The debate over gas stoves continues apace with several news items from the past few weeks. Sen. Martin Heinrich again claims that no effort or plan is underway to ban gas stoves. But, in response to a federal court ruling that prohibited local governments from banning gas stoves, the Biden Administration has filed a “friend of the court” or amicus brief in support of local stove bans (even though the ruling said that power was reserved for the federal government).
And then two bills were voted on in Congress this past week dealing with gas stoves. Click on the links to get the roll call votes: H. R. 1615 prohibits the Consumer Product Safety Commission from banning gas stoves or passing regulations that substantially increases their price.
H. R. 1640 prohibits the Department of the Energy (DOE) from regulating gas stoves out of existence.
Both bills passed the House on a bipartisan basis. Of New Mexico’s congressional delegation, only Rep. Gabe Vasquez voted “Yes” and only on HR 1615.
Judge Glock, Director of Research at the Manhattan Institute, is an expert on homeless policy in the United States. On June 14 he gave a presentation in Albuquerque and also sat down with Bob Clark of KKOB radio.
His detailed slides can be found here: Homeless Presentation.
His conversation w/ Bob Clark is below:
With efforts underway in the City of Albuquerque to change to a City Manager/weak mayor form of government (which Phoenix has), there has been a good deal of back-and-forth in the media comparing Phoenix and Albuquerque.
Advocates of the governance change say Albuquerque’s “strong mayor” system is hurting the City while others say that is not the case. We don’t have a position on that governance issue, but DO want to see a vote and robust debate on the issue, especially if one of the focal points is the superior growth of Phoenix relative to Albuquerque.
We believe that the primary difference is the massive difference in economic freedom and educational freedom with Arizona being more economically-free than New Mexico. If New Mexico (or Albuquerque) wants to compete with Arizona (or Phoenix) it must change the Legislature and elect better governors in ways that emphasize economic growth and educational freedom.
Sadly, but yet again, the annual Kids Count published by the Annie E. Casey Foundation in partnership with left-wing Voices for Children, has found New Mexico dead last in their report. The latest findings are unsurprising given New Mexico’s performance has been either 49th or 50th since 2012.
What IS amusing to watch is the ongoing effort by Voices to “put lipstick on the pig” by highlighting the positives in the report. We have previously commented on the Voices’ spin. Now that a “progressive” Democrat and Legislature are in firm control of New Mexico they think something positive should be happening (and it should be given New Mexico’s ongoing oil and gas boom).
There are numerous variables considered in the report but contrary to generous reports in the media, 9 variables worsened while only 6 improved.
By far the biggest area of concern is education which has seen an influx of spending in recent years, but saw stark declines in performance, especially in 8th grade math which fell by 8 percentage points. This can at least partially be attributed to the Gov. COVID lockdowns, but that won’t be discussed by the media or Voices.
The following article by William Patrick Leonard, senior fellow with the Rio Grande Foundation, was published in the Santa Fe New Mexican on 6/4/23.
According to the state Attorney General’s Office, “The Inspection of Public Records Act is intended to provide the public with access to information on governmental affairs. The law requires public access to virtually all public records with a few exceptions. Most records are available for public inspection.”
Early responses were encouraging. One research institution responded within three days. Three comprehensives and one research institution sent the requested data within two weeks. All were com- plete, although varying in format. New Mexico Highlands and UNM were non-compliant. The latter quickly denied my request, claiming an exemption from an Attorney General’s Office finding in an unrelated municipal case.
The following briefly describes how New Mexico’s public research and comprehensive universities responded to a request for data.
I appealed, noting that its rationale was flawed. Highlands was more evasive. Initially, I was redirected to other officers within the institution. Finally, I was advised that the officer responsible was off campus and unavailable to respond. My subsequent attempts failed.
I requested the number of first- time, full-time fall 2017 through 2021 New Mexico enrollees required to take between one and four remedial courses; the number completing that fall term; and the number enrolling in the subsequent spring term.
