OPINION: Low-income property tax rebate would demonstrate support of homeownership

On Tuesday, Feb. 11, the Bernalillo County Board of Commissioners will consider final adoption of an ordinance that I am proud to be sponsoring. The move is a low-income tax rebate, pursuant to a long-standing state statute allowing counties to implement a rebate for very low-income homeowners.

The rebate would be available to taxpayers with a modified gross income of $24,000 or less, who own their place of residence within Bernalillo County, are not a dependent of another individual, have not been an inmate in a public institution for more than six months during the taxable year and who apply for a property tax rebate on their New Mexico state tax return. The maximum rebate is $350.

Bernalillo County is responsible for the cost of the rebate and the board was provided estimates from the New Mexico Taxation & Revenue Department based on data from other counties and data from the latest census. Independent economic analysis indicates this tax cut is expected to cost the county around $1.6 million per year.

New Mexico units of government that have adopted the rebate include Doña Ana, Los Alamos and Santa Fe counties.

New Mexico has one of the highest rates of poverty in the United States. According to a 2023 report published by the Legislative Finance Committee, 17.6% of our residents live in poverty and for many it is generational poverty. However, one of the best ways to break the cycle of poverty is through homeownership.

This measure offers help to homeowners, through a rebate that can be used to offset the rising costs of interest rates, pay for property insurance, food and medical expenses. This tax cut also provides the opportunity for the county to incentivize investment by families and individuals in our community who own their home.

Homeowners have chosen to buy into our community and put down roots here, contributing to our local culture and economy. Low-income individuals who qualify for this tax cut are likely to put this money right back into our community, purchasing goods and services and providing employment to locals.

Individuals who qualify for this rebate are likely to skew older and have fixed incomes, making this tax cut even more beneficial as these are the people least able to respond to the rising costs of living over the last several years.

We have provided many tax abatements and incentives to out-of-state corporations looking to grow business here. Now we have an opportunity to help our local residents who have invested in and raise their families in our community.

The Board of Commissioners has expanded behavioral health services and enhanced public safety through measures, like increased salaries for deputies. We have put millions of dollars into infrastructure, like parks, community centers, water lines and roads. These are critical investments we must continue, but growing the government is not always the answer and this is an opportunity to return some tax dollars to our community in a targeted and meaningful way.

It’s time to help our residents most in need of a new resource to ease financial stress, purchase nutritious food or sign their child up for a recreational sport.

Our plan is to have a robust outreach program to ensure all those eligible are aware of the property tax rebate.

Governments can be agents of change, and I believe this small but significant measure will greatly assist families in need and demonstrate our ongoing support of homeownership and affordability in Bernalillo County.

Eric Olivas, of Albuquerque, represents District 5 on the Bernalillo County Commission. He is also the commission’s chair.