Anti-oil and gas New Mexico Democrats won’t like the latest numbers provided by the Legislative Finance Committee (LFC) in its 188-page end-of-session review report, showing that 50 percent of New Mexico’s General Fund revenues come from oil and gas.
The Rio Grande Foundation’s president Paul Gessing wrote regarding the shocking revelation, “One interesting item among many is the chart below which shows that even as the Gov. and Democrats who control the Legislature claim to want to ‘diversify’ the economy and even dismiss New Mexico’s role as an energy state, New Mexico’s budget has become even MORE reliant on oil and gas revenues in recent years.”
“[More] than 50% of New Mexico’s general fund revenues (nearly $7 billion in 2023) comes from oil and gas. As a reminder, the state’s FY 2023 revenues were approximately $11 million (according to the LFC), but it spent $8.4 billion in FY 2023 (the FY 2024 budget was just passed, and that is $9.6 billion),” the group continued.
Since Democrat Gov. Michelle Lujan Grisham took the reins in 2019, she has continued to attempt to crush the oil and gas industry in New Mexico, first by passing the extremist Green New Deal, the “Energy Transition Act,” meant to eradicate the oil and gas energy sector totally.
However, as the Democrats continue spending rapidly on social programs and other handouts, they have become increasingly reliant on the oil and gas industry, which is doing the heavy lifting for New Mexico — an extraordinarily natural resources-rich state.
For years, New Mexico Democrats have tried and failed to pass the “Green Amendment, meant to open an endless Pandora’s Box of litigation to halt oil and gas completely. They also have tried and failed to ram through a 50+ cent per gallon gas tax via a “clean fuel standard,” which would have also irreparably harmed the state’s energy industry.