SB 178 — SPECIAL DISTRICT ELECTIONS & TAXES

"enhancedJ. services" means public services d r e 22 provided by a municipality or county within the district at a c e s k 23 higher level or to a greater degree than otherwise available to e a n b 24 the land located in the district from the municipality or u [ county, including such services as public safety, fire .222231.1 - 4 - protection, street or sidewalk cleaning or landscape maintenance in public areas.

"enhanced services" means public services provided by a municipality or county within the district at a higher level or to a greater degree than otherwise available to the land located in the district from the municipality or county, including such services as public safety, fire protection, street or sidewalk cleaning or landscape maintenance in public areas.

h L.

"governing body" means the body or board that by u » r law is constituted as the governing body of the municipality or t h g e l i county [in which]which ] ordering formation of the [public h r i s improvement] district [is located];

h , e h M.

"municipality" means an incorporated city, town t u g e b l e e , gh or village, [or town] whether incorporated under general act, n d d i = = o h special act, special charter or territorial charter, but does l ] b ,d i a º r not mean a combined city and county corporation, an e r = t 17e w d m a n o incorporated county or a single urban government;

w l n d 18m N.:

"owner"b meansr =e =t 19º ao lt [(1)n the= person.222231.1AIC whoFebruary is9, listed2022 as(4:52pm) thes ownerk ofm i a e r- 205 real- propertye in the district on the current property tax a tn me m 21 assessment roll in effect at the time that the action, d r e 22l proceeding,u hearing[ orA electiond hasN. begun.

For"owner" purposesmeans of[(1) c e s k 23 voting in elections held pursuant to the Publicperson Improvementwho eis alisted nas b 24 District Act, when the owner of recordreal titleproperty isin athe marrieddistrict uon [the person,current onlyproperty onetax spouseassessment roll in whoseeffect nameat titlethe istime heldthat maythe voteaction, atproceeding, .222231.1hearing -or 5election -has suchbegun. election.

For purposes of voting in elections held pursuant to the Public Improvement District Act, when the owner of record title is a married person, only one spouse in whose name title is held may vote at such election.

(3) the guardian of a minor or incompetent person holding record title to land within the district, h appointed and qualified under the laws of the state;

g o t hr (4) an officer of a corporation holding record g e i k title to land within the district, which officer has been h r i s authorized by resolution of the corporation's board of h , t, directors to act with respect to such land;

e u g e b l e e h (5) the general partner of a partnership n d d i = = o h holding record title to land within the district;

l ] b ,d i a º e (6) the trustee of a trust holding record er i = r t 17e w d m a n o title to land within the district;

or w l n d 18 (7) the manager or member of a limited = = 19 a l liability company holding record title to land within the i a e r 20 district who has been authorized to represent the company] a a t m m: 21 person owning real property within the boundaries of a d r e 22 district;

cb e d s º o t n = .222231.1AIC February 9, 2022 (4:52pm) s k 23m O.e - 6 - e a n e d r e l u [ A d (7) the manager or member of a limited liability company holding record title to land within the district who has been authorized to represent the company] a person owning real property within the boundaries of a district;

"person"O. means any individual, estate, trust, e a n b 24 receiver, cooperative association, club, corporation, company, u [ firm, partnership, limited liability company, joint venture, .222231.1 - 6 - syndicate or other association;

"person" means any individual, estate, trust, receiver, cooperative association, club, corporation, company, firm, partnership, limited liability company, joint venture, syndicate or other association;

h (1) sanitary sewage systems, including g o t hr collection, transport, storage, treatment, dispersal, effluent g e i k use and discharge;

h r i s (2) drainage and flood control systems, h , t, including collection, transport, diversion, storage, detention, e u g e b l e e h retention, dispersal, use and discharge;

n d d i = = o h (3) water systems for domestic, commercial, l ] b ,d i a º e office, hotel or motel, industrial, irrigation, municipal or er ti 17= firer protectiont purposes,e including production, collection, w l n d 18m storage,a treatment,n transport,o delivery,fire connectionprotection andpurposes, =including =production, 19collection, ad lm dispersal;:

ib a e rd 20s (4)º highways,o streets,t roadways,n bridges,= a.222231.1AIC tFebruary m9, m2022 21(4:52pm) crossings structuresk andm parkinge facilities,- including7 all- arease a n e d r e 22l foru vehicular[ useA ford travel,storage, ingress,treatment, egresstransport, delivery, connection and parking;dispersal;

c(4) ehighways, sstreets, kroadways, 23bridges, (5)crossing trailsstructures and areasparking forfacilities, pedestrian,including eall aareas nfor bvehicular 24 equestrian, bicycle or other nonmotor vehicle use for travel, u [ ingress, egress and parking;

.222231.1(5) -trails 7 - (6) pedestrian malls, parks, recreational facilities and open space areas for thepedestrian, useequestrian, ofbicycle membersor ofother thenonmotor publicvehicle use for entertainment,travel, assemblyingress, egress and recreation;parking;

(6) pedestrian malls, parks, recreational facilities and open space areas for the use of members of the public for entertainment, assembly and recreation;

h (9) electrical generation, transmission and g o t hr distribution facilities;

g e i k (10) natural gas distribution facilities;

h r i s (11) lighting systems;

h , t, (12) cable or other telecommunications lines e u g e b l e e h and related equipment;

n d d i = = o h (13) traffic control systems and devices, l ] b ,d i a º e including signals, controls, markings and signage;

er ti 17= (14)r schoolt sitese and facilities with the w l n d 18m consenta ofn theo governing(14) board of the public school districtsites =and =facilities 19with a l for which the sited orm facility: is to be acquired, constructed i a e r 20 or renovated;

ab e d s º o t mn = .222231.1AIC February 9, 2022 (4:52pm) s k m 21e (15)- library8 and- othere publica educationaln ore d r e 22l culturalu facilities;[ A d consent of the governing board of the public school district for which the site or facility is to be acquired, constructed or renovated;

c(15) elibrary s k 23 (16) equipment, vehicles, furnishings and e a n b 24 other personaltypublic relatededucational toor thecultural itemsfacilities; listed in this u [ subsection;

and(16) .222231.1equipment, -vehicles, 8furnishings -and (17)other inspection,personalty constructionrelated managementto andthe programitems managementlisted costs;in this subsection;

and (17) inspection, construction management and program management costs;

(1) planning, design, engineering, construction, acquisition or installation of public infrastructure, including the costs of applications, impact fees and other fees, permits and approvals related to the construction, acquisition or installation of such h infrastructure;

g o t hr (2) acquiring, converting, renovating or g e i k improving existing facilities for public infrastructure, h r i s including facilities owned, leased or installed by an owner;

h , t, (3) acquiring interests in real property or e u g e b l e e h water rights for public infrastructure, including interests of n d d i = = o h an owner;

l ] b ,d i a º e (4) establishing, maintaining and replenishing er i = r t 17e w d m a n o reserves in order to secure payment of debt service on bonds;

w l n d 18m (5): funding and paying from bond proceeds = = 19 a l interest accruing on bonds for a period not to exceed three i a e r 20 years from their date of issuance;

ab te m m 21 (6) funding and paying from bond proceeds d rs eº 22o fiscal,t financialn and= legal.222231.1AIC consultantFebruary fees,9, trustee2022 fees,(4:52pm) c e s k 23m discounte fees,- district9 formation- and election costs and all e a n be 24d costsr ofe issuancel of bonds issued pursuant to the Public u [ ImprovementA Districtd Act,(5) includingfunding fees and costspaying forfrom bond .222231.1proceeds -interest 9accruing -on counsel,bonds financialfor advisors,a consultantsperiod andnot underwriters,to costsexceed ofthree obtainingyears creditfrom ratings,their bonddate insurance premiums, fees for letters of creditissuance; and other credit enhancement costs and printing costs;

(6) funding and paying from bond proceeds fiscal, financial and legal consultant fees, trustee fees, discount fees, district formation and election costs and all costs of issuance of bonds issued pursuant to the Public Improvement District Act, including fees and costs for bond counsel, financial advisors, consultants and underwriters, costs of obtaining credit ratings, bond insurance premiums, fees for letters of credit and other credit enhancement costs and printing costs;

(8) refinancing any outstanding bonds with new bonds, including through the formation of a new public h improvement district;

and u » r (9) incurring expenses of the district t h g e l i incident to and reasonably necessary to carry out the purposes h r i s specified in this subsection;

h , e h R.

"related entities" means two or more entities t u g e b l e e , gh that are owned in an amount greater than fifty percent by the n d d i = = o h same person, either directly or through one or more persons;

l ] b ,d i a º r S.

"special levy" means a levy imposed against real e r = t 17e w d m a n o property within a district that may be apportioned according to w l n d 18 direct or indirect benefits conferred upon affected real = = 19 a l property, as well as acreage, front footage, the cost of i a e r 20 providing public infrastructure for affected real property, or a t m m: 21 other reasonable method, as determined by the [governing body d r e 22 or] district board [as applicable];

andb cr e t º o t n = .222231.1AIC February 9, 2022 (4:52pm) s k 23m T.e - 10 - e a n e d r e l u [ A d direct or indirect benefits conferred upon affected real property, as well as acreage, front footage, the cost of providing public infrastructure for affected real property, or other reasonable method, as determined by the [governing body or] district board [as applicable];

"treasurer"and meansT. the treasurer of the governing e a n b 24 body or the person appointed [by the district board] as the u [ district treasurer pursuant to Section 5-11-6 NMSA 1978." .222231.1 - 10 - SECTION 2.

"treasurer" means the treasurer of the governing body or the person appointed [by the district board ] as the district treasurer pursuant to Section 5-11-6 NMSA 1978." SECTION 2.

If the public convenience and necessity require, and on presentation of an application required by Section [10 of this 2013 act] 5-11-2.1 NMSA 1978 that is supported by a petition signed by the owners of at least twenty-five percent h of the real property by assessed valuation proposed to be u » r included in the district, the governing body may adopt a t h g e l i resolution declaring its intention to form a public improvement h r i s district to include contiguous or noncontiguous property, which h , e h shall be wholly within the corporate boundaries of the t u g e b l e e , gh municipality or county.

If the governing body fails to act n d d i = = o h within ninety days following presentation of a petition to l ] b ,d i a º r create a public improvement district, the petition shall be e r = t 17e w d m a n o deemed to have been accepted by the governing body, which shall w l n d 18m adopt: a resolution and hold a public hearing pursuant to this = = 19 a l section.

b r e t º o t n = .222231.1AIC February 9, 2022 (4:52pm) s k m e - 11 - e a n e d r e l u [ A d adopt a resolution and hold a public hearing pursuant to this section.

i a e r 20 (1) the area or areas to be included in the a t m m 21 district;

d r e 22 (2) the purposes for which the district is to c e s k 23 be formed;

e a n b 24 (3) that a general plan for the district is on u [ file with the clerk that includes a map depicting the .222231.1 - 11 - boundaries of the district and the real property proposed to be included in the district, a general description of anticipated improvements and their locations, general cost estimates, proposed financing methods and anticipated tax levies, special levies or charges, and that may include possible alternatives, modifications or substitutions concerning locations, improvements, financing methods and other information provided in the general plan;

h (4) the rate, method of apportionment and g o t hr manner of collection of a special levy, if one is proposed, in g e i k sufficient detail to enable each owner or resident within the h r i s district to estimate the maximum amount of the proposed levy;

h , t, (5) a notice of public hearing in conformity e u g e b l e e h with the requirements of Section 5-11-4 NMSA 1978;

n d d i = = o h (6) the place where written objections to the l ] b ,d i a º e formation of the district may be filed by an owner;

er ti 17= (7)r thatt formatione of the district may result w l n d 18m in the levy of property taxes or the imposition of special = = 19 a ln levieso to(7) paythat theformation costs of public infrastructure constructed by i a e r 20 the district and for their operation and maintenance and may a t m m 21 result in the assessment of fees or charges to pay the cost of d rm e: 22 providing enhanced services;

cb e d s º o t n = .222231.1AIC February 9, 2022 (4:52pm) s k 23m (8)e - 12 - e a referencen e d r e l u [ A d in the levy of property taxes or the imposition of special levies to pay the Publiccosts Improvementof epublic ainfrastructure nconstructed bby 24the Districtdistrict Act;and for their operation and maintenance and may result in the assessment of fees or charges to pay the cost of providing enhanced services;

and(8) u [ (9) whether the district board will be .222231.1 - 12 - [governed by a districtreference boardto comprised] composed of the membersPublic ofImprovement theDistrict governingAct; body [ex officio] or [comprised of five directors initially appointed by the governing body] if an administrative committee will be appointed.

and (9) whether the district board will be [governed by a district board comprised ] composed of the members of the governing body [ex officio ] or [comprised of five directors initially appointed by the governing body] if an administrative committee will be appointed.

Before adopting a resolution pursuant to this h section, a general plan for the district shall be filed with g o t hr the clerk." g e i k SECTION 3.

Section 5-11-6 NMSA 1978 (being Laws 2001, h r i s Chapter 305, Section 6, as amended) is amended to read:

h , t, "5-11-6.

ORDER FORMING DISTRICT--[FORMATION e u g e b l e e h DETERMINATION] ELECTION PROCEDURES--FORMATION DETERMINATION.-- n d d i = = o h A.

