HOUSE JOINT RESOLUTION 17

50th legislature - STATE OF NEW MEXICO - second session, 2012

INTRODUCED BY

Henry 'Kiki' Saavedra

A JOINT RESOLUTION

PROPOSING TO AMEND ARTICLE 11 OF THE CONSTITUTION OF NEW MEXICO TO REMOVE THE REGULATION OF INSURANCE COMPANIES AND OTHERS ENGAGED IN RISK ASSUMPTION FROM THE PUBLIC REGULATION COMMISSION AND PLACE IT UNDER A SUPERINTENDENT OF INSURANCE APPOINTED FROM NOMINEES SUBMITTED TO THE GOVERNOR BY THE INSURANCE NOMINATING COMMITTEE.

BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

     SECTION 1. It is proposed to amend Article 11, Section 2 of the constitution of New Mexico to read:

     "The public regulation commission shall have responsibility for chartering and regulating business corporations in such manner as the legislature shall provide. The commission shall have responsibility for regulating public utilities, including electric, natural gas and water companies; transportation companies, including common and contract carriers; transmission and pipeline companies, including telephone, telegraph and information transmission companies; [insurance companies and others engaged in risk assumption] and other public service companies in such manner as the legislature shall provide. The public regulation commission shall have responsibility for regulating insurance companies and others engaged in risk assumption as provided by law until July 1, 2013."

     SECTION 2. It is proposed to amend Article 11 of the constitution of New Mexico by adding a new section to read:

          "A. The office of "superintendent of insurance" is created as of July 1, 2013. The superintendent of insurance shall regulate insurance companies and others engaged in risk assumption in such manner as provided by law. The superintendent of insurance shall be appointed by the governor with the consent of the senate for terms of four years from a list of nominees submitted to the governor by the insurance nominating committee; provided that the term of the first superintendent of insurance appointed pursuant to this 2012 amendment shall begin on July 1, 2013 and end on December 31, 2015. Vacancies shall be filled for the remainder of the unexpired term in the same manner as original appointments.

          B. The insurance nominating committee shall consist of eight members, no more than four of whom may be members of the same political party, two appointed by the president pro tempore of the senate, two appointed by the speaker of the house of representatives, two appointed by the house floor leader of the party with the second-highest number of seats in the house of representatives and two appointed by the senate floor leader of the party with the second-highest number of seats in the senate. The insurance nominating committee shall evaluate applications for superintendent of insurance in accordance with qualifications for superintendent of insurance established by law."

     SECTION 3. The amendment proposed by this resolution shall be submitted to the people for their approval or rejection at the next general election or at any special election prior to that date that may be called for that purpose.

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