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NMSU Coal Village demolition: asbestos discovery shifts plans; bids reported

Legislative Finance Committee · December 10, 2025
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Summary

Committee was told NMSU's Coal Village demolition may proceed with existing funding after bids identified cheaper asbestos abatement options; a campus speaker later summarized a bid package and readiness to begin demolition.

Senator Trujillo asked for an update on demolition plans for Coal Village at New Mexico State University. HED staff said asbestos was discovered and that initial requests for additional funding were reevaluated after contractors proposed less costly asbestos-abatement options. HED said the project is under agency review and could proceed with existing appropriations once approval is issued.

An NMSU representative told the committee a bid came back at about $7 million plus $3 million for follow-up work and additional contingencies for time delays; he said approval from HED (referred to by name in committee) had been received and demolition was ready to start. Committee members and presenters emphasized safety and environmental concerns associated with asbestos abatement and sought assurance that remediation will follow appropriate protocols.

HED said it had flagged the project for review and that if approvals are issued demolition could begin using the existing funds. Members asked for follow-up reporting on approvals and execution.

Sources: Senator Trujillo; HED staff; NMSU representative speaking to the committee.