0001| SENATE BILL 352 | 0002| 43RD LEGISLATURE - STATE OF NEW MEXICO - SECOND SESSION, 1998 | 0003| INTRODUCED BY | 0004| ROMAN M. MAES III | 0005| | 0006| | 0007| | 0008| | 0009| | 0010| AN ACT | 0011| RELATING TO TAXATION; AUTHORIZING MUNICIPAL AND COUNTY LOCAL | 0012| OPTION CAPITAL IMPROVEMENTS GROSS RECEIPTS TAXES FOR USE | 0013| SOLELY FOR PAYMENT OF PRINCIPAL AND INTEREST ON BONDS ISSUED | 0014| FOR LOCAL CAPITAL IMPROVEMENT PURPOSES; REQUIRING VOTER | 0015| APPROVAL OF THE TAXES. | 0016| | 0017| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO: | 0018| Section 1. A new section of the Municipal Local Option | 0019| Gross Receipts Taxes Act is enacted to read: | 0020| "[|NEW MATERIAL|] MUNICIPAL CAPITAL IMPROVEMENTS GROSS | 0021| RECEIPTS TAX--AUTHORITY TO IMPOSE RATE--USE OF FUNDS-- | 0022| ELECTION.-- | 0023| A. The majority of the members of the governing | 0024| body of a municipality may enact an ordinance imposing an | 0025| excise tax at a rate not to exceed one-fourth of one percent | - 1 - 0001| of the gross receipts of any person engaging in business in | 0002| the municipality for the privilege of engaging in business. | 0003| The tax may be imposed in any number of increments of | 0004| one-sixteenth of one percent not to exceed an aggregate rate | 0005| of one-fourth of one percent. | 0006| B. The tax imposed pursuant to Subsection A of | 0007| this section may be referred to as the "municipal capital | 0008| improvements gross receipts tax". | 0009| C. The governing body, at the time of enacting an | 0010| ordinance imposing a rate of tax authorized in Subsection A of | 0011| this section, shall dedicate the revenue only for the payment | 0012| of principal of and interest on revenue bonds issued for | 0013| municipal capital improvements. The tax shall be imposed for | 0014| the term of the bonds, and when the outstanding bonds have | 0015| been paid in full the ordinance imposing the tax shall be | 0016| repealed. Municipal capital improvements gross receipts tax | 0017| revenues collected after the bonds are paid in full and prior | 0018| to the cessation of the tax shall be used by the municipality | 0019| for capital improvements prescribed in the ordinance or | 0020| resolution authorizing the bonds. The governing body may | 0021| enact subsequent ordinances imposing the tax, subject to the | 0022| requirements of this section. | 0023| D. An ordinance imposing a municipal capital | 0024| improvements gross receipts tax shall not go into effect until | 0025| after an election is held and a majority of the voters of the | - 2 - 0001| municipality voting in the election votes in favor of imposing | 0002| the tax. The governing body shall adopt a resolution calling | 0003| for an election within seventy-five days of the date the | 0004| ordinance is adopted on the question of imposing the tax. The | 0005| question shall be submitted to the voters of the municipality | 0006| as a separate question at a regular municipal election or at a | 0007| special election called for that purpose by the governing | 0008| body. A special municipal election shall be called, conducted | 0009| and canvassed as provided in the Municipal Election Code. If | 0010| a majority of the voters voting on the question approves the | 0011| ordinance imposing the municipal capital improvements gross | 0012| receipts tax, then the ordinance shall become effective in | 0013| accordance with the provisions of the Municipal Local Option | 0014| Gross Receipts Taxes Act. If the question of imposing the | 0015| municipal capital improvements gross receipts tax fails, the | 0016| governing body shall not again propose the imposition of the | 0017| tax for a period of one year from the date of the election. | 0018| E. A law that imposes or authorizes the imposition | 0019| of a municipal capital improvements gross receipts tax, or a | 0020| law supplemental to or otherwise pertaining to the tax, shall | 0021| not be repealed or amended or otherwise directly or indirectly | 0022| modified in such a manner as to impair adversely any | 0023| outstanding revenue bonds that may be secured by a pledge of | 0024| the municipal capital improvements gross receipts tax unless | 0025| the outstanding revenue bonds have been discharged in full or | - 3 - 0001| provision has been fully made for their discharge." | 0002| Section 2. A new section of the County Local Option | 0003| Gross Receipts Taxes Act is enacted to read: | 0004| "[|NEW MATERIAL|] COUNTY CAPITAL IMPROVEMENTS GROSS | 0005| RECEIPTS TAX--AUTHORITY TO IMPOSE RATE--USE OF FUNDS-- | 0006| ELECTION.