I am writing today to announce the closure of the New Mexico Independent. After three and a half years of operation in New Mexico, the board of the American Independent News Network, has decided to shift publication of its news…
While environmental activists played their part yesterday during demonstrations at the capitol building, going so far as to dress up as solar panels and to sing the tune of “You Are My Sunshine,” their counterparts, the anti-cap-and-trade contingency who has…
Roughly one quarter of University of New Mexico students are unimpressed with the state’s flagship public school, according to a survey that questioned college students about their higher education experiences.
Spending on state government would shrink by 3 percent and millions of dollars sunk into stalled brick-and-mortar projects around the state would return to the state’s main budget account under a proposal made public by Gov. Bill Richardson Tuesday afternoon.
Although the governor said in the release that he was open to raising taxes, increasing personal income or capital gains taxes and decreasing business tax incentives or credits are strictly off limits.
The governor’s budget proposal, like the Legislative Finance Committee’s plan released yesterday, is a starting point in a difficult task of closing the state’s budgetary shortfall for the year that starts July 1. New Mexico faces a serious cash shortage, with projected revenues unable to match expenses needed for services due to anemic tax collection. Some have estimated the gap for next year could approach $1 billion, especially if tax collections continue to trail.
All told, Richardson plans to trim state spending by $500 million, which includes making permanent $218 million in temporary spending cuts the Legislature approved in October to address this year’s budgetary shortfall, according to a press release.
He also wants to cut state government an additional $158 million as well as claw back $150 million from the stalled projects around the state. That money would be returned to the state general fund.
But increasing personal income or capital gains taxes and decreasing business tax incentives or credits are strictly off limits.
“We’ve used these tax cuts and incentives to successfully create thousands of jobs in the state, and I will not give up these tools when we need them most,” Richardson said in the release.
Now that the governor’s budget proposal is public, Richardson and state lawmakers will begin the difficult, complex process to arrive at a state budget for next year that will dominate the upcoming legislative session.
The Independent will flesh out more details from the governor’s proposal in the hours ahead as we sift through the 181-page budget recommendation.
