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Our Top Incentives
New Mexico offers more than 30 incentives designed to improve the bottom line for
businesses like yours. These are among the most widely used.
Job Training Incentive Program
New Mexico has one of the most aggressive training incentive packages in the country. The Job
Training Incentive Program (JTIP) funds classroom and on-the-job-training for newly created
jobs in expanding or relocating businesses for up to six months. The program reimburses 50 to
70 percent of employee wages and required travel expenses. Custom training at a New Mexico
public educational institution may also be covered.
More on the Job Training Incentive Program

High-Wage Job Tax Credit
A bold, new incentive created in 2004 by Governor Richardson and the New Mexico Legislature,
this tax credit equals 10 percent of the wages and benefits for each new economic-base job
created. Qualified employers can receive the credit for up to four years. Espanola software
company Computer Assets and Taos’s new insurance call center CiDirect are just two examples
of companies who qualify for the credit.
More on the High-Wage Jobs Tax Credit

Industrial Revenue Bonds
New Mexico communities can issue IRBs to exempt companies from property taxes on land,
buildings, and equipment. Companies creating new business facilities can receive a property tax
exemption for up to 20 years. Albuquerque’s Intel facility and the new Monarch Litho printing
plant in Santa Teresa are just two companies who have been able to expand their facilities by
using IRBs.
More on Industrial Revenue Bonds

Rural Job Tax Credit
For every job created in a rural area, employers can receive a maximum credit of $1,000 per job
for two years. Clovis’s Southwest Cheese and The Connection, a call center with locations in
Carlsbad, Las Vegas, and Moriarty are two companies that qualify for the credit.
More on the Rural Job Tax Credit

Manufacturers Investment Tax Credit
Manufacturers may qualify for a tax credit equal to five percent of the value of qualified
equipment imported to New Mexico. Albuquerque’s Intel facility and Rea Magnet Wire of Las
Cruces are examples of firms that qualify the credit.
More on Manufacturer’s Investment Tax Credit

New Mexico 9000
In September of 2004, our state’s unique, low-cost ISO 9000 certification program won first
place as most innovative state program from the Council of State Governments—WEST. Under
New Mexico 9000, businesses may obtain IS0 9000 certification on a sliding scale costing
$1,000 to $6,000 (compared with $120,000 by conventional means). Also, NM 9000 process
takes only one year.
More on New Mexico 9000
New Mexico 9000 was lauded in the March 2006 issue of Quality Progress magazine. Read
more here

Explore our other incentives:
Industry-Specific Incentives
General Incentives
Job Training

New Mexico Business Weekly - April 5, 2007

NM taxes down, employment up
New Mexico Business Weekly - April 5, 2007
In its latest annual report, the Tax Foundation -- a nonprofit fiscal policy research group --
ranked New Mexico in the top tier of "tax friendly" states. The report says New Mexico has
moved up 11 spots in the past three years, from a ranking as 22nd in the nation for states with
light tax burdens to 11th.

Separately, new federal labor department statistics show that New Mexico's unemployment rate
has dropped to 3.5 percent -- its lowest level since 1976 and a full percentage point below the
national average.

New Mexico now ranks 12th in the nation for job growth, with a 2 percent annual expansion
rate. Since 2003, 84,000 new jobs have been added to the local workforce, including 16,300 in
the past year.

"By keeping taxes low, by investing [in] new clean industries, by building a better educated and
skilled workforce, New Mexico's economy is growing and our unemployment rate is dropping,"
said Gov. Bill Richardson in a news release.

Governor's Pro Business Policies Given Top Ranking by Inc. Magazine
Monday, October 02, 2006
Governor Given 4 of 4 Stars SANTA FE – New Mexico Governor Bill Richardson today
announced that Inc. Magazine’s October issue will give him four stars for his pro business
policies. The governor’s top ranking will be included in Inc.’s complete rating of the 26
governors who are seeking reelection this November. The October issue of Inc. magazine will hit
newsstands in New Mexico and across the country tomorrow, October 3. “This top rating
recognizes everything we have done in New Mexico to create jobs and grow our economy,” said
Governor Richardson. “I am very proud that Inc. Magazine is highlighting these efforts. New
Mexico is a national leader in job growth, we have invested in better schools and improved
access to health care and—most importantly for the business community—we have cut taxes
year after year.” Governor Richardson has cut more than $1 billion in state taxes since 2003
including eliminating the tax on food and medical services, cutting income taxes for every New
Mexican and providing tax incentives to encourage quality businesses to move to and expand in
New Mexico. The federal Labor Department recently reported 3.2 percent job growth in New
Mexico, the 6th strongest rate in the nation. Under Governor Richardson’s leadership, more than
72,000 new jobs have been created --26,200 new jobs during the past year alone—showing that
New Mexico’s strong, broad-based economy continues to improve. New Mexico’s
unemployment rate also recently improved slightly to 4.3 percent, which is lower than the
national unemployment rate of 4.7 percent. The full text of Inc.’s ranking of Governor
Richardson is below. Inc. Magazine’s article and press release are also attached. Media who wish
to interview an Inc. editor on these rankings should contact Christina Duffney at 212.389.5485.
State of New Mexico
Office of the Governor

