333 | | - | and an estimate of the volume of water to be used. The wells |
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334 | | - | shall not be drilled or recompleted prior to thirty days after |
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335 | | - | the last publication of the notice and until the state |
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336 | | - | engineer has determined that the use of water stated in the |
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337 | | - | notice will not impair existing water rights, be contrary to |
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338 | | - | the conservation of water within the state or be detrimental |
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339 | | - | to the public welfare of the state." |
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| 339 | + | SECTION 6. Section 7-1-2 NMSA 1978 (being Laws 1965, |
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| 340 | + | Chapter 248, Section 2, as amended) is amended to read: |
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| 341 | + | "7-1-2. APPLICABILITY.--The Tax Administration Act |
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| 342 | + | applies to and governs: |
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| 343 | + | A. the administration and enforcement of the |
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| 344 | + | following taxes or tax acts as they now exist or may hereafter |
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| 345 | + | be amended: |
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| 346 | + | (1) Income Tax Act; |
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| 347 | + | (2) Withholding Tax Act; |
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| 348 | + | (3) Oil and Gas Proceeds and Pass-Through |
---|
| 349 | + | Entity Withholding Tax Act; |
---|
| 350 | + | (4) Gross Receipts and Compensating Tax Act, |
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| 351 | + | Interstate Telecommunications Gross Receipts Tax Act and Leased |
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| 352 | + | Vehicle Gross Receipts Tax Act; |
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| 353 | + | (5) Liquor Excise Tax Act; |
---|
| 354 | + | (6) Local Liquor Excise Tax Act; |
---|
| 355 | + | (7) any municipal local option gross receipts |
---|
| 356 | + | tax or municipal compensating tax; |
---|
| 357 | + | (8) any county local option gross receipts tax |
---|
| 358 | + | or county compensating tax; |
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| 359 | + | (9) Special Fuels Supplier Tax Act; |
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| 360 | + | (10) Gasoline Tax Act; |
---|
| 361 | + | (11) petroleum products loading fee, which fee |
---|
| 362 | + | shall be considered a tax for the purpose of the Tax |
---|
| 363 | + | Administration Act; |
---|
| 364 | + | .229178.3GLG |
---|
| 365 | + | - 7 - underscored material = new |
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| 366 | + | [bracketed material] = delete |
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| 367 | + | 1 |
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| 368 | + | 2 |
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| 370 | + | 4 |
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| 385 | + | 19 |
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| 386 | + | 20 |
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| 387 | + | 21 |
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| 388 | + | 22 |
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| 389 | + | 23 |
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| 390 | + | 24 |
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| 391 | + | 25 |
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| 392 | + | (12) Alternative Fuel Tax Act; |
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| 393 | + | (13) Cigarette Tax Act; |
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| 394 | + | (14) Estate Tax Act; |
---|
| 395 | + | (15) Railroad Car Company Tax Act; |
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| 396 | + | (16) Investment Credit Act, rural job tax |
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| 397 | + | credit, Laboratory Partnership with Small Business Tax Credit |
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| 398 | + | Act, Technology Jobs and Research and Development Tax Credit |
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| 399 | + | Act, Film Production Tax Credit Act, Affordable Housing Tax |
---|
| 400 | + | Credit Act and high-wage jobs tax credit; |
---|
| 401 | + | (17) Corporate Income and Franchise Tax Act; |
---|
| 402 | + | (18) Uniform Division of Income for Tax |
---|
| 403 | + | Purposes Act; |
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| 404 | + | (19) Multistate Tax Compact; |
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| 405 | + | (20) Tobacco Products Tax Act; |
---|
| 406 | + | (21) the telecommunications relay service |
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| 407 | + | surcharge imposed by Section 63-9F-11 NMSA 1978, which |
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| 408 | + | surcharge shall be considered a tax for the purposes of the Tax |
---|
