New Mexico 2025 Regular Session

New Mexico Senate Bill SB182 Compare Versions

Only one version of the bill is available at this time.
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2828 SENATE BILL 182
2929 57
3030 TH LEGISLATURE
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4242 FIRST SESSION
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4545 2025
4646 INTRODUCED BY
4747 Pat Woods
4848 FOR THE LEGISLATIVE FINANCE COMMITTEE
4949 AN ACT
5050 RELATING TO PUBLIC LIABILITY; ESTABLISHING COVERAGE LIMITS ON
5151 INSURANCE COVERAGE OFFERED BY THE RISK MANAGEMENT DIVISION OF
5252 THE GENERAL SERVICES DEPARTMENT; AMENDING SECTION 15-7-3 NMSA
5353 1978 (BEING LAWS 1978, CHAPTER 166, SECTION 8, AS AMENDED).
5454 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
5555 SECTION 1. Section 15-7-3 NMSA 1978 (being Laws 1978,
5656 Chapter 166, Section 8, as amended) is amended to read:
5757 "15-7-3. ADDITIONAL POWERS AND DUTIES OF THE RISK
5858 MANAGEMENT DIVISION.--
5959 A. The risk management division of the general
6060 services department may:
6161 (1) enter into contracts;
6262 (2) procure insurance, reinsurance or employee
6363 group benefits; provided that:
6464 .229278.1 underscored material = new
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9191 (a) coverage shall not exceed: 1) five
9292 hundred thousand dollars ($500,000) for insurance for property
9393 damages; 2) one million fifty thousand dollars ($1,050,000) for
9494 general liability insurance; and 3) the limits established in
9595 Section 41-4A-6 NMSA 1978 for civil rights liability;
9696 (b) any proposal or contract for the
9797 procurement of any group health care benefits shall be subject
9898 to the provisions of the Health Care Purchasing Act; and
9999 [provided further that ]
100100 (c) reinsurance or excess coverage
101101 insurance may be placed by private negotiation, notwithstanding
102102 the provisions of the Procurement Code, if the insurance or
103103 reinsurance has a restricted number of interested carriers, the
104104 board determines that the coverage is in the interest of the
105105 state and cannot otherwise be procured for a reasonable cost
106106 and the director seeks the advice and review of the board in
107107 the placement and in designing private negotiation procedures;
108108 (3) in the manner prescribed by Subsection E
109109 of Section 9-17-5 NMSA 1978, after a notice and a public
110110 hearing, prescribe by rule reasonable and objective
111111 underwriting and safety standards for governmental entities and
112112 reasonable standards for municipal self-insurance pooling
113113 agreements covering liability under the Tort Claims Act and
114114 adopt such other [regulations ] rules as may be deemed
115115 necessary;
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144144 (4) compromise, adjust, settle and pay claims;
145145 (5) pay expenses and costs;
146146 (6) in the manner prescribed by Subsection E
147147 of Section 9-17-5 NMSA 1978, prescribe by rule the rating
148148 bases, assessments, penalties and risks to be covered by the
149149 public liability fund, the workers' compensation retention fund
150150 and the public property reserve fund and the extent such risks
151151 are to be covered;
152152 (7) issue certificates of coverage in
153153 accordance with Paragraph (6) of this subsection:
154154 (a) to any governmental entity for any
155155 tort liability risk covered by the public liability fund;
156156 (b) to any governmental entity for any
157157 personal injury liability risk or for the defense of any errors
158158 or act or omission or neglect or breach of duty, including the
159159 risks set forth in Paragraph (2) of Subsection B and Paragraph
160160 (2) of Subsection D of Section 41-4-4 NMSA 1978; and
161161 (c) to any governmental entity for any
162162 part of risk covered by the workers' compensation retention
163163 fund, the surety bond fund or the public property reserve fund;
164164 (8) study the risks of all governmental
165165 entities;
166166 (9) initiate the establishment of safety
167167 programs and adopt rules to carry out such programs in the
168168 manner prescribed by Subsection E of Section 9-17-5 NMSA 1978;
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197197 (10) hire a safety program director who shall
198198 coordinate all safety programs of all state agencies;
199199 (11) consult with and advise local public
200200 bodies on their risk management problems; and
201201 (12) employ full-time legal counsel who shall
202202 be under the exclusive control and supervision of the director
203203 and the secretary of general services.
204204 B. The risk management division of the general
205205 services department shall provide liability coverage for the
206206 following risks:
207207 (1) a claim made pursuant to the provisions of
208208 42 USC Section 1983 against a nonprofit corporation, members of
209209 its board of directors or its employees when the claim is based
210210 upon action taken pursuant to the provisions of a contract
211211 between the corporation and the [department of ] health care
212212 authority under which the corporation provides developmental or
213213 intellectual disability services to clients of the [department ]
214214 authority and the claim is made by or on behalf of a client;
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216216 (2) a claim made pursuant to the provisions of
217217 42 USC Section 1983 against a nonprofit corporation, members of
218218 its board of directors or its employees when the corporation
219219 operates a health facility licensed by the [department of ]
220220 health care authority as an intermediate care facility for
221221 [individuals] persons with developmental or intellectual
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250250 disabilities and the claim is based upon action taken pursuant
251251 to the provisions of the license and is made by or on behalf of
252252 a resident of the licensed facility.
253253 C. The director shall report findings and
254254 recommendations, if any, for the consideration of each
255255 legislature. The report shall include the amount and name of
256256 any person receiving payment from the public liability fund of
257257 any claim paid during the previous fiscal year exceeding one
258258 thousand dollars ($1,000). The report shall be made available
259259 to the legislature on or before December 15 preceding each
260260 regular legislative session."
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