New Mexico Finance Authority staff reported to the oversight committee that the agency had committed about $50.5 million to eight venture private equity and debt managers as part of the NMFA Venture Capital Program, and that total program capitalization (including other appropriations and SSBCI transfers) is roughly $75 million. Committee members, local startup leaders and a longtime local fund manager said they welcomed the program but urged NMFA and the State Investment Council to ensure more capital reaches New Mexico businesses.

Ryan Marie (presenting as an independent consultant) and Marquita Russell outlined the program's mission and diversification objectives, and Ryan summarized the portfolio and commitments: two $10 million allocations (Advance New Mexico and Perennial Fund 2), $7.5 million allocations to Raven Indigenous Impact Fund and VAMOS Ventures, and smaller commitments to Tiverton, Dangerous Ventures, Tramway Ventures and Rethink Impact. Ryan said commitments ranged from $2 million to $10 million and that funds typically call capital over time; by the end of 2024 only about $5.4 million had been called against $50.5 million committed because many funds were early in their investment periods.

Local founders and intermediaries urged follow‑up actions and program refinements. John Chavez of the New Mexico Startup Factory said NMFA's commitments are a useful start but reported that his team’s review found many out‑of‑state managers receiving NMFA or SIC commitments had not yet made investments in New Mexico. “We went and looked at the individual portfolio managers … and to see if they were investing in New Mexico. Some of the people outside New Mexico are not deploying capital in New Mexico,” he said. Chavez and other speakers urged more local accelerators or incubation programs to help founders reach the stage where venture capitalists will invest.

Program design and conditions: Russell and Ryan said the Venture Capital Program Act requires NMFA to consider economic development objectives alongside financial returns. NMFA hired an institutional consultant and formed a venture capital investment committee to screen managers for local alignment, manager expertise, operational capacity and adherence to industry standards; NMFA also negotiates side letters to secure localized commitments such as office hours, New Mexico presence or deployment pledges where contract size allows. Ryan said the committee looks for funds that will increase investment into sectors not prioritized by the State Investment Council and to widen investor diversity.

Questions from lawmakers and next steps: Lawmakers pressed for measurable New Mexico impact and local accountability, asking how NMFA will ensure managers either invest here or deliver services that benefit local entrepreneurs. Russell said NMFA negotiates side agreements where possible and that the authority can request office hours, local engagement and reporting; she also noted that NMFA’s smaller commitments limit negotiating leverage relative to larger national investors. NMFA staff said the program plans to report an annual impact report starting next year showing local jobs and investment outcomes, and that follow‑on capital needs for portfolio companies may require additional program funding in future years.

Ending: The session closed with agreement among NMFA staff, local entrepreneurship organizations and committee members on two points: (1) the venture program is an important tool to bring outside and new private capital into New Mexico, and (2) the state should expand local accelerator/incubator capacity and coordinate public‑private outreach so New Mexico founders can reach stages attractive to venture capital investment.