New Mexico House passes $7.6 billion spending plan

The state House approved a $7.6 billion budget bill Wednesday, after Republicans criticized it and proposed an alternate plan during a floor debate. The House passed House Bill 2, the General Appropriations Act of 2020, by a vote of 46-24 along party lines after a three-hour debate. The spending plan represents a 7.5 percent increase from the current fiscal year, boosting spending in areas such as early childhood education. “Given all the important demands and the new demands, we made great progress,” House Speaker Brian Egolf said in an interview after the vote. “I think this is a budget that shows that we take very seriously the commitment to deliver on education, health care and public safety.”

State budget takes center stage, advancing to full House

A House committee on Monday advanced a $7.6 billion budget plan for next fiscal year, giving Gov. Michelle Lujan Grisham much of the education funding she had asked for yet choosing not to back her marquee free-tuition plan. The House Appropriations and Finance Committee approved House Bill 2 with an increase of $529 million, or 7.5 percent, from the current year’s budget. The bill passed by a vote of 11-5 along party lines, with Republicans decrying the spending level as too high. The bill is expected to be taken up by the full House later this week. 

The House panel found a middle ground between the fiscal year 2021 spending plan proposed by Lujan Grisham and that recommended by a key legislative panel. The governor had called for a $7.68 billion spending plan, while the the Legislative Finance Committee recommended $7.55 billion. 

“It’s been a very good working relationship,” said Rep. Patricia Lundstrom, chairwoman of the committee, speaking of the Governor’s Office.

Spending plan to increase pay for New Mexico’s teachers

A key House budget panel met Saturday to review a spending plan that offers higher K-12 teacher pay raises and more money for early childhood services than suggested by the Legislative Finance Committee. The House Appropriations and Finance Committee reviewed a spending proposal that includes about $61 million more than recommended by the LFC, coming close to midway between Gov. Michelle Lujan Grisham’s and the LFC’s competing budget plans, which featured a $132 million overall difference. A document provided by the Legislative Finance Committee on Saturday shows that House Bill 2 will include $35 million more for public education and $4.7 million more for higher education than the LFC budget. It does not include money for the governor’s Opportunity Scholarship, which would cover public university education for New Mexico residents. State Rep. Patricia Lundstrom, chair of the House Appropriations and Finance Committee, said funding for the scholarship could still be offered in an amendment to House Bill 2 on Monday, when the committee plans to vote on the budget bill.

State looks to address Texas v. New Mexico water case

State leaders looking for a way to address a litigated claim that New Mexico is not providing enough water to Texas under a decades-old compact want funding for a water conservation pilot program south of Elephant Butte. Though the plan remains vague, both Gov. Michelle Lujan Grisham and the Legislative Finance Committee are proposing to support it by allocating funding to the project in the 2021 fiscal year. 

The plan would let water users in the southern part of the state figure out how and when to leave certain areas of their farms unplanted — or fallow — to conserve ground and surface water. 

“It’s the start of a solution to the lack of water resources south of Elephant Butte,” said Senate Majority Leader Peter Wirth, D-Santa Fe, who first announced the plan at a Journey Santa Fe event this month. “It’s critical that the solution comes from the farmers down there.” The Governor’s Office is proposing a $10 million allocation in next year’s budget for a year’s implementation of the pilot program. The LFC’s $30 million proposal takes a three-year approach to the plan, Wirth said.