1. FUND TRANSFER--LOCAL GOVERNMENT TRANSPORTATION FUND.--Notwithstanding any provision of Section 6-21-6.12 NMSA 1978, ten million dollars ($10,000,000) is transferred from the local government transportation fund to the general fund for the purpose of meeting the appropriation made in Section 3 of this 2009 act. The money transferred represents a portion of the amount of the general fund appropriation made in Subsection B of Section 3 of Chapter 3 of Laws 2007 (1st S.S.).
Section 2. AUTHORIZATION FOR SEVERANCE TAX BONDS FOR LOCAL GOVERNMENT TRANSPORTATION FUND.--
A. The state board of finance may issue and sell severance tax bonds in fiscal years 2009 and 2010 in compliance with the Severance Tax Bonding Act in an amount not exceeding a total of ten million dollars ($10,000,000) when the department of transportation certifies the need for the issuance of the bonds.
B. 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, based upon a certification from the department of transportation, the proceeds of the bonds are needed and that the projects can proceed to contract within a reasonable time. The state board of finance shall further take the appropriate steps necessary to comply with the federal Internal Revenue Code of 1986, as amended. The state board of finance may issue and sell the bonds in the same manner as other severance tax bonds in an amount not to exceed the authorized amount provided for in Subsection A of this section.
C. The proceeds from the sale of the bonds are appropriated to the local government transportation fund for distribution as directed by the department of transportation for projects pursuant to Section 6-21-6.12 NMSA 1978.
D. Money from the severance tax bonds provided for in this section shall not be used to pay indirect costs. If the department of transportation has not certified the need for the issuance of the bonds by July 1, 2011, the authorization provided in this section shall expire.
Section 3. APPROPRIATION--SCHOOL DISTRICT EMERGENCY SUPPORT--NEW SCHOOL DEVELOPMENT.--
A. Ten million dollars ($10,000,000) is appropriated from the general fund to the public education department for expenditure in fiscal years 2009 and subsequent fiscal years for the following purposes:
(1) for the emergency support of school
districts that are experiencing shortfalls in operating budgets in fiscal year 2009 or 2010 and that, without the emergency assistance, would have to reduce the number of employees and the quality of public education; and
(2) after the department has provided all emergency support needed pursuant to Paragraph (1) of this subsection or July 1, 2011, whichever first occurs, the unexpended or unencumbered balance shall be transferred to the new school development fund and expended during fiscal year 2010 and subsequent fiscal years pursuant to the provisions of Subsection B of Section 22-8-48 NMSA 1978.
B. Unexpended or unencumbered balances shall not revert at the end of a fiscal year.
Section 4. EMERGENCY.--It is necessary for the public peace, health and safety that this act take effect immediately.
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