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New Mexico House Bill HB10

New Mexico 2025 Regular Session

New Mexico House Bill HB10 Compare Versions

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28+HOUSE BILL 10
29+57TH LEGISLATURE - STATE OF NEW MEXICO - FIRST SESSION, 2025
30+INTRODUCED BY
31+Doreen Y. Gallegos and Javier Martínez and Gail Armstrong
32+ and Marian Matthews and Art De La Cruz
2833 AN ACT
2934 RELATING TO LAW ENFORCEMENT; ESTABLISHING THE ENFORCEMENT
30-BUREAU WITHIN THE REGULATION AND LICENSING DEPARTMENT;
31-ENACTING A NEW SECTION OF THE CANNABIS REGULATION ACT
32-PROVIDING FOR ENFORCEMENT; PROVIDING PENALTIES.
35+BUREAU WITHIN THE REGULATION AND LICENSING DEPARTMENT; ENACTING
36+A NEW SECTION OF THE CANNABIS REGULATION ACT PROVIDING FOR
37+ENFORCEMENT; PROVIDING PENALTIES; MAKING AN APPROPRIATION.
3338 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
34-SECTION 1. Section 9-16-1 NMSA 1978 (being Laws 1983,
35-Chapter 297, Section 17) is amended to read:
36-"9-16-1. SHORT TITLE.--Chapter 9, Article 16 NMSA 1978
37-may be cited as the "Regulation and Licensing Department
38-Act"."
39-SECTION 2. A new section of the Regulation and
40-Licensing Department Act is enacted to read:
41-"ENFORCEMENT BUREAU--ENFORCEMENT AGENTS--PEACE
42-OFFICERS.--
39+SECTION 1. A new section of the Regulation and Licensing
40+Department Act is enacted to read:
41+"[NEW MATERIAL] ENFORCEMENT BUREAU--ENFORCEMENT AGENTS--
42+CERTIFIED LAW ENFORCEMENT OFFICERS.--
4343 A. The "enforcement bureau" is established within
44-the office of the superintendent and shall be directed by a
45-bureau chief appointed by the superintendent pursuant to
46-Section 9-16-8 NMSA 1978 and who shall report to the
47-superintendent.
48-B. The department shall employ enforcement agents
49-to enforce laws and administrative rules within the scope of
50-the Cannabis Regulation Act.
51-C. The bureau chief and enforcement agents HCEDC/HB 10
52-Page 2
44+the office of the superintendent and shall be considered a law
45+enforcement agency as defined in Paragraph (2) of Subsection P
46+of Section 9-19-14 NMSA 1978 and shall be directed by a bureau
47+chief appointed by the superintendent pursuant to Section
48+.229495.2SA underscored material = new
49+[bracketed material] = delete
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78-employed by the department within the enforcement bureau
79-shall be peace officers and shall have the powers and duties
80-afforded peace officers. The enforcement agents shall report
81-to the bureau chief. The superintendent shall be responsible
82-for final employment decisions for enforcement agents. The
83-bureau chief and enforcement agents shall meet the
84-qualifications for certification pursuant to Section 29-7-6
85-NMSA 1978.
86-D. The enforcement bureau shall investigate
87-alleged violations of law and report its findings to the
88-superintendent and the director of the cannabis control
89-division of the department."
90-SECTION 3. A new section of the Cannabis Regulation Act
91-is enacted to read:
92-"ENFORCEMENT--DIVISION AND ENFORCEMENT BUREAU--ORDERS
93-RESTRICTING MOVEMENT OF GOODS--EMBARGO AND RECALL, SEIZURE
94-AND CONDEMNATION--PROCEDURES--PENALTIES.--
95-A. The division and the enforcement bureau shall
96-enforce the provisions of the Cannabis Regulation Act and may
97-carry out announced and unannounced inspections.
98-B. The division may:
99-(1) respond to tips or allegations of
100-wrongdoing or initiate an investigation on the division's own
101-initiative of an alleged or suspected violation of the
102-Cannabis Regulation Act; provided that the division shall HCEDC/HB 10
103-Page 3
75+9-16-8 NMSA 1978 and who shall report to the superintendent.
76+B. The department shall employ enforcement agents
77+to enforce laws and administrative rules within the scope of
78+the industries and professions regulated by the department and
79+by the boards and commissions administratively attached to the
80+department. The bureau chief and enforcement agents employed
81+by the department within the enforcement bureau shall be
82+certified law enforcement officers as defined by Paragraph (1)
83+of Subsection P of Section 9-19-14 NMSA 1978. The enforcement
84+agents shall report to the bureau chief. The superintendent
85+shall be responsible for final employment decisions for
86+enforcement agents.
87+C. An enforcement agent shall have the same power
88+as other law enforcement officers, including the power to
89+maintain public order, to undertake a lawful warrantless search
90+and seizure and to arrest someone for a crime. A warrant for
91+the arrest of a person shall be issued upon a sworn complaint.