| 409 | + | Administration Act; |
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| 410 | + | (22) the Insurance Premium Tax Act; |
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| 411 | + | (23) the Health Care Quality Surcharge Act; |
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| 412 | + | (24) the Cannabis Tax Act; and |
---|
| 413 | + | (25) the Health Care Delivery and Access Act; |
---|
| 414 | + | B. the administration and enforcement of the |
---|
| 415 | + | following taxes, surtaxes, advanced payments or tax acts as |
---|
| 416 | + | they now exist or may hereafter be amended: |
---|
| 417 | + | .229178.3GLG |
---|
| 418 | + | - 8 - underscored material = new |
---|
| 419 | + | [bracketed material] = delete |
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| 420 | + | 1 |
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| 421 | + | 2 |
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| 439 | + | 20 |
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| 441 | + | 22 |
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| 442 | + | 23 |
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| 443 | + | 24 |
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| 444 | + | 25 |
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| 445 | + | (1) Resources Excise Tax Act; |
---|
| 446 | + | (2) Severance Tax Act; |
---|
| 447 | + | (3) any severance surtax; |
---|
| 448 | + | (4) Oil and Gas Severance Tax Act; |
---|
| 449 | + | (5) Oil and Gas Conservation Tax Act; |
---|
| 450 | + | (6) Oil and Gas Emergency School Tax Act; |
---|
| 451 | + | (7) Oil and Gas Ad Valorem Production Tax Act; |
---|
| 452 | + | (8) Natural Gas Processors Tax Act; |
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| 453 | + | (9) Oil and Gas Production Equipment Ad |
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| 454 | + | Valorem Tax Act; |
---|
| 455 | + | (10) Copper Production Ad Valorem Tax Act; |
---|
| 456 | + | (11) any advance payment required to be made |
---|
| 457 | + | by any act specified in this subsection, which advance payment |
---|
| 458 | + | shall be considered a tax for the purposes of the Tax |
---|
| 459 | + | Administration Act; |
---|
| 460 | + | (12) Enhanced Oil Recovery Act; |
---|
| 461 | + | (13) Natural Gas and Crude Oil Production |
---|
| 462 | + | Incentive Act; and |
---|
| 463 | + | (14) intergovernmental production tax credit |
---|
| 464 | + | and intergovernmental production equipment tax credit; |
---|
| 465 | + | C. the administration and enforcement of the |
---|
| 466 | + | following taxes, surcharges, fees or acts as they now exist or |
---|
| 467 | + | may hereafter be amended: |
---|
| 468 | + | (1) Weight Distance Tax Act; |
---|
| 469 | + | (2) the workers' compensation fee authorized |
---|
| 470 | + | .229178.3GLG |
---|
| 471 | + | - 9 - underscored material = new |
---|
| 472 | + | [bracketed material] = delete |
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| 473 | + | 1 |
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| 474 | + | 2 |
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| 475 | + | 3 |
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| 494 | + | 22 |
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| 495 | + | 23 |
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| 496 | + | 24 |
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| 497 | + | 25 |
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| 498 | + | by Section 52-5-19 NMSA 1978, which fee shall be considered a |
---|
| 499 | + | tax for purposes of the Tax Administration Act; |
---|
| 500 | + | (3) Uniform Unclaimed Property Act (1995); |
---|
| 501 | + | (4) 911 emergency surcharge and the network |
---|
| 502 | + | and database surcharge, which surcharges shall be considered |
---|
| 503 | + | taxes for purposes of the Tax Administration Act; |
---|
| 504 | + | (5) the solid waste assessment fee authorized |
---|
| 505 | + | by the Solid Waste Act, which fee shall be considered a tax for |
---|
| 506 | + | purposes of the Tax Administration Act; |
---|
| 507 | + | (6) the water conservation fee imposed by |
---|
| 508 | + | Section 74-1-13 NMSA 1978, which fee shall be considered a tax |
---|
| 509 | + | for the purposes of the Tax Administration Act; [and ] |
---|
| 510 | + | (7) the gaming tax imposed pursuant to the |
---|
| 511 | + | Gaming Control Act; and |
---|
| 512 | + | (8) the produced water fee imposed pursuant to |
---|
| 513 | + | Section 70-13-6 NMSA 1978, which fee shall be considered a tax |
---|
| 514 | + | for the purposes of the Tax Administration Act; and |
---|
| 515 | + | D. the administration and enforcement of all other |
---|
| 516 | + | laws, with respect to which the department is charged with |
---|
| 517 | + | responsibilities pursuant to the Tax Administration Act, but |
---|
| 518 | + | only to the extent that the other laws do not conflict with the |
---|
| 519 | + | Tax Administration Act." |
---|
| 520 | + | SECTION 7. Section 7-1-8.8 NMSA 1978 (being Laws 2019, |
---|
| 521 | + | Chapter 87, Section 2, as amended) is amended to read: |
---|
| 522 | + | "7-1-8.8. INFORMATION THAT MAY BE REVEALED TO OTHER STATE |
---|
| 523 | + | .229178.3GLG |
---|
| 524 | + | - 10 - underscored material = new |
---|
| 525 | + | [bracketed material] = delete |
---|
| 526 | + | 1 |
---|
| 527 | + | 2 |
