Committee backs amended bill letting NMFA speed water projects; do-pass 7–1

Representative Garrett introduced House Bill 109 to amend the Water Project Finance Act so the New Mexico Finance Authority (NMFA) can award funds to qualifying water projects without waiting for a separate legislative authorization through Dec. 31, 2029. The sponsor said the change will reduce delays that can add months and increase construction costs.

AJ Ford of the Municipal League, speaking as vice chair of the Water Trust Board, described how the Water Trust Board process is thoroughly vetted and said delays for legislative authorization can add six months to a project's timeline: "This just gives us the ability to put the money in the ground a lot sooner," Ford said. Fernando Martinez, deputy director at NMFA, and Donnie Quintana, NMFA project oversight, said the bill preserves oversight (agency vetting, oversight committee and Water Trust Board review) while removing the extra step of separate legislative authorization for a limited period.

The committee considered and adopted an amendment extending the temporary authorization window to 2029 and removing language the fiscal-impact report said was unconstitutional (a two-thirds requirement). Members asked how small communities and acequias would access the program; witnesses said the Municipal League and NMFA provide technical assistance and a technical-assistance program that helps produce planning documents so small applicants can compete.

Sponsors emphasized metrics they will track, including timelier project starts and completions, regional impacts, reductions in human-health and safety concerns, and improvements in water quantity and quality. The committee voted to recommend a do-pass on the amended bill with a 7–1 voice/roll-call result.

The amended bill preserves multiagency vetting (including NMFA, the Water Trust Board, Energy, State Engineer and Environment Department) and adds a limited emergency set-aside and cycles intended to assist communities with disaster-related needs. The committee placed a due-pass recommendation; next steps include any floor consideration and possible further amendments in the legislature.