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Published: 27 September 2016 27 September 2016

By Mary Alice Murphy

A letter from the New Mexico Department of Finance and Administration states that due to a reduction in the state's revenue in 2016, the executive branch of the government, including all departments and cabinet secretaries, is working with the legislative branch to address the shortfall.

Effective immediately, which was the date of the letter, Sept. 19, 2016, all executive branch state agencies "are directed to freeze capital outlay projects that have no activity, excluding projects authorized in 2016."

The letter states that no activity includes no intergovernmental grant agreement in place; no notice of obligations in place, and no encumbrances or expenditures, as of Sept. 6, 2016.

Southwest New Mexico Council of Governments Executive Director Priscilla Lucero told the Beat that even if a grant agreement is in place, if no obligations to pay vendors are in place, an agency will have its capital outlay frozen. The majority of those frozen, she said, have anti-donation issues.

She said in a meeting with the Local Government Division on Monday, Sept. 26, 2016, it was said that those capital outlay projects that are being used as a match are safe for the time being because they are bringing in dollars from outside.

"Right now, the 2016 capital outlay projects are safe," Lucero said. "But I caution every agency with capital outlay projects in progress to make sure it is updating its reports as soon as any activity takes place, as quickly as possible. Bill as often as possible and move as expeditiously as possible."