Bill Richardson

For immediate release Contact: Jon Goldstein
March 17, 2007 (Santa Fe) 505.476.2248

Governor Richardson Lauds Success on Minimum
Wage, Tax Cuts, Water, Energy and Education

Unfinished Business on Ethics, Transportation Necessitates Special Session

(Santa Fe, NM) – Governor Bill Richardson today called the 2007 Legislative Session
one of the most productive sessions in state history.

“I think the people of New Mexico expected more out of this Legislature – and
together—Legislators and Governor—we delivered,” said Governor Richardson. “But let
me emphasize a point—this is not a win for me, or even my legislative colleagues—I
believe it is a win for the people we represent--the citizens of New Mexico.”

Successes included raising the minimum wage to $7.50 per hour over the next two years.
Passing a working families tax cut returning $52 million to low and middle income
families and eliminating taxes on the salaries of active duty military. Other tax cuts
passed will help spur economic development, health-care, and energy—a total of $84
million dollars this year, $102 million in 2008, and $125 million in 2009.

“These incentives will help us grow a clean economy, attract and keep high-wage jobs,
and expand health care to more rural New Mexicans,” said Governor Richardson. “Taken
together, the minimum wage increase and tax cuts are huge steps forward for New
Mexico’s working families.”

Governor Richardson’s Year of Water agenda included a $10 million down payment on
our Indian Water Rights Settlements, investments in our acequias and a $4 million for
statewide leak detection and water demonstration projects. An extension of reliable and
clean water supplies to underserved portions of the Navajo Nation was also funded. And
the Governor continued to support New Mexico’s Strategic Water Reserve, moved
forward on the Ute pipeline, and passed a historic, statewide $2.5 million river protection
and restoration act.

On the budget, a $5.6 billion dollar budget that was fiscally responsible and maintained a
10 percent reserve was approved. And the Governor carefully scrutinized the budget and
capital package to ensure that it meets the needs of New Mexicans.
Teacher salaries were raised by 5% and an additional 2% on average for support
professionals, principals and assistant principals. This raise will move New Mexico
teacher salaries to 29th in the country. New Mexico’s Pre-Kindergarten program will
expand from 2,200 kids to 3,800 four year olds. And the legislature joined Governor
Richardson in partially funding after-school enrichment programs, offering longer school
years focused to early education, and investing in Reading, Math and Summer Institutes.

High schools will also be redesigned: increasing graduation requirements, raising the
dropout age from 17 to 18, and funding a Cyber-academy. $191 million was invested to
modernize our public schools and innovative charter schools. The lottery scholarship was
also reformed and expanded adding $50 million into the College Affordability Act for
needy students.

On energy, New Mexico became the first state in the nation to create a Renewable
Energy Transmission Authority and passed legislation that will quadruple New Mexico’s
use of clean electricity by 2020. New Mexico also took several steps forward in the fight
against global warming. Passing a clean coal tax credit, new bio-diesel targets will help
our state reduce vehicle emissions, and green buildings tax credits so our schools, homes
and offices can now come models of conservation.

The divisive issues of a cockfighting ban and medical marijuana were also approved.

“However, we completed the session with unfinished business,” said Governor
Richardson. “I will sign a proclamation calling legislators into a Special Session at noon
on Tuesday to finish what we started.”

Unfinished business the Governor noted included ethics reform, transportation and water
infrastructure as well as domestic partnerships and anti-meth measures.

