New Mexico § 75-1-3 - Fund created; administration; emergency fund

§ 75-1-3. Fund created; administration; emergency fund

A. A special fund is created to be known as the “rural infrastructure revolving loan

fund”. Money appropriated to the fund or to the department to carry out the provisions

of the Rural Infrastructure Act may be used to make loans and grants to local authorities,

individually or jointly, for water supply, wastewater or solid waste facilities. Appropriations made to the fund but not expended at the end of the fiscal year for

which appropriated shall not revert to the general fund but shall accrue to the credit

of the fund. Earnings on the balance in the fund shall be credited to the fund. In addition, when the proceeds from the issuance of severance tax bonds appropriated

to the fund are deposited in the state treasury, interest earned on that money during

the period from deposit in the state treasury until the actual transfer of the money

to the fund shall be credited to the fund. B. Ten percent of any appropriation to the fund or to the department to carry out

the provisions of the Rural Infrastructure Act shall be set aside for emergency grants

and loans pursuant to Section 75-1-5 NMSA 1978 . C. All water supply, wastewater and solid waste facilities shall be designed in compliance

with the engineering requirements established by the secretary after consulting with

and considering the recommendations of the professional engineering societies operating

in New Mexico. The secretary shall also establish, by regulation, guidelines for the ranking of

projects for top priority based on public health needs. D. The department shall administer the fund and shall make grant and loan disbursements

in accordance with the Rural Infrastructure Act. The secretary shall adopt regulations to govern the application procedure and requirements

for disbursing grants and loans under the Rural Infrastructure Act, including requirements

consistent with the purpose of the act for determining the eligibility and priority

of local authorities for such grants and loans. E. Receipts from the repayment of loans, including loans approved by the state board

of finance pursuant to Section 75-1-5 NMSA 1978 , shall be deposited in the fund by the department, including receipts from the repayment

of loans made pursuant to appropriations to carry out the purposes of the Water Supply

Construction Act made prior to the effective date of the Rural Infrastructure Act. F. Money in the fund is appropriated to the department to carry out the provisions

of the Rural Infrastructure Act. The department may allocate up to two percent of the total balance in the fund to

pay for administrative expenses necessary to carry out the provisions of the Rural

Infrastructure Act. Money allocated for administrative expenses shall be placed in a separate administrative

account in the fund to be used solely for administrative expenses, and the department

shall at the beginning of the fiscal year determine the projected administrative costs

for the year and deposit in the account the appropriate amount; provided that the

amount to be deposited does not exceed two percent of the total balance in the fund. Money in the account shall remain in the account at the end of a fiscal year. G. Loans and grants made pursuant to the provisions of the Rural Infrastructure Act

shall not be used by the local authority on any project constructed in fulfillment

or partial fulfillment of requirements made of a subdivider by the provisions of the

Land Subdivision Act 1 or the New Mexico Subdivision Act. 2 1

NMSA 1978, § 47-5-1 et seq. 2

NMSA 1978, § 47-6-1 et seq.