New Mexico § 5-9-5 - Eligibility requirements

§ 5-9-5. Eligibility requirements

A. An area may be designated an enterprise zone if the area meets the requirements

of this section. B. The local government may designate as an enterprise zone an area within a municipality: (1) that has a population not exceeding twenty-five percent of the population of the

municipality and a land area not exceeding twenty-five percent of the land area of

the municipality; (2) that, when combined with the population and land area of any existing enterprise

zones within that municipality, produces a combined population less than twenty-five

percent of the population of the municipality and a combined land area less than twenty-five

percent of the land area of the municipality; and (3) in which there is widespread poverty, unemployment and general distress in the

area, as evidenced by substantial deterioration, abandonment or demolition of commercial

or residential structures and as evidenced by one or more of the following criteria: (a) the average rate of unemployment in the area under consideration as an enterprise

zone for the most recent eighteen-month period for which data is available exceeds

the average rate of unemployment for the state for that period by at least one percentage

point; or (b) at least sixty percent of the households living in the area under consideration

as an enterprise zone have income below eighty percent of the median income of households

of the municipality as determined pursuant to Section 119 of the federal Housing and

Community Development Act of 1974, 1 as that section may be amended or renumbered. C. The local government may designate as an enterprise zone an area within a county: (1) that has a population not exceeding twenty-five percent of the population within

the unincorporated portion of the county and a land area not exceeding twenty-five

percent of the unincorporated land area of the county; (2) that, when combined with the population and land area of any existing enterprise

zones within that county, produces a combined population less than twenty-five percent

of the population within the unincorporated portion of the county and a combined land

area less than twenty-five percent of the unincorporated land area of the county;

and (3) in which there is widespread poverty, unemployment and general distress in the

area under consideration as an enterprise zone, as evidenced by substantial deterioration,

abandonment or demolition of commercial or residential structures and one or more

of the following criteria: (a) the average rate of unemployment in the area under consideration as an enterprise

zone for the most recent eighteen-month period for which data is available exceeds

the average rate of unemployment for the state for that period by at least one percentage

point; or (b) at least sixty percent of the households living in the area under consideration

as an enterprise zone have incomes below eighty percent of the median income of households

of the county as determined pursuant to Section 119 of the federal Housing and Community

Development Act of 1974, as that section may be amended or renumbered. D. The local government may designate as an enterprise zone an area within an Indian

nation, tribe or pueblo: (1) that has a population not exceeding twenty-five percent of the population of the

Indian nation, tribe or pueblo and a land area not exceeding twenty-five percent of

the land area of the Indian nation, tribe or pueblo; (2) that, when combined with the population and land area of any existing enterprise

zones within that Indian nation, tribe or pueblo, produces a combined population less

than twenty-five percent of the population of the Indian nation, tribe or pueblo and

a combined land area less than twenty-five percent of the land area of the Indian

nation, tribe or pueblo; and (3) in which there is widespread poverty, unemployment and general distress in the

area under consideration as an enterprise zone, as evidenced by substantial deterioration,

abandonment or demolition of commercial or residential structures and as evidenced

by one or more of the following criteria: (a) the average rate of unemployment in the area under consideration as an enterprise

zone for the most recent eighteen-month period for which data is available exceeds

the average rate of unemployment for the state for that period by at least one percentage

point; or (b) at least sixty percent of the households living in the area under consideration

as an enterprise zone have incomes below eighty percent of the median income of households

of the Indian nation, tribe or pueblo as determined pursuant to Section 119 of the

federal Housing and Community Development Act of 1974, as that section may be amended

or renumbered. E. Copies of all ordinances, resolutions, joint powers agreements and enterprise zone

plans of a local government made under the Enterprise Zone Act shall be mailed within

ten days after their adoption to the secretary of economic development, the secretary

of finance and administration and the secretary of taxation and revenue. F. An enterprise zone plan shall have been developed and approved by the local government

after public hearing and prior to the designation of an area as an enterprise zone. G. The business assistance and incentives provided under the provisions of the Enterprise

Zone Act are prohibited to intrastate business relocations. This limitation does not apply to the expansion of an in-state business entity through

the establishment of a new branch, affiliate or subsidiary if: (1) the establishment of the new branch, affiliate or subsidiary will not result in

an increase in unemployment in the area of original location or any other area in

New Mexico where the existing business entity conducts business operations; and (2) there will not be a closing down of operations of the existing business entity

in the area of its original in-state location or in any other in-state areas where

the existing business entity conducts business operations. 1

42 U.S.C.A. § 5318.