0001| HOUSE BILL 154 | 0002| 42ND LEGISLATURE - STATE OF NEW MEXICO - SECOND SESSION, | 0003| 1996 | 0004| INTRODUCED BY | 0005| DANICE R. PICRAUX | 0006| | 0007| | 0008| | 0009| | 0010| | 0011| AN ACT | 0012| CREATING A JOINT INTERIM AUTOMOBILE INSURANCE TASK FORCE; MAKING | 0013| AN APPROPRIATION; DECLARING AN EMERGENCY. | 0014| | 0015| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO: | 0016| Section 1. AUTOMOBILE INSURANCE TASK FORCE CREATED--TERMINATION.--There is created a joint interim legislative, | 0017| executive, judicial and public member task force which shall be | 0018| known as the "automobile insurance task force". The task force | 0019| shall function from the date of its appointment until the first | 0020| day of December prior to the first session of the forty-third | 0021| legislature. | 0022| Section 2. MEMBERSHIP--APPOINTMENT--VACANCIES.-- | 0023| A. The automobile insurance task force shall be | 0024| composed of seventeen voting members, including eight | 0025| legislative members. Four members of the house of | 0001| representatives shall be appointed by the speaker of the house | 0002| of representatives, and four members of the senate shall be | 0003| appointed by the committees' committee of the senate or, if the | 0004| senate appointments are made in the interim, by the president | 0005| pro tempore of the senate after consultation with and agreement | 0006| of a majority of the members of the committees' committee. | 0007| B. Members shall be appointed from each house so as | 0008| to give the two major political parties in each house the same | 0009| proportional representation on the task force as prevails in | 0010| each house; however, in no event shall either party have less | 0011| than one member from each house on the task force. Vacancies on | 0012| the task force shall be filled by appointment in the same manner | 0013| as the original appointments. The chairman and vice chairman of | 0014| the task force shall be appointed by the speaker of the house of | 0015| representatives and the president pro tempore of the senate. | 0016| C. No action shall be taken by the task force if a | 0017| majority of the total legislative membership from either house | 0018| on the task force rejects the action. | 0019| D. The additional nine voting members shall be: | 0020| (1) the three state corporation commissioners | 0021| or their designees; | 0022| (2) the director of the motor vehicle division | 0023| of the taxation and revenue department; | 0024| (3) a metropolitan or magistrate court judge | 0025| appointed by the chief justice of the supreme court; | 0001| (4) the secretary of public safety or his | 0002| designee; | 0003| (5) the attorney general or his designee; and | 0004| (6) two public members to represent consumer | 0005| interests, one appointed by the speaker of the house of | 0006| representatives and one appointed by the president pro tempore | 0007| of the senate. | 0008| E. The public members shall be paid per diem and | 0009| mileage in accordance with the provisions of the Per Diem and | 0010| Mileage Act. | 0011| F. The speaker of the house of representatives and | 0012| the president pro tempore of the senate may appoint an advisory | 0013| group to the task force of nonvoting persons that includes | 0014| representatives of interests and organizations concerned about | 0015| automobile insurance, including trial lawyers and the automobile | 0016| insurance industry. | 0017| Section 3. DUTIES.-- | 0018| A. After its appointment, the automobile insurance | 0019| task force shall hold one organizational meeting to develop a | 0020| work plan and budget for the ensuing interim. The work plan and | 0021| budget shall be submitted to the New Mexico legislative council | 0022| for approval. | 0023| B. Upon approval of the work plan and budget by the | 0024| legislative council, the task force shall examine the statutes, | 0025| constitutional provisions, regulations, court decisions and | 0001| practices governing automobile insurance in New Mexico and | 0002| elsewhere and recommend legislation or changes if any are found | 0003| to be necessary to the first session of the forty-third | 0004| legislature. The task force shall seek in its study to | 0005| determine why automobile