Definitions.

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As used in the New Mexico Work and Save Act:

A. "board" means the New Mexico work and save board;

B. "board member" means a member of the board;

C. "covered employee" means a person who is at least eighteen years of age and who is employed by a covered employer, either full time or part time, or a person who is self-employed as a sole proprietor or an independent contractor; provided that "covered employee" does not include an employee:

(1) covered under the federal Railway Labor Act;

(2) on whose behalf an employer makes contributions to a multi-employer pension trust fund pursuant to the federal Taft-Hartley Act; or

(3) of federal, state or local governments or any agency, department, board, commission, institution or instrumentality of those governments;

D. "covered employer" means a person engaged in a business, industry, profession, trade, nonprofit, or other enterprise with its primary place of business physically located in New Mexico, but does not include a federal, state or local government or any agency, department, board, commission, institution or instrumentality of those governments;

E. "financial institution" means a duly licensed bank, savings and loan association, credit union, broker-dealer, asset manager, insurance company, mutual fund or other financial entity;

F. "Internal Revenue Code" means the United States Internal Revenue Code of 1986, as amended;

G. "New Mexico retirement plan marketplace" means a web-based marketplace for retirement savings plans for private sector and nonprofit employers and employees, including multiple-employer plans;

H. "New Mexico work and save" means the retirement savings program that invests payroll deductions of program participants in Roth individual retirement accounts without any contributions from covered employers;

I. "participating employer" means a covered employer that provides payroll deductions for individual retirement accounts through New Mexico work and save but that does not contribute to those accounts;

J. "program participant" means a covered employee who is contributing to a Roth individual retirement account through New Mexico work and save or has a Roth individual retirement account balance through New Mexico work and save;

K. "Roth individual retirement account" means a voluntary payroll deduction Roth individual retirement account that conforms to the requirements of Section 408A of the Internal Revenue Code; and

L. "total fees and expenses" means all fees, costs and expenses, including administrative expenses, investment expenses of New Mexico work and save, investment advice expenses, accounting costs, actuarial costs, legal costs, marketing expenses, education expenses, trading costs, insurance annuitization costs and other related miscellaneous costs.

History: Laws 2020, ch. 7, § 2.

ANNOTATIONS

Cross references. — For the federal Railway Labor Act, see 45 U.S.C. § 151 et seq.

For the federal Taft-Hartley Act, see 29 U.S.C. § 186.

For Internal Revenue Code, see 26 U.S.C. § 1 et seq.

Effective dates. — Laws 2020, ch. 7 contained no effective date provision, but, pursuant to N.M. Const., art. IV, § 23, was effective May 20, 2020, 90 days after adjournment of the legislature.

Temporary provisions. — Laws 2020, ch. 7, § 13 provided:

A. The New Mexico retirement plan marketplace shall be implemented no later than July 1, 2021.

B. New Mexico work and save shall be implemented so that covered employees may begin contributing to New Mexico work and save no later than January 1, 2022.


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