The two institutions employed different noncompliance tactics. Both appeared to have the same goal: wear the requester out. Follow- ing the Public Records Act, I sought the state’s Attorney General Office’s assistance. Some communication between the agency and Highlands led to a response that it did not have any enrolled students required to register in remedial coursework.
I first filed a public information request form with the listed custodians at the state’s public universities — Eastern New Mexico University, New Mexico Highlands University, New Mexico State University, New Mexico Tech, Northern New Mex- ico College, the University of New Mexico and Western New Mexico University suggested otherwise.
Highlands does enroll probationary and non-degree students. Further, its catalog lists a course, “English Reading and Writing for Inquiry. This course offers instruction and practice in college-level critical reading and writing skills. It is designed to give students experienceand practice developing academic inquiry needed for much of their course- work.
While the data sought likely exists, it appears to be secret. Why the institution did not reveal its current policy remains unanswered. The Attorney General’s Office appears to haveclosed the case.
The AG’s approach to UNM, cit- ing the cover of an unrelated municipal case, has remained unresolved.I was informed that it had queried the institution and referred its response to the attorneys.Three subsequent requests for the resolution to the AG’s Office have yet to receive a response.
Five of seven relatively prompt responses suggest my request did not pose major assembly or confidentiality issues.My experience indicates the Inspection of Public Records Act’s measured enforcement facilitates selective noncompliance.
Why fight the law? The prompt response from five of seven does not suggest resource issues. Perhaps the data sought challenges a desired public image. Since the data sought focuses on the graduates of New Mexico’s primary and secondary schools,any embarrassment should be rested.
Revoking the law has been advanced. It would only lead to lengthy and costly lawsuits.A more reasonable solution would include timely and consistent compliance and enforcement.
William Patrick Leonard is a senior fellow with the Rio Grande Foundation.
1) We don’t have a “sales tax,” we have a gross receipts tax, but the info is still accurate.
2) New Mexico is undergoing an unprecedented oil and gas boom, yet this tax remains.
3) Sales taxes (and the GRT) are regressive meaning they impact the poor most. This, despite (or because) New Mexico has a “progressive” Legislature.
According to the Pew Center on the States, New Mexico is one of 18 US states to ave lost population from July 2021 to July 2022. This is not a surprise as New Mexico has been plagued by slow population growth for years. And, while New Mexico’s percentage population loss wasn’t “that” bad, it is worse than a lot of “rust belt” states and light years behind its neighbors, all of which are among the fastest growing.
But, it is the kind of situation that should NOT be happening in a state undergoing a boom in its biggest industry (oil and gas).
Furthermore according to Pew while New Mexico gained population between 2010 and 2020 its annual growth rate was anemic, especially compared with its neighbors.
Directly quoting from Pew:
Fast-growing populations typically translate to strong labor force growth, which fuels economic activity and helps states generate tax revenue to fund any increased spending, such as for education or infrastructure. But on the other hand, a shrinking or slow-growing population can be both a cause and an effect of weakened economic prospects. Less economic activity can limit state revenue collections. And although a smaller population can lead to a reduction in some types of spending, it also means there are fewer residents to help cover the costs of long-standing commitments, such as debt and state employee retirement benefits.
At the Rio Grande Foundation we recognize that weather and climate are two different things. But, the left both asserts that climate change is a catastrophe AND they regularly assert that everything from Canadian fires to winter storms is driven by “climate change” (formerly “global warming).”
Now, KRQE Channel 13 is reporting that New Mexico may have its hottest summer ever thanks to the El Niño weather phenomenon.
But, did you know that Albuquerque has NOT had a day of 90 degrees or more so far in 2023? Did you know that we typically have our first 90 degree day by May 27? There are many ways to present data, but the following chart uses data from this website to illustrate the number of 90 degree days FROM RIGHT to LEFT. You can also see the trend line which if anything goes down as time goes on. 90 degree days are on the way this summer, but it is hard to see how this particular trend represents a global warming crisis.
This website which tracks the number of 100+ degree days from the National Weather Service also doesn’t exactly show that Albuquerque specifically is warming dramatically.
