Section 3-66-4 - Authorization of surcharge and other fees; use of proceeds; transfer. - New Mexico Statutes

3-66-4. Authorization of surcharge and other fees; use of proceeds; transfer.

A.     A municipality in which a municipal event center is located may establish by ordinance an event center surcharge of not less than five percent of each vendor contract entered into by that municipality.  As otherwise established by that municipality, the event center surcharge may be any percentage greater than five percent of each vendor contract entered into by the municipality.

B.     A municipality shall include an event center surcharge in the terms of each vendor contract into which it enters.  A chief executive officer of a municipality shall sign each vendor contract into which that municipality enters.

C.     A municipality may establish charges and fees deemed necessary by the governing body or the chief executive officer for the use, operation or management of a municipal event center by a person, corporation or other entity.

D.     From the proceeds of the event center surcharge, an amount equal to two percent of each vendor contract entered into by the municipality shall be transferred monthly by the municipality that established the event center surcharge to the tax administration suspense fund.

E.     A municipality shall establish a fund for construction, renovation, operation, equipment, maintenance and improvement of a municipal event center for deposit of all event center revenues and event center surcharge proceeds that exceed the required debt service payments, except for event center surcharge proceeds transferred to the tax administration suspense fund pursuant to this section.  Money in the fund may be used to pay:

(1)     debt service payments;

(2)     costs of operating a municipal event center during the life of the bonds issued by the municipality pursuant to the Municipal Event Center Funding Act;

(3)     costs of constructing, renovating, equipping, maintaining or improving that municipal event center; or

(4)     costs of collecting or administering the event center surcharge.