2019 New Mexico Statutes
Chapter 6 - Public Finances
Article 21 - Finance Authority
Section 6-21-6.10 - New Mexico finance authority revenue bonds; purpose; appropriation.
A. The authority may issue and sell revenue bonds in compliance with the New Mexico Finance Authority Act in an amount not exceeding two million five hundred thousand dollars ($2,500,000) for the behavioral health capital fund to make loans to eligible entities for capital projects pursuant to the Behavioral Health Capital Funding Act [6-26-1 to 6-26-8 NMSA 1978].
B. The net proceeds from the sale of the bonds are appropriated to the behavioral health capital fund for the purposes described in Subsection A of this section.
C. The authority may issue and sell revenue bonds in compliance with the New Mexico Finance Authority Act in an amount not to exceed five million dollars ($5,000,000) for acquiring land for and planning, designing, constructing and equipping department of health facilities or improvements to those facilities, upon certification from the secretary of health that such projects are needed. The costs associated with issuing the bonds shall be paid from the net proceeds from the sale of the bonds, and the remainder is appropriated to the facilities management division of the general services department for the projects certified pursuant to this subsection.
D. The cigarette tax proceeds distributed to the authority pursuant to Subsection D [C] of Section 7-1-6.11 NMSA 1978:
(1) are appropriated to the authority to be pledged irrevocably for the payment of the principal, interest, premiums and related expenses of the bonds and for payment of the expenses incurred by the authority related to the issuance, sale and administration of the bonds; and
(2) shall be deposited in a separate fund or account of the authority.
E. Any law authorizing the imposition, collection or distribution of the cigarette tax or that affects the cigarette tax shall not be amended, repealed or otherwise directly or indirectly modified so as to impair or reduce debt service coverage for any outstanding revenue bonds that may be secured by a pledge of those cigarette tax revenues, unless the revenue bonds have been discharged in full or provisions have been made for a full discharge.
F. The authority may secure the revenue bonds issued pursuant to this section by a pledge of money in the public project revolving fund with a lien priority on the money in the public project revolving fund as determined by the authority.
History: Laws 2005, ch. 58, § 1; 2016, ch. 75, § 1; 2017, ch. 34, § 1; 2017, ch. 63, § 2.
ANNOTATIONSBracketed material. — The bracketed material was inserted by the compiler and is not part of the law.
In Subsection D, the reference to "Subsection D of Section 7-1-6.11 NMSA 1978" is incorrect as a result of multiple amendments enacted by Laws 2017, ch. 63, § 9 and Laws 2017, ch. 34, § 2. The correct subsection reference is inserted in brackets.
2017 Multiple Amendments. — Laws 2017, ch. 34, § 1, effective February 1, 2018, and Laws 2017, ch. 63, § 2, effective June 16, 2017, enacted different amendments to this section that can be reconciled. Pursuant to 12-1-8 NMSA 1978, Laws 2017, ch. 63, § 2, as the last act signed by the governor, is set out above and incorporates both amendments. The amendments enacted by Laws 2017, ch. 34, § 1 and Laws 2017, ch. 63, § 2 are described below. To view the session laws in their entirety, see the 2017 session laws on NMOneSource.com.
The nature of the difference between the amendments is that Laws 2017, ch. 34, § 1, eliminated a distribution of the cigarette tax to the New Mexico finance authority and made a technical change to conform to amendments to Section 7-1-6.11 NMSA 1978, and Laws 2017, ch. 63, § 2, made technical changes to conform to amendments to Section 7-1-6.11 NMSA 1978.
Laws 2017, ch. 63, § 2, effective June 16, 2017, made technical changes to conform to amendments to Section 7-1-6.11 NMSA 1978; in Subsection C, after "Subsection", deleted "D" and added "B"; and in Subsection E, after "Subsection", deleted "F" and added "D".
Laws 2017, ch. 34, § 1, effective February 1, 2018, eliminated a distribution of the cigarette tax to the New Mexico finance authority; deleted Subsection C and redesignated the succeeding subsections accordingly; and in Subsection D, after "Subsection", deleted "F" and added "C".
Contingent effective date. — Laws 2017, ch. 34, § 3 provided that the provisions of this act is the later of:
A. November 1, 2017; or
B. the first day of the month following the day the chief executive officer of the New Mexico finance authority certifies to the secretary of taxation and revenue, the secretary of finance and administration, the legislative council service and the New Mexico compilation commission that the bonds issued pursuant to Section 6-21-6.10 NMSA 1978 have been discharged in full and the distribution pursuant to Subsection D of Section 7-1-6.11 NMSA 1978 is no longer needed to pay debt service, as that subsection was in effect prior to the effective date of this act.
Pursuant to Laws 2017, ch. 34, § 3, the effective date of Laws 2017, ch. 34, §§ 1 and 2 is February 1, 2018. On January 30, 2018, the New Mexico finance authority certified that the bonds issued pursuant to Section 6-21-6.10 NMSA 1978 have been discharged in full and the distribution pursuant to Subsection D of Section 7-1-6.11 NMSA 1978 is no longer needed to pay debt service.
The 2016 amendment, effective May 18, 2016, authorized the issuance of revenue bonds secured by a pledge of cigarette tax distributions or public project revolving fund money for department of health facilities; in Subsection A, after "The", deleted "New Mexico finance"; in Subsection C, after "distributed to the", deleted "New Mexico finance", after "Section 7-1-6.11 NMSA 1978", added the paragraph designation "(1)", and after "administration of the bonds", added "and"; deleted the subsection designation "D", and in former Subsection D, deleted "the cigarette tax proceeds appropriated and distributed to the authority pursuant to Subsection D of Section 7-1-6.11 NMSA 1978", designated the remaining language of former Subsection D as Paragraph (2) of Subsection C, and in Paragraph (2) of Subsection C, after "account of the authority", added "provided that"; added new Subsections D and E and redesignated former Subsection E as Subsection F; and added new Subsection G.