92+D. The enforcement bureau shall investigate alleged
93+violations of law and report its findings to the
94+superintendent, division directors and boards and commissions
95+as determined by the bureau chief.
96+E. The superintendent may require enforcement
97+agents to receive additional law enforcement training related
98+to cannabis and licensed professions and occupations within the
99+jurisdiction of the department."
100+.229495.2SA
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129-refer possible criminal violations to the enforcement bureau
130-and shall assist that bureau in investigations and
131-inspections;
128+SECTION 2. A new section of the Cannabis Regulation Act
129+is enacted to read:
130+"[NEW MATERIAL] ENFORCEMENT--DIVISION AND ENFORCEMENT
131+BUREAU--ORDERS RESTRICTING MOVEMENT OF GOODS--EMBARGO AND
132+RECALL, SEIZURE AND CONDEMNATION--PROCEDURES--PENALTIES.--
133+A. The division and the enforcement bureau shall
134+enforce the provisions of the Cannabis Regulation Act and may
135+carry out announced and unannounced inspections.
136+B. The division may:
137+(1) respond to tips or allegations of
138+wrongdoing or initiate an investigation on the division's own
139+initiative of an alleged or suspected violation of the Cannabis
140+Regulation Act; provided that the division shall refer possible
141+criminal violations to the enforcement bureau and shall assist
142+that bureau in investigations and inspections;
132143 (2) in the course of inspections conducted
133144 pursuant to this subsection, for the purpose of laboratory
134-testing, collect and take custody of samples of items
135-suspected to contain cannabis products when those items are
136-suspected of being adulterated, dangerously or fraudulently
137-misbranded or possessed in violation of the Cannabis
138-Regulation Act or other laws of the state; and
139-(3) issue an order restricting the movement
140-of cannabis products that are or are suspected of being
145+testing, collect and take custody of samples of items suspected
146+to contain cannabis products when those items are suspected of
147+being adulterated, dangerously or fraudulently misbranded or
148+possessed in violation of the Cannabis Regulation Act or other
149+laws of the state; and
150+(3) issue an order restricting the movement of
151+cannabis products that are or are suspected of being
141152 adulterated or dangerously or fraudulently misbranded.
142-C. The enforcement bureau may:
143-(1) embargo or take possession of a cannabis
144-product reasonably suspected of being an illegal cannabis
145-product or a cannabis product that is adulterated or so
146-misbranded as to be dangerous or fraudulent;
147-(2) take control pursuant to a warrant
148-issued by a court of competent jurisdiction of the premises
149-where a cannabis product is produced, manufactured or stored;
150-and
151-(3) petition the district court for
152-injunctive or other equitable relief.
153-D. The division shall give sufficient notice to HCEDC/HB 10
154-Page 4
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180-the licensee of the division's decision to issue an order
181+C. The enforcement bureau shall investigate cases
182+referred to that bureau as directed by the chief of the
183+enforcement bureau and may:
184+(1) embargo or take possession of a cannabis
185+product reasonably suspected of being an illegal cannabis
186+product or a cannabis product that is adulterated or so
187+misbranded as to be dangerous or fraudulent;
188+(2) take control pursuant to a warrant of the
189+premises where a cannabis product is produced, manufactured or
190+stored; and
191+(3) petition the district court for injunctive
192+or other equitable relief.
193+D. The division shall give sufficient notice to the
194+licensee of the division's decision to issue an order
181195 restricting the movement of the licensee's cannabis products.
182196 Such an order shall not be in place for longer than necessary
183197 to complete the division's or the enforcement bureau's
184-investigation; provided that an order restricting the
185-movement of misbranded cannabis products that are not
186-considered dangerous or fraudulent shall last only as long as
187-it takes the licensee to relabel and repackage the cannabis
188-products as ordered by the division.
198+investigation; provided that an order restricting the movement
199+of misbranded cannabis products that are not considered
200+dangerous or fraudulent shall last only as long as it takes the
201+licensee to relabel and repackage the cannabis products as
202+ordered by the division.
189203 E. The division may issue a recall order for
190-cannabis products embargoed or subject to an order
191-restricting movement due to adulteration or dangerous or
204+cannabis products embargoed due to adulteration or dangerous or
192205 fraudulent misbranding.
193-F. When the enforcement bureau embargoes a
194-cannabis product, the division shall affix or cause the
195-licensee to affix to the cannabis product a tag or other
196-appropriate marking giving notice that the cannabis product
197-is or is suspected of being an illegal cannabis product or is
198-adulterated or dangerously or fraudulently misbranded and
199-that the cannabis product shall not be sold, removed or
200-otherwise disposed of.
201-G. When the enforcement bureau embargoes a
202-cannabis product or seizes a cannabis product or a premises,
203-the bureau shall give written notice to the licensee of the
204-grounds for the embargo or seizure. HCEDC/HB 10
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234+F. When the division embargoes a cannabis product,
235+the division shall affix to the cannabis product a tag or other
236+appropriate marking giving notice that the cannabis product is
237+or is suspected of being an illegal cannabis product or is
238+adulterated or dangerously or fraudulently misbranded and that
239+the cannabis product shall not be sold, removed or otherwise
240+disposed of.