-- | 0007| A. The majority of the members of the governing | 0008| body of a county may enact an ordinance imposing an excise tax | 0009| at a rate not to exceed one-fourth of one percent of the gross | 0010| receipts of any person engaging in business in the county area | 0011| for the privilege of engaging in business. The tax may be | 0012| imposed in any number of increments of one-sixteenth of one | 0013| percent not to exceed an aggregate rate of one-fourth of one | 0014| percent. | 0015| B. The tax imposed pursuant to Subsection A of this | 0016| section may be referred to as the "county capital improvements | 0017| gross receipts tax". | 0018| C. The governing body, at the time of enacting an | 0019| ordinance imposing a rate of tax authorized in Subsection A of | 0020| this section, shall dedicate the revenue only for the payment | 0021| of principal of and interest on revenue bonds issued for | 0022| county capital improvements. The tax shall be imposed for the | 0023| term of the bonds, and when the outstanding bonds have been | 0024| paid in full the ordinance imposing the tax shall be repealed. | 0025| County capital improvements gross receipts tax revenues | - 4 - 0001| collected after the bonds are paid in full and prior to the | 0002| cessation of the tax shall be used by the county for capital | 0003| improvements prescribed in the ordinance or resolution | 0004| authorizing the bonds. The governing body may enact | 0005| subsequent ordinances imposing the tax, subject to the | 0006| requirements of this section. | 0007| D. An ordinance imposing a county capital | 0008| improvements gross receipts tax shall not go into effect until | 0009| after an election is held and a majority of the voters of the | 0010| county area voting in the election votes in favor of imposing | 0011| the tax. The governing body shall adopt a resolution calling | 0012| for an election within seventy-five days of the date the | 0013| ordinance is adopted on the question of imposing the tax. The | 0014| question of whether to impose the tax shall be submitted to | 0015| the voters of the county area at a general election or at a | 0016| special election called by the governing body for that | 0017| purpose. A special election shall be called, conducted and | 0018| canvassed in substantially the same manner as provided by law | 0019| for general elections. If a majority of the voters voting on | 0020| the question approves the ordinance imposing the county | 0021| capital improvements gross receipts tax, then the ordinance | 0022| shall become effective in accordance with the provisions of | 0023| the County Local Option Gross Receipts Taxes Act. If the | 0024| question of imposing the county capital improvements gross | 0025| receipts tax fails, the governing body shall not again propose | - 5 - 0001| the imposition of the tax for a period of one year from the | 0002| date of the election. | 0003| E. A law that imposes or authorizes the imposition | 0004| of a county capital improvements gross receipts tax, or a law | 0005| supplemental to or otherwise pertaining to the tax, shall not | 0006| be repealed or amended or otherwise directly or indirectly | 0007| modified in such a manner as to impair adversely any | 0008| outstanding revenue bonds that may be secured by a pledge of | 0009| the county capital improvements gross receipts tax unless the | 0010| outstanding revenue bonds have been discharged in full or | 0011| provision has been fully made for their discharge." | 0012| Section 3. Section 3-31-1 NMSA 1978 (being Laws 1973, | 0013| Chapter 395, Section 3, as amended) is amended to read: | 0014| "3-31-1. REVENUE BONDS--AUTHORITY TO ISSUE--PLEDGE OF | 0015| REVENUES--LIMITATION ON TIME OF ISSUANCE.--In addition to any | 0016| other law and constitutional home-rule powers authorizing a | 0017| municipality to issue revenue bonds, a municipality may issue | 0018| revenue bonds pursuant to Chapter 3, Article 31 NMSA 1978 for | 0019| the purposes specified in this section. The term "pledged | 0020| revenues", as used in Chapter 3, Article 31 NMSA 1978, means | 0021| the revenues, net income or net revenues authorized to be | 0022| pledged to the payment of particular revenue bonds as | 0023| specifically provided in Subsections A through I of this | 0024| section. | 0025| A. Utility revenue bonds may be issued for | - 6 - 0001| acquiring, extending, enlarging, bettering, repairing or | 0002| otherwise improving a municipal utility or for any combination | 0003| of the foregoing purposes. The municipality may pledge | 0004| irrevocably any or all of the net revenues from the operation | 0005| of the municipal utility or of any one or more of any other | 0006| such municipal utilities for payment of the interest on and | 0007| principal of the revenue bonds. These bonds are sometimes | 0008| referred to in Chapter 3, Article 31 NMSA 1978 as "utility | 0009| revenue bonds" or "utility bonds". | 0010| B. Joint utility revenue bonds may be issued for | 0011| acquiring, extending, enlarging, bettering, repairing or | 0012| otherwise improving joint water facilities, sewer facilities, | 0013| gas facilities or electric facilities or for any combination | 0014| of the foregoing purposes. The municipality may pledge | 0015| irrevocably any or all of the net revenues from the operation | 0016| of these municipal utilities for the payment of the interest | 0017| on and principal of the bonds. These bonds are sometimes | 0018| referred to in Chapter 3, Article 31 NMSA 1978 as "joint | 0019| utility revenue bonds" or "joint utility bonds". | 0020| C. For the purposes of this subsection, "gross | 0021| receipts tax revenue bonds" means gross receipts tax revenue | 0022| bonds or sales tax revenue bonds. Gross receipts tax revenue | 0023| bonds may be issued for any one or more of the following | 0024| purposes: | 0025| (1) constructing, purchasing, furnishing, | - 7 - 0001| equipping, rehabilitating, making additions to or making | 0002| improvements to one or more public buildings or purchasing or | 0003| improving