Here's how a newly released report from the Legislative Finance Committee and Department of Finance & Administration begins:
The balance in the state's bank account is dwindling, both
a victim and an indicator of New Mexico's economic slump.
Like a falling balance in a family's bank account, the state has less cash on hand to meet unexpected expenses or reductions in monthly income, or to invest and generate interest earnings.
The state's invested general fund balance stood at $1.6 billion at the end of May 2009, according to the state treasurer's investment report for June. The balance on the same date in each of the two previous years was about 50% more — $2.3 billion in 2008 and $2.5 billion in 2007.
It is normal for the balance to fluctuate, due to a mismatch in monthly expenditures and revenues, but the balance in 2009 is on a relatively steep downward trend compared to the past three years.
The report itself is below:
NM ECONOMIC SUMMARY 7-09