New fees may be levied if the fund's balance is under what amount?

The correct answer reflects the regulatory framework related to the real estate recovery fund in New Mexico. According to New Mexico's Real Estate License Law, when the balance of the recovery fund falls below a specific threshold, in this case, $150,000, it triggers the need for new fees to be implemented. This is designed to ensure that the fund remains solvent and can continue to provide protection to consumers who may suffer losses due to the actions of real estate licensees.

Maintaining a certain balance in the recovery fund is crucial for consumer protection, as it allows for compensation claims resulting from improper real estate practices. When the fund's balance is below the threshold, it can compromise the fund’s ability to meet its obligations, hence the decision to levy new fees to replenish it. The specified amount of $150,000 serves as a regulatory benchmark to prevent the fund from dropping to a critically low level, establishing a proactive measure for consumer protection within the real estate market.