NM revenue levels booming to all-time high (But Dems still raised taxes)

The Albuquerque Journal ^ | August 28, 2019 | Dan Boyd

[CedarDave]

RED RIVER — For the second straight year, New Mexico lawmakers will likely have a mountain of money available for spending on public schools, roads, health care and other programs.

The state will have an estimated $907 million in “new” money available in the coming budget year due primarily to unprecedented oil production levels and related economic growth in southeast New Mexico, according to new revenue figures released Wednesday by legislative and executive economists.

Overall, the state is on track to spend more than $7 billion in year-over-year spending this budget year, while revenues are expected to reach an all-time high of nearly $8 billion for the 2021 budget year, which starts next July.

In addition, the state is on pace to have nearly $2.3 billion in reserves at the end of the current budget year, giving legislators options for possible one-time cash infusions — such as road repairs and shoring up the state’s two large public retirement systems.

It’s a remarkable budgetary turnaround for New Mexico, as just two years ago lawmakers were forced to deplete the state’s cash reserves, approve spending cuts and take other austerity measures in response to an economic downturn.

Already, the $7 billion spending levels in the budget signed into law in April by Democratic Gov. Michelle Lujan Grisham represents an all-time high. And that figure could increase significantly in the coming year while still keeping healthy cash reserves .

However, the historic volatility of the oil and natural gas industries is causing some teeth-gnashing among economists and certain lawmakers.

Oil and gas-related revenue now make up roughly 40 percent of the state’s direct revenue base, while making up about 75 percent of the state’s revenue growth from the 2018 to 2019 budget years.

[CedarDave]

The far-left wing, radical anti-fossil fuel Dems now in charge of all state government are spending it like crazy, but us poor taxpayers will eventually pay the price as they have passed legislation that outlaws fossil fuel electrical generation by 2045 (only windmills and solar panels), no matter that with the unlimited natural gas supplies we have generation that would be almost free except for the infrastructure. And, BTW, they took the opportunity to raise taxes also - we get a double whammy hit.

[CedarDave]

This is the first of three energy/politics articles I'm pinging this afternoon.

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[Delta 21]

Because we like our cake buttered on both sides and to be able to eat all of it as well.

[CedarDave]

See this related article where the Dem governor is trying to push regulations to curb methane emissions:

New Mexico’s Oil Boom Is Under Threat

[DesertRhino]

“The state will have an estimated $907 million in “new” money available”

And it never crosses their mind that a lean year will be coming, so they will spend every penny.

[simpson96]

To liberals, more revenues = more taxes to collect.

They NEVER stop.

[CedarDave]

And it never crosses their mind that a lean year will be coming, so they will spend every penny.

And that's one excuse the Dems used to raise taxes!

[ptsal]

Build high-speed rail from El Paso to Farmington.
That should take care of the surplus.
Worked in California. /sarc

[wally_bert]

As long as there are tax slaves, all years are fat years to liberal dims.

[unixfox]

They have all that money to blow on worthless bullshit. Projects for their cronies that will never happen, highway repairs that cost way more than they should, and of course all those lavish trips and “conferences” for those in the government.

It’ll all be gone in 2 years. Just watch.

[MadMax, the Grinning Reaper]

Re all that money - “Why don’t the Democrats blame it on Trump”?