any ground relating thereto, including but not | 0004| necessarily limited to acquiring and improving parking lots, | 0005| or any combination of the foregoing; | 0006| (2) acquiring or improving municipal or | 0007| public parking lots, structures or facilities or any | 0008| combination of the foregoing; | 0009| (3) purchasing, acquiring or rehabilitating | 0010| fire-fighting equipment or any combination of the foregoing; | 0011| (4) acquiring, extending, enlarging, | 0012| bettering, repairing, otherwise improving or maintaining storm | 0013| sewers and other drainage improvements, sanitary sewers, | 0014| sewage treatment plants or water utilities, including but not | 0015| necessarily limited to the acquisition of rights of way and | 0016| water and water rights, or any combination of the foregoing; | 0017| (5) reconstructing, resurfacing, maintaining, | 0018| repairing or otherwise improving existing alleys, streets, | 0019| roads or bridges or any combination of the foregoing or laying | 0020| off, opening, constructing or otherwise acquiring new alleys, | 0021| streets, roads or bridges or any combination of the foregoing; | 0022| provided that any of the foregoing improvements may include | 0023| but are not limited to the acquisition of rights of way; | 0024| (6) purchasing, acquiring, constructing, | 0025| making additions to, enlarging, bettering, extending or | - 8 - 0001| equipping any airport facilities or any combination of the | 0002| foregoing, including without limitation the acquisition of | 0003| land, easements or rights of way therefor; | 0004| (7) purchasing or otherwise acquiring or | 0005| clearing land or for purchasing, otherwise acquiring and | 0006| beautifying land for open space; | 0007| (8) acquiring, constructing, purchasing, | 0008| equipping, furnishing, making additions to, renovating, | 0009| rehabilitating, beautifying or otherwise improving public | 0010| parks, public recreational buildings or other public | 0011| recreational facilities or any combination of the foregoing; | 0012| and | 0013| (9) acquiring, constructing, extending, | 0014| enlarging, bettering, repairing, otherwise improving or | 0015| maintaining solid waste disposal equipment, equipment for | 0016| operation and maintenance of sanitary landfills, sanitary | 0017| landfills, solid waste facilities or any combination of the | 0018| foregoing. | 0019| The municipality may pledge irrevocably any or all of the | 0020| gross receipts tax revenue received by the municipality | 0021| pursuant to Section 7-1-6.4 |or| 7-1-6.12 ~[or 7-19A-6]~ NMSA | 0022| 1978 ~[or pursuant to the Municipal Infrastructure Gross | 0023| Receipts Tax Act]~ to the payment of the interest on and | 0024| principal of the gross receipts tax revenue bonds for any of | 0025| the purposes authorized in this section or for specific | - 9 - 0001| purposes or for any area of municipal government services, | 0002| including but not limited to those specified in Subsection | 0003| ~[B]~ |C| of Section 7-19D-9 NMSA 1978, or for public purposes | 0004| authorized by municipalities having constitutional home-rule | 0005| charters. Any law that imposes or authorizes the imposition | 0006| of a municipal gross receipts tax or that affects the | 0007| municipal gross receipts tax, or any law supplemental thereto | 0008| or otherwise appertaining thereto, shall not be repealed or | 0009| amended or otherwise directly or indirectly modified in such a | 0010| manner as to impair adversely any outstanding revenue bonds | 0011| that may be secured by a pledge of such municipal gross | 0012| receipts tax unless ~[such]~ |the| outstanding revenue bonds | 0013| have been discharged in full or provision has been fully made | 0014| therefor. | 0015| D. As used in this section, the term "public | 0016| building" includes but is not limited to fire stations, police | 0017| buildings, jails, libraries, museums, auditoriums, convention | 0018| halls, hospitals, buildings for administrative offices, city | 0019| halls and garages for housing, repairing and maintaining city | 0020| vehicles and equipment. As used in Chapter 3, Article 31 NMSA | 0021| 1978, the term "gross receipts tax revenue bonds" means the | 0022| bonds authorized in Subsection C of this section, and the term | 0023| "gross receipts tax revenue" means the amount of money | 0024| distributed to the municipality as authorized by Section | 0025| 7-1-6.4 NMSA 1978 or the amount of money transferred to the | - 10 - 0001| municipality as authorized by Section 7-1-6.12 NMSA 1978 for | 0002| any municipal gross receipts tax imposed pursuant to ~[Section | 0003| 7-19-4]~ |Sections 7-19D-9 and 7-19D-11| NMSA 1978. As used | 0004| in Chapter 3, Article 31 NMSA 1978, the term "bond" means any | 0005| obligation of a municipality issued under Chapter 3, Article | 0006| 31 NMSA 1978, whether designated as a bond, note, loan, | 0007| warrant, debenture, lease-purchase agreement or other | 0008| instrument evidencing an obligation of a municipality to make | 0009| payments. | 0010| E. Gasoline tax revenue bonds may be issued for | 0011| laying off, opening, constructing, reconstructing, | 0012| resurfacing, maintaining, acquiring rights of way, repairing | 0013| and otherwise improving municipal buildings, alleys, streets, | 0014| public roads and bridges or any