New Mexico is awash in revenue from the State’s oil and gas industry and as we reported last week, that flood of revenue shows no signs of stopping. New Mexicans will soon be receiving $500 or $1,000 checks from the State thanks to legislation passed in the recent legislative session and those are welcome relief for families that have seen negative wage growth in the Biden economy.
However, there are two major issues with these rebates:
On this Tipping Point conversation Paul interviews Gerges Scott. Gerges is a Senior VP at Agenda, an Albuquerque-based public relations firm. Gerges was recently “across the pond” for conferences in Scotland and England. Gerges and Paul also discuss the Holtec facility which was recently approved in Southeast New Mexico and its importance both for the New Mexico economy AND for its potential role in reigniting America’s nuclear industry and efforts to bring zero-carbon energy to market.
Finally, Paul and Gerges talk about the “fake news” from a left-wing advocacy group which claims that he has a state contract to single-handedly transition New Mexico’s economy away from oil and gas.
As RGF has discussed, unlike the past, New Mexico’s current oil and gas boom is being driven by strong production. That means that even if prices per barrel drop, New Mexico will still see historically-strong revenues. It is also contrary to the left-wing narrative that New Mexico is going to see oil/gas revenues dry up or the nation/world abandon fossil fuels anytime soon.
Now, the latest report is that New Mexico’s oil and gas revenues exceed expected levels by $581 million above December estimates. That is above estimates made as recently as December for the current 2023 fiscal year which ends June 30.
As the New Mexican article notes, Democrats in the Legislature are upset the Gov. vetoed several “green” subsidies. RGF is frustrated the Legislature didn’t include needed GRT reform in the tax reform package and that the Gov. vetoed even rate reductions.
Regardless, the report points to the fact that the revenue boom continues and that MLG and the Legislature have another opportunity to enact needed tax reform.
On this week’s conversation Paul and Wally briefly discuss Albuquerque’s City Council consideration of putting significant governance changes on the ballot.
Meanwhile, the City recently asked volunteers to help clean up bus stops.
New Mexico’s new “529” law takes effect on June 16. The new law gives additional K-12 savings choices to New Mexicans.
The Legislative Finance Committee is undergoing a leadership change. RGF and recent LFC report both highlight New Mexico’s workforce participation rate challenges. Furthermore, according to the LFC report: Oil and gas generates more than half of general fund revenues.
Secretary of Interior Haaland ignores Navajo objections and imposed a 10 mile buffer around Chaco Monument.
Another round of national coverage on Mississippi’s education miracle.
New Mexico uses revenue windfall to boost current, future spending while other states including Nebraska are reducing taxes (more interesting data from LFC).
According to news reports New Mexico Land Commissioner Stephanie Garcia Richard has imposed a one-mile boundary on NEW oil and gas leases around schools. The limit ONLY applies to lands managed by the State Land Office and it also only applies to future leases and does not apply to tribal, federal, or private lands.
No scientific studies are cited by Garcia Richard or the Land Office. If there WERE studies illustrating such health dangers, you can bet that the Gov. and Legislature would have acted long ago to address current drilling, not just future drilling on SOME lands.
In the grand scheme of things this is likely simply virtue signaling as there undoubtedly few state lands within a mile of a school that have NOT already been leased. But that’s the point. While RGF does not often discuss land commission issues, the fact that New Mexico’s State Land Office generates 90% percent of its revenues from oil and gas, yet the logo is below says it all.
Recently Rio Grande Foundation president visited Silver City and Alamogordo to talk to the Grant County GOP and Alamogordo Rotary. Paul’s talk hit on New Mexico’s economy and its growing reliance on oil and gas (despite protestations to the contrary from New Mexico’s “green” policymakers). Paul also discussed education policy and what COULD be done and IS being done in states from Mississippi to Arizona to improve education.
In Alamogordo he was thrilled to see former state legislator (former and future?) Congresswoman Yvette Herrell.
