A few positives (relative to MLG’s) in the LFC budget

01.08.2026

We commented on the Gov.’s proposed $11.3 billion budget last week. It’s no surprise that we don’t like it. But, in advance of every New Mexico legislative session there are TWO budgets put forth. The second budget comes from the Legislature, specifically the Legislative Finance Committee. You can read the full budget at the link, but here is the report on it from the Albuquerque Journal.

Here are three reasons the LFC budget is superior to the Gov.’s:

  1. No funding for MLG’s expansion of childcare to include those making above 400% of the federal poverty level;
  2. A much more reasonable increase in year-over-year state spending by about $268 million, or roughly 2.5%. In contrast, the governor’s budget recommendation calls for spending to increase by about $503 million, or roughly 4.6%, over current levels.
  3. The legislative spending plan would authorize $155 million in one-time road maintenance funding. MLG’s budget only proposes $100 million for statewide road construction/repairs.

To be clear, this is NOT the budget the Rio Grande Foundation would put forth if we had the chance. New Mexico could eliminate most of the 80% spending increase of the past 7 years and be very comfortable with the size of government. Much of that money could and should be returned to taxpayers. BUT, we’re not in charge in Santa Fe. So, we’ll highlight that the LFC budget is significantly better than the Gov.’s.  The Legislature’s budget can be found here: