HB 449/a
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AN ACT
RELATING TO CAPITAL IMPROVEMENTS; CREATING THE HIGHER
EDUCATION MAJOR PROJECTS FUND; SPECIFYING ELIGIBLE USES OF
THE FUND; PROVIDING CRITERIA FOR FUNDING; SPECIFYING
REQUIREMENTS; REQUIRING THE HIGHER EDUCATION DEPARTMENT TO
ADOPT SPACE AND DESIGN STANDARDS; ALLOWING THE LEGISLATURE TO
WAIVE MATCH REQUIREMENTS.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
SECTION 1. HIGHER EDUCATION MAJOR PROJECTS FUND--
CREATED.--
A. The "higher education major projects fund" is
created as a nonreverting fund in the state treasury. The
fund consists of appropriations, income from investment of
the fund, gifts, grants, donations and other money credited
to the fund. The fund shall be administered by the
department, and money in the fund is subject to appropriation
by the legislature for qualifying major capital outlay
projects at educational institutions. Expenditures shall be
by warrant of the secretary of finance and administration
pursuant to vouchers signed by the secretary of higher
education or the secretary's authorized representative.
B. Eligible uses of the fund include:
(1) for the four-year educational
institutions, major capital projects for instruction and HB 449/a
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general and research purposes, which means projects costing
fifty million dollars ($50,000,000) or more; and
(2) for the four- and the two-year
educational institutions and tribal colleges located in New
Mexico, student housing and student life projects.
C. Except as provided in Subsection D of this
section, eligible major projects shall meet the following
criteria before appropriations are made from the fund:
(1) for design phase funding, the
educational institution shall provide at least a twenty-five
percent match from sources other than the state for major
instructional and general and research purposes and at least
a fifty percent match from sources other than the state for
student housing and student life projects; and
(2) for construction phase funding, the
educational institution shall provide at least a ten percent
match from sources other than the state for major
instructional and general and research purposes and for
student housing and student life projects:
(a) at least a fifty percent match from
sources other than the state for two-year educational
institutions and tribal colleges located in New Mexico; and
(b) at least a twenty percent match
from sources other than the state for four-year educational
institutions. HB 449/a
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D. Student housing and student life projects shall
adhere to space and design standards adopted by the higher
education department. To the extent a capital outlay project
exceeds the standards, the associated costs shall not be paid
by the state.
E. The match requirements provided for in
Subsection C of this section may be eligible to be waived
upon a finding by the department that the educational
institution cannot reasonably afford the required match with
institutional reserves, bonds or other sources available to
the educational institution. The secretary of higher
education shall notify the secretary of finance and
administration and the director of the legislative finance
committee of the findings by November 1 of the year preceding
the legislative session in which funding is being sought by
the educational institution. Waivers shall be subject to the
ratification and approval of the legislature prior to the
waiver being granted.
F. Money from the fund shall not be appropriated
for construction phase funding prior to the completion of at
least fifty percent of the design phase and the submission of
design documents to the department and the legislative
finance committee.
G. In addition to other requirements in this
section, an educational institution shall provide to the HB 449/a
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department and the legislative finance committee
documentation showing historic on-campus student populations
and the expected number of on-campus students to be served by
a new facility and documentation demonstrating the new
facility's compliance with existing institutional space
standards and policies.
H. As used in this section:
(1) "department" means the higher education
department;
(2) "four-year educational institution"
means a university enumerated in Article 12, Section 11 of
the constitution of New Mexico; and
(3) "two-year educational institution" means
a public community college, including branch community
colleges, but does not mean a constitutional special school.