0001| HOUSE BILL 179
|
0002| 43RD LEGISLATURE - STATE OF NEW MEXICO - SECOND SESSION, 1998
|
0003| INTRODUCED BY
|
0004| RON GENTRY
|
0005|
|
0006|
|
0007|
|
0008|
|
0009|
|
0010| AN ACT
|
0011| RELATING TO FINANCING OF HIGHWAY PROJECTS; INCREASING THE
|
0012| BONDING AUTHORITY OF THE STATE HIGHWAY COMMISSION FOR CERTAIN
|
0013| HIGHWAY PROJECTS; CHANGING THE DISTRIBUTION OF MOTOR VEHICLE
|
0014| EXCISE TAX REVENUES; CREATING THE LOCAL ROAD PROJECTS FUND;
|
0015| LIMITING THE USE OF STATE ROAD FUND REVENUES; AMENDING AND
|
0016| ENACTING SECTIONS OF THE NMSA 1978; MAKING AN APPROPRIATION.
|
0017|
|
0018| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
|
0019| Section 1. [NEW MATERIAL] LEGISLATIVE FINDINGS--
|
0020| PURPOSE.--
|
0021| A. The legislature finds that there is high
|
0022| unemployment and a lack of jobs in many areas of the state.
|
0023| Further, the current effort by the federal government and the
|
0024| state to reduce the number of individuals in need of welfare
|
0025| makes it imperative to create not only more jobs, but good
|
- 1 -
0001| jobs. Finally, the legislature finds that highway
|
0002| construction projects can provide those jobs in many areas of
|
0003| the state and at the same time make urgently needed road
|
0004| improvements that will enhance and support economic
|
0005| development efforts and purposes.
|
0006| B. It is the purpose of this act to raise revenues
|
0007| for the most urgent highway projects throughout the state, to
|
0008| provide good jobs for New Mexicans in many areas of the state,
|
0009| to ensure the use of road revenues for highway projects and to
|
0010| enhance and meet economic development purposes and needs
|
0011| throughout the state.
|
0012| Section 2. A new section of Chapter 67, Article 3 NMSA
|
0013| 1978 is enacted to read:
|
0014| "[NEW MATERIAL] LOCAL ROAD PROJECTS FUND CREATED--
|
0015| PURPOSE.--The "local road projects fund" is created in the
|
0016| state treasury and shall be administered by the state highway
|
0017| and transportation department. The fund shall consist of
|
0018| motor vehicle excise tax revenues distributed to the fund and
|
0019| any other money deposited in or transferred, distributed or
|
0020| otherwise appropriated to the fund. Money in the fund may be
|
0021| appropriated by the legislature for local municipal and county
|
0022| road projects. Balances in the fund at the end of any fiscal
|
0023| year shall remain in the fund and be available for
|
0024| appropriation for local road projects in subsequent fiscal
|
0025| years."
|
- 2 -
0001| Section 3. Section 7-14-10 NMSA 1978 (being Laws 1988,
|
0002| Chapter 73, Section 20, as amended) is amended to read:
|
0003| "7-14-10. DISTRIBUTION OF PROCEEDS.--The receipts from
|
0004| the tax and any associated interest and penalties shall be
|
0005| deposited in the "motor vehicle suspense fund", hereby created
|
0006| in the state treasury. As of the end of each month, the net
|
0007| receipts attributable to the tax and associated penalties and
|
0008| interest shall be distributed [to the general fund] as
|
0009| follows:
|
0010| A. prior to July 1, 1999, to the general fund;
|
0011| B. from July 1, 1999 through June 30, 2000, eight
|
0012| hundred thirty-three thousand four hundred dollars ($833,400)
|
0013| to the local road projects fund and of the remainder, two-
|
0014| thirds to the general fund and one-third to the state road
|
0015| fund;
|
0016| C. from July 1, 2000 through June 30, 2001, eight
|
0017| hundred thirty-three thousand four hundred dollars ($833,400)
|
0018| to the local road projects fund and of the remainder, one-
|
0019| third to the general fund and two-thirds to the state road
|
0020| fund; and
|
0021| D. after June 30, 2001, eight hundred thirty-
|
0022| three thousand four hundred dollars ($833,400) to the local
|
0023| road projects fund and the remainder to the state road fund."
|
0024| Section 4. Section 67-3-59.1 NMSA 1978 (being Laws 1989,
|
0025| Chapter 157, Section 1, as amended) is amended to read:
|
- 3 -
0001| "67-3-59.1. STATE HIGHWAY DEBENTURES--ISSUANCE--LIMITS--
|
0002| APPROVAL--COUPONS.--
|
0003| A. In order to provide funds to finance state
|
0004| highway projects, including state highway projects that are
|
0005| required for the waste isolation pilot project and are
|
0006| eligible for federal reimbursement or payment as authorized
|
0007| by federal legislation, the state highway commission is
|
0008| authorized to issue bonds from time to time, payable from:
|
0009| (1) federal funds not otherwise obligated
|
0010| that are paid into the state road fund;
|
0011| (2) contributions of a county or
|
0012| municipality, if any, to the expense of a project as
|
0013| determined by a cooperative agreement made pursuant to Section
|
0014| 67-3-28 NMSA 1978 and deposited in the state road fund; and
|
0015| (3) the proceeds of the collection of
|
0016| [gasoline excise] taxes and [motor vehicle registration]
|
0017| fees that are required by law to be paid into the state road
|
0018| fund and not otherwise pledged solely to the payment of
|
0019| outstanding bonds and debentures.
