0001|                               AN ACT
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0002| RELATING TO THE LAND GRANT PERMANENT FUNDS OF THE STATE; PROVIDING
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0003| FOR CHANGES IN THE ALLOCATION OF REVENUE TO THE PERMANENT FUNDS;
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0004| PROVIDING FOR DISTRIBUTIONS FROM THE PERMANENT FUNDS TO THE
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0005| BENEFICIARIES OF THOSE FUNDS.
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0006| 
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0007| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
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0008|      Section 1.  Section 19-1-18 NMSA 1978 (being Laws 1917, Chapter 115, Section 2) is
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0009| amended to read:
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0010|      "19-1-18.  SOURCES OF SPECIAL FUNDS.--The permanent funds created by Sections
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0011| 19-1-17 through 19-1-20 NMSA 1978 shall consist of the proceeds of sales of lands belonging to
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0012| and that may have been or may hereafter be granted to the state, not otherwise appropriated by
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0013| the terms and conditions of the grant, interest on the permanent funds, income from investment
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0014| of the permanent funds and such other money as may be specifically provided by law.  The
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0015| income and current funds created by Sections 19-1-17 through 19-1-20 NMSA 1978 shall
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0016| consist of rentals, sale of products from lands and anything else other than money directly
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0017| derived from sale of all state lands so granted, such other money as may be specifically provided
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0018| by law and miscellaneous income not provided for by Sections 19-1-17 through 19-1-20 NMSA
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0019| 1978."
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0020|      Section 2.  Section 19-1-20 NMSA 1978 (being Laws 1917, Chapter 115, Section 8, as
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0021| amended) is amended to read:
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0022|      "19-1-20. TRANSFERS AND DISTRIBUTIONS OF FUNDS FOR SCHOOLS AND
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0023| INSTITUTIONS.--
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0024|           A.  All income and current funds created by Section 19-1-17 NMSA 1978 for the
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0025| common schools and various state institutions shall be transferred by the secretary of finance and
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0001| administration, from time to time, to the credit of the schools and institutions to be used as
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0002| provided by law for the support and maintenance of the schools and institutions.
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0003|           B.  The secretary of finance and administration shall make distributions from the
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0004| land grant permanent funds
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0005| enumerated in Section 19-1-17 NMSA 1978 in the amount authorized by and calculated
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0006| pursuant to the provisions of Article 12, Section 7 of the constitution of New Mexico.
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0007|           C.  One-twelfth of the total amount authorized to be distributed in a fiscal year
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0008| pursuant to Article 12, Section 7 of the constitution of New Mexico shall be distributed each
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0009| month to the beneficiaries enumerated in Section 19-1-17 NMSA 1978.  Each beneficiary shall
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0010| receive that portion of the monthly distribution to which it is entitled pursuant to law."
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0011|      Section 3.  REPEAL.--Section 6-8-12 NMSA 1978 (being Laws 1957, Chapter 179,
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0012| Section 12, as amended) is repealed.
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0013|      Section 4.  EFFECTIVE DATE.--The effective date of the provisions of this act is the
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0014| later of:
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0015|           A.  the date the secretary of state certifies that the constitution of New Mexico has
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0016| been amended as proposed by a joint resolution of the forty-second legislature, second session,
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0017| entitled "A JOINT RESOLUTION PROPOSING AMENDMENTS TO ARTICLE 8, SECTION
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0018| 10 AND ARTICLE 12, SECTIONS 2, 4 AND 7 OF THE CONSTITUTION OF NEW
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0019| MEXICO TO PROTECT THE STATE'S PERMANENT FUNDS AGAINST INFLATION BY
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0020| LIMITING DISTRIBUTIONS TO A PERCENTAGE OF EACH FUND'S MARKET VALUE
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0021| AND BY MODIFYING CERTAIN INVESTMENT RESTRICTIONS TO ALLOW OPTIMAL
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0022| DIVERSIFICATION OF INVESTMENTS."; or
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0023|           B.  the date the congress of the United States consents to the amendment of the
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0024| constitution of New Mexico as 
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0025| proposed by the joint resolution specified in Subsection A of this section.                           
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0002|                                                               
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