With the ‘progressives’ takeover of New Mexico government in November, we knew that the session would involve a lot more spending and numerous attacks on personal freedom and your pocketbooks. Those fears have largely borne themselves out as anyone can see from a cursory look at the Foundation’s ‘Freedom Index’ in which the organization rated (from -8 to +8) any bill that impacted personal freedom.
While about 1,500 bills were introduced this session, here are some that passed that will have the greatest negative impact on New Mexico’s economy:
• SB 489, the so-called “Energy Transition Act” is a classic case of “logrolling”: placing numerous items in a bill to build support for the legislation. More importantly, the law’s provision that mandates 50% renewable electricity by 2030 will have dire impacts on New Mexico electricity prices. Those impacts will not be fully-recognized right away, but the shuttering of San Juan Generating Station in the Four Corners will.
• HB 85 bans “right to work” laws as passed by the 10 New Mexico counties that have adopted them (and potentially more who would have). It is a fine idea to make labor policy at the State level, but with cities and counties adopting minimum wages and even considering sick leave mandates, there is little intellectual consistency.
• SB 2 in its original form would have led to unlimited film subsidies in New Mexico. The State currently caps annual subsidies at $50 million. That number rises to $110 million under SB 2 and the Legislature is spending $225 million to pay off a portion of the subsidy backlog.
• SB 437 raises New Mexico’s minimum wage from $7.50 an hour to $12.00 an hour. While the bill does preserve some carve-outs for tipped restaurant staff, the bill will have a tremendous negative impact on New Mexico’s struggling rural communities.
• The budget passed this session provides for an 11% increase year-over-year. It is simply unsustainable and New Mexico is already a big-spending state. The issue is a lack of prioritization in the Legislature, not a lack of money.
Other bad legislation passed such as the bill to abandon the Electoral College, implement same-day voter registration, etc. (and some of it failed), but this session will have long-term negative effects on New Mexico’s economy.
Adapted from Worst legislative session ever???? published by
