New Mexico 2025 Regular Session

New Mexico Senate Bill SB423 Compare Versions

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

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28	28	SENATE BILL 423
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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37	37	NEW
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39	39	MEXICO
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42	42	FIRST SESSION
43	43	,
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45	45	2025
46	46	INTRODUCED BY
47	47	Larry R. Scott and James G. Townsend and David M. Gallegos and
48	48	Jay C. Block
49	49	AN ACT
50	50	RELATING TO RULES; REQUIRING THE LEGISLATIVE FINANCE COMMITTEE
51	51	TO CONDUCT RULE IMPACT ANALYSES OF MAJOR RULES; PROVIDING
52	52	PROCEDURES; AMENDING THE ADMINISTRATIVE PROCEDURES ACT;
53	53	DEFINING TERMS; REQUIRING MAJOR RULES TO BE AUTHORIZED BY LAW
54	54	IN CERTAIN CIRCUMSTANCES; PROVIDING THAT ALL RULES PROMULGATED
55	55	BY A STATE AGENCY SHALL BE SUBJECT TO THE APPROVAL OF THE
56	56	GOVERNOR; PROVIDING PROCEDURES FOR JUDICIAL REVIEW OF RULES;
57	57	AMENDING AND ENACTING SECTIONS OF THE STATE RULES ACT;
58	58	PROVIDING NOTICE REQUIREMENTS; PROVIDING FOR THE AUTOMATIC
59	59	EXPIRATION OF RULES FIVE YEARS AFTER THE ADOPTION OF THE RULES;
60	60	PROVIDING A PROCESS FOR THE LEGISLATIVE RENEWAL OF RULES.
61	61	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
62	62	SECTION 1. Section 2-5-4 NMSA 1978 (being Laws 1967,
63	63	Chapter 267, Section 1) is amended to read:
64	64	.229792.4 underscored material = new
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91	91	"2-5-4. LEGISLATIVE FINANCE COMMITTEE--ADDITIONAL
92	92	DUTIES.--
93	93	A. The legislative finance committee, in addition
94	94	to all other duties prescribed by law, shall annually review
95	95	budgets and appropriations requests and the operation and
96	96	management of selected state agencies, departments and
97	97	institutions and shall make recommendations with respect
98	98	thereto to the legislature.
99	99	B. To carry out the purposes of this section, the
100	100	legislative finance committee shall establish a budget analysis
101	101	division staffed with persons knowledgeable and proficient in
102	102	budget analysis and budget preparation.
103	103	C. Each state agency, department and institution
104	104	shall furnish to the legislative finance committee a copy of
105	105	its appropriation request made to the department of finance and
106	106	administration at the same time [such ] the request is made [to
107	107	such department]. Each state agency, department or institution
108	108	shall also furnish to the legislative finance committee and its
109	109	staff any other supporting information or data deemed necessary
110	110	to carry out the purposes of this section.
111	111	D. The legislative finance committee or, when it
112	112	deems necessary, its staff may hold such hearings and require
113	113	such testimony from officers and employees of each state
114	114	agency, department or institution as is necessary to carry out
115	115	the purposes of this section.
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144	144	E. Not later than the first week of any regular
145	145	legislative session, the legislative finance committee shall
146	146	furnish a document containing its budget recommendations to
147	147	each member of the senate finance committee and the house
148	148	appropriations and finance committee and to those other members
149	149	of the legislature [which ] who may request it. A copy shall
150	150	also be furnished to the governor and to the department of
151	151	finance and administration.
