The House Transportation and Public Works Committee convened on March 4, 2025, to discuss critical funding legislation for the New Mexico Department of Transportation (DOT). The meeting featured a series of testimonies from various stakeholders emphasizing the need for a sustainable revenue stream to support ongoing infrastructure projects.

Mike Sandoval, representing the Associated Contractors of New Mexico, opened the discussion by expressing gratitude to Representative Brown for introducing the bill. He highlighted the importance of establishing recurring revenue for the DOT, noting the success of non-recurring funds over the past six years and advocating for a shift towards more stable funding sources.

Franklin Garcia from the Asphalt Pavement Association echoed Sandoval's sentiments, supporting the legislation as a means to ensure consistent funding for long-term maintenance and construction efforts.

Ricky Serna, the Secretary of the DOT, provided further insights into the bill's potential impact. He praised the sponsors for their methodical approach and underscored the significance of federal matching funds. Serna explained that a $15 million distribution, when matched at 20%, could facilitate a $75 million project, emphasizing the necessity of leveraging such funds effectively.

The committee then opened the floor for public comment, with no opposition voiced either in person or online. Representative Borrego raised a question regarding the measurement of the electrical portion of the Gross Receipts Tax (GRT) related to the fund. This prompted a discussion about the methodology for calculating distributions based on electricity sales, particularly in light of the increasing number of electric vehicles on the road.

Mister Turner from the Taxation and Revenue Department clarified that the distribution would be based on reported sales of electricity, similar to existing distributions for jet fuel. He noted that the percentage of electric vehicles in New Mexico has risen from 1% to nearly 4% in recent years, indicating a growing trend that could influence future funding strategies.

The meeting concluded with a consensus on the importance of the proposed legislation and its potential to address the funding gap for New Mexico's transportation infrastructure. The committee plans to continue discussions and refine the bill as it moves forward in the legislative process.