|
0020| B. The total aggregate outstanding principal
|
0021| amount of bonds issued from time to time pursuant to this
|
0022| section, secured by or payable from [the gasoline excise
|
taxes and motor vehicle registration fees] federal funds not
|
0024| otherwise obligated that are paid into the state road fund,
|
0025| county or municipal contributions deposited in the state road
|
- 4 -
0001| fund pursuant to a cooperative agreement and the proceeds from
|
0002| the collection of taxes and fees required by law to be paid
|
0003| into the state road fund shall not, without additional
|
0004| authorization of the state legislature, exceed [one hundred
|
fifty million dollars ($150,000,000)] at any given time,
|
0006| subject to the [following] provisions of Subsection C of
|
0007| this section, the following amounts:
|
0008| (1) prior to July 1, 1998, one hundred fifty
|
0009| million dollars ($150,000,000);
|
0010| (2) from July 1, 1998 through June 30, 1999,
|
0011| five hundred million dollars ($500,000,000); and
|
0012| (3) after June 30, 1999, one billion one
|
0013| hundred million dollars ($1,100,000,000).
|
0014| C. The total aggregate outstanding principal
|
0015| amount of bonds authorized pursuant to Subsection B of this
|
0016| section shall be subject to the following provisions:
|
0017| (1) the total aggregate outstanding principal
|
0018| amount of bonds issued for state highway projects that are
|
0019| required for the waste isolation pilot project and are
|
0020| eligible for federal reimbursement or payment as authorized
|
0021| by federal legislation shall not exceed [one hundred million
|
dollars ($100,000,000); and] two hundred million dollars
|
0023| ($200,000,000);
|
0024| (2) the total aggregate outstanding principal
|
0025| amount of bonds issued for state highway projects other than
|
- 5 -
0001| state highway projects that are required for the waste
|
0002| isolation pilot project and are eligible for federal
|
0003| reimbursement or payment as authorized by federal
|
0004| legislation shall not exceed:
|
0005| (a) prior to July 1, 1998, fifty million
|
0006| dollars ($50,000,000);
|
0007| (b) from July 1, 1998 through June 30, 1999,
|
0008| three hundred million dollars ($300,000,000); and
|
0009| (c) after June 30, 1999, nine hundred
|
0010| million dollars ($900,000,000); and
|
0011| (3) the proceeds from the sale of the bonds after
|
0012| July 1, 1998 pursuant to Subparagraphs (b) and (c) of
|
0013| Paragraph (2) of this subsection shall be used for planning,
|
0014| designing, engineering and constructing and for acquiring
|
0015| rights of way for the following projects:
|
0016| (a) four-lane construction of U.S. highway
|
0017| 70;
|
0018| (b) four-lane construction of U.S. highway
|
0019| 550 from Aztec to Colorado;
|
0020| (c) four-lane construction of U.S. highway
|
0021| 285 from Clines Corners to Carlsbad;
|
0022| (d) construction of a new east-west
|
0023| connecting route from state road 47 to interstate 25 south of
|
0024| Los Lunas;
|
0025| (e) construction of the Silver City relief
|
- 6 -
0001| route;
|
0002| (f) construction of the Alamogordo relief
|
0003| route;
|
0004| (g) construction of the Albuquerque
|
0005| northwest relief route;
|
0006| (h) improvement of U.S. highway 54;
|
0007| (i) improvement of U.S. highway 666;
|
0008| (j) improvement of U.S. highway 84 from
|
0009| Espanola through Hernandez;
|
0010| (k) four-lane construction of U.S. highway
|
0011| 285 from interstate 25 to Lamy;
|
0012| (l) four-lane construction of Sunland Park
|
0013| extension;
|
0014| (m) construction of the Taos relief route;
|
0015| (n) improvement of N.M. highway 128 from the
|
0016| Texas state line to Carlsbad;
|
0017| (o) construction of the Albuquerque
|
0018| southwest relief route;
|
0019| (p) improvement of U.S. highway 180 from
|
0020| Silver City to Deming; and
|
0021| (q) four-lane construction of U.S. highway
|
0022| 62/180 from Carlsbad to White City.
|
0023| [C.] D. The state highway commission may issue
|
0024| bonds to refund other bonds issued pursuant to this section by
|
0025| exchange or current or advance refunding.
