New Mexico 2025 2025 Regular Session

New Mexico House Bill HB98 Introduced / Fiscal Note

Filed 02/01/2025

                    Fiscal impact reports (FIRs) are prepared by the Legislative Finance Committee (LFC) for standing finance 
committees of the Legislature. LFC does not assume responsibility for the accuracy of these reports if they 
are used for other purposes. 
 
F I S C A L    I M P A C T    R E P O R T 
 
 
SPONSOR Anyanonu/Johnson 
LAST UPDATED 
ORIGINAL DATE 1/31/25 
 
SHORT TITLE 
Automatic Expungement of Eviction 
Records 
BILL 
NUMBER House Bill 98 
  
ANALYST Chavez 
 
ESTIMATED ADDITIONAL OPERATING BUDGET IMPACT* 
(dollars in thousands) 
Agency/Program 
FY25 FY26 FY27 
3 Year 
Total Cost 
Recurring or 
Nonrecurring 
Fund 
Affected 
AOC 
No fiscal 
impact 
At least $50 
Indeterminate 
but minimal 
At least $50 Recurring General Fund 
Total 
No fiscal 
impact 
At least $50 
Indeterminate 
but minimal 
At least $50 Recurring General Fund 
Parentheses ( ) indicate expenditure decreases. 
*Amounts reflect most recent analysis of this legislation. 
 
Sources of Information
 
 
LFC Files 
 
Agency Analysis Received From 
Administrative Office of the Courts (AOC) New Mexico Attorney General (NMAG) New Mexico Mortgage Finance Authority (MFA) 
SUMMARY 
 
Synopsis of House Bill 98   
 
House Bill 98 (HB98) would add a new section to the Uniform Owner-Resident Relations Act 
that requires a court or a state or local agency that holds records that relate to an individual’s 
eviction to expunge or destroy the eviction records five years after the eviction occurred. HB98 
would also require the Administrative Office of the Courts (AOC) to implement a confidential 
procedure to allow individuals eligible for eviction expungement to confirm or request expedited 
expungement of eligible court records.  
 
This bill does not contain an effective date and, as a result, would go into effect 90 days after the 
Legislature adjourns if enacted, or June 20, 2025. 
 
FISCAL IMPLICATIONS  
 
HB98 would require AOC to identify and expunge existing eligible eviction records and make an 
ongoing effort to ensure that new eligible eviction records are expunged in a timely manner. 
AOC estimates implementing HB98 would have an initial nonrecurring cost of $50 thousand; 
recurring efforts after FY26 would require half an FTE.  House Bill 98 – Page 2 
 
SIGNIFICANT ISSUES 
 
AOC provides the following: 
 AOC has implemented a free, accessible online tool for persons to notify the AOC that 
they are eligible for expungement of court records related to cannabis charges under 
Section 29-3A-8 NMSA 1978. The tool has proved successful, and AOC would follow 
this model to create an online notification system for persons with eviction records 
eligible for expungement.  
 
 AOC anticipates requiring a minimum of six months to analyze existing data regarding 
court eviction records. The effort to identify, review, and expunge existing records will 
require a data analyst and developer. AOC would also implement operating procedures to 
ensure that eligible eviction records are expunged timely in the future.  
 
 Traditional expungement v. automatic expungement: The Criminal Record Expungement 
Act (CREA), Section 29-3A-1 et. seq., was enacted in 2019, and allows persons to 
petition the district court to expunge arrest and public records in three categories:  
 
o Wrongful identification of a person in arrest records due to identity theft;  
o Release of a person without conviction; and  
o Conviction. 
 
Sections 29-3A-3, -4, and -5. Under CREA, “expungement” means the removal from 
access to the general public of a notation of an arrest, complaint, indictment, information, 
plea of guilty, conviction, acquittal, dismissal or discharge record, including a record 
posted on a publicly accessible court, corrections or law enforcement internet website. 
Section 29-3A-2 (B). Importantly, CREA only provides an expungement pathway for 
criminal records.  
 
In contrast to expungement through a court petition under Sections 29-3A-3, -4, and -5, 
automatic expungement of eviction records requires the public entity that holds the 
records to 1) identify eligible records, and 2) take affirmative action to remove the 
records from public view. 
 
The attachment provides examples of similar legislation from other states, provided by the AOC. 
 
