HB 270/a HIGHER ED TECH ENHANCEMENT FUND PROVISIONS

Rep Joseph L Sanchez

Actions: [4] HRDLC/HAFC-HRDLC [6] DP-HAFC [9] DP/a [11] PASSED/H (62-1) [7] SEC-SEC [9] DP [15] PASSED/S (32-6) SGND BY GOV (Feb. 29) Ch. 19.

Scheduled: Not Scheduled

 House Bill 270 (HB 270) amends provisions governing the Technology Enhancement Fund (TEF); requires assessments of benefits for economic development, rural and tribal communities and workforce education and training; and makes an appropriation. 

 House Bill 270 (HB 270) amends Section 21-1-27.2 NMSA 1978 to allow for support of federal or private grants to research institutions. Previously, this allowance was not specified, and the reference was to state research universities rather than “research institutions.” Approval of expenditures is to be made by the Secretary of Higher Education (previously, it was the Executive Director of the [Higher Learning] Commission). 

Grants are to be available to research institutions; the explicit requirement that such institutions be “conducting collaborative research with corporate and nonprofit organizations” is removed.

The review panel is to judge grants based on the project’s potential benefits for economic development, rural and tribal communities, and workforce education and training. 

A new matching requirement is added, and a new prohibition is added, stating that a grant from the Technology Enhancement Fund (TEF) may not be used to supplant matching money that an applicant has expended or encumbered for a previously received grant. 

A definition is provided for "research institution," meaning Navajo Technical University, New Mexico State University, the New Mexico Institute of Mining and Technology, or the University of New Mexico.

Seventy million dollars ($70,000,000) is appropriated from the General Fund to the TEF for expenditure in Fiscal Year 2025 and subsequent fiscal years.
 

 If the bill does not pass, it will not be explicitly stated that the Technology Enhancement Fund (TEF) is to support federal or private grants; further, the recipients of the financial support would continue to be only “state research universities.” The restriction would remain that grants could only go to institutions conducting collaborative research with corporate and nonprofit organizations. 

The criteria for judging grants would not include “the project’s potential benefits for economic development, rural and tribal communities, and workforce education and training.” The matching requirement would not be included, and the prohibition against supplanting other matching funds would not be explicitly stated. Finally, the appropriation would not be made, so monies to support the fund would have to be found elsewhere, or would not be available. 

 Amended February 6, 2024 by the House Appropriations and Finance Committee

HAFCa/HB 270: The House Appropriations and Finance Committee amends the bill as follows:

1. On page 3, line 5, strike the comma and insert in lieu
thereof "and".

2. On page 3, line 6, strike "and workforce education and
training".

3. On page 3, strike lines 17 through 22.