Senate expected Tuesday to vote on Override of Governor’s Veto of Bill to Shift Control of the State Investment Council away from Governor

Santa Fe—The New Mexico State Senate is expected Tuesday to try and override the governor’s veto of a bill to shift control of the State Investment Council away from the governor after years of pay-to-play scandals hit the news media. Last year, both the Senate and House overwhelming passed the measure which was then vetoed by the governor. A successful override would need 2/3 of the Senators present and voting. If all 42 are voting, 26 votes would be needed for an override.

The sponsor of last year’s SB-460-Additional Investment Appointees- Senator Steven Neville said the state never received the slightest explanation from the governor why he vetoed the bill that could re-instill more public confidence in the State Investment Council. The council has been caught up in one pay-to-play scandal after another with reports of governor insiders receiving millions in fees paid by recipients of state investments.

“In this time of great suspicion, it is important both the Senate and House vote to override the governor’s veto. There is no more time to lose, this should have become law last year,” Senator Neville said. “We need to instill more confidence in the State Investment Council that manages $12.1 billion of New Mexico dollars.”

If both the Senate and House override the governor’s veto the measure becomes law immediately.
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Neville said he the bill would have made the state investment council more autonomous and less politically controlled.

The governor not only chairs the State Investment Council, but he appoints most of the council’s members and hires the State Investment Officer.

“In essence, one person- the governor- has control over $12 billion dollars worth of investments. Investments what were as high as $15 billion in recent years. As it stands now, the State Investment Council has nine members and is essentially able to push through a governor’s request because the governor is chairman of the council, plus the governor has control over six of the eight remaining members,” Neville said. “That needed to change. The legislature wanted the change, but the governor did not.”

Senator Neville’s bill would have increased the council’s membership from nine to 13 and would have removed the governor’s power to appoint members. The five standing members would have remained, those being the governor; State Investment Officer; State Treasurer; the Commissioner of Public Lands and the Department of Finance and Administration cabinet secretary. Four members would have been appointed by the Republican and Democrat leadership in the Senate and the House. Then, together, the nine members would have appointed four public members who would have been confirmed by the Senate.

Governor Richard pocket vetoed Senate Bill 460 without a written veto message.

Today the Senate overrode the governor’s veto of SB 531- LFC Review of State Funding Recipients. The Senate voted 34-8 to override the veto on the bill sponsored by Senator Tim Keller. That bill now goes to the House. If the House overrides the veto, the bill becomes law immediately.