New Mexico 2025 Regular Session

New Mexico Senate Bill SB143 Compare Versions

Only one version of the bill is available at this time.

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28	28	SENATE BILL 143
29	29	57
30	30	TH LEGISLATURE
31	31	-
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33	33	STATE
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35	35	OF
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39	39	MEXICO
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42	42	FIRST SESSION
43	43	,
44	44
45	45	2025
46	46	INTRODUCED BY
47	47	George K. Muñoz and Benny Shendo, Jr. And Meredith A. Dixon
48	48	AN ACT
49	49	RELATING TO PUBLIC UTILITIES; CREATING THE UTILITY OVERSIGHT
50	50	FUND; INCREASING CERTAIN FEES AND CHANGING DISTRIBUTION OF
51	51	COLLECTED FEES AND PENALTIES; PROVIDING FOR THE ENFORCEMENT OF
52	52	FEES BY THE PUBLIC REGULATION COMMISSION.
53	53	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
54	54	SECTION 1. A new section of the Public Utility Act is
55	55	enacted to read:
56	56	"[NEW MATERIAL] UTILITY OVERSIGHT FUND.--
57	57	A. The "utility oversight fund" is created in the
58	58	state treasury. The fund consists of fees collected pursuant
59	59	to Sections 62-8-8, 62-8-9 and 63-7-20 NMSA 1978, as well as
60	60	appropriations, gifts, grants and donations and earnings on
61	61	investment of the fund. Balances in the fund shall not revert
62	62	to the general fund or any other fund at the end of a fiscal
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90	90	year.
91	91	B. The utility oversight fund shall be administered
92	92	by the commission. Money in the fund is subject to
93	93	appropriation by the legislature to the commission to carry out
94	94	its duties pursuant to the Public Utility Act.
95	95	C. Disbursements from the utility oversight fund
96	96	shall be made by warrant of the secretary of finance and
97	97	administration pursuant to vouchers issued and signed by the
98	98	director of the administrative services division of the
99	99	commission or the director's authorized representative."
100	100	SECTION 2. Section 62-8-8 NMSA 1978 (being Laws 1967,
101	101	Chapter 96, Section 6, as amended) is amended to read:
102	102	"62-8-8. INSPECTION AND SUPERVISION FEE.--
103	103	A. Each utility doing business in this state and
104	104	subject to the control and jurisdiction of the commission with
105	105	respect to its rates or service regulations shall pay annually
106	106	to the state a fee for the inspection and supervision of such
107	107	business in an amount equal to five hundred [six ] ninety
108	108	thousandths percent of its gross receipts from business
109	109	transacted in New Mexico for the preceding calendar year. That
110	110	sum shall be payable on or before the [first ] last day of April
111	111	in each year. An inspection and supervision fee shall be paid
112	112	by utilities in addition to all property, franchise, license,
113	113	intangible and other taxes, fees and charges provided by law.
114	114	No similar inspection and supervision fee shall be measured by
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143	143	the amount of the gross receipts of such utility for the
144	144	calendar year next preceding the date fixed in this section for
145	145	the payment of the fee. In the case of utilities engaged in
146	146	interstate business, the inspection and supervision fee shall
147	147	be measured by the gross receipts of those utilities from
148	148	intrastate business only for that preceding calendar year and
149	149	not in any respect upon receipts derived wholly or in part from
150	150	interstate business. No inspection and supervision fee shall
151	151	be charged on the gross receipts from the sale of gas, water or
152	152	electricity to a utility regulated by the commission for resale
153	153	to the public.
154	154	B. Prior to July 1, 2031, the fees established
155	155	pursuant to this section may be adjusted annually by the
156	156	commission; provided that any increase shall not be greater
157	157	than the prior year's increase in the employment cost index for
158	158	state and local government as published by the federal bureau
159	159	of labor statistics."
160	160	SECTION 3. Section 62-8-9 NMSA 1978 (being Laws 1957,
161	161	Chapter 25, Section 1, as amended) is amended to read:
162	162	"62-8-9. DISPOSITION OF FUNDS--INTEREST AND PENALTY ON
163	163	LATE PAYMENTS.--
164	164	A. All fees and money collected under the
165	165	provisions of the Public Utility Act, including fees provided
166	166	for in Section 62-13-2 NMSA 1978 and including fees and charges
167	167	for inspection and supervision, for stenographic services and
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196	196	for transcripts of evidence, shall be remitted by the
197	197	commission to the state treasurer and credited to the utility
198	198	oversight fund not later than the day following receipt.
