Bill > SB134

This bill establishes a Natural Disaster Loan Program that provides zero-interest, reimbursable loans to New Mexico political subdivisions (like cities or counties) that have been approved for Federal Emergency Management Agency (FEMA) public assistance funding after a federally declared natural disaster. The Department of Finance and Administration will manage these loans, requiring detailed reimbursement contracts that specify how and when the loans must be repaid, typically within 30 days of becoming eligible for federal funding. The loans must be used for natural disaster recovery purposes, and if not used by a predetermined deadline, the political subdivision may incur interest penalties. A new Natural Disaster Revolving Fund is created in the state treasury to manage these loans, which will receive annual transfers of up to $100 million from the Appropriation Contingency Fund through 2028, ensuring a sustainable source of emergency funding. The bill also requires the department to provide regular reports to the legislative finance committee and governor about loan details, including project information, repayment status, and any contract breaches. Additionally, the bill adds the Natural Disaster Revolving Fund to the state's official list of reserves and includes an emergency clause to implement the act immediately, recognizing the critical nature of disaster recovery support.

Agriculture and Natural Resources

https://www.nmlegis.gov/Legislation/Legislation?chamber=S&legtype=B&legno=134&year=25