SENATE BILL 461

53rd legislature - STATE OF NEW MEXICO - first session, 2017

INTRODUCED BY

Carlos R. Cisneros

AN ACT

RELATING TO ECONOMIC DEVELOPMENT; AMENDING THE ECONOMIC DEVELOPMENT CORPORATION ACT; INCLUDING THE PROMOTION OF TOURISM AS A PURPOSE AND DUTY OF THE CORPORATION; MAKING CONFORMING CHANGES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

     SECTION 1. Section 53-7A-2 NMSA 1978 (being Laws 2003, Chapter 183, Section 2) is amended to read:

     "53-7A-2. PURPOSES.--The purposes of the Economic Development Corporation Act are to:

          A. promote, stimulate, develop and advance business, prosperity, employment, [and] economic welfare, tourism and recreational facilities in the state and among its citizens;

          B. encourage, [and] assist and market the location of new business, [and] industry and visitors in this state and the rehabilitation and expansion of existing business, [and] industry and visitors;

          C. cooperate and act in conjunction with other organizations, public or private, in the promotion and advancement of industrial, commercial, agricultural, [and] recreational and cultural developments in the state; and

          D. provide for the creation of a nonprofit corporation with the responsibility to work with communities throughout New Mexico in effectuating these purposes in a manner that can be quantified and measured."

     SECTION 2. Section 53-7A-3 NMSA 1978 (being Laws 2003, Chapter 183, Section 3) is amended to read:

     "53-7A-3. CORPORATION AUTHORIZED--BOARD OF DIRECTORS--ORGANIZATION--LIMITATION OF LIABILITY.--

          A. A nonprofit organization to provide economic development and marketing services to the state is authorized to be organized and formed under the provisions of the Nonprofit Corporation Act and the Economic Development Corporation Act.

          B. The corporation shall be governed by a board of directors composed of fifteen members as follows:

                (1) the secretary of economic development;

                (2) the secretary of tourism;

                [(2)] (3) one economic development professional or businessperson, appointed by the governor, from each regional planning district, provided that no more than four of the economic development professionals or businesspersons shall be members of the same political party; and

                [(3)] (4) one tourism professional [businessperson], appointed by the governor, from each regional [planning] marketing district, provided that no more than four of the [professional businesspersons] tourism professionals shall be members of the same political party.

          C. The governor shall appoint a chair, and the board of directors shall elect other officers as the board deems necessary.

          D. The board of directors shall adopt bylaws, in accordance with the provisions of the Nonprofit Corporation Act, governing the conduct of the corporation in the performance of its duties under the Economic Development Corporation Act.

          E. The board of directors shall hire a president, who shall be the chief administrative officer of the corporation and be responsible for its operations.

          F. A director, the president or another officer shall not be personally liable for any damages resulting from:

                (1) any negligent act or omission of an employee of the corporation;

                (2) any negligent act or omission of another director or officer of the corporation; or

                (3) any action taken as a director or officer or a failure to take any action as a director or officer unless the director or officer has breached or failed to perform the duties of [his] office and the breach or failure to perform constitutes willful misconduct or recklessness."

     SECTION 3. Section 53-7A-4 NMSA 1978 (being Laws 2003, Chapter 183, Section 4) is amended to read:

     "53-7A-4. CORPORATION--POWERS.--The corporation shall have the powers conferred upon domestic nonprofit corporations by the Nonprofit Corporation Act unless otherwise specified in the Economic Development Corporation Act and shall also have the power to:

          A. sue and be sued in its corporate name;

          B. purchase, take, receive or otherwise acquire; own, hold, dispose of or use; and otherwise deal in and with property, including an interest in or ownership of intangible personal property, intellectual property or technological innovations;

          C. sell, convey, pledge, exchange, transfer or otherwise dispose of its assets and properties for consideration upon terms and conditions that the corporation shall determine;

          D. make contracts, incur liabilities or borrow money at rates of interest that the corporation may determine;           E. make and execute all contracts, agreements or instruments necessary or convenient in the exercise of the powers and functions granted the corporation by the Economic Development Corporation Act;

          F. receive and administer grants, contracts and private gifts;

          G. invest and reinvest its funds;

          H. conduct its activities, carry on its operations, have offices and exercise the powers granted by the Economic Development Corporation Act;

          I. employ officers and employees that it deems necessary, set their compensation and prescribe their duties;

          J. enter into agreements with insurance carriers to insure against any loss in connection with its operations;

          K. authorize retirement programs and other benefits for salaried officers and employees of the corporation; and

          L. contract with economic development, marketing and tourism experts and other experts and consultants that may be required and to fix and pay their compensation."

     SECTION 4. Section 53-7A-5 NMSA 1978 (being Laws 2003, Chapter 183, Section 5) is amended to read:

     "53-7A-5. CORPORATION--DUTIES.--Pursuant to policies established by its board of directors and as directed by its president, the corporation shall:

          A. promote economic development and tourism within the state;

          [A.] B. establish relationships with communities throughout New Mexico in order to understand their economic development and tourism goals;

          [B.] C. work for those communities in recruiting the types of businesses, [and] jobs and visitors that have been identified by the communities;

          [C.] D. solicit [economic development] funds from federal and private sources to further the purposes of the Economic Development Corporation Act;

          [D.] E. participate in [economic development] trade shows, conferences and job fairs in order to educate businesses and potential visitors throughout the country and the world on the economic benefits and other attractions of New Mexico;

          [E.] F. sponsor such forums and conferences as are necessary in order to empower New Mexico businesses and citizens with those business skills and marketing tools needed to compete in a worldwide economy and attract visitors to New Mexico; and

          [F.] G. perform such other activities as are needed to further the purposes of the Economic Development Corporation Act."

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