The New Mexico Mortgage Finance Authority provides the following: 
Based on data from Eviction Lab (a research organization at Princeton University), an 
estimated 17,400 evictions are filed annually in New Mexico. A legal eviction comes 
with a court record, which can impede a family’s ability to secure housing, because most 
landlords conduct eviction screenings before renting. As proposed in HB98, eviction 
expungement could help families overcome this barrier in the long term while allowing a 
landlord to know whether a prospective tenant has had an eviction within the last five 
years. Further, HB98 would not prevent a landlord from using a collections agency to 
collect on unpaid rent associated with an eviction. Resultingly, the bill does not prevent 
unpaid rent from showing up as an unpaid bill for seven years on a credit report. 
 
  House Bill 98 – Page 3 
 
ADMINISTRATIVE IMPLICATIONS  
 
AOC would have to implement a procedure to allow individuals eligible for eviction 
expungement to confirm or request expedited expungement of eligible court records, like the 
cannabis expungement online notification system tool. 
 
The New Mexico Attorney General provides the following: 
Since the law would apply to all state agencies, NMAG would likely need to create a 
policy and procedures to identify and destroy any records held by NMAG required to be 
expunged. 
 
Attachments 
1. HB0098 Attachment 1 
 
 
FC/hj/SL2           State
 
Policy/Link Method 	Policy Resources 
FL HB 1193 
(2021) 
Sealing 	A defendant can have their name 
substituted with “tenant” on the 
docket and have the proceeding 
sealed if: 
a. The parties file a joint
stipulation requesting relief.
b. The case was dismissed.
c. The case was resolved by
settlement or stipulation, and the
defendant complied with the
terms of the agreement.
d. A default judgment was
entered against the defendant, and
the defendant satisfied any
monetary award included in the
judgment.
e. A judgment was entered
against the defendant 5 years
before the motion was filed, and
the defendant satisfied any
monetary award included in the
judgment.
A defendant is not eligible for
relief if:
a. During any 12 months, the
defendant has had a judgment
entered against them in two or
more eviction proceedings.
b. During any 24 months, the
defendant has had a judgment
entered against them in three or
more eviction proceedings.
(This standard is very similar to
Oregon)
This policy allows those evicted to have 
their names removed from docket listings 
and their court records sealed. Rep. 
Vance Aloupis states:  
“Families who have been evicted often 
struggle with finding residential mobility 
and replacement housing that is both 
affordable and habitable,” noting that 
sometimes landlords will not rent to a 
person who has been evicted. “What HB 
1193 does is create an opportunity for an 
individual who has been evicted to have 
their eviction expunged based on explicit 
terms that are listed within the bill.” 
Blankenship, Gary. “Some Evictions 
Records Could Be Expunged under Bill.” 
The Florida Bar, 
www.floridabar.org/the-florida-bar-
news/some-evictions-records-could-be-
expunged-under-bill/.  UT HB 359 
(2022) 
Expungement and Tenant 
Screening Regulations 
78B-6-852 Page 3 
Without the filing of a petition, a 
court shall order the expungement 
of all records of eviction if: 
a. The entire case was
dismissed.
b. There is no appeal
pending for the case.
c. At least three years have
passed since the day the eviction
was filed, or the parties to the
eviction stipulated the
expungement and filed a
stipulation with the court.
This bill received harsh criticism due to 
the burden it burdens tenants to do all the 
work to receive an expungement. The 
tenant does not have power in the 
process, as shown in the following 
quote:  
“Even if renters have all the receipts to 
prove they paid their debt, landlords can 
still veto the expungement and don’t 
need to provide any proof or even 
explain why — under the law, a landlord 
could simply say “I object” in writing, 
and the expungement will be shot down. 
By comparison, a criminal expungement 
bill passed in recent years only allows the 
objections of crime victims to be 
considered as one of multiple factors by a 
judge when deciding on an expungement. 
But if a landlord says no, then a judge 
has no choice but to disqualify an 
eviction expungement request.”  
Peterson, Eric. “Renters Facing Eviction 
Don’t Get Enough Help from New 
Expungement Law, Advocates Say” The 
Utah Investigative Journalism Project - 
Non-Profit, Public Service Journalism 
and Educational Resource, The Utah 
Investigative, 
www.utahinvestigative.org/renters-
facing-eviction-dont-get-enough-help-
from-new-expungement-law-advocates-
say/. 
KY HB 342 
(2023) 
Sealing and Expungement 	a. If the case is dismissed,
the court shall order the record
expunged upon sixty days or;
b. If a forcible detainer is
entered, the court shall order the
record expunged after three
years.
After the expungement, the
proceeding should be wiped away