After the hearing, the governing body shall l ] b ,d i a º e determine whether the district should be formed based upon the er ti 17= interests,r conveniencet ore necessity of the owners, residents of w l n d 18m thea districtn ando citizensinterests, ofconvenience the municipality or countynecessity inof = = 19 a l which the proposedowners, districtresidents wouldof bed located.m :

Ifb the governing i a e rd 20s bodyº determineso that the district should be formed, it shall a t mn m= 21.222231.1AIC adoptFebruary a9, resolution2022 ordering(4:52pm) that the district be formed, d r e 22 deleting any property determined not to be directly or c e s k 23m indirectlye benefited- by13 the- district or modifying the general e a n be 24d planr ande thenl ordering that a formation determination be u [ conductedA andd anthe electiondistrict beand heldcitizens onof the questionmunicipality whetheror tocounty .222231.1in -which 13the -proposed formdistrict thewould district.be located.

AIf resolutionthe orderinggoverning abody formationdetermines ofthat the district shallshould requirebe theformed, ownersit toshall authorizeadopt bya determinationresolution theordering issuance of general obligation bonds and that anthe electiondistrict be calledformed, todeleting submitany theproperty questiondetermined ofnot imposingto abe propertydirectly taxor toindirectly paybenefited debtby service on the bondsdistrict pursuantor tomodifying Section 5-11-19 NMSA 1978 to the qualifiedgeneral electorsplan orand declarethen ordering that a specialformation levydetermination may be imposedconducted inand thean districtelection inbe complianceheld withon Sectionthe 5-11-20question NMSAwhether 1978to andform setthe adistrict. maximum levy for each class of property.

A resolution ordering a formation of the district shall staterequire thatthe owners to authorize by determination the districtissuance willof general obligation bonds and that an election be governedcalled byto submit the question of imposing a districtproperty boardtax consistingto ofpay membersdebt ofservice on the governingbonds body.pursuant to Section 5-11-19 NMSA to the qualified electors or declare that a special levy may be imposed in the district in compliance with Section 5-11-20 NMSA 1978 and set a maximum levy for each class of h property.

[exA officio,resolution or,ordering upona determinationformation of the governingdistrict body,u five» directorsr appointedshall bystate that the governingdistrict body,will andbe shallgoverned containby thea namesdistrict oft theh fiveg initiale directorsl andi theboard termsconsisting of officemembers of each.the governing body.

If[ex theh governingr bodyi appointss aofficio, districtor, board,upon itdetermination shallof appointthe agoverning treasurerbody, andfive ah clerk, frome theh directors appointed eby tthe 17governing members]body, Theand resolutionshall maycontain alsot provideu forg ane administrativeb w l ne de 18, committeegh to administer the day-to-daynames operationof andthe oversightfive =initial =directors 19and a l of the district,terms composed of fiveoffice membersn appointedd pursuantd to i a= e= ro 20h Sectionof 5-11-9each. NMSA 1978;

providedIf that if the membersgoverning ofbody theappoints a tdistrict mboard, mit 21l administrative] committeeb are,d toi servea byº virtuer ofshall appoint a treasurer and a clerk from the member'sappointed de r e= 22t title,e thew persond whom holdsa thatn titleo shallmembers] fillThe thatresolution positionmay calso eprovide sfor kan 23administrative ond them committee.:

Theb resolutionr shalle alsot assignº theo dutiest n = .222231.1AIC February 9, 2022 (4:52pm) s k m e - 14 - e a n be 24d ofr clerke l u [ A d committee to administer the day-to-day operation and treasureroversight forof the district.district, composed of five members appointed pursuant to Section 5-11-9 NMSA 1978;

uprovided [that B.if the members of the administrative committee are to serve by virtue of the member's title, the person who holds that title shall fill that position on the committee.

BeforeThe submittingresolution theshall questionalso ofassign formation of .222231.1 - 14 - the districtduties to the qualified electors of theclerk proposedand district,treasurer afor formation determination shall be conducted by the governingdistrict. body among the owners unless a petition is presented to the governing body pursuant to Subsection F of Section 5-11-7 NMSA 1978.

[InB. the formation determination, each owner shall have the number of votes or portions of votes equal to the number of acres or portions of acres rounded upward to the nearest one-fifth of an acre owned by that owner in the submitted district.] C.

ABefore submitting the question of formation orof otherthe determinationdistrict shallto notthe bequalified electors of the proposed district, a localformation electiondetermination forshall purposesbe ofconducted by the Localgoverning Electionbody Actamong orthe owners unless a specialpetition electionis forpresented purposesto the governing body pursuant to Subsection F of theSection Special5-11-7 ElectionNMSA Act.1978.

The[In governingthe bodyformation [ordetermination, theeach districtowner board]shall mayhave establishthe localnumber proceduresof forvotes noticing,or conductingportions andof canvassingvotes determinations,equal whichto maythe includenumber determinationsof madeacres byor unanimousportions writtenof approvalacres ofrounded theupward ownersto inthe affidavitsnearest executedone-fifth eof tan 17acre owned by thethat ownersowner andin confirmedthe inh asubmitted reviewdistrict.] byu the» districtr board.C.

wA lformation nor dother 18determination In a determination, each owner shall havenot onebe votet forh eachg =e =l 19i a llocal one-fifthelection offor anpurposes acreof located within the districtLocal roundedElection upwardAct ior a eh r 20i tos thespecial nearestelection one-fifthfor purposes of anthe acre.Special Election Act.

The h , e h governing body [or the district board ] may establish local t u g e b l e e , gh procedures for noticing, conducting and canvassing n d d i = = o h determinations, which may include determinations made by l ] b ,d i a º r unanimous written approval of the owners in affidavits executed e r = t me w d m 21a D.n o by the owners and confirmed in a review by the district board.

Should the formation determination by the owners d rm e: 22 result in a three-fourths' majority vote in favor of formation, c e s k 23 the question shall also be submitted to a vote of the qualified e a n b 24 electors of the proposed district.

Theb conductr ofe t º o t n = .222231.1AIC February 9, 2022 (4:52pm) s k m e - 15 - e a formationn e d r e l u [ electionA byd qualifiedIn electorsa determination, each owner shall meethave theone requirementsvote for each one-fifth of .222231.1an -acre 15located -within Sectionthe 5-11-7district NMSArounded 1978.upward to the nearest one-fifth of an acre.

D.

Should the formation determination by the owners result in a three-fourths' majority vote in favor of formation, the question shall also be submitted to a vote of the qualified electors of the proposed district.

The conduct of a formation election by qualified electors shall meet the requirements of Section 5-11-7 NMSA 1978.

h "5-11-7.

NOTICE AND CONDUCT OF ELECTION--WAIVER.-- g o t hr A.

[Any][Any ] Except as otherwise provided by this g e i k section, an election by qualified electors pursuant to the h r i s Public Improvement District Act shall be a nonpartisan election h , t, called, conducted and canvassed pursuant to the provisions of e u g e b l e e h the [Election Code]Code ] Local Election Act.

n d d i = = o h B.

In addition to those matters required for notice l ] b ,d i a º e as provided in the Local Election Act, the notice of election er i = r t 17e w d m a n o shall state:

w l n d 18m (1): if the election is a formation election, = = 19 a l the boundaries of the proposed district;

ib a e rd 20s (2)º ifo thet electionn is= a.222231.1AIC bondFebruary election,9, the2022 a(4:52pm) ts mk m 21e amount- of16 bonds- toe bea authorizedn fore the district, the maximum d r e 22l rateu of[ interestA tod be(1) paidif on the bondselection andis thea maximumformation termelection, cthe eboundaries s k 23 of the bonds,proposed notdistrict; exceeding thirty years;

e(2) a n b 24 (3) if the election is a propertybond taxelection, levythe uamount [of electionbonds pursuant to Sectionbe 5-11-19authorized NMSAfor 1978,the district, the maximum tax .222231.1 - 16 - rate per one thousand dollars ($1,000) of assessedinterest valuation to be imposed,paid on the purposesbonds forand which the revenuesmaximum raisedterm willof be used and the existingbonds, maximumnot taxexceeding rate,thirty ifyears; any;

(3) if the election is a property tax levy election pursuant to Section 5-11-19 NMSA 1978, the maximum tax rate per one thousand dollars ($1,000) of assessed valuation to be imposed, the purposes for which the revenues raised will be used and the existing maximum tax rate, if any;

(5) the purposes for which the property taxes or the special levies will be imposed, and the revenues raised will be used, including a description of the public h improvements to be financed with tax revenues, special levies, u » r district revenues or bond proceeds;

and t h g e l i (6) that the imposition of property taxes or h r i s special levies will result in a lien for the payment thereof on h , e h property within the district.

t u g e b l e e , gh [B.

The district board, or in the case of a n d d i = = o h formation election, the governing body, shall determine the l ] b ,d i a º r date of the election by passing a resolution to place the e r = t 17e w d m a n o ballot question on a regular local election or general election w l n d 18m ballot: or by adopting a proclamation calling for a special = = 19 a l election.

ib r e t º o t n = .222231.1AIC February 9, 2022 (4:52pm) s k m e - 17 - e a n e d r 20e C.l u [ A d ballot or by adopting a proclamation calling for a special election.

Except as otherwise provided by this section, a t m m 21 the election shall comply with the Local Election Act.] d r e 22 C.

TheExcept ballotas materialotherwise provided toby eachthis qualifiedsection, cthe eelection sshall kcomply 23with electorthe shallLocal include:Election Act.] C.

eThe aballot nmaterial bprovided 24to (1)each forqualified aelector formationshall election,include: an impartial u [ description of the district improvements contemplated and a .222231.1 - 17 - brief description of arguments for and against the formation of the district, if any;

(1) for a formation election, an impartial description of the district improvements contemplated and a brief description of arguments for and against the formation of the district, if any;

a brief description of arguments for and against the imposition h of taxes that are the subject of the election, if any;

and a u » r statement that the imposition of property taxes is for the t h g e l i provision of certain but not necessarily all public h r i s infrastructure improvements and services that may be needed or h , e h desirable within the district, and that other taxes, levies or t u g e b l e e , gh assessments by other governmental entities may be presented for n d d i = = o h approval by owners and qualified electors;

and l ] b ,d i a º r (3) for a formation election, the ballot, e r = t 17e w d m a n o which shall pose the question to be voted upon as ["district, w l n d 18m yes"]: "for district" and ["district, no"] "against district";

=b =r 19e at lº foro at bondn election,= ["bonds,.222231.1AIC yes"]February "for9, bonds"2022 and(4:52pm) ["bonds,s ik m e - 18 - e a n e d r 20e l u [ A d yes"] "for district" and ["district, no"] "against bonds";district";

for a propertybond tax election, if["bonds, noyes" tax] is a t m m 21 in place, ["property tax, yes"] "for propertybonds" tax" and d["bonds, r e 22 ["property tax, no"] "against propertybonds"; tax";

and for ana cproperty etax selection, kif 23no electiontax tois changein anplace, existing["property maximum or eliminate an existing e a n b 24 tax, ["taxyes" change,] yes"] "for taxproperty change"tax" and ["tax["property change,tax, uno" [] no"] "against taxproperty change",tax"; specifying the type of tax to which .222231.1 - 18 - the proposed change pertains.

and for an election to change an existing maximum or eliminate an existing tax, ["tax change, yes" ] "for tax change" and ["tax change, no"] "against tax change", specifying the type of tax to which the proposed change pertains.

h E.

If a person listed on the assessment roll is no g o t hr longer the owner of land in the district and the name of the g e i k successor owner becomes known to the governing body or the h r i s district board, as applicable, and is verified by recorded deed h , t, or other similar evidence of transfer of ownership, the e u g e b l e e h successor owner is deemed to be the owner for the purposes of n d d i = = o h the Public Improvement District Act.

l ] b ,d i a º e F.

Notwithstanding any other provision of the er ti 17= Publicr Improvementt Districte Act, if a petition for formation is w l n d 18m signeda byn ownerso ofPublic allImprovement ofDistrict theAct, landif in the district described = = 19 a l in the petition andfor formation is approvedd by the municipality or county, i a e r 20 the municipality or county may waive any or all requirements of a t m m: 21 posting, publication, mailing, notice, hearing and owner d r e 22 determination.

Onb receipte ofd suchs aº petition,o andt aftern c= e.222231.1AIC February 9, 2022 (4:52pm) s k 23m approvale by- an19 election- ofe qualifieda electors,n ife any,d ther e al nu b[ 24A municipalityd orsigned countyby shallowners declareof all of the districtland formedin uthe [district withoutdescribed beingin requiredthe topetition complyand withis approved by the provisionsmunicipality ofor county, the .222231.1municipality -or 19county -may Publicwaive Improvementany Districtor Actall forrequirements of posting, publication, mailing, notice, hearing orand owner determination.

On receipt of such a petition, and after approval by an election of qualified electors, if any, the municipality or county shall declare the district formed without being required to comply with the provisions of the Public Improvement District Act for posting, publication, mailing, notice, hearing or owner determination.

If no person is registered to vote within the district or proposed district areas within [seventy][seventy ] sixty- three days immediately preceding any scheduled election date, the election required to be held pursuant to the Public Improvement District Act shall be canceled and the determination made by the owners of land in the district or h proposed district areas shall prevail.