combination of the foregoing | 0015| purposes. The municipality may pledge irrevocably any or all | 0016| of the gasoline tax revenue received by the municipality to | 0017| the payment of the interest on and principal of the gasoline | 0018| tax revenue bonds. As used in Chapter 3, Article 31 NMSA | 0019| 1978, "gasoline tax revenue bonds" means the bonds authorized | 0020| in this subsection, and "gasoline tax revenue" means all or | 0021| portions of the amounts of tax revenues distributed to | 0022| municipalities pursuant to Sections 7-1-6.9 ~[7-1-6.14]~ and | 0023| 7-1-6.27 NMSA 1978, as from time to time amended and | 0024| supplemented. | 0025| F. Project revenue bonds may be issued for | - 11 - 0001| acquiring, extending, enlarging, bettering, repairing, | 0002| improving, constructing, purchasing, furnishing, equipping and | 0003| rehabilitating any revenue producing project, including, where | 0004| applicable, purchasing, otherwise acquiring or improving the | 0005| ground therefor, including but not necessarily limited to | 0006| acquiring and improving parking lots, or for any combination | 0007| of the foregoing purposes. The municipality may pledge | 0008| irrevocably any or all of the net revenues from the operation | 0009| of the revenue producing project for which the particular | 0010| project revenue bonds are issued to the payment of the | 0011| interest on and principal of ~[such]~ |the| project revenue | 0012| bonds. The net revenues of any revenue producing project may | 0013| not be pledged to the project revenue bonds issued for any | 0014| revenue producing project that clearly is unrelated in nature; | 0015| but nothing in this subsection shall prevent the pledge to any | 0016| of such project revenue bonds of any such revenues received | 0017| from any existing, future or disconnected facilities and | 0018| equipment that are related to and that may constitute a part | 0019| of the particular revenue producing project. Any general | 0020| determination by the governing body that any facilities or | 0021| equipment is reasonably related to and shall constitute a part | 0022| of a specified revenue producing project shall be conclusive | 0023| if set forth in the proceedings authorizing such project | 0024| revenue bonds. As used in Chapter 3, Article 31 NMSA 1978: | 0025| (1) "project revenue bonds" means the bonds | - 12 - 0001| authorized in this subsection; and | 0002| (2) "project revenues" means the net revenues | 0003| of revenue producing projects that may be pledged to project | 0004| revenue bonds pursuant to this subsection. | 0005| G. Fire district revenue bonds may be issued for | 0006| acquiring, extending, enlarging, bettering, repairing, | 0007| improving, constructing, purchasing, furnishing, equipping and | 0008| rehabilitating any fire district project, including, where | 0009| applicable, purchasing, otherwise acquiring or improving the | 0010| ground therefor, or for any combination of the foregoing | 0011| purposes. The municipality may pledge irrevocably any or all | 0012| of the revenues received by the fire district from the fire | 0013| protection fund as provided in Sections 59A-53-1 through | 0014| 59A-53-17 NMSA 1978 and any or all of the revenues provided | 0015| for the operation of the fire district project for which the | 0016| particular bonds are issued to the payment of the interest on | 0017| and principal of such bonds. The revenues of any fire | 0018| district project shall not be pledged to the bonds issued for | 0019| any fire district project that clearly is unrelated in its | 0020| purpose; but nothing in this section shall prevent the pledge | 0021| to any such bonds of any such revenues received from any | 0022| existing, future or disconnected facilities and equipment that | 0023| are related to and that may constitute a part of the | 0024| particular fire district project. Any general determination | 0025| by the governing body of the municipality that any facilities | - 13 - 0001| or equipment are reasonably related to and shall constitute a | 0002| part of a specified fire district project shall be conclusive | 0003| if set forth in the proceedings authorizing such fire district | 0004| bonds. | 0005| H. Law enforcement protection revenue bonds may be | 0006| issued for the repair and purchase of law enforcement | 0007| apparatus and equipment that meet nationally recognized | 0008| standards. The municipality may pledge irrevocably any or all | 0009| of the revenues received by the municipality from the law | 0010| enforcement protection fund distributions pursuant to | 0011| ~[Sections 29-13-1 through 29-13-9 NMSA 1978]~ |the Law | 0012| Enforcement Protection Fund Act| to the payment of the | 0013| interest on and principal of the law enforcement protection | 0014| revenue bonds. | 0015| |I. Municipal capital improvements gross receipts | 0016| tax revenue bonds may be issued for any municipal capital | 0017| improvement project authorized for gross receipts tax revenue | 0018| bonds pursuant to Subsection C of this section, subject to the | 0019| following provisions: | 0020| | |(1) the municipality shall pledge | 0021| irrevocably all of the revenue received from the municipal | 0022| capital improvements gross receipts tax and may pledge | 0023| irrevocably any or all of the gross