152	152	F. The legislative finance committee shall
153	153	determine whether an agency rule constitutes a major rule
154	154	pursuant to the Administrative Procedures Act, if requested by
155	155	the president pro tempore of the senate, the speaker of the
156	156	house of representatives or the chair or ranking minority
157	157	member of any legislative committee with jurisdiction over the
158	158	subject matter of the rule. The legislative finance committee
159	159	shall:
160	160	(1) provide a rule impact analysis within
161	161	fifteen days of submission of a major rule as determined
162	162	pursuant to this subsection, which shall include:
163	163	(a) an impact analysis of any grants
164	164	received from the federal government or from other sources
165	165	external to state government when requested by the president
166	166	pro tempore of the senate, the speaker of the house of
167	167	representatives or any chair or ranking minority member of any
168	168	legislative committee with jurisdiction over the subject matter
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197	197	of the grant;
198	198	(b) a statement of need;
199	199	(c) the authorizing statute for the rule
200	200	or the grant;
201	201	(d) an examination of alternatives to
202	202	the rule;
203	203	(e) an evaluation of the costs and
204	204	benefits of the rule, which shall include an estimation of: 1)
205	205	direct benefits of the rule; 2) cost savings or financial
206	206	benefits to the public; 3) cost compliance for entities
207	207	affected by the rule; 4) secondary or indirect costs; 5) effect
208	208	on state revenue; 6) effect on state expenditures, including
209	209	estimated administrative expenses; and 7) opportunity costs,
210	210	including the opportunity cost of compliance as a result of any
211	211	private capital from the market;
212	212	(f) the sources relied upon in
213	213	conducting the rule impact analysis; and
214	214	(g) any key assumptions and sources of
215	215	uncertainty;
216	216	(2) undertake such analysis during a
217	217	legislative session, as necessary; and
218	218	(3) make each rule impact analysis publicly
219	219	available and provide, at the end of each calendar year, the
220	220	president pro tempore of the senate and the speaker of the
221	221	house of representatives a report summarizing the rules
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250	250	evaluated in that year. "
251	251	SECTION 2. Section 12-8-2 NMSA 1978 (being Laws 1969,
252	252	Chapter 252, Section 2) is amended to read:
253	253	"12-8-2. DEFINITIONS.--As used in the Administrative
254	254	Procedures Act:
255	255	A. "agency" means any state board, commission,
256	256	department or officer that is authorized by law to make rules,
257	257	conduct adjudicatory proceedings, make determinations, grant
258	258	licenses, impose sanctions, grant or withhold relief or perform
259	259	other actions or duties delegated by law and [which ] that is
260	260	specifically placed by law under the Administrative Procedures
261	261	Act;
262	262	B. "adjudicatory proceeding" means a proceeding
263	263	before an agency, including but not limited to ratemaking and
264	264	licensing, in which legal rights, duties or privileges of a
265	265	party are required by law to be determined by an agency after
266	266	an opportunity for a trial-type hearing; but does not include a
267	267	mere rulemaking proceeding as provided in Section [3 of the
268	268	Administrative Procedures Act ] 12-8-3 NMSA 1978. It also
269	269	includes the formation and issuance of any order, the
270	270	imposition or withholding of any sanction and the granting or
271	271	withholding of any relief, as well as any of the foregoing
272	272	types of determinations or actions wherein no procedure or
273	273	hearing provision has been otherwise provided for or required
274	274	by law;
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303	303	C. "license" includes the whole or part of any
304	304	agency permit, certificate, approval, registration, charter,
305	305	membership, statutory exemption or other form of permission
306	306	required by law;
307	307	D. "licensing" includes the agency process
308	308	respecting the grant, denial, renewal, revocation, suspension,
309	309	annulment, withdrawal, amendment, limiting, modifying or
310	310	conditioning of a license;
311	311	E. "major rule" means a rule or an emergency rule
312	312	that will result in or is likely to result in:
313	313	(1) an annual effect on the state of ten
314	314	million dollars ($10,000,000) or more;
315	315	(2) costs to individuals or industries of ten
316	316	million dollars ($10,000,000) or more;
317	317	(3) significant adverse effects on
318	318	competition, employment, investment, productivity, innovation
319	319	or individual industries or regions; and
320	320	(4) significant changes in social or cultural
321	321	relations among citizens, including significant impact on
322	322	religions and ethnic, racial or gender populations;
323	323	[E.] F. "party" means each person or agency named
324	324	or admitted as a party or properly seeking and entitled as of
325	325	right to be admitted as a party, whether for general or limited
326	326	purposes;
327	327	[F.] G. "person" means any individual, partnership,
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356	356	corporation, association, governmental subdivision or public or
357	357	private organization of any character other than an agency;
358	358	[G.] H. "rule" includes the whole or any part of
359	359	every regulation, standard, statement or other requirement of
360	360	general or particular application adopted by an agency to
361	361	implement, interpret or prescribe law or policy enforced or
362	362	administered by an agency, if the adoption or issuance of such
363	363	rules is specifically authorized by the law giving the agency