insurance rates are at the level they | 0006| are in New Mexico; investigate whether, and if so, why those | 0007| rates are disproportionately high; assess what options are | 0008| reasonably available to lower the rates; determine what | 0009| percentage of New Mexicans are uninsured, and what options may | 0010| be pursued to decrease that percentage; consider what options | 0011| are in general available to address automobile insurance | 0012| problems in New Mexico, including the advantages and | 0013| disadvantages of each; address concerns about competition in the | 0014| marketplace, fraudulent practices and their impact on rates; and | 0015| review how enforcement of effective automobile insurance laws | 0016| can be achieved, including consideration of effective methods | 0017| working in other states. | 0018| Section 4. SUBCOMMITTEES.--Subcommittees shall be created | 0019| only by majority vote of all members appointed to the automobile | 0020| insurance task force and with the prior approval of the New | 0021| Mexico legislative council. A subcommittee shall be composed of | 0022| at least one member from the senate and one member from the | 0023| house of representatives, and at least one member of the | 0024| minority party shall be a member of the subcommittee. All | 0025| meetings and expenditures of a subcommittee shall be approved by | 0001| the full task force in advance of the meeting or expenditure, | 0002| and the approval shall be shown in the minutes of the task | 0003| force. | 0004| Section 5. REPORT.--The automobile insurance task force | 0005| shall make a report of its findings and recommendations for the | 0006| consideration of the first session of the forty-third | 0007| legislature. The report and suggested legislation shall be made | 0008| available to the New Mexico legislative council on or before | 0009| December 15 preceding that session. | 0010| Section 6. STAFF.--The staff for the automobile insurance | 0011| task force shall be provided by the legislative council service, | 0012| and the staff of the department of insurance and other state | 0013| agencies shall provide assistance as requested. The legislative | 0014| council service, at the direction of the task force, may hire | 0015| additional staff as necessary and contract with experts to | 0016| assist the task force in carrying out its tasks. | 0017| Section 7. APPROPRIATION.--For the purpose of paying the | 0018| salaries and expenses of the technical, professional, legal, | 0019| clerical and stenographic assistants; for necessary equipment | 0020| and supplies used in carrying out the provisions of this act; | 0021| and for reimbursing the per diem and mileage expenses of the | 0022| automobile insurance task force, there is appropriated to the | 0023| legislative council service from the general fund the sum of one | 0024| hundred thousand dollars ($100,000). All or any part of this | 0025| appropriation may be expended in fiscal years 1996 and 1997, and | 0001| any unexpended or unencumbered balance remaining at the end of | 0002| fiscal year 1997 shall revert to the general fund. Payments | 0003| from the appropriation shall be made upon vouchers signed by the | 0004| director of the legislative council service or his authorized | 0005| representative. | 0006| Section 8. EMERGENCY.--It is necessary for the public | 0007| peace, health and safety that this act take effect immediately. | 0008|  State of New Mexico | 0009| House of Representatives | 0010| | 0011| FORTY-SECOND LEGISLATURE | 0012| SECOND SESSION, 1996 | 0013| | 0014| January 25, l996 | 0015| | 0016| | 0017| Mr. Speaker: | 0018| | 0019| Your RULES AND ORDER OF BUSINESS COMMITTEE, to | 0020| whom has been referred | 0021| | 0022| HOUSE BILL 154 | 0023| | 0024| has had it under consideration and finds same to be | 0025| GERMANE in accordance with constitutional provisions. | 0001| | 0002| Respectfully submitted, | 0003| | 0004| | 0005| | 0006| | 0007| Barbara A. Perea Casey, | 0008| Chairperson | 0009| | 0010| | 0011| Adopted Not Adopted | 0012| | 0013| (Chief Clerk) (Chief Clerk) | 0014| | 0015| Date | 0016| | 0017| The roll call vote was 10 For 0 Against | 0018| Yes: 10 | 0019| Excused: Luna, Pederson, Rodella, R.G. Sanchez, J. G. Taylor | 0020| Absent: