Errors of Enchantment

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House Labor Committee considers minimum wage increase bill today

02.02.2021

The House Labor, Veterans’, and Military Affairs Committee will meet today at 2 P.M. HB 110, a phased minimum wage increase, is on the schedule. It would raise the minimum wage across New Mexico to $15 by 2025 . This bill also requires the minimum wage to rise with the Consumer Price Index after 2025.

You can watch the committee meeting webcast here, or join the Zoom meeting here.

The Rio Grande Foundation submitted testimony in opposition to the bill which you can read here.

Minimum Wage Stock Illustrations – 361 Minimum Wage Stock Illustrations,  Vectors & Clipart - Dreamstime

Tipping Point New Mexico Episode: 270 Fred Nathan of Think New Mexico

02.01.2021

On this week’s Tipping Point interview Paul sits down with Fred Nathan of Think New Mexico. Think New Mexico is another policy think tank that works in New Mexico. They describe themselves as “A results-oriented think tank whose mission is to improve the lives of all New Mexicans.”

Fred and Paul discuss the organization’s past successes often working in tandem with the Rio Grande Foundation. For starters, Paul and Fred speak candidly about the security issues around the Roundhouse and the challenges of the unique 60-day “virtual” session. They also discuss grocery taxes and issues that cropped up over that issue since the onset of COVID 19.

Furthermore, they discuss Social Security taxation and efforts to limit or repeal that.

Finally, they have some disagreement over Think New Mexico’s latest proposal which would place a lower cap on various lending services in New Mexico.

Tune in to this interesting and informative conversation!

Fred Nathan

Seriously, if Top Golf can open, what about Cliffs, Hinkle, and many more?

02.01.2021

People who know the Rio Grande Foundation know that Paul Gessing enjoys playing golf. We made it clear that re-opening shuttered golf courses was a no-brainer early on in COVID. But, we (along with Mayor Keller) opposed over-generous subsidies for Top Golf.

But, now that the place is apparently going to open to the public THIS FRIDAY. And, in addition to appreciating having another OPEN entertainment amenity in the Albuquerque area, it is good when ANY business can open in our City, even those receiving subsidies.

But, ask yourself: how is hitting range balls in a stall any COVID safer than riding a roller coaster or playing at an open water area? As noted in my Albuquerque Journal column on the subject a vast majority of states across the nation have opened amusement parks.

So, if Top Golf can really open, I’m sure Cliffs and Hinkle will open as well, right? NOTE: Gessing has been to a few Top Golf facilities. Like most outdoor entertainment options you can make it COVID safe or unsafe depending on numerous factors.

Coronavirus: Topgolf closes all locations across the U.S.

Senate Conservation Committee considers two bad bills on Tuesday

01.29.2021

On Tuesday, February 2nd, the Senate Conservation Committee will meet to consider SB 67 and SB 132, both of which push a “green” agenda and send the costs to New Mexicans. SB 67 requires all new power generation plants to be 100% renewable, while SB 132 mandates all new home constructions to include solar panels.

The meeting starts at 9 A.M. and you can watch the webcast here.

The Rio Grande Foundation submitted testimony in opposition to both bills, which you can read below.

SB 67 Testimony

SB 132 Testimony

House Commerce committee considers one bad bill and one good bill

01.28.2021

The House Commerce and Economic Development Committee meets tomorrow, Friday the 29th, at 1:30 PM. They will consider two bills relating to paid sick and family leave. The bad bill, HB 38, requires employers to provide paid family and medical leave, while the good bill, HB 134, provides incentives for employers to provide family-friendly policies but does not mandate them.

You can watch the committee webcast here, or join the Zoom meeting here.

The Rio Grande Foundation submitted testimony in opposition to HB 38 and in support of HB 134.

We’re number one…in Medicaid (welfare) recipients

01.28.2021

With everything going on in the Legislature and the Biden Administration’s attack on oil and gas, it would be easy to miss the fact that New Mexico is now the MOST reliant state in the entire nation when it comes to the welfare program known as Medicaid.

According to the Albuquerque Journal, an astonishing 43% of all New Mexicans were enrolled in the program statewide as of November

“The federal government provides $4.76 for every dollar in state general funds spent on the program, up from $3.65 pre-pandemic. That equation is providing the state with an additional $385 million.”

Medicaid levels are driven by the generosity of state policies and our impoverished status. HB 122 which has been introduced by Rep. Deborah Armstrong in the 2021 Legislature would impose a new tax on private health insurance in order to fund ADDITIONAL welfare programs in health care.

