0001| SENATE BILL 1036 | 0002| 43rd legislature - STATE OF NEW MEXICO - first session, 1997 | 0003| INTRODUCED BY | 0004| DON KIDD | 0005| | 0006| | 0007| | 0008| | 0009| | 0010| AN ACT | 0011| RELATING TO CORRECTIONAL FACILITY FINANCING; AUTHORIZING THE | 0012| ISSUANCE OF SEVERANCE TAX BONDS AND NEW MEXICO FINANCE | 0013| AUTHORITY BONDS FOR CORRECTIONAL FACILITIES; MAKING | 0014| APPROPRIATIONS; DECLARING AN EMERGENCY. | 0015| | 0016| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO: | 0017| Section 1. LEGISLATIVE FINDINGS--PURPOSE.-- | 0018| A. The legislature recognizes that New Mexico's | 0019| correctional facilities are seriously overcrowded and cannot | 0020| accommodate the anticipated growth in correctional facility | 0021| populations. This critical shortage of correctional | 0022| facilities, primarily for adult male offenders, poses a serious | 0023| threat to the public welfare and safety of New Mexicans. To | 0024| address this emergency, the state must immediately construct or | 0025| acquire the additional correctional facilities necessary to | 0001| meet this urgent need. | 0002| B. It is the purpose of this act to provide the financing | 0003| necessary for the corrections department to construct or | 0004| acquire as expeditiously as possible two additional state | 0005| correctional facilities for adult male offenders. | 0006| Section 2. SEVERANCE TAX BONDS--PURPOSES FOR WHICH | 0007| ISSUED--APPROPRIATION OF PROCEEDS.-- | 0008| A. The state board of finance may issue and sell | 0009| severance tax bonds in compliance with the Severance Tax | 0010| Bonding Act in an amount not exceeding ninety-three million | 0011| dollars ($93,000,000) when the corrections department certifies | 0012| the need for the issuance of the bonds pursuant to the | 0013| provisions of this section. Severance tax bonds issued | 0014| pursuant to the authorization in this subsection may have a | 0015| maturity date of up to twenty years after the date of issuance | 0016| of the bonds. | 0017| B. The state board of finance shall schedule the | 0018| issuance and sale of the bonds in the most expeditious and | 0019| economical manner possible upon a finding by the board that the | 0020| project has been developed sufficiently to justify the issuance | 0021| and that the project can proceed to contract within a | 0022| reasonable time. The state board of finance shall further take | 0023| the appropriate steps necessary to comply with the Internal | 0024| Revenue Code of 1986, as amended. | 0025| C. The proceeds from the sale of the bonds are | 0001| appropriated to the corrections department for the design, | 0002| construction or acquisition of the correctional facilities | 0003| authorized in Paragraphs (1) and (2) of Subsection B of Section | 0004| 33-1-17 NMSA 1978; provided that each county or the political | 0005| subdivisions in the county shall provide land for the prison | 0006| site and arrange for utilities, roads and related | 0007| infrastructure needs to the property line of the prison site in | 0008| the form of matching funds or in-kind contributions and | 0009| provided further that the county or the political subdivisions | 0010| in the county where the correctional facility provided for in | 0011| Paragraph (2) of Subsection B of Section 33-1-17 NMSA 1978 is | 0012| located shall contribute matching funds of at least five | 0013| million dollars ($5,000,000) in the aggregate. This money is | 0014| appropriated to the corrections department for the design, | 0015| construction or acquisition of that correctional facility. | 0016| D. The financing authorized by this section for the | 0017| correctional facilities referred to in Paragraphs (1) and (2) | 0018| of Subsection B of Section 33-1-17 NMSA 1978 shall be for a | 0019| correctional facility of no more than eight hundred beds in the | 0020| facility authorized by Paragraph (1) of Subsection B of Section | 0021| 33-1-17 NMSA 1978 and no more than one thousand six hundred | 0022| beds in the facility authorized by Paragraph (2) of Subsection | 0023| B of Section 33-1-17 NMSA 1978, although the corrections | 0024| department may cause the correctional facilities to be built | 0025| with the necessary infrastructure to accommodate three thousand | 0001| four hundred beds, in the aggregate, at both facilities. | 0002| E. Any unexpended or unencumbered balance remaining | 0003| six months after completion of a project shall revert to the | 0004| severance tax bonding fund. If the corrections department has | 0005| not certified the need for the issuance of the bonds by the end | 0006| of fiscal year 1998, the authorization provided in this section | 0007| and in Section 3 of this act shall be void. | 0008| Section 3. AUTHORIZATION OF ADDITIONAL PUBLIC FINANCING | 0009| FOR CORRECTIONAL FACILITIES--NEW MEXICO FINANCE AUTHORITY | 0010| BONDS--APPROPRIATION OF PROCEEDS.-- | 0011| A. Pursuant to the provisions of Section 6-21-6 | 0012| NMSA 1978, the legislature authorizes the New Mexico finance | 0013| authority to issue bonds in an amount not to exceed twenty-four | 0014| million dollars ($24,000,000), to be repaid from the public | 0015| project revolving fund for the correctional facilities | 0016| authorized in Paragraphs (1) and (2) of Subsection B of Section | 0017| 33-1-17 NMSA 1978. | 0018| B. The New Mexico finance authority shall not issue | 0019| the bonds authorized by Subsection A of this section until the | 0020| corrections department certifies the need for the issuance of | 0021| the bonds, which certification shall be subject to the terms, | 0022| conditions and contingencies set forth in Subsections C and D | 0023| of Section 2 of this act. The net proceeds from the sale of | 0024| the bonds are appropriated to the corrections department for | 0025| the purposes described in Subsection C of Section 2 of this | 0001| act. | 0002| Section 4. EMERGENCY.--It is necessary for the public | 0003| peace, health and safety that this act take effect immediately. | 0004| - 5 - |