Water Project Fund
Pursuant to the Water Project Finance Act, NMFA provides administrative support to the 16-member Water Trust Board and manages the Water Project Fund on its behalf. NMFA makes loans and grants for projects recommended by the Water Trust Board and authorized by the Legislature. With a reliable revenue stream to fund applications annually and a transparent set of policies that guide applicants, the Water Trust Board has become an increasingly sought-after source of funding for a variety of water projects statewide.
The Water Project Fund annually receives 9% of Senior Severance Tax Bond (“STB”) proceeds as well as a distribution from the Water Trust Fund. These monies are used to fund a variety of water projects recommended by the Water Trust Board and authorized by the Legislature. Water Trust Board awards are a combination of grants and loans, based upon the financial capacity of the applicants.
Under the Act, there are five project types eligible for consideration of financial assistance:
- Water conservation or recycling, treatment or water reuse projects;
2. Flood prevention projects;
3. Endangered Species Act (ESA) collaborative projects;
4. Water storage, conveyance or delivery projects;
5. Watershed restoration and management projects.
Qualified entities seeking funding for water projects from the Water Trust Board must submit an application each year even if the project has previously received legislative authorization.
Funding from the Water Project Fund is considered pursuant to the comprehensive Project Management Policies and the Water Trust Board Rules. This information may be downloaded through the Resources box to the right.
Invitation for Public Comment: House Bill 200 Implementation
The New Mexico Finance Authority, on behalf of the Water Trust Board, announces a 45-day public comment period on the implementation of House Bill 200, which was enacted by the New Mexico Legislature in the 2021 regular session. The public comment period will be open until October 23, 2021.
Specifically, public input is sought on any potential evaluation criteria, prioritization of projects, and process by which the Water Trust Board would make recommendations to the Interstate Stream Commission for funding of water utilization projects from the New Mexico Unit Fund.
House Bill 200 names the Water Trust Board as the successor to the Southwest New Mexico Water Study Group and further directs the Board to evaluate water utilization projects, including their environmental impacts, proposed within the Southwest Water Planning Region of New Mexico and recommend projects to the Interstate Stream Commission for funding from the New Mexico Unit Fund. The Interstate Stream Commission has final decision-making authority over which water utilization projects are funded in the Southwest Water Planning Region of New Mexico which encompasses Catron, Grant, Hidalgo, and Luna counties.
The implementation of House Bill 200, evaluation of proposed projects, and funding recommendations to the Interstate Stream Commission will be conducted through a process that is separate and apart from the Water Trust Board’s annual application cycle.
If you are interested in commenting on the implementation of House Bill 200, please use the form at the link below.
Public Comment Period: September 8, 2021 – October 23, 2021
For more information about the Water Project Fund or how to apply, please email WTBAdmin@nmfa.net.