New Mexicans who live in rural areas could benefit most from a bill that provides funding for affordable housing. This includes the construction and maintenance of thousands of affordable homes for low- and moderate-income residents.
Gov. Michelle Lujan Grisham recently signed Senate Bill 134 (SB 134), also known as the New Mexico Housing Trust Fund. The fund is administered by the New Mexico Mortgage Finance Authority, according to a news release from the Office of the Governor. The new, recurring funding will commit 2.5% of the annual severance tax bond capacity. The fund is expected to generate an estimated $20 million to $25 million annually for the New Mexico Housing Trust Fund, the release said.
“Every New Mexican deserves a safe, affordable, and comfortable place to live, and this funding stream will make a real difference in the lives of New Mexicans, especially in rural areas of the state,” Lujan Grisham said in the release. “Providing greater access to stable and affordable housing will have profound and positive social implications that ripple throughout New Mexico communities, and I’m grateful to Sen. Nancy Rodriguez and Rep. Nathan Small for sponsoring this important legislation, which passed with bipartisan support.”
According to a study commissioned by the Housing New Mexico Advisory Committee, there is currently a shortage of 32,000 units in the state for potential renters making less than 30% of the area's median income. In addition, 218,471 New Mexico households were identified as “cost-burdened” — spending more than 30% of their income on housing costs.
“Access to affordable housing is an incredibly important factor in positively influencing an individual or family’s stability, health, and well-being,” Sen. Rodriguez (D-Santa Fe) said. “These recurring, sustainable housing funds will benefit generations of New Mexicans. I was very proud to co-sponsor this legislation and I am grateful to Governor Lujan Grisham for signing it into law today.”
Isidoro Hernandez, executive director and CEO of the New Mexico Mortgage Finance Authority, said the funding is necessary to address the growing housing needs in the state.
“We are grateful for all the support of the governor, our legislators, and partners to get this across the finish line,” Hernandez said in the release. “This investment in affordable housing will transform the lives of many New Mexicans and serve as the foundation for strong families and communities. A special thanks to the tireless efforts of Senator Rodriguez and the support of Representative Small in co-sponsoring SB134.”
