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WED: Santa Fe Police Fatally Shoot Suspect, Drinking Water Projects Face Funding Hurdles, + More

Associated Press, Cedar Attanasio

Officer-Involved Shooting In Santa Fe Leaves 1 Dead - By Cedar Attanasio Associated Press / Report For America

One person was shot to death by city police officers in downtown Santa Fe on Wednesday after authorities responded to reports of a fight and gunfire at a public park, the Santa Fe Police Department said.

The Santa Fe Police Department said its officers responded to a call about a fight in progress at De Vargas Park and reports from emergency dispatchers that one person had been shot, with the shooter running away.

Officers searched the area, and they confronted and shot an armed person, police said in a news release. No other injuries were reported.

In the aftermath, a body lay on the ground behind temporary police barricades in front of a private chapel that is a popular tourist destination and located a few blocks from Santa Fe's central plaza.

A tourist from Texas said she was exiting a nearby shopping arcade when she saw police chasing a man with a gun in his right hand and yelling "stop."

"I just came out from the arcade and I saw the guy running and I hid," said Kaori Fukushima of Houston.

Then she heard more than one gunshot.

New Mexico state police are investigating the shooting by city officers, following standard protocols.

Nearby, the state Capitol Building and a district court building were put on lockdown in response to shots fired.

Economists Detail Recovery Of New Mexico Oil ProductionAssociated Press

Legislative analysts say New Mexico is the only top oil-producing state to have recovered to pre-pandemic levels of production, but they warned Wednesday that the market remains volatile.

Staff members with the Legislative Finance Committee suggested that the panel of lawmakers take care not to grow the state's budget based on current forecasts that suggest more favorable revenues from the oil and gas industry over the short term.

In a briefing, they reported that both oil and natural gas production hit new records in March. The state produced more than 36 million barrels of oil and 188 trillion cubic feet of natural gas that month.

The panel also heard from an economist with the Federal Reserve Bank of Dallas and a Texas-based consulting company about the effects of the Biden administration's actions related to permitting and leasing. The consultants said only a fraction of the inventory of federal land in New Mexico's share of the Permian Basin would be at risk since most of the area already is in production.

The experts said permitting has rebounded, partly because New Mexico has some of the best economics for oil and gas production. According a federal survey published this spring, producers reported an average break-even oil price of $26 per barrel to cover operating expenses for existing wells in the most active region of the basin in New Mexico. That marked the second lowest in the country.

Crews Rush To Contain Bosque Fire In Los LunasAssociated Press

Firefighters are working to contain a bosque fire in Los Lunas.

Fire officials say the blaze began Tuesday night and has grown to about 7 acres.

It has yet to reach any degree of containment.

According to authorities, the fire is burning north of the village's Main Street bridge and east of the Rio Grande.

There are several homes that are at risk but no evacuations have been ordered.

Crews from the Valencia County Fire Department, Los Lunas Fire Department and Bosque Farms Fire Department are all working to put out hot spots.

The cause of the fire has not been determined.

Fear Of Wildfires Forces Forest Closures Across Arizona - By Felicia Fonseca, Associated Press

When temperatures are sweltering in Arizona's desert areas, people head to the forests to camp, hike, fish and just cool off.

But options for finding respite from the heat will be slim now that all but one of Arizona's national forests are enacting broad shutdowns amid high fire danger and as firefighting resources run thin because of blazes already burning across the state.

Portions of forests in other western states also are off-limits. But the shutdowns in Arizona are the most widespread.

Kathy Howard set out for a hike in Sedona on Wednesday a couple of hours before the Coconino National Forest closure went into effect. She crossed a creek where she enjoys listening to water gently roll over the rocks, turned right and was greeted with caution tape.

Her plans were dashed.

"I have to say I'm glad that they did close the forest because we don't want to lose our trees and all the flora and fauna out there," said Howard, who splits her time between Scottsdale and Santa Fe, New Mexico.

