HOUSE BILL 17

57th legislature - STATE OF NEW MEXICO - first session, 2025

INTRODUCED BY

Charlotte Little and Sarah Silva and Reena Szczepanski

AN ACT

RELATING TO CONSUMER RIGHTS; CREATING THE COMMISSION ON REDUCTION OF GROCERY COSTS; REQUIRING A STUDY OF THE COST OF GROCERIES; REQUIRING A REPORT WITH FINDINGS AND RECOMMENDATIONS BY NOVEMBER 15, 2025; MAKING AN APPROPRIATION; DECLARING AN EMERGENCY.

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

     SECTION 1. TEMPORARY PROVISION--COMMISSION ON REDUCTION OF GROCERY COSTS--APPOINTMENT--PROVIDING RECOMMENDATIONS--REQUIRING REPORTING.--

          A. The "commission on reduction of grocery costs" is created and shall function from the date of its appointment

until March 31, 2026.

          B. The commission on reduction of grocery costs consists of nine members, no more than five of whom shall be from the same political party, appointed as follows:

                (1) the governor shall appoint three members;

                (2) the New Mexico legislative council shall

appoint six members; and

                (3) the appointing authorities shall make

every effort to ensure that:

                     (a) there is economic, geographic, gender, cultural and racial diversity among the appointed members; and

                     (b) members have expertise in economics, consumer protection, agriculture, trade, food production or nutrition.

          C. The commission shall elect a chair and may elect such officers as it deems necessary to carry out its duties.

          D. Two absences from meetings of the commission constitutes grounds for removal of a member of the commission. Upon the request of the chair of the commission, the appointing authority shall replace the member who has failed to attend two meetings of the commission.

          E. A majority of the members appointed constitutes a quorum for the transaction of business. The support of a majority of the members appointed is required for adoption of any action by the commission.

          F. The commission shall:

                (1) review policies and develop policy proposals for reducing the cost of groceries for New Mexico's consumers;

                (2) recommend strategies to support food businesses that produce locally grown, raised and processed raw and value-added products and to expand access to those products in retail grocery settings;

                (3) evaluate whether increased investments in supply chain infrastructure, including transportation, cold storage and aggregation, would improve the resilience and adaptability of the state's food system and reduce grocery costs and grocery price volatility;

                (4) evaluate the sufficiency of the state's laws regarding price gouging, dynamic pricing and other price manipulations that increase grocery costs for consumers;

                (5) focus its efforts on the cost of essential household foods, including eggs, milk, fresh produce, bread, tortillas and foods with minimal processing;

                (6) consider actions that the state can take to insulate the state's consumers from the impact of any federal trade agreements and changes that would increase grocery costs for consumers; and

                (7) consider any other policies or trends that contribute to increased grocery costs for consumers and make recommendations to reduce grocery costs.

          G. The commission shall submit a report of its findings, including specific recommendations and proposed legislation, to the governor, the New Mexico legislative council and the appropriate legislative interim committee dealing with consumer protections and the economy by November 15, 2025.

          H. The commission shall hire or contract for appropriate staff. Staff shall assist the commission as directed by the chair, including conducting interviews with persons that wish to express their views to the commission and synthesizing information developed through interviews for the commission. The commission may request assistance from the legislative council service and the economic development department.

          I. Members of the commission are entitled to compensation pursuant to the provisions of the Per Diem and Mileage Act and shall receive no other perquisite, compensation or allowance for their service on the commission.

     SECTION 2. APPROPRIATION.--Four hundred thousand dollars ($400,000) is appropriated from the general fund to the economic development department for expenditure in fiscal years 2025 and 2026 to support the work of the commission on reduction of grocery costs. Any unexpended or unencumbered balance remaining at the end of fiscal year 2026 shall revert to the general fund.

     SECTION 3. EMERGENCY.--It is necessary for the public peace, health and safety that this act take effect immediately.

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