NM Senate Approves Bill To Cancel Capital Projects
New Mexico – The Senate has approved a proposal to cancel thousands of capital improvement projects to free up $150 million to improve the state's finances.
Supporters say the bill is needed to replenish the state's cash reserves, which have been depleted because of recent budget shortfalls.
The measure passed the Senate on a 36-to-4 vote. It heads to the House for consideration.
The bill eliminates money for more than 2,000 projects financed out of the state's main budget account and with bond proceeds.
Sen. Carlos Cisneros, a Questa Democrat, told his colleagues that lawmakers will be forced to cut spending or raise taxes if the capital projects aren't eliminated.
The capital project bill is SB182.
Copyright 2010 The Associated Press.