N.M. Const. art. IX, § 16
Laws enacted by the fifth legislature authorizing the issue and sale of state highway bonds for the purpose of providing funds for the construction and improvement of state highways and to enable the state to meet and secure allotments of federal funds to aid in construction and improvement of roads, and laws so enacted authorizing the issue and sale of state highway debentures to anticipate the collection of revenues from motor vehicle licenses and other revenues provided by law for the state road fund, shall take effect without submitting them to the electors of the state, and notwithstanding that the total indebtedness of the state may thereby temporarily exceed one per centum of the assessed valuation of all the property subject to taxation in the state. Provided, that the total amount of such state highway bonds payable from proceeds of taxes levied on property outstanding at any one time shall not exceed two million dollars [($2,000,000)]. The legislature shall not enact any law which will decrease the amount of the annual revenues pledged for the payment of state highway debentures or which will divert any of such revenues to any other purpose so long as any of the said debentures issued to anticipate the collection thereof remain unpaid. (As added September 20, 1921.)
Bracketed material. — The bracketed material was inserted by the compiler and is not part of the law.
The 1921 amendment to Article IX, which was proposed by H.J.R. No. 25 (Laws 1921) and adopted at a special election held on September 20, 1921, with a vote of 29,267 for and 21,259 against, added this section to the article.
Compiler's notes. — An amendment to this article, proposed by H.J.R. No. 4 (Laws 1990), which would have added a new Section 17 providing that obligations of the state or any political subdivision, agency, or instrumentality of the state, which are payable out of general revenues beyond the then current fiscal year, which are incurred after the effective date of the section and which are contingent upon annual appropriations, were to be incurred subject to the provisions of that section and were not to constitute debt, indebtedness or borrowing under and were not to be subject to the limitations of Sections 8, 10, 11, 12, and 13 of Article 9, was submitted to the people at the general election held on November 6, 1990. It was defeated by a vote of 97,460 for and 210,575 against.
Cross references. — For general popular referendum, see N.M. Const., art. IV, § 1.
For proper purposes of state indebtedness, see N.M. Const., art. IX, § 7.
For restrictions on indebtedness, see N.M. Const., art. IX, § 8.
"So" construed. — If the word "so" had been omitted from this section, there would be no difficulty in interpreting the amendment as applying to laws at any time enacted. The word "so" may simply refer to "laws enacted by the . . . legislature". That meaning will be attached to it, because otherwise the mere inclusion of the word renders inapplicable an important and deliberately included provision, since there was no enactment of the fifth legislature to which it could apply. State v. Graham, 1927-NMSC-066, 32 N.M. 485, 259 P. 623.
Section permits subsequent debentures without referendum. — By virtue of this section, debentures to anticipate proceeds of the gasoline excise tax, authorized by Laws 1927, ch. 20 (repealed), which were to be covered into the state road fund "to be used for maintenance, construction, and improvement of state highways and to meet the provisions of the Federal Aid Road Law (U.S. Comp. St. §§ 7477a to 7477i) [23 U.S.C. §§ 101 to 158]" did not constitute such state borrowing or debt as required popular referendum. State v. Graham, 1927-NMSC-066, 32 N.M. 485, 259 P. 623.
Validating effect. — Provision of statute (Laws 1921, ch. 153) authorizing levy of taxes, and sale of state debentures in anticipation of taxes, for construction and improvement of public highways, and to meet, dollar for dollar, allotments to state of federal funds under Federal Aid Road Act (23 U.S.C. §§ 101 to 158) was validated for adoption of this section. Lopez v. State Hwy. Comm'n, 1921-NMSC-074, 27 N.M. 300, 201 P. 1050.
Highway debentures excepted from referendum by another section. — Laws 1949, ch. 42 (repealed), was excepted from popular referendum because the highway debentures, payable from a fund, the source of a part of which is a general property tax, were evidences of public debts in sense words "public debt" are used in N.M. Const., art. IV, § 1. State ex rel. Linn v. Romero, 1949-NMSC-049, 53 N.M. 402, 209 P.2d 179.
Tax refund valid. — Laws 1931, ch. 31 (repealed), authorizing refund of gasoline excise taxes only out of surplus not necessary to payment of interest and principal of highway debentures, did not violate provision of constitution against decrease of pledged revenues. Streit v. Lujan, 1931-NMSC-062, 35 N.M. 672, 6 P.2d 205, appeal dismissed, 285 U.S. 527, 52 S. Ct. 405, 76 L. Ed. 924 (1932).
Am. Jur. 2d, A.L.R. and C.J.S. references. — 39 Am. Jur. 2d Highways, Streets, and Bridges, §§ 122, 124.
40 C.J.S. Highways § 176.