Arizona has been a hotbed for wildfires so far this year, with more large fires burning than in any other state and across all terrain. The fires have forced rural residents from their homes and sent motorists on sometimes lengthy detours.

Firefighters got help Wednesday with cooler weather and the hope of rain. Still, they were on alert for thunderstorms that could produce lightning and touch off more blazes.

The Coconino and Kaibab national forests in northern Arizona closed Wednesday. The Apache-Sitgreaves, Prescott and Tonto were set to close later this week. The Tonto near Phoenix is closing but will leave most of its lakes open for recreation.

A previous, full closure of the Coconino forest happened in 2006 and lasted nine days. A 2002 shutdown lasted nine weeks, encompassing the Memorial Day and July 4 holidays.

Brady Smith, a spokesman for the Coconino forest, said employees were out Wednesday scouring the forest for campers, recreational vehicles, hikers and locals to let them know the forest is closed.

"We have as many people as we can," he said.

Beyond inconveniencing campers and hikers, the forest closures are felt by ranchers who can't graze their livestock in the forest, researchers who can't conduct studies, and businesses that rely on tourism. Any forest-thinning projects would be delayed.

A ski resort outside Flagstaff that runs a scenic chairlift in the summer also is closed because it operates under a permit with the U.S. Forest Service.

New Mexico Struggles With Funding Drinking Water Projects - By Susan Montoya Bryan, Associated Press

Many New Mexico communities are behind the curve when it comes to investing in drinking water infrastructure as persistent drought threatens supplies, and the state's fragmented funding process makes it hard to know what taxpayers are getting for their money, legislative analysts said Wednesday.

New Mexico provided roughly $876 million for water projects over a five-year period. But the analysts told members of the powerful Legislative Finance Committee during a meeting that communities aren't doing enough to leverage federal and local dollars.

A review of the state's numerous financing mechanisms for water projects found that New Mexico over the last decade made proportionally more grant and loan funding available for water projects than any other state in the U.S. But inconsistent vetting and piecemeal funding put projects at greater risk of being delayed or derailed, according to the review.

About one-third of the state-funded local water projects that were examined did not meet their intended purpose — even several years after the initial funding was issued.

In the village of Maxwell, for example, $1 million was spent to drill and equip a new drinking water well that could be used in times of drought. A $30,000 shortfall resulted in the well not being hooked up to electricity, leaving the project unfinished and unable to yield any public benefits. Similar issues were found with projects in Lovington and Pecos.

Republican Rep. Larry Scott of Hobbs described the process as a "train wreck."

"The way we're doing it now — from a business person's perspective — there's no comprehensive effort toward a sustainable goal. That's what we need to be looking for here," said Scott, who is an engineer.

The concerns raised in the report also prompted lawmakers to question whether New Mexico will be able to efficiently spend its share of federal pandemic relief aid and infrastructure funds to address communities' water needs.

President Joe Biden in March proposed a $2 trillion infrastructure plan that includes more than $110 billion to address aging water systems, pollution and water-related natural disasters. While the White House has been short on details about how the money will be distributed if approved by Congress, New Mexico officials said many of the state's most significant water-related challenges would fall into the categories that have been outlined as priorities.

Still, the report noted that communities often seek grants before tapping local revenues or pursuing funding through the state's federally backed revolving loans. Analysts said those revolving loan funds had untapped capacity of about $125 million as of this spring.

The uncommitted balances have drawn the attention of the U.S. Environmental Protection Agency. Like the legislative analysts, federal officials determined the availability of state grants is undercutting interest in federal funding options even though state dollars are typically not enough to see a project through to completion.

If improvements aren't made, analysts warned lawmakers that future federal funding could be compromised.

According to the report, federal support for drinking water and wastewater projects has declined overall since the 1980s, while state and local spending have risen.