The Line: Should All New Mexicans Be Able To Sign Up For Medicaid? - New Mexico In Focus

Senate Education committee considers several bad bills tomorrow

01.28.2021

The Senate Education Committee will meet tomorrow, Friday the 29th, at 9 A.M. Several bad bills will be under consideration, including SB 31, which requires a school nurse in every school district in the state, SB 63, which requires all new schools constructed to include solar panels, and SB 110, which raises contributions to educators’ healthcare plans.

You can watch the committee webcast here.

The Rio Grande Foundation submitted testimony in opposition to these bills. You can read our statements below.

SB 31 Testimony

SB 63 Testimony

SB 110 Testimony

Bad Bill ending contractor-operated prisons enters committee today

01.28.2021

The House Consumer and Public Affairs Committee will discuss one of the worst bills proposed this legislative session, *HB 40, in a meeting today, Thursday the 28th. The meeting starts at 1:30 P.M.

The bill would ban the use of contractor-operated prisons in New Mexico. Studies have shown that these prisons are less expensive for the state and can produce much better outcomes for both inmates and communities than public prisons.

You can watch the committee meeting webcast here, or join the Zoom meeting here.

The Rio Grande Foundation submitted testimony in opposition to *HB 40.

On return to school and APS

01.28.2021

Gov. Lujan Grisham rather suddenly this week announced that New Mexico school districts would be able to return students at all grade levels to the classroom for “hybrid” learning. That means 50% in-person and 50% “virtual.”

We welcome this news and believe it is long-overdue based on numerous studies of the issue. And, while we are certainly not going to question the Gov.’s decision or motivation, it is certainly worth asking why most New Mexico schools remained closed from March of 2020 all the way until now while the number of active cases has only recently declined from statewide highs. The following case chart is from the WorldoMeters COVID tracking website.

The move to reopen schools at this very moment (immediately after a new President of her own party has taken office) is just one of many perplexing details.

Of course Albuquerque Public Schools has said that it WILL NOT be opening  on March 8. The leading obstacle is the unions which has been the case across the nation. To be fair to APS it appears that Lujan Grisham did not consult many districts or anyone outside her inner circle before making her decision. This lack of transparency marked by sudden policy shifts has been an ongoing problem throughout the pandemic.

Finally, while teachers shouldn’t be FORCED into classrooms, the “one-size-fits-all” problem inherent in our education system is the core problem here. Willing teachers and willing students could and should have returned to in-person learning months ago. If APS had a financial incentive to serve families and students rather than being a government-sponsored monopoly, this would be the case.

Mandatory Paid Sick Leave bill hits House committee tomorrow

01.27.2021

Mandatory paid sick leave has surfaced once again, but this time it is being proposed in Santa Fe, not just in the Albuquerque City Council. The bill, *HB 37 has been referred to the House Labor, Veterans’, and Military Affairs Committee which will discuss the bill in a meeting on Thursday, January 28th. The meeting starts at 2 P.M.

You can watch the webcast here, or join the Zoom meeting here.

The Rio Grande Foundation submitted testimony in opposition to the bill.

Update on New York Paid Sick Leave Policy | HR Works

Best bills of 2021 Legislature so far

01.27.2021

HB 139: Terminates Gov.’s emergency declarations after 90 days unless extension approved by the Legislature;

HB 8: Allows home liquor delivery and “liberalizes” license rules;

HB 26: Disallows “greenfield” developments from TIDD’s;

HB 33: Authorizes NM livestock board to inspect meat;

HB 49: Exempt Social Security from taxation;

HB 177: Allows for sale of certain foods produced in home kitchens;

HJR 6: Terminates declaration of emergency by Gov. after 90 days unless Legislature approves extension;

HJR 7: Allows for parents of New Mexico students to use state education dollars for the school of their choice;

*SB 2: Waives liquor license fees for 2021;

SB 6: Allows home liquor delivery and “liberalizes” license rules;

SB 78: Exempts Social Security from income tax;

SB 87: Prohibits retaliation based on IPRA requests;

SB 98: Requires economic impact reports on incentive programs;

 

Tipping Point New Mexico Episode 269: Back to School, 60 Day Leasing Ban, Good, Bad and Ugly Bills at Legislature

01.27.2021

On this week’s episode, Paul and Wally discuss the fact that New Mexico schools will soon reopen in a hybrid format. This is good news, but Wally and Paul do have questions. Other “blue” states have reopened as well and the Lobos and Aggies sports teams have been allowed to come back to NM, but what about football and other fall high school sports?

