About this programme
The Local Economic Development Act (LEDA) lets Economic Development New Mexico (EDNM) award grants to local governments that are helping qualified businesses locate or expand in their communities. Funding runs on a strictly reimbursement basis, and EDNM operates under statutory authority (NMSA 1978, Sections 5-10-1 to 5-10-13). Funding decisions are made by the EDNM secretary and the governor, based on staff recommendations.
LEDA targets projects that show significant community impact, benefit rural or underserved areas, raise wages, create jobs, bring substantial capital investment, or support environmental sustainability. Grant funds pay for the purchase, lease, grant, construction, reconstruction, improvement, or other acquisition of land, buildings, infrastructure, and public works improvements essential to a business locating or expanding.
How it works
A local municipality or county acts as fiscal agent for the grant: it submits fund requests, tracks disbursements, and collects job reports from the qualifying business.
The process runs through several stages: EDNM reviews program eligibility; an approved qualified entity gets portal access; the applicant submits a completed application with documentation; EDNM conducts due diligence and financial analysis; the department drafts a Project Terms Sheet with security provisions; the local government passes a project ordinance; and the parties execute agreements (a project participation agreement, an intergovernmental agreement, and security documents).
Projects have historically been announced within 3 months of entering the pipeline, though the full process can extend 18 to 24 months depending on company decisions and public meeting requirements.
Who can apply
Qualifying entities must be corporations, LLCs, partnerships, or similar businesses engaged in manufacturing, processing, or assembling agricultural or manufactured products; storing, warehousing, distributing, or selling agricultural, mining, or manufactured products; or operating as an Economic Base Employer.
Retail sales businesses, public utilities, and general service providers do not qualify.
How to apply
- Confirm eligibility with EDNM.
- Receive portal access once approved as a qualified entity.
- Submit the completed application along with the required documentation.
- Go through EDNM's due diligence and financial analysis.
- Work with EDNM on a Project Terms Sheet covering security provisions.
- Have the local government pass a project ordinance.
- Execute the final agreements (project participation agreement, intergovernmental agreement, and security documents) with your local government as fiscal agent.
Documents you’ll typically need
- Release/Authorization Form certifying current obligations status
- Project scope of work
- 3 years of financial statements or pro forma
- Supporting documentation (purchase agreements, loan approvals, term sheets)
- Funding sources and uses breakdown
- Job creation and salary/benefit data
- Project capital investment details
- Completed economic impact data sheet
Frequently asked
Who actually receives the LEDA grant?
The local municipality or county, acting as fiscal agent for the qualified business, not the business itself.
How is the funding paid out?
On a strictly reimbursement basis, against costs already incurred for land, buildings, infrastructure, or public works tied to the project.
How long does the process take?
Projects have been announced within 3 months of entering the pipeline, but the full process can take 18 to 24 months depending on the company's decisions and required public meetings.
What kinds of businesses don't qualify?
Retail sales businesses, public utilities, and general service providers are excluded.
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Reviewed 2026-09-25. Programmes change, so check eligibility, amounts and deadlines on the official page before you apply. CapEasy is a private firm and is not part of any government body.