receipts tax revenue | 0024| received by the municipality pursuant to Section 7-1-6.4 or 7- | 0025| 1-6.12 NMSA 1978 to the payment of the interest on and | - 14 - 0001| principal of the municipal capital improvements gross receipts | 0002| tax revenue bonds for any of the purposes authorized in this | 0003| subsection; | 0004| | |(2) municipal capital improvements gross | 0005| receipts tax revenues in excess of the annual principal and | 0006| interest due on bonds secured by a pledge of the tax may be | 0007| accumulated in a debt service reserve account until an amount | 0008| equal to the maximum amount permitted pursuant to the | 0009| provisions of the United States treasury regulations is | 0010| accumulated in the debt service reserve account. After the | 0011| debt service reserve account requirements have been met, the | 0012| excess revenue shall be accumulated in an extraordinary | 0013| mandatory redemption fund and annually used to redeem the | 0014| bonds prior to their stated maturity date; | 0015| | |(3) a law that imposes or authorizes the | 0016| imposition of a municipal capital improvements gross receipts | 0017| tax, or a law supplemental to or otherwise pertaining to the | 0018| tax, shall not be repealed or amended or otherwise directly or | 0019| indirectly modified in such a manner as to impair adversely | 0020| any outstanding revenue bonds that may be secured by a pledge | 0021| of the municipal capital improvements gross receipts tax | 0022| unless the outstanding revenue bonds have been discharged in | 0023| full or provision has been fully made for their discharge; | 0024| | |(4) the governing body of the municipality | 0025| may appoint a commercial bank trust department to act as | - 15 - 0001| trustee of the proceeds of the tax and to administer the | 0002| payment of principal of and interest on the bonds and to | 0003| redeem the bonds from the excess revenues deposited in the | 0004| extraordinary mandatory redemption fund; and | 0005| | |(5) as used in Chapter 3, Article 31 NMSA | 0006| 1978, "municipal capital improvements gross receipts tax | 0007| revenue bonds" means the bonds authorized in this subsection, | 0008| and "municipal capital improvements gross receipts tax | 0009| revenue" means all of the revenue from the municipal capital | 0010| improvements gross receipts tax transferred to the | 0011| municipality pursuant to Section 7-1-6.12 NMSA 1978. | 0012| | ~[I.]~ |J.| Except for the purpose of refunding | 0013| previous revenue bond issues, no municipality may sell revenue | 0014| bonds payable from pledged revenues after the expiration of | 0015| two years from the date of the ordinance authorizing the | 0016| issuance of the bonds or, for bonds to be issued and sold to | 0017| the New Mexico finance authority as authorized in Subsection C | 0018| of Section 3-31-4 NMSA 1978, after the expiration of two years | 0019| from the date of the resolution authorizing the issuance of | 0020| the bonds. However, any period of time during which a | 0021| particular revenue bond issue is in litigation shall not be | 0022| counted in determining the expiration date of that issue." | 0023| Section 4. Section 4-62-1 NMSA 1978 (being Laws 1992, | 0024| Chapter 95, Section 1, as amended) is amended to read: | 0025| "4-62-1. REVENUE BONDS--AUTHORITY TO ISSUE--PLEDGE OF | - 16 - 0001| REVENUES--LIMITATION ON TIME OF ISSUANCE.-- | 0002| A. In addition to any other law authorizing a | 0003| county to issue revenue bonds, a county may issue revenue | 0004| bonds pursuant to Chapter 4, Article 62 NMSA 1978 for the | 0005| purposes specified in this section. The term "pledged | 0006| revenues", as used in Chapter 4, Article 62 NMSA 1978, means | 0007| the revenues, net income or net revenues authorized to be | 0008| pledged to the payment of particular revenue bonds as | 0009| specifically provided in Subsections B through ~[J]~ |K| of | 0010| this section. | 0011| B. Gross receipts tax revenue bonds may be issued | 0012| for ~[any]~ one or more of the following purposes: | 0013| (1) constructing, purchasing, furnishing, | 0014| equipping, rehabilitating, making additions to or making | 0015| improvements to one or more public buildings or purchasing or | 0016| improving any ground relating thereto, including but not | 0017| necessarily limited to acquiring and improving parking lots, | 0018| or any combination of the foregoing; | 0019| (2) acquiring or improving county or public | 0020| parking lots, structures or facilities or any combination of | 0021| the foregoing; | 0022| (3) purchasing, acquiring or rehabilitating | 0023| firefighting equipment or any combination of the foregoing; | 0024| (4) acquiring, extending, enlarging, | 0025| bettering, repairing, otherwise improving or maintaining storm | - 17 - 0001| sewers and other drainage improvements, sanitary sewers, | 0002| sewage treatment plants or water utilities, including but not | 0003| limited to the acquisition of rights of way and water and | 0004| water rights or any combination of the foregoing; | 0005| (5) reconstructing, resurfacing, maintaining, | 0006| repairing or otherwise improving existing alleys, streets, | 0007| roads or bridges or any combination of the foregoing or laying | 0008| off, opening, constructing or otherwise acquiring new alleys, | 0009| streets, roads