This bill aims to codify the existing practice of allocating severance tax bonding capacity equally among the House of Representatives, the Senate, and the Governor. It establishes a new section in the Severance Tax Bonding Act that mandates the state board of finance to determine the estimated bonding capacity for the year. Once this capacity is established, it will be divided equally among the legislative bodies and their members, ensuring that each entity receives an equal share.

Additionally, the bill specifies that the Governor's allocation must be dedicated to state projects or those of statewide or regional significance. This limitation is intended to ensure that gubernatorial projects focus on initiatives that benefit a broader audience rather than local or less significant projects. Overall, the bill seeks to create a more structured and equitable process for the allocation of severance tax bonding capacity in New Mexico.