2023 New Mexico Statutes › Chapter 22 - Public Schools › Article 8 - Public School Finance › Section 22-8-31 - State-support reserve fund.

A. The "state-support reserve fund" is created.
B. The state-support reserve fund shall be used only to augment the appropriations for the state equalization guarantee distribution in order to ensure, to the extent of the amount undistributed in the fund, that the maximum figures for such distribution established by law shall not be reduced.
C. The undistributed money in the state-support reserve fund shall be invested by the state treasurer in interest-bearing securities of the United States government or in certificates of deposit in qualified banks and in savings and loan associations whose deposits are insured with an agency of the United States. The state treasurer may deposit money from the state-support reserve fund or any other fund in one or more accounts with any such bank or federally insured savings and loan association, but the state treasurer, in any official capacity, shall not deposit money from that fund or any other fund in any one federally insured savings and loan association the aggregate of which would exceed the amount of federal savings and loan insurance corporation insurance for a single public account. Income from these investments shall be periodically credited to the general fund.
D. At least forty-five days before the money is needed, the chief shall notify the state treasurer in writing of the amount that will be needed for distribution.
E. It is the intent of the legislature that the state-support reserve fund be reimbursed in the amount of the yearly distribution by appropriation in the year following the distribution so that the fund at the beginning of each fiscal year shall have a credit balance of at least ten million dollars ($10,000,000).
F. Distribution from the state-support reserve fund shall be made in the same manner and on the same basis as the state equalization guarantee distribution.
History:
1953 Comp., § 77-6-30, enacted by Laws 1967, ch. 16, § 84; 1968, ch. 18, § 10; 1969, ch. 180, § 23; 1974, ch. 8, § 18; 1975, ch. 157, § 8; 1976 (S.S.), ch. 32, § 9; 2021, ch. 52, § 6.
ANNOTATIONS
Compiler's notes.
— The public school finance division of the department of finance and administration was abolished by Laws 1977, ch. 246, § 69. Laws 1977, ch. 246, § 3, established the public school finance division of the educational finance and cultural affairs department. Laws 1977, ch. 246, § 63, compiled as 22-8-3 NMSA 1978, designated the administrative and executive head of the public school finance division of the educational finance and cultural affairs department as the director of public school finance.
Cross references.
— For reference to the former chief of public school finance,
see
9-6-3.1 and 9-24-15 NMSA 1978 and reorganization notes.
For secretary of public education,
see
9-24-5 NMSA 1978.
For state equalization guarantee distribution generally,
see
22-8-25 NMSA 1978.
The 2021 amendment,
effective July 1, 2021, removed a provision related to using money from the state-support reserve fund when there is a delay in receiving local or federal revenues; deleted former Subsection E and redesignated former Subsections F and G as Subsections E and F, respectively; and in Subsection F, after "from", deleted "this" and added "the state-support reserve".