New Mexico governor draws line against tax-and-spend bills

SANTA FE, N.M. (AP) — New Mexico Gov. Susana Martinez is drawing a line in the sand against tax increases and state government spending with hours left to sign or veto provisions of a budget plan from the Legislature. Martinez has until noon on Friday to consider a $6.1 billion spending bill that shores up funding for public schools and courts in the coming fiscal year. The Republican governor on Thursday renewed criticism of companion legislation to bring in $350 million by increasing taxes on gasoline, hiking permit fees for trucks and reduce tax exemptions on nonprofit hospitals. She wants to reconvene the Democratic-led Legislature soon. Senate Finance Committee Chairman John Arthur Smith says the governor's proposals to limit tax revenues and government spending could drive up unemployment and threaten the state's credit rating.