SANTA FE – New Mexico Gov. Michelle Lujan Grisham on Friday signed a $7.4 billion general fund spending plan for the coming fiscal year that boosts state spending on public education, early childhood services, and business subsidies and incentives.
The Democratic governor made no mention of vetoed provisions in a news release. A copy of the bill as signed was not immediately available.
Lujan Grisham endorsed the Legislature’s 1.5% raise for public employees across state government, public schools and universities.
General fund spending will increase by 5% during the fiscal year that starts July 1, with more than one-third of the increase directed toward education.
In a statement, Lujan Grisham called the budget “responsible and responsive to the needs of New Mexicans.”
“This legislative season has been a remarkable success for New Mexicans in every corner of our state – with almost a billion dollars in new targeted pandemic relief for businesses and workers,” she said.
Lujan Grisham highlighted funding approval for new initiatives in economic development, health care and environmental protection.
The budget bill leaves behind estimated financial reserves of $1.7 billion. Lawmakers are wary of depleting reserves because of the state’s reliance on income from the oil and natural gas that can suddenly surge or plummet.
Lujan Grisham signed a companion infrastructure bill that provides $511 million for construction projects. That includes $48 million for projects in Native American communities, $34 million toward public school construction and $53 million for roads.