Under such u » r circumstances, when the question is on the formation of the t h g e l i district, the results of the formation determination of the h r i s owners shall prevail, unless the formation determination was h , e h waived by the governing body pursuant to Subsection F of this t u g e b l e e , gh section.

To the extent allowable by the constitution of New n d d i = = o h Mexico, when the question is on any other allowable action l ] b ,d i a º r otherwise requiring a vote of the qualified electors, the e r = t 17e w d m a n o owners or the owners of the proposed district areas shall make w l n d 18m a: determination, the result of which shall prevail." = = 19 a l SECTION 5.

Sectionb 5-11-7.1r NMSAe 1978t (beingº Lawso 2019,t in = .222231.1AIC February 9, 2022 (4:52pm) s k m e - 20 - e a n e d r 20e Chapterl 212,u Section[ 274)A isd amendeda todetermination, read:the result of which shall prevail." SECTION 5.

aSection t5-11-7.1 mNMSA m1978 21(being "5-11-7.1.Laws 2019, Chapter 212, Section 274) is amended to read:

POSTING"5-11-7.1. OF NOTICES.--For any election d r e 22 conducted pursuant to the Public Improvement District Act, in c e s k 23 addition to the notice requirements set forth in Section 5-11-7 e a n b 24 NMSA 1978, the [owners] district board shall ensure that u [ notices shall be posted in three conspicuous public places .222231.1 - 20 - within the boundaries of the district not less than twenty days before the first day for voting in the election." SECTION 6.

POSTING OF NOTICES.--For any election conducted pursuant to the Public Improvement District Act, in addition to the notice requirements set forth in Section 5-11-7 NMSA 1978, the [owners ] district board shall ensure that notices shall be posted in three conspicuous public places within the boundaries of the district not less than twenty days before the first day for voting in the election." SECTION 6.

If [the formation of the]the ] a district is [approved by at least a three-fourths' majority of the votes cast at the election] formed pursuant to Section 5-11-7 NMSA h 1978, the governing body shall cause a copy of the resolution g o t hr ordering formation of the district to be delivered to the g e i k county assessor and the county treasurer and shall be recorded h r i s by the county clerk for the county in which the district is h , t, located and to the taxation and revenue department and the e u g e b l e e h local government division of the department of finance and n d d i = = o h administration.

A notice of the formation showing the number l ] b ,d i a º e and date of the resolution and giving a description of the land er i = r t 17e w d m a n o included in the district shall be recorded with the county w l n d 18m clerk.:

=b e d s º o t n = 19.222231.1AIC February 9, 2022 (4:52pm) s k m e - 21 - e a n e d r e l B.u [ A d clerk.

ExceptB. as otherwise provided in this section, a i a e r 20 district shall be a political subdivision of the state, a t m m 21 separate and apart from the municipality or county.

TheExcept amountas dotherwise rprovided ein 22this ofsection, indebtedness evidenced by general obligation bonds issued c e s k 23 pursuant to Section 5-11-19 NMSA 1978, special levy bonds e a ndistrict b 24 issued pursuant to Section 5-11-20 NMSA 1978 and revenue bonds u [ issued pursuant to Section 5-11-21 NMSA 1978 shall notbe exceeda .222231.1political -subdivision 21 - the estimated cost of the publicstate, infrastructureseparate improvementsand plusapart allfrom costs connected with the publicmunicipality infrastructureor purposescounty. and issuance and sale of bonds, including, without limitation, formation costs, credit enhancement and liquidity support fees and costs.

The total aggregate outstanding amount of bonds and any other indebtedness forevidenced whichby thegeneral fullobligation faithbonds andissued creditpursuant ofto theSection district5-11-19 areNMSA pledged1978, shallspecial notlevy exceedbonds sixtyissued percentpursuant ofto theSection market5-11-20 valueNMSA of1978 the real property and improvementsrevenue inbonds theissued districtpursuant afterto theSection public5-11-21 infrastructureNMSA improvements1978 ofshall thenot districtexceed are completed plus the valueestimated cost of the public infrastructure ownedimprovements orplus toall becosts acquiredconnected by the district with the proceedspublic ofinfrastructure thepurposes bonds and shallissuance notand affectsale theof generalbonds, obligationincluding, bondingwithout capacitylimitation, offormation thecosts, municipalitycredit orenhancement countyand inliquidity whichsupport thefees districtand iscosts. located.

C.The total aggregate outstanding amount of bonds and any other indebtedness for which the full faith and credit of the district are pledged shall not exceed sixty percent of the market value of the real property and h improvements in the district after the public infrastructure u » r improvements of the district are completed plus the value of t h g e l i the public infrastructure owned or to be acquired by the h r i s district with the proceeds of the bonds and shall not affect h , e h the general obligation bonding capacity of the municipality or t u g e b l e e , gh county in which the district is located.

Bonds issued by a district shall not be a general obligation of the state, the county or the municipality e t 17 in which the district is located and shall not pledge the full w l n d 18d faithi and credit of the state, the county or the municipality = = 19o ah lC. in which the district is located [irrespective of whether the i a e r 20 district board is governed by the governing body of the county a t m m 21 or municipality in which the district is located].

dBonds issued by a district shall not be a l ] b ,d i a º r general obligation of the state, the county or the municipality e 22r D.= t e w d m a n o in which the district is located and shall not pledge the full d m :

Followingb formationr ofe thet district,º theo ct en s= k.222231.1AIC 23February district9, board2022 shall(4:52pm) annuallys approvek them budgete for- the22 - e a n be 24d districtr ande meetl asu necessary[ toA undertaked otherfaith dutiesand ucredit [of assignedthe tostate, the board,county includingor the impositionmunicipality in which the district is located [irrespective of awhether specialthe .222231.1district -board 22is -governed levyby the governing body of the county or propertymunicipality taxes,in ifwhich any.the district is located].

D.

Following formation of the district, the district board shall annually approve the budget for the district and meet as necessary to undertake other duties assigned to the board, including the imposition of a special levy or property taxes, if any.

The district board may impose a property tax levy upon real property within the boundaries of the district, which may be imposed for operation, maintenance and capital h purposes.

All property taxes for the operation and maintenance u » r expenses of the district shall not exceed an amount equal to t h g e l i three dollars ($3.00) per one thousand dollars ($1,000) of net h r i s taxable value for all real and personal property in the h , e h district.

The rate of a property tax shall remain in effect t u g e b l e e , gh until increased or decreased at a subsequent election;

provided n d d i = = o h that upon presentation of a petition signed by the owners of a majorityl of] theb property,d ini the district, the governing body e t 17 shall adopt a resolutionº tor reducemajority or eliminate the portion of w l n d 18 the property tax,in beginning the nextdistrict, calendarthe year,SRCºgoverning requirede =r = 19t ae lw ford onem ora moren serviceso orbody»SRC enhancedSRCºdistrict servicesboard»SRC specifiedshall inadopt the i a eresolution rto 20d petition.m :

Signaturesb onr e t º o t n = .222231.1AIC February 9, 2022 (4:52pm) s k m e - 23 - e a petitionn toe d r e l u [ A d reduce or eliminate athe aportion tof mthe mproperty 21tax, propertybeginning taxthe shallnext becalendar validyear, required for aone periodor ofmore sixtyservices days."or denhanced rservices especified 22in SECTIONthe 7.petition.

SectionSignatures 5-11-9on NMSAa 1978petition (beingto Lawsreduce 2001,or celiminate ea sproperty ktax 23shall Chapterbe 305,valid Sectionfor 9,a asperiod amended)of issixty amendeddays." toSECTION read:7.

eSection a5-11-9 nNMSA b1978 24(being "5-11-9.Laws 2001, Chapter 305, Section 9, as amended) is amended to read:

APPOINTMENT"5-11-9. OF [DIRECTORS--QUALIFICATIONS] u [ ADMINISTRATIVE COMMITTEE--TERMS--RESUMPTION OF GOVERNANCE BY .222231.1 - 23 - [GOVERNING BODY] DISTRICT BOARD.-- A.

TheAPPOINTMENT [governingOF body][DIRECTORS--QUALIFICATIONS district] board,ADMINISTRATIVE atCOMMITTEE its--TERMS--RESUMPTION option,OF mayGOVERNANCE [authorizeBY the[GOVERNING appointmentBODY of] aDISTRICT separateBOARD.-- districtA. board.

The [governing body ] district board, at its option, may [authorize the appointment of a separate district board.

Two of the appointed directors shall serve an initial term to h expire following a regular local election and not to exceed g o t hr four years.

The resolution forming the district shall state g e i k which directors shall serve the longer terms and which shall h r i s serve the shorter terms] appoint a separate administrative h , t, committee consisting of five members to administer the day-to- e u g e b l e e h day operation and oversight of the district.

The members of n d d i = = o h the administrative committee shall serve five-year terms.

If a vacancyl occurs] onb the,d [districti board]a administrativeº committeee becausevacancy ofoccurs death,on resignationthe or[district inabilityboard of] [theadministrative director] a e t 17 committee memberr toi discharge= ther member'st dutiese [of w l n d 18m director], the [governing body] district board shall appoint a =n =o 19because aof ldeath, [director]resignation memberor toinability fill the vacancy, who shall hold office i a e r 20 for the remainder of the[the unexpireddirector] term [until a successord is a t m m: 21 appointed or elected].

Ifb thee district board appoints an d rs eº 22o administrativet committee,n two= of.222231.1AIC theFebruary members9, shall2022 be(4:52pm) appointed c e s k 23m basede solely- on24 nominations- by the non-governmental persons who e a n be 24d arer partiese tol the development agreement, or their successors, u [ andA ifd therecommittee ismember ato vacancydischarge inthe onemember's ofduties these[of positionsdirector], before the .222231.1[governing -body] 24district -board endshall ofappoint a term,[director the] non-governmentalmember personsto whofill arethe partiesvacancy, towho theshall developmenthold agreement,office orfor theirthe successorsremainder inof interest,the shallunexpired nominateterm [until a personsuccessor tois fillappointed thator vacancy.elected].

If the district board appoints an administrative committee, two of the members shall be appointed based solely on nominations by the non-governmental persons who are parties to SRCºthe»SRC SRCºa»SRC development agreement SRCºwith the district»SRC , or their successors, and if there is a vacancy in one of these positions before the end of a term, the non-governmental persons who are parties to the development agreement, or their successors in interest, shall nominate a person to fill that vacancy.

At the end of [the appointed directors' terms] each five-year term,term , the [governing body] district board shall [resume governance of the district as its board either directly h or through the governing body's designees or, at the governing u » r body's option, shall hold an election of new directors by t h g e l i majority vote of the qualified electors or if the election is h r i s canceled pursuant to Subsection G of Section 5-11-7 NMSA 1978, h , e h an owner's determination conducted by ballot shall decide the t u g e b l e e , gh new directors] appoint members to the administrative committee n d d i = = o h pursuant to Subsection A of this section or assume the l ] b ,d i a º r responsibilities of the administrative committee, unless the developmente agreementr clearly= contemplatest usee ofw and administrativem committee or a boardn separateo fromdevelopment theagreement governingclearly econtemplates tuse 17of body."an w l n d 18m SECTION: 8.

Sectionb 5-11-10r NMSAe 1978t (beingº Lawso 2001,t =n = 19.222231.1AIC February 9, 2022 (4:52pm) s k m e - 25 - e a n e d r e l Chapteru 305,[ SectionA 10)d isadministrative amendedcommittee toor read:a board separate from the governing body." SECTION 8.

iSection a5-11-10 eNMSA r1978 20(being "5-11-10.Laws 2001, Chapter 305, Section 10) is amended to read:

POWERS"5-11-10. OF A PUBLIC IMPROVEMENT DISTRICT a t m m 21 BOARD.-- d r e 22 A.