199	199	Payments provided for in the Public Utility Act shall be
200	200	obligatory upon all utilities subject to the Public Utility
201	201	Act.
202	202	B. When a fee is not paid on the date it is due,
203	203	interest shall be paid to the state on the amount due. The
204	204	interest on the amount due shall start to accrue on the day
205	205	following the due date and will continue to accrue until the
206	206	total amount due is paid. The rate of interest on a late fee
207	207	payment shall be fifteen percent per year, computed at the rate
208	208	of one and one-fourth percent per month.
209	209	C. In addition to any interest due on a late fee
210	210	payment, a penalty shall be paid to the state for failure to
211	211	pay the fee when it was due. The penalty imposed shall be two
212	212	percent of the amount of the fee due.
213	213	D. The [attorney general, in the name of the state ]
214	214	commission shall bring suit to collect fees, interest and
215	215	penalties that remain unpaid."
216	216	SECTION 4. Section 62-13-2 NMSA 1978 (being Laws 1957,
217	217	Chapter 25, Section 2, as amended) is amended to read:
218	218	"62-13-2. FEES.--The commission shall collect fees for
219	219	the following [fees], which shall be remitted to the state
220	220	treasurer not later than the day following receipt; provided
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249	249	that the commission may increase by administrative rule the
250	250	fees set forth in this section in amounts that do not exceed
251	251	the cost of administrative proceedings before the commission :
252	252	A. for filing any rate schedule, service rule or
253	253	regulation or sample form, or amendment thereto, one dollar
254	254	($1.00);
255	255	B. for filing each application, petition or
256	256	complaint, twenty-five dollars ($25.00);
257	257	C. for copies of papers, testimony and records, the
258	258	reasonable cost of such copies as the commission may provide
259	259	from time to time by rule; and
260	260	D. for certifying any copy of any paper, testimony
261	261	or record, two dollars ($2.00)."
262	262	SECTION 5. Section 62-14-8 NMSA 1978 (being Laws 1973,
263	263	Chapter 252, Section 8, as amended) is amended to read:
264	264	"62-14-8. PENALTIES.--In addition to any other liability
265	265	imposed by law, an excavator, after a formal hearing and upon a
266	266	finding, who has failed to comply with Subsection C of Section
267	267	62-14-3 NMSA 1978 is subject to an administrative penalty of up
268	268	to five thousand dollars ($5,000) for a first offense as
269	269	assessed by the commission. Thereafter, the commission may
270	270	assess an administrative penalty of up to a maximum of twenty-
271	271	five thousand dollars ($25,000) for subsequent violations of
272	272	Subsection C of Section 62-14-3 NMSA 1978. In addition to any
273	273	other penalty imposed by law, an operator of underground
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302	302	pipeline facilities or underground utilities, excavator or
303	303	operator of a one-call notification system, after formal
304	304	hearing and upon a finding, who has willfully failed to comply
305	305	with Chapter 62, Article 14 NMSA 1978 shall be subject to an
306	306	administrative penalty of up to five thousand dollars ($5,000)
307	307	for a first offense as assessed by the commission. Thereafter,
308	308	upon finding that a violation of Chapter 62, Article 14 NMSA
309	309	1978 has occurred, the commission may, upon consideration of
310	310	the nature, circumstances, gravity of the violation, history of
311	311	prior violations, effect on public health, safety or welfare
312	312	and good faith on the part of the person in attempting to
313	313	remedy the cause of the violation, assess an administrative
314	314	penalty up to a maximum of twenty-five thousand dollars
315	315	($25,000) per violation consistent with federal law. No
316	316	offense occurring more than five years prior to the current
317	317	offense charged shall be considered for any purpose. All
318	318	actions to recover the penalties provided for in this section
319	319	shall be brought by the commission. All penalties recovered in
320	320	any such action shall be [paid into the state general ]
321	321	deposited in the current school fund."