364	364	jurisdiction over such matters. It also includes any statement
365	365	of procedure or practice requirements specifically authorized
366	366	by the Administrative Procedures Act or other law, but it does
367	367	not include:
368	368	(1) advisory rulings issued under Section [9
369	369	of the Administrative Procedures Act ] 12-8-9 NMSA 1978;
370	370	(2) regulations concerning only the internal
371	371	management or discipline of the adopting agency or any other
372	372	agency and not affecting the rights of, or the procedures
373	373	available to, the public or any person except an agency's
374	374	members, officers or employees in their capacity as such
375	375	member, officer or employee;
376	376	(3) regulations concerning only the
377	377	management, confinement, discipline or release of inmates of
378	378	state penal, correctional, public health or mental
379	379	institutions;
380	380	(4) regulations relating to the use of highways
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409	409	or streets when the substance of the regulations is indicated
410	410	to the public by means of signs or signals; or
411	411	(5) decisions issued or actions taken or denied
412	412	in adjudicatory proceedings;
413	413	[H.] I. "rulemaking" means any agency process for the
414	414	formation, amendment or repeal of a rule;
415	415	[I.] J. "order" means the whole or any part of the
416	416	final or interim disposition, whether affirmative, negative,
417	417	injunctive or declaratory in form, by an agency in any matter
418	418	other than rulemaking but including licensing;
419	419	[J.] K. "sanction" includes the whole or part of any
420	420	agency:
421	421	(1) prohibition, requirement, limitation or
422	422	other condition affecting the freedom of any person or [his ]
423	423	the person's property;
424	424	(2) withholding of relief;
425	425	(3) imposition of any form of penalty;
426	426	(4) destruction, taking, seizure or withholding
427	427	of property;
428	428	(5) assessment of damages, reimbursement,
429	429	restitution, compensation, taxation, costs, charges or fees;
430	430	(6) requirement, revocation, amendment,
431	431	limitation or suspension of a license; or
432	432	(7) taking or withholding of other compulsory,
433	433	restrictive or discretionary action;
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462	462	[K.] L. "relief" includes the whole or part of any
463	463	agency:
464	464	(1) grant of money, assistance, license,
465	465	authority, exemption, exception, privilege or remedy;
466	466	(2) recognition of any claim, right, interest,
467	467	immunity, privilege, exemption or exception; or
468	468	(3) taking of any other action upon the
469	469	application or petition of, and beneficial to, any person;
470	470	[L.] M. "agency proceedings" means any agency process
471	471	in connection with rulemaking, orders, adjudication, licensing,
472	472	imposition or withholding of sanctions or the granting or
473	473	withholding of relief; and
474	474	[M.] N. "agency action" includes the whole or part of
475	475	every agency rule, order, license, sanction or relief, or the
476	476	equivalent or denial thereof, or failure to act."
477	477	SECTION 3. Section 12-8-4 NMSA 1978 (being Laws 1969,
478	478	Chapter 252, Section 4) is amended to read:
479	479	"12-8-4. RULEMAKING PREREQUISITES.--
480	480	A. Prior to the adoption, amendment or repeal of any
481	481	rule, the agency shall, within the time specified by law or, if
482	482	no time is specified, then at least thirty days prior to its
483	483	proposed action:
484	484	(1) publish notice of its proposed action in the
485	485	manner specified by law or, if no manner is specified, then in
486	486	newspapers or trade, industrial or professional publications as
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515	515	will reasonably give public notice to interested persons; [and ]
516	516	(2) notify any person specified by law and, in
517	517	addition, any person or group filing written request, the
518	518	request to be renewed yearly as the agency directs by rule, for
519	519	notice of proposed action which may affect that person or
520	520	group, notification being by mail or otherwise to the last
521	521	address specified by the person or group. The notice shall:
522	522	(a) give the time and place of any public
523	523	hearing or state the manner in which data, views or arguments
524	524	may be submitted to the agency by any interested person;
525	525	(b) either state the express terms or
526	526	adequately describe the substance of the proposed action or
527	527	adequately state the subjects and issues involved; and
528	528	(c) include any additional matter required
529	529	by any law, together with specific reference to the statutory
530	530	authority under which the rule is proposed; and
531	531	(3) afford all interested persons reasonable
532	532	opportunity to submit data, views or arguments orally or in
533	533	writing and examine witnesses, unless otherwise provided by
534	534	law. If the agency finds that oral presentation is unnecessary
535	535	or impracticable, it may require that presentation be made in
536	536	writing. The agency shall consider fully all written and oral
537	537	submissions respecting the proposed rule. Upon adoption of a
538	538	rule contested at hearing or otherwise, the agency shall issue
539	539	a concise statement of its principal reasons for adoption of
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568	568	the rule and a statement of positions rejected in adopting the
569	569	rule together with the reasons for the rejections. All persons
570	570	heard or represented at any hearing or who submit any writing
571	571	to be considered in connection with the proposed rule shall
572	572	promptly be given a copy of the decision, by mail or otherwise.
