New Mexico's Research, Development and Deployment Fund

New Mexico's Research, Development and Deployment Fund is administered by the Technology and Innovation Office of the New Mexico Economic Development Department. The Fund is intended to catalyze innovation, economic growth, and job creation by providing capital and financial support to emerging technologies, start-up businesses, and research initiatives aligned with the state's economic development goals. The Capital Leverage Solicitation is a rolling grant opportunity that uses RD&D Fund grants to match or otherwise leverage qualifying outside funding into New Mexico projects. Qualifying outside capital may be federal or other non-State public funding, philanthropic funding, or private capital. The solicitation is designed to advance commercialization of new technologies and the growth of New Mexico's private sector. Eligible projects may fall anywhere along the research, development, and deployment continuum, but the solicitation emphasizes projects that commercialize technology rather than projects that are principally basic or applied research. Projects may involve genuinely new pilot, demonstration, or deployment activity and must create new innovative and productive capacity in New Mexico rather than merely purchase or internally evaluate commercially proven technology. Target areas include quantum systems and applications, advanced energy technologies, space, aerospace, and defense systems, biosciences innovation, agricultural, water, and ecosystem technologies, and other statutory sectors that TIO determines are strategic for statewide economic development. Each project must reasonably be expected to satisfy at least two of six statutory outcomes involving innovation, collaboration, leveraged investment, new economic opportunities, jobs and workforce training, or commercialization. Applicants may be New Mexico public entities, including political subdivisions, state agencies, national laboratories, and public post-secondary institutions in New Mexico, or businesses registered to do business in New Mexico. A business that is not yet registered may apply if it commits to register before any RD&D Fund money is disbursed. TIO encourages industry-led applications because of the Fund's commercialization and economic-growth objectives, but laboratory- and university-led applications are eligible and are evaluated on the same criteria. Applicants must demonstrate that RD&D Fund support will catalyze additive activity in New Mexico that would not, or would not likely, occur in the state without the award. Traditional federal SBIR/STTR Phase I and Phase II awards are excluded because New Mexico operates a separate matching program for those awards, although certain other SBIR/STTR awards may qualify if all requirements are met. Every RD&D Fund grant under the solicitation must be at least $1,000,000, and every eligible project must include at least $1,000,000 in qualifying non-State funding, resulting in a minimum total project cost of $2,000,000. There is no stated overall award ceiling. Requests up to and including $10,000,000 follow Pathway 1, while requests above $10,000,000 follow Pathway 2 and require supplemental application information and an extended review. The solicitation does not impose a fixed State matching formula. Where an outside funder has match or cost-share requirements, TIO mirrors those requirements; otherwise, applicants must explain how State support materially improves the project's likelihood, scale, or speed. Awards may cover multiyear project periods aligned with the outside funding timeline. A reasonable portion may support administrative costs necessary to implement the project. Pre-award project spending may occur when needed to meet an outside deadline, but such spending must use non-State or other institutional funds. Pathway 2 agreements use milestone-based tranche disbursements and include repayment provisions and requirements to maintain funded activity and a New Mexico presence for a period specified in the grant agreement. Applications proceed through two required stages using TIO's online application process. First, every applicant submits a letter of intent through TIO's public Submittable portal. The LOI consists of structured business and project fields, a narrative of no more than 1,000 words, and a project budget of no more than one page. TIO targets a response within 21 calendar days and will encourage or discourage a full application, with the response remaining advisory rather than binding. Applicants proceeding to the second stage submit a full application using a link provided by TIO. The full application includes an executive summary of no more than 500 words, a project narrative of no more than 2,500 words, a one-page technical summary, a milestone schedule for 12, 24, and 36 months after award, key personnel information and biographies, an itemized budget, evidence of outside funding, required disclosures and certifications, and supporting attachments. Requests above $10,000,000 must also provide the Pathway 2 supplement covering site and facility plans, relevant evidence of customer demand, and proposed milestone-based disbursement points. Expedited review may be requested when documented exigent circumstances make the standard review period infeasible. Complete applications that pass eligibility and program-fit screening are scored on six criteria totaling 100 points: sector fit and technology advancement, 20 points; job creation and economic impact, 20 points; time to impact, 10 points; strength of match and leverage, 15 points; commercialization and durable New Mexico private-sector capacity, 15 points; and team and execution capability, 20 points. TIO may also consider portfolio balance, rural and tribal benefit, geographic distribution, additionality, available funding, and the applicant's performance on prior State awards or incentives. Independent reviewers may include scientific and technical subject matter experts, and TIO may conduct interviews, request additional financial or economic information, perform site visits, or conduct other due diligence. TIO may negotiate an award below the requested amount based on project needs, outside-funder requirements, additionality, demand on the Fund, or other considerations. Letters of intent and full applications are accepted on a rolling basis for as long as funding remains available and subject to TIO's discretion, so the solicitation does not provide a fixed closing date. TIO targets a 21-calendar-day LOI response. For Pathway 1, TIO aims to decide complete applications within approximately 60 calendar days, while Pathway 2 has an approximately 90-day target that may be extended based on project size, complexity, or other factors. Full-application decision timelines begin no earlier than October 1, 2026. If outside funding is still pending when an application is approved, TIO may issue a conditional commitment letter reserving the RD&D Fund amount until the outside funding closes and other conditions are satisfied. If qualifying outside funding is already committed and documented, TIO may proceed directly to grant agreement negotiation. The solicitation does not identify a named program contact, email address, or telephone number.

Present a commercialization-focused project rather than principally basic or applied research; show that the technology is genuinely new at the proposed scale or application; demonstrate substantial and well-supported New Mexico jobs, investment, and commercialization impact; provide concrete and credible 12-, 24-, and 36-month milestones; maximize the quality, commitment status, and leverage ratio of outside capital; explain specifically how RD&D support changes the project's likelihood, scale, or speed; demonstrate durable New Mexico private-sector capacity and a credible path to market; document team execution capability; justify the requested award relative to total project cost; avoid submitting the same or materially similar proposal to both this solicitation and the Targeted Federal Match Solicitation