The proposed "Environmental Product Declaration Act" establishes a framework for the creation and management of an Environmental Product Declaration Program within the New Mexico Department of Environment. This program aims to assist manufacturers of specified covered materials—such as concrete, steel, and insulation—in developing environmental product declarations that provide a life-cycle assessment of their products' greenhouse gas emissions. The Act outlines the responsibilities of the department, including the analysis of data from these declarations, research on reducing embodied carbon in state construction projects, and the publication of annual reports detailing the program's progress and recommendations.

Additionally, the Act creates the "Environmental Product Declaration Fund," which will be financed through various sources, including a $5 million transfer from the general fund. This fund will support the program's operations, including contracting services to help manufacturers create their declarations, while limiting administrative costs to no more than ten percent of the fund's balance each fiscal year. The Act mandates that the department develop rules for the program by January 1, 2027, and sets the effective date for the Act as July 1, 2026.