Financial bonuses for state lottery officials and contractors would be tied to increases in scholarship money available to New Mexico college students under a bill that got unanimous bipartisan approval from a House committee Monday. House Bill 250, sponsored by Rep. Jason Harper, R-Rio Rancho, also would require the state lottery to transfer money from unclaimed cash prizes — usually $2 million to $4 million a year — to the lottery scholarships fund. In addition, the bill would halt a pilot program launched last year in which lottery tickets are sold at self-serve gasoline pumps. Lottery officials launched the program at 13 gas stations — and 100 gas pumps — around the state, despite the fact that a House committee in 2015 killed legislation sought by lottery officials that would have legalized gas pump lottery ticket sales. HB 250 would prohibit all video lottery games connected with fuel pumps or automatic teller machines.
Legal recreational marijuana won’t be coming to New Mexico anytime soon. The House Business and Industry Committee voted 9-1 on Monday to block a bill that would have legalized, taxed and regulated marijuana for adults over 21. The hearing lasted for more than two hours, but it became apparent during the debate that the measure would fail. The bill sponsor, Rep. Bill McCamley, D-Las Cruces, tried to persuade the committee by telling members that marijuana legalization in New Mexico is inevitable. “This is going to happen, whether it’s this year or 10 years from now,” McCamley said.
luInterest rates for many small storefront loans in New Mexico would be capped at 175 percent and required to have a term of at least four months under a bill that got a unanimous recommendation from a House committee Friday. The House Business and Industry Committee gave a positive recommendation to House Bill 347, sponsored by state Rep. Patty Lundstrom, D-Gallup. Earlier this week the committee delayed action on the bill to allow members of the small-loan industry to negotiate a compromise with backers of a bill calling for capping interest rates at 36 percent. However, Dan Najjar, a lobbyist for Axcess Financial, a company specializing in small installment loans, said that while some changes were made to the original version of the bill, the two sides failed to reach a consensus. The committee action represents the latest round in a long-running legislative battle over an industry which is attacked for charging exorbitant interest rates on short-term loans that the lenders say many New Mexicans depend on.
A former state senator who is helping lead the fight against high-interest payday and other small loans said Monday that a bill to cap rates at 36 percent is dead. “The governor would veto it anyway,” former Sen. Steve Fischmann, co-chairman of the New Mexico Fair Lending Coalition said, referring to House Bill 26, sponsored by Rep. Patricia Roybal Caballero, D-Albuquerque. But Fischmann, a Mesilla Park Democrat, said supporters of the bill are in negotiations with certain parts of the industry that are backing another bill aimed at regulating businesses that offer small loans at high interest rates. “I think we are getting close to a deal,” Fischmann said. That bill, HB 347, sponsored by Rep. Patty Lundstrom, D-Gallup, would in effect set maximum interest rates of 175 percent.
Republicans and Democrats on Monday threw their support behind a proposal to collect gross receipts tax from major internet retailers such as Amazon and eBay. Legislators have considered several similar proposals in recent years, but backers of House Bill 202 hope that the state’s budget crisis, a changing legal landscape and bipartisan support will send this measure to Republican Gov. Susana Martinez. She has steadfastly opposed all proposals to raise taxes. But other Republicans who have been similarly wary of anything that sounds like a tax increase said during a meeting of the House Business and Industry Committee that they see the bill as ensuring fairness for small businesses competing with internet companies that do not have to pay the state’s 5 percent gross receipts or local taxes. “It’s really just closing a loophole,” said Rep. Monica Youngblood, R-Albuquerque.