The New Mexico Land Grant Permanent Fund (LGPF) is a

sovereign wealth fund A sovereign wealth fund (SWF), sovereign investment fund, or social wealth fund is a state-owned investment fund that invests in real and financial assets such as stocks, bonds, real estate, precious metals, or in alternative investments such ...

that provides revenues to

New Mexico ) , population_demonym = New Mexican ( es, Neomexicano, Neomejicano, Nuevo Mexicano) , seat = Santa Fe , LargestCity = Albuquerque , LargestMetro = Tiguex , OfficialLang = None , Languages = English, Spanish ( New Mexican), Navajo, Ker ...

's public schools and universities, among other special beneficiaries. Its assets include

mineral rights Mineral rights are property rights to exploit an area for the minerals it harbors. Mineral rights can be separate from property ownership (see Split estate). Mineral rights can refer to sedentary minerals that do not move below the Earth's surfac ...

throughout the state. It is one of the largest sovereign wealth funds in the United States, managing more than $28.65 billion in total assets. It is the largest of New Mexico's sovereign wealth funds.

Management

The fund is managed by the New Mexico State Investment Council. The council is made up of certain members of the Government of New Mexico, who serve on an

ex-officio An ''ex officio'' member is a member of a body (notably a board, committee, council) who is part of it by virtue of holding another office. The term ''ex officio'' is Latin, meaning literally 'from the office', and the sense intended is 'by right ...

basis, and public members appointed alternately by the

Governor of New Mexico , insignia = Seal of the Governor of New Mexico.svg , insigniasize = 110px , insigniacaption = Seal of the Governor , image = File:Michelle Lujan Grisham 2021.jpg , imagesize = 200px , alt = , incumbent = Michelle Lujan Grisham , incu ...

and

New Mexico Legislature The New Mexico Legislature ( es, Legislatura de Nuevo México) is the legislative branch of the state government of New Mexico. It is a bicameral body made up of the New Mexico House of Representatives and the New Mexico Senate. History The Ne ...

. Public members serve for five years and must be confirmed by the

New Mexico Senate The New Mexico Senate ( es, Senado de Nuevo México) is the upper house of the New Mexico State Legislature. The Senate consists of 42 members, with each senator representing an equal number of single-member constituent districts across the state ...

. Members may be re-appointed if the governor or legislature decide to do so,

History

In 1893, the government of the United States passed the Ferguson Act, giving the

New Mexico Territory The Territory of New Mexico was an organized incorporated territory of the United States from September 9, 1850, until January 6, 1912. It was created from the U.S. provisional government of New Mexico, as a result of ''Santa Fe de Nuevo México ...

lands meant to support New Mexico's schools and universities. While New Mexico had not yet joined the union, the Ferguson Act and the Enabling Act of 1910 were passed in anticipation of New Mexico's scheduled accession in 1912.

Reform

Invest in Kids Now has called for the state to increase the fund's distribution to 7% to fund early-childhood education programs, particularly focusing on

literacy Literacy in its broadest sense describes "particular ways of thinking about and doing reading and writing" with the purpose of understanding or expressing thoughts or ideas in written form in some specific context of use. In other words, huma ...

; New Mexico ranks 50th in reading proficiency in the United States. In 2022, voters approved a

constitutional amendment A constitutional amendment is a modification of the constitution of a polity, organization or other type of entity. Amendments are often interwoven into the relevant sections of an existing constitution, directly altering the text. Conversely, t ...

requiring a 1.25% distribution from the fund to provide early childhood education. The amendment passed by more than 70%.

Notes

References

{{reflist Sovereign wealth funds Economy of New Mexico Political history of New Mexico Legal history of New Mexico New Mexico Education in New Mexico 1912 in New Mexico