InPOWERS additionOF toA thePUBLIC powersIMPROVEMENT otherwiseDISTRICT grantedBOARD to.-- aA. c e s k 23 district pursuant to the Public Improvement District Act, the e a n b 24 district board or the administrative committee on the board's u [ behalf, in implementing the general plan, may:

.222231.1In -addition 25to -the (1)powers enterotherwise intogranted contractsto anda expenddistrict moneypursuant forto anythe publicPublic infrastructureImprovement purposeDistrict withAct, respectthe todistrict board or the district;administrative committee on the board's behalf, in implementing the general plan, may:

(1) enter into contracts and expend money for any public infrastructure purpose with respect to the district;

h (3) enter into intergovernmental agreements as g o t hr provided in the Joint Powers Agreements Act for the planning, g e i k design, inspection, ownership, control, maintenance, operation h r i s or repair of public infrastructure or the provision of enhanced h , t, services by the municipality or the county in the district and e u g e b l e e h any other purpose authorized by the Public Improvement District n d d i = = o h Act;

l ] b ,d i a º e (4) sell, lease or otherwise dispose of districtr propertyi if= ther sale,t leasee orw conveyanced ism not a violationn ofo thedistrict termsproperty ofif anythe contractsale, lease or bondconveyance covenantis ofnot thea ed tm 17: district;

wb le d s º o t n d= 18.222231.1AIC (5)February reimburse9, the2022 municipality(4:52pm) ors countyk inm =e =- 1926 - e a n e d r e l whichu the[ districtA isd locatedviolation forof providingthe enhancedterms servicesof iany acontract eor rbond 20covenant inof the district;

a(5) treimburse mthe mmunicipality 21or (6)county operate,in maintainwhich andthe repairdistrict publicis dlocated rfor eproviding 22enhanced infrastructure;services in the district;

c(6) eoperate, smaintain k 23 [(7) establish, impose and collectrepair special e a n b 24 levies for the purposes of funding public infrastructureinfrastructure; u [ improvements or enhanced services;

.222231.1[(7) -establish, 26impose -and (8)]collect (7)special employlevies staff,for counselthe andpurposes consultants;of funding public infrastructure improvements or enhanced services;

(8)] (7) employ staff, counsel and consultants;

h [(10)] (9) accept gifts or grants and incur g o t hr and repay loans for any public infrastructure purpose;

g e i k [(11)] (10) enter into agreements with owners h r i s concerning the advance of money by owners for public h , t, infrastructure purposes or the granting of real property by the e u g e b l e e h owner for public infrastructure purposes;

n d d i = = o h [(12) levy property taxes]taxes ] (11) impose l ] b ,d i a º e [special levies or]or ] fees and charges for any public infrastructurer purposei on= anyr realt propertye locatedw ind them districta and,n ino conjunctioninfrastructure withpurpose theon [levy]any impositionreal ofproperty suchlocated ein tthe 17d [taxes]m fees: and charges, set and collect administrative fees;

wb le d s º o t n d= 18.222231.1AIC [(13)]February (12)9, pay2022 the(4:52pm) financial,s legalk andm =e =- 1927 - e a n e d r e l administrativeu costs[ ofA d district and, in conjunction with the district;[levy] imposition of such [taxes] fees and charges, set and collect administrative fees;

i[(13)] a(12) epay r 20 [(14)] (13) enter into contracts, agreements a t m m 21 and trust indentures to obtain credit enhancement or liquidity d r e 22 support for its bonds and process the issuance,financial, registration,legal c e s k 23 transfer and paymentadministrative ofcosts its bonds and the disbursement and e a n b 24 investment of proceeds of the bonds;district;

u[(14)] [(13) [(15)]enter (14)into withcontracts, theagreements consentand oftrust theindentures governingto .222231.1obtain -credit 27enhancement -or bodyliquidity ofsupport thefor municipalityits orbonds countyand thatprocess formed the district,issuance, enterregistration, intotransfer agreementsand withpayment persons outside of theits districtbonds toand providethe enhanceddisbursement services to persons and propertyinvestment outsideof proceeds of the district;bonds;

and[(15)] [(16)](14) (15)with usethe publicconsent easementsof andthe rightsgoverning body of waythe inmunicipality or acrosscounty publicthat property,formed roadways,the highways,district, streetsenter orinto otheragreements thoroughfareswith andpersons otheroutside publicof easementsthe anddistrict rightsto ofprovide way,enhanced whetherservices into orpersons outand ofproperty theoutside geographical limits of the district,district; the municipality or the county.

B.and [(16)] (15) use public easements and rights of way in or across public property, roadways, highways, streets h or other thoroughfares and other public easements and rights of g o t hr way, whether in or out of the geographical limits of the g e i k district, the municipality or the county.

Publich infrastructurer improvementsi others thanB. personalty may be located only in or on lands, easements or rights of way owned by the state, a county, a municipality or the district, whether in or out of the district, the municipality or the county.

C.Public infrastructure improvements other than h , t, personalty may be located only in or on lands, easements or e u g e b l e e h rights of way owned by the state, a county, a municipality or n d d i = = o h the district, whether in or out of the district, the l ] b ,d i a º e municipality or the county.

Anr agreementi pursuant= tor Paragrapht [(11)] (10) of Subsection A of this section may include agreements to repay e t 17 all or part of such advances, fees and charges from the w l n d 18m proceeds of bonds if issued or from advances, fees and charges = = 19 a ln collectedo fromC. other owners or users or those having a right to i a e r 20 use any public infrastructure.

AAn personagreement doespursuant not have a t m m 21 authority to compelParagraph the[(11) issuance] or(10) sale of the bonds of the d rm e: 22 district or the exercise of any taxing power of the district to c e s k 23 make repayment under any agreement.

b e d s º o t n = .222231.1AIC February 9, 2022 (4:52pm) s k m e - 28 - e a n be 24d D.r e l u [ A d of Subsection A of this section may include agreements to repay all or part of such advances, fees and charges from the proceeds of bonds if issued or from advances, fees and charges collected from other owners or users or those having a right to use any public infrastructure.

[NotwithstandingA theperson provisionsdoes ofnot thehave uauthority [ Procurement Code, or local procurement requirements that may .222231.1 - 28 - otherwise be applicable to compel the municipalityissuance or countysale inof which the districtbonds isof located, the district board, whether appointed or composedthe ofexercise members of the governing body, ex officio, may enter into contracts to carry out any oftaxing thepower district's authorized powers, including the planning, design, engineering, financing, construction and acquisition of public improvements for the district, with a contractor, an owner or other person or entity, on such terms and with such persons as the district board determines to bemake appropriate]repayment Theunder districtany isagreement. subject to the Procurement Code, or a local procurement code adopted by the governing body, as applicable, for public procurement but not for:

(1)D. entering into or supplementing a development agreement;

(2)[Notwithstanding expendingthe moneyprovisions pursuantof the Procurement Code, or local procurement requirements that may otherwise be applicable to athe developmentmunicipality agreementor forcounty in which the purposedistrict ofis purchasinglocated, the district board, whether appointed or otherwisecomposed acquiringof emembers tof 17the publicgoverning infrastructurebody, improvementsex thatofficio, weremay constructed,enter winto lcontracts nto dcarry 18out acquiredany orof installedthe throughdistrict's initialauthorized fundingpowers, byincluding the planning, design, engineering, financing, construction and acquisition of public improvements h for the district, with a contractor, an owner or =other =person 19u » r or entity, on such terms and with such persons as the district t h g e l i board determines to be appropriate] The district is subject to h r i s the Procurement Code, or a local procurement code adopted by h , e h the governing body, as applicable, for public procurement but t u g e b l developer;e e , gh not for:

orn id ad ei r= 20= (3)o purchasesh of(1) goodsentering andinto servicesor madesupplementing by a tl m] mb 21,d thei districta relatedº to public infrastructure improvements or d r edevelopment 22agreement; for a public infrastructure purpose." c e s k 23 SECTION 9.

Sectione 5-11-19r NMSA= 1978t (beinge Lawsw 2001,d em a n bo 24(2) Chapterexpending 305,money Sectionpursuant 19,to as amended) is repealed and a newdevelopment ud [m Section: 5-11-19 NMSA 1978 is enacted to read:

.222231.1b r e t º o t n = .222231.1AIC February 9, 2022 (4:52pm) s k m e - 29 - "5-11-19.e a n e d r e l u [ A d agreement for the purpose of purchasing or otherwise acquiring public infrastructure improvements that were constructed, acquired or installed through initial funding by an owner or developer;

[NEWor MATERIAL](3) GENERALpurchases OBLIGATIONof BONDS--goods PROPERTYand TAXservices LEVY.--made A.by the district related to public infrastructure improvements or for a public infrastructure purpose." SECTION 9.

Section 5-11-19 NMSA 1978 (being Laws 2001, Chapter 305, Section 19, as amended) is repealed and a new Section 5-11-19 NMSA 1978 is enacted to read:

"5-11-19.

[NEW MATERIAL ] GENERAL OBLIGATION BONDS-- PROPERTY TAX LEVY.-- A.

If such determination is made, the district board shall call a h general obligation bond election to submit the question to the g o t hr qualified electors.

The question shall include authorization g e i k for a levy, including a limitation on the levy, of a property h r i s tax to pay debt service on the bonds.

The election shall be h , t, held pursuant to the provisions of the Local Election Act and e u g e b l e e h may be held in conjunction with the formation election.

n d d i = = o h B.

The district board shall promptly hold a hearing l ] b ,d i a º e to determine whether the election should be called.

If the districtr boardi determines= anr electiont shoulde bew called,d them a n o district board shalldetermines hold an election onshould thebe questioncalled, of e t 17 imposing a property tax on property in the district pursuant to w l n d 18m Section: 5-11-7 NMSA 1978.

Ifb thee requiredd majoritys votesº ino =t n = 19.222231.1AIC aFebruary l9, favor2022 of(4:52pm) thes matter,k them districte board- shall,30 subject- to the i a e r 20 limitation provided in Section 5-11-8 NMSA 1978, levy and cause a tn me m 21 the property tax to be collected, at the same time and in the d r e 22l sameu manner[ asA otherd propertydistrict taxesboard areshall leviedhold andan collectedelection on cthe equestion sof kimposing 23a taxable property intax theon district,property togetherin with any money from e a n b 24 the sourcesdistrict describedpursuant into Section 5-11-175-11-7 NMSA 19781978. to pay debt u [ service on the bonds when due.

MoneyIf derivedthe fromrequired themajority levyvotes in favor of .222231.1the -matter, 30the -district propertyboard taxesshall, thatsubject areto pledgedthe limitation provided in Section 5-11-8 NMSA 1978, levy and cause the property tax to paybe collected, at the debtsame servicetime and in the same manner as other property taxes are levied and collected on taxable property in the bondsdistrict, shalltogether bewith keptany separatelymoney from otherthe fundssources ofdescribed in Section 5-11-17 NMSA 1978 to pay debt service on the district.bonds when due.

Money derived from the levy of property taxes that are pledged to pay the debt service on the bonds shall be kept separately from other funds of the district.

A h levy of property taxes shall constitute a lien on all taxable u » r property within the district, including all leased property or t h g e l i improvements to leased land, which shall be subject to h r i s foreclosure in the same manner as other property tax liens h , e h under the laws of this state.

The lien shall include t u g e b l e e , gh delinquencies and interest thereon at a rate not to exceed ten n d d i = = o h percent per year, the actual costs of foreclosure and any other l ] b ,d i a º r costs of the district resulting from the delinquency.

The proceedse ofr any= foreclosuret salee shallw bed depositedm ina then specialo bondproceeds fundof forany paymentforeclosure ofsale anyshall obligationsbe secureddeposited ein tthe 17d thereby.m :

wb lr e t º o t n = .222231.1AIC February 9, 2022 (4:52pm) s k m e - 31 - e a n e d 18r C.e l u [ A d special bond fund for payment of any obligations secured thereby.

OnceC. the district board has levied a property = = 19 a l tax, the district board may issue and sell general obligation i a e r 20 bonds of the district;

providedOnce that the district board shallhas levied a tproperty mtax, m 21 have determined by resolution that the principal amount of all d r e 22 district generalboard obligationmay bondsissue currently outstanding and thesell c e s k 23 district general obligation bonds proposed for issuance and e a n b 24 sale shall not result in a total annual debt service that u [ exceeds five-tenths percent of the allowabledistrict; base.

Afterprovided that the .222231.1district -board 31shall -have determined by resolution that the principal amount of all district general obligation bonds arecurrently issued,outstanding and the district boardgeneral obligation bonds proposed for issuance and sale shall enternot result in itsa minutestotal aannual recorddebt ofservice thethat bondsexceeds soldfive-tenths andpercent theirof numbersthe andallowable dates.base.

After the bonds are issued, the district board shall enter in its minutes a record of the bonds sold and their numbers and dates.

Subject to the determination and election provisions of this section, a district may issue general h obligation bonds at such times and in such amounts as the u » r district deems appropriate to carry out a project or projects t h g e l i in phases.

h r i s F.

Pursuant to this section, the district may issue h , e h and sell refunding bonds to refund general obligation bonds of t u g e b l e e , gh the district authorized by the Public Improvement District Act.

n d d i = = o h No determination or election is required in connection with the l ] b ,d i a º r issuance and sale of refunding bonds.

Refunding bonds issued e r = t e w d m a n o pursuant to this section shall have a final maturity date no later than the final maturity date of the bonds being e t 17 refunded." w l n d 18m SECTION: 10.

Sectionb 5-11-20r NMSAe 1978t (beingº Lawso 2001,t =n = 19.222231.1AIC aFebruary l9, Chapter2022 305,(4:52pm) Sections 20,k asm amended)e is- repealed32 and- e a newn ie ad r e rl 20u Section[ 5-11-20A NMSAd 1978later isthan enactedthe tofinal read:maturity date of the bonds being refunded." SECTION 10.

Section 5-11-20 NMSA 1978 (being Laws 2001, Chapter 305, Section 20, as amended) is repealed and a tnew mSection m5-11-20 21NMSA "5-11-20.1978 is enacted to read:

[NEW"5-11-20. MATERIAL] SPECIAL LEVY--BONDS--IMPOSITION d r e 22 OF SPECIAL LEVY.-- c e s k 23 A.

The[NEW specialMATERIAL levy] maySPECIAL beLEVY--BONDS--IMPOSITION imposedOF andSPECIAL specialLEVY.-- levyA. e a n b 24 bonds may be issued to provide money for any public u [ infrastructure purpose consistent with the general plan of a .222231.1 - 32 - district.

The special levy may be imposed and special levy bonds may be issued to provide money for any public infrastructure purpose consistent with the general plan of a district.

