New Mexico

Governors in the drought-prone region are asking their legislatures for funding to boost future water supply or to repair aging water infrastructure.

While Texas is forecasting a big budget balance, fiscal boom times are ebbing for it and other Southwest states amid tax cuts and depleted federal funding.

Issuers in Southwest states led by Texas are hoping voters will approve billions of dollars of bonds in Tuesday's election.

The privately placed taxable bonds to be issued through Bernalillo County will help finance a manufacturing facility for Ebon Solar.

An outlook revision to positive for the state's Aa2 general obligation rating comes as a methodology update led to downgrades for certain revenue bonds.

The move to reclassify marijuana as a less-dangerous drug comes amid slowing growth of cannabis-related tax revenue in states that legalized it, like Colorado.

Gov. Michelle Lujan Grisham said her public-private sector plan to build a strategic water supply will remain a top priority after a bill for financing failed to advance in the legislature.

The Texas city's project joins other efforts in Southwest states to find new water sources as supplies dwindle due to persistent drought conditions.

As double-digit revenue growth comes to an end, Southwest governors are crafting budgets to deal with the new normal.

The state would raise $500 million through internal debt sales backed by oil and natural gas severance tax revenue to fund long-term water purchase contracts.