Economy

N.M. Dems use surplus to backfill federal cuts

Lawmakers divvied up $150 million to address various areas, including health care and food aid.
Afternoon sun shines on the New Mexico state Capitol building in Santa Fe, N.M., on Dec. 10, 2021. (AP Photo/Morgan Lee)

New Mexico’s Democratic-led Legislature this week set aside more than $150 million to address federal funding cuts and the cost of implementing President Trump’s One Big Beautiful Bill Act.

The state’s massive surplus gives New Mexico’s leaders greater latitude to backfill federal cuts than perhaps any other state. Their actions during the special session offer a preview of steps other blue state leaders may take — if they can afford to — when legislatures reconvene next year. 

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