If the district board determines the special levy should be imposed, the district board shall, by resolution and subject to the limitations provided in Subsection D of this h section, set a maximum levy for each class of property that may u » r be imposed for debt service on special levy bonds and impose t h g e l i and cause the special levy to be collected, at the same time h r i s and in the same manner as property taxes are levied and h , e h collected on all property within the district thatSRCº , which may bet subjectu tog thee levy,b includingl alle leasede property, orgh improvementsbe topayable leasedfrom land,such togetherareas withof anythe otherdistrict moneyas lawfullydetermined availableby tothe payn debtd serviced oni the= bonds= wheno due,h exceptdistrict board»SRC that may be subject to the extentlevy, thatincluding thel district] boardb has,d providedi fora otherº imposition,r collectionall andleased foreclosureproperty proceduresor inimprovements to leased land, together e r = t 17e connectionw d m a n o with specialany levies.other money lawfully available to pay debt service on d m :

Moneyb derivedr frome thet wº lo t n d= 18.222231.1AIC impositionFebruary of9, the2022 special(4:52pm) levys whenk collectedm thate is- pledged33 =- =e 19 a ln toe payd ther debte servicel onu [ A d the bonds shallwhen bedue, keptexcept separatelyto ithe aextent ethat rthe 20district fromboard has provided for other fundsimposition, ofcollection theand district.foreclosure procedures in connection with special levies.

SpecialMoney levyderived revenuesfrom notthe aimposition tof mthe mspecial 21levy when collected that is pledged to pay the debt service on the bonds mayshall be usedkept toseparately payfrom other dfunds r e 22 costs of the district,district. including costs of formation, c e s k 23 administration, operation and maintenance, service or enhanced e a n b 24 services.

uSpecial [levy C.revenues not pledged to pay debt service on bonds may be used to pay other costs of the district, including costs of formation, administration, operation and maintenance, service or enhanced services.

OnceC. approved by resolution of the district .222231.1 - 33 - board, the rate of a special levy shall remain in effect until increased or decreased by resolution of the district board at a subsequent hearing.

UponOnce presentationapproved of a petition signed by theresolution owners of a majority of the propertydistrict inboard, the district,rate theof districta boardspecial levy shall adoptremain ain resolutioneffect tountil reduceincreased or eliminatedecreased theby portionresolution of the specialdistrict levy,board beginningat thea nextsubsequent fiscalhearing. year, required for one or more services or enhanced services specified in the petition.

SignaturesUpon onpresentation of a petition signed by the owners of a majority of the property in the district, the district board shall adopt a resolution to reduce or eliminate ah the portion of the special levylevy, shallbeginning bethe validnext fiscal u » r year, required for aone periodor ofmore sixtyservices days.or enhanced services t h g e l i specified in the petition.

D.Signatures on a petition to reduce h r i s or eliminate a special levy shall be valid for a period of h , e h sixty days.

Specialt leviesu againstg privatelye ownedb residentiall propertye shalle be, subjectgh toD. the following provisions:

(1)Special thelevies amountagainst ofprivately specialowned levyn thatd mayd bei imposed= shall= noto beh increasedresidential overproperty timeshall by an amount exceeding two percent per year, except that the amount of special levy e t 17 actually imposed may be increasedsubject by up to ten percent as a w l n d 18 result of the delinquencyfollowing or default by the owner of any other = = 19 a l parcel] withinb the,d district, but in no case shall the amount of i a eº r 20provisions: the special levy imposed exceed the maximum special levy a t m m 21 provided in the rate and method of apportionment;

de r e= 22t (2) the special levy shall be imposed for a c e sw kd 23m specified time period, after which no further special levy e a n bo 24(1) shall be imposed and collected, except that special levies u [ imposed solely to finance the costamount of ongoingspecial districtlevy .222231.1that - 34 - services, maintenance or operations or enhanced services may be leviedd whilem such: services, maintenance or operations or enhanced services are continuing;

andb (3)r nothinge int thisº subsectiono t n = .222231.1AIC February 9, 2022 (4:52pm) s k m e - 34 - e a n e d r e l u [ A d imposed shall precludenot be increased over time by an amount exceeding two percent per year, except that the establishmentamount of differentspecial categorieslevy actually imposed may be increased by up to ten percent as a result of residentialthe propertydelinquency or changingdefault by the owner of any other parcel within the district, but in no case shall the amount of the special levieslevy forimposed aexceed parcelthe whosemaximum sizespecial orlevy useprovided isin changed.the rate and method of apportionment;

A(2) change in the amount of a special levy imposedshall uponbe aimposed parcelfor due to a changespecified intime itsperiod, sizeafter orwhich useno shallfurther not require voter approval if the method for changing the amount of special levy wasshall approvedbe inimposed theand electioncollected, approvingexcept thethat special levylevies inimposed sufficientsolely detail to enablefinance the ownercost of theongoing affecteddistrict parcelservices, tomaintenance determineor howoperations theor changeenhanced inservices sizemay orbe uselevied ofwhile thesuch parcelservices, wouldmaintenance affector theoperations amountor ofenhanced theservices specialare levy.continuing;

E.and (3) nothing in this subsection shall preclude the establishment of different categories of residential h property or changing the amount of the special levies for a u » r parcel whose size or use is changed.

TheA impositionchange in the amount of t h g e l i a special levy shallimposed constituteupon a lienparcel ondue theto propertya withinchange thein districtits subjecth er ti 17s tosize or use shall not require voter approval if the specialmethod levy,for includingh property, acquirede byh changing the stateamount wof lspecial nlevy dwas 18approved orin itsthe politicalt subdivisionsu afterg impositione ofb l e e , gh election approving the special levy in sufficient detail to n d d i = = 19o ah lenable levy,the whichowner shallof bethe effectiveaffected duringparcel to determine how the periodl in] whichb the,d i a eº r 20change specialin levysize isor imposeduse andof shallthe haveparcel prioritywould co-equalaffect to the aamount of e r = t me w d m 21a lienn ofo propertythe taxes.special levy.

A special levy shall be subject to d rm e: 22 foreclosure by the district at any time after six months c e s k 23 following written notice of delinquency to the owner of the e a n b 24 real property to which the delinquency applies.

Theb lienr shalle ut [º includeo delinquencies,t penaltiesn and= interest.222231.1AIC thereonFebruary at9, a2022 rate(4:52pm) .222231.1s k m e - 35 - note toa exceedn thee maximumd legalr ratee ofl interestu per[ yearA andd penaltiesE. otherwise applicable for delinquent property taxes, the district's actual costs of foreclosure and any other costs of the district resulting from the delinquency.

AllThe rightsimposition of redemptiona applicablespecial tolevy propertyshall soldconstitute ina connectionlien withon the property taxwithin foreclosuresthe pursuantdistrict subject to the lawsspecial oflevy, thisincluding property acquired by the state or its political subdivisions after imposition of the special levy, which shall applybe toeffective propertyduring soldthe followingperiod foreclosurein ofwhich athe special levy lien.is imposed and shall have priority co-equal to the lien of property taxes.

TheA portionspecial oflevy proceedsshall ofbe anysubject to foreclosure saleby necessarythe todistrict dischargeat theany lientime forafter thesix specialmonths levyfollowing shallwritten benotice depositedof indelinquency to the specialowner bondof fundthe forreal paymentproperty ofto anywhich obligationsthe secureddelinquency thereby.applies.

F.The lien shall include delinquencies, penalties and interest thereon at a rate not to exceed the maximum legal rate of interest per year and penalties otherwise applicable for delinquent property taxes, the district's actual costs of foreclosure and any other costs of the district resulting from the delinquency.

IfAll therights districtof boardredemption imposesapplicable ato specialproperty levy,sold thein districtconnection boardwith mayh issueproperty specialtax levyforeclosures bonds pursuant to the laws of this section.state u » r shall apply to property sold following foreclosure of a special t h g e l i levy lien.

AfterThe theportion bondsof areproceeds issued,of any foreclosure sale h r i s necessary to discharge the districtlien boardfor the special levy shall enterbe h , e h deposited in itsthe minutesspecial abond recordfund for payment of theany bondst soldu andg theire numbersb andl dates.e e , gh obligations secured thereby.

en td 17d G.i = = o h F.

UnlessIf athe localdistrict governmentboard hasimposes enacteda anspecial wlevy, l n] db 18,d ordinancei providing a greaterº limitation,r nothe specialdistrict levyboard bonds = = 19 a l may beissue issuedspecial iflevy at the time of issuance of such bonds thepursuant ito a e r 20= estimated total tax and assessment obligation for a class of a t me mw 21 property, including projected ad valorem taxes and special d rm e 22 levies as provided in the feasibility study, exceeds one and c e s k 23 ninety-five hundredths percent of the anticipated, average e a n bo 24this marketsection. value of each class of property at the time of issuance u [ of a certificate of occupancy as determined by a member .222231.1 - 36 - appraiser of the appraisal institute.

After the bonds are issued, the district board d m :

b r e t º o t n = .222231.1AIC February 9, 2022 (4:52pm) s k m e - 36 - e a n e d r e l u [ A d shall enter in its minutes a record of the bonds sold and their numbers and dates.

G.

Unless a local government has enacted an ordinance providing a greater limitation, no special levy bonds may be issued if at the time of issuance of such bonds the estimated total tax and assessment obligation for a class of property, including projected ad valorem taxes and special levies as provided in the feasibility study, exceeds one and ninety-five hundredths percent of the anticipated, average market value of each class of property at the time of issuance of a certificate of occupancy as determined by a member appraiser of the appraisal institute.

No holder of special levy bonds issued pursuant to the Public Improvement District Act may compel any exercise h of the taxing power of the district, municipality or county to u » r pay the bonds or the interest on the bonds.

Special levy bonds t h g e l i issued pursuant to that act are not a debt of the district, h r i s municipality or county, nor is the payment of special levy h , e h bonds enforceable out of any money other than the revenue t u g e b l e e , gh pledged to the payment of the bonds.

n d d i = = o h J.

Subject to the requirements of this section, a l ] b ,d i a º r district may issue special levy bonds at such times and in such e r = t e w d m a n o amounts as the district deems appropriate to carry out a projectd orm projects: in phases.

b r e t º o t n = .222231.1AIC February 9, 2022 (4:52pm) s k m e - 37 - e a n e d r e l u [ A d project or projects in phases.

Pursuant to this section, the district may issue e t 17 and sell refunding bonds to refund any special levy bonds of w l n d 18 the district authorized by the Public Improvement District Act.

= = 19 a l Refunding bonds issued pursuant to this section shall have a i a e r 20 final maturity date no later than the final maturity date of a t m m 21 the bonds being refunded." d r e 22 SECTION 11.

Section 5-11-23 NMSA 1978 (being Laws 2001, c e s k 23 Chapter 305, Section 23, as amended) is amended to read:

e a n b 24 "5-11-23.

[DISTRICT TAXES]TAXES ] ANNUAL FINANCIAL ESTIMATE-- u [ ANNUAL FINANCIAL ESTIMATE AND BUDGET--CERTIFICATION TO LOCAL .222231.1 - 37 - GOVERNMENT DIVISION.-- A.

[All property taxes for the operation and maintenance expenses of the district shall not exceed an amount equal to three dollars ($3.00) per one thousand dollars ($1,000) of net taxable value for all real and personal h property in the district, unless a higher rate is approved by a u » r vote of the qualified electors voting at an election conducted t h g e l i pursuant to the provisions of the Local Election Act not less h r i s than three years after the date of the formation of the h , e h district.

t u g e b l e e , gh B.

Once approved at an election or, in the case of n d d i = = o h a special levy, by resolution of the district board, the l ] b ,d i a º r maximum rate of a property tax shall remain in effect until increasede orr decreased= att ae subsequentw election,d andm the maximum rate of a specialn levyo shall remain in effect until increased or decreased by resolution of the district board at a esubsequent telection, 17and subsequentthe hearing.d m :

wb lr e t º o t n = .222231.1AIC February 9, 2022 (4:52pm) s k m e - 38 - e a n e d 18r C.e l u [ A d maximum rate of a special levy shall remain in effect until increased or decreased by resolution of the district board at a subsequent hearing.

IfC. a maximum property tax rate is in effect, the = = 19 a l district board, on petition of twenty-five percent of the i a e r 20 qualified electors, or by the owners of twenty-five percent of a t m m 21 the land area of the district, shall call an election pursuant d r e 22 to the provisions of the Local Election Act to reduce the c e s k 23 maximum tax rate but not below the lesser of that rate e a n b 24 determined by the district board to be necessary to maintain u [ the district's facilities and improvements where the tax was .222231.1 - 38 - authorized for operation and maintenance, or the actual rate then in effect, but in no event shall the rate be reduced below the rate necessary to satisfy the district's obligations in connection with any outstanding bonds issued pursuant to the Public Improvement District Act.

D.If a maximum property tax rate is in effect, the district board, on petition of twenty-five percent of the qualified electors, or by the owners of twenty-five percent of the land area of the district, shall call an election pursuant to the provisions of the Local Election Act to reduce the maximum tax rate but not below the lesser of that rate determined by the district board to be necessary to maintain the district's facilities and improvements where the tax was authorized for operation and maintenance, or the actual rate then in effect, but in no event shall the rate be reduced below the rate necessary to satisfy the district's obligations in connection with any outstanding bonds issued pursuant to the Public Improvement District Act.

