Credit Union Association of New Mexico Endorses a Public Bank for New Mexico
Ballooning New Mexico|@Yancy|Flickr
Working together let’s establish a Public Bank for New Mexico, to finance the bold changes it will take for our communities to overcome today’s obstacles and seize tomorrow’s opportunities.
The Alliance for Local Economic Prosperity (AFLEP) is a nonprofit, grassroots think tank advocating for a state public bank. New Mexico’s revenue (taxes and fees) is now largely invested in global banks outside the state, missing opportunities to invest in the economic needs of New Mexico communities. Learn more:
Endorse a Public Bank for New Mexico
Endorse a public bank so public officials and friends know you support public banking and why.
Robert Chavez
Reilly White
Dr. William Bowen
Lindsey Hope Pearlman
Glenn Schiffbauer
Ellen Brown
Allied Organizations that support what a State Public Bank can do for our economy
AFLEP in New Mexico Blog
Taos County needs a public bank
By Lochaven (CC BY-SA 2.0)
Justin Friedman, Taos News | March 31, 2021
The legislation to create a New Mexico State Public Bank did not progress in this year’s legislative session. It received two committee hearings and died in the second one. The critical piece for Taos County is the related failure to locally fund startup small businesses in solar installation, home improvement, forest management and a diverse, far reaching number of local initiatives. Failure to enact this legislation further exacerbates the ongoing crisis of a non-diversified State economy reliant on fossil fuel extraction. Thanks to all who supported our efforts to implement this potential cornerstone for New Mexico economic development.
Letter to the Editor: Public bank needed
Image: mustofa agus tri utomo (Pixabay)
By Dee Gamble, Santa Fe New Mexican | March 2, 2021
Thanks to Milan Simonich for highlighting the bills (House Bill 236 and Senate Bill 313) to create a New Mexico Public Bank and promoting public discussion (“Public bank bill belongs on scrapheap,” Ringside Seat, Feb. 21). However, the New Mexico Public Bank would not replace the New Mexico Finance Authority, it would complement, not duplicate or compete with it. More importantly, the public bank, as a chartered bank, would grow money (yes, “grows as it goes”), which the New Mexico Finance Authority cannot do. The bills do not create a bank that lends directly to individuals, as the Bank of North Dakota does for college loans. Rather, it would partner with community banks and credit unions to finance loans to small businesses and entities including municipalities and tribes for underfunded community development investments.
If financial investments are just fine as they are, why is New Mexico at the bottom of all the measures for well-being? New Mexico communities have many unmet needs, and it’s high time we do something bold that is successfully functioning elsewhere and is currently being considered by dozens of other states.
HB236 to be heard by House Appropriations and Finance Committee (HAFC) this Wednesday
March 2, 2021 – The New Mexico Public Banking Act hearing originally scheduled for the HAFC on Tuesday, March 2nd will now be heard on Wednesday, March 3rd at 1:30pm.
Let your voice be heard! Offer public comment during the hearing on Wednesday, March 3rd at 1:30pm. Participants are allotted 60 seconds of public comment time if called upon. Join in the hearing to let them know of your support.
Use this Zoom link to access the hearing: https://us02web.zoom.us/j/81432164016
Please submit any amendments, supplemental materials or public messages 24 hours in advance of the hearing to [email protected]
In the News
2021 Infrastructure Report Card Lays Groundwork for Federal Infrastructure Plan
By American Society of Civil Engineers – On March 3rd, ASCE released the 2021 Report Card for America’s Infrastructure through a virtual Solutions Summit to an audience of more than 3,400 attendees from across the country. The Report Card, which covers 17 categories of infrastructure, assigned the U.S. a cumulative grade of ‘C-‘, up from a ‘D+’ in the 2017 report. While the GPA improved slightly, there are still 11 categories in the ‘D’ range, meaning these systems are in poor condition and at risk.
Free banking in California? New bill tackles access and racial equity
By Margot Roosevelt, Los Angeles Times – A score of California lawmakers have signed on to a new bill designed to offer Golden State households free financial services, taking on the state’s powerful banks at a time when easier access to banking services could help families cope with the economic fallout of the COVID-19 pandemic.
California Leaders Propose Nation’s First Public Banking Option
By Jana Kadah, Bay City News Service – Five California legislators are trying to establish the nation’s first public banking option that would offer no-fee, no-penalty bank accounts to all California residents. The California Public Banking Option Act, also known as BankCal, seeks to close the widening racial wealth gap by offering financial services at no cost. Those services include a no-fee, no-penalty debit account that requires employees to facilitate direct deposit into the account when requested.
Upcoming Events
A discussion with Ray Archuleta and David Johnson about regenerative agriculture in New Mexico. Part of NMSU’s series of Environmental Sustainability Talks.
Public Banking Institute
Accross the nation, more than 25 initiatives and 50 grassroots organizations are advocating for the chartering of public banks. Learn more about the National Movement and the work of our national affiliate, the Public Banking Institute.
New Mexicans deserve the prosperity a public bank has provided North Dakotans
- North Dakota had the lowest unemployment rate in the nation during the 2007-08 recession. Current Sept 2020 rates: North Dakota, 3.8%; U.S., 7.9%; New Mexico, 9.4%.
- Bank of North Dakota (BND) has added to the state’s annual operating budget $300+ million over the past 10 years.
- North Dakota community banks are thriving because of their partnerships with BND: 10 community banks per 100,000 population, the highest in the U.S.
- BND originated or renewed 15,696 loans to state businesses, projects and students, totaling $1.33 billion in 2019. The total loan portfolio is $4.5 billion.
- BND works actively to create successful new businesses to reduce the state’s dependence on oil and gas.
- Founded in 1919 with $2 million in capital, BND reported assets of $7.0 billion at the end of 2019.
- BND posted its 16th year of record profits at $169 million in net earnings in 2019 and is highly profitable, with a Return on Investment (ROI) of 18.6% for 2019.
Detailed Comparison of New Mexico and North Dakota
BND’s Financing Economic Development 2019 Report
BND 2019 Annual Report: From Surviving to Thriving