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Bill Summary · SJM 1

Summary — SJM 1: Forest Restoration & Economic Development (Signed)

  • Bill type: Joint Memorial
  • Bill number/title: SJM 1 — FOREST RESTORATION & ECONOMIC DEVELOPMENT
  • Introduced: January 23, 2025 (Sen. Michael Padilla)
  • Status: Signed (March 21, 2025)
  • Agencies charged: Energy, Minerals and Natural Resources Department (EMNRD) and Economic Development Department (EDD)
  • Report due to interim legislative committees: September 1, 2025

Main purpose / intent

SJM 1 directs EMNRD and EDD to jointly study how to accelerate forest and watershed restoration in New Mexico by expanding economic opportunities in the wood products/wood utilization sector. The memorial asks the agencies to identify barriers and craft recommendations for incentives, programs, legal/regulatory changes and partnerships that would promote sustainable tree thinning, create markets for wood byproducts, reduce wildfire risk, and support local economies.

Key provisions — required study topics

The memorial requests joint recommendations addressing:

A. Missing business opportunities needed to develop a fully functioning, sustainable wood products economy (including workforce retention and succession planning).
B. Incentives, legal actions, financial mechanisms and partnerships needed to reduce logistical costs of moving wood byproducts from remote forests to regional processing facilities and increase sector viability.
C. Programs, policies, laws and practices from other states with successful wood utilization programs that could be adapted to New Mexico.
D. New or existing state programs and incentives that can be leveraged to foster industry expansion, attract capital, create jobs and ensure strong returns via performance-based evaluation.
E. (Added in committee) Incentives, legal actions and regulations needed to ensure healthy forests that will reduce wildfire risk.

Agencies must report findings and recommendations to the interim legislative committees handling natural resources and economic development by September 1, 2025.

Who is affected / likely impacts

  • State agencies: EMNRD and EDD (required to coordinate the study and produce the report).
  • Wood utilization sector: processors, loggers, forest-products businesses, and potential investors.
  • Landowners and rural communities: may benefit from new market opportunities, jobs, and reduced wildfire risk.
  • State policy makers: will receive recommendations to inform future legislation, incentives, or regulatory changes.

Expected impacts include identification of market gaps, proposals for incentives/financial mechanisms, and recommendations to better align restoration operations with local economic development. The memorial aims to speed restoration activity by making removal and processing of restoration-generated wood more economically viable.

Fiscal and procedural notes

  • Joint memorials do not appropriate funds; however, EMNRD and EDD may incur nonrecurring costs to complete the study.
  • Legislative Finance Committee estimates combined nonrecurring costs of roughly $200,000 (about $100,000 each for EMNRD and EDD) for staff time, coordination, data collection, stakeholder engagement and possible contractor support.
  • EMNRD flagged uncertainty of federal grant funding after an Office of Management and Budget review paused certain grant programs, which could increase the need for state funding or contracts.
  • Timeline concern: agencies warned the September 1, 2025 reporting deadline is ambitious given the study scope.

Legislative path / committee actions

  • Referred to Senate Rules and Conservation Committees (Jan 23, 2025).
  • Committee reports: Rules (DO PASS Jan 31, 2025), Conservation (DO PASS as amended Feb 25, 2025 — roll call 8–0), Energy, Environment & Natural Resources (DO PASS Mar 11, 2025 — roll call 9–0).
  • Passed Senate (Mar 5, 2025), passed House (Mar 19, 2025).
  • Signed / transmitted (Mar 21, 2025).

This memorial produces a directed, time‑limited study and recommendations rather than creating new programs or funding. Its outputs may inform future legislation or appropriations to align forest restoration with economic development and wildfire mitigation.

Compiled from official sources — confirm details with the bill’s official record.

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