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SENATE BILL 380
57
TH LEGISLATURE
-
STATE
OF
NEW
MEXICO
-
FIRST SESSION
,
2025
INTRODUCED BY
Pete Campos
AN ACT
RELATING TO PUBLIC FUNDS; CREATING THE PHYSICIAN GRADUATE
MEDICAL EDUCATION TRUST FUND AND THE PHYSICIAN GRADUATE MEDICAL
EDUCATION PROGRAM FUND; MAKING A TRANSFER FROM THE GENERAL FUND
TO THE PHYSICIAN GRADUATE MEDICAL EDUCATION TRUST FUND.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
SECTION 1. [NEW MATERIAL] PHYSICIAN GRADUATE MEDICAL
EDUCATION TRUST FUND.--
A. The "physician graduate medical education trust
fund" is created as a nonreverting fund in the state treasury.
The trust fund consists of distributions, appropriations,
gifts, grants and donations. Income from the trust fund shall
be credited to the trust fund. Money in the trust fund shall
be expended only as provided in this section.
B. The state investment officer shall invest money
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in the trust fund in accordance with the prudent investor rule
as set forth in Chapter 6, Article 8 NMSA 1978 and in
consultation with the secretary of health care authority.
C. The state investment officer shall report
quarterly to the legislative finance committee and the state
investment council on the investments made pursuant to this
section. An annual report shall be submitted no later than
October 1 of each year to the legislative finance committee,
the revenue stabilization and tax policy committee and any
other appropriate interim committees.
D. On July 1 of each year, a distribution shall be
made from the trust fund to the physician graduate medical
education program fund in an amount equal to five percent of
the average of the year-end market values of the trust fund for
the immediately preceding three calendar years. If, on July 1
of a year, the trust fund has been in effect for less than
three calendar years, the distribution shall be in an amount
equal to five percent of the average of the year-end market
values of the trust fund for the immediately preceding number
of calendar years that the trust fund has been in effect.
SECTION 2. [NEW MATERIAL] PHYSICIAN GRADUATE MEDICAL
EDUCATION PROGRAM FUND.--
A. The "physician graduate medical education
program fund" is created in the state treasury. The fund
consists of distributions, appropriations, gifts, grants,
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donations and income from investment of the fund. The health
care authority shall administer the fund. Money in the fund is
subject to appropriation by the legislature to provide:
(1) for each fiscal year 2026 through 2028:
(a) up to two million five hundred
thousand dollars ($2,500,000) for supporting physician graduate
medical education programs located in rural and underserved
areas that are in the process of developing applications with
the body responsible for accrediting physician graduate medical
education programs;
(b) up to five hundred thousand dollars
($500,000) for supporting physician graduate medical education
programs located in rural and underserved areas that have been
accredited by the body responsible for accrediting physician
graduate medical education programs for less than one year; and
(c) up to the balance of the fund for
further supporting physician graduate medical education
programs located in rural and underserved areas that have been
accredited by the body responsible for accrediting physician
graduate medical education programs for more than one year; and
(2) for fiscal years beginning in fiscal year
2029, up to the balance of the fund for supporting physician
graduate medical education programs located in rural and
underserved areas that have been accredited by the body
responsible for accrediting physician graduate medical
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education programs for more than one year.
B. Expenditures from the fund shall be by warrant
of the secretary of finance and administration pursuant to
vouchers signed by the secretary of health care authority or
the secretary's authorized representative. Any unexpended or
unencumbered balance remaining at the end of a fiscal year
shall revert to the physician graduate medical education trust
fund."
SECTION 3. TRANSFER.--One hundred million dollars
($100,000,000) is transferred from the general fund to the
physician graduate medical education trust fund.
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