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F I S C A L I M P A C T R E P O R T

SPONSOR B. Sanchez

ORIGINAL DATE

LAST UPDATED

1/24/07

1/31/07 HB

SHORT TITLE Land Grant Possession Claim Protections

SB 239/aSJC

ANALYST Wilson

APPROPRIATION (dollars in thousands)

Appropriation

Recurring

or Non-Rec

Fund

Affected

FY07

FY08

NFI

(Parenthesis ( ) Indicate Expenditure Decreases)

SOURCES OF INFORMATION

LFC Files

Responses Received From

Administrative Office of the Courts (AOC)

Office of the Attorney General (OAG)

SUMMARY

Synopsis of SJC Amendment

The Senate Judiciary Committee amendment to Senate Bill 239 repeals an 1863 section of law

allowing individuals who have a title from Mexico or Spain to keep the land if they have legal

possession and have had without interruption since the United States took control.

Synopsis of Original Bill

Senate Bill 239 provides that land grants governed as political subdivisions pursuant to the

general land grant statutory provisions shall not be subject to adverse possession claims or

defenses against the common land grant lands.

The bill repeals NMSA Section 37-1-21 which grants the right of continued possession to land

grant property if possessed for ten years or more and certain requirements relating to “ouster", or

changing permissive use to adverse use are met.

Senate Bill 239/aSJC– Page

2

FISCAL IMPLICATIONS

There will be a minimal administrative cost for statewide update, distribution and documentation

of statutory changes.

SIGNIFICANT ISSUES

The OAG believes this bill is in response to a dispute between the Tecolote Land Grant and the

Griegos which was resolved by the New Mexico Court of Appeals in November, 2004. In this

case, the land grant sued the Griegos for being ejected and trespass. The Griegos argued they had

obtained title to the land at issue through adverse possession. The District Court ruled in favor of

the Griegos, but the Court of Appeals reversed that decision. However, the Appellate Court

found that title by adverse possession can be lawfully acquired and established as to the

communal land grant. However, the appellate court found that the Griegos did not meet the

“ouster" requirements of that section. This bill will repeal that section and will prohibit claims or

defenses of adverse possession as they relate to property held by certain land grants.

However, certain land grants are not governed by Sections 49-1-1 to 49-1-18 and those laws do

not apply to them. NMSA Section 49-1-2. Those land grants, which include the Tecolote Land

Grant, are governed by specific state laws. Even if the bill is enacted and NMSA Section 37-1-21

is repealed, it may not protect those land grants from adverse possession claims or defenses

brought under the general adverse possession statute, NMSA Section 37-1-22.

DW/nt