EXECUTIVE VICE PRESIDENT’S MESSAGE 2027 LEGISLATIVE PREVIEW JOHN W. ANDERSON Executive Vice President New Mexico Bankers Association The first session of the 58th New Mexico Legislature begins its 60-day schedule on Tuesday, January 19, 2027. For those involved in lobbying efforts, the start date feels like it’s right around the corner. A few notable areas we’re monitoring closely include: 2027 Budget Thanks to the hefty revenues and investment income the state is receiving from the oil and gas industry, the 2027 Legislature will have significant funds to appropriate. In its August 2026 general fund consensus revenue estimate, the Legislative Finance Committee reported: • Total new money in FY 2028 is estimated to be $924.2 million, or 6.7% growth from the previous year’s spending. • New money and recurring revenues revised higher due to sharp turns in revenue activity early in 2026. • Investment income and oil and gas revenues hide the weaker underlying economic revenue growth. • Labor markets are struggling and affordability challenges are rising. • Revenues boosted by high oil prices, which are exhibiting high volatility with external events (war in Iran, tariffs, etc.). 6
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