Last-minute shuffles cement state budget deal

It took moving a few million dollars here and putting a few million dollars there, but New Mexico had a budget by the end of Wednesday. A $6.3 billion spending plan is on its way to Gov. Susana Martinez after the Senate and House of Representatives brokered a compromise on slightly different budgets approved by both chambers. The compromise won bipartisan support in the House and Senate, a marked departure from recent years when financial shortfalls led to spending cuts and intensely political clashes over state spending. Meanwhile, a spokeswoman for Gov. Susana Martinez signaled that she would be receptive to the budget. That is different from last year, when she vetoed much of the annual spending plan, at one point threatened a government shutdown and ultimately forced a special session.

Legislature sends governor bill imposing tax on nonprofit lab contractor

Gov. Susana Martinez will have to decide whether to sign a bill designed to prevent the state government, as well as local governments in Northern New Mexico, from losing tax revenue if a nonprofit university takes over management of Los Alamos National Laboratory later this year. That possibility is real, as two Texas universities have submitted bids for the contract. “We stand to lose about $30 million in gross receipts revenue to the state should a nonprofit contractor receive the [operations contract] at the national laboratory in Los Alamos,” Rep. Stephanie Garcia Richard, D-Los Alamos, told the House of Representatives late Tuesday night before it voted 48-19 in favor of the measure, Senate Bill 17. Garcia Richard’s number is consistent with a fiscal impact report by the Legislative Finance Committee, which estimates the state’s gross receipts tax losses at $25 million to $30 million if a nonprofit is chosen to run the lab. Both the University of Texas System Board of Regents and Texas A&M submitted formal bids on the lab management contract in December.

Committee advances bill allowing spaceport to shield some records

A legislative committee gave its backing Wednesday to a bill that would allow Spaceport America to exempt many of its business dealings from New Mexico’s open records law as the state’s major open government advocacy group dropped its opposition to the measure. The publicly owned facility, which cost more than $200 million to construct, has been pushing for the legislation, arguing the bill would allow it to attract more aerospace companies to New Mexico from a highly competitive and secretive industry. And while critics had argued the measure would diminish the public’s oversight of the facility, the New Mexico Foundation for Open Government said it would not oppose a revised version of the bill put forward by a top Republican lawmaker Wednesday evening. “It’s a very difficult balance,” Rep. Nate Gentry, an Albuquerque Republican, told the House Judiciary Committee on Wednesday evening, summing up how lawmakers have been torn this session between arguments for transparency and arguments that the facility already has cost the state too much money to pass up any opportunity to attract business. As a public agency, Spaceport America’s own finances will still be audited.

Democratic Party official says she was harassed by county commissioner

A Democratic county commissioner from southern New Mexico is in more hot water and may have pulled the state party in with him. The Democratic Party of New Mexico’s vice chairwoman said the head of the party encouraged her to stay quiet after she was allegedly sexually harassed by the Doña Ana County Commissioner. DPNM Vice Chairwoman Neomi Martinez-Parra sent a letter to state party Chair Richard Ellenberg on Monday asking that he take “corrective action” against Doña Ana County Commissioner John Vasquez for “inappropriate sexual misconduct.”

In her letter, Martinez-Parra said she previously alerted Ellenberg of her interaction with Vasquez. She also said the chairman implied she should stay quiet as long as the party could convince Vasquez to step down from a local Democratic veterans group. “Furthermore, you and I discussed these issues prior to Mr. Vasquez resigning as the DPNM Veteran’s Caucus Chair,” Martinez-Parra wrote.

No budget deal yet between House, Senate

The Legislature’s two chambers are at odds over a proposed $6.3 billion state budget. Unlike recent years when financial problems prompted rounds of cuts, partisan fights and depleted reserves, the disagreements that emerged Tuesday came down to comparatively minor questions about funding roads. The Senate overwhelmingly approved a spending plan on Tuesday that provides bigger pay raises for state police than a version of the budget passed by the House of Representatives. The Senate version of the budget, approved 40-2 by members of that chamber, also provides millions of dollars in additional funding for the district attorney in Albuquerque and returns some of the money cut from school districts last year. But the Senate also scaled back the amount of money the House had approved for roads.