SB 220
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AN ACT
RELATING TO RISK MANAGEMENT; REQUIRING THE PUBLICATION OF
TERMS OF LEGAL SETTLEMENT AGREEMENTS; PROVIDING FOR LOSS
PREVENTION REVIEW TEAMS; REQUIRING REPORTS.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
SECTION 1. A new section of the Sunshine Portal
Transparency Act is enacted to read:
"PUBLICATION OF LEGAL SETTLEMENT AGREEMENTS.--State
agencies or public schools that enter into an agreement to
settle a potential legal or other claim against that state
agency or public school with or without the assistance of the
risk management division of the general services department
or the public school insurance authority shall, within thirty
days of entering into a settlement agreement, provide the
terms of the settlement agreements for publication on the
sunshine portal, in a downloadable format, for free public
access."
SECTION 2. Section 15-7-1 NMSA 1978 (being Laws 1977,
Chapter 385, Section 4, as amended) is amended to read:
"15-7-1. DEFINITIONS.--As used in Chapter 15, Article 7
NMSA 1978:
A. "board" means the risk management advisory
board;
B. "director" means the director of the division; SB 220
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C. "division" means the risk management division
of the general services department;
D. "local public body" means all political
subdivisions of the state and their agencies,
instrumentalities and institutions;
E. "public employee" means any officer, employee
or servant of a governmental entity, including elected or
appointed officials, law enforcement officers and persons
acting on behalf or in service of a governmental entity in
any official capacity, whether with or without compensation,
but the term does not include an independent contractor; and
F. "state" or "state agency" means the state of
New Mexico or any of its branches, agencies, departments,
boards, instrumentalities or institutions, including regional
housing authorities."
SECTION 3. A new section of Chapter 15, Article 7
NMSA 1978 is enacted to read:
"LOSS PREVENTION REVIEW TEAMS--MEMBERSHIP--DUTIES--
REPORTING.--
A. State agencies shall notify the division
immediately upon becoming aware of an individual's death or
serious injury or other substantial loss that is alleged or
suspected to be caused at least in part by the actions of a
state agency.
B. The director shall appoint a loss prevention SB 220
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review team when the occurrence of an individual's death or
serious injury or other substantial loss is alleged or
suspected to be caused at least in part by the actions of a
state agency. The review team shall be appointed in
conjunction with the defense counsel of the division within
thirty days of the division becoming aware of such an
occurrence.
C. A loss prevention review team shall be led by
an attorney appointed by the director and additional persons
identified by the loss prevention review team lead, who may
include independent consultants, contractors, experts or
state employees, but shall not include a person directly
involved in the loss or risk of loss giving rise to a loss
prevention review or a person with testimonial knowledge of
the incident to be reviewed.
D. The loss prevention review team shall review
the death, serious injury or substantial loss and the
circumstances surrounding it, evaluate its causes and
recommend steps to reduce the risk of such incidents
occurring in the future. The review team shall accomplish
those tasks by reviewing relevant documents and interviewing
persons with relevant knowledge. After the final judgment
resolving any claims related to the loss and rights to appeal
have been exhausted or any settlement agreements have been
signed by the state and parties related to the loss, the SB 220
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review team shall submit a report in writing to the director
and the head of the state agency involved in the loss or risk
of loss. The report shall include the team's findings, an
analysis of the causes, contributing factors and future risk
and an exploration of methods that the state agency may use
to address and mitigate the risks identified, including
changes to policies or procedures, any legislative
recommendation necessary to address and carry out the risk
treatment strategies identified in the report and the manner
in which the agency will measure the effectiveness of its
changes. The report shall include a written response to the
findings, conclusions and recommendations from the head of
the state agency involved in the loss.
E. A state agency shall provide loss prevention
review teams ready access to relevant documents in the
agency's possession and ready access to the agency's
employees. Any interviews, transcripts, reports,
recommendations, communications or other documents adduced or
created in connection with a loss review investigation shall
remain confidential until after final disposition of any
related claims pursuant to Section 15-7-9 NMSA 1978.
F. The director may promulgate rules to implement
the provisions of this section.
G. On or before October 1 of each year, the
director shall submit a report to the legislature identifying SB 220
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the loss prevention reviews conducted in the past fiscal
year, providing appropriate metrics on effectiveness and
efficiency of loss prevention review team programs and
summarizing any determinations of trends in incidents,
including reductions or increases in the frequency or
magnitude of losses and innovative approaches to mitigating
the risks identified.
H. As used in this section:
(1) "serious injury" means an injury that
involves a substantial risk of death, protracted and obvious
disfigurement or protracted loss or impairment of the
function of a bodily member, organ or mental faculty; and
(2) "substantial loss" means a loss in a
possible amount greater than two hundred fifty thousand
dollars ($250,000) or a lesser amount as determined by the
director."
SECTION 4. EFFECTIVE DATE.--The effective date of the
provisions of this act is July 1, 2025.