SENATE BILL 50
49th legislature - STATE OF NEW MEXICO - second session, 2010
INTRODUCED BY
Eric G. Griego
AN ACT
RELATING TO TAXATION; CREATING THE TAX EXPENDITURE STUDY COMMISSION; PROVIDING FOR ITS MEMBERSHIP AND DUTIES; MAKING AN APPROPRIATION.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
Section 1. TAX EXPENDITURE STUDY COMMISSION CREATED-- MEMBERSHIP--APPOINTMENT--DUTIES.--
A. The "tax expenditure study commission" is created and shall function from the date of its appointment until July 1, 2011.
B. The commission shall consist of seventeen members appointed as follows:
(1) three members of the house of representatives shall be appointed by the speaker of the house of representatives, and three members of the senate shall be appointed by the president pro tempore of the senate. Members shall be appointed from each house so as to give the two major political parties in each house the same proportional representation on the commission as prevails in each house; provided, however, that in no event shall either party have less than one member from each house on the commission; and
(2) eleven members shall be appointed by the governor to represent a broad range of views and expertise on taxation issues and shall include at least one member to represent municipal governments and at least one member to represent county governments.
C. Appointments to the commission shall be made no later than twenty days after the effective date of this act. The governor, in consultation with the speaker of the house of representatives and the president pro tempore of the senate, shall appoint a chair from among the members of the commission within fourteen days of the appointment of the commission. The commission may elect such other officers as it deems necessary to carry out its duties.
D. The commission shall meet at the call of the chair as necessary to carry out its duties, but no less than twice a month. The first meeting shall be held no later than July 1, 2010.
E. Three absences from meetings of the commission shall constitute grounds for removal of a member of the commission. Upon the request of the chair of the commission, the appointing authority shall replace the member who has failed to attend three meetings of the commission.
F. A majority of the members appointed constitutes a quorum for the transaction of business. The support of a majority of the members appointed is required for adoption of any action by the commission; provided, however, that the final report of the commission, including its recommendations and proposed legislation, must have the support of a majority of the legislative members.
G. The commission shall prepare a report of its findings on the cost and benefit of each tax expenditure authorized by New Mexico law and submit the report, including specific recommendations and proposed legislation, to the governor and the New Mexico legislative council no later than July 1, 2011.
H. The report shall include the following information for each tax expenditure for calendar years 2009 and 2010:
(1) the total amount of each tax expenditure or public revenue foregone or the current value or other approximate value of each tax benefit received by taxpayers in each calendar year;
(2) the aggregate number of taxpayers benefiting from each tax expenditure and, where practicable and permitted by law, the amounts or values of the benefit to each taxpayer;
(3) the location of taxpayers and benefit amounts and values aggregated by municipality and county;
(4) the number of new jobs created or new employees hired by each taxpayer as a result of each tax expenditure and, for each new job or employee, the employee's wage or salary, gender and state of residence immediately prior to employment; and
(5) any other information deemed by the commission to be useful to understanding a tax expenditure.
I. The commission shall hire or contract for appropriate staff. Staff shall assist the commission as directed by the chair, including conducting interviews with parties that wish to express their views to the commission and synthesizing this information for the commission. The commission may request assistance from the legislative council service, the taxation and revenue department and the economic development department.
J. Members of the commission shall be reimbursed for per diem and mileage expenses as provided for public officers in the Per Diem and Mileage Act.
K. As used in this section:
(1) "tax expenditure" means a tax deduction, an exemption, a rebate, a credit or an exclusion or a preferential tax rate or other special tax treatment; and
(2) "taxpayer" means an individual, corporation, business entity or other person that is eligible to receive or has received a tax expenditure.
Section 2. APPROPRIATION.--Two hundred thousand dollars ($200,000) is appropriated from the general fund to the legislative council service for expenditure in fiscal years 2010 and 2011 to carry out the provisions of this act, including staff salaries and reimbursement of the per diem and mileage expenses of the tax expenditure study commission. Any unexpended or unencumbered balance remaining at the end of fiscal year 2011 shall revert to the general fund. Payments from the appropriation shall be made upon vouchers signed by the director of the legislative council service or the director's authorized representative.
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