|
- 7 -
0001| [D.] E. Each series of bonds shall have a
|
0002| maturity of no more than twenty-five years from the date of
|
0003| issuance; provided that bonds issued after July 1, 1998
|
0004| pursuant to Subparagraphs (b) and (c) of Paragraph (2) of
|
0005| Subsection C of this section shall have a maturity of no more
|
0006| than ten years from the date of issuance. The state highway
|
0007| commission shall determine all other terms, covenants and
|
0008| conditions of the bonds; provided that the bonds shall not be
|
0009| issued pursuant to this section unless the state board of
|
0010| finance approves the issuance of the bonds and the principal
|
0011| amount of and interest rate or maximum net effective interest
|
0012| rate on the bonds.
|
0013| [E.] F. The bonds shall be executed with the
|
0014| manual or facsimile signatures of the chairman of the state
|
0015| highway commission, countersigned by the state treasurer and
|
0016| attested to by the secretary of the state highway commission,
|
0017| with the seal of the state highway commission imprinted or
|
0018| otherwise affixed to the bonds.
|
0019| [F.] G. Proceeds of the bonds may be used to
|
0020| pay expenses incurred in the preparation, issuance and sale of
|
0021| the bonds and, together with the earnings on the proceeds of
|
0022| the bonds, may be used to pay rebate, penalty, interest and
|
0023| other obligations relating to the bonds and the proceeds of
|
0024| the bonds under the Internal Revenue Code of 1986, as amended.
|
0025| [G.] H. The bonds may be sold at public or
|
- 8 -
0001| private sale or through the New Mexico finance authority.
|
0002| If sold at public sale, a notice of the time and place of sale
|
0003| shall be published in a newspaper of general circulation in
|
0004| the state, and in any other newspaper determined in the
|
0005| resolution authorizing the issuance of the bonds, once each
|
0006| week for two consecutive weeks prior to the date of sale. The
|
0007| bonds may be purchased by the state treasurer or state
|
0008| investment officer.
|
0009| [H.] I. This section is full authority for the
|
0010| issuance and sale of the bonds, and the bonds shall not be
|
0011| invalid for any irregularity or defect in the proceedings for
|
0012| their issuance and sale and shall be incontestable in the
|
0013| hands of bona fide purchasers or holders of the bond for
|
0014| value.
|
0015| [I.] J. The bonds shall be legal investments
|
0016| for any person or board charged with the investment of public
|
0017| funds and may be accepted as security for any deposit of
|
0018| public money and, with the interest thereon, are exempt from
|
0019| taxation by the state and any political subdivision or agency
|
0020| of the state.
|
0021| K. Any law authorizing the imposition or
|
0022| distribution of taxes or fees paid into the state road fund or
|
0023| that affects those taxes and fees shall not be amended or
|
0024| repealed or otherwise directly or indirectly modified so as to
|
0025| impair any outstanding bonds secured by a pledge of revenues
|
- 9 -
0001| from those taxes and fees paid into the state road fund,
|
0002| unless the bonds have been discharged in full or provisions
|
0003| have been made for a full discharge. In addition, while any
|
0004| bonds issued by the state highway commission pursuant to the
|
0005| provisions of this section remain outstanding, the powers or
|
0006| duties of the commission shall not be diminished or impaired
|
0007| in any manner that will affect adversely the interests and
|
0008| rights of the holder of such bonds.
|
0009| L. Bonds issued pursuant to this section shall be
|
0010| paid solely from federal funds not otherwise obligated, taxes
|
0011| and fees and county and municipal contributions deposited into
|
0012| the state road fund and shall not constitute a general
|
0013| obligation of the state."
|
0014| Section 5. Section 67-3-65 NMSA 1978 (being Laws 1973,
|
0015| Chapter 145, Section 1, as amended) is amended to read:
|
0016| "67-3-65. STATE ROAD FUND CREATED.--
|
0017| A. The "state road fund" is created within the
|
0018| state treasury to which shall be credited all receipts
|
0019| authorized by law to be paid into it. No income earned on the
|
0020| fund shall be transferred to another fund. For fiscal year
|
0021| 2000 and subsequent fiscal years, money in the state road fund
|
0022| after payment of the administrative fee pursuant to Subsection
|
0023| B of this section shall be used solely for highway and
|
0024| transportation programs and purposes administered by the state
|
0025| highway and transportation department.
|
- 10 -
0001| B. For July 1999 and subsequent months, to defray
|
0002| the costs of administering the collection of taxes and fees
|
0003| that constitute the state road fund, an administrative fee of
|
0004| three percent is imposed on revenues deposited in the state
|
0005| road fund. The administrative fee shall be imposed on all
|
0006| revenues deposited each month in the state road fund other
|
0007| than federal funds, bond proceeds and county and municipal
|
0008| contributions pursuant to a cooperative agreement. The
|
0009| department shall transmit the fee to the state treasurer for
|
0010| deposit in the general fund no later than the tenth day of the
|
0011| month following the month for which the fee was calculated."
|
0012| Section 6. EFFECTIVE DATE.--The effective date of the
|
0013| provisions of this act is July 1, 1998.
|
0014|
|