1. A. The "Local Economic Development Act fund" is created in the state treasury. Income from the fund shall be credited to the fund. Money in the fund shall not revert or be transferred to any other fund at the end of a fiscal year. The department shall administer the fund, and money in the fund is appropriated to the department to pay the cost of administering the fund and for economic development projects pursuant to the Local Economic Development Act. Money in the fund shall be expended on warrants of the department of finance and administration pursuant to vouchers signed by the secretary of economic development.

2. B. The following may be used to provide public support for certain economic development projects of qualifying entities pursuant to Section 2 [5-10-17 NMSA 1978] of this 2021 act and shall be separately accounted for in the fund:

   1. (1) fifty percent of the tax revenue attributable to the state gross receipts tax and the state compensating tax, as determined pursuant to Subsection A of Section 2 of this 2021 act, and distributed pursuant to Subsection A of Section 5 [7-1-6.67 NMSA 1978] of this 2021 act; and
   2. (2) that portion of the tax revenue attributable to the local option gross receipts tax and county compensating tax imposed by a county and local option gross receipts tax and municipal compensating tax imposed by a municipality dedicated pursuant to Subsection B of Section 2 of this 2021 act and distributed pursuant to Subsection B of Section 5 of this 2021 act.

History: Laws 2020, ch. 74, § 1; 2021, ch. 3, § 9; 2021 (1st S.S.), ch. 2, § 1.

ANNOTATIONS

The 2021 (1st S.S.) amendment, effective April 7, 2021, provided that a portion of state and local gross receipts and compensating tax revenue imposed on certain economic development projects may be provided as public support for certain projects pursuant to the Local Economic Development Act; and added Subsection B.

The 2021 amendment, changed the name of the "Local and Regional Economic Development Support Fund" to the "Local Economic Development Act Fund", deleted language related to the source of money credited to the fund, and revised the permitted uses of the fund; in the section heading, after "Local", deleted "and regional" and deleted "support" and added "act"; deleted "The fund consists of gifts, grants, donations and bequests made to the fund and appropriations made to the department for projects pursuant to the Local Economic Development Act", after "administering the fund and for", deleted "participation in local and regional", and after "economic development projects", deleted "as determined by the department" and added "pursuant to the Local Economic Development Act".

Laws 2021, ch. 3, § 9, effective July 1, 2021, and Laws 2021 (1st S.S.), ch. 2, § 1, effective April 7, 2021, both enacted amendments to this section. The section was set out as amended by Laws 2021 (1st S.S.), ch. 2, § 1. See 12-1-8 NMSA 1978.