Financial Disclosure Statements

December 9, 2021 admin 0

What are Financial Disclosure Statements?

Series 3 of 4
By Greg Gallegos I December 9, 2021

Financial Disclosure Act

The Financial Disclosures is Chapter 10 Article 16A of NMSA 1978 encompass sections 10-16A-1 through 10-16A-9 NMSA 1978, also known as the “Financial Disclosures Act”. You can find the link to download the Election Handbook of the State of New Mexico, 2021 edition at https://www.sos.state.nm.us/candidate-and-campaigns/how-to-become-a-candidate/nm-election-handbook/. The Financial Disclosures Act is a method of tracking and reporting the financial interests of elected legislators and statewide office officials, candidates for legislative and statewide offices as well as state agency heads and appointments to boards and commissions. The NM Secretary of State’s office facilitates this process utilizing a web-based Campaign Finance Information system (CFIS) that was released July 2020.

Who Must File Financial Disclosure Statements (FDS)?

All individuals holding a legislative office
All individuals holding a statewide office
All candidates for a legislative office
All candidates for a Statewide office
All state agency heads
All appointed personal to a board or commission
Members of Insurance Nominating Committee
Members of State Ethics Commission
Any public officials or state employees who believe may affect official acts

When is an FDS Report Due?

January 31^st for all individuals holding a legislative or statewide office

Time of Declaration of Candidacy, if an FDS has not already been filed for the calendar year

Within 30 days of appointment and January 31^st thereafter for all agency heads, all appointed personal to a board or commission, members of Insurance Nominating Committee, and members of the State Ethics Commission.

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What Information do FDS filers Need?

The full name, mailing address, and residence address of each person covered in the disclosure statement, except the address of the spouse need not be disclosed; the name and address of the person’s and spouse’s employer and the title or position held; and a brief description of the nature of the business or occupation;
All sources of gross income of more than five thousand dollars ($5,000) to each person covered in the disclosure statement, identified by general category descriptions that disclose the nature of the income source, in the following broad categories: law practice or consulting operation or similar business, finance and banking, farming and ranching, medicine and health care, insurance (as a business and not as payment on an insurance claim), oil and gas, transportation, utilities, general stock market holdings, bonds, government, education, manufacturing, real estate, consumer goods sales with a general description of the consumer goods and the category “other”, with direction that the income source be similarly described. In describing a law practice, consulting operation or similar business of the person or spouse, the major areas of specialization or income sources shall be described, and if the spouse or a person in the reporting person’s or spouse’s law firm, consulting operation or similar business is or was during the reporting calendar year or the prior calendar year a registered lobbyist under the Lobbyist Regulation Act [Chapter 2, Article 11NMSA 1978], the names and addresses of all clients represented for lobbying purposes during those two years shall be disclosed.
A general description of the type of real estate owned in New Mexico, other than a personal residence, and the county where it is located.
All other New Mexico business interests not otherwise listed of ten thousand dollars ($10,000) or more in a New Mexico business or entity, including any position held and a general statement of purpose of the business or entity.
All memberships held by the reporting individual and the individual’s spouse on boards of for-profit businesses in New Mexico.
All New Mexico professional licenses held.
Each state agency that was sold goods or services in excess of five thousand dollars ($5,000) during the prior calendar year by a person covered in the disclosure statement.
Each state agency, other than a court, before which a person covered in the disclosure statement represented or assisted clients in the course of the person’s employment during the prior calendar year.

Can an FDS filer be fined or Penalized for a Late Report?

The New Mexico Secretary of State’s office will fine any individual who is required to file under the Financial Disclosure Act $50/day up to $5,000.

If an FDS is required and not filed, then a candidate will be left off the ballot or removed from their appointment.

Additionally

There are many more regulations on late filings fines, penalties to include civil and criminal penalties. The new CFIS system indicates when a filer is not compliant and lists all late reports and fines due. The CFIS application seems to be in constant development, there seems to be the wish for a more transparent and higher standard for accountability. This can be overwhelming when running a campaign and KGH Strategies can help.