Copyright © 2018 Albuquerque Journal
SANTA FE – As New Mexico enjoys a revenue boom – after a financial crisis just two years ago – legislators are struggling with how much they should set aside for the next rainy day.
The debate boiled over Wednesday as the chairman of the Senate Education Committee took aim at state economists who warned that this year’s surge in revenue may not last.
Sen. William Soules, D-Las Cruces, questioned whether state officials are being too cautious by recommending the Legislature maintain reserves of 20 to 25 percent of state spending levels. He said he had reviewed a report from an international credit rating agency that recommended New Mexico keep about 17 percent in reserves.