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| 528 | + | 3 |
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| 529 | + | 4 |
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| 530 | + | 5 |
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| 533 | + | 8 |
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| 538 | + | 13 |
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| 539 | + | 14 |
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| 540 | + | 15 |
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| 542 | + | 17 |
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| 543 | + | 18 |
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| 544 | + | 19 |
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| 545 | + | 20 |
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| 547 | + | 22 |
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| 548 | + | 23 |
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| 549 | + | 24 |
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| 550 | + | 25 |
---|
| 551 | + | AND LEGISLATIVE AGENCIES.--An employee of the department may |
---|
| 552 | + | reveal confidential return information to the following |
---|
| 553 | + | agencies; provided that a person who receives the information |
---|
| 554 | + | on behalf of the agency shall be subject to the penalties in |
---|
| 555 | + | Section 7-1-76 NMSA 1978 if the person fails to maintain the |
---|
| 556 | + | confidentiality required: |
---|
| 557 | + | A. a committee of the legislature for a valid |
---|
| 558 | + | legislative purpose, return information concerning any tax or |
---|
| 559 | + | fee imposed pursuant to the Cigarette Tax Act; |
---|
| 560 | + | B. the attorney general, return information |
---|
| 561 | + | acquired pursuant to the Cigarette Tax Act for purposes of |
---|
| 562 | + | Section 6-4-13 NMSA 1978 and the master settlement agreement |
---|
| 563 | + | defined in Section 6-4-12 NMSA 1978; |
---|
| 564 | + | C. the commissioner of public lands, return |
---|
| 565 | + | information for use in auditing that pertains to rentals, |
---|
| 566 | + | royalties, fees and other payments due the state under land |
---|
| 567 | + | sale, land lease or other land use contracts; |
---|
| 568 | + | D. the secretary of health care authority or the |
---|
| 569 | + | secretary's delegate under a written agreement with the |
---|
| 570 | + | department: |
---|
| 571 | + | (1) the last known address with date of all |
---|
| 572 | + | names certified to the department as being absent parents of |
---|
| 573 | + | children receiving public financial assistance, but only for |
---|
| 574 | + | the purpose of enforcing the support liability of the absent |
---|
| 575 | + | parents by the child support enforcement division or any |
---|
| 576 | + | .229178.3GLG |
---|
| 577 | + | - 11 - underscored material = new |
---|
| 578 | + | [bracketed material] = delete |
---|
| 579 | + | 1 |
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| 580 | + | 2 |
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| 581 | + | 3 |
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| 582 | + | 4 |
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| 601 | + | 23 |
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| 602 | + | 24 |
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| 603 | + | 25 |
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| 604 | + | successor organizational unit; |
---|
| 605 | + | (2) return information needed for reports |
---|
| 606 | + | required to be made to the federal government concerning the |
---|
| 607 | + | use of federal funds for low-income working families; |
---|
| 608 | + | (3) return information of low-income taxpayers |
---|
| 609 | + | for the limited purpose of outreach to those taxpayers; |
---|
| 610 | + | provided that the health care authority [department ] shall pay |
---|
| 611 | + | the department for expenses incurred by the department to |
---|
| 612 | + | derive the information requested by the health care authority |
---|
| 613 | + | [department] if the information requested is not readily |
---|
| 614 | + | available in reports for which the department's information |
---|
| 615 | + | systems are programmed; |
---|
| 616 | + | (4) return information required to administer |
---|
| 617 | + | the Health Care Quality Surcharge Act and the Health Care |
---|
| 618 | + | Delivery and Access Act; and |
---|
| 619 | + | (5) return information in accordance with the |
---|
| 620 | + | provisions of the Easy Enrollment Act; |
---|
| 621 | + | E. the department of information technology, by |
---|
| 622 | + | electronic media, a database updated quarterly that contains |
---|
| 623 | + | the names, addresses, county of address and taxpayer |
---|
| 624 | + | identification numbers of New Mexico personal income tax |
---|
| 625 | + | filers, but only for the purpose of producing the random jury |
---|
| 626 | + | list for the selection of petit or grand jurors for the state |
---|
| 627 | + | courts pursuant to Section 38-5-3 NMSA 1978; |
---|
| 628 | + | F. the state courts, the random jury lists produced |
---|
| 629 | + | .229178.3GLG |
---|
| 630 | + | - 12 - underscored material = new |
---|
| 631 | + | [bracketed material] = delete |
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| 632 | + | 1 |