573	573	B. Subject to the exceptions of this section, a major
574	574	rule shall not take effect before the legislature authorizes
575	575	the major rule by law. A major rule may take effect no later
576	576	than sixty days, if so specified in the proposed major rule and
577	577	if such major rule was not disapproved by the legislature
578	578	before its effective date. The legislative finance committee
579	579	shall provide a report on each major rule to each chamber of
580	580	the legislature by the end of the tenth regularly scheduled
581	581	legislative day during a regular legislative session after the
582	582	major rule's submission. The report shall include an
583	583	assessment of the agency's compliance with the procedure
584	584	required pursuant to Subsection B of Section 14-4-5.2 NMSA
585	585	1978.
586	586	[B.] C. If the agency finds that immediate adoption,
587	587	amendment or suspension of a rule is necessary for the
588	588	preservation of the public peace, health, safety or general
589	589	welfare, or if the agency for good cause finds that observance
590	590	of the requirements of notice and public hearing would be
591	591	contrary to the public interest, the agency may dispense with
592	592	such requirements and adopt, amend or suspend the rule as an
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621	621	emergency. The agency's finding and a brief statement of the
622	622	reasons for its finding shall be incorporated in the emergency
623	623	rule, amendment or suspension filed under Section [5 of the
624	624	Administrative Procedures Act ] 12-8-5 NMSA 1978. Upon adoption
625	625	of an emergency rule, amendment or suspension which shall
626	626	remain in effect for longer than sixty days, notice shall be
627	627	given within seven days as required in this section for
628	628	proposed rules.
629	629	D. A major rule may go into effect earlier than
630	630	specified in Subsection B of this section if the governor
631	631	publishes a statement with the rule:
632	632	(1) explaining why an emergency exists that
633	633	requires an earlier effective date for the rule or why a
634	634	federal requirement or federal funding requires an earlier
635	635	effective date; and
636	636	(2) explaining why the issuance of the major
637	637	rule otherwise complies with the emergency powers laws of this
638	638	state or is otherwise required pursuant to federal law or for
639	639	federal funding purposes.
640	640	E. A major rule promulgated pursuant to Subsection D
641	641	of this section shall remain in effect until the succeeding
642	642	regular legislative session, after which the rule shall expire
643	643	unless the rule is authorized by law during that regular
644	644	legislative session.
645	645	F. The adoption of any rule proposed by an agency
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674	674	shall be subject to the approval of the governor. An agency
675	675	shall not submit for publication in the New Mexico register any
676	676	required notice of adoption of a rule or the amendment of an
677	677	existing rule without first receiving from and including a copy
678	678	of the written approval of the adopted or amended rule from the
679	679	governor."
680	680	SECTION 4. Section 12-8-8 NMSA 1978 (being Laws 1969,
681	681	Chapter 252, Section 8) is amended to read:
682	682	"12-8-8. JUDICIAL REVIEW BY DECLARATORY JUDGMENT--
683	683	GRANTING RELIEF NOT OTHERWISE PROVIDED FOR.--
684	684	A. Unless otherwise provided by law, the validity or
685	685	applicability of a rule may be determined in an action for
686	686	declaratory judgment in the district court of Santa Fe county
687	687	if the rule, or its threatened application, interferes with or
688	688	impairs, or threatens to interfere with or impair, the
689	689	interests, rights or privileges of the plaintiff. Any
690	690	representative association, including but not limited to trade
691	691	associations, labor unions or professional organizations, may
692	692	file the action if one or more of its members could qualify as
693	693	a plaintiff. The agency shall be made a party to the action.
