Days remaining in session: 1/2

Locomotive fuel exemption goes to governor: A bill that would exempt locomotive fuel from New Mexico's gross receipts tax is headed to the Gov. Susana Martinez's desk. The House passed the bill. The Senate then had to agree to changes the House made to the legislation, which it did. The exemption has been one of the governor's legislative priorities. The exemption will allow for the groundbreaking of a new Union Pacific rail facility in Santa Teresa, the Governor's Office said in a news release issued Friday. According to the release, Union Pacific estimates that its construction will create approximately 3,000 jobs over time with 900 sustained jobs at the peak and up to 660 workers for the permanent operation.

"Encouraging businesses to invest in our state is an important step toward reviving New Mexico's economy," the governor said in the release. "Reducing taxes to make us more competitive with neighboring states is a common-sense policy that will foster growth and encourage businesses to come here and hire New Mexico workers. I thank members from both parties for coming together to pass this much-needed measure that allows us the opportunity to take back jobs lost to other states, attract new development, and give New Mexico businesses the tools to grow and succeed."

In-state, out-of-state: The Legislature has passed a bill that would tighten a program that gives advantage to New Mexico businesses in contracting with the state.

The existing system is meant to give companies in the state an edge by granting them a 5 percent preference in pursuing state contracts. Sen. Tim Keller, sponsor of Senate Bill 19, said the system has been abused by out-of-state companies that only meet New Mexico tax residency requirements on a short-term basis before bidding on state contracts. The bill, he said, tightens requirements to make sure tax dollars go to New Mexicans.

Supporters of the bill said additional oversight and increased enforcement will force out-of-state bidders to be more cautious about in-state requirements.

"New Mexico will be able to enforce a much-needed preference for our local business owners while encouraging entrepreneurship from farm work to professional services to construction management," Keller said.

Lawmakers pass substance-abuse treatment measure: People facing certain drug possession charges in New Mexico would have the option of treatment rather than jail time under a measure that cleared its final legislative hurdle Friday night.

The proposed Substance Abuse and Crime Prevention Act would give judges the ability to determine after a hearing if a treatment program would be a viable option for a defendant. If the defendant failed to complete treatment, the state would be able to resume its prosecution. With successful treatment, the case could be dismissed.

Supporters of the measure say the option of treatment could help break the cycle of substance abuse and save the state millions of dollars in prosecution and incarceration costs.

The measure passed the House on a 41-26 vote. It now goes to the governor.

A study on how to attract big-time sports to New Mexico: Legislation that would ask the New Mexico Economic Development Department to devise a long-term, strategic plan to attract tourism from big-time sports cleared the House on a 60-2 vote.

"New Mexico must develop a long-term strategic plan to capture the full economic benefits of sports tourism. Major sporting events and sports tournaments could bring in millions of out-of-state dollars," said Rep. Antonio "Moe" Maestas, D-Albuquerque, who sponsored the legislation. "An economic strategy and our state's natural beauty can attract tourism on two fronts."

Senate approves bill to create redistricting panel: Lawmakers are getting ready for a politically thorny assignment after the 60-day Legislature ends.

The Senate unanimously approved a proposal on Thursday to create an interim committee on redistricting.

The committee of 18 House and Senate members will hold hearings this summer and make recommendations for redrawing the boundaries of districts for the Legislature, Congress, Public Regulation Commission and Public Education Committee.

The Legislature is expected to hold a special session later this year to change district boundaries using population figures from the 2010 census. The goal is to equalize district populations to comply with the legal doctrine of "one person, one-vote." However, redistricting often becomes a highly partisan battle.

The legislation heads to the House for consideration.

Spreading the word: Legislation that would require counties to provide notification of industrial-revenue bond issuance to all property taxing entities within that county passed the Senate unanimously Friday. Under current law, counties are only required to notify the county assessor and the largest municipality located in the county.

House Bill 558, sponsored by Rep. Rhonda King, D-Stanley, would provide school districts with the opportunity to send comments to the board of county commissioners before the final decision of the county. Currently, a county is not required to notify school districts.

"This measure is about providing more transparency and practicing good government," King said in a news release issued Friday. "The decision about bond issuance still resides with the county, but this will allow for greater public input."

The bill now heads to the governor's desk for consideration.

Looking ahead: The 2011 Legislature ends at noon today.

Quote of the day: "It's time to shoot the wounded, blame the innocent, reward the guilty, and let the survivors take the credit." — A plaque on the door to the office of Ron Forte, chief of staff for Sen. President Pro Tem Tim Jennings, D-Roswell.



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