Summary:

  House Joint Resolution 11 (HJR 11) proposes to repeal and replace NM Constitution Article 9, Section 14 to allow the state, counties, school districts and municipalities to make donations of public funds to private persons or private entities for public purposes. It proposes to repeal NM Constitution Article 4, Section 31 which prohibits appropriations for charitable, educational or other benevolent purposes to a person or entity not under the full control of the state. 
 

Legislation Overview:

 House Joint Resolution 11 (HJR 11) proposes to repeal and replace NM Constitution Article 9, Section 14 to allow the state, counties, school districts and municipalities to make donations of public funds to private persons or private entities for public purposes. It defines public purpose as for the benefit of the public health, safety or welfare. These proposed changes in HJR 11 are not self-executing; a majority of the members of each house must pass the implementing legislation before public funds are donated to private persons or entities.
HJR 11 proposes to repeal Article 4, Section 31 which allows the legislature to donate funds for charitable or educational purposes under certain circumstances. 

If passed, HJR 11 will be submitted to the people of the state who will approve or reject this proposed amendment at the next general election or at any special election prior to that date that may be called for that purpose.


 

Current Law:

 Article 9, Section 14 (the anti-donation law) allows for several enumerated exceptions to the anti-donation section in the state constitution including for care and maintenance of sick and indigent persons, certain scholarships, educational loans with repayment provisions, and for certain aspects of economic development and affordable housing.   
The state legislature may make appropriations for charitable, educational or other benevolent purposes to persons or entities under the absolute control of the state in Article 4, Section 31.