or bridges or any combination of the foregoing; | 0010| provided that any of the foregoing improvements may include | 0011| the acquisition of rights of way; | 0012| (6) purchasing, acquiring, constructing, | 0013| making additions to, enlarging, bettering, extending or | 0014| equipping airport facilities or any combination of the | 0015| foregoing, including without limitation the acquisition of | 0016| land, easements or rights of way; | 0017| (7) purchasing or otherwise acquiring or | 0018| clearing land or purchasing, otherwise acquiring and | 0019| beautifying land for open space; | 0020| (8) acquiring, constructing, purchasing, | 0021| equipping, furnishing, making additions to, renovating, | 0022| rehabilitating, beautifying or otherwise improving public | 0023| parks, public recreational buildings or other public | 0024| recreational facilities or any combination of the foregoing; | 0025| or | - 18 - 0001| (9) acquiring, constructing, extending, | 0002| enlarging, bettering, repairing or otherwise improving or | 0003| maintaining solid waste disposal equipment, equipment for | 0004| operation and maintenance of sanitary landfills, sanitary | 0005| landfills, solid waste facilities or any combination of the | 0006| foregoing. | 0007| A county may pledge irrevocably any or all of the revenue | 0008| from the first one-eighth of one percent increment of the | 0009| county gross receipts tax for payment of principal and | 0010| interest due in connection with, and other expenses related | 0011| to, gross receipts tax revenue bonds for any of the purposes | 0012| authorized in this section or specific purposes or for any | 0013| area of county government services. If the county gross | 0014| receipts tax revenue from the first one-eighth of one percent | 0015| increment of the county gross receipts tax is pledged for | 0016| payment of principal and interest as authorized by this | 0017| subsection, the pledge shall require the revenues received | 0018| from that increment of the county gross receipts tax to be | 0019| deposited into a special bond fund for payment of the | 0020| principal, interest and expenses. At the end of each fiscal | 0021| year, any money remaining in the special bond fund after the | 0022| annual obligations for the bonds are fully met may be | 0023| transferred to any other fund of the county. | 0024| C. Fire protection revenue bonds may be issued for | 0025| acquiring, extending, enlarging, bettering, repairing, | - 19 - 0001| improving, constructing, purchasing, furnishing, equipping or | 0002| rehabilitating any independent fire district project or | 0003| facilities, including, where applicable, purchasing, otherwise | 0004| acquiring or improving the ground for the project or any | 0005| combination of such purposes. A county may pledge irrevocably | 0006| any or all of the county fire protection excise tax revenue | 0007| for payment of principal and interest due in connection with, | 0008| and other expenses related to, fire protection revenue bonds. | 0009| These bonds may be referred to in Chapter 4, Article 62 NMSA | 0010| 1978 as "fire protection revenue bonds". | 0011| D. Environmental revenue bonds may be issued for | 0012| the acquisition and construction of solid waste facilities, | 0013| water facilities, wastewater facilities, sewer systems and | 0014| related facilities. A county may pledge irrevocably any or | 0015| all of the county environmental services gross receipts tax | 0016| revenue for payment of principal and interest due in | 0017| connection with, and other expenses related to, environmental | 0018| revenue bonds. These bonds may be referred to in Chapter 4, | 0019| Article 62 NMSA 1978 as "environmental revenue bonds". | 0020| E. Gasoline tax revenue bonds may be issued for the | 0021| acquisition of rights of way for and the construction, | 0022| reconstruction, resurfacing, maintenance, repair or other | 0023| improvement of county roads and bridges. A county may pledge | 0024| irrevocably any or all of the county gasoline tax revenue for | 0025| payment of principal and interest due in connection with, and | - 20 - 0001| other expenses related to, county gasoline tax revenue bonds. | 0002| These bonds may be referred to in Chapter 4, Article 62 NMSA | 0003| 1978 as "gasoline tax revenue bonds". | 0004| F. Utility revenue bonds or joint utility revenue | 0005| bonds may be issued for acquiring, extending, enlarging, | 0006| bettering, repairing or otherwise improving water facilities, | 0007| sewer facilities, gas facilities or electric facilities or for | 0008| any combination of the foregoing purposes. A county may | 0009| pledge irrevocably any or all of the net revenues from the | 0010| operation of the utility or joint utility for which the | 0011| particular utility or joint utility bonds are issued to the | 0012| payment of principal and interest due in connection with, and | 0013| other expenses related to, utility or joint utility revenue | 0014| bonds. These bonds may be referred to in Chapter 4, Article | 0015| 62 NMSA 1978 as "utility revenue bonds" or "joint utility | 0016| revenue bonds". | 0017| G. Project revenue bonds may be issued for | 0018| acquiring, extending, enlarging, bettering, repairing, | 0019| improving, constructing, purchasing, furnishing, equipping or | 0020| rehabilitating