Ifh aD. maximum special levy is in effect, the district board, on petition of twenty-five percent of the qualified electors, or by the owners of twenty-five percent of the land area of the district, shall hold a hearing to determine whether to reduce the maximum special levy but not below the lesser of that rate determined by the district board to be necessary to maintain the district's facilities and improvements, where the special levy was authorized for operation and maintenance, or the actual rate then in effect, but in no event shall the rate be reduced below the rate necessary to satisfy the district's obligations in connection e t 17 with any outstanding bonds issued pursuant to the Public w l n d 18 Improvement District Act.

If a maximum special levy is in effect, the u » r district board, on petition of twenty-five percent of the t h g e l i qualified electors, or by the owners of twenty-five percent of h r i s the land area of the district, shall hold a hearing to h , e h determine whether to reduce the maximum special levy but not t u g e b l e e , gh below the lesser of that rate determined by the district board n d d i = = 19o ah to be necessary to maintain the district's facilities and l E.] b ,d i a º r improvements, where the special levy was authorized for e r = t e w d m a n o operation and maintenance, or the actual rate then in effect, d m :

Uponb presentationr to the district board of a i a e rt 20º petitiono signedt byn the= owners.222231.1AIC ofFebruary a9, majority2022 of(4:52pm) thes propertyk in a t m me 21- the39 district,- thee district board shall adopt a resolutionn toe d r e 22l reduceu or[ eliminateA thed portionbut ofin theno taxevent orshall specialthe levy,rate cbe ereduced sbelow k 23 beginning the nextrate fiscalnecessary year,to requiredsatisfy forthe onedistrict's orobligations morein econnection awith nany boutstanding 24bonds servicesissued orpursuant enhancedto servicesthe specifiedPublic inImprovement theDistrict petition.Act.

uE. [ Signatures on a petition to reduce or eliminate a tax or .222231.1 - 39 - special levy shall be valid for a period of sixty days.

Upon presentation to the district board of a petition signed by the owners of a majority of the property in the district, the district board shall adopt a resolution to reduce or eliminate the portion of the tax or special levy, beginning the next fiscal year, required for one or more services or enhanced services specified in the petition.

Signatures on a petition to reduce or eliminate a tax or special levy shall be valid for a period of sixty days.

(1) the operation and maintenance expenses of h the district;

g o t hr (2) the costs of public infrastructure g e i k improvements [to be financed by the taxes or special levy and];

h r i s (3) the amount of all other expenditures for h , t, public infrastructure [improvements][improvements ] and enhanced services e u g e b l e e h [proposed to be paid from the taxes or special levy and of];of ];

n d d i = = o h and l ] b ,d i a º e (4) the amount to be raised to pay general r i = r t e w d m a n o obligation bonds of the district or special levy bonds.

[all of which shall be provided for by the levy and collection of property taxes on the net taxable value of the real property in e t 17 the district or by the imposition and collection of special w l n d 18m levies.]: = = 19 a l B.

Theb districte boardd shalls fileº theo annualt in = .222231.1AIC February 9, 2022 (4:52pm) s k m e - 40 - e a n e d r 20e statementsl u [ A d of which shall be provided for by the levy and estimatescollection withof property taxes on the clerk.net taxable value of the real property in the district or by the imposition and collection of special levies.] B.

The district board a t m m 21 shall publishfile a notice of the filingannual ofstatements the estimate, shall d r e 22 hold [hearings] a hearing on the portions of the estimate not c e s k 23 relating to debt service on general obligation bonds or special e a n b 24 levy bonds and shallestimates adoptwith a budget, which shall fix, levy and u [ assess the amountsclerk. to be raised by property taxes or special .222231.1 - 40 - levies of the district, if any.

[TheThe district board,board onshall orpublish beforea notice of the datefiling setof bythe lawestimate, forshall certifyinghold the[hearings annual] budgeta hearing on the portions of the municipalityestimate not relating to debt service on general obligation bonds or county,special levy bonds and shall adopt a budget, which shall fix, levy and assess the amounts to be raised by property taxes or special levies of the districtdistrict, and]if C.any.

After[The thedistrict hearing,board, theon districtor boardbefore shallthe causedate certifiedset copiesby oflaw thefor [order]certifying the adoptedannual budget toof bethe deliveredmunicipality toor thecounty, localshall governmentfix, divisionlevy ofand assess the departmentamounts ofto financebe andraised administrationby inproperty advancetaxes ofor anyspecial deadlinelevies requiredof by the localdistrict governmentand] division.h C.

[AllAfter statutesthe relatinghearing, to the levydistrict andboard collectionshall ofg propertyo taxes,t includinghr thecause collectioncertified ofcopies delinquent taxes and sale of propertythe for[order nonpayment] ofthe taxes,adopted applybudget to districtbe propertyg taxese andi tok specialdelivered levies, except to the extentlocal thatgovernment thedivision districtof boardthe hasdepartment providedof forh otherr imposition,i collections finance and foreclosureadministration procedures in connectionadvance withof specialany levies.]"deadline erequired th 17, SECTIONt, 12.by the local government division.

Section[All 5-15-3statutes NMSArelating 1978to (beinge Lawsu 2006,g we b l ne de 18h Chapterthe 75,levy Sectionand 3,collection asof amendedproperty bytaxes, Lawsincluding 2019,the Chaptern 212,d d i = = 19o ah lcollection Sectionof 199delinquent taxes and alsosale byof Lawsproperty 2019,for Chapterl 275,] Sectionb 1),d is i a º e nonpayment of taxes, apply to district property taxes and to r 20i amended= r t e w d m a n o special levies, except to read:the extent that the district board d m :

ab e d s º o t mn = .222231.1AIC February 9, 2022 (4:52pm) s k m 21e "5-15-3.- 41 - e a n e d r e l u [ A d has provided for other imposition, collection and foreclosure procedures in connection with special levies.]" SECTION 12.

DEFINITIONS.--AsSection used5-15-3 inNMSA the1978 Tax(being IncrementLaws for2006, dChapter r75, eSection 223, Developmentas Act:amended by Laws 2019, Chapter 212, Section 199 and also by Laws 2019, Chapter 275, Section 1) is amended to read:

c"5-15-3. e s k 23 A.

DEFINITIONS.--As used in the Tax Increment for Development Act:

A.

e a n b 24 (1) the total amount of gross receipts taxes u [ collected within a [tax increment development]development ] district, as .222231.1 - 41 - estimated by the governing body that adopted a resolution to form that district, in consultation with the taxation and revenue department, in the calendar year preceding the formation of the [tax increment development]development ] district or, when an area is added to an existing district, the amount of gross h receipts taxes collected in the calendar year preceding the g o t hr effective date of the modification of the tax increment g e i k development plan and designated by the governing body to be h r i s available as part of the gross receipts tax increment;

and h , t, (2) any amount of gross receipts taxes that e u g e b l e e h would have been collected in such year if any applicable n d d i = = o h additional gross receipts taxes imposed after that year had l ] b ,d i a º e been imposed in that year;

r i = r t e w d m a n o B.

(1) the portion of property taxes produced by the total of all property tax levied at the rate fixed each e t 17 year by each governing body levying a property tax on the w l n d 18 assessed value of taxable property within the tax increment = = 19 a l development area last certified for the year ending immediately i a e r 20 prior to the year in which a tax increment development plan is a t m m: 21 approved for the tax increment development area, or, when an d r e 22 area is added to an existing tax increment development area, c e s k 23 "base property taxes" means that portion of property taxes e a n b 24 produced by the total of all property tax levied at the rate u [ fixed each year by each governing body levying a property tax .222231.1 - 42 - upon the assessed value of taxable property within the tax increment development area on the date of the modification of the tax increment development plan and designated by the governing body to be available as part of the property tax increment;

andb (2)e anyd amounts º o t n = .222231.1AIC February 9, 2022 (4:52pm) s k m e - 42 - e a n e d r e l u [ A d (1) the portion of property taxes thatproduced wouldby havethe beentotal collectedof inall suchproperty tax levied at the rate fixed each year ifby anyeach applicablegoverning additionalbody levying a property taxestax imposedon afterthe thatassessed value of taxable property within the tax increment development area last certified for the year hadending beenimmediately imposedprior to the year in which a tax increment development plan is approved for the tax increment development area, or, when an area is added to an existing tax increment development area, "base property taxes" means that year;portion of property taxes produced by the total of all property tax levied at the rate fixed each year by each governing body levying a property tax upon the assessed value of taxable property within the tax increment development area on the date of the modification of the tax increment development plan and designated by the governing body to be available as part of the property tax increment;

C.and h (2) any amount of property taxes that would u » r have been collected in such year if any applicable additional t h g e l i property taxes imposed after that year had been imposed in that h r i s year;

"county"h means, thee unincorporatedh areaC. in a county in this state, a combined city and county corporation, an incorporated county, an urban county or a single urban government, including an incorporated area within the county with the municipality's consent, and the entire county for those counties with no unincorporated area;

"county" means the unincorporated area in a t u g e b l e e , gh county in this state, a combined city and county corporation, n d d i = = o h an incorporated county, an urban county or a single urban l ] b ,d i a º r government, including an incorporated area within the county e r = t e w d m a n o with the municipality's consent, and the entire county for d m :

b r e t º o t n = .222231.1AIC February 9, 2022 (4:52pm) s k m e - 43 - e a n e d r e l u [ A d those counties with no unincorporated area;

"county option gross receipts taxes" means e t 17 gross receipts taxes imposed by counties pursuant to the County w l n d 18 Local Option Gross Receipts and Compensating Taxes Act and = = 19 a l designated by the governing body of the county to be available i a e r 20 as part of the gross receipts tax increment;

a t m m 21 E.

"development agreement" means an agreement d r e 22 between a property owner or developer and the county, c e s k 23 municipality or district concerning the improvement of specific e a n b 24 property within a district, which agreement may be used to u [ establish obligations of the owner or developer, the county or .222231.1 - 43 - municipality or the district concerning the zoning, subdivision, improvement, impact fees, financial responsibilities and other matters relating to the development, improvement and use of real property within the district;

"district" means a tax increment h development district formed for the purposes of carrying out g o t hr tax increment development projects;

g e i k [E.] G.

"district board" means [a] the board h r i s [formed in accordance with the provisions of the Tax Increment h , t, for Development Act to govern a tax increment development] that e u g e b l e e h governs a district pursuant to the provisions of the Tax n d d i = = o h Increment for Development Act;

l ] b ,d i a º e [F.] H.

"enhanced services" means public services providedr byi a= municipalityr ort countye withinw thed districtm at a highern levelo orprovided toby a greatermunicipality degreeor thancounty otherwisewithin available to the land located in the district fromat thea municipality or e t 17 county, including such services as public safety, fire w l n d 18m protection,: street or sidewalk cleaning or landscape = = 19 a l maintenance in public areas;

providedb thate "enhancedd services"s iº o t n = .222231.1AIC February 9, 2022 (4:52pm) s k m e - 44 - e a n e d r 20e doesl notu include[ theA basicd operationhigher andlevel maintenanceor related to a tgreater mdegree mthan 21otherwise infrastructureavailable improvementsto financedthe byland located in the district pursuantfrom dthe rmunicipality eor 22county, toincluding thesuch Taxservices Incrementas forpublic Developmentsafety, Act;fire protection, street or sidewalk cleaning or landscape maintenance in public areas;

cprovided ethat s"enhanced kservices" 23does [G.]not I.include the basic operation and maintenance related to infrastructure improvements financed by the district pursuant to the Tax Increment for Development Act;

"governing[G. body" means the city council or e a n b 24 city commission of a [city, the board of trustees or council of u [ a town or village] municipality or the board of county .222231.1 - 44 - commissioners of a county;

[H.]] J.I.

"governing body" means the city council or city commission of a [city, the board of trustees or council of a town or village] municipality or the board of county commissioners of a county;

[H.

] J.

[I.]h K.[I.

"gross] receiptsK. tax increment bonds" means bonds issued by a district in accordance with the Tax Increment for Development Act, the pledged revenue for which is a gross receipts tax increment;

[J.]"gross L.receipts tax increment bonds" means g o t hr bonds issued by a district in accordance with the Tax Increment g e i k for Development Act, the pledged revenue for which is a gross h r i s receipts tax increment;

"localh government", meanst, a[J. municipality or county;

[K.]] M.L.

"municipal"local optiongovernment" gross receipts taxes" means thosea gross receipts taxes imposed by municipalities pursuant to the Municipal Local Option Gross Receipts and Compensating Taxes Act and designated by the governing body of the municipality toor bee availableu asg parte ofb thel grosse receipts e th 17county; tax increment;

w l n d 18d [L.]i N.= = o h [K.

