0001| AN ACT | 0002| RELATING TO THE TAXATION AND REVENUE DEPARTMENT; AUTHORIZING THE | 0003| WITHHOLDING OF AN ADMINISTRATIVE FEE ON CERTAIN DISTRIBUTIONS; | 0004| PROVIDING FOR THE DISTRIBUTION OF THE ADMINISTRATIVE FEE WITHHELD; | 0005| AUTHORIZING THE NEW MEXICO FINANCE AUTHORITY TO ISSUE REVENUE BONDS; | 0006| AMENDING AND ENACTING SECTIONS OF THE NMSA 1978; MAKING | 0007| APPROPRIATIONS; DECLARING AN EMERGENCY. | 0008| | 0009| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO: | 0010| Section 1. A new section of the Tax Administration Act is | 0011| enacted to read: | 0012| "ADMINISTRATIVE FEE IMPOSED--APPROPRIATION.-- | 0013| A. The taxation and revenue department is directed to | 0014| withhold an administrative fee of three percent of the net amount to | 0015| be distributed under the provisions of: | 0016| (1) Section 7-1-6.32 NMSA 1978; | 0017| (2) Section 66-12-20 NMSA 1978; and | 0018| (3) Section 74-1-13 NMSA 1978. | 0019| B. The administrative fee to be withheld pursuant to | 0020| Subsection A of this section shall be withheld on distributions made | 0021| on or after July 1, 1997 and shall continue until the earlier of | 0022| December 31, 2006 or the date on which the New Mexico finance | 0023| authority certifies to the taxation and revenue department that all | 0024| obligations for bonds issued | 0025| pursuant to Section 12 of this 1997 act have been fully discharged and | 0001| directs the department to cease distributing money to the authority | 0002| pursuant to this section. | 0003| C. The taxation and revenue department is directed to | 0004| withhold an additional administrative fee at the following percentage | 0005| of the net amount to be distributed pursuant to the following | 0006| provisions of law: | 0007| (1) two percent of the net amount to be distributed | 0008| pursuant to Section 7-1-6.12 NMSA 1978; and | 0009| (2) six-tenths of one percent of the net amount to be | 0010| distributed pursuant to Section 7-1-6.13 NMSA 1978. | 0011| D. The administrative fee to be withheld under Subsection C | 0012| of this section shall be withheld on distributions made on or after | 0013| July 1, 1997 and shall continue until the earlier of July 1, 2000 or | 0014| the date on which the New Mexico finance authority certifies to the | 0015| taxation and revenue department that all obligations for bonds issued | 0016| pursuant to Section 12 of this 1997 act have been fully discharged and | 0017| directs the department to cease distributing money to the authority | 0018| pursuant to this section. | 0019| E. The administrative fee to be withheld by the taxation | 0020| and revenue department under Section 7-1-6.12 and 7-1-6.13 NMSA 1978 | 0021| shall be set at three percent of the net amount to be distributed | 0022| pursuant to the provisions of those sections. | 0023| F. The administrative fee to be withheld under Subsection E | 0024| of this section shall be withheld on distributions made on or after | 0025| July 1, 2000 and shall continue until the earlier of December 31, 2006 | 0001| or the date on which the New Mexico finance authority certifies to the | 0002| taxation and revenue department that all obligations for bonds issued | 0003| pursuant to Section 12 of this 1997 act have been fully discharged and | 0004| directs the department to cease distributing money to the authority | 0005| pursuant to this section. After the department has been directed by | 0006| the authority to cease distributing money to the authority pursuant to | 0007| this section, the administrative fee shall be remitted to the state | 0008| treasurer for deposit in the state general fund each month. | 0009| G. The administrative fee shall be distributed monthly to | 0010| the New Mexico finance authority to be pledged irrevocably for the | 0011| payment of principal, interest and any expenses or obligations related | 0012| to the bonds issued by the authority to finance the taxation and | 0013| revenue information management systems project." | 0014| Section 2. Section 7-1-6.12 NMSA 1978 (being Laws 1983, Chapter | 0015| 211, Section 17, as amended) is amended to read: | 0016| "7-1-6.12. TRANSFER--REVENUES FROM MUNICIPAL LOCAL OPTION GROSS | 0017| RECEIPTS TAXES.--A transfer pursuant to Section 7-1-6.1 NMSA 1978 | 0018| shall be made to each municipality for which the department is | 0019| collecting a local option gross receipts tax imposed by that | 0020| municipality in an amount, subject to any increase or decrease made | 0021| pursuant to Section 7-1-6.15 NMSA 1978, equal to the net receipts | 0022| attributable to the local option gross receipts tax imposed by that | 0023| municipality, less any deduction for administrative cost determined | 0024| and made by the department pursuant to the provisions of the act | 0025| authorizing imposition by that municipality of the local option gross | 0001| receipts tax and any additional administrative fee withheld pursuant | 0002| to Subsection C of Section 1 of this 1997 act." | 0003| Section 3. Section 7-1-6.13 NMSA 1978 (being Laws 1983, Chapter | 0004| 211, Section 18, as amended) is amended to read: | 0005| "7-1-6.13. TRANSFER--REVENUES FROM COUNTY LOCAL OPTION GROSS | 0006| RECEIPTS TAXES.