New Mexico is gearing up to issue debt from a $1.5 billion transportation revenue bond package signed into law last week by Gov. Michelle Lujan Grisham.
The state's transportation commission could take up initial bond issuance next month, according to New Mexico Department of Transportation spokesperson Kristine Bustos-Mihelcic.
"The intent is to complete two bond sales by the end of the calendar year, totaling $350 million," she said in an email.
The governor called
"The bonding package creates a stable, predictable funding source for state road construction for years to come and frees up general fund money to support local road construction and maintenance," Lujan Grisham's office said in a statement last week. "The package also positions the state to better match federal infrastructure funding, which can amplify state investments several times over."
Under the enacted bill, the bonds will be backed by payments to the state road or highway infrastructure funds, including from federal revenue sources, according to a fiscal impact report on the measure, which maintains a $1.124 billion cap on outstanding principal.
"The bill includes additional revenue to the state road fund, including a 35% increase to the weight-distance tax, a 25% increase to vehicle registration fees, and a new fee for electric and plug-in hybrid vehicles," the report said. "These taxes and fees would provide the department with an estimated $69.9 million in FY27, rising to $76.4 million by FY30."
The commission has $498 million of outstanding revenue bonds. The state agency last accessed the municipal market in 2024 with a
A few months after the deal priced, a review spurred by an update of Moody's rating methodology led to a