On ethics the Governor is calling for:
1. Pass campaign contribution limits.
2. Pass the ethics commission
3. Public financing of judicial candidates

The Governor also called for approval of his transportation infrastructure GRIP II

“Small communities across the state have waited too long for state help to build roads,”
said Governor Richardson. “The state has the resources to accomplish these projects. And
voters in Southern New Mexico want assurances that the state is keeping its commitment
to build the road to the new Spaceport, which we intend to move forward immediately.”

The Special Session will also cover public-safety legislation meant to keep our families
safe as well as unfinished domestic partners and Year of Water issues..
“With the ravages of meth in our communities, especially in rural New Mexico, we must
have a meth registry act completed this special session,” said Governor Richardson. “And
it is unconscionable that we do not have tougher domestic violence laws.”

“I think there is support for the Domestic Partner Rights and Responsibilities Act. New
Mexico families deserve our respect no matter their race, creed or sexual orientation,”
said Governor Richardson. “Finally, In the Year of Water, I want to see another attempt
to pass our water infrastructure bill to streamline the financing of local water systems to
make it more efficient and effective.”
Copyright 2003 Associated Press
All Rights Reserved
The Associated Press State & Local Wire

September 27, 2003, Saturday, BC cycle

SECTION: State and Regional

LENGTH: 736 words

HEADLINE: Sweeping funding proposal slips into 'yes' column

BYLINE: By SUE MAJOR HOLMES, Associated Press Writer


Votes from Bernalillo County pushed a school funding amendment supported by Gov. Bill
Richardson into the approved column, providing enough of a cushion for the governor to declare

"It looks extremely promising, and I'm declaring victory for New Mexico's children, New
Mexico's schools and New Mexico education," Richardson said in Santa Fe on Friday.

New Mexicans voted Tuesday in a special election for two constitutional amendments
Richardson had pushed as vital to move the state ahead educationally and economically.

An amendment to give the governor authority to appoint a cabinet-level secretary of education
passed easily.

The second amendment, to increase the payout from a state permanent fund, would give
Richardson the money he says is needed to put his plans into action.

It was a victory "for every child, for every parent, for all of us who knew change was needed,
who knew our schools had to improve," Richardson said. "Today New Mexico's schools won.
The future just got brighter for every child in New Mexico."

The funding amendment was passing by 219 votes, according to an unofficial Associated Press
poll of county clerks Friday. It was a big swing in a race that at one point was separated by just
two votes and had the amendment trailing for much of the time as counties tallied votes in the
days after the election.
Then Bernalillo County, which had been counting nearly 600 provisional and in-lieu-of ballots,
released results of its precinct canvass and moved the amendment into the "yes" column.
Bernalillo County Clerk Mary Herrera says 25 additional absentee votes will be counted

Neighboring Valencia County changed its numbers Friday evening, widening the gap in favor of
the amendment, but county officials planned to meet Tuesday to further evaluate vote totals.

About a half-dozen counties hadn't reported final, unofficial results to the AP on Friday. But
those counties do not have enough outstanding ballots to change the outcome.

Richardson acknowledged it was a narrow victory but said, "Nonetheless, a victory is a victory."

State GOP Chairwoman Ramsay Gorham said Friday opponents aren't ready to concede.

"We will look at all of the returns and certify that everything has truly been done legally before
we'll concede victory," Gorham said.

The state canvassing board will meet Oct. 14 to certify the statewide results. The outcome of the
election will not become final until then.

Provisional ballots, used for the first time in this week's election, are for voters who say they
have registered but whose names do not appear on voter rolls at a polling place. In-lieu-of ballots
are for people who say they didn't receive the absentee ballots they requested.

Before such ballots can be counted, election officials check the voters' names against people who
are registered or lists of people who already voted absentee.

The uncertainty surrounding the funding amendment prompted a commission studying changes
to New Mexico's tax system to postpone its final recommendations. The commission now will
meet the same day as the state canvass.

Amanda Cooper, a spokeswoman for the pro-amendment New Mexico Cares campaign,
monitored Friday's count in Bernalillo County. She said a representative for the opponents also
was there.

"Bernalillo is very smooth," she said. "We seem to be pretty happy with the way things have
gone here."

Both sides also watched Sandoval and Dona Ana counties, which had significant vote changes
this week.

"You have to trust that the system will work as it was intended," Cooper said. "But we're going
to watch very carefully."

Denise Lamb, director of the state Bureau of Elections, said the Amendment 2 results won't be
treated differently than any other vote totals during the state canvass.

"We extra-closely scrutinize every vote in every election," she said.

