New Mexico’s economic landscape is witnessing a remarkable transformation, as evidenced by the recent release of the quarterly statewide and county Economic Summaries from the New Mexico Economic Development Department (EDD). These reports underscore the robust economic growth occurring across various counties within the state, particularly within key industry sectors including green and sustainable energy, sustainable agriculture, advanced manufacturing, and international trade. This positive trajectory highlights New Mexico’s ongoing efforts to strengthen its economy and pave the way for a more diversified and resilient economic future, emphasizing the importance of county growth.
The most notable metric emerging from these reports is the substantial growth in Matched Taxable Gross Receipts (MTGR). In a quarter-on-quarter comparison from the first to the second quarter of FY25, the MTGR increased by over $2 million statewide. When viewed through a year-over-year lens, the MTGR rose by an impressive $1.33 billion, marking a 5% increase. This growth is primarily attributed to the thriving professional, scientific, and technical services industry, which has become a driving force in the state’s economic engine.
The metrics reveal not only impressive figures but also indicate a healthy trend in county growth across the state.
Compiled meticulously on a quarterly basis by the EDD’s economist, the Economic Summaries provide an invaluable snapshot of each county’s economic health, sociopolitical dynamics, and demographic intricacies. By dissecting data according to county and industry sector, the reports furnish a granular understanding of local economies. This hyper-localized analysis enables targeted and effective economic strategies, ensuring that resources are optimally allocated to nurture business growth and job creation.
Rob Black, EDD Secretary, elaborates on the utility of these county summaries, stating, “Our county summaries are a deep dive into New Mexico’s local economies. They zero in on where the economy is growing and where it needs more support. It’s a tool that helps local governments prioritize resources to support businesses and grow jobs in their communities.” This approach positions local governments to make informed decisions about where to channel support and resources, thereby fostering thriving entrepreneurial environments and robust labor markets.
Take San Juan County, for instance, where companies backed by the EDD, such as PESCO and Calgon Corp, have been at the forefront of nurturing local economic expansion. According to the latest summaries, the MTGR in San Juan County saw an impressive increase of nearly $91 million from Q1 to Q2 FY25. Even more striking is the $160 million year-over-year growth compared to Q2 FY24. This upward trajectory is indicative of the effective strategies and initiatives implemented within the county.
In Lincoln County, growth metrics also paint a promising picture. The county experienced a MTGR increase of $13 million from Q1 to Q2 FY25, and an impressive $57.4 million or 22% year-over-year rise. A key contributor to this growth is Noisy Water Winery, which, bolstered by a LEDA grant, has embarked on a significant facility expansion. The expansion plans to create 27 new production jobs, a testament to the fruitful collaboration between the state and local businesses.
Moreover, the counties of Santa Fe and Rio Arriba illustrate another exemplary case of local growth facilitated by state partnerships. State funds have been instrumental in supporting sustainable agriculture and agriculture-related industries. Businesses like C4 Farms in Tierra Amarilla, Red River Brewing in Red River, and Beck and Bulow in Santa Fe and Lamy have been significant beneficiaries. The economic summaries reveal a 5% year-over-year increase in MTGR for both counties, underscoring the potential for agricultural innovation and business development.
Understanding County Growth – Sandoval County, NM
The Quarterly Economic Summary for Sandoval County provides an overview of economic activity, focusing on matched taxable gross receipts (MTGR) and employment data for the second quarter of fiscal year 2025 (FY25).
Key highlights include:
- Overall Economic Performance: Sandoval County experienced a year-over-year (YOY) decline in MTGR, with a total of $948.1 million reported in Q2 FY25, which is a decrease of $75.8 million or 7% compared to the previous year. The largest increase in MTGR came from the professional, scientific, and technical services sector, which saw a gain of $10 million, while the construction sector faced the largest decline of $105.1 million.
- Quarterly Gross Receipts Tax (GRT): GRT collections in Q2 FY25 were $6.4 million, reflecting a significant decrease of $4.7 million or 42.4% compared to Q1 FY25.
- Employment and Wages: In Q1 FY25, employment and average weekly wages grew by 5.7% and 10.5%, respectively. The number of establishments in the county increased by 1.7% YOY.
- Industry Performance: The report details various industries, highlighting that accommodation and food services, health care and social assistance, and finance and insurance saw positive growth, while sectors like construction, administrative support, and agriculture experienced declines.
- Population Demographics: The population of Sandoval County is approximately 151,538, with a fairly even gender distribution and diverse racial composition. The report also includes educational attainment statistics for residents aged 25-64.
- Data Sources: The report is based on data from the New Mexico Taxation and Revenue Department, New Mexico Department of Workforce Solutions, U.S. Bureau of Economic Analysis, and U.S. Census Bureau.
Overall, the report indicates a challenging economic environment for Sandoval County, with temporary declines in certain sectors, despite some areas of growth.
These county summaries are not merely reports; they serve as strategic blueprints for economic revitalization and planning. They empower local authorities and businesses to identify growth opportunities and challenges, thus creating an environment conducive to investment and sustainable development.
For those interested in delving deeper into the intricate economic dynamics of New Mexico, the quarterly county and statewide summaries are readily accessible on the County Economic Summaries & Data Profiles webpage. By focusing on target industries and aligning resources with growth potentials, New Mexico is steadily moving toward a diversified and resilient economy, strengthening its position on the national economic stage.
In summary, New Mexico’s economic growth narrative is one of collaboration, innovation, and strategic planning. The insights gleaned from these economic summaries prove invaluable for policymakers and business leaders alike, laying the groundwork for a prosperous future across the Land of Enchantment.