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| 633 | + | 2 |
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| 654 | + | 23 |
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| 655 | + | 24 |
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| 656 | + | 25 |
---|
| 657 | + | by the department of information technology under Subsection E |
---|
| 658 | + | of this section; |
---|
| 659 | + | G. the director of the New Mexico department of |
---|
| 660 | + | agriculture or the director's authorized representative, upon |
---|
| 661 | + | request of the director or representative, the names and |
---|
| 662 | + | addresses of all gasoline or special fuel distributors, |
---|
| 663 | + | wholesalers and retailers; |
---|
| 664 | + | H. the public regulation commission, return |
---|
| 665 | + | information with respect to the Corporate Income and Franchise |
---|
| 666 | + | Tax Act required to enable the commission to carry out its |
---|
| 667 | + | duties; |
---|
| 668 | + | I. the state racing commission, return information |
---|
| 669 | + | with respect to the state, municipal and county gross receipts |
---|
| 670 | + | taxes paid by racetracks; |
---|
| 671 | + | J. the gaming control board, tax returns of license |
---|
| 672 | + | applicants and their affiliates as provided in Subsection E of |
---|
| 673 | + | Section 60-2E-14 NMSA 1978; |
---|
| 674 | + | K. the director of the workers' compensation |
---|
| 675 | + | administration or to the director's representatives authorized |
---|
| 676 | + | for this purpose, return information to facilitate the |
---|
| 677 | + | identification of taxpayers that are delinquent or noncompliant |
---|
| 678 | + | in payment of fees required by Section 52-1-9.1 or 52-5-19 NMSA |
---|
| 679 | + | 1978; |
---|
| 680 | + | L. the secretary of workforce solutions or the |
---|
| 681 | + | secretary's delegate, return information for use in enforcement |
---|
| 682 | + | .229178.3GLG |
---|
| 683 | + | - 13 - underscored material = new |
---|
| 684 | + | [bracketed material] = delete |
---|
| 685 | + | 1 |
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| 706 | + | 22 |
---|
| 707 | + | 23 |
---|
| 708 | + | 24 |
---|
| 709 | + | 25 |
---|
| 710 | + | of unemployment insurance collections pursuant to the terms of |
---|
| 711 | + | a written reciprocal agreement entered into by the department |
---|
| 712 | + | with the secretary of workforce solutions for exchange of |
---|
| 713 | + | information; |
---|
| 714 | + | M. the New Mexico finance authority, information |
---|
| 715 | + | with respect to the amount of municipal and county gross |
---|
| 716 | + | receipts taxes collected by municipalities and counties |
---|
| 717 | + | pursuant to any local option municipal or county gross receipts |
---|
| 718 | + | taxes imposed, and information with respect to the amount of |
---|
| 719 | + | governmental gross receipts taxes paid by every agency, |
---|
| 720 | + | institution, instrumentality or political subdivision of the |
---|
| 721 | + | state pursuant to Section 7-9-4.3 NMSA 1978; |
---|
| 722 | + | N. the superintendent of insurance, return |
---|
| 723 | + | information with respect to the premium tax and the health |
---|
| 724 | + | insurance premium surtax; |
---|
| 725 | + | O. the secretary of finance and administration or |
---|
| 726 | + | the secretary's designee, return information concerning a |
---|
| 727 | + | credit pursuant to the Film Production Tax Credit Act; |
---|
| 728 | + | P. the secretary of economic development or the |
---|
| 729 | + | secretary's designee, return information concerning a credit |
---|
| 730 | + | pursuant to the Film Production Tax Credit Act; |
---|
| 731 | + | Q. the secretary of public safety or the |
---|
| 732 | + | secretary's designee, return information concerning the Weight |
---|
| 733 | + | Distance Tax Act; |
---|
| 734 | + | R. the secretary of transportation or the |
---|
| 735 | + | .229178.3GLG |
---|
| 736 | + | - 14 - underscored material = new |
---|
| 737 | + | [bracketed material] = delete |
---|
| 738 | + | 1 |
---|
| 739 | + | 2 |
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| 740 | + | 3 |
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| 759 | + | 22 |
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| 760 | + | 23 |
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| 761 | + | 24 |
---|
| 762 | + | 25 |
---|
| 763 | + | secretary's designee, return information concerning the Weight |
---|
| 764 | + | Distance Tax Act; |
---|
| 765 | + | S. the secretary of energy, minerals and natural |
---|
| 766 | + | resources or the secretary's designee, return information |
---|
| 767 | + | concerning tax credits or deductions for which eligibility is |
---|
| 768 | + | certified or otherwise determined by the secretary or the |
---|
| 769 | + | secretary's designee and return information concerning the |
---|
| 770 | + | produced water fee and to facilitate the identification of |
---|
| 771 | + | taxpayers that are delinquent or noncompliant in payment of the |
---|
| 772 | + | produced water fee pursuant to Section 70-13-6 NMSA 1978 ; |
---|
| 773 | + | T. the secretary of environment or the secretary's |
---|
| 774 | + | designee, return information concerning tax credits for which |
---|
| 775 | + | eligibility is certified or otherwise determined by the |
---|
