Senate Finance hears pitch for $1.2B innovation package to grow quantum, fusion and aerospace hubs

State economic development officials and agency heads on Tuesday urged the Senate Finance Committee to consider a $1.2 billion, three‑year economic diversification package intended to accelerate commercialization of quantum, advanced energy, aerospace and defense technologies in New Mexico.

Rob Black, secretary of economic development, framed the pitch around a science‑and‑technology road map that his department developed with outside consultants and partners. He said the Mountain West region and New Mexico already have dense R&D assets — national labs, research universities and early private wins — and that targeted investment could translate R&D leadership into local commercial jobs.

"This next frontier of technologies... the winners are being minted today," Black said, adding the state has a "right to win" in quantum, advanced energy and space/defense where existing assets can be combined. He and other presenters cited recent announcements including Pacific Fusion and XGS Energy as evidence of momentum.

Alex Greenberg of the governor's office highlighted the urgency of acting before other states or foreign competitors capture early market share. "Quantum enabled technology is one of the tracks... It's the pace that these technologies are going," Greenberg said, noting intersections with AI and national security concerns such as post‑quantum cryptography.

Adrian Avila, chief of staff for Senate Finance, outlined the administration’s recommended elements in a three‑year, $1.2 billion scenario: industry hubs (quantum, advanced energy, a defense/bioscience/aerospace hub), commercialization supports (patent and spin‑out help), workforce training (technician boot camps and recruitment), faculty endowments to attract top researchers, targeted tax credits, infrastructure readiness and performance‑conditioned grant funds. Avila said the package is designed to leverage substantial federal defense and R&D dollars and State Investment Council (SIC) commitments.

Members pressed for specifics on funding sources and implementation. The chair and others pointed to SIC capital and a growing sovereign wealth figure as possible levers; SIC staff said roughly $1.8 billion of regionally focused venture commitments are in place and the fund is actively investing. Senators also emphasized energy system readiness, broadband expansion for rural inclusion, housing and quality‑of‑life investments to attract and retain talent, and workforce pipeline alignment with community colleges and CTE programs.

Several members raised the spaceport as a potential asset and asked whether it should be folded into the plan; EDD officials said the spaceport functions as a catalytic testing and operations site for hypersonics and aerospace firms but also carries its own cost structure and operational overhead.

No formal action was taken; committee members asked staff and presenters to return with more detailed cost breakdowns, performance metrics and an implementation plan that lays out how state funding would be matched, governed and measured.

Ending

Committee members endorsed further briefings and weekly follow‑ups to refine the proposal, requested clearer workforce and energy infrastructure plans, and asked for a single implementation roadmap tying performance measures to any proposed appropriations.