SENATE BILL 361

54th legislature - STATE OF NEW MEXICO - first session, 2019

INTRODUCED BY

George K. Munoz

AN ACT

RELATING TO NATURAL RESOURCES; AMENDING A SECTION OF THE OIL AND GAS ACT TO LIMIT USE OF THE OIL AND GAS RECLAMATION FUND FOR AGENCY SALARIES.

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

     SECTION 1. Section 70-2-37 NMSA 1978 (being Laws 1977, Chapter 237, Section 4, as amended) is amended to read:

     "70-2-37. OIL AND GAS RECLAMATION FUND CREATED--DISPOSITION OF FUND.--There is created the "oil and gas reclamation fund". In addition to other sources, money in the fund may consist of donations. All funds in the oil and gas reclamation fund are appropriated to the energy, minerals and natural resources department for use by the oil conservation division in carrying out the provisions of the Oil and Gas Act. The primary purpose of the oil and gas reclamation fund is to pay for contract services for plugging, remediation and associated restoration work. Any use of the oil and gas reclamation fund for division employee salaries shall be limited to the following percentages of the annual distribution to the oil and gas reclamation fund in each fiscal year by the tax imposed by Section 7-30-4 NMSA 1978:

          A. in fiscal year 2022, use of the oil and gas reclamation fund for division employee salaries shall not exceed forty-five percent;

          B. in fiscal year 2023, use of the oil and gas reclamation fund for division employee salaries shall not exceed thirty-five percent;

          C. in fiscal year 2024, use of the oil and gas reclamation fund for division employee salaries shall not exceed twenty-five percent; and

          D. in fiscal year 2025 and each fiscal year thereafter, use of the oil and gas reclamation fund for division employee salaries shall not exceed fifteen percent."

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