Just two weeks into a new fiscal year, New Mexico’s budget picture is improving as the state is on pace to have a $120 million revenue surplus, according to new estimates released today by legislative and executive economists.
The new revenue figures were presented to members of the Legislative Finance Committee today in Socorro.
After three straight years of budget cuts, incoming state revenue is now projected to top $5.5 billion for the budget year that began July 1. That would exceed appropriations in the state’s $5.4 billion budget by about $120 million.
However, serious fiscal concerns are looming on the horizon.
They include rising Medicaid costs, the future solvency of the state’s public employee pension plans and the higher-than-expected price tag this summer of wildfires and other natural disasters.
Check tomorrow’s Journal for more information.