Need a It Contract in New Mexico? AroundWire Can Help

In New Mexico, IT service contracts—covering software, hardware, support, and consulting—are commonly governed by both state procurement codes (notably the New Mexico Procurement Code, NMSA 1978, §13-1-28 et seq.) and agency-specific guidelines. Contracts typically require vendors to be registered with the New Mexico Taxation and Revenue Department and to possess a valid CRS identification number for tax purposes. For certain IT services, professional certifications (e.g., Microsoft, Cisco, CompTIA) may be required, especially when handling sensitive data or network infrastructure. Data security and confidentiality clauses are stringent, often referencing compliance with both state and federal statutes such as HIPAA, FERPA, or IRS Pub. 1075, depending on the agency. Insurance requirements usually include general liability, professional liability (E&O), and sometimes cyber liability insurance, with the state named as additional insured. Payment terms are generally net 30 days after invoice approval, but may be subject to legislative appropriations or agency budget cycles. Indemnification clauses tend to be narrowly tailored due to constitutional limits on state indemnity (anti-indemnification statutes). Dispute resolution is typically governed by New Mexico law, with venue in state courts; arbitration is rare unless specifically negotiated. Contractors should be aware of potential audit rights retained by the state and strict requirements for records retention, as well as possible preferences for New Mexico-based or small/disadvantaged businesses under state procurement rules.