694	694	A declaratory judgment may be rendered whether or not the
695	695	plaintiff has requested the agency to pass upon the validity or
696	696	applicability of the rule in question. The district court may
697	697	determine whether an agency or the legislature has completed
698	698	the necessary requirements for a rule to take effect, including
699	699	.229792.4
700	700	- 13 - underscored material = new
701	701	[bracketed material] = delete
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727	727	de novo review of whether a rule is a major rule that requires
728	728	delayed legislative consideration or approval by the
729	729	legislature before it takes effect.
730	730	B. The district court of Santa Fe county may enter
731	731	orders after reasonable notice and hearing upon any matter not
732	732	otherwise provided for in the Administrative Procedures Act,
733	733	including but not limited to procedural or substantive matters
734	734	of law or equity. This right may be utilized at any stage of a
735	735	proceeding, and failure to utilize the right until final
736	736	decision, action or order shall not be deemed a waiver
737	737	[thereof] of that right. If such questions are raised upon
738	738	review or appeal in the court of appeals, the court of appeals
739	739	may enter any orders which could have been entered by the
740	740	district court.
741	741	C. Legislation authorizing the promulgation of a
742	742	major rule pursuant to Section 12-8-4 NMSA 1978 shall not be
743	743	interpreted to serve as a grant or modification of statutory
744	744	authority by the legislature for the promulgation of a rule.
745	745	The court shall not extinguish any substantive or procedural
746	746	claim against any alleged defect in a rule on the basis of the
747	747	rule's authorizing statute, and the authorizing statute shall
748	748	not form part of the record before the court in any judicial
749	749	proceeding concerning a rule except for purposes of determining
750	750	whether or not the rule is in effect violating that statutory
751	751	authority."
752	752	.229792.4
753	753	- 14 - underscored material = new
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780	780	SECTION 5. Section 14-4-2 NMSA 1978 (being Laws 1967,
781	781	Chapter 275, Section 2, as amended) is amended to read:
782	782	"14-4-2. DEFINITIONS.--As used in the State Rules Act:
783	783	A. "agency" means any agency, board, commission,
784	784	department, institution or officer of the state government
785	785	except the judicial and legislative branches of the state
786	786	government;
787	787	B. "major rule" means a rule or an emergency rule
788	788	that will result in or is likely to result in:
789	789	(1) an annual effect on the state of ten million
790	790	dollars ($10,000,000) or more;
791	791	(2) costs to individuals or industries of ten
792	792	million dollars ($10,000,000) or more;
793	793	(3) significant adverse effects on competition,
794	794	employment, investment, productivity, innovation or individual
795	795	industries or regions; and
796	796	(4) significant changes in social or cultural
797	797	relations among citizens, including significant impact on
798	798	religions and ethnic, racial or gender populations;
799	799	[B.] C. "person" includes individuals, associations,
800	800	partnerships, companies, business trusts, political
801	801	subdivisions and corporations;
802	802	[C.] D. "proceeding" means a formal agency process or
803	803	procedure that is commenced or conducted pursuant to the State
804	804	Rules Act;
805	805	.229792.4
806	806	- 15 - underscored material = new
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831	831	24
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833	833	[D.] E. "proposed rule" means a rule that is provided
834	834	to the public by an agency for review and public comment prior
835	835	to its adoption, amendment or repeal, and for which there is
836	836	specific legal authority authorizing the proposed rule;
837	837	[E.] F. "provide to the public" means for an agency
838	838	to distribute rulemaking information by:
839	839	(1) posting it on the agency website, if any;
840	840	(2) posting it on the sunshine portal;
841	841	(3) making it available in the agency's
842	842	district, field and regional offices, if any;
843	843	(4) sending it by electronic mail to persons who
844	844	have made a written request for notice from the agency of
845	845	announcements addressing the subject of the rulemaking
846	846	proceeding and who have provided an electronic mail address to
847	847	the agency;
848	848	(5) sending it by electronic mail to persons who
849	849	have participated in the rulemaking and who have provided an
850	850	electronic mail address to the agency;
851	851	(6) sending written notice that includes, at a
852	852	minimum, an internet and street address where the information
853	853	may be found to persons who provide a postal address; and
854	854	(7) providing it to the New Mexico legislative
855	855	council for distribution to appropriate interim and standing
856	856	legislative committees;
857	857	[F.] G. "rule" means any rule, regulation or
858	858	.229792.4
859	859	- 16 - underscored material = new
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886	886	standard, including those that explicitly or implicitly
887	887	implement or interpret a federal or state legal mandate or
888	888	other applicable law and amendments thereto or repeals and
889	889	renewals thereof, issued or promulgated by any agency and
890	890	purporting to affect one or more agencies besides the agency
891	891	issuing the rule or to affect persons not members or employees
892	892	of the issuing agency, including affecting persons served by
893	893	the agency. An order or decision or other document issued or
894	894	promulgated in connection with the disposition of any case or
895	895	agency decision upon a particular matter as applied to a
896	896	specific set of facts shall not be deemed such a rule, nor
897	897	shall it constitute specific adoption thereof by the agency.
