Executive and Legislative Finance Committee Budget Recommendations

Executive and Legislative Finance Committee Budget Recommendations

Fiscal year 2020

The Governor’s office released its Executive Budget Recommendation, which recommends a general fund recurring budget of $7.1 billion, a 13% increase general reserve fund increase.

The Legislative Finance Committee (LFC) also released its recommendation.  It proposes an increase of $21 million in recurring funds for all higher education, an increase of 2.6 percent.

The Legislative Finance Committee released its budget recommendation on January 14, 2019 and it

includes a total of $824.5 million in recurring funding for FY20, an increase of 2.6 percent from the FY19

funding level. Detail regarding the NMSU System budget is located on the table below and compares

the executive recommendation and the Legislative Finance Committee recommendation.

They also recommend several non‐recurring items: $50 million for the college affordability endowment

fund, $25 million for the higher education endowment fund, and $25 million for the teacher loan

repayment program.

They recommend 4 percent compensation increase for all state and higher education employees and

includes $27.2 million from the general fund for 1 percent employer increase. An introduced bill

proposed to increase the employer contribution from 13.9% to 14.9%. The funding is contingent upon

legislation balancing increased revenues with controlling expenditures.

The LFC is recommending a total of $26,155,000 in capital outlay and can be found on the attached

table.

 


Fiscal Year 2019

The Executive (The Governor’s Office and state administration) and the Legislative Finance Committee (LFC) on January 5 released their final recommendations as legislators head into the 2018 legislative session.  Below is a preliminary summary of the FY19 budget recommendations.

 

I&G Funding Formula
  • Executive adopts the Higher Education Department (HED) recommendation of 0% new money and 6.5% redistribution
  • LFC recommends 0% new money and 4% redistribution
Non I&G
  • Without specific details, it is appears that the Executive recommends flat funding for RPSP’s, and recommending $1.0 for the Office of the Medical Investigator
Compensation
  • Executive – ?
  • LFC includes $1.5% compensation
Special Appropriations
  • LFC recommends a $4.0 million nonrecurring appropriation for FY19 for the lottery scholarship
General Obligation Bond

To read the reports, click on the links below:

 

 

 

Executive Recommendation for FY 2019

  LFC Recommendation
  Volume 1: Policy and Performance Analysis
  Volume 2: Appropriation Recommendations
  Volume 3: Supplemental Charts and Graphs

 

 

Fiscal year 2018

 
              NMSU Impact: Side-by-side Comparison of Executive budget proposal and Legislative Finance
              Committee proposal
              Budget Capital Progression Table FY18

The Governor's budget proposal: •For the remainder of FY 2017, includes an additional 0.5% reduction from the 2016 Special Session reduction of 5% for higher education •Includes an ERB swap, but decreasing the employer contribution by 3.5% and increasing the employee contribution by 3.5% •For FY 2018, a 1% reduction to higher educations institutions, and a .5% cut to special schools

The Governor’s budget proposal
  • Remainder of FY 2017:

*  Additional 0.5% reduction from the 2016 Special Session reduction of 5% for higher education

*  Includes an ERB swap, by decreasing the employer contribution by 3.5% and increasing the employee contribution by 3.5%

FY 2018:

*  1% reduction to higher education institutions, and a .5% cut to special schools

                               *  Continues 3.5% ERB swap

                                                       Click here to for more information on the Governor’s website

 

The Legislative Finance Committee:

 * .6% reduction for higher education

* Does NOT propose modifications to the employees contribution to retirement

* 4% base redistribution and no new money for the Instruction & General (I&G) funding formula

* For Non I&G, a 6.5% reduction for most Research and Public Service Projects (RPSP’s) and

moving several projects into I&G

* Flat budget for the Agricultural Experiment Station, Cooperative Extension Service, and the New

Mexico Department of Agriculture

                                                       Click here to see the proposal on the LFC website