any revenue-producing project, including, as | 0021| applicable, purchasing, otherwise acquiring or improving the | 0022| ground therefor and including but not limited to acquiring and | 0023| improving parking lots, or may be issued for any combination | 0024| of the foregoing purposes. The county may pledge irrevocably | 0025| any or all of the net revenues from the operation of the | - 21 - 0001| revenue-producing project for which the particular project | 0002| revenue bonds are issued to the payment of the interest on and | 0003| principal of the project revenue bonds. The net revenues of | 0004| any revenue-producing project may not be pledged to the | 0005| project revenue bonds issued for any other revenue-producing | 0006| project that is clearly unrelated in nature; but nothing in | 0007| this subsection prevents the pledge to any of the project | 0008| revenue bonds of any revenues received from any existing, | 0009| future or disconnected facilities and equipment that are | 0010| related to and that may constitute a part of the particular | 0011| revenue-producing project. A general determination by the | 0012| governing body that facilities or equipment are reasonably | 0013| related to and constitute a part of a specified revenue- | 0014| producing project shall be conclusive if set forth in the | 0015| proceedings authorizing the project revenue bonds. As used in | 0016| Chapter 4, Article 62 NMSA 1978: | 0017| (1) "project revenue bonds" means the bonds | 0018| authorized in this subsection; and | 0019| (2) "project revenues" means the net revenues | 0020| of revenue-producing projects that may be pledged to project | 0021| revenue bonds pursuant to this subsection. | 0022| H. Fire district revenue bonds may be issued for | 0023| acquiring, extending, enlarging, bettering, repairing, | 0024| improving, constructing, purchasing, furnishing, equipping and | 0025| rehabilitating any fire district project, including, where | - 22 - 0001| applicable, purchasing, otherwise acquiring or improving the | 0002| ground therefor, or for any combination of the foregoing | 0003| purposes. The county may pledge irrevocably any or all of the | 0004| revenues received by the fire district from the fire | 0005| protection fund as provided in Sections 59A-53-1 through | 0006| 59A-53-17 NMSA 1978 and any or all of the revenues provided | 0007| for the operation of the fire district project for which the | 0008| particular bonds are issued to the payment of the interest on | 0009| and principal of such bonds. The revenues of a fire district | 0010| project shall not be pledged to the bonds issued for a fire | 0011| district project that clearly is unrelated in its purpose; but | 0012| nothing in this section shall prevent the pledge to any of | 0013| such bonds of any such revenues received from any existing, | 0014| future or ~[of]~ disconnected facilities and equipment that | 0015| are related to and that may constitute a part of the | 0016| particular fire district project. A general determination by | 0017| the governing body of the county that facilities or equipment | 0018| are reasonably related to and constitute a part of a specified | 0019| fire district project shall be conclusive if set forth in the | 0020| proceedings authorizing the fire district bonds. | 0021| I. Law enforcement protection revenue bonds may be | 0022| issued for the repair and purchase of law enforcement | 0023| apparatus and equipment that meet nationally recognized | 0024| standards. The county may pledge irrevocably any or all of | 0025| the revenues received by the county from the law enforcement | - 23 - 0001| protection fund distributions pursuant to ~[Sections 29-13-1 | 0002| through 29-13-9 NMSA 1978]~ |the Law Enforcement Protection | 0003| Fund Act| to the payment of the interest on and principal of | 0004| the law enforcement protection revenue bonds. | 0005| J. Hospital emergency gross receipts tax revenue | 0006| bonds may be issued for acquisition, equipping, remodeling or | 0007| improvement of a county hospital facility. A county may | 0008| pledge irrevocably, to the payment of the interest on and | 0009| principal of the hospital emergency gross receipts tax revenue | 0010| bonds, any or all of the revenues received by the county from | 0011| a county hospital emergency gross receipts tax imposed | 0012| pursuant to Section 7-20E-12.1 NMSA 1978 and dedicated to | 0013| payment of bonds or a loan for acquisition, equipping, | 0014| remodeling or improvement of a county hospital facility. | 0015| |K. County capital improvements gross receipts tax | 0016| revenue bonds may be issued for any county capital improvement | 0017| project authorized for gross receipts tax revenue bonds | 0018| pursuant to Subsection B of this section. The county shall | 0019| pledge irrevocably all of the revenue received from the county | 0020| capital improvements gross receipts tax and may pledge | 0021| irrevocably any or all of the revenue from the first one- | 0022| eighth of one percent increment of the county gross receipts | 0023| tax to the payment of the interest on and principal of the | 0024| county capital improvements gross receipts tax revenue bonds | 0025| for any of the purposes authorized in this subsection. County | - 24 - 0001| capital improvements gross receipts tax