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WE MAKE NEW MEXICO HAPPEN www.afseme! Justin Najeka State Personnel Director 2600 Cerrillos Road Santa Fe, NM 87505 April 25, 2017 Dear Mr. Najaka: 1am in receipt of your letter dated April 24, 2017. ‘We do not believe that the State of New Mexico is in a financial situation which requires the furlough of any state employee in FY17. The administration, including your office, is well aware that Governor Martinez signed a solvency package for FY17, which passed with bi- partisan support and provides necessary funding through the end of this fiscal year. To our knowledge there have been no major unexpected expenditures, nor any lower than expected revenues since that time. In fact, because of the hiring freeze, expenditures should be running significantly below the levels anticipated in the solvency package. Further, the LFC’s April 21, 2017 General Fund Revenue Tracking Report states that “recurring revenues are tracking at about $55 million, or 1% above the December estimate of $5.6 billion. ..additionally the Human Services Department announced that it will revert about $16 million in FY17, an amount not previously included in revenue estimates and not currently in the revenue tracker.” While there seems to be no question that the state has adequate resources to finish FY17 with no furloughs, from media accounts we understand that the administration is claiming a “cash flow” problem. However, to date neither the public nor AFSCME, nor apparently anyone at the State Treasurer's Office, or the LFC, has been informed of the details of these alleged problems. Therefore, in order to perform our contractual responsibilities under Article 31 of the Collective Bargaining Agreement between the State of New Mexico and AFSCME Council 18, we require ‘that you share any and all data as well as applicable statutes and policies which you believe ‘warrant furloughs. We are also requesting the specifics of your statewide furlough plan so that ‘we may develop alternatives as required by the CBA. Without such data and narrative, we have reason to believe this will be merely a pro forma and substance free meeting. Pro forma meetings without any true and informed dialogue is not sufficient to discharge either of our duties as contemplated by the CBA. 1202 Pennsylvania St. NE + Albugueraue , NM 87110 305.266.2505 Office + 505.266.2406 Fax * www.oteemel8.0rg American Federation of State, County and Municipal Employees, AFL-CIO We do not think it is remotely reasonable to call for such a significant meeting with one day's notice for response, and schedule such a significant meeting without providing any information, Ifyou are able to tum around our request for information quickly, we will be available to meet on Monday, May 8, 2017. Executive Director, AFSCME Council 18 AFSCME International Vice President ce: AFSCME Council 18 Shane Youtz,

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