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Tuesday, February 13, 2024

Afraid Of The Future: Back To The Mattresses; Most Of Multi-Billion State Surplus Socked Away As Present Needs Remain A Sore Spot, Plus: Lobbyists Out Number Lawmakers 4 To 1

It's back to the future in Santa Fe. That's where the lion's share of the state's oversized surplus of $3.47 billion will be going under the new budget approved by the Senate Monday, despite the state's continuing struggles with behavioral health, drugs and alcohol, education achievement, child abuse and an assortment of other social ills all too familiar to readers of this space. 

The problem is a shared one. Neither the Fourth Floor or the legislative leadership are able to get their arms around the present day reality of New Mexico and continually opt to punt the ball into future decades. 

We get it. The enormity of the problems can cause paralysis, stifle imagination and lead  to acceptance that the way things are is the way they will always be. 

But in the face of years-long multi-billion dollar surpluses that head-in-the-sand approach will be condemned by those future New Mexicans that today's political class argues it is so determined to protect. 

Las Cruces area Dem state Senator Bill Soules, not exactly a wild-eyed radical, came with a succinct summation of the problem during the budget debate:

(He) asked if lawmakers are so afraid for the future that they’re putting aside dollars for then and not today. He questioned how many children in New Mexico are in unsafe and unhealthy positions, and how many state agencies — such as the Supreme Court and the New Mexico Public Regulation Commission — are underfunded. 

Retiring ABQ Dem Senator Bill Tallman, the only Dem to vote against the $10.1 billion budget which passed 31 to 10 and now heads to the House for final agreement, took note of the most dysfunctional of the state's departments as he gave his thumbs down: 

He said CYFD is only getting a fraction of the money it needs while in crisis, less than a 1% increase. 

So just where is all the "new"money going? Into the mattresses for when doomsday comes as explained by the Senate Dems:

This budget transfers over a billion dollars from the general fund to a series of endowments and expendable trusts to support future spending on things like housing, conservation, water, and workforce development. If you include the higher education trust fund currently working its way through the process, then the legislature is ensuring that over $2 billion of the $3.47 billion in new money is secured to address future liabilities of the state. With additional legislation being worked on, we’re also looking at never having to bond capital ever again. We are truly securing our fiscal future for generations to come.” 

Yeah and what about the generations of today? And all that endowment cash will amount to a small hill of beans since only the interest generated from the funds will be spent which at around 5 percent is far from a king's ransom. 

Besides, is "higher education" really one of the state's stiffer challenges needing a massive trust fund? Hardly. 

The $2 billion being socked away represents 58 percent of the surplus funds. 

RISK STILL OFF

It's a lack of imagination and the insistence on risk-free efforts when risk-on is essential if we're to have any hope of getting out of the basement we are trapped in. 

The lack of goal-setting is the "tell" of this administration and legislature as they wallow in the greenbacks. No-one mentions our 50th in the nation status and no-one dares lay down a marker advocating for changes and naming a date when those changes might be accomplished. 

Until the state gets serious about the very serious societal debacle that afflicts so much of its population we're pretty much guaranteed that population growth will remain stagnant, our standing in all the critical rankings will more or less stay the same, economic growth will be confined to industries we essentially bribe with expensive public incentives (think film and solar) and the key 18 to 34 demographic will continue to flee for greener pastures. 

But hey, the mountains are pretty and you can't beat those sunsets. Have a nice day!

FOUR TO ONE

A tax on booze and a bevy of anti-gun laws were some of the major hurdles facing top lobbyists in Santa Fe this session and they navigated them well for their clients with the tax going nowhere and most of the stricter gun laws stalled out. While the "super lobbyists" pulling down $250,000 a year or more can be counted on your fingers, they have a lot of company

This year, there are more than four lobbyists to every lawmaker in the state. Registration data from the New Mexico Secretary of State show more than 500 lobbyists with active registrations. Those lobbyists come from both in state and out of state. The vast majority of registered lobbyists list a New Mexico address as their permanent address. But more than 50 come from out of state or represent out-of-state interests, and more than a handful come from California and Texas.

FINAL PUSH

In these last days of the session the capital outlay bill containing hundreds of construction and other improvement projects will be top of mind for lawmakers. They consider their "pork" projects essential to their election bids. There are advocates from institutions across the state giving a final push for pet projects. The on-the-go ABQ Museum is just one. Their Roundhouse rep reports: 

The Museum is now focused on the design and construction of a state-of-the art Education Center at the Museum. The fact sheet on youth education tells a powerful story about the number of NM children who are the happy beneficiaries of the Museum’s educational programs which bring school children to the Museum for free. Those children can then bring their families back to visit free of change. We are very grateful for the continued interest and support of all the legislators.  

The Museum's capital outlay ask is $7.5 million for the education center and to make other improvements to the facility which has been on a run lately with new leadership and new exhibits. 

THE BOTTOM LINES

MLG has a new spin doctor: 

 (The Governor) announced the appointment of new Director of Communications, Michael Coleman. “I have known Michael professionally for more than 20 years, and I look forward to working with him to advance communications around the historic work of this administration. I want to thank outgoing Director Maddy Hayden for her years of service – I know she will be exceptional in her next endeavor.” Coleman has more than two decades of reporting experience, including 18 years as the Washington, D.C., correspondent for the Albuquerque Journal. He most recently served as the lead editorial writer for the Austin American-Statesman. 

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(c)NM POLITICS WITH JOE MONAHAN 2024