The problems with the state's water project funding system stretch back at least two decades. Analysts expressed some frustration during Wednesday's meeting, noting recommendations have been made in the past and previous attempts to change the system have fizzled.

This time, analysts recommended that New Mexico lawmakers consider creating an interagency team to vet funding requests using a scoring system that could help prioritize projects on an annual basis. They also suggested that scoring and policies be standardized across the state's grant programs and that a report on all water project requests be submitted to the Legislature each year so the state can begin to track the outcomes of the spending.

Officials with the New Mexico Environment Department said the agency would need more money and personnel to implement the recommendations.

Study Finds Third Of Un-Vaxxed New Mexicans Don't Want DosesAssociated Press

The University of New Mexico has helped lead a national study of hesitancy surrounding COVID-19 vaccines, which found it prevalent in its own state.

The school announced Wednesday researchers with the UNM Center for Social Policy joined a coalition of groups to conduct the American COVID-19 Vaccine Poll.

The poll encompassed 13,000 people from across various racial and ethnic communities. Among them were more than 2,000 New Mexico residents from underserved Latino, Native American, African immigrant and Black communities.

According to the survey, roughly a third or 32% of New Mexico residents who haven't been vaccinated don't intend to do so. Furthermore, 15% of New Mexicans who got a first shot don't plan on getting the second one. Roughly 44% said they would get the vaccine if it was employer-mandated.

The survey also found some evidence the state's $100 incentive program increased vaccination rates, especially among young adults in urban areas.

The W.K. Kellogg Foundation helped fund expanding the survey in New Mexico.

Since the pandemic, New Mexico has reported 205,058 COVID-19 cases and 4,330 deaths.

Medical Marijuana Producers Seek Tax Refund Worth Millions – Associated Press

A major business in New Mexico's burgeoning market for marijuana wants the state to refund millions of dollars in taxes that were levied in recent years on sales of medical marijuana but not against most prescription medications.

Integrated cannabis provider Ultra Health said Tuesday that it has asked the state Supreme Court for the opportunity to provide arguments in a legal dispute between another medical marijuana company and the state Taxation and Revenue Department.

New Mexico lawmakers and cannabis regulators made clear this year that a limited personal supply of medical cannabis will be available tax-free starting June 29. The provision is part of legislation signed in April by Gov. Michelle Lujan Grisham to legalize recreational marijuana sales by April 2022 and waive taxes on medical marijuana this year.

“We are very glad the New Mexico Legislature had taken the initiative to include that clause for the deduction,” said Marissa Novel, chief marketing officer at Ultra Health. “What's still up for debate is years worth of (past) medical cannabis activity.”

In its Supreme Court filing, Ultra Health says it paid nearly $2.7 million in gross receipts taxes in 2020 alone on $39.5 million in sales.

Medical marijuana provider Sacred Health contends that medical marijuana qualifies for a tax deduction as a prescription drug, and won a favorable decision in the New Mexico Court of Appeals last year before legalization reforms were approved.

State taxation officials have asked the state Supreme Court to reverse that decision. They say the Legislature's decision to waive taxes on medical marijuana sales demonstrates that the tax previously applied.

New Mexico Financial Trustees Weigh Social Responsibility – Morgan Lee, Associated Press

Custodians of New Mexico's two multibillion-dollar financial trusts that underwrite public education and infrastructure spending are weighing whether to give greater weight to issues of social responsibility and sustainability in investment decisions.

The State Investment Council headed by Democratic Gov. Michelle Lujan Grisham on Tuesday kicked off deliberations about its investment strategies and a possible policy change to give greater consideration to a host of environmental, societal and governance concerns, from climate change to issues of racial injustice.

The conversation takes place as giant asset manager BlackRock has placed greater emphasis on the risks and rewards of environmental, social and governance issues, sometimes challenging the direction of company executives.

Investment council members including State Treasurer Tim Eichenberg and Catherine Allen indicated support for giving greater consideration to social responsibility and sustainability issues.