241+G. When the division embargoes a cannabis product
242+or the enforcement bureau seizes a cannabis product or a
243+premises, the division or bureau shall give written notice to
244+the licensee of the grounds for the embargo or seizure.
231245 H. Neither the division nor the enforcement bureau
232246 shall be required to care for embargoed or seized cannabis
233247 products.
234248 I. A licensee aggrieved by an embargo, seizure or
235249 recall undertaken pursuant to Subsection B, C or E of this
236250 section may request an administrative hearing within ten
237-calendar days from the date that the embargo, seizure or
238-recall was executed. The hearing shall be held before a
239-hearing officer as provided by rule. The final agency
240-decision may be appealed pursuant to Section 39-3-1.1 NMSA
241-1978.
242-J. When the determination is made that an
243-embargoed or seized cannabis product is illegal, adulterated
244-or dangerously or fraudulently misbranded, the division shall
251+calendar days from the date that the embargo, seizure or recall
252+was executed. The hearing shall be held before a hearing
253+officer as provided by rule. The final agency decision may be
254+appealed pursuant to Section 39-3-1.1 NMSA 1978.
255+J. When the determination is made that an embargoed
256+or seized cannabis product is illegal, adulterated or
257+dangerously or fraudulently misbranded, the division shall
245258 petition the district court for condemnation of the cannabis
246-product.
247-K. If the district court orders condemnation, the
248-department shall destroy the cannabis product at the
249-licensee's expense. If the district court does not order
250-condemnation, the enforcement bureau shall have the
251-restrictive tags or markings removed and the affected
252-products released or returned to the licensee or other owner
253-of the products.
254-L. The New Mexico department of agriculture, the
255-department of environment and other state agencies with HCEDC/HB 10
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287+product.
288+K. If the district court orders condemnation, the
289+department shall destroy the cannabis product at the licensee's
290+expense.
291+L. The New Mexico department of agriculture, the
292+department of environment and other state agencies with
282293 relevant knowledge and expertise shall cooperate with the
283294 division and the enforcement bureau at the regulation and
284295 licensing department's request.
285296 M. A person who intentionally, knowingly or
286297 recklessly:
287-(1) removes, conceals, destroys or disposes
288-of a cannabis product subject to an order restricting the
289-movement or embargo is guilty of a fourth degree felony and
290-shall be sentenced as provided in Section 31-18-15 NMSA 1978;
291-and
298+(1) removes, conceals, destroys or disposes of
299+a cannabis product subject to an order restricting the movement
300+or embargo is guilty of a fourth degree felony and shall be
301+sentenced as provided in Section 31-18-15 NMSA 1978; and
292302 (2) sells, delivers or transfers a cannabis
293303 product subject to recall to another person is guilty of a
294304 fourth degree felony and shall be sentenced as provided in
295305 Section 31-18-15 NMSA 1978.
296306 N. In addition to the actions provided in this
297307 section, after an administrative hearing pursuant to the
298308 Uniform Licensing Act, the division may take disciplinary
299309 action against a licensee, including:
300310 (1) suspension or revocation of the license;
301311 (2) imposition of an administrative penalty
302-not to exceed ten thousand dollars ($10,000) per violation;
303-or
304-(3) any other disciplinary action allowed
305-under that act or rule of the division.
306-O. As used in this section: HCEDC/ HB 10
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340+not to exceed ten thousand dollars ($10,000) per violation; or
341+(3) any other disciplinary action allowed
342+under that act or rule of the division.
343+O. As used in this section:
333344 (1) "embargo" means to place in a secure
334-location, accessible only by the licensee, the division and
335-the enforcement bureau, that has continuous video monitoring;
336-and
337-(2) "enforcement bureau" means the
338-enforcement bureau of the department."
345+location, accessible only by the licensee, the division and the
346+enforcement bureau, that has continuous video monitoring; and
347+(2) "enforcement bureau" means the enforcement
348+bureau of the department."
349+SECTION 3. APPROPRIATION.--One million five hundred
350+thousand dollars ($1,500,000) is appropriated from the general
351+fund to the regulation and licensing department for expenditure
352+in fiscal year 2026 to enforce the provisions of the Cannabis
353+Regulation Act, including expenditures necessary to complete
354+the duties associated with embargo, seizure, storage, testing
355+and destruction of cannabis products as provided in that act
356+and the purchase or rental of necessary equipment and
357+facilities and payment of necessary contractual agreements for
358+enforcement purposes. Any unexpended or unencumbered balance
359+remaining at the end of fiscal year 2026 shall revert to the
360+general fund.
339361 SECTION 4. EFFECTIVE DATE.--The effective date of the
340362 provisions of this act is July 1, 2025.
363+- 7 -
364+.229495.2SA