898	898	"Rule" does not include rules relating to the management,
899	899	confinement, discipline or release of inmates of any penal or
900	900	charitable institution, the New Mexico boys' school, the girls'
901	901	welfare home or any hospital; rules made relating to the
902	902	management of any particular educational institution, whether
903	903	elementary or otherwise; or rules made relating to admissions,
904	904	discipline, supervision, expulsion or graduation of students
905	905	from any educational institution; and
906	906	[G.] H. "rulemaking" means the process for adoption
907	907	of a new rule or the amendment, readoption or repeal of an
908	908	existing rule."
909	909	SECTION 6. Section 14-4-5.2 NMSA 1978 (being Laws 2017,
910	910	Chapter 137, Section 4) is amended to read:
911	911	.229792.4
912	912	- 17 - underscored material = new
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937	937	24
938	938	25
939	939	"14-4-5.2. NOTICE OF PROPOSED RULEMAKING.--
940	940	A. Not later than thirty days before a public rule
941	941	hearing, the agency proposing the rule shall provide to the
942	942	public and publish in the New Mexico register a notice of
943	943	proposed rulemaking. The notice shall include:
944	944	(1) a summary of the full text of the proposed
945	945	rule;
946	946	(2) a short explanation of the purpose of the
947	947	proposed rule;
948	948	(3) a citation to the specific legal authority
949	949	authorizing the proposed rule and the adoption of the rule;
950	950	(4) information on how a copy of the full text
951	951	of the proposed rule may be obtained;
952	952	(5) information on how a person may comment on
953	953	the proposed rule, where comments will be received and when
954	954	comments are due;
955	955	(6) information on where and when a public rule
956	956	hearing will be held and how a person may participate in the
957	957	hearing; [and]
958	958	(7) a citation to technical information, if any,
959	959	that served as a basis for the proposed rule, and information
960	960	on how the full text of the technical information may be
961	961	obtained;
962	962	(8) a classification of a rule as a major rule
963	963	or a rule that is not a major rule, including an explanation
964	964	.229792.4
965	965	- 18 - underscored material = new
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967	967	1
968	968	2
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992	992	for why the rule is or is not a major rule;
993	993	(9) a list of any other proposed rulemaking
994	994	intended to implement the same authorizing statute or other
995	995	objective and individual and aggregate economic effects of
996	996	those rulemaking actions; and
997	997	(10) the proposed effective date of the proposed
998	998	rule.
999	999	B. On the date of submission of a notice pursuant to
1000	1000	this section, the agency shall submit to the legislative
1001	1001	finance committee and to each chamber of the legislature a
1002	1002	cost-benefit analysis of the proposed rule, including an
1003	1003	analysis of any employment positions added or lost,
1004	1004	differentiating between public and private sector employment.
1005	1005	[B.] C. An agency may charge a reasonable fee for
1006	1006	providing any records in nonelectronic form when provided to a
1007	1007	person pursuant to this section. An agency shall not charge a
1008	1008	fee for providing any records in electronic form when provided
1009	1009	to a person pursuant to this section.
1010	1010	[C.] D. An internet link providing free access to the
1011	1011	full text of the proposed rule shall be included on the notice
1012	1012	of proposed rulemaking.
