[105th Congress Public Law 37]
[From the U.S. Government Printing Office]


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[DOCID: f:publ37.105]


[[Page 111 STAT. 1113]]

Public Law 105-37
105th Congress

                                 An Act


 
To amend the Act of June 20, 1910, to protect the permanent trust funds 
of the State of New Mexico from erosion due to inflation and modify the 
basis on which distributions are made from those funds. <<NOTE: Aug. 7, 
                           1997 -  [S. 430]>> 

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress <<NOTE: New Mexico Statehood and 
Enabling Act Amendments of 1997.>>  assembled,

SECTION 1. PERMANENT TRUST FUNDS OF THE STATE OF NEW MEXICO.

    (a) Short Title.--This Act may be cited as the ``New Mexico 
Statehood and Enabling Act Amendments of 1997''.
    (b) Investment of and Distributions From Permanent Trust Funds.--The 
Act of June 20, 1910 (36 Stat. 557, chapter 310), is amended--
            (1) in the proviso <<NOTE: 36 Stat. 562.>>  in the second 
        paragraph of section 7, by striking ``the income therefrom only 
        to be used'' and inserting ``distributions from which shall be 
        made in accordance with the first paragraph of section 10 and 
        shall be used'';
            (2) in section <<NOTE: 36 Stat. 563.>>  9, by striking ``the 
        interest of which only shall be expended'' and inserting 
        ``distributions from which shall be made in accordance with the 
        first paragraph of section 10 and shall be expended''; and
            (3) in the first <<NOTE: 36 Stat. 563.>>  paragraph of 
        section 10, by adding at the end the following: ``The trust 
        funds, including all interest, dividends, other income, and 
        appreciation in the market value of assets of the funds shall be 
        prudently invested on a total rate of return basis. 
        Distributions from the trust funds shall be made as provided in 
        Article 12, Section 7 of the Constitution of the State of New 
        Mexico.''.

    (c) Consent of Congress.--Congress consents to the amendments to the 
Constitution of the State of New Mexico proposed by Senate Joint 
Resolution 2 of the 42nd Legislature of the State of New Mexico, Second 
Session, 1996, entitled ``A Joint Resolution proposing amendments to 
Article 8, Section 10 and Article 12,

[[Page 111 STAT. 1114]]

Sections 2, 4 and 7 of the Constitution of New Mexico to protect the 
State's permanent funds against inflation by limiting distributions to a 
percentage of each fund's market value and by modifying certain 
investment restrictions to allow optimal diversification of 
investments'', approved by the voters of the State of New Mexico on 
November 5, 1996.

    Approved August 7, 1997.

LEGISLATIVE HISTORY--S. 430:
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SENATE REPORTS: No. 105-18 (Comm. on Energy and Natural Resources).
CONGRESSIONAL RECORD, Vol. 143 (1997):
            May 21, considered and passed Senate.
            July 28, considered and passed House.

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