as if it has never occurred. The
court and other agencies shall
delete or remove records from
computer systems, and
background checks should
indicate the record does not exist.
This bill did not pass, which left many 
communities distraught, as eviction acts 
as a long-term barrier to stable housing. 
The harm of forced displacement 
marginalizes those who have been 
evicted for a myriad of reasons. George 
Eklund, director of education and 
advocacy at Louisville Coalition for the 
Homeless states: “The problem is that 
eviction is a binary stain on your record- 
either looks like you had one or you 
didn’t… There’s a lot of gray area of 
why people got evicted.” Danielle Kaye, 
a reporter for WKU Public Radio, 
justified the following: “Eviction 
expungement does not directly address 
the many causes of eviction – from the  affordable housing crisis and 
skyrocketing rents to insufficient rental 
assistance, among other structural 
factors. But tenants and advocates say the 
process can at least reduce the harm 
caused by forced displacement.”  
Kaye, Danielle. “‘Stain on Your Record’: 
Evictions Follow Kentuckians for Years, 
Limiting Access to Housing.” WKU 
Public Radio | The Public Radio Service 
of Western Kentucky University, WKYU, 
6 Mar. 2024, www.wkyufm.org/2023-06-
02/stain-on-your-record-evictions-
follow-kentuckians-for-years-limiting-
access-to-housing 
CA AB 2819 
(2016) 
Restricting Court Records 	1161.2.  (a) (1) The clerk shall 
allow access to limited civil case 
records filed under this chapter, 
including the court file, 
index, and register of actions, 
only as follows: 
(A) To a party to the action,
including a party's attorney. 
(B) To a person who provides
the clerk with the names of at 
least one plaintiff and one 
defendant and the address of the 
premises, 
including the apartment or unit 
number, if any. 
(C) To a resident of the
premises who provides the clerk 
with the name of one of the 
parties or the case number and 
shows proof of residency. 
(D) To a person by order of the
court, which may be granted ex 
parte, on a showing of good 
cause. 
(E) To any person by order of
the 
court if judgment is entered for 
the plaintiff after trial more than 
60 days since the filing of the 
complaint. The court shall issue 
the order upon issuing judgment 
for the plaintiff. 
Lake and Tupper state: “California 
passed AB 2819, which limits access to 
court case records and automatically and 
permanently seals some evictions, unless 
the landlord follows through with a trial 
within 60 days of when the complaint 
was filed. This action also creates a 
pathway for tenants to seal records that 
resulted in a settlement.” (9) 
Lake, Jaboa, and Leni Tupper. Eviction 
Record Expungement Can Remove 
Barriers to Stable Housing, 
www.americanprogress.org/wp-
content/uploads/sites/2/2021/09/Eviction-
Record-Expungement-Can-Remove-
Barriers.pdf.  MN SB 3492 
(2024) 
Expungement 	If the court finds that the 	defendant occupied real property 	that was subject to contract for 
deed cancellation or mortgage 
foreclosure and: 
(i) the time for contract
cancellation or foreclosure
redemption has expired and the
defendant vacated the property
prior to commencement of the
eviction action; or
(ii) the defendant was a tenant
during the contract cancellation or
foreclosure redemption
period and did not receive a
notice
vacate on a date prior to
commencement of the eviction
case;
(2) if the defendant prevailed on
the merits;
(3) if the court dismissed the
plaintiff's complaint is dismissed
for any reason;
(4) if the parties to the action
have agreed to an expungement;
(5) three years after the eviction
was ordered; or
(6) upon motion of a defendant, if
an eviction action has been filed
in violation of section
(7) upon motion of a defendant, if
the case is settled and the
defendant fulfills the terms of the
settlement.
If a tenant brings a motion for the
expungement of an eviction, the
court shall order the expungement
of an eviction case that was
commenced on the grounds of a
violation of or any other claim of
breach, regardless of when the
original eviction was ordered, if
the tenant could receive an
automatic expungement or if the
breach was based solely on the
possession of marijuana or
tetrahydrocannabinol.
The Office of Minnesota Attorney 
General Keith Ellison states Bill 3492 
aims to: protect tenants most vulnerable 
to housing instability, including survivors 
of domestic violence and undocumented 
renters. The law also bolsters protections 
for tenants against landlord retaliation, 
ensuring that tenants who organize – 
such as by joining a tenant’s union – are 
able to do so without negative 
repercussions, which can include the 
threat of displacement. Finally, the law 
also addresses excessive and arbitrary 
rental fees, known commonly as “junk 
fees,” making Minnesota the latest in a 
growing number of states targeting 
excessive rental fees in 2024.”  
“Minnesota Passes New Protections for 
Tenants, Including Measure Ensuring 
Right to Organize.” National Low 
Income Housing Coalition