A. The severance tax permanent fund shall be invested in separate differential rate and market rate investment classes. “Differential rate investments” are permitted in Sections 7-27-5.3 through 7-27-5.5, 7-27-5.13 through 7-27-5.17, 7-27-5.22, 7-27-5.24 and 7-27-5.26 N.M. Stat. Ann. and are intended to stimulate the economy of New Mexico and to provide income to the severance tax permanent fund. “Market rate investments” are investments that are not differential rate investments and are intended to provide income to the severance tax permanent fund. All market rate investments and differential rate investments shall be invested in accordance with the Uniform Prudent Investor Act N.M. Stat. Ann. § 45-7-601 to 45-7-612 and shall be accounted for in accordance with generally accepted accounting principles.

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B. In addition to the investment classes described in Subsection A of this section, the severance tax permanent fund shall be invested in loans to provide emergency economic relief to local governments as provided by Section 8 [7-27-5.27 N.M. Stat. Ann.] of this 2020 act.