New Mexico candidate for governor pledges not to raise taxes

Jul 9, 2018

SANTA FE, N.M. (AP) — The Republican candidate for governor of New Mexico has signed a pledge to oppose tax increases if elected even as the state struggles to shore up its credit rating and address public pension liabilities.Congressman and gubernatorial contender Steve Pearce has signed conservative activist Grover Norquist's famous pledge against any net tax increases if elected governor. Norquist and Americans for Tax Reform confirmed the pledge on Sunday.The promise may be easily kept at first. New Mexico is in the midst of an oil-sector boom that is boosting state government income at current tax rates.Fiscal analysts warn the anti-tax pledge eventually could limit Pearce's budget-balancing options and result in abrupt state spending cuts.New Mexico's credit rating recently was recently downgraded over pension liabilities, Medicaid obligations and more.