New Mexico cities push to fast-track stalled water, sewer funding approvals
(UI) — Cities and towns across New Mexico are calling for urgent reforms to address costly delays in the state’s process for approving water and sewer infrastructure projects, according to Tri-City Record NM.
The New Mexico Municipal League, which represents all 106 incorporated municipalities in the state, is urging lawmakers to streamline the approval process for projects funded by the state’s Water Project Fund. Currently, the Water Trust Board evaluates drinking water and wastewater project applications each fall, but funding isn’t released until after the legislature meets in the spring—a delay that often drives up costs and causes municipalities to miss key construction windows, the league said.
“The smaller the water system, the more difficult this process is,” said Marquita Russel, CEO of the New Mexico Finance Authority, which manages public infrastructure financing.
As reported by Tri-City Record NM, the Municipal League is asking lawmakers to temporarily suspend the legal requirement that funding plans wait for legislative signoff. Instead, they want the New Mexico Finance Authority to approve qualified projects directly for the next three years. Supporters say this would speed up funding and improve project outcomes.
Despite a surge in public funding—lawmakers recently added $200 million to the Water Project Fund—demand still exceeds available resources. In the most recent session, the legislature expanded the fund’s use to include sewer projects for the first time.
According to the Municipal League’s presentation to the NMFA Oversight Committee, New Mexico’s drinking water systems need more than $3 billion in improvements. Cities alone have identified at least $1.2 billion in drinking water project needs over the next three years.
“We know it’s in the billions,” AJ Forte, executive director of the Municipal League and vice chair of the Water Trust Board, said during the committee hearing according to Tri-City Record NM. He added that the true need could be higher once all applications are submitted.
Localities facing these funding challenges range from large cities like Albuquerque, with nearly $300 million in unfunded drinking water projects, to small towns like Des Moines, where officials need just under $2 million for basic water infrastructure.
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