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New Mexico allocates millions in matching grants leveraging significant federal funding

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Michelle Lujan Grisham Governor of the State of New Mexico | Official website

The New Mexico Department of Finance and Administration (DFA) has announced the allocation of $57.81 million in matching grants to 37 public entities. This initiative is part of an effort to leverage over $200 million in federal funding for a total of 57 projects across the state. Notably, 54% of these grants have been directed towards rural areas, including Lincoln County and the Mescalero Apache Tribe, focusing on fire recovery efforts.

The funds were distributed through the first cycle of the New Mexico Match Fund, which supports a variety of projects such as infrastructure, energy, public safety, emergency response, and general initiatives. The DFA began accepting applications for this fund on June 16, 2024.

Governor Michelle Lujan Grisham commented on the significance of this investment: “This investment is a commitment to the resilience and growth of our rural communities.” She emphasized that removing barriers to federal resources is crucial for sustainable development and improved infrastructure throughout New Mexico.

Earlier this year, House Bill 177 was enacted to create the New Mexico Match Fund. The purpose is to capitalize on federal funding opportunities for infrastructure, research, economic development, energy transition projects, and more.

Representative Meredith A. Dixon noted the early successes: “The New Mexico Match Fund has already jumpstarted dozens of vital infrastructure, rural development, and public safety projects in its first four months.” She expressed optimism about the program's long-term benefits for community improvement and job creation.

Representative Gail Armstrong highlighted how these funds benefit local governments: “I am happy to see these much-needed funds for our local governments be put to use.” She pointed out that many rural communities often lack resources needed to secure federal grants.

DFA Cabinet Secretary Wayne Propst praised the collaboration between executive and legislative branches: “The New Mexico Match Fund is a prime example of how our executive and legislative collaboration can create meaningful assistance for our rural communities.”

With an initial appropriation of $75 million under HB 177, DFA developed three grant programs aimed at increasing competitiveness for federal grant opportunities requiring local matches. These programs include Matching Grant, Project Implementation Grant, and Federal Compliance Offset Grant. Earlier this year, Los Lunas received a $3 million Federal Compliance Offset Grant related to a U.S. Department of Transportation project.

Kevin Winner from Pueblo of Jemez acknowledged the importance of digital access enabled by these resources: “Thanks to the New Mexico Match Fund... Our community has long recognized the necessity of digital access for growth and development.”

Highlighted projects receiving funding include:

- City of Gallup received $5 million leveraging a $40 million federal award for construction improvements.

- Lincoln County obtained $12.5 million against a $50 million federal award for flood mitigation.

- Mescalero Apache Tribe secured approximately $2.39 million matched with a roughly $21.83 million federal award also aimed at flood mitigation.

- Santa Fe-Pojoaque Soil & Water Conservation District was awarded approximately $7.44 million leveraging over $14 million federally allocated towards dam repairs.

The full list includes numerous counties and municipalities such as Bernalillo County, City of Albuquerque, McKinley County among others.

Public entities are still invited to apply via the New Mexico Match Fund webpage as DFA continues accepting applications.

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