Posted 12/11/2023, 5:12:54 PM
New Mexico Rakes in Oil Money But Faces Challenges Managing the Windfall for the Future
- New Mexico is the #2 oil producing state in the US, generating huge government revenue from oil and gas production
- Oil and gas income is expected to peak soon and then steadily decline in the coming years
- The state government faces challenges spending the windfall effectively to improve outcomes in areas like education
- New Mexico has started setting aside billions of dollars in new trust funds to save for the future when oil revenue declines
- The state is looking for new sustainable revenue streams not reliant on oil and gas to fund government services long-term