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Thursday, November 7, 2024

Las Cruces voters approve gross receipts tax hike for infrastructure funding

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Mayor Eric Enriquez, City of Las Cruces | City of Las Cruces

Mayor Eric Enriquez, City of Las Cruces | City of Las Cruces

Las Cruces voters have approved a 0.325 percent increase in the gross receipts tax during the general election on November 5, 2024. This measure is expected to take effect on July 1, 2025, and is projected to generate an additional $11 million annually for capital improvement projects across the city.

Mayor Eric Enriquez expressed satisfaction with the outcome, stating, “We are pleased that Las Cruces voters chose to invest in their city.” He added that “the modest gross receipts tax increase will go a long way in improving our public safety, parks and roadways.” The mayor also extended gratitude to those who supported the measure.

The increase translates to an additional 32 cents per $100 spent at businesses within Las Cruces. Essential items such as groceries and medicine remain exempt from this tax. The approval margin was ten percentage points, with 55 percent of voters in favor compared to 45 percent against.

Revenue from this tax hike will support public safety initiatives, park enhancements, street maintenance, and other critical infrastructure needs. Currently, gross receipts taxes constitute approximately 76 percent of the city's revenue stream.

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