revenues in excess of | 0002| the annual principal and interest due on bonds secured by a | 0003| pledge of the tax may be accumulated in a debt service reserve | 0004| account until an amount equal to the maximum amount permitted | 0005| pursuant to the provisions of the United States treasury | 0006| regulations is accumulated in the debt service reserve | 0007| account. After the debt service reserve account requirements | 0008| have been met, the excess revenue shall be accumulated in an | 0009| extraordinary mandatory redemption fund and annually used to | 0010| redeem the bonds prior to their stated maturity date. The | 0011| governing body of the county may appoint a commercial bank | 0012| trust department to act as trustee of the proceeds of the tax | 0013| and to administer the payment of principal of and interest on | 0014| the bonds and redeem the bonds from the excess revenues | 0015| deposited in the extraordinary mandatory redemption fund. | 0016| | ~[K.]~ |L.| Except for the purpose of refunding | 0017| previous revenue bond issues, no county may sell revenue bonds | 0018| payable from pledged revenue after the expiration of two years | 0019| from the date of the ordinance authorizing the issuance of the | 0020| bonds or, for bonds to be issued and sold to the New Mexico | 0021| finance authority as authorized in Subsection C of Section | 0022| 4-62-4 NMSA 1978, after the expiration of two years from the | 0023| date of the resolution authorizing the issuance of the bonds. | 0024| However, any period of time during which a particular revenue | 0025| bond issue is in litigation shall not be counted in | - 25 - 0001| determining the expiration date of that issue. | 0002| ~[L.]~ |M.| No bonds may be issued by a county, | 0003| other than an H class county, a class B county as defined in | 0004| Section 4-36-8 NMSA 1978 or a class A county as described in | 0005| Section 4-36-10 NMSA 1978, to acquire, equip, extend, enlarge, | 0006| better, repair or construct any utility unless the utility is | 0007| regulated by the New Mexico public utility commission pursuant | 0008| to the Public Utility Act and the issuance of the bonds is | 0009| approved by the commission. For purposes of Chapter 4, | 0010| Article 62 NMSA 1978, a "utility" includes but is not limited | 0011| to any water, wastewater, sewer, gas or electric utility or | 0012| joint utility serving the public. H class counties shall | 0013| obtain New Mexico public utility commission approvals required | 0014| by Section 3-23-3 NMSA 1978. | 0015| ~[M.]~ |N.| Any law that imposes or authorizes the | 0016| imposition of a county gross receipts tax, |a county capital | 0017| improvements gross receipts tax|, a county environmental | 0018| services gross receipts tax, a county fire protection excise | 0019| tax, the gasoline tax or the county hospital emergency gross | 0020| receipts tax, or that affects any of those taxes, shall not be | 0021| repealed or amended in such a manner as to impair any | 0022| outstanding revenue bonds that are issued pursuant to Chapter | 0023| 4, Article 62 NMSA 1978 and that may be secured by a pledge of | 0024| those taxes unless the outstanding revenue bonds have been | 0025| discharged in full or provision has been fully made therefor. | - 26 - 0001| ~[N.]~ |O.| As used in this section: | 0002| |(1) "county capital improvements gross | 0003| receipts tax revenue" means the revenue from the county | 0004| capital improvements gross receipts tax transferred to the | 0005| county pursuant to Section 7-1-6.13 NMSA 1978|; | 0006| ~[(1)]~ |(2)| "county environmental services | 0007| gross receipts tax revenue" means the revenue from the county | 0008| environmental services gross receipts tax transferred to the | 0009| county pursuant to Section 7-1-6.13 NMSA 1978; | 0010| ~[(2)]~ |(3)| "county fire protection excise | 0011| tax revenue" means the revenue from the county fire protection | 0012| excise tax transferred to the county pursuant to Section | 0013| 7-1-6.13 NMSA 1978; | 0014| ~[(3)]~ |(4)| "county gross receipts tax | 0015| revenue" means the revenue attributable to the first one- | 0016| eighth of one percent increment of the county gross receipts | 0017| tax transferred to the county pursuant to Section 7-1-6.13 | 0018| NMSA 1978 and any distribution related to the first one-eighth | 0019| of one percent made pursuant to Section 7-1-6.16 NMSA 1978; | 0020| ~[(4)]~ |(5)| "gasoline tax revenue" means | 0021| the revenue from that portion of the gasoline tax distributed | 0022| to the county pursuant to Sections 7-1-6.9 and 7-1-6.26 NMSA | 0023| 1978; and | 0024| ~[(5)]~ |(6)| "public building" includes but | 0025| is not limited to fire stations, police buildings, jails, | - 27 - 0001| libraries, museums, auditoriums, convention halls, hospitals, | 0002| buildings for administrative offices, courthouses and garages | 0003| for housing, repairing and maintaining county vehicles and | 0004| equipment. | 0005| ~[O.]~ |P.| As used in Chapter 4, Article 62 NMSA | 0006| 1978, the term "bond" means any obligation of a county issued | 0007| under Chapter 4, Article 62 NMSA 1978, whether designated as a | 0008| bond, note, loan, warrant, debenture, lease-purchase agreement | 0009| or other instrument evidencing an obligation of a county to | 0010| make payments." | 0011|  |