Biden oil leasing ban on federal lands 60 days; Shocking how quickly that came about & Deb Haaland isn’t even sworn in yet.

Paul wants to put some facts on the table as the session rolls forward.

RGF has a day in court defending free speech.

Paul and Wally go through some of the worst bills introduced SO FAR in the 2021 session. House and Senate listed here. Paul talks about the challenges of testifying and citizen involvement in the session.

RGF’s Freedom Index is tracking votes right now. 

Will students return to classrooms…by next fall?

01.25.2021

Teacher unions nationwide have been the leading opponents of in-person learning. The ongoing debate in Chicago is the most high-profile place where unions are pushing HARD against returning to classrooms. There has not been much debate on this in New Mexico, but non-unionized districts have been more inclined to return to hybrid learning whereas union-heavy districts have stayed with remote learning.  

The paragraphs below are taken directly from a New York Times article which details the Biden Administration’s efforts to get students back to class and union efforts to push back. There are even concerns about returning to classrooms THIS FALL. 

UPDATE: Shortly after this post was written Gov. MLG “reopened” schools to 50% hybrid schooling, but she left the “final decision” open to districts. That’s a welcome development and we’re confident that rural districts can get started with opening. APS has already said they will not return on the 8th of Feb. and we’ll just see about other big, union-dominated districts.

Basic facts as legislative session gets rolling

01.25.2021

The following appeared in Las Cruces Sun News on Sunday, January 24, 2021.

To say that this is an unprecedented legislative session in New Mexico is an understatement. After some public debate over how and when the Legislature was going to meet, the Democrats who overwhelmingly control both houses have decided to plow forward with an entirely “virtual” session.

The Roundhouse is closed to the public and if you want to engage with legislators or committees you need to get online and watch, testify, or send emails or calls to their offices. By itself this COVID-related change is both dramatic and problematic.

Then, in apparent reaction to the US Capitol riots of January 6 and the supposed threat of violence at state capitols across the nation, the Roundhouse has been fenced off with dramatically-enhanced security measures implemented to the point that only legislators and staff can get near the facility. We don’t know how long these measures will be in place, but this simply can’t be the “new normal.”

For all its many flaws New Mexico’s Legislature has traditionally been among the most open and accessible in the nation. We have advocated the addition of remote testimony in this vast, sparsely-populated State, but never at the expense of having in-person access completely eliminated during a session.

All advocates for open government must be vigilant in making sure that this crisis not be used to limit open government and transparency in our State.

And then there is the economy. We certainly want New Mexicans to be able to get back to work as quickly as possible. But as the Legislature meets to discuss long-term policy changes in our State we need to agree on a few important facts which undergird our economic situation and have done so for many years.

    • We know New Mexico is an impoverished state. Too many of our citizens and especially young people face hardships in the best of times. Of course, those problems have been worsened by the pandemic and the political reaction to it.
    • New Mexico lacks something called economic freedom. According to an annual report from the Canada-based Fraser Institute, a free market think tank, our State is the 42nd-most free state in the nation. Our neighbors are all much freer. Worse, because data are not available instantaneously the data available are for 2018, Susana Martinez’s last year in office. We have seen a dramatic erosion in economic freedom under the current Administration. Lack of economic freedom has real impacts on people. The study found an 8.1% reduction in median incomes in the least free states.
    • New Mexico’s tax burdens are heavy. Because it is poor and federal taxes are “progressive” many tools claim our State has low taxes. In reality, according to the Federation of Tax Administrators, when ranked as a percentage of personal incomes, New Mexico’s state tax burden is 7th-highest in the nation.
    • Given our heavy tax burden it will come as no surprise that state and local spending is high. In fact, according to com consuming 22.98% of our overall economy, New Mexico governments spend a smaller share of the economy than only West Virginia and Alaska.

During this 60-day legislative session we expect a slew of tax hikes, spending programs, and new regulations to be considered and passed. Unfortunately, those mostly take us even further in the wrong direction and will further make us an island of relatively slow economic (and population) growth and poverty in the American Southwest.

Paul Gessing is president of New Mexico’s Rio Grande Foundation. The Rio Grande Foundation is an independent, nonpartisan, tax-exempt research and educational organization dedicated to promoting prosperity for New Mexico based on principles of limited government, economic freedom and individual responsibility

RGF had a day in court (10th Circuit to be exact) defending free speech

01.22.2021

The Rio Grande Foundation is a staunch advocate for free speech and the ability for speech by those who want to speak without having their name and personal information spread all over the Internet and media outlets.