Richardson and a coalition of business, education and labor groups said the funding amendment
would provide much-needed extra money for public schools - more than $600 million over 12
years. They argued the extra money is needed to pay for newly enacted reforms, including
raising teacher salaries.

Opponents, however, argued that taking money from the fund now would rob future generations
- in effect, siphoning off dollars that schools otherwise would receive from the permanent fund in
decades to come.

LOAD-DATE: September 28, 2003
Copyright 2003 New Mexican, Inc.
Santa Fe New Mexican (New Mexico)

March 22, 2003 Saturday


LENGTH: 819 words



Gov. Bill Richardson considers sweeping changes in education, including 6 percent raises for
teachers and 3 percent raises for noncertified school employees, to be the "signature reform of
the session," even surpassing that of income-tax cuts.

"I do think this education reform was the biggest reform, and we got it," he said in an interview

The package includes raising employee pay, mandating higher starting salaries for teachers,
forcing districts to spend a chunk of their cash balances and scheduling an election to change the
structure of public-education governance in New Mexico.

"We are cutting administration and putting more money into classrooms and will reach the
national average for classroom spending within two years," Richardson said.

Richardson wants to replace the state Board of Education and state superintendent with a
Cabinet-level secretary of public education who answers to him. But doing so requires a
constitutional amendment that voters will consider in a statewide election Sept. 23.

When asked whether he would like state Superintendent of Public Instruction Michael Davis to
stay on until the election, the governor said, "I want to see some stability until we start

But he made clear: "He will not be secretary of education."

Davis has served at the pleasure of the 15-member state Board of Education since 1997.

The board can choose to evaluate his performance at any time; the next performance review is
scheduled for June.
Richardson said Davis has done a "creditable job," but the time has come to move on and bring
in new people. He said he would conduct extensive searches to find the right secretary of
education. The state board and state superintendent would be removed from the New Mexico
Public School Code and be replaced with "the secretary of public education appointed by the
governor." When setting policy, the secretary would be required to consult with an elective but
advisory Public Education Commission.

Initially, Richardson's plan mandated that districts shift 5 percent of their operating budgets
toward raises. After listening to the outcry from several education groups and receiving updated
data on classroom spending in New Mexico, Richardson compromised.

Instead of 5 percent, districts must shift 1 percent of their operating budget to classroom
instruction. That's expected to generate $18 million. "I'm very pleased with the 6 percent,"
Richardson said. "School superintendents stepped up to the plate with their cash reserves. I think
they could have done more."

Districts must let go of some of their unrestricted cash reserves -- what's left at the end of the
year, not their emergency funds. The amount will vary from district to district but could generate
$16.4 million overall.

Since cash reserves create a nonrecurring pool of money, the governor pushed to tap Land Grant
Permanent Fund money for education, too. Voters now get to weigh in on his idea at the
September statewide election.

To cover employee raises, the New Mexico general fund will pitch in a total of $50.9 million, the
governor's deputy director of communications Gilbert Gallegos said.

Originally, the governor intended to give raises only to teachers. Now, the 6 percent salary
increases will go to teachers and such instructional personnel as librarians and counselors. And
the 3 percent average pay raises cover other educational workers, including administrators.

Richardson, by signing the budget Friday evening, also funded a $30,000 minimum salary for
teachers, a first step in a new competency-based, teacher-licensing system. The minimum salary
has been $22,000.

It will take at least a week for Santa Fe Public Schools to absorb the budgetary implications, said
Superintendent Gloria Rendon. The district must find $300,000 for employee raises, she said.

"It has been a really successful year for education and for the future of kids in New Mexico,"
said J.B. Mulcock Jr., a New Mexico Coalition of School Administrators lobbyist who has
worked on educational issues for six years. "Our agenda has been well-received. We're happy
with the session."

Mulcock said major education change, in everything from accountability of schools to employee
pay, was achieved in the 60-day legislative session, which ends today.
"This governor has certainly exercised more leadership and had education higher on this
session's agenda than any governor in recent sessions, and consequently he had a greater impact
on education," he said.

The coalition negotiated with Richardson's staff to reduce the 5 percent budget shift to a more
realistic amount. "I think we struck a workable and fair compromise," Mulcock said.

But, he added, even the 1 percent shift of district budgets to classroom instruction could be
painful for some to meet, causing personnel cuts that translate into program cuts.

LOAD-DATE: March 23, 2003