New Mexico SB 440: PUBLIC PEACE, HEALTH, SAFETY & WELFARE

Bill Text

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SENATE TAX, BUSINESS AND TRANSPORTATION
COMMITTEE SUBSTITUTE FOR
SENATE BILL 440
55TH LEGISLATURE - STATE OF NEW MEXICO - FIRST SESSION, 2021
AN ACT
RELATING TO THE PUBLIC PEACE, HEALTH, SAFETY AND WELFARE;
AMENDING THE STATEWIDE ECONOMIC DEVELOPMENT FINANCE ACT;
CLARIFYING CERTAIN DEFINITIONS; REMOVING THE REQUIREMENT THAT
THE ECONOMIC DEVELOPMENT DEPARTMENT MAKE CERTAIN
DETERMINATIONS; EXTENDING THE FINANCING ASSISTANCE AND PROJECT
ELIGIBILITY PERMITTED PURSUANT TO THE STATEWIDE ECONOMIC
DEVELOPMENT FINANCE ACT.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
SECTION 1. Section 6-25-3 NMSA 1978 (being Laws 2003,
Chapter 349, Section 3, as amended) is amended to read:
"6-25-3. DEFINITIONS.--As used in the Statewide Economic
Development Finance Act:
A. "authority" means the New Mexico finance
authority;
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B. "department" means the economic development
department;
C. "community development entity" means an entity
designed to take advantage of the federal new markets tax
credit program;
D. "economic development assistance provisions"
means the economic development assistance provisions of
Subsection D of Article 9, Section 14 of the constitution of
New Mexico;
E. "project revenue bonds" means bonds, notes or
other instruments authorized in Section 6-25-7 NMSA 1978 and
issued by the authority pursuant to the Statewide Economic
Development Finance Act on behalf of eligible entities;
F. "economic development goal" means:
(1) assistance to rural and underserved areas
designed to increase business activity, including agricultural
enterprises, such as new or ongoing agricultural projects that
add value to New Mexico agricultural products;
(2) retention and expansion of existing
business, including agricultural enterprises, such as new or
ongoing agricultural projects that add value to New Mexico
agricultural products;
(3) attraction of new business, including
agricultural enterprises, such as new or ongoing agricultural
projects that add value to New Mexico agricultural products; or
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(4) creation and promotion of an environment
suitable for the support of start-up and emerging business,
including agricultural enterprises, such as new or ongoing
agricultural projects that add value to New Mexico agricultural
products within the state;
G. "economic development revolving fund bonds"
means bonds, notes or other instruments payable from the fund
and issued by the authority pursuant to the Statewide Economic
Development Finance Act;
H. "eligible entity" means a for-profit or not-for-
profit business, including an agricultural enterprise, such as
new or ongoing agricultural projects that add value to New
Mexico agricultural products and including a corporation,
limited liability company, partnership or other entity,
[determined by the department to be] engaged in an enterprise
that serves an economic development goal and is suitable for
financing assistance;
I. "federal new markets tax credit program" means
the tax credit program codified as Section 45D of the Internal
Revenue Code of 1986, as that section may be amended or
renumbered, and regulations issued pursuant to that section;
J. "financing assistance" means project revenue
bonds, loans, loan participations, [or] loan guarantees or
other funding provided by the authority to or for eligible
entities pursuant to the Statewide Economic Development Finance
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Act;
K. "fund" means the economic development revolving
fund;
L. "mortgage" means a mortgage, deed of trust or
pledge of any assets as a collateral security;
M. "opt-in agreement" means an agreement entered
into between the department and a qualifying county, a school
district and, if applicable, a qualifying municipality that
provides for county, school district and, if applicable,
municipal approval of a project, subject to compliance with all
local zoning, permitting and other land use rules, and for
payments in lieu of taxes to the qualifying county, school
district and, if applicable, qualifying municipality as
provided by the Statewide Economic Development Finance Act;
N. "payment in lieu of taxes" means the total
annual payment, including any state in-lieu payment, paid as
compensation for the tax impact of a project, in an amount
negotiated and determined in the opt-in agreement between the
department and the qualifying county, the school district and,
if applicable, the qualifying municipality, which payment shall
be distributed to t