SENATE MEMORIAL

55th legislature - STATE OF NEW MEXICO - second session, 2022

INTRODUCED BY

Crystal R. Diamond

A MEMORIAL

REQUESTING CERTAIN STATE AGENCIES TO DETERMINE POTENTIAL ACTIONS TO FACILITATE INSURANCE COVERAGE FOR AGRITOURISM ACTIVITIES.

     WHEREAS, the general public has limited access to farms and ranches, and agritourism provides a hands-on approach to learning about agriculture and where food originates; and

     WHEREAS, a strong agritourism sector will strengthen and diversify the agricultural industry and allow producers to expand their operations, thereby making them more resilient; and

     WHEREAS, agritourism supports locally grown food and facilitates connecting consumers with producers; and

     WHEREAS, agritourism activities supplement outdoor classrooms and provide experiences helping to meet the requirements of the common core curriculum; and

     WHEREAS, agricultural operations have increasingly expanded their scopes of business to include tourist-related activities such as "u-pick" harvesting, petting zoos and corn mazes in order to diversify their business models and assist with revenue generation; and

     WHEREAS, according to the 2017 census of agriculture, nationwide agritourism revenue grew from seven hundred four million dollars ($704,000,000) in 2012 to nine hundred fifty million dollars ($950,000,000) in 2017, and agritourism is expected to continue to grow; and

     WHEREAS, according to the 2017 census of agriculture, New Mexico farms had four hundred sixty-five agritourism and recreational services that generated over eighteen million five hundred thousand dollars ($18,500,000); and

     WHEREAS, responsible business practices for agricultural operations include obtaining liability insurance that covers activities by individuals participating in agritourism activities; and

     WHEREAS, insurance companies currently require agricultural operations to obtain expensive amusement park or fair insurance coverage for agritourism activities; and

     WHEREAS, it would be beneficial if insurance companies could underwrite insurance coverage specifically written to cover agritourism activities; and

     WHEREAS, thirty-seven states have enacted statutes regarding agritourism activities; and

     WHEREAS, New Mexico has enacted statutes providing for limited liability for operators engaged in equine activities and alpine skiing activities;

     NOW, THEREFORE, BE IT RESOLVED BY THE SENATE OF THE STATE OF NEW MEXICO that the New Mexico department of agriculture, the economic development department and the tourism department be requested to compile a current inventory of agritourism business in New Mexico and a current estimate of the value of agritourism as a part of tourism in New Mexico; and

     BE IT FURTHER RESOLVED that the New Mexico department of agriculture be requested to conduct a survey of what other states have done to provide limited liability for agritourism activities; and

     BE IT FURTHER RESOLVED that the office of superintendent of insurance be requested to conduct a survey of what other states have done to provide affordable liability insurance for agritourism activities; and

     BE IT FURTHER RESOLVED that the office of superintendent of insurance be requested to investigate actions that may be taken by the state to facilitate the provision of accessible and affordable liability insurance for agritourism activities; and

     BE IT FURTHER RESOLVED that the New Mexico department of agriculture, the economic development department, the office of superintendent of insurance and the tourism department be requested to report their findings and recommendations to the appropriate interim legislative committees by September 30, 2022; and

     BE IT FURTHER RESOLVED that copies of this memorial be transmitted to the governor, the director of the New Mexico department of agriculture, the secretary of economic development, the secretary of tourism and the superintendent of insurance.

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