SANTA FE, N.M. (AP) - Public education is expected to get a financial boost in the coming year from New Mexico's two major sovereign wealth funds, based on investment returns and income from the oil sector this year.
The State Investment Council estimates that New Mexico's Land Grant Permanent Fund and Severance Tax Permanent Fund are likely to pay out $963 million for the coming fiscal year, a $64 million increase from the fiscal year that started in July.
The value of the two funds climbed to a combined $21.8 billion at the end of September.
The majority of annual distributions go directly toward public schools. About $200 million flows to the state's general fund, which also underwrites public education.
New Mexico struggled this year to sustain funding for public education amid faltering tax revenues.
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