SENATE BILL 444
47th legislature - STATE OF NEW MEXICO - first session, 2005
INTRODUCED BY
Shannon Robinson
FOR THE NEW MEXICO FINANCE AUTHORITY OVERSIGHT COMMITTEE
AN ACT
RELATING TO WATER; ENACTING THE WATER EFFICIENT TECHNOLOGY ACT; IMPOSING WATER EFFICIENCY FEES FOR THE DIVERSION OR WITHDRAWAL OF PUBLIC WATERS OF THE STATE; CREATING A FUND; MAKING AN APPROPRIATION.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
Section 1. [NEW MATERIAL] SHORT TITLE.--Sections 1 through 5 of this act may be cited as the "Water Efficient Technology Act".
Section 2. [NEW MATERIAL] DEFINITIONS.--As used in the Water Efficient Technology Act:
A. "domestic well" means a well permitted pursuant to Section 72-12-1.1 NMSA 1978;
B. "person" means any individual or legal entity; and
C. "public water supply system" means a system that supplies water to the public and that has at least fifteen service connections or regularly services an average of twenty-five individuals at least sixty days per year.
Section 3. [NEW MATERIAL] WATER EFFICIENCY FEES--IMPOSITION--EXCEPTIONS.--
A. In order to exercise the right to use the public waters of the state, the following water efficiency fees are imposed on the following persons for diverting or withdrawing the public waters of the state:
(1) persons operating a public water supply system, twenty-five dollars ($25.00) per acre-foot per year paid annually;
(2) persons supplying water for a commercial, industrial, mining or power production concern and for which the fees imposed by this subsection have not otherwise been imposed or paid, twenty-five dollars ($25.00) per acre-foot per year paid annually; and
(3) persons owning a domestic well, a fixed annual fee of twelve dollars fifty cents ($12.50) per well paid annually.
B. With the exception of domestic wells that are assessed a fixed annual fee, water efficiency fees shall be based on the actual diversion or withdrawal of water if measured by a metering system approved by the state engineer; otherwise, fees shall be based on the amount of the permitted, licensed, declared or adjudicated water right.
Section 4. [NEW MATERIAL] PAYMENT OF WATER EFFICIENCY FEES--EVIDENCE OF WATER RIGHT.--Payment of water efficiency fees imposed by the Water Efficient Technology Act neither confirms nor is evidence of any right to appropriate the public waters of the state.
Section 5. [NEW MATERIAL] OTHER WATER EFFICIENCY FEES--COLLECTION--INFORMATION.--
A. The taxation and revenue department shall provide by regulation for reporting requirements and the manner and form of collection of the water efficiency fees imposed by the Water Efficient Technology Act.
B. The taxation and revenue department shall provide the state engineer and the New Mexico finance authority with an annual report on the amount of fees collected by river basin for each type of fee specified in the Water Efficient Technology Act.
C. The state engineer, interstate stream commission, department of environment and public regulation commission shall provide the taxation and revenue department with the information and records necessary to assess the fees imposed by the Water Efficient Technology Act that will be collected by the taxation and revenue department.
D. A person who measures the diversion or withdrawal of public waters of the state with a metering system approved by the state engineer and who is required to pay fees imposed under the Water Efficient Technology Act shall submit to the state engineer an annual record of the amount of diversion.
Section 6. A new section of the New Mexico Finance Authority Act is enacted to read:
"[NEW MATERIAL] WATER EFFICIENT TECHNOLOGY PROJECT FUND--CREATION--PURPOSE--ADMINISTRATION.--
A. The "water efficient technology project fund" is created in the New Mexico finance authority and shall consist of distributions of the net receipts attributable to the fees imposed by the Water Efficient Technology Act, payments of principal of and interest on loans for approved water projects and net proceeds from the sale of bonds. The fund shall also consist of any other money appropriated, donated, distributed or otherwise allocated to the fund for the purpose of supporting water projects pursuant to provisions of the Water Efficient Technology Act. The fund shall be administered by the authority in accordance with the Water Efficient Technology Act and the New Mexico Finance Authority Act. Income from investment of the water efficient technology fund shall be credited to the fund. Balances in the fund at the end of any fiscal year shall not revert or be transferred to any other fund. The water efficient technology fund may consist of such subaccounts as the authority deems necessary to carry out the purposes of the fund.
B. Money in the water efficient technology fund is appropriated to the authority for the purpose of making grants or loans to qualified entities for qualifying water projects that benefit persons that have paid water efficiency fees and to pay administrative costs of the water efficient technology project grant and loan program. Qualifying water projects means:
(1) restoration and management of watersheds;
(2) state acquisition or lease of water rights from willing sellers or lessors for public use and benefit, including, but not limited to, interstate water compact deliveries; recreation projects; fish and wildlife resources and habitat; and river ecosystem rehabilitation; or
(3) water conservation projects, including, but not limited to, metering and measurement of water use; water reclamation, aquifer storage and recovery; detecting and reducing the amount of unaccounted-for water; and regional or clustered water systems.
C. The authority may issue revenue bonds payable from the proceeds of loan repayments made into the water efficient technology fund upon a determination by the authority that issuance of the bonds is necessary to replenish the principal balance of the fund. The net proceeds from the sale of the bonds shall be deposited in the water efficient technology fund. The bonds shall be authorized and issued by the authority in accordance with the provisions of the New Mexico Finance Authority Act."