“It's appropriate risk management for us to be taking this into consideration,” Allen said.

Council member Leonard Lee Rawson of Las Cruces said he would prefer that the Legislature decide whether to explicitly incorporate social responsibility into the council's investment considerations.

He cautioned the council against activism on lightning-rod issues such as climate change when evaluating investment risks and opportunities.

Lujan Grisham and State Land Commissioner Stephanie Garcia Richard, the council vice chairwoman, were absent from the discussion Tuesday. No formal action was taken, with further debate scheduled for a meeting in August.

The State Investment Council last year adopted a strategic plan for renewable energythat allows investments in New Mexico solar and wind projects to offset other energy investments including fossil fuel activities. The plan was promoted by a Democratic-sponsored state House memorial in 2020.

The council oversees the state Land Grant Permanent Fund and Severance Tax Permanent Fund, with combined assets of roughly $29.5 billion as of May 31.

4 People Win $250K Apiece In New Mexico Vaccine Sweepstakes – Associated Press

State health officials announced Tuesday that four people have each won $250,000 prizes as part of the New Mexico vaccine sweepstakes.

They were the first four winners of Vax 2 the Max Sweepstakes.

The $10 million cash sweepstakes is funded by federal stimulus and intended to incentivize COVID-19 vaccinations.

Four vaccinated New Mexicans — one from each public health region of the state — are each confirmed winners of $250,000 as drawn at random Friday by the New Mexico Lottery.

Non-winning entries will be carried over to each successive $1 million drawing.

New Mexicans who have opted in to the sweepstakes don’t have to opt in again to remain eligible for future drawings.

Four more $1 million Friday drawings, with four regional $250,000 winners each, will occur throughout the summer.

A grand prize drawing of $5 million is scheduled for early August.

Navajo Nation Reports 5 New COVID-19 Cases And 1 More Death – Associated Press

The Navajo Nation on Tuesday reported five new cases of COVID-19 and one additional death.

Tribal health officials said the sprawling reservation that stretches into New Mexico, Arizona and Utah has seen 30,972 known cases of the coronavirus since the pandemic began more than a year ago.

The known death toll now stands at 1,347.

The tribe had reported no cases and no deaths on Monday.

“We are not out of this pandemic yet, but we are making progress each day,” Navajo Nation President Jonathan Nez said in a statement Tuesday.

Last Friday, the Navajo Department of Health lifted the tribe’s stay-at-home order, easing restrictions to allow in-person meetings and ceremonies of 25 people or fewer and drive-thru gatherings of up to 100 vehicles.

Face masks are required by everyone on the Navajo Nation, whether or not they are fully vaccinated against COVID-19.

New Mexico School District To Discuss Transgender Athletics – Associated Press

School board members in southern New Mexico plan to discuss a proposal that could restrict participation in sports by transgender athletes.

The Alamogordo school board scheduled a work session for Saturday that will include time for the public to comment on the proposed resolution.

Jerrett Perry, the school district superintendent, has said that allowing transgender girls to compete in girls' sports would impede the opportunities for biological female student athletes on the court and the field.

“I support this stance and will adamantly defend the integrity of biological female athletes,” he told the Alamogordo Daily News.

The American Civil Liberties Union of New Mexico is taking issue with the proposal. The organization sent a letter Tuesday to the school board saying such a policy if adopted by the district would violate state and federal law.

Citing previous federal court rulings and New Mexico statutes, the ACLU wrote that the "proposal flies in the face of civil rights and liberties. This is about protecting our children from discrimination by the very professionals we trust to keep them safe.”

The move comes as lawmakers in more than 20 states have considered bills that would restrict which teams transgender students can join. Supporters of the legislation say many transgender students of the biological male sex have an unfair advantage since they are physically stronger. Opponents, including the ACLU, argue such bans can exacerbate mental health issues that affect transgender students.