New Mexico Administrative Code
Title 2 - PUBLIC FINANCE
Chapter 94 - LOCAL ECONOMIC DEVELOPMENT ACT (LEDA)
Part 1 - GENERAL PROVISIONS
Section 2.94.1.8 - QUALIFICATIONS AND REQUIREMENTS
Current through Register Vol. 35, No. 18, September 24, 2024
A. Company eligibility: Companies that increase the economic base of New Mexico are eligible to be considered for LEDA funds. The company must manufacture a product in New Mexico or provide a non-retail service with at least fifty percent of total revenues generated from a client base outside of New Mexico. Eligible companies must also reside in New Mexico either through ownership or lease of a facility and be in good standing with the economic development department and all other state entities. The intent is to support companies expanding in or relocating to New Mexico.
B. Project eligibility: The project must have significant investment into permanent capital infrastructure (buildings, roads, utilities) and be an expansion or relocation that results in the creation of permanent full-time direct employment. The project must be sufficiently funded and ready to proceed. All projects funded are statutorily required to provide security equal to the LEDA public investment.
C. Reimbursable costs: Eligible costs may include, but are not limited to, the purchase, lease, grant, construction, reconstruction, improvement or other acquisition or conveyance of land, buildings or other infrastructure and public works improvements essential to the location or expansion of a company.
D. LEDA investment/funding: The level of public investment into any LEDA project is at the discretion of the executive branch and varies based on project quality and location. The main criterion of the evaluation includes total significant capital investment, total number of new job creation, and quality of new job wages. Additional consideration is given to projects that demonstrate location in rural and underserved areas of New Mexico, significant community impact and support, and environmentally sustainable outcomes. All funding decisions are made by the executive branch based upon recommendations by the secretary of the economic development department and are a formal offer to apply, go through due diligence and formal public process. All LEDA investments are funded on a strictly reimbursable basis after the company has incurred LEDA eligible expenses and met benchmarks provided in the PPA.