| 776 | + | secretary or the secretary's designee; and |
---|
| 777 | + | U. the secretary of state or the secretary's |
---|
| 778 | + | designee, taxpayer information required to maintain voter |
---|
| 779 | + | registration records and as otherwise provided in the Election |
---|
| 780 | + | Code." |
---|
| 781 | + | SECTION 8. Section 70-2-12 NMSA 1978 (being Laws 1978, |
---|
| 782 | + | Chapter 71, Section 1, as amended) is amended to read: |
---|
| 783 | + | "70-2-12. ENUMERATION OF POWERS.-- |
---|
| 784 | + | A. The oil conservation division of the energy, |
---|
| 785 | + | minerals and natural resources department may: |
---|
| 786 | + | (1) collect data; |
---|
| 787 | + | (2) make investigations and inspections; |
---|
| 788 | + | .229178.3GLG |
---|
| 789 | + | - 15 - underscored material = new |
---|
| 790 | + | [bracketed material] = delete |
---|
| 791 | + | 1 |
---|
| 792 | + | 2 |
---|
| 793 | + | 3 |
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| 794 | + | 4 |
---|
| 795 | + | 5 |
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---|
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---|
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---|
| 800 | + | 10 |
---|
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---|
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---|
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---|
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| 813 | + | 23 |
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| 814 | + | 24 |
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| 815 | + | 25 |
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| 816 | + | (3) examine properties, leases, papers, books |
---|
| 817 | + | and records; |
---|
| 818 | + | (4) examine, check, test and gauge oil and gas |
---|
| 819 | + | wells, tanks, plants, refineries and all means and modes of |
---|
| 820 | + | transportation and equipment; |
---|
| 821 | + | (5) hold hearings; |
---|
| 822 | + | (6) provide for the keeping of records and the |
---|
| 823 | + | making of reports and for the checking of the accuracy of the |
---|
| 824 | + | records and reports; |
---|
| 825 | + | (7) limit and prorate production of crude |
---|
| 826 | + | petroleum oil or natural gas or both as provided in the Oil and |
---|
| 827 | + | Gas Act; and |
---|
| 828 | + | (8) require either generally or in particular |
---|
| 829 | + | areas certificates of clearance or tenders in connection with |
---|
| 830 | + | the transportation of crude petroleum oil or natural gas or any |
---|
| 831 | + | products of either or both oil and products or both natural gas |
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| 832 | + | and products. |
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| 833 | + | B. The oil conservation division may make rules and |
---|
| 834 | + | orders for the purposes and with respect to the subject matter |
---|
| 835 | + | stated in this subsection: |
---|
| 836 | + | (1) to require dry or abandoned wells to be |
---|
| 837 | + | plugged in a way so as to confine the crude petroleum oil, |
---|
| 838 | + | natural gas or water in the strata in which it is found and to |
---|
| 839 | + | prevent it from escaping into other strata; pursuant to Section |
---|
| 840 | + | 70-2-14 NMSA 1978, the division shall require financial |
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| 841 | + | .229178.3GLG |
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| 842 | + | - 16 - underscored material = new |
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| 843 | + | [bracketed material] = delete |
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| 869 | + | assurance conditioned for the performance of the rules; |
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| 870 | + | (2) to prevent crude petroleum oil, natural |
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| 871 | + | gas or water from escaping from strata in which it is found |
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| 872 | + | into other strata; |
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| 873 | + | (3) to require reports showing locations of |
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| 874 | + | all oil or gas wells and for the filing of logs and drilling |
---|
| 875 | + | records or reports; |
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| 876 | + | (4) to prevent the drowning by water of any |
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| 877 | + | stratum or part thereof capable of producing oil or gas or both |
---|
| 878 | + | oil and gas in paying quantities and to prevent the premature |
---|
| 879 | + | and irregular encroachment of water or any other kind of water |
---|
| 880 | + | encroachment that reduces or tends to reduce the total ultimate |
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| 881 | + | recovery of crude petroleum oil or gas or both oil and gas from |
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| 882 | + | any pool; |
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| 883 | + | (5) to prevent fires; |
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| 884 | + | (6) to prevent "blow-ups" and "caving" in the |
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| 885 | + | sense that the conditions indicated by such terms are generally |
