Thank goodness the midterm elections have finally concluded. No more mudslinging for at least the next two years. As you may know, all state Legislative House seats were up for grabs in 2022. After all was said and done, the Republicans and Democrats each picked up two seats, leaving the House exactly as it was prior to the 2022 election cycle, with 45 Democrats and 25 Republicans. Also, there are currently 27 Democrats and 15 Republicans in the Senate. The 2023 Legislature opened on Tuesday, January 17, for 60 days, ending on Saturday, March 18, at noon. Some of the legislation of particular interest to the NMBA that we expect to be introduced includes: • Creation of a state bank • Paid family and medical leave • Repeal the state’s prohibition on rent control which would allow municipalities and counties to consider the issue • Major state tax reform, including gross receipts, corporate income tax and personal income taxes • Additional funding for the state Financial Institutions Division • Increasing and updating bankruptcy and debt collection exemptions, including the homestead exemption • Trust legislation to clarify conservator’s liability • Mandatory course in financial literacy as a requirement for high school graduation • Financial exploitation of elderly, disabled or vulnerable adults • State budget (It is estimated that the 2023 Legislature will have $3.5 billion in new money to appropriate for the fiscal year beginning July 1, 2023.) We anticipate there will be more than 2,000 bills introduced during the 2023 Legislature, as there is no limit on legislative introductions during a 60-day session. Education Reform In meetings with business leaders, we are constantly reminded that New Mexico needs to drastically improve our public education system. Our education system often renders our workforce less than competitive. That said, I have to praise the Santa Fe think tank, Think New Mexico, for its most recent report. It provides a 10 point plan and various legislative recommendations to improve the performance of the state’s struggling public education system, which has been ranked last in the United States in valuations by Education Week, U.S. News and World Report, Forbes, Kids Count and Wallethub. Historically, Mississippi held the lowest ranking among states in poverty, child welfare and education. However, in the past 10 years, Mississippi has jumped ahead of many states on national reading and math testing, improving from 49th in the U.S. for fourth-grade reading in 2013 to 29th in 2019. And in fourth-grade math, students improved from 50th to 23rd. In New Mexico, this year’s statewide assessments found only 34% of third through eighth graders proficient in reading and only 25% in math. The state became acutely aware of the deficiencies in our public education system when, in 2018, a judge in the First Judicial Court (Santa Fe) issued a decision and order in the Yazzi/Martinez v. New Mexico case that the vast majority of at-risk children finish each school year without the basic literacy and math skills needed to pursue post-secondary education or a career. The funding provided by the state legislature was ruled insufficient based on the State Constitution. The court noted that the Public Education Department failed its audit and its supervisory role to ensure school districts are adequately spending the funds that are provided to them to effectively provide students with proper education. The court ordered the state to ensure opportunities for students to be college and career-ready, as well as remedy deep inequities for low-income Native American, Englishlanguage learners, and students with disabilities. The court ordered the state to develop a court-approved plan for quality education for at-risk students and called for extended learning for all students enrolled in high-priority schools. The recommendations in the Think New Mexico report respond to the Yazzi ruling and directly benefit New Mexico’s students. It should be pointed out that, in all fairness, the state has already begun to take positive steps, such as substantially raising teachers’ salaries to the highest among our surrounding states and increasing access to early childhood education. Issue 4 • 2022 9
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