Hasta Luego – Until We Meet Again

(We Know Where, But We Don’t Know When)

The Second Session of the 48^th Legislature glided to a close on noon, February 14 – Valentine’s Day. But the mood was not all hearts and flowers, depending on who you talked to. Legislators crafted a $6 billion state budget and sent it to the Governor. However, they did not send the Governor what he specifically asked for – a health care package that was the Governor’s main legislative item for the 30-day session. The Governor immediately said he would call a special session to deal primarily with the health care issue, but no date has been set yet.

Several League priority bills saw action during the short session.

Minimum Wage

Senate Bill 66, introduced by Senate President Pro Tem Tim Jennings, addresses a portion of the New Mexico Minimum Wage Act that could have potentially cost the state and municipalities millions of dollars. The bill authorizes the state and political subdivisions to use federal Fair Labor Standards Act guidelines in scheduling certain employee groups such as police, fire and detention facility employees who have work periods that are different from the standard 40-hour work week. The bill passed both houses in two days and was the first bill signed by the Governor during this legislative session. Passage of this bill and its signing was a truly bipartisan effort to address a serious statewide issue. The League congratulates everyone who worked so hard to make this happen.

Capital Outlay Gross Receipts Tax

House Bill 24, introduced by Representative Roberto “Bobby” Gonzales, would have allowed municipalities and counties to enact the Capital Outlay Gross Receipts Tax increment without first having to impose any other GRT increments. Simply put: “Why require local governments to impose a tax to get a tax?” The bill passed the House on a 56-1 vote but ultimately failed in the Senate 10 minutes before noon on the session’s last day by a vote of 19-21. The League thanks Representative Gonzales for introducing this League priority legislation.

Income Tax/GRT Trade

Representative Jose Campos, who is also Mayor of Santa Rosa, introduced House Bill 111, which would have authorized municipalities to trade a part of the Gross Receipts Tax distributed to municipalities for a portion of the state income tax. This has been a League priority for several years and is seen as a way to stabilize municipal revenue flows. The bill received a Do Pass recommendation from the House Business and Industry Committee and then went to House Taxation and Revenue Committee where it received a hearing but was ultimately tabled. Many thanks to Representative Campos for introducing this legislation.

Police/EMS Funding

Two bills were introduced that increased distributions to the Law Enforcement Protection Fund and the Emergency Medical Services Fund. Senate Bill 20, introduced by Senator Diane Snyder, would have increased distributions to local police departments from the Law Enforcement Protection Fund. Senate Bill 50, introduced by Senator Carlos Cisneros, would have increased distributions to the Emergency Medical Services Fund. Senate Bill 20 received a Do Pass recommendation from the Senate Judiciary Committee and then went to Senate Finance, and Senate Bill 50 received a Do Pass recommendation from the Senate Public Affairs Committee and then it also went to Senate Finance. These bills were held in Senate Finance while discussions occurred as to the best funding source for the two programs. It was agreed to work during the interim to refine the funding mechanism for these programs. Thanks to Senators Snyder and Cisneros for their efforts.

Municipal Property Tax Transfer

Senate Bill 160, introduced by Senator John Grubesic, would have prohibited a municipality from enacting a local option real estate transfer tax. The League opposed this measure. The bill passed the Senate on a 34-3 vote and was sent to the House Business and Industry Committee, where it died on a 6-6 split vote.

Firefighter Disease Causation Rebuttal

House Bill 607, introduced by House Majority Whip Sheryl Williams Stapleton, was dropped into the hopper on the deadline date for bill introductions. The bill, as introduced, stated that for workers’ compensation, occupational disease matters and PERA, a disease diagnosed in a firefighter is presumed to be caused by the employment of the firefighter, unless the firefighter was diagnosed prior to employment. The bill had a list of 25 specific diseases, including several cancers and heart disease. It also had a section that allows the Secretary of Workforce Development to determine any uncommon infectious disease to be covered under the bill. After several amendments in House Labor and Human Resources Committee, the bill went to House Judiciary Committee where it remained. Parties involved with the bill have agreed to meet during the coming year to discuss issues contained in the measure.

Capital Outlay

As of press time, 2008 Capital Outlay remains a big question mark. House Bill 43, the Capital Outlay bill, was passed by both houses and sent to the Governor. The bill, containing approximately $350 million in capital outlay projects, was vetoed by the Governor, who said he did not have enough time to review all the projects in the bill before his deadline. The House, on the last day of the session, sent the Governor Senate Bill 471, an identical measure to the earlier House bill. The Governor has until March 5 to take action on this and the other 106 bills delivered to his office.

School & Municipal Elections

Senate Joint Resolution 4, introduced by Senate Majority Leader Michael Sanchez, would allow school board elections to be held at the same time as other non-partisan elections. It prohibits school board elections to be held with partisan elections. The bill passed both houses and will be on the ballot at the November general election.

The League wants to thank the Senators, Representatives, the Governor and his office, staffs and League members for their help and efforts during this legislature.

Some Statistics

During this year’s 30-day session, there were a total of 1,268 regular bills introduced: 684 in the House and 584 in the Senate. The House introduced 33 Joint Memorials, 69 Memorials, 14 Joint Resolutions, 3 Resolutions and one Concurrent Resolution. In the Senate, there were 46 Joint Memorials, 66 Memorials, 18 Joint Resolutions, one Resolution and two Concurrent Resolutions. Add them all up and you have a grand total of 1,521 pieces of legislation introduced. One hundred-seven bills have been sent to the Governor for his action, or 8.43 % of the regular bills introduced during the session. The Governor has until noon, March 5, 2008 to act on the legislation. Remember, all appropriations bills, including Capital Outlay projects, are subject to the Governor’s line-item veto power.