Governor Michelle Lujan Grisham and New Mexico lawmakers are taking bold steps to enhance the state’s ability to attract large-scale industrial and commercial investments. Two new bills, the Strategic Economic Development Site Readiness Act (SB 169) and the Utility Pre-Deployment Act (SB 170), aim to streamline economic development and infrastructure readiness across the state.
The bills, introduced by Senator Michael Padilla and supported by Representatives Meredith A. Dixon, Joshua N. Hernandez, Joy Garratt, and Senator Craig W. Brandt, will be reviewed in the Senate Tax Committee on Tuesday, February 18, at 1:30 p.m. These initiatives are gaining significant traction and broad support among state leaders and economic development professionals.
Strategic Economic Development Site Readiness Act (SB 169)
SB 169 empowers the New Mexico Economic Development Department (EDD) to collaborate with local communities, Tribes, and property owners to identify and assess potential development sites. Through a newly established Strategic Economic Development Site Advisory Committee, these sites will be graded and certified as “strategic economic development sites”, making them eligible for pre-development funding and technical support. The committee will be composed of experts from government and the private sector, specializing in law, architecture, planning, utilities, transportation, and economic development.
The bill also introduces a Site Readiness Fund, backed by a $24 million appropriation, to support necessary site preparation activities such as:
- Infrastructure extensions (roadways, utilities)
- Surveying and engineering
- Planning and site preparation
- Environmental remediation
- Housing studies
Annual reports will be submitted to the governor and the Legislature, detailing site characterizations, funding allocations, and recommended adjustments.
Utility Pre-Deployment Act (SB 170)
If a site is certified as a strategic economic development site, SB 170 establishes an expedited regulatory review process through the Public Regulations Commission (PRC). This allows utilities to deploy infrastructure more rapidly, reducing time-to-market for new projects. Additionally, it provides rural electric cooperatives access to low-interest loans via the Public Projects Revolving Fund, managed by the New Mexico Finance Authority (NMFA), to further accelerate utility deployment at these strategic sites.
State Leaders Weigh In
“The Strategic Economic Development Site Readiness Act is a critical step in positioning New Mexico for long-term growth by proactively identifying and preparing sites for immediate development, ensuring the state remains competitive in attracting high-quality jobs,” said Senator Padilla. “By streamlining the infrastructure and planning process, this bill enhances our ability to quickly respond to business needs, fostering a thriving economic future for New Mexico.”
“As we grow and diversify New Mexico’s economy, it’s critical we are positioned to quickly welcome businesses looking to open or expand in our state,” added Representative Dixon. “SB 169 will identify and help develop construction-ready locations, primed for companies to easily set up shop, attracting more businesses to our state, creating jobs, and economic growth.”
Site Readiness: A Proven Strategy for Economic Growth
Thirty-six states already have similar site-readiness programs, and according to the Site Selectors Guild, 82% of site selection consultants agree that having development-ready locations with sufficient infrastructure is a top priority in job-rich expansion decisions.
EDD Secretary-Designate Rob Black, who took office in 2024 after serving as president and CEO of the New Mexico Chamber of Commerce, emphasized the urgency of the initiative: “New Mexico has a strong workforce and an innovative business climate, but we must act with urgency in order to compete with our surrounding states for new economic development opportunities. A site-readiness strategy allows us to identify, develop, and market strategic sites to businesses who want to invest in our state.”
Las Cruces Innovation and Industrial Park: A Model for Site Readiness
One prime example of New Mexico’s commitment to site readiness is the Las Cruces Innovation and Industrial Park. This location has already achieved site certification, making it an attractive destination for businesses seeking shovel-ready land with robust infrastructure and logistical advantages. Positioned near major highways and transportation hubs, the park offers pre-certified parcels, reducing uncertainty for companies looking to establish operations quickly and efficiently.
By leveraging programs like the Strategic Economic Development Site Readiness Act, the Las Cruces Innovation and Industrial Park stands as a blueprint for future developments across New Mexico. With the right resources and streamlined processes, the state can position itself as a premier destination for large-scale investments, fueling job creation and economic prosperity.
With the introduction of SB 169 and SB 170, New Mexico is taking decisive action to remain competitive in the national economic landscape. These bills not only enhance the state’s ability to attract businesses but also ensure that infrastructure and utilities are in place to support long-term economic success.