--A transfer pursuant to Section 7-1-6.1 NMSA 1978 | 0007| shall be made to each county for which the department is collecting a | 0008| local option gross receipts tax imposed by that county in an amount, | 0009| subject to any increase or decrease made pursuant to Section 7-1-6.15 | 0010| NMSA 1978, equal to the net receipts attributable to the local option | 0011| gross receipts tax imposed by that county, less any deduction for | 0012| administrative cost determined and made by the department pursuant to | 0013| the provisions of the act authorizing imposition by that county of the | 0014| local option gross receipts tax and any additional administrative fee | 0015| withheld pursuant to Subsection C of Section 1 of this 1997 act." | 0016| Section 4. Section 7-1-6.32 NMSA 1978 (being Laws 1990, Chapter | 0017| 99, Section 44) is amended to read: | 0018| "7-1-6.32. DISTRIBUTION--SOLID WASTE ASSESSMENT FEE.--A | 0019| distribution pursuant to Section 7-1-6.1 NMSA 1978 shall be made to | 0020| the solid waste facility grant fund of the net receipts attributable | 0021| to the solid waste assessment fee authorized under the Solid Waste Act | 0022| less any administrative fee withheld pursuant to Section 1 of this | 0023| 1997 act." | 0024| Section 5. Section 7-2C-12 NMSA 1978 (being Laws 1985, Chapter | 0025| 106, Section 12, as amended) is amended to read: | 0001| "7-2C-12. ADMINISTRATIVE COSTS--CHARGES APPROPRIATED TO | 0002| DEPARTMENT.-- | 0003| A. The department shall charge claimant agencies an | 0004| administrative fee of three percent of the debts for the claimant | 0005| agencies pursuant to the Tax Refund Intercept Program Act. | 0006| B. The administrative fee authorized pursuant to Subsection | 0007| A of this section shall be withheld on all debts set off and collected | 0008| by the department on or after July 1, 1997 and shall be distributed | 0009| monthly to the New Mexico finance authority to be pledged irrevocably | 0010| for the payment of the principal, interest and expenses or other | 0011| obligations related to the bonds for the taxation and revenue | 0012| information management systems project. That distribution shall | 0013| continue until the earlier of December 31, 2005 or the date on which | 0014| the New Mexico finance authority certifies to the department that all | 0015| obligations for bonds issued pursuant to Section 12 of this 1997 act | 0016| have been fully discharged or provision has been made for their | 0017| discharge and directs the department to cease distributing the money | 0018| from the fee pursuant to Subsection A of this section to the | 0019| authority. Thereafter, the administrative fees are appropriated to | 0020| the department for use in administering the Tax Refund Intercept | 0021| Program Act." | 0022| Section 6. Section 7-19-15 NMSA 1978 (being Laws 1979, Chapter | 0023| 397, Section 6, as amended) is amended to read: | 0024| "7-19-15. COLLECTION BY DEPARTMENT--TRANSFER OF | 0025| PROCEEDS--DEDUCTIONS.-- | 0001| A. The department shall collect the supplemental municipal | 0002| gross receipts tax in the same manner and at the same time it collects | 0003| the state gross receipts tax. | 0004| B. The department shall withhold an administrative fee | 0005| pursuant to Section 1 of this 1997 act. The department shall | 0006| transfer to each municipality for which it is collecting a | 0007| supplemental municipal gross receipts tax the amount of the tax | 0008| collected less the administrative fee withheld and less any | 0009| disbursements for tax credits, refunds and the payment of interest | 0010| applicable to the supplemental municipal gross receipts tax. Transfer | 0011| of the tax to a municipality shall be made within the month following | 0012| the month in which the tax is collected." | 0013| Section 7. Section 7-19D-7 NMSA 1978 (being Laws 1993, Chapter | 0014| 346, Section 7) is amended to read: | 0015| "7-19D-7. COLLECTION BY DEPARTMENT--TRANSFER OF | 0016| PROCEEDS--DEDUCTIONS.