NMSA 1978, § 7-27-12.2 — 7-27-12.2

Supplemental severance tax bonds; public school capital
outlay and other projects.

# A.

The public school capital outlay council is authorized to certify by resolution that
proceeds of supplemental severance tax bonds are needed for expenditures relating to
public school capital outlay projects pursuant to the Public School Capital Outlay Act
[Chapter 22, Article 24 NMSA 1978] or for the state distribution for public school capital
improvements pursuant to the Public School Capital Improvements Act [Chapter 22,
Article 25 NMSA 1978]. The resolution shall specify the total amount needed.

# B.

The state board of finance may issue and sell supplemental severance tax bonds
in compliance with the Severance Tax Bonding Act when the public school capital
outlay council certifies by resolution the need for the issuance of the bonds or when the
secretary of public education certifies the need for the issuance of the bonds pursuant
to Section 22-24-4 NMSA 1978 or Section 3 of this 2016 act. The amount of the bonds
sold at each sale shall not exceed the lesser of:
(1) the total of the amounts certified by the council and the secretary of public
education; or
(2) the amount that may be issued pursuant to the restrictions of Section 7-
27-14 NMSA 1978.

# C.

The state board of finance shall schedule the issuance and sale of the bonds in
the most expeditious and economical manner possible.

# D.

The proceeds from the sale of the bonds are appropriated as follows:
(1) the amount certified by the secretary of public education as necessary to
make the distribution pursuant to Section 22-25-9 NMSA 1978 is appropriated to the
public school capital improvements fund for the purpose of carrying out the provisions of
the Public School Capital Improvements Act; and
(2) the remainder of the proceeds is appropriated to the public school capital
outlay fund for the purpose of carrying out the provisions of the Public School Capital
Outlay Act.