Candidate defends ambitious jobs plan
Proposal would divert cash from state’s permanent funds
SANTA FE — Democratic gubernatorial candidate Jeff Apodaca insists that his jobs plan — which he says would create 225,000 new jobs — would be fiscally prudent despite taking more money from New Mexico’s permanent funds to pay for early childhood programs and other initiatives.
Critics of previous legislative proposals to divert more money from the state’s $23 billion permanent funds, including some Democratic lawmakers, have argued that doing so would stunt future distributions for public schools and other beneficiaries.
“I’m tired of people talking about what we can’t do,” Apodaca countered in a recent interview. “What we’re missing in our state is private capital.”
While Apodaca has been talking about elements of his jobs plan for months at campaign stops around the state, he recently rolled out the details in the first television ad of the state’s 2018 election cycle.
The former media executive spent $19,200 to run the 60-second ad, according to public network filings. It was narrated by veteran newsman Sam Donaldson, who lives in Albuquerque and has endorsed Apodaca’s campaign.
Under Apodaca’s plan, more money from the state’s permanent funds would be invested in high-tech and start-up companies in an attempt to jump-start economic growth. He said that would eventually lead to more tax revenue for the state.
In addition, Apodaca said he would push for low-interest loans for small businesses, the elimination of an annual $50 million cap on state film rebate spending and an increased portfolio of renewable energy programs.
Apodaca also defended his assertion that his plan would create 225,000 jobs — the state’s total employed workforce was about 876,000 people as of November — though he acknowledged it could take up to four years to accomplish in some cases.
“It’s not a made-up number,” he told the Journal.
New Mexico’s two large permanent funds — the Land Grant Permanent Fund and the Severance Tax Permanent Fund — already make annual distributions that make up a significant portion of the state budget. The disbursement from the two funds for the current fiscal year is $896 million —or nearly 15 percent of state spending.
Any changes to the distribution rates would require a constitutional amendment and, as such, approval from both the Legislature and statewide voters. That was last done in 2003.
Apodaca is one of four Democrats vying for the party’s gubernatorial nomination. The others are: U.S. Rep. Michelle Lujan Grisham, who has thus far outraised her Democratic rivals; state Sen. Joseph Cervantes of Las Cruces; and political outsider Peter DeBenedittis of Santa Fe.
U.S. Rep. Steve Pearce is the lone Republican running for governor.