SANTA FE, N.M. (AP) — New Mexico has depleted its unemployment benefits trust fund and begun to use federal loans to keep up with claims. Workforce Solutions Secretary Bill McCamley told a panel of state legislators on Tuesday that unemployment trust reserves were exhausted on Sept. 8 and that the state has spent about $35 million in borrowed federal funds on claims. The federal loans if left unpaid can eventually trigger tax increases. New Mexico’s unemployment rate of 11.4% in August exceeds neighboring states as health officials take gradual steps toward reopening the economy and schools. About 123,000 people statewide are receiving unemployment benefits.
New Mexico taps federal loans to pay unemployment
