Legislative Finance Committee

Memo: Childcare Assistance

The pandemic has driven down enrollment in the state’s Childcare Assistance Program to its lowest level since LFC began tracking the number in FY99, despite expansions in eligibility.

Hearing Brief: Corrections Department

Despite a drop in inmate population, the Corrections Department budget has continued to grow, and a plan to convert private prisons to public operation is likely to add to costs.

Progress Report: Tax Gap, Audit and Compliance, and Fraud

In the last five years, the “tax gap” between what taxpayers owe but fail to pay has grown by more than $100 million, partly because agency efforts have resulted in greater identification of owed taxes but not an increase in collections.

Hearing Brief: Tax Policy Matters for Economic Prosperity

Rising gross receipts tax rates, tax pyramiding, and tax revenue volatility compromise the primary function of New Mexico’s tax system to generate enough revenue to support state services while avoiding harm to business activity.

Capital Outlay Quarterly Report, Fourth Quarter FY21

As of July 2021, outstanding capital outlay funds totaled about $2.5 billion, including $1.9 billion appropriated in prior years.

Federal Stimulus Funds Update

The executive has begun spending down the $1.75 billion in American Rescue Plan Act funds for New Mexico primarily to refill the unemployment trust fund and for the Vax 2 the Max sweepstakes but without appropriation by the Legislature.

Hearing Brief: Child Protective Services

Recognizing short-term foster care placements are often necessary and can traumatize children, federal and state policy are prioritizing family interventions and supports as a first step in certain cases.

Investment Performance Quarterly Report, Third Quarter FY21

One-, three-, five-, and 10-year returns on New Mexico’s four investment funds fell short of that of their peers, and the funds missed internal benchmarks for the quarter ending March 31, but far exceeded the targets for the year.