The bill amends the investment classes for the Severance Tax Permanent Fund in New Mexico. It specifies that the fund shall be invested in separate investment classes as outlined in the new language. The bill introduces definitions for "differential rate investments," which are intended to stimulate the New Mexico economy and provide income to the fund, and "market rate investments," which are defined as investments that are not differential rate investments but also aim to generate income for the fund.

Additionally, the bill clarifies that differential rate investments are permitted only for specific investments made under certain sections of the law, with a deadline for some investments set before July 1, 2026. It also mandates that all investments must comply with the Uniform Prudent Investor Act and be accounted for according to generally accepted accounting principles. The previous requirement for the fund to invest in loans for emergency economic relief to local governments has been removed from the law.

Statutes affected:
introduced version: 7-27-5