-- | 0017| A. The department shall collect each tax imposed pursuant | 0018| to the provisions of the Municipal Local Option Gross Receipts Taxes | 0019| Act in the same manner and at the same time it collects the state | 0020| gross receipts tax. | 0021| B. Except as provided in Subsection C of this section, the | 0022| department shall withhold an administrative fee pursuant to Section 1 | 0023| of this 1997 act. The department shall transfer to each municipality | 0024| for which it is collecting a tax pursuant to the provisions of the | 0025| Municipal Local Option Gross Receipts Taxes Act the amount of each tax | 0001| collected for that municipality, less the administrative fee withheld | 0002| and less any disbursements for tax credits, refunds and the payment of | 0003| interest applicable to the tax. The transfer to the municipality | 0004| shall be made within the month following the month in which the tax is | 0005| collected. | 0006| C. With respect to the municipal gross receipts tax imposed | 0007| by a municipality pursuant to Section 7-19D-9 NMSA 1978, the | 0008| department shall withhold the administrative fee pursuant to Section 1 | 0009| of this 1997 act only on that portion of the municipal gross receipts | 0010| tax arising from a municipal gross receipts tax rate in excess of | 0011| one-half of one percent." | 0012| Section 8. Section 7-20C-6 NMSA 1978 (being Laws 1991, Chapter | 0013| 176, Section 6) is amended to read: | 0014| "7-20C-6. COLLECTION BY DEPARTMENT--TRANSFER OF | 0015| PROCEEDS--DEDUCTIONS.-- | 0016| A. The department shall collect the local hospital gross | 0017| receipts tax in the same manner and at the same time it collects the | 0018| state gross receipts tax. | 0019| B. The department shall withhold an administrative fee | 0020| pursuant to Section 1 of this 1997 act. The department shall transfer | 0021| to each county for which it is collecting such tax the amount of the | 0022| tax collected less the administrative fee withheld and less any | 0023| disbursements for tax credits, refunds and the payment of interest | 0024| applicable to the tax. Transfer of the tax to a county shall be made | 0025| within the month following the month in which the tax is collected." | 0001| Section 9. Section 7-20E-7 NMSA 1978 (being Laws 1993, Chapter | 0002| 354, Section 7) is amended to read: | 0003| "7-20E-7. COLLECTION BY DEPARTMENT--TRANSFER OF | 0004| PROCEEDS--DEDUCTIONS.-- | 0005| A. The department shall collect each tax imposed pursuant | 0006| to the provisions of the County Local Option Gross Receipts Taxes Act | 0007| in the same manner and at the same time it collects the state gross | 0008| receipts tax. | 0009| B. The department shall withhold an administrative fee | 0010| pursuant to Section 1 of this 1997 act. The department shall transfer | 0011| to each county for which it is collecting a tax pursuant to the | 0012| provisions of the County Local Option Gross Receipts Taxes Act the | 0013| amount of each tax collected for that county, less the administrative | 0014| fee withheld and less any disbursements for tax credits, refunds and | 0015| the payment of interest applicable to the tax. The transfer to the | 0016| county shall be made within the month following the month in which the | 0017| tax is collected." | 0018| Section 10. Section 66-12-20 NMSA 1978 (being Laws 1959, Chapter | 0019| 338, Section 19, as amended) is amended to read: | 0020| "66-12-20. DISPOSITION OF FEES.--The fees collected pursuant to | 0021| the provisions of the Boat Act, less the administrative fee withheld | 0022| pursuant to Section 1 of this 1997 act, shall be covered into the | 0023| state park and recreation fund." | 0024| Section 11. Section 74-1-13 NMSA 1978 (being Laws 1993, Chapter | 0025| 317, Section 2) is amended to read: | 0001| "74-1-13. WATER CONSERVATION FEE--IMPOSITION--DEFINITIONS.-- | 0002| A. There is imposed on every person who operates a public | 0003| water supply system a water conservation fee in an amount equal to | 0004| three cents ($.03) per thousand gallons of water produced on which the | 0005| fee imposed by this subsection has not been paid. | 0006| B. The "water conservation fund" is created in the state | 0007| treasury and shall be administered by the department of environment. | 0008| The fund shall consist of water conservation fees collected pursuant | 0009| to this section. Balances in the fund at the end of any fiscal year | 0010| shall not revert to the general fund but shall accrue to the credit of | 0011| the fund. Earnings on the fund shall be credited to the fund. | 0012| C. Money in the water conservation fund is appropriated to | 0013| the department of environment for administration of a public water | 0014| supply program to: | 0015| (1) test public water supplies for the contaminants | 0016| required to be tested pursuant to the provisions of Section 1412 of | 0017| the federal Safe Drinking Water Act, as finalized through July 1, | 0018| 1992, and collect chemical compliance samples as required by those | 0019| provisions of the federal act; | 0020| (2) perform vulnerability assessments which will be | 0021| used to assess a