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| 886 | + | understood in the oil and gas business; |
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| 887 | + | (7) to require wells to be drilled, operated |
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| 888 | + | and produced in such manner as to prevent injury to neighboring |
---|
| 889 | + | leases or properties; |
---|
| 890 | + | (8) to identify the ownership of oil or gas |
---|
| 891 | + | producing leases, properties, wells, tanks, refineries, |
---|
| 892 | + | pipelines, plants, structures and all transportation equipment |
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| 893 | + | and facilities; |
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| 894 | + | .229178.3GLG |
---|
| 895 | + | - 17 - underscored material = new |
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| 896 | + | [bracketed material] = delete |
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| 922 | + | (9) to require the operation of wells with |
---|
| 923 | + | efficient gas-oil ratios and to fix such ratios; |
---|
| 924 | + | (10) to fix the spacing of wells; |
---|
| 925 | + | (11) to determine whether a particular well or |
---|
| 926 | + | pool is a gas or oil well or a gas or oil pool, as the case may |
---|
| 927 | + | be, and from time to time to classify and reclassify wells and |
---|
| 928 | + | pools accordingly; |
---|
| 929 | + | (12) to determine the limits of any pool |
---|
| 930 | + | producing crude petroleum oil or natural gas or both and from |
---|
| 931 | + | time to time redetermine the limits; |
---|
| 932 | + | (13) to regulate the methods and devices |
---|
| 933 | + | employed for storage in this state of oil or natural gas or any |
---|
| 934 | + | product of either, including subsurface storage; |
---|
| 935 | + | (14) to permit the injection of natural gas or |
---|
| 936 | + | of any other substance into any pool in this state for the |
---|
| 937 | + | purpose of repressuring, cycling, pressure maintenance, |
---|
| 938 | + | secondary or any other enhanced recovery operations; |
---|
| 939 | + | (15) to regulate the disposition, handling, |
---|
| 940 | + | transport, storage, recycling, treatment and disposal of |
---|
| 941 | + | produced water during, or for reuse in, the exploration, |
---|
| 942 | + | drilling, production, treatment or refinement of oil or gas, |
---|
| 943 | + | including disposal by injection pursuant to authority delegated |
---|
| 944 | + | under the federal Safe Drinking Water Act, in a manner that |
---|
| 945 | + | protects public health, the environment and fresh water |
---|
| 946 | + | resources; |
---|
| 947 | + | .229178.3GLG |
---|
| 948 | + | - 18 - underscored material = new |
---|
| 949 | + | [bracketed material] = delete |
---|
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| 972 | + | 23 |
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| 973 | + | 24 |
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| 974 | + | 25 |
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| 975 | + | (16) to determine the limits of any area |
---|
| 976 | + | containing commercial potash deposits and from time to time |
---|
| 977 | + | redetermine the limits; |
---|
| 978 | + | (17) to regulate and, where necessary, |
---|
| 979 | + | prohibit drilling or producing operations for oil or gas within |
---|
| 980 | + | any area containing commercial deposits of potash where the |
---|
| 981 | + | operations would have the effect unduly to reduce the total |
---|
| 982 | + | quantity of the commercial deposits of potash that may |
---|
| 983 | + | reasonably be recovered in commercial quantities or where the |
---|
| 984 | + | operations would interfere unduly with the orderly commercial |
---|
| 985 | + | development of the potash deposits; |
---|
| 986 | + | (18) to spend the oil and gas reclamation fund |
---|
| 987 | + | and do all acts necessary and proper to plug dry and abandoned |
---|
| 988 | + | oil and gas wells and to restore and remediate abandoned well |
---|
| 989 | + | sites and associated production facilities in accordance with |
---|
| 990 | + | the provisions of the Oil and Gas Act, the rules adopted under |
---|
| 991 | + | that act and the Procurement Code, including disposing of |
---|
| 992 | + | salvageable equipment and material removed from oil and gas |
---|
| 993 | + | wells being plugged by the state; |
---|
| 994 | + | (19) to make well price category |
---|
| 995 | + | determinations pursuant to the provisions of the federal |
---|
| 996 | + | Natural Gas Policy Act of 1978 or any successor act and, by |
---|
| 997 | + | regulation, to adopt fees for such determinations, which fees |
---|
| 998 | + | shall not exceed twenty-five dollars ($25.00) per filing. Such |
---|
| 999 | + | fees shall be credited to the account of the oil conservation |
---|
| 1000 | + | .229178.3GLG |
---|
| 1001 | + | - 19 - underscored material = new |
---|
| 1002 | + | [bracketed material] = delete |
---|
| 1003 | + | 1 |
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| 1024 | + | 22 |
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| 1025 | + | 23 |
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| 1026 | + | 24 |
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| 1027 | + | 25 |
---|
| 1028 | + | division by the state treasurer and may be expended as |
---|
