NMSA 9-29A-3. Distribution; early childhood education and care fund;

9-29A-3. Distribution; early childhood education and care fund; medicaid trust fund; severance tax permanent fund; payments pursuant to federal Mineral Leasing Act. A. If, by June 30 of each fiscal year, the net receipts for that fiscal year of the money received by the state pursuant to the federal Mineral Leasing Act exceed the annual average amount, the excess amount above the annual average amount shall be distributed as follows and attributed to that fiscal year: (1) for fiscal years 2026 through 2028: (a) fifty percent to the early childhood education and care fund and fifty percent to the medicaid trust fund; provided that (b) if, as of the end of one of those fiscal years, the balance of the early childhood education and care fund is less than the balance of that fund as of the end of fiscal year 2025, the distribution to the medicaid trust fund made pursuant to Subparagraph (a) of this paragraph shall be decreased by an amount equal to one-half of the difference between the balance of the early childhood education and care fund as of the end of fiscal year 2025 and the balance of that fund as of the end of that fiscal year; and (2) for fiscal year 2029 and each fiscal year thereafter, one hundred percent to the early childhood education and care fund. B. If, by June 30, 2025, and by June 30 of each fiscal year thereafter, the remaining amount of the net receipts for that fiscal year of the money received by the state pursuant to the federal Mineral Leasing Act after the distribution pursuant to Subsection A of this section exceeds the threshold amount, the excess shall be distributed to the severance tax permanent fund. C. The department of finance and administration shall make the calculations to determine if excess amounts shall be distributed pursuant to this section. If there is an excess amount, the distribution shall be made as soon as practicable. If there is not an excess amount, no distribution shall be made. D. As used in this section: (1) "annual average amount" means the total net receipts attributable to money received by the state pursuant to the federal Mineral Leasing Act in the immediately preceding five fiscal years, divided by five; and (2) "threshold amount" means the net receipts of the money received by the state pursuant to the federal Mineral Leasing Act distributed in fiscal year 2024 pursuant to Subsection B of Section 22-8-34 NMSA 1978. History: Laws 2020, ch. 3, § 3; 2023, ch. 22, § 3; 2025, ch. 26, § 4.