HOUSE BILL 490

53rd legislature - STATE OF NEW MEXICO - first session, 2017

INTRODUCED BY

Jimmie C. Hall

AN ACT

RELATING TO COUNTIES; REQUIRING COUNTIES TO TRANSFER ADDITIONAL REVENUE TO THE COUNTY-SUPPORTED MEDICAID FUND; DECLARING AN EMERGENCY.

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

     SECTION 1. Section 27-10-4 NMSA 1978 (being Laws 1991, Chapter 212, Section 4, as amended) is amended to read:

     "27-10-4. ALTERNATIVE REVENUE SOURCE TO IMPOSITION OF COUNTY HEALTH CARE GROSS RECEIPTS TAX--[TRANSFER] TRANSFERS TO COUNTY-SUPPORTED MEDICAID FUND.--

          A. In the event a county does not enact an ordinance imposing a county health care gross receipts tax pursuant to Section [7-20D-3] 7-20E-18 NMSA 1978, the county shall, by ordinance to be effective July 1, 1993, dedicate to the county-supported medicaid fund an amount equal to a gross receipts tax rate of one-sixteenth [of one] percent applied to the taxable gross receipts reported during the prior fiscal year by persons engaging in business in the county. For purposes of this subsection, a county may use funds from any existing authorized revenue source of the county.

          B. For each county that has in effect an ordinance enacted pursuant to Subsection A of this section on July 1 of each year, the taxation and revenue department shall certify to the county by September 15, 1993 and by September 15 of each subsequent fiscal year the amount of gross receipts reported for the county for purposes of the gross receipts tax during the prior fiscal year. Upon certification by the taxation and revenue department, any county enacting an ordinance pursuant to Subsection A of this section shall transfer to the county-supported medicaid fund by the last day of March, June, September and December of each year an amount equal to a rate of one sixty-fourth [of one] percent applied to the certified amount.

          C. The requirements of an ordinance enacted pursuant to this section may be terminated for a county only on the effective date of an ordinance enacted by the county imposing the county health care gross receipts tax; provided that if the effective date of the ordinance imposing the tax is January 1, the termination does not apply to the payments required for September and December of that year.

          D. In addition to the amount dedicated pursuant to Subsection A of this section or Section 7-20E-18 NMSA 1978, a county shall dedicate to the county-supported medicaid fund an amount equal to a gross receipts tax rate of one-sixteenth percent applied to the taxable gross receipts reported during the prior fiscal year by a person engaging in business in the county. The county may use funds from any existing authorized revenue source of the county. The county shall make the transfer to the county-supported medicaid fund by the last day of March, June, September and December of each year in an amount equal to a rate of one sixty-fourth percent applied to the certified amount."

     SECTION 2. EFFECTIVE DATE.--

          A. If this act takes effect on or before April 1, 2017, the effective date of the provisions of this act is April 1, 2017.

          B. If this act takes effect after April 1, 2017, the effective date of the provisions of this act is the first day of the month following the date this act takes effect.

     SECTION 3. EMERGENCY.--It is necessary for the public peace, health and safety that this act take effect immediately.

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