The Line: Governor Martinez Will Call a Special Session

This week on New Mexico in Focus, our line opinion panelists talk about the significance of the upcoming special session and what a capital outlay deal might mean for communities across the state.

Here’s the announcement from Governor Martinez’s office:

SANTA FE, NM – Today, Governor Susana Martinez and leaders of the New Mexico Senate and New Mexico House of Representatives reached agreement on three pieces of legislation to be passed in a special legislative session.

The agreement includes a $295 million capital outlay package that will, among other things, increase funding for senior centers and higher education institutions statewide, fully fund the State’s economic development closing fund, split the funding of major statewide highway projects ($45 million) and highway infrastructure development near Santa Teresa ($8 million) in half between general funds and severance tax bonds. Also funded will be $84 million in local infrastructure projects supported by local government officials around the state, and critical capital outlay projects for state agencies including hospitals, correctional facilities and forest/watershed/river restoration. The bill will also provide critical matching funds for tribal water settlement projects.

Additionally, a package of tax incentives has been agreed to by all parties. The package is designed to help create jobs in New Mexico and would make several changes, including expanding the Angel Investment Credit, restoring the Unreimbursed Medical Expense Tax Deduction claimed by roughly 300,000 New Mexicans each year, allowing companies that house their headquarters in New Mexico to elect single sales factor apportionment, re-enacting the Border Zone Trade-Support Gross Receipts Tax Deduction, establishing the U.S. Department of Defense Energy Gross Receipts Tax Deduction, expanding the Technology Jobs Tax Credit and combining it with the Small Business Research and Development Tax Credit, and clarifying/fixing two provisions relating to the double taxation and loading fees on gasoline or special fuels. Sunset dates would be added to two of the tax provisions, and a tax incentive relating to the establishment of trusts was removed from the version that passed the House of Representatives during the regular session.

Finally, parties have also agreed to allocate $300,000 in supplemental general funds to the Administrative Office of the Courts and $4 million in general supplemental funds to the Department of Health.

The Governor will issue a call for the special session in the coming days that identifies the precise date and time the session will be held. Currently, the expected date of the session is Monday, June 8th.

Full release here

LINE PANELISTS:
Diane Denish, former New Mexico Lieutenant Governor
Tom Garrity, The Garrity Group
Viki Harrison, Common Cause New Mexico
Phil C. Marquez, Talk Radio, Inc.