If your New Mexico-based civic group would like a presentation on New Mexico’s economy and education system please reach out to us at: info@riograndefoundation.org
Thanks also to Bob Flotte and Mike Durler for having Paul in Alamogordo and for the weekly discussions of New Mexico’s economy and politics on Tuesday mornings from 8:25 am to 9.
For several years now Gov. Lujan Grisham has pushed and Democrats in New Mexico’s Legislature have rejected various bills which would impose a “clean fuel standard” on motorists. The effort claims to be about reducing the “carbon intensity” of fuels put in gas tanks, we at the Rio Grande Foundation have noted that the effort would entail a great deal of ethanol being added to our gas.
Sadly, while New Mexico is not a serious corn growing state, our congressional delegation all of whom claim to be environmentalists, remain unwilling to challenge this colossal waste of tax dollars.
Michael Grunwald, a columnist writing in the New York Times has written a column highlighting why adding ethanol to gas is a foolish policy FROM THE ENVIRONMENTALIST perspective. Here are a few choice points:
Nebraska recently became the latest state to enact serious tax cuts (without the benefit of a booming oil and gas industry) The plan reduces the top individual and business income tax rates to 3.99% by tax year 2027 and entirely eliminates state taxes on Social Security benefits a year early in 2024.
Several other states have enacted personal income tax reductions that took effect in 2023: Arizona, Idaho, Indiana, Iowa, Kentucky, Mississippi, Missouri, Nebraska, New York and North Carolina.
Meanwhile, New Mexico which has become even more dependent on oil and gas in recent years has NOT cut personal income taxes. Instead, the State remains dedicated to growing spending and holding money in reserve for future spending. The following charts are from the Legislative Finance Committee’s recent report.
The Rio Grande Foundation has been New Mexico’s leader in shining light on the “Mississippi miracle” in education. But other media outlets and columnists left, right, and center have also been doing their part. The latest is NY Times columnist Nicholas Kristof.
Here are a few choice quotes from his column: “Mississippi has shown that it is possible to raise standards even in a state ranked dead last in the country in child poverty and hunger and second highest in teen births.” Also, “You cannot use poverty as an excuse.” That’s the most important lesson,” David Deming, Harvard economist and education expert.
Contrast that with NM Senator Mimi Stewart’s “NM doesn’t know how to educate poor students.”
Given New Mexico’s challenges with drugs and alcohol, this quote is pertinent, “I’ve lost too many friends I grew up with to drugs, alcohol and suicide, and as I think about what might have saved their lives, education is high on the list.”
Mississippi has achieved its gains despite ranking 46th in spending per pupil in grades K-12. Its low price tag is one reason Mississippi’s strategy might be replicable in other states. Another is that while education reforms around the country have often been ferociously contentious and involved battles with teachers’ unions, this education revolution in Mississippi unfolded with support from teachers and their union.
Mississippi is a red state. New Mexico is a blue state. Sadly when New Mexico attempted to implement reforms closely resembling Mississippi’s, the unions fought it.
“Perhaps the most important single element of the 2013 legislative package was a test informally called the third-grade gate: Any child who does not pass a reading test at the end of third grade is held back and has to redo the year.”
“In fact, the third-grade gate lit a fire under Mississippi. It injected accountability: Principals, teachers, parents and children themselves were galvanized to ensure that kids actually learned to read. Each child’s progress in reading is carefully monitored, and those who lag — as early as kindergarten and ramping up in second and third grades — are given additional tutoring.”
In fact, the third-grade gate lit a fire under Mississippi. It injected accountability: Principals, teachers, parents and children themselves were galvanized to ensure that kids actually learned to read. Each child’s progress in reading is carefully monitored, and those who lag — as early as kindergarten and ramping up in second and third grades — are given additional tutoring.
Interestingly enough, while Albuquerque Public Schools have received a lot of attention for their bloated budget, it is worth noting that Alamogordo schools plans to spend $153,652,893 to educate approximately 5,600 students next school year. That’s more than $27,000 per-student!
In the kind of one-person power grab that has become all-too-common in recent years and especially with the Biden Administration, Interior Secretary Deb Haaland has instituted a 10 mile barrier around Chaco Canyon Monument. The ban will last for 20 years (unless overturned by a subsequent administration).
