SENATE FINANCE COMMITTEE SUBSTITUTE FOR

SENATE BILL 470

48th legislature - STATE OF NEW MEXICO - first session, 2007

 

 

 

 

 

 

 

AN ACT

RELATING TO PUBLIC LANDS; ADDRESSING REFUNDS FOR ERRONEOUS PAYMENTS; PROVIDING FOR LIMITATION OF ACTIONS; MAKING AN APPROPRIATION.

 

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

     Section 1. Section 19-7-59 NMSA 1978 (being Laws 1931, Chapter 99, Section 1, as amended) is amended to read:

     "19-7-59. REPAYMENT OF MONEY ERRONEOUSLY PAID ON LEASE OR PURCHASE CONTRACT AFTER DISTRIBUTION.--

          A. The duties, responsibilities and activities of the commissioner of public lands and lessees of state trust land and minerals set out in this section shall be performed in a timely manner.

          [A. Any] B. Money erroneously paid on account of [any] a lease or sale of state lands, which money is not carried in [any] a suspense fund but has been distributed to the proper income or permanent fund, shall be repaid in the manner prescribed in this section.

          [B.] C. If the money erroneously paid was for royalty due under [any] a lease, then, subject to a subsequent audit by the commissioner of public lands or [his] the commissioner's agent, the [money may be recouped] lessee may either request a refund or may recoup the money by deducting an equivalent amount from subsequent royalty payments due for the same lease and any other lease with the same trust beneficiary; provided that if the amount erroneously paid pursuant to this subsection is greater than [twenty-five thousand dollars ($25,000)] fifty thousand dollars ($50,000) for [any] a lease, [then] no deduction from subsequent payments shall be made without the prior approval of the commissioner of public lands; and, provided further that, no initial claim for recoupment shall be made after six years from the date on which the initial royalty obligation became due.

          [C.] D. If the amount of money erroneously paid is less than [two thousand dollars ($2,000)] ten thousand dollars ($10,000), then, after a claim for a refund has been filed pursuant to Section 19-7-60 NMSA 1978 and approved by the commissioner of public lands, no court action shall be necessary and a refund shall be made under Section 19-7-62 or 19-7-63 NMSA 1978.

          [D.] E. All other money erroneously paid shall be refunded pursuant to the provisions of Sections 19-7-60 through 19-7-63 NMSA 1978."

     Section 2. Section 19-7-60 NMSA 1978 (being Laws 1931, Chapter 99, Section 2, as amended) is amended to read:

     "19-7-60. CLAIM FOR REFUND--CONTENTS--TIME LIMIT--NOTICE OF ERRONEOUS PAYMENT--LIMITATION OF ACTION.--[Any] A person claiming a refund under the provisions of [this act] Sections 19-7-59 through 19-7-63 NMSA 1978 shall file with the commissioner of public lands a written claim for refund, stating [therein] the amount claimed to have been erroneously paid [the fund or funds to which such payment was credited] and the reasons why such payment was erroneously made. All claims for refund of money shall be filed within ninety days after notice. [Notice of the] If an erroneous payment of any money is discovered by the commissioner of public lands, notice of the discovery shall be given by the commissioner of public lands, as soon after [its] the discovery as [may be] possible, by registered mail to the last recorded address of the person making [such] the erroneous payment. [All claims for refund not filed with the commissioner of public lands within the time prescribed herein] A claim for a refund that is not filed with the commissioner of public lands within six years from the date the erroneous payment was made shall be forever barred; provided that if notice of an erroneous payment is given less than ninety days before the end of the six-year limitation, the period of time to file a claim shall be extended beyond the six-year limitation for the number of days necessary to provide ninety days to file the claim."

     Section 3. Section 19-7-62 NMSA 1978 (being Laws 1931, Chapter 99, Section 4, as amended) is amended to read:

     "19-7-62. ANNUAL APPROPRIATION FOR REFUNDS--PAYMENT FROM STATE LANDS MAINTENANCE FUND.--There is [hereby] appropriated annually out of the state lands maintenance fund created by Section 19-1-11 NMSA 1978 the sum of [two hundred thousand dollars ($200,000)] five hundred thousand dollars ($500,000) or such part thereof as may be necessary for the purpose of making refunds of payments determined in the manner [hereinabove] provided by Sections 19-7-59 through 19-7-63 NMSA 1978 to have been erroneously collected; provided, however, that any refund of money paid into any fund other than the state lands maintenance fund shall be made only out of that part of the state lands maintenance fund distributable to the fund into which such payment was erroneously made, under the provisions of Section 19-1-13 NMSA 1978."

     Section 4. EFFECTIVE DATE.--The effective date of the provisions of this act is July 1, 2007.

- 4 -