322	322	SECTION 6. Section 63-7-20 NMSA 1978 (being Laws 1951,
323	323	Chapter 194, Section 1, as amended) is amended to read:
324	324	"63-7-20. UTILITY INSPECTION--FEE.--
325	325	A. Each utility doing business in this state that
326	326	is subject to the control and jurisdiction of the commission by
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355	355	virtue of the provisions of Article 11 of the constitution of
356	356	New Mexico with respect to its rates and service shall pay
357	357	annually to the commission a fee in performance of its duties
358	358	as now provided by law. The fee for utilities shall not exceed
359	359	five hundred [eleven] ninety thousandths percent of its gross
360	360	receipts from business transacted in New Mexico for the
361	361	preceding calendar year. This sum shall be payable annually on
362	362	or before April [1] 30 in each year. No similar fee shall be
363	363	imposed upon the utility. In the case of utilities engaged in
364	364	interstate business, the fees shall be measured by the gross
365	365	receipts of the utilities from intrastate business only for the
366	366	preceding calendar year and not in any respect upon receipts
367	367	derived wholly or in part from interstate business. Prior to
368	368	July 1, 2031, the fees established pursuant to this section may
369	369	be adjusted annually by the commission; provided that any
370	370	increase shall not be greater than the prior year's increase in
371	371	the employment cost index for state and local government, as
372	372	published by the federal bureau of labor statistics. As used
373	373	in this section, "utility" includes telephone companies and
374	374	transmission companies but does not include public utilities
375	375	subject to the Public Utility Act.
376	376	B. When a fee is not paid on the date it is due,
377	377	interest shall be paid to the state on the amount due. The
378	378	interest on the amount due shall start to accrue on the day
379	379	following the due date and shall continue to accrue until the
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408	408	total amount due is paid. The rate of interest on a late fee
409	409	payment shall be fifteen percent per year, computed at the rate
410	410	of one and one-fourth percent per month.
411	411	C. In addition to any interest due on a late fee
412	412	payment, a penalty shall be paid to the state for failure to
413	413	pay the fee when it is due. The penalty imposed shall be two
414	414	percent of the amount of the fee due.
415	415	D. The [attorney general, in the name of the state ]
416	416	commission shall bring suit to collect fees, interest and
417	417	penalties that remain unpaid."
418	418	SECTION 7. Section 63-7-21 NMSA 1978 (being Laws 1951,
419	419	Chapter 194, Section 2, as amended) is amended to read:
420	420	"63-7-21. DISPOSITION OF FEES.--All [moneys ] money
421	421	collected under the provisions of [Chapter 194, Laws of 1951 ]
422	422	Section 63-7-20 NMSA 1978 shall be deposited with the state
423	423	treasurer [and by him credited ] and shall be credited to the
424	424	[general] utility oversight fund."
425	425	SECTION 8. Section 70-3-2 NMSA 1978 (being Laws 1953,
426	426	Chapter 42, Section 3, as amended) is amended to read:
427	427	"70-3-2. LICENSE--FEES--DISPOSITION.--[Each ] An operator
428	428	of a pipeline [or pipelines ] operated in the state [of New
429	429	Mexico] for the transportation of crude oil, natural gas or the
430	430	products derived [therefrom ] from either shall, during the
431	431	month of July, obtain a license for the operation of [such ] the
432	432	pipeline. Application for [such ] a license shall be made upon
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461	461	a form to be provided by the [corporation ] public regulation
462	462	commission and shall be accompanied by the license fee
463	463	determined as [hereinafter ] provided in this section . On
464	464	receipt of [such] the application and license fee, the
465	465	[corporation] public regulation commission shall issue a
466	466	license to the applicant for the current fiscal year. All
467	467	license fees [so] collected shall be paid to the state
468	468	treasurer and [by him ] credited to the [general ] utility
469	469	oversight fund.