| 1029 | + | authorized by the legislature; |
---|
| 1030 | + | (20) to regulate the construction and |
---|
| 1031 | + | operation of oil treating plants and to require the posting of |
---|
| 1032 | + | bonds for the reclamation of treating plant sites after |
---|
| 1033 | + | cessation of operations; |
---|
| 1034 | + | (21) to regulate the disposition of |
---|
| 1035 | + | nondomestic wastes resulting from the exploration, development, |
---|
| 1036 | + | production or storage of crude oil or natural gas to protect |
---|
| 1037 | + | public health and the environment; [and ] |
---|
| 1038 | + | (22) to regulate the disposition of |
---|
| 1039 | + | nondomestic wastes resulting from the oil field service |
---|
| 1040 | + | industry, the transportation of crude oil or natural gas, the |
---|
| 1041 | + | treatment of natural gas or the refinement of crude oil to |
---|
| 1042 | + | protect public health and the environment, including |
---|
| 1043 | + | administering the Water Quality Act as provided in Subsection E |
---|
| 1044 | + | of Section 74-6-4 NMSA 1978; and |
---|
| 1045 | + | (23) to require reporting and accounting of |
---|
| 1046 | + | each barrel of produced water from an oil or gas well for the |
---|
| 1047 | + | purpose of imposing the produced water barrel fee pursuant to |
---|
| 1048 | + | Section 70-13-6 NMSA 1978 ." |
---|
| 1049 | + | SECTION 9. Section 70-13-1 NMSA 1978 (being Laws 2019, |
---|
| 1050 | + | Chapter 197, Section 1) is amended to read: |
---|
| 1051 | + | "70-13-1. SHORT TITLE.--[Sections 1 through 5 of this |
---|
| 1052 | + | act] Chapter 70, Article 13 NMSA 1978 may be cited as the |
---|
| 1053 | + | .229178.3GLG |
---|
| 1054 | + | - 20 - underscored material = new |
---|
| 1055 | + | [bracketed material] = delete |
---|
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---|
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| 1077 | + | 22 |
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| 1078 | + | 23 |
---|
| 1079 | + | 24 |
---|
| 1080 | + | 25 |
---|
| 1081 | + | "Produced Water Act"." |
---|
| 1082 | + | SECTION 10. A new section of the Produced Water Act, |
---|
| 1083 | + | Section 70-13-6 NMSA 1978, is enacted to read: |
---|
| 1084 | + | "70-13-6. [NEW MATERIAL ] FEES--REGULATION AND |
---|
| 1085 | + | REPORTING.-- |
---|
| 1086 | + | A. Until January 1, 2036, there is imposed on the |
---|
| 1087 | + | working interest owners of an oil or gas well in New Mexico a |
---|
| 1088 | + | fee of five cents ($.05) per barrel of produced water from the |
---|
| 1089 | + | oil or gas well, as reported to the taxation and revenue |
---|
| 1090 | + | department by the oil conservation division of the energy, |
---|
| 1091 | + | minerals and natural resources department, regardless of the |
---|
| 1092 | + | ultimate destination of that produced water, except for |
---|
| 1093 | + | produced water that is: |
---|
| 1094 | + | (1) used for enhanced or secondary oil; |
---|
| 1095 | + | (2) recycled or reused at a well or facility |
---|
| 1096 | + | that is permitted by the oil conservation division of the |
---|
| 1097 | + | energy, minerals and natural resources department; or |
---|
| 1098 | + | (3) for a use regulated by the water quality |
---|
| 1099 | + | control commission pursuant to the Water Quality Act and for |
---|
| 1100 | + | which a permit from the department of environment is required. |
---|
| 1101 | + | B. The fee imposed by this section may be referred |
---|
| 1102 | + | to as the "produced water fee" and shall be imposed, collected |
---|
| 1103 | + | and administered by the taxation and revenue department in |
---|
| 1104 | + | accordance with the provisions of the Tax Administration Act. |
---|
| 1105 | + | C. The owner or operator of an oil or gas well |
---|
| 1106 | + | .229178.3GLG |
---|
| 1107 | + | - 21 - underscored material = new |
---|
| 1108 | + | [bracketed material] = delete |
---|
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---|
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---|
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---|
| 1131 | + | 23 |
---|
| 1132 | + | 24 |
---|
| 1133 | + | 25 |
---|
| 1134 | + | shall report the monthly production volume of produced water on |
---|
| 1135 | + | or before the fifteenth day of the second month following the |
---|
| 1136 | + | month of the production in the electronic form and manner |
---|
| 1137 | + | required by the oil conservation division of the energy, |
---|
| 1138 | + | minerals and natural resources department. An owner or |
---|
| 1139 | + | operator may apply to the oil conservation division for an |
---|
| 1140 | + | exemption from the electronic filing requirement based upon a |
---|
| 1141 | + | demonstration that such requirement would be an economic or |
---|
| 1142 | + | other hardship. Within sixty days of receiving this report, |
---|
| 1143 | + | the oil conservation division shall report the volume of |
---|
| 1144 | + | produced water from oil and gas wells to the taxation and |
---|
| 1145 | + | revenue department. |
---|
| 1146 | + | D. The produced water fee shall be paid to the |
---|
| 1147 | + | taxation and revenue department within sixty days of the |
---|
| 1148 | + | monthly volume report required pursuant to Subsection C of this |
---|
| 1149 | + | section, and the department shall promulgate rules to provide |