Dating back to our efforts against Santa Fe’s proposed (and defeated) soda and sugary drinks tax, the Foundation has been fighting against Santa Fe’s donor disclosure rule with legal representation from Arizona’s Goldwater Institute. You can read the details of the hearing and the case itself here.

The issue of free  and private speech is relevant in the US Congress these days with the US Congress considering HR 1, legislation that would chill free speech.

 

The initial wave of bad bills from the New Mexico House of Representatives

01.22.2021

We assessed some of the pre-filed and other bad legislation from the New Mexico Senate here. Below are some of the worst bills that have been introduced in the House to date.

Worst House Bills (so far)

HB 4 NM Civil Rights Act: would allow legal claims to be filed in state court over alleged infringements on free speech, freedom of religion and other constitutional rights. Major concerns have been expressed over the cost of this legislation.

HB 20, HB 37, HB 38 Some of the initial examples of proposed paid sick leave mandates.

HB 24 would mandate at least one full time nurse be hired in all New Mexico school districts.

HB 40 would ban all privately-managed detention facilities in New Mexico

HB 43 Black Education Act would require “racial sensitivity” and “anti-racism” training and propaganda for staff and students from K-12 to higher education.

HB 110 Legislation would impose a $15/hour minimum wage.

HB 111 would impose various unnecessary rules and restrictions on real estate and rental transactions.

HB 122 This bill would impose a new tax on health insurance.

HJR 1 would amend New Mexico’s constitution to tap into the Land Grant Permanent Fund to create new “early childhood” programs including pre-K.

Tipping Point NM episode 268: Representative Greg Nibert – NM Legislative Session

01.21.2021

Paul interviews Rep. Greg Nibert, a member of the New Mexico House of Representatives from Roswell.

Nibert is sponsoring critical legislation that would give legislators a “seat at the table” in future emergencies. No longer would one person, the Gov., be given or be able to take the kind of absolute control we have seen over the last year.

Additionally, Nibert and Gessing discuss the logistics and concerns about New Mexico’s first-ever “virtual” 60-day session and some of the important issues that he’ll be dealing with in the session.

Lawmakers discuss budget ahead of likely special session | Roswell Daily  Record

Initial wave of Worst Senate Bills to watch in 2021

01.21.2021

With the Legislature meeting behind closed doors in a “virtual” environment, the potential for mischief is extreme in the 2021 Legislature. We know that Gov. Lujan Grisham has a few stated priorities for the session, but when it comes to the most “progressive” (big-government-oriented) Legislature in New Mexico history, some truly awful bills will be introduced (and possibly passed).

In a 60 day session there will be plenty of bills introduced, but here are a few “pre-filed” and early candidates. We recommend you 1) sign up for our email list at this page, 2) check our “Freedom Index” regularly 3) use the bill tracking feature on the Legislature’s website to track notable bills.

Here are SOME of the initial “worst of the worst” starting in the Senate (this is the New Mexico Legislature, this list will get pretty long once all bills are introduced).

SB 11: Imposes regulations on vehicles to drastically reduce CO2 emissions from motor vehicles used in New Mexico;SB 55: Require social, cultural, and racial “impact statements” for all bills in the Legislature;

SB 31: Require every school district in New Mexico hire at least one full-time nurse;

SB 56: Increase New Mexico’s top personal income tax rate to 8.2%;

SB 89: Increase New Mexico’s top personal income tax rate to 6.5%;

SB 63: Require ALL newly-constructed schools to have photovoltaic solar panels;

SB 67: Requires ALL new energy to be “green” produced with renewables;

SB 81: Requires a “racial impact statement” for all crime legislation;

SB 110: Increase employer (taxpayer) contribution to the Educational Retirement Board pension system health care plan.

SB 130 Requires 75% of New Mexico State-owned vehicles to be powered by electricity;

SB 132 Requires ALL newly-constructed homes to have photovoltaic solar panels AND charging stations for electric vehicles;

SJR 3 Enacts “green” amendment to New Mexico’s Constitution.

We’ll look at the worst bills from the House tomorrow.

Assessing New Mexico’s “Green” Amendment

01.20.2021

A group of Democratic Senators has proposed a “Green” amendment to New Mexico’s Constitution. It has been introduced as SJR 3 and, relative to most bills, it is very short. If adopted by the Legislature and passed via a vote of the people, the amendment essentially creates a “right” to a clean environment (whatever that means specifically). More importantly, according to the head of the Sierra Club in New Mexico the proposal “would create a private right of action for the public to sue over environmental degradation.”