The Navajo Nation recently explicitly rejected ANY barrier around the Monument. However as the Journal reports, the nation had in the past supported a 5 mile barrier.
Haaland’s move is expected to cost Navajo members with allotted property rights an estimated $194 million over the next 20 years.
Naturally, New Mexico’s entire Congressional delegation, all of whom are anti-energy radicals, support the 10 mile buffer.
The Rio Grande Foundation recently analyzed workforce participation data for New Mexico and its neighboring states. Separate data from New Mexico’s Legislative Finance Committee was also discussed in the post.
This attracted the attention of KOAT Channel 7 which did an excellent report on RGF’s data and analysis including discussing the data with a UNM economist who added his cogent thoughts. Check out the KOAT report here and by clicking on the image below:
On this week’s interview Paul talks to Vance Ginn, PhD. Vance is an economist who worked in the Trump Administration, is Founder and President of Ginn Economic Consulting, LLC, Host of the Let People Prosper Show Podcast, and is Chief Economist or Senior Fellow at Multiple Think Tanks.
Paul and Vance discuss reports claiming that California has a lighter tax burden than Texas, ensuring sounds state budgets, and they even dive into immigration policy.
The Legislative Finance Committee’s post-session fiscal review is a trove of interesting information (translated: expect additional posts using information gleaned from it, but have a read for yourself). One interesting item among many is the chart below which shows that even as the Gov. and Democrats who control the Legislature claim to want to “diversify” the economy and even dismiss New Mexico’s role as an energy state, New Mexico’s budget has become even MORE reliant on oil and gas revenues in recent years.
As the chart below shows, more than 50% of New Mexico’s general fund revenues (nearly $7 billion in 2023) comes from oil and gas. As a reminder, the state’s FY 2023 revenues were approximately $11 million (according to the LFC) but it spent $8.4 billion in FY 2023 (the FY 2024 budget was just passed and that is $9.6 billion).
The Rio Grande Foundation has been tracking and discussing New Mexico’s low workforce participation rate for several years. The chart below covers the time period dating back to pre-pandemic January 2020. As you can see, New Mexico’s rate remains much lower than its neighbors’ rates and both New Mexico and Arizona have NOT recovered from the pandemic. You can find the raw data here.
In their post-session review, the Legislative Finance Committee also looked at workforce participation rates over time among men and women (using separate data set) and found some troubling info. The following charts are from their report. Although the LFC report does not explain their choices, the following charts show New Mexico’s low an worsening workforce participation rate for groups of prime working age adults:
If you drive around Albuquerque for any length of time you’ll notice a lot of trash. Among the places with the largest amount of trash is bus stops. Well, according to Channel 13, the City is asking for volunteers to help clean up the trash around the City’s bus stops this weekend.
The idea is to prepare for ABQ Pride Parade and Route 66 Summerfest. If you are interested in helping out, that is great, we encourage you to do so.
But it also seems that if the City of Albuquerque is serious about boosting ridership on its buses and generally making the City a cleaner, less-polluted (and perhaps an even safer place), perhaps it is time to redirect some of the $3 million in “free” bus money to pay for clean up and enforcement of litter (and other) laws around bus stops.
Having an “official” presence at bus stops might also have a deterrence effect on the rampant shoplifting for which City buses have become a popular “getaway vehicle.”
On this week’s conversation Paul and Wally discuss the contents of the debt ceiling deal. While they agree that it is better than nothing, their “real” interest now shifts to the political battle between the mainstream and left/right in both parties.
Virgin Galactic had a successful launch last week, but their stock plummeted simultaneously. Why?
In education-related news, Albuquerque Public Schools adopted a massive $2.16 billion budget last week. The Associated Press discovers “Mississippi’s miracle.” The media (and a new study) falsely claim that pre-K is improving New Mexico education.
There is an impending battle over a massive Santa Fe solar development. Will NIMBY interests or the environmental activists win?
