The 2025 New Mexico legislative session was a resounding success for the New Mexico Restaurant Association (NMRA), with several landmark victories that will have a lasting impact on the state’s restaurant industry. From defeating burdensome family leave legislation to protecting wages and employment, the NMRA’s advocacy efforts have ensured a more favorable legislative environment for restaurants across the state.
Landmark Victory: Defeating Burdensome Family Leave Legislation
The NMRA’s most notable achievement was the defeat of HB11, which proposed a costly Paid Family Medical Leave program. This bill would have imposed substantial financial burdens on restaurants, small businesses, and working New Mexicans. The NMRA led a powerful coalition against this legislation, resulting in a decisive 8-3 vote against it in the Senate Tax Committee. This victory demonstrates the NMRA’s commitment to protecting the economic viability of restaurants across the state. For an average restaurant with an annual payroll of $520,000. PFML would have cost the employer $20,800 and for the employees it would have cost $26,000. Add that to the regulatory burdens of a program administered by the Workforce Solutions Department giving people 12 weeks off for their own sickness or someone close to them. This was disastrous legislation. This is your membership dollars, and the NMRA staff at work on your behalf.
Key Victories in Liquor Tax Legislation
Another significant accomplishment was the NMRA’s successful efforts regarding liquor tax legislation. The association effectively blocked HB417, which would have imposed a severe 6% retail tax on liquor sales. Thanks to the NMRA’s advocacy, this bill stalled on the House Floor and was referred back to the House Tax and Revenue Committee, where it has not resurfaced. HB417 would have cost each liquor licensee $12,000.
While SB378, which aimed to increase liquor excise tax rates, was not passed, HB14 included the liquor excise tax increases in SB378. NMRA’s lobbying efforts ensured that the increases incorporated were moderate with rates at Spirits: Increased from $1.60 to $1.92 per liter, Wine: Increased from $0.45 to $0.54 per liter, Beer: Increased from $0.41 to $0.49 per gallon. However theses increases were ultimately vetoed by the Governor as part of the budget.
Protecting Wages and Employment
The NMRA successfully defended against attempts to significantly raise the minimum wage. The failure of HB246, which sought to increase the minimum wage to $17 and eliminate the tipped wage, was a crucial victory. Additionally, the association did not oppose HB522, which aimed to tie minimum wage increases to the Consumer Price Index (CPI). Both bills died in committees, protecting the financial stability of restaurant operators. The $17 Minimum Wage and removing the server wage would cost a small restaurant an additional $364,000 annually in payroll excluding the payroll taxes.
Advocacy for Crime Legislation
In response to rising crime rates affecting the restaurant industry, the NMRA continued to push for stronger crime legislation. NMRA’s advocacy remains focused on ensuring a safer environment for both customers and employees.
The NMRA’s accomplishments during the 2025 legislative session underscore the power of effective advocacy in protecting and promoting the interests of New Mexico’s restaurant industry. The association’s efforts, combined with the support of its dedicated members and staff, have made a significant impact in creating a more favorable legislative environment for restaurants across the state. As the session concludes, the NMRA looks forward to building on these successes in future legislative efforts.
Please use this campaign to thank all of the legislators that helped us defeat HB 11 PFML: Thank the Legislators Who Defeated HB 11