public water supply's susceptibility to those | 0022| contaminants; and | 0023| (3) implement new requirements of the Utility | 0024| Operators Certification Act and provide training for all public water | 0025| supply operators. | 0001| D. The taxation and revenue department shall provide by | 0002| regulation for the manner and form of collection of the water | 0003| conservation fee. All water conservation fees collected by the | 0004| taxation and revenue department, less the administrative fee withheld | 0005| pursuant to Section 1 of this 1997 act, shall be deposited in the | 0006| water conservation fund. | 0007| E. The fee imposed by this section shall be administered in | 0008| accordance with the provisions of the Tax Administration Act and shall | 0009| be paid to the taxation and revenue department by each person who | 0010| operates a public water supply system in the manner required by the | 0011| department on or before the twenty-fifth day of the month following | 0012| the month in which the water is produced. | 0013| F. Each operator of a public water supply system shall | 0014| register and comply with the provisions of Section 7-1-12 NMSA 1978 | 0015| and furnish such information as may be required by the taxation and | 0016| revenue department. | 0017| G. As used in this section: | 0018| (1) "person" means any individual or legal entity and | 0019| also means, to the extent permitted by law, any federal, state or | 0020| other governmental unit or subdivision or an agency, department or | 0021| instrumentality thereof; and | 0022| (2) "public water supply system" means a system that | 0023| provides piped water to the public for human consumption and that has | 0024| at least fifteen service connections or regularly services an average | 0025| of at least twenty-five individuals at least sixty days per year." | 0001| Section 12. NEW MEXICO FINANCE AUTHORITY REVENUE BONDS-- | 0002| PURPOSE--APPROPRIATION.-- | 0003| A. The New Mexico finance authority may issue and sell | 0004| revenue bonds in compliance with the New Mexico Finance Authority Act | 0005| in installments or at one time in a total amount not exceeding | 0006| thirty-three million seven hundred nine thousand eight hundred dollars | 0007| ($33,709,800) for the purpose of financing the taxation and revenue | 0008| information management systems project. | 0009| B. The New Mexico finance authority may issue and sell | 0010| revenue bonds authorized by this section from time to time when the | 0011| secretary of taxation and revenue, with the concurrence of the | 0012| legislative finance committee, certifies the need for issuance of the | 0013| bonds. The net proceeds from the sale of the bonds are appropriated | 0014| to the taxation and revenue department for the purpose of financing | 0015| the taxation and revenue information management systems project. | 0016| C. The revenue from administrative fees distributed monthly | 0017| to the New Mexico finance authority shall be pledged irrevocably for | 0018| the payment of the principal, interest and any expenses or other | 0019| obligations related to the bonds. | 0020| D. The administrative fees distributed to the New Mexico | 0021| finance authority shall be deposited in a separate fund or account of | 0022| the authority. Upon payment of all principal, interest and any other | 0023| expenses or obligations related to the bonds, the authority shall | 0024| certify to the taxation and revenue department that all obligations | 0025| for the bonds issued pursuant to this section have been fully | 0001| discharged or provision has been made for their discharge and direct | 0002| the department to cease the distributions to the authority of | 0003| administrative fees pursuant to Section 1 of this act. | 0004| E. Any law authorizing the imposition or distribution of | 0005| the administrative fees or that affects the administrative fees shall | 0006| not be amended, repealed or otherwise directly or indirectly modified | 0007| so as to impair any outstanding revenue bonds that may be secured by a | 0008| pledge of the administrative fees, unless the revenue bonds have been | 0009| discharged in full or provision has been made for a full discharge. | 0010| F. The New Mexico finance authority is authorized to make | 0011| an interim cash loan from the public project revolving fund in an | 0012| amount not to exceed two million five hundred thousand dollars | 0013| ($2,500,000) prior to issuance of the bonds pursuant to this section. | 0014| Section 13. EFFECTIVE DATE.--The effective date of the | 0015| provisions of Sections 1 through 11 of this act is July 1, 1997. | 0016| Section 14. EMERGENCY.--It is necessary for the public | 0017| peace, health and safety that this act take effect immediately. | 0018| |