New Mexico county revenue up 9%, audit shows

County government balances across New Mexico grew by 9% between July 2024 and June 2025 compared to the prior year, according to a new audit. The figures, drawn from nearly all of the state’s counties, showed oil- and gas-producing counties posting the strongest gains while others lagged.

Lea, Eddy and Bernalillo counties ended the year with the highest fund balances, said Rachel Mercer-Garcia, deputy director of the Legislative Finance Committee Program Evaluation. De Baca, Harding and Guadalupe had the smallest balances.

Both Lea and Eddy counties surpassed Bernalillo County in revenue this year. Lea County reported more than $800 million on hand, while Bernalillo County had more than $650 million. De Baca County had the least, with a little more than $6 million.

Six New Mexico counties have yet to report their balances to the state.

Most counties draw money to pay for services and infrastructure from state and federal sources, service fees, and taxes on activities and property. Gross receipts and property taxes are usually the largest revenue drivers.

Lincoln County saw the largest revenue growth in the most recent year, reflecting a large increase in disaster relief funds tied to the wildfire near Ruidoso.

Analysts with the Legislative Finance Committee said they were starting to see an average trend two years ago of New Mexico counties spending more than they bring in. “As we pointed out, we were seeing a trend where revenue was outpacing expenditures in recent years for many counties, so those fund balances were increasing,” Mercer-Garcia said.

The Legislative Finance Committee compiles the figures into an interactive report so legislators can review the viability of county entities. Capital outlay money is included in the revenues and expenditures for each county, allowing lawmakers to see whether counties are spending the funds awarded to them.