1013	1013	[D.] E. If the agency changes the date of the public
1014	1014	rule hearing or the deadline for submitting comments as stated
1015	1015	in the notice, the agency shall provide notice to the public of
1016	1016	the change.
1017	1017	.229792.4
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1045	1045	[E.] F. The state records administrator or the
1046	1046	administrator's designee shall timely publish the notice of
1047	1047	proposed rulemaking in the next publication of the New Mexico
1048	1048	register."
1049	1049	SECTION 7. A new section of the State Rules Act is
1050	1050	enacted to read:
1051	1051	"[NEW MATERIAL] AUTOMATIC RULE EXPIRATION--RULE RENEWAL BY
1052	1052	LEGISLATIVE AUTHORIZATION.--
1053	1053	A. Except as otherwise provided by law, a rule or
1054	1054	major rule adopted pursuant to the State Rules Act shall expire
1055	1055	on January 1 of the fifth year after the rule takes effect,
1056	1056	unless the rule expires or is repealed on an earlier date.
1057	1057	B. The legislature may authorize by law the renewal
1058	1058	of a rule or a major rule. If the legislature does not renew a
1059	1059	rule for an additional term of five years by law within sixty
1060	1060	days of receiving an agency's review of the rule, the rule
1061	1061	shall terminate. Nothing in this subsection shall preclude the
1062	1062	legislature from repealing a rule prior to the expiration date
1063	1063	of the rule.
1064	1064	C. An agency may request the renewal by the
1065	1065	legislature of a rule subject to expiration. The request shall
1066	1066	be submitted no more than two years prior to the expiration of
1067	1067	the rule, shall demonstrate why the rule is required for
1068	1068	another five years and shall include a cost-benefit analysis of
1069	1069	the rule. The agency shall publish the request on its website
1070	1070	.229792.4
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1098	1098	at the time that the agency submits the request to the
1099	1099	legislature.
1100	1100	D. The state records administrator shall provide
1101	1101	notice to the promulgating agency at least eighteen months
1102	1102	prior to a rule's expiration date."
1103	1103	SECTION 8. Section 14-4A-6 NMSA 1978 (being Laws 2005,
1104	1104	Chapter 244, Section 6) is amended to read:
1105	1105	"14-4A-6. PERIODIC REVIEW OF RULES.--
1106	1106	A. By July 1, 2010, each agency shall have reviewed
1107	1107	all of its rules that existed on the effective date of the
1108	1108	Small Business Regulatory Relief Act to determine whether the
1109	1109	rules should be continued without change or should be amended
1110	1110	or repealed to minimize the economic impact of the rules on
1111	1111	small businesses, subject to compliance with the stated
1112	1112	objectives of the laws pursuant to which the rules were
1113	1113	adopted.
1114	1114	B. Rules adopted and promulgated after [the effective
1115	1115	date of the Small Business Regulatory Relief Act ] July 1, 2005
1116	1116	shall be reviewed every five years to ensure that they continue
1117	1117	to minimize economic impacts on small businesses while
1118	1118	implementing the state objectives of the laws pursuant to which
1119	1119	the rules were adopted.
1120	1120	C. In reviewing its rules to minimize economic
1121	1121	impacts on small businesses, an agency shall consider the
1122	1122	following factors:
1123	1123	.229792.4
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1151	1151	(1) continued need for the rule;
1152	1152	(2) the nature of complaints or comments
1153	1153	received from the public concerning the rule;
1154	1154	(3) the complexity of the rule;
1155	1155	(4) the extent to which the rule overlaps,
1156	1156	duplicates or conflicts with other federal, state and local
1157	1157	government rules; and
1158	1158	(5) the length of time since the rule has been
1159	1159	evaluated or the degree to which technology, economic
1160	1160	conditions or other factors have changed in the topical area
1161	1161	affected by the rule.
1162	1162	D. After conducting a review pursuant to this
1163	1163	section, an agency shall submit the agency's review findings to
1164	1164	the legislature."
1165	1165	SECTION 9. TEMPORARY PROVISION--EXPIRATION OF EXISTING
1166	1166	RULES.--All existing rules adopted by state agencies pursuant
1167	1167	to the State Rules Act shall be considered adopted on the
1168	1168	effective date of this act.
1169	1169	- 22 -
1170	1170	.229792.4