Section 7. A new section of the New Mexico Finance Authority Act is enacted to read:
"[NEW MATERIAL] WATER EFFICIENT TECHNOLOGY FUND ADMINISTRATION--DUTIES OF AUTHORITY.--The New Mexico finance authority shall:
A. develop application procedures and forms for qualified entities to apply for grants and loans from the water efficient technology project fund;
B. adopt rules and procedures as required to administer the fund;
C. adopt rules and procedures for evaluating and prioritizing qualifying water projects based on the short- and long-term benefits and impacts of the project; the financial capability of the qualified entity; and the equitable distribution of water efficient technology project grants and loans across the state's river basins as measured by the amount of water efficiency fees collected from and expended within each river basin;
D. make funding recommendations to the legislature; and
E. make loans or grants to qualified entities for projects that qualify for funding pursuant to the Water Efficient Technology Act and are authorized by the legislature."
Section 8. A new section of the Tax Administration Act is enacted to read:
"[NEW MATERIAL] ADMINISTRATIVE FEE IMPOSED.--The department shall withhold an administrative fee equal to the actual cost of collection or of five percent of the receipts collected pursuant to the Water Efficient Technology Act, whichever is less."
Section 9. A new section of the Tax Administration Act is enacted to read:
"[NEW MATERIAL] DISTRIBUTIONS--WATER EFFICIENCY FEES.--Distributions pursuant to Section 7-1-6.1 NMSA 1978 shall be made to the water efficient technology project fund of all net receipts attributable to the fees imposed pursuant to the Water Efficient Technology Act."
Section 10. Section 7-1-2 NMSA 1978 (being Laws 1965, Chapter 248, Section 2, as amended) is amended to read:
"7-1-2. APPLICABILITY.--The Tax Administration Act applies to and governs:
A. the administration and enforcement of the following taxes or tax acts as they now exist or may hereafter be amended:
(1) Income Tax Act;
(2) Withholding Tax Act;
(3) Venture Capital Investment Act;
(4) Gross Receipts and Compensating Tax Act and any state gross receipts tax;
(5) Liquor Excise Tax Act;
(6) Local Liquor Excise Tax Act;
(7) any municipal local option gross receipts tax;
(8) any county local option gross receipts tax;
(9) Special Fuels Supplier Tax Act;
(10) Gasoline Tax Act;
(11) petroleum products loading fee, which fee shall be considered a tax for the purpose of the Tax Administration Act;
(12) Alternative Fuel Tax Act;
(13) Cigarette Tax Act;
(14) Estate Tax Act;
(15) Railroad Car Company Tax Act;
(16) Investment Credit Act, Capital Equipment Tax Credit Act, rural job tax credit, Laboratory Partnership with Small Business Tax Credit Act and Technology Jobs Tax Credit Act;
(17) Corporate Income and Franchise Tax Act;
(18) Uniform Division of Income for Tax Purposes Act;
(19) Multistate Tax Compact;
(20) Tobacco Products Tax Act;
(21) the telecommunications relay service surcharge imposed by Section 63-9F-11 NMSA 1978, which surcharge shall be considered a tax for the purposes of the Tax Administration Act; and
(22) the daily bed surcharge imposed on licensed nursing homes, intermediate care facilities for the mentally retarded and residential treatment centers, which surcharge shall be considered a tax for purposes of the Tax Administration Act until June 30, 2007;
B. the administration and enforcement of the following taxes, surtaxes, advanced payments or tax acts as they now exist or may hereafter be amended:
(1) Resources Excise Tax Act;
(2) Severance Tax Act;
(3) any severance surtax;
(4) Oil and Gas Severance Tax Act;
(5) Oil and Gas Conservation Tax Act;
(6) Oil and Gas Emergency School Tax Act;
(7) Oil and Gas Ad Valorem Production Tax Act;
(8) Natural Gas Processors Tax Act;
(9) Oil and Gas Production Equipment Ad Valorem Tax Act;
(10) Copper Production Ad Valorem Tax Act;
(11) any advance payment required to be made by any act specified in this subsection, which advance payment shall be considered a tax for the purposes of the Tax Administration Act;
(12) Enhanced Oil Recovery Act;
(13) Natural Gas and Crude Oil Production Incentive Act; and
(14) intergovernmental production tax credit and intergovernmental production equipment tax credit; C. the administration and enforcement of the following taxes, surcharges, fees or acts as they now exist or may hereafter be amended:
(1) Weight Distance Tax Act;
(2) the workers' compensation fee authorized by Section 52-5-19 NMSA 1978, which fee shall be considered a tax for purposes of the Tax Administration Act;
(3) Uniform Unclaimed Property Act (1995);
(4) 911 emergency surcharge and the network and database surcharge, which surcharges shall be considered taxes for purposes of the Tax Administration Act;
(5) the solid waste assessment fee authorized by the Solid Waste Act, which fee shall be considered a tax for purposes of the Tax Administration Act;
(6) the water conservation fee imposed by Section 74-1-13 NMSA 1978, which fee shall be considered a tax for the purposes of the Tax Administration Act; [and]
(7) the gaming tax imposed pursuant to the Gaming Control Act; and
(8) the water efficiency fees imposed pursuant to the Water Efficient Technology Act, which fees shall be considered a tax for the purposes of the Tax Administration Act; and
D. the administration and enforcement of all other laws, with respect to which the department is charged with responsibilities pursuant to the Tax Administration Act, but only to the extent that the other laws do not conflict with the Tax Administration Act."
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