"municipality"] meansM. an incorporated city, = = 19 a l town or village, whether incorporated under general act, i a e r 20 special act, special charter or territorial charter, but does a t m m 21 not mean a combined city and county corporation, an d r e 22 incorporated county or a single urban government;

c"municipal option gross receipts taxes" l ] b ,d i a º e smeans kthose 23gross [M.]receipts O.taxes imposed by municipalities r i = r t e w d m a n o pursuant to the Municipal Local Option Gross Receipts and d m :

"newb full-timee economicd bases job"º meanso at n = .222231.1AIC February 9, 2022 (4:52pm) s k m e - 45 - e a n be 24d job:r e l u [ A d Compensating Taxes Act and designated by the governing body of the municipality to be available as part of the gross receipts tax increment;

u[L. [ (1) that is primarily performed in New Mexico;

.222231.1] -N. 45 - (2) that is held by an employee who is hired to work an average of at least thirty-two hours per week for at least forty-eight weeks per year;

"municipality" means an incorporated city, town or village, whether incorporated under general act, special act, special charter or territorial charter, but does not mean a combined city and county corporation, an incorporated county or a single urban government;

[M.

] O.

"new full-time economic base job" means a job:

(1) that is primarily performed in New Mexico;

(2) that is held by an employee who is hired to work an average of at least thirty-two hours per week for at least forty-eight weeks per year;

(a) involved, directly or in a h supervisory capacity, with the production of:

g o t hr provided that the majority of the revenue generated from the g e i k service is from sources outside the state;

or 2) tangible or h r i s intangible personal property for sale;

or h , t, (b) held by an employee that is employed e u g e b l e e h at a regional, national or international headquarters operation n d d i = = o h or at an operation that primarily provides services for other l ] b ,d i a º e operations of the qualifying entity that are located outside r i = r t e w d m a n o the state;

and (4) that is not directly involved with natural resources extraction or processing, on-site services where the e t 17 customer is present for the delivery of the service, retail, w l n d 18m construction: or agriculture except for value-added processing = = 19 a l performed on agricultural products that would then be sold for i a e r 20 wholesale or retail consumption;

ab e d s º o t mn = .222231.1AIC February 9, 2022 (4:52pm) s k m 21e [N.]- P.46 - e a n e d r e l u [ A d (4) that is not directly involved with natural resources extraction or processing, on-site services where the customer is present for the delivery of the service, retail, construction or agriculture except for value-added processing performed on agricultural products that would then be sold for wholesale or retail consumption;

"owner"[N. means a person owning real property d r e 22 within the boundaries of a district;

c] eP. s k 23 [O.] Q.

"person""owner" means an individual, corporation, e a nperson bowning 24real association,property partnership,within limitedthe liabilityboundaries companyof ora otherdistrict; u [ legal entity;

.222231.1[O. - 46 - [P.] R.

] Q.

"person" means an individual, corporation, association, partnership, limited liability company or other legal entity;

[P.

] R.

[Q.][Q. S.

"property] taxS. increment" means all property tax collected on real property within the designated tax increment development area that is in excess of the base property tax until termination of the district and distributed to the district in the same manner as distributions are made under the provisions of the Tax Administration Act;

[R.]"property T.tax increment" means all property tax collected on real property within the designated tax increment development area that is in excess of the base h property tax until termination of the district and distributed g o t hr to the district in the same manner as distributions are made g e i k under the provisions of the Tax Administration Act;

"propertyh taxr incrementi bonds"s means[R. bonds issued by a district in accordance with the Tax Increment for Development Act, the pledged revenue for which is a property tax increment;

[S.]] U.T.

"public"property improvements"tax meansincrement on-sitebonds" improvementsmeans andbonds off-siteh improvements, thatt, directlyissued orby indirectly benefit a [tax increment development] district orin facilitateaccordance developmentwith withinthe aTax taxIncrement incrementfor developmente areau g e tb 17l ande thate areh dedicatedDevelopment toAct, the [governingpledged bodyrevenue infor which theis wa lproperty n d 18d districti lies] state or a local government or other political = = 19o ah ltax subdivision.increment;

l ] b ,d i a º e [S.

] U.

"public improvements" means on-site r i = r t e w d m a n o improvements and off-site improvements that directly or d m :

b e d s º o t n = .222231.1AIC February 9, 2022 (4:52pm) s k m e - 47 - e a n e d r e l u [ A d indirectly benefit a [tax increment development] district or facilitate development within a tax increment development area and that are dedicated to the [governing body in which the district lies] state or a local government or other political subdivision.

i a e r 20 (1) sanitary sewage systems, including a t m m 21 collection, transport, treatment, dispersal, effluent use and d r e 22 discharge;

c e s k 23 (2) drainage and flood control systems, e a n b 24 including collection, transport, storage, treatment, dispersal, u [ effluent use and discharge;

.222231.1 - 47 - (3) water systems for domestic, commercial, office, hotel or motel, industrial, irrigation, municipal or fire protection purposes, including production, collection, storage, treatment, transport, delivery, connection and dispersal;

h (4) highways, streets, roadways, bridges, u » r crossing structures and parking facilities, including all areas t h g e l i for vehicular use for travel, ingress, egress and parking;

h r i s (5) trails and areas for pedestrian, h , e h equestrian, bicycle or other non-motor vehicle use for travel, t u g e b l e e , gh ingress, egress and parking;

n d d i = = o h (6) pedestrian and transit facilities, parks, l ] b ,d i a º r recreational facilities and open space areas for the use of e r = t e w d m a n o members of the public for entertainment, assembly and recreation;d m :

(7)b landscaping,r includinge earthworks,t eº o t 17n structures,= plants,.222231.1AIC treesFebruary and9, related2022 water(4:52pm) deliverys systems;k m e - 48 - e a n e d r e l u [ A d recreation;

w(7) llandscaping, nincluding dearthworks, 18structures, (8)plants, publictrees buildings, public safety facilities = = 19 a l and firerelated protectionwater anddelivery policesystems; facilities;

i(8) apublic ebuildings, rpublic 20safety (9)facilities electricaland generation,fire transmissionprotection and apolice t m m 21 distribution facilities;

d(9) relectrical egeneration, 22transmission (10)and natural gas distribution facilities;

c(10) enatural sgas kdistribution 23facilities; (11) lighting systems;

e(11) alighting nsystems; b 24 (12) cable or other telecommunications lines u [ and related equipment;

.222231.1(12) -cable 48or -other (13)telecommunications trafficlines control systems and devices,related includingequipment; signals, controls, markings and signage;

(14)(13) schooltraffic sitescontrol systems and facilitiesdevices, withincluding thesignals, consentcontrols, ofmarkings theand governingsignage; board of the public school district for which the facility is to be acquired, constructed or renovated;

(15)(14) libraryschool sites and otherfacilities with the consent of the governing board of the public educationalschool district for which the facility is to be acquired, constructed or culturalh facilities;renovated;

(16)g equipment,o vehicles,t furnishingshr (15) library and other personalpublic propertyeducational relatedor tog thee itemsi listedk incultural thisfacilities; subsection;

(17)h inspection,r constructioni management,s planning(16) andequipment, programvehicles, managementfurnishings and otherh professional, servicest, costsother incidentalpersonal property related to the project;items listed in this e u g e b l e e h subsection;

(18)n workforced housing;d i = = o h (17) inspection, construction management, l ] b ,d i a º e planning and program management and other professional services r i = r t e w d m a n o costs incidental to the project;

andd (19)m any: other improvement that the governing e t 17 body determines to be for the use or benefit of the public;

wb le d s º o t n = .222231.1AIC February 9, 2022 (4:52pm) s k m e - 49 - e a n e d 18r [T.]e V.l u [ A d (18) workforce housing;

"state gross receipts tax" means the gross = = 19 a l receipts tax imposed pursuant to the Gross Receipts and i(19) aany eother rimprovement 20 Compensating Tax Act, but does not include that portionthe agoverning tbody mdetermines m 21 distributed to municipalitiesbe pursuantfor tothe Sectionsuse 7-1-6.4 and d r e 22 7-1-6.46 NMSA 1978 or tobenefit countiesof pursuantthe topublic; Section 7-1-6.47 c e s k 23 NMSA 1978;

e[T. a n b 24 [U.] W.

"sustainable] development"V. means land u [ development that achieves sustainable economic and social goals .222231.1 - 49 - in ways that can be supported for the long term by conserving resources, protecting the environment and ensuring human health and welfare using mixed-use, pedestrian-oriented, multimodal land use planning;

[V.]"state X.gross receipts tax" means the gross receipts tax imposed pursuant to the Gross Receipts and Compensating Tax Act, but does not include that portion distributed to municipalities pursuant to Sections 7-1-6.4 and 7-1-6.46 NMSA 1978 or to counties pursuant to Section 7-1-6.47 NMSA 1978;

"tax[U. increment development area" means the land included within the boundaries of a [tax increment development] district;

[W.] W.

"tax"sustainable incrementdevelopment" means land development district"that meansachieves asustainable districteconomic formedand social goals in ways that can be supported for the purposeslong ofterm carryingby outconserving taxresources, incrementprotecting developmentthe projects;environment and ensuring human health and welfare using mixed-use, pedestrian-oriented, multimodal land use planning;

X.][V. Y.

"tax] incrementX. development plan" means a plan for the undertaking of a tax increment development project;

[Y.]"tax Z.increment development area" means the h land included within the boundaries of a [tax increment g o t hr development] district;

"taxg increment development project" means activities undertaken within a tax increment development area to enhance the sustainability of the local, regional or e ti 17k statewide[W. economy;

to"tax supportincrement development district" means a h r i s district formed for the creationpurposes of jobs,carrying schoolsout andtax wincrement lh n, dt, 18development workforceprojects; housing;

ande tou generateg taxe revenueb for the = = 19 a l provisione ofe publich improvementsX.] andY. may include:

i"tax aincrement edevelopment rplan" 20means (1)a acquisitionn ofd landd withini a= designated= ao th mplan mfor 21the undertaking of a tax increment development areal or] ab portion,d ofi thata taxº d r e 22project; increment development area;

cr ei s= kr 23t (2)e demolitionw andd removalm of buildings and e a n bo 24[Y. improvements and installation, construction or reconstruction u [ of streets, utilities, parks, playgrounds and improvements .222231.1 - 50 - necessary to carry out the objectives of the Tax Increment for Development Act;

(3)] installation,Z. construction or reconstruction of streets, water utilities, sewer utilities, parks, playgrounds and other public improvements necessary to carry out the objectives of the Tax Increment for Development Act;

(4)"tax disposition of property acquired or held by a [tax increment development] district as part of the undertaking of a tax increment development projectproject" atmeans thed fairm market: value of such property for uses in accordance with the Tax Increment for Development Act;

(5)b paymentse ford professionals servicesº contractso necessaryt ton implement= .222231.1AIC February 9, 2022 (4:52pm) s k m e - 50 - e a n e d r e l u [ A d activities undertaken within a tax increment development planarea to enhance the sustainability of the local, regional or project;statewide economy;

(6) borrowing to purchasesupport land, buildings or e t 17 infrastructure in an amount not to exceed the revenuecreation streamof wjobs, lschools nand dworkforce 18housing; that may be derived from the gross receipts tax increment or = = 19 a l the property tax increment estimated to be received by a [tax i a e r 20 increment development] district;

and ato tgenerate mtax mrevenue 21for (7)the grantsprovision forof public improvements essentialand dmay rinclude: e 22 to the location or expansion of a business;

c(1) eacquisition sof kland 23within [Z.]a AA.designated tax increment development area or a portion of that tax increment development area;

"taxing(2) entity"demolition meansand theremoval governingof bodybuildings eand aimprovements nand binstallation, 24construction ofor areconstruction political subdivision of thestreets, state,utilities, theparks, grossplaygrounds receiptsand taximprovements unecessary [to incrementcarry orout propertythe taxobjectives increment of whichthe mayTax beIncrement used for aDevelopment .222231.1Act; - 51 - tax increment development project;

(3) installation, construction or reconstruction of streets, water utilities, sewer utilities, parks, playgrounds and [AA.]other BB.public improvements necessary to h carry out the objectives of the Tax Increment for Development u » r Act;

"workforcet housing"h meansg decent,e safel andi sanitary(4) dwellings,disposition apartments,of single-familyproperty dwellingsacquired or otherheld livingh accommodationsr thati ares affordableby fora persons[tax orincrement familiesdevelopment earning] lessdistrict thanas eightypart percent of the medianh income, withine theh countyundertaking inof whicha the tax increment development project isat located;the fair t u g e b l e e , gh market value of such property for uses in accordance with the n d d i = = o h Tax Increment for Development Act;

providedl that] anb owner-occupied,d housingi unita isº affordabler to(5) apayments householdfor ifprofessional theservices expectede salesr price= ist reasonablye anticipatedw tod resultm ina monthlyn housingo costscontracts thatnecessary doto notimplement exceeda thirty-threetax percentincrement ofdevelopment thed household'sm gross: monthly income;

b r e t º o t n = .222231.1AIC February 9, 2022 (4:52pm) s k m e - 51 - e a n e d r e l u [ A d plan or project;

(6) borrowing to purchase land, buildings or infrastructure in an amount not to exceed the revenue stream that may be derived from the gross receipts tax increment or the property tax increment estimated to be received by a [tax increment development] district;

and (7) grants for public improvements essential to the location or expansion of a business;

[Z.] AA.

"taxing entity" means the governing body of a political subdivision of the state, the gross receipts tax increment or property tax increment of which may be used for a tax increment development project;

and [AA.

] BB.