---|
| 1150 | + | for the required manner and form of collection of the produced |
---|
| 1151 | + | water fee. |
---|
| 1152 | + | E. All money received from the fees imposed |
---|
| 1153 | + | pursuant to Subsection A of this section shall be delivered to |
---|
| 1154 | + | the state treasurer and deposited in the strategic water supply |
---|
| 1155 | + | program fund. |
---|
| 1156 | + | F. The oil conservation division of the energy, |
---|
| 1157 | + | minerals and natural resources department shall promulgate |
---|
| 1158 | + | rules for mandatory reporting and accounting of produced water |
---|
| 1159 | + | .229178.3GLG |
---|
| 1160 | + | - 22 - underscored material = new |
---|
| 1161 | + | [bracketed material] = delete |
---|
| 1162 | + | 1 |
---|
| 1163 | + | 2 |
---|
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| 1184 | + | 23 |
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| 1185 | + | 24 |
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| 1186 | + | 25 |
---|
| 1187 | + | from an oil or gas well." |
---|
| 1188 | + | SECTION 11. Section 72-12-26 NMSA 1978 (being Laws 1967, |
---|
| 1189 | + | Chapter 86, Section 2) is amended to read: |
---|
| 1190 | + | "72-12-26. NOTICE OF DRILLING--DEPTH AND LOCATION .--Any |
---|
| 1191 | + | person proposing to drill wells or recomplete existing wells to |
---|
| 1192 | + | appropriate waters referred to in Section [1 of this act ] |
---|
| 1193 | + | 72-12-25 NMSA 1978 shall file a notice of intention to drill or |
---|
| 1194 | + | recomplete with the office of the state engineer in such form |
---|
| 1195 | + | as the state engineer shall prescribe and shall publish a |
---|
| 1196 | + | notice, in a newspaper of general circulation in the county in |
---|
| 1197 | + | which the proposed wells will be located once a week for three |
---|
| 1198 | + | consecutive weeks, stating the location and the proposed depth |
---|
| 1199 | + | of such wells, the purpose for which the water shall be used |
---|
| 1200 | + | and an estimate of the volume of water to be used. [Said ] The |
---|
| 1201 | + | wells shall not be drilled or recompleted prior to [10 ] ten |
---|
| 1202 | + | days after the last publication of [such ] the notice and until |
---|
| 1203 | + | the state engineer has determined that the use of water stated |
---|
| 1204 | + | in the notice will not impair existing water rights, be |
---|
| 1205 | + | contrary to the conservation of water within the state or be |
---|
| 1206 | + | detrimental to the public welfare of the state ." |
---|
| 1207 | + | SECTION 12. APPROPRIATIONS.-- |
---|
| 1208 | + | A. Seventy-five million dollars ($75,000,000) is |
---|
| 1209 | + | appropriated from the general fund to the strategic water |
---|
| 1210 | + | supply program fund for expenditure in fiscal year 2026 and |
---|
| 1211 | + | subsequent fiscal years for the purposes of the fund. Any |
---|
| 1212 | + | .229178.3GLG |
---|
| 1213 | + | - 23 - underscored material = new |
---|
| 1214 | + | [bracketed material] = delete |
---|
| 1215 | + | 1 |
---|
| 1216 | + | 2 |
---|
| 1217 | + | 3 |
---|
| 1218 | + | 4 |
---|
| 1219 | + | 5 |
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---|
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---|
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---|
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---|
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---|
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---|
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---|
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---|
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---|
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---|
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---|
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---|
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---|
| 1237 | + | 23 |
---|
| 1238 | + | 24 |
---|
| 1239 | + | 25 |
---|
| 1240 | + | unexpended or unencumbered balance remaining at the end of a |
---|
| 1241 | + | fiscal year shall not revert to the general fund. |
---|
| 1242 | + | B. Twenty-eight million seven hundred fifty |
---|
| 1243 | + | thousand dollars ($28,750,000) is appropriated from the general |
---|
| 1244 | + | fund to the board of regents of the New Mexico institute of |
---|
| 1245 | + | mining and technology for expenditure in fiscal years 2026 |
---|
| 1246 | + | through 2028 for aquifer monitoring and improved ground water |
---|
| 1247 | + | characterization. Any unexpended or unencumbered balance |
---|
| 1248 | + | remaining at the end of fiscal year 2028 shall revert to the |
---|
| 1249 | + | general fund. |
---|
| 1250 | + | C. Four million dollars ($4,000,000) is |
---|
| 1251 | + | appropriated from the general fund to the board of regents of |
---|
| 1252 | + | New Mexico state university for expenditure in fiscal years |
---|
| 1253 | + | 2026 through 2028 for innovation, research, monitoring, support |
---|
| 1254 | + | and development of technology associated with potential |
---|
| 1255 | + | projects for a strategic water supply program grant or |
---|
| 1256 | + | contract. Any unexpended or unencumbered balance remaining at |
---|
| 1257 | + | the end of fiscal year 2028 shall revert to the general fund. |
---|
| 1258 | + | - 24 - |
---|
| 1259 | + | .229178.3GLG |
---|