Recently the Associated press did a story on the issue and RGF offered the following comments:

The environment is in relatively better shape than it was even 40 years ago when there were fewer laws related to air and water quality. He said the proposed amendment implies the opposite.

“It ignores the fact that the environment by and large is getting better. Climate change is a real issue, but this is an open door for lawsuits and/or bad policy.”

Green Amendment – Retake Our Democracy

Tipping Point New Mexico episode 267: Unemployment, Vaccine, Back to School?, NM Capitol Lockdown and more

01.19.2021

Wallethub’s latest report on unemployment shows that New Mexico remains the 2nd-most impacted state in the nation when it comes to unemployment during the COVID 19 situation.

Gov. Lujan Grisham held a press conference in which she discussed distribution of the vaccine and her latest plans. 400 person Harding County is in the green and Union County (Clayton) in yellow are the only counties out of the red. Despite all of the Gov.’s lockdowns New Mexico is now 15th-highest among US states in deaths per population from COVID.

SOME New Mexico kids can get back to the classroom: While we are pleased by this development PED’s reasoning seems half baked to say the least.

The Roundhouse is now completely locked down and will be for the foreseeable future. KRQE reports New Mexico’s “virtual” session will have some serious drawbacks as Paul tells KOB TV.

A new video from the Institute for Justice discusses NM’s excellent civil asset forfeiture reforms.

President-elect Biden stimulus package: $1,400 stimulus check for most taxpayers and $15/hour minimum wage.  Biden is also expected to cancel the permit for the Keystone XL pipeline. What does this mean?

Sick leave on the agenda in 2021 New Mexico Legislature

01.19.2021

Some system of mandatory paid sick leave will be on the agenda for the 2021 New Mexico Legislature. Adoption of such legislation would likely obviate plans for such legislation at the local level (such as City of Albuquerque). Here are a few of the bills that have been introduced so far. We will keep you updated as these bills move (or not).

For a detailed comparison of the bills click on the following document.

HB 20 “Healthy Workplaces Act” by Christine Chandler, Daymon Ely, and Mimi Stewart

HB 37 “Paid Sick Leave Act” Angelica Rubio, Andrés Romero, and Patricia Roybal Caballero

HB 38 “Paid Family and Medical Leave Act” Christine Chandler and Patricia Roybal Caballero

Sick Leave Acts

What local attorneys say you need to know about new mandatory paid sick leave law - NJBIZ

 

Some quick facts before the 2021 legislative session kicks off

01.19.2021

As the first-ever “virtual” New Mexico legislative session kicks off we believe it is important for New Mexico policymakers to have some basic information about New Mexico’s economy.

  1. New Mexico tax burdens are not low relative to neighboring states. The chart below is from the Federation of Tax Administrators. With far heavier tax burdens than its neighbors, New Mexico’s tax burden ranks 7th-heaviest among states.

2. According to the website US Government Spending state and local spending in New Mexico is far higher than in neighboring states as a percentage of the state economy (GDP).  The data are constantly being updated, but New Mexico consistently has the biggest-spending state and local governments in the US.

3. When it comes to raising the minimum wage, mandatory paid sick leave, or a variety of other economic policies, New Mexico lags dramatically. The data in the Fraser Institute analysis below is from 2018 which is the final year of Susana Martinez’ time in office. New Mexico desperately needs MORE economic freedom, not less.

4.. We already know New Mexico is among the poorest states in the US. If the Legislature is serious about reducing poverty and improving outcomes for children and the rest of the population (regardless of race or gender) it needs to have a serious conversation about economic freedom issues. like taxes and regulations. 

 

Paul talks to KOB TV about drawbacks of a closed New Mexico legislative session

01.18.2021

Populists on both sides of the political aisle may believe that not having lobbyists in the Roundhouse for the 2021 Legislative session will be a good thing. RGF’s Paul Gessing sat down with KOB TV to discuss why the lack of lobbyists (both citizens AND professionals) and the information they provide could result in “half-baked” legislation.

See the story below:

Tipping Point New Mexico episode 266: Kathleen Sgamma – Interior Department Impacts to Oil and Gas

01.18.2021

On this week’s podcast, Paul talks to Kathleen Sgamma. Kathleen is President of the Western Energy Alliance which describes itself as The Voice of Energy in the West.

They discuss Biden’s energy policies and their potential impact on New Mexico and its economy as well as New Mexico Congresswoman Deb Haaland’s likely impacts at the Department of Interior and the likelihood of a federal ban on fracking or oil and gas permitting on federal lands, including Native lands. Don’t miss this critical conversation!

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