EDD secretary says New Mexico is "winning" on income growth; lawmakers press on site readiness, power and IP protections

Secretary Black told the Legislative Finance Committee that New Mexico has moved from 50th in median income in 2018 to leading the nation on income growth in the last two years, and that state investments are attracting industry interest across technology, advanced manufacturing and outdoor-recreation sectors. Julissa Rodriguez, an LFC analyst, framed the briefing as an examination of $306 million in nonrecurring appropriations to the Economic Development Department between 2023 and 2025 and said roughly $166 million of that has been encumbered or expended.

The committee heard details about major programs: a $50 million Trade Ports Development Fund that is now accepting applications; a $24 million Site Readiness program that characterized 67 potential industrial sites and formally designated 23 as strategic; and several technology-focused initiatives run through the Technology and Innovation Office, including startup grants, a Quantum Technology Award and a new RD&D fund. Rodriguez said the Technology and Innovation Office tracks the amount of nonstate investment companies receive after state support as a performance indicator.

Why it matters: lawmakers pressed the department on whether the state is getting the outcomes it paid for. Representative Dixon asked how jobs are attributed to the New Mexico Partnership's activities; Rodriguez and Secretary Black said the Partnership reports projects under contract and the agency is improving intake and tracking processes to better tie referrals from venture funds and the State Investment Council to actual company relocations or hires.

Committee members also asked for better transparency and technical help for local site owners. Senator Padilla was told site owners receive detailed 60 70-page characterization reports from the contractor GLS that list pros, cons and recommended steps to make a property more market-ready. That information, the secretary said, is intended to help communities and private owners close gaps so their properties can compete for strategic projects.

IP, permits and power: Vice Chair Munoz urged stronger alignment of university and laboratory licensing and technology-transfer processes to keep inventions and spinouts in-state; Secretary Black said the department is pursuing licensing alignment across universities and labs and working with the State Investment Council to build capital stacks that reduce pressure for firms to relocate. Several lawmakers also raised power and permitting concerns. The department acknowledged that large advanced-manufacturing and tech projects can need megawatts of grid capacity and that utilities may require three to five years to deliver service; the agency said it advises prospective companies to plan for on-site power and partners with firms building firm-load solar, storage and microgrids where feasible.

Data centers and environmental safeguards: Senators pressed the department about data centers' water and grid impacts. Secretary Black said the administration will only support projects that hold ratepayers harmless and use closed-loop or equivalent cooling systems when state incentives are sought; he cited Meta's closed-loop transition as an example and said prevailing-wage and PRC requirements apply where industrial revenue bonds are used.

Business climate and lost projects: Senators asked about firms that left after perceived regulatory changes. On Torque's departure, Secretary Black said the company told him proposed autonomous-vehicle regulation contributed to its decision to relocate operations to Texas, though he could not verify additional motives.

What's next: Lawmakers requested more accessible dashboards and clearer metrics from EDD's new Technology and Innovation Office, including better reporting on long-term company survival, capitalization after state support and the number of jobs sustained versus short-term worker-days for projects such as film productions. The department said it recently relaunched an EDNM website and is working on public-facing dashboards and more granular intake and tracking tied to SIC-funded investments.