"workforce housing" means decent, safe and sanitary dwellings, apartments, single-family dwellings or other living accommodations that are affordable for persons or families earning less than eighty percent of the median income h within the county in which the tax increment development u » r project is located;

provided that an owner-occupied housing t h g e l i unit is affordable to a household if the expected sales price h r i s is reasonably anticipated to result in monthly housing costs h , e h that do not exceed thirty-three percent of the household's t u g e b l e e , gh gross monthly income;

n d d i = = o h (1) determination of mortgage amounts and l ] b ,d i a º r payments is to be based on down payment rates and interest e r = t e w d m a n o rates generally available to lower- and moderate-income households;d m :

andb (2)r a renter-occupied housing unit is e t 17º affordableo tot a household if the unit's monthly housing costs, w l n d= 18.222231.1AIC includingFebruary rent9, and2022 basic(4:52pm) utilitys andk energym costs,e do- not52 =- =e 19 a ln exceede thirty-threed percentr of the household's gross monthly i a e rl 20u income."[ aA td mhouseholds; m 21 SECTION 13.

Sectionand 5-15-8(2) NMSAa 1978renter-occupied (beinghousing Lawsunit 2006,is daffordable rto ea 22household Chapterif 75,the Sectionunit's 8,monthly ashousing amended)costs, isincluding amendedrent toand read:basic utility and energy costs, do not exceed thirty-three percent of the household's gross monthly income." SECTION 13.

cSection e5-15-8 sNMSA k1978 23(being "5-15-8.Laws 2006, Chapter 75, Section 8, as amended) is amended to read:

FORMATION"5-15-8. DETERMINATION--ELECTION.-- e a n b 24 A.

TheFORMATION formationDETERMINATION--ELECTION.-- determinationA. and election u [ procedures set forth in this section shall be used for:

.222231.1The -formation 52determination -and (1)election formationprocedures ofset aforth newin [taxthis incrementsection development]shall district;be used for:

(2)(1) [selectionformation of a districtnew board[tax member] modification of the boundaries of a tax increment developmentdevelopment] area;district;

(3)(2) [adoption][selection the levy of a propertydistrict taxboard [levymember by] amodification taxof incrementthe developmentboundaries district]of ona propertytax inincrement thedevelopment district;area;

(4)h use(3) [adoption ] the levy of a property tax incrementg financingo t hr [levy by a [taxtax increment development]development district ] on property in g e i k the district;

orh (5)r issuingi s (4) use of property tax increment bondsfinancing toby beh repaid, byt, fundsa raised[tax byincrement propertydevelopment tax] increments.district;

B.or e u g e b l e e h (5) issuing of property tax increment bonds to n d d i = = o h be repaid by funds raised by property tax increments.

A formation determination may be waived and a [tax increment development] district shall be formed upon the governing body's adoption of a resolution to form a [tax increment development] district if a petition is presented to a e t 17 governing body in accordance with the Tax Increment for w l n] db 18,d Development Act and if the petition contains the signatures of = = 19 a l all owners of the real property within the proposed tax i a º e rB. 20 increment development area and states that the owners waive the a t m m 21 right to a formation determination.

dA formation determination may be waived and a r i = r t e 22w [C.d m a n o [tax increment development ] district shall be formed upon the d m :

Ab formatione ord others determinationº shallo nott ben c= e.222231.1AIC February 9, 2022 (4:52pm) s k 23m e - 53 - e a localn electione d r e l u [ A d governing body's adoption of a resolution to form a [tax increment development] district if a petition is presented to a governing body in accordance with the Tax Increment for purposesDevelopment Act and if the petition contains the signatures of all owners of the Localreal Electionproperty Act.within the proposed tax increment development area and states that the owners waive the right to a formation determination.

The[C. e a n b 24 governing body or district board may establish local procedures u [ for noticing, conducting and canvassing determinations, which .222231.1 - 53 - may include determinations by unanimous written approval of the owners in affidavits executed by the owners and confirmed in a review by the district board.

A formation or other determination shall not be a local election for purposes of the Local Election Act.

The governing body or district board may establish local procedures for noticing, conducting and canvassing determinations, which may include determinations by unanimous written approval of the owners in affidavits executed by the owners and confirmed in a review by the district board.

Except as otherwise provided by this section, an election by the qualified electors pursuant to the h Tax Increment for Development Act shall be a nonpartisan g o t hr election called, conducted and canvassed pursuant to the g e i k provisions of the [Election Code]Code ] Local Election Act.

h r i s [E.] D.

In addition to the notice requirements in h , t, the Local Election Act, the notice of election shall state:

e u g e b l e e h (1) if the election is a formation election, n d d i = = o h the boundaries of the proposed [tax increment development]development ] l ] b ,d i a º e district;

(2)r ifi the= electionr ist ae bondw election,d them purposea forn whicho the(2) bondsif arethe toelection beis issueda andbond election, the amountd ofm the: issue;

b e td 17s (3)º ifo thet election is a property tax levy w l n d= 18.222231.1AIC election,February the9, maximum2022 tax(4:52pm) rates perk onem thousande dollars- =54 =- 19e a ln ($1,000)e ofd assessedr valuatione tol beu imposed,[ theA purposesd purpose for i a e r 20 which the revenuesbonds raisedare willto be usedissued and the existingamount maximumof athe tissue; m m 21 tax rate, if any;

d(3) rif ethe 22election (4)is thata anproperty approvedtax levy election, the maximum tax incrementrate developmentper cone ethousand sdollars k($1,000) 23of planassessed isvaluation onto filebe withimposed, the clerkpurposes offor which the governingrevenues body;raised will be used and the existing maximum tax rate, if any;

e(4) athat nan bapproved 24tax (5)increment thedevelopment purposesplan foris whichon propertyfile taxeswith will u [ be imposed and for which the revenuesclerk raised will be used, .222231.1 - 54 - including a description of the publicgoverning improvementsbody; to be financed with tax revenues, bond proceeds or other revenues of the [tax increment development] district;

and(5) (6) that the impositionpurposes offor which property taxes will resultbe inimposed and for which the revenues raised will be used, including a liendescription forof the paymentpublic onimprovements propertyto withinbe financed with tax revenues, bond proceeds or other revenues of the district.[tax increment development ] district;

[F.and (6) that the imposition of property taxes will result in a lien for the payment on property within the h district.

Theg districto board,t or,hr in[F. the case of a formation election, the governing body, shall determine the date of the election, which shall comply with the provisions of the Local Election Act.] E.

The ballotdistrict materialboard, providedor, toin eachthe qualifiedcase [electors]of electora g e i k formation election, the governing body, shall include:determine the h r i s date of the election, which shall comply with the provisions of h , t, the Local Election Act.] E.

(1)The forballot amaterial formationprovided election,to ane impartialu descriptiong ofe theb taxl incremente developmente planh andeach aqualified brief[electors description] ofelector argumentsshall forinclude: and against the formation of the [tax increment development] district, if any;

(2)n ford and electioni concerning= the= impositiono eh t(1) 17for ofa propertyformation taxes,election, an impartial descriptionl of] theb taxes,d toi bea wº le ndescription dof 18 imposed, the methodtax ofincrement apportionment,development collectionplan and = = 19 a lbrief enforcementr andi other= detailsr sufficientt toe enablew eachd im a en ro 20description qualifiedof electorarguments tofor determineand against the amountformation of taxthe itd will be a t m m: 21 obligated to pay;

ab briefe descriptiond ofs argumentsº foro andt dn r= e.222231.1AIC 22February against9, the2022 imposition(4:52pm) ofs taxesk thatm aree the- subject55 of- thee ca n e sd kr 23e election,l u [ A d [tax increment development] district, if any;

and(2) afor statementan thatelection concerning the imposition of e a n b 24 property taxestaxes, isan forimpartial thedescription provision of certain,the buttaxes notto u [ necessarily all, public improvements that may be neededimposed, or .222231.1 - 55 - desirable within the [taxmethod incrementof development]apportionment, district,collection and thatenforcement and other taxes,details leviessufficient orto assessmentsenable byeach otherqualified governmentalelector entitiesto maydetermine bethe presentedamount forof approvaltax byit ownerswill andbe qualifiedobligated electors;to pay;

(3)a forbrief an election concerning the use of property tax increment [financing] bonds, an impartial description of thearguments estimatedfor incrementand toagainst be generated over the lifeimposition of thetaxes projectthat andare the naturesubject and extent of the publicelection, improvementsif toany; be constructed [and maintained] using such financing;

(4)and for a formationstatement election,that the questionimposition toof property taxes is for the provision of certain, but not necessarily all, public improvements that may be votedneeded uponor asdesirable ["district,within yes"]the "for[tax district"increment development ] district, and ["district,that no"]other "againsttaxes, district";levies or assessments by other governmental entities may be presented for approval by owners and qualified electors;

(5)(3) for aan election concerning the use of h property tax impositionincrement election,[financing ] bonds, an impartial g o t hr description of the questionestimated increment to be votedgenerated uponover asthe ["propertyg tax,e yes"]i "fork propertylife tax"of the project and ["propertythe tax,nature no"]and "againstextent propertyof tax";the public h r i s improvements to be constructed [and maintained ] using such h , t, financing;

e tu 17g (6)e forb an election to change an existing w l ne de 18h maximum(4) taxfor ora eliminateformation anelection, existing tax, the question to ben d d i = = 19o ah lbe voted upon as ["tax["district, change,yes" yes"]] "for taxdistrict" change" and ["taxl i] ab e,d ri 20 change, no"] "against tax change" and shall specify the type of a tº me m["district, 21no" tax] to"against whichdistrict"; the proposed change pertains;

and d r ei 22= (7)r fort an election concerning the use of c e sw kd 23m property tax increment bonds, the ballot shall pose the e a n bo 24(5) questionfor toa beproperty voted upon as ["bonds, yes"] "for tax bonds"imposition andelection, ud [m ["bonds,: no"] "against tax bonds".

.222231.1b e d s º o t n = .222231.1AIC February 9, 2022 (4:52pm) s k m e - 56 - [G.]e F.a n e d r e l u [ A d the question to be voted upon as ["property tax, yes"] "for property tax" and ["property tax, no"] "against property tax";

(6) for an election to change an existing maximum tax or eliminate an existing tax, the question to be voted upon as ["tax change, yes" ] "for tax change" and ["tax change, no"] "against tax change" and shall specify the type of tax to which the proposed change pertains;

and (7) for an election concerning the use of property tax increment bonds, the ballot shall pose the question to be voted upon as ["bonds, yes" ] "for tax bonds" and ["bonds, no" ] "against tax bonds".

[G.

] F.

[H.]h G.[H.

If] aG. person transfers real property located in a district and the name of the successor owner becomes known to the [governing body or the] district board [as applicable] and is verified by recorded deed or other similar evidence of transfer of ownership, the successor owner is deemed to be the owner of the real property for the purposes of the Tax Increment for Development Act.

[I.]If H.a person transfers real property located g o t hr in a district and the name of the successor owner becomes known g e i k to the [governing body or the ] district board [as applicable] h r i s and is verified by recorded deed or other similar evidence of h , t, transfer of ownership, the successor owner is deemed to be the e u g e b l e e h owner of the real property for the purposes of the Tax n d d i = = o h Increment for Development Act.

If there are no persons registered to vote within a district or proposed district areas within [seventy] sixty-three days immediately preceding a scheduled election date, an election required to be held pursuant to the Tax e t 17 Increment for Development Act shall be canceled and the w l n] db 18,d determination made by the owners of property within the = = 19 a l district or proposed district areas shall prevail, unless an i a eº r 20 election is otherwise required by the constitution of New a t m m 21 Mexico or the determination was waived by the governing body d r e 22[I. pursuant to Subsection B of this section.

In] aH. determination, c e s k 23 each owner shall have [the number of votes or portion of votes e a n b 24 equal to the number of acres or portion of acres] one vote for u [ each one-fifth of an acre located in the district, rounded .222231.1 - 57 - upward to the nearest one-fifth of an acre [owned in the district by that owner]." SECTION 14.

If there are no persons registered to vote r i = r t e w d m a n o within a district or proposed district areas within [seventy ] d m :

b e d s º o t n = .222231.1AIC February 9, 2022 (4:52pm) s k m e - 57 - e a n e d r e l u [ A d sixty-three days immediately preceding a scheduled election date, an election required to be held pursuant to the Tax Increment for Development Act shall be canceled and the determination made by the owners of property within the district or proposed district areas shall prevail, unless an election is otherwise required by the constitution of New Mexico or the determination was waived by the governing body pursuant to Subsection B of this section.

In a determination , each owner shall have [the number of votes or portion of votes equal to the number of acres or portion of acres] one vote for each one-fifth of an acre located in the district, rounded upward to the nearest one-fifth of an acre [owned in the district by that owner]." SECTION 14.

FORMATION OF A DISTRICT.-- h A.

If the formation of the [tax increment g o t hr development] district is approved in accordance with the g e i k provisions of Section 5-15-8 NMSA 1978, the governing body h r i s shall deliver a copy of the resolution ordering formation of h , t, the [tax increment development]development ] district to each of the e u g e b l e e h following persons or entities:

n d d i = = o h (1) the county assessor, the county treasurer l ] b ,d i a º e and the clerk of the county in which the district is located;

(2)r thei school= districtr withint whiche anyw portiond ofm a n o (2) the propertyschool locateddistrict within awhich taxany incrementd developmentm area: lies;