Contact: Isaac Padilla
Office: 505/986.4263 | Office: 505/264.6512
Isaac.Padilla@nmlegis.gov
FOR IMMEDIATE RELEASE
Senate Finance Committee Passes Senate Joint Resolution
to Increase Permanent Fund Distribution for Classrooms
(Santa Fe, NM) — After successive years of voting down attempts to increase or freeze annual distributions paid to education from the $15 billion Permanent Fund, the Senate Finance Committee reversed course on Friday night and voted 5-3 to move Senate Joint Resolution 3 (SJR 3), “Permanent Fund Annual Distributions” to the Senate Floor.
“This measure, Senate Joint Resolution 3, is critical for New Mexico’s future,” said SJR 3’s sponsor, Senator Michael Padilla (D-14, Bernalillo). “Without it, classrooms and the education of children will experience disastrous reductions in funding and resources. It is imperative that we pass it. Our investment in the state’s educational system is as sound as an investment as we can make for our state’s children and their future.”
Currently public schools, state universities and other beneficiaries receive a 5.5 % annual distribution from the interest accrued from the fund and the percentage was set to drop to 5% in July. SJR 3 would increase that distribution to 5.8% with a 10-year sunset clause. The distribution would cease if the Permanent Fund ever fell below $12 billion.
“Many have mischaracterized this measure as a so-called ‘raid’ on the Permanent Fund,” Sen. Padilla said. “The annual distribution would not touch the corpus of the fund and, while we are facing a dire shortfall in general fund revenues this year, this would allow our vital educational system to continue operating without being cut and bolster our educational systems.
SJR 3 must be approved by the Senate, and then the House of Representatives before voters would have the final say in November’s general election.
The American Federation of Teachers-New Mexico (AFT NM), which speaks for thousands of teachers across the state and advocates strongly for classrooms and students, vowed after the vote on SJR 3 to work closely with Sen. Padilla to see this measure placed before the voters of New Mexico. AFT NM applauded his efforts to make sure that public schools receive the funding students deserve.
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