Bill > SB445

This bill modifies New Mexico's existing law regarding water and sanitation gross receipts taxes by removing the current six-year limitation on these taxes for ordinances approved by voters on or after July 1, 2025. Currently, when a county's governing body imposes a water and sanitation gross receipts tax (a 0.25% tax on businesses within a specific water and sanitation district), the tax is automatically limited to a six-year period. The proposed bill eliminates this time restriction, allowing the tax to continue indefinitely after being approved by voters. The tax can only be imposed after a water and sanitation district's board of directors submits a resolution requesting it, and the tax must be approved by a majority of voters in a special election. The revenue from this tax must be dedicated exclusively to the operation of the specific water and sanitation district for which it is imposed. The bill will take effect on July 1, 2025, and will apply only to ordinances approved by voters on or after that date, meaning existing water and sanitation gross receipts taxes will not be automatically extended under this new legislation.

Budget and Finance

https://www.nmlegis.gov/Legislation/Legislation?chamber=S&legtype=B&legno=445&year=25