470	470	SCHEDULE OF ANNUAL LICENSE FEES
471	471	A. [Each] A person, firm, association or
472	472	corporation transporting natural gas or [the ] natural gas
473	473	products [derived therefrom ] by pipeline [or pipelines ] in New
474	474	Mexico and operating a pipeline [or pipelines ] and appurtenant
475	475	facilities within New Mexico shall pay an annual license fee of
476	476	five hundred dollars ($500) at the time of making the
477	477	application required by this section. An additional fee shall
478	478	be paid, measured by the aggregate installed rated horsepower
479	479	of compression facilities located within New Mexico and
480	480	operated by the licensee, in accordance with the following
481	481	schedule:
482	482	(1) not exceeding [10,000 ] ten thousand
483	483	horsepower, the minimum fee with no additional fee;
484	484	(2) more than [10,000 ] ten thousand horsepower
485	485	and not more than [30,000 ] thirty thousand horsepower, the
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514	514	minimum fee plus [$2,275.00 ] two thousand two hundred seventy-
515	515	five dollars ($2,275) ;
516	516	(3) more than [30,000 ] thirty thousand
517	517	horsepower and not more than [50,000 ] fifty thousand
518	518	horsepower, the minimum fee plus [$4,000.00 ] four thousand
519	519	dollars ($4,000);
520	520	(4) more than [50,000 ] fifty thousand
521	521	horsepower and not more than [75,000 ] seventy-five thousand
522	522	horsepower, the minimum fee plus [$5,000.00 ] five thousand
523	523	dollars ($5,000);
524	524	(5) more than [75,000 ] seventy-five thousand
525	525	horsepower and not more than [100,000 ] one hundred thousand
526	526	horsepower, the minimum fee plus [$5,500.00 ] five thousand five
527	527	hundred dollars ($5,500); and
528	528	(6) more than [100,000 ] one hundred thousand
529	529	horsepower, the minimum fee plus [$5,925.00 ] five thousand nine
530	530	hundred twenty-five dollars ($5,925) and plus [$75.00] seventy-
531	531	five dollars ($75.00) additional for each [10,000 ] ten thousand
532	532	horsepower or fraction thereof in excess of [100,000 ] one
533	533	hundred thousand horsepower.
534	534	B. [Each] An operator of a pipeline [or pipelines ]
535	535	for the transportation of oil or [the ] oil products [derived
536	536	therefrom] shall pay [the following fees, based on the number
537	537	of miles of such line operated in New Mexico ] a basic fee of
538	538	five hundred dollars ($500) [and in addition ] plus fees based
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567	567	on the number of miles of pipeline operated in New Mexico ,
568	568	computed in accordance with the following schedule:
569	569	(1) for all lines up to and including eight
570	570	inches in diameter:
571	571	[$13.00] (a) thirteen dollars ($13.00)
572	572	per mile for the first [50 ] fifty miles;
573	573	[$ 7.00] (b) seven dollars ($7.00) per
574	574	mile for the next [25 ] twenty-five miles;
575	575	[$ 4.00] (c) four dollars ($4.00) per
576	576	mile for the next [25 ] twenty-five miles; and
577	577	[$ 1.00] (d) one dollar ($1.00) per mile
578	578	for each mile in excess of [100 ] one hundred miles; and
579	579	(2) for all lines more than eight inches in
580	580	diameter:
581	581	[$18.00] (a) eighteen dollars ($18.00)
582	582	per mile for the first [25 ] twenty-five miles;
583	583	[$13.00] (b) thirteen dollars ($13.00)
584	584	per mile for the next [25 ] twenty-five miles;
585	585	[$ 9.00] (c) nine dollars ($9.00) per
586	586	mile for the next [25 ] twenty-five miles;
587	587	[$ 6.00] (d) six dollars ($6.00) per
588	588	mile for the next [25 ] twenty-five miles; and
589	589	[$ 2.00] (e) two dollars ($2.00) per
590	590	mile for each mile in excess of [100 ] one hundred miles.
591	591	C. For the purposes of determining the license fees
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620	620	payable under the provisions of [this ] Subsection B of this
621	621	section, any pipeline owned by two or more persons, firms or
622	622	corporations shall be considered to be a separate pipeline
623	623	operation to be licensed as such in the name of the operator or
624	624	owners thereof. The basic fee to be paid in the licensing of
625	625	such lines under the [foregoing ] fee schedule provided in
626	626	Subsection B of this section shall be:
627	627	(1) five hundred dollars ($500) on lines less
628	628	than twenty inches in diameter; and
629	629	(2) eight hundred fifty dollars ($850) on
630	630	lines twenty inches or more in diameter."
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