Economic Development pitches quantum jobs, site-readiness and rural film incentives to spur statewide growth

Rob Black, cabinet secretary designee for the New Mexico Economic Development Department, told the Tax, Business and Transportation Committee on Feb. 1 that the agency will pursue a package of bills and programs aimed at recruiting high-tech firms, speeding site development and expanding rural film production.

Black described two planned measures tied to quantum-computing development: a gross-receipts-tax exemption for expenditures supporting a national quantum testing and validation laboratory and a refundable tax credit for companies building physical quantum infrastructure in New Mexico. Black said those steps are intended to leverage the state’s “sticky” advantages, including Sandia and Los Alamos national laboratories and University of New Mexico doctoral programs.

On site readiness, Black described Senate Bill 169 as a program to fund site-characterization work — environmental clearance, traffic and housing studies, fiber and utility planning — so communities can present development-ready parcels. Senator O’Malley noted the proposal and a $24,000,000 figure while asking whether the program would prioritize publicly owned industrial sites; Black said the program would focus on public owners but could support private sites that meet contribution criteria.

A companion bill, SB170, would allow utilities — investor-owned and co‑ops — to seek an expedited review before the Public Regulation Commission and to predeploy infrastructure on state-certified strategic sites. Black said the proposal would include a funding mechanism through the Public Project Revolving Fund administered by the New Mexico Finance Authority and would intentionally include electric co-ops to avoid excluding rural areas.

Black also described a regulatory-transparency bill requiring agencies that issue permits to publish quarterly average processing times from application to determination. He said the measure had been filed and would receive a bill number soon; the stated aim is to give managers and businesses data to identify delays and to provide market certainty to potential investors.

On the film industry, Steve Graham, director of the New Mexico Film Office, said productions filmed outside metro areas now receive a larger rural uplift (increased from 5% to 10%) and that after the change production spend in uplift zones rose 88% year over year. Graham said that productions filmed on tribal lands currently are not incentivized under the existing credit structure.

Black said the state has secured a commitment from Quantinuum — described to the committee as a major quantum company — to build a research-and-development presence in New Mexico. The department also reviewed programs it manages, including JTIP (job-training incentive program), LEDA (Local Economic Development Act), New Mexico MainStreet, outdoor-recreation grants and the film office.

Committee members asked about tribal incentives, housing and workforce. Steve Graham confirmed that productions on tribal lands currently are not eligible for the incentives discussed; Black and committee members discussed the need to pair site investments with workforce, housing and utility planning to capture and retain jobs in rural communities. The regulatory-transparency bill was described as introduced in the House and expected to have a number within one to two days.

No committee votes were taken during the presentation; department staff said they would return with bill language and fiscal materials during the bill hearings scheduled to begin next week.