N.M. Stat. » N.M. Stat. / Chapter 22 / Article 8
New Mexico Statutes

N.M. Stat. § 22-8-1 (2026)

Short title.

✓ current as of May 2026
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Chapter 22, Article 8 NMSA 1978 may be cited as the "Public School Finance Act".

History: 1953 Comp., § 77-6-1, enacted by Laws 1967, ch. 16, § 55; 2003, ch. 153, §
28.

                                     ANNOTATIONS

Cross references. — For general obligation bonds of school districts, see 22-18-1
NMSA 1978 et seq.

For school revenue bonds, see 22-19-1 NMSA 1978 et seq.

For public school emergency capital outlay, see 22-24-1 NMSA 1978 et seq.

For public school capital improvements, see 22-25-1 NMSA 1978 et seq.

Temporary provisions. — Laws 2026, ch. 2, § 1, effective January 31, 2026, provided
that on verification of the number of units statewide for fiscal year 2026, but no later
than February 27, 2026, the secretary of public education may adjust the unit value. In
adjusting the unit value in February, the public education department shall consult with
the department of finance and administration, the legislative finance committee and the
legislative education study committee.

The 2003 amendment, effective April 4, 2003, substituted "Chapter 22, Article 8 NMSA
1978" for "Sections 22-8-1 through 22-8-42 NMSA 1978" at the beginning of the section.

No contractual right to free public education. — The right and privilege to a free
public education does not give rise to a contractual relationship for which an individual
may sue for breach of contract. Rubio v. Carlsbad Mun. Sch. Dist., 1987-NMCA-127,
106 N.M. 446, 744 P.2d 919.
Education of nonresidents without taking state allotment unconstitutional
donation. — To the extent that a local school district would undertake the total burden
of educating nonresident students without benefit of state allotment as dispensed on the
basis of average daily membership, the school district would still be making a donation
in aid of those students in violation of N.M. Const., art. IX, § 14. 1978 Op. Att'y Gen. No.
78-14.
Notes of Decisions
Cited in 15 cases (1 in the last 5 years), 1980–2023 · leading case: Forest Guardians v. Powell, 2001-NMCA-028, 24 P.3d 803.
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Forest Guardians v. Powell, 2001-NMCA-028, 24 P.3d 803. · cites it 4× “, NMSA 1978, §§ 22-8-1 through 42 (1953, as amended through 2000) (Public School Finance Act).”
Daddow v. Carlsbad Mun. Sch. Dist., 898 P.2d 1235 (N.M. 1995). · cites it 4× “" The Martinez court found that the State Board had pervasive financial control over all school districts because the Public School Finance Act, NMSA 1978, §§ 22-8-1 to -42 (Repl.Pamp.1993), provides that the State Board conduct budget-making with the local board.”
Zuni Pub. Sch. Dist. No. 89 v. Dep't of Educ., 550 U.S. 81 (2007). “9 percent) would exceed 25 percent. Consequently, the statute would forbid New Mexico to take account of federal impact aid as it decides how to equalize school funding across the State.”
Taos Mun. Schs. Charter Sch. v. Davis, 2004-NMCA-129, 102 P.3d 102. · cites it 2× “The Public School Finance Act, NMSA 1978, §§ 22-8-1 to -45 (1967, as amended through 2004), governs the operational funding of New Mexico’s public schools.”
Rubio Ex Rel. Rubio v. Carlsbad Mun. Sch. Dist., 744 P.2d 919 (N.M. Ct. App. 1987). “1986); §§ 22-8-1 to -42 (Repl.1986 & Supp.1987).”
Zuni Pub. Sch. v. Pub. Educ. Dept., 277 P.3d 1252 (N.M. Ct. App. 2012). · cites it 2× “This Court considered the State's application for interlocutory appeal as one for writ of error and granted the application only on the issue of sovereign immunity.”
Dickens v. Hall, 718 P.2d 683 (N.M. 1986). · cites it 2× “The court in Kerr-McGee was referring to NMSA 1953, Section 22-8-1 and NMSA 1953, Section 22-8-7, which are identical to our present NMSA 1978, Section 42-4-1 and NMSA 1978, Section 42-4-7.”
Zuni Pub. Sch. Dist. 89 v. State Pub. Educ. Dep't, 2012-NMCA-048. · cites it 2× “This Court considered the State’s application for interlocutory appeal as one for writ of error and granted the application only on the issue of sovereign immunity.”
Zuni Pub. Sch. Dist. 89 v. N.M. Pub. Educ. Dep't, 2017-NMCA-003. · cites it 2× “1 {1} This case presents an issue of first impression under the Public School Finance Act (the Act), NMSA 1978, §§ 22-8-1 to -48 (1967, as amended through 2015).”
N.M. Pub. Educ. Dep't v. Zuni Pub. Sch. Dist. 89, 458 P.3d 362 (N.M. 2018). · cites it 3× “Once the State has 18 received its certification from the DOE Secretary, the certification shall apply 19 retroactively to any impact aid payments received by the district during the entire 1 fiscal year.”
Zuni Pub. Sch. Dist., 89 v. State of New Mexico Pub. Educ. Dep't, 2012-NMCA-048, 1 N.M. Ct. App. 639. · cites it 2× “This Court considered the State’s application for interlocutory appeal as one for writ of error and granted the application only on the issue of sovereign immunity.”
Zuni Pub. Sch. Dist. 89 v. State Pub. Educ. Dep't, 2017-NMCA-003, 10 N.M. 746. · cites it 2× “{1} This case presents an issue of first impression under the Public School Finance Act (the Act), NMSA 1978, §§ 22-8-1 to -48 (1967, as amended through 2015).”
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