Santa Fe, New Mexico – Lawmakers in New Mexico are set to receive a significant 50% increase in their retirement payouts, a move that has sparked controversy among critics who claim the increase was passed quietly. Despite the governor signing the bill into law, concerns have been raised about the lack of public debate surrounding the issue.
The president of the Rio Grande Foundation, Paul Gessing, expressed disappointment over the lack of transparency, stating that the increase went unnoticed by many. Gessing emphasized the importance of good government and efficient use of taxpayer money in funding legislative work.
New Mexico stands as the only state in the country with an unsalaried legislature, which means lawmakers do not receive compensation for their time during legislative sessions. This unique system has raised questions about the practicality of the arrangement, with some lawmakers arguing for a more structured and paid legislative model.
While the bill for the retirement payout increase swiftly passed through the legislative chambers, not all lawmakers were in favor of the move. Senator Harold Pope, who voted against the bill, acknowledged the sacrifices made by legislators but stressed the need for reforms to better serve constituents.
Effective May 15, legislators in New Mexico will see a boost in their retirement pensions, with the new payout set at $2,911 for every year served in the legislature, up from the previous $1,940. The eligibility criteria for the increased pension include a minimum of 10 years of legislative service and an annual contribution of $1,000 to the pension fund.
Critics of the bill have raised concerns about the lack of public input and transparency in the decision-making process. While some argue for better support for lawmakers post-retirement, others advocate for a more structured and paid legislative system to improve efficacy and constituent service.
The governor’s office defended the increase, stating that taxpayers would not be affected as the Legislative Retirement Fund is sustained through contributions from legislators and revenue from specific taxes. Moving forward, the new calculation for retirement payouts will only apply to future retirees, following the effective date of the bill.