None | 0021| | 0022| H0154RC1 State of New Mexico | 0023| House of Representatives | 0024| | 0025| FORTY-SECOND LEGISLATURE | 0001| SECOND SESSION, 1996 | 0002| | 0003| | 0004| February 6, 1996 | 0005| | 0006| | 0007| Mr. Speaker: | 0008| | 0009| Your BUSINESS AND INDUSTRY COMMITTEE, to whom has | 0010| been referred | 0011| | 0012| HOUSE BILLS 154 AND 674 | 0013| | 0014| has had them under consideration and reports same with | 0015| recommendation that they DO NOT PASS, but that | 0016| | 0017| HOUSE BUSINESS AND INDUSTRY COMMITTEE SUBSTITUTE | 0018| FOR HOUSE BILLS 154 AND 674 | 0019| | 0020| DO PASS, and thence referred to the JUDICIARY | 0021| COMMITTEE. | 0022| Respectfully submitted, | 0023| | 0024| | 0025| | 0001| | 0002| Fred Luna, Chairman | 0003| | 0004| | 0005| Adopted Not Adopted | 0006| | 0007| (Chief Clerk) (Chief Clerk) | 0008| | 0009| Date | 0010| | 0011| The roll call vote was 11 For 0 Against | 0012| Yes: 11 | 0013| Excused: None | 0014| Absent: Varela | 0015| | 0016| | 0017| | 0018| H0154BI1 HOUSE BUSINESS AND INDUSTRY COMMITTEE SUBSTITUTE FOR | 0019| HOUSE BILLS 154 & 674 | 0020| 42nd legislature - STATE OF NEW MEXICO - second session, 1996 | 0021| | 0022| | 0023| | 0024| | 0025| | 0001| | 0002| | 0003| AN ACT | 0004| CREATING A JOINT INTERIM AUTOMOBILE INSURANCE TASK FORCE; MAKING | 0005| AN APPROPRIATION; DECLARING AN EMERGENCY. | 0006| | 0007| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO: | 0008| Section 1. AUTOMOBILE INSURANCE TASK FORCE CREATED-- | 0009| TERMINATION.--There is created a joint interim legislative, | 0010| executive, judicial and public member task force which shall be | 0011| known as the "automobile insurance task force". The task force | 0012| shall function from the date of its appointment until the first | 0013| day of December prior to the first session of the forty-third | 0014| legislature. | 0015| Section 2. MEMBERSHIP--APPOINTMENT--VACANCIES.-- | 0016| A. The automobile insurance task force shall be | 0017| composed of sixteen members, including eight voting legislative | 0018| members. Four members of the house of representatives and four | 0019| members of the senate shall be appointed by the New Mexico | 0020| legislative council. No legislator appointed may be employed by | 0021| or be an agent of an automobile insurance company. | 0022| B. Members shall be appointed from each house so as | 0023| to give the two major political parties in each house the same | 0024| proportional representation on the task force as prevails in | 0025| each house; however, in no event shall either party have less | 0001| than one member from each house on the task force. Vacancies on | 0002| the task force shall be filled by appointment in the same manner | 0003| as the original appointments. The chairman and vice chairman of | 0004| the task force shall be appointed by the New Mexico legislative | 0005| council. | 0006| C. No action shall be taken by the task force if a | 0007| majority of the total legislative membership from either house | 0008| on the task force rejects the action. | 0009| D. Six additional voting members shall be the | 0010| following public members: | 0011| (1) two individuals to represent consumer | 0012| interests who are not affiliated with the automobile insurance | 0013| industry and who are knowledgeable about or interested in | 0014| automobile insurance matters, both of whom shall be appointed by | 0015| the legislative council; | 0016| (2) an attorney who regularly represents | 0017| injured plaintiffs in automobile insurance cases, who shall be | 0018| appointed by the governor; | 0019| (3) an attorney who regularly represents | 0020| defendant insurance companies in automobile insurance cases, who | 0021| shall be appointed by the governor; and | 0022| (4) two individuals who shall be representatives | 0023| of the automobile insurance industry, one of whom shall be an | 0024| automobile insurance agent and both of whom shall be appointed by | 0025| the governor. | 0001| E. Two additional nonvoting members of the task force | 0002| shall be: | 0003| (1) the chairman of the state corporation | 0004| commission, or the chairman's designee; and | 0005| (2) a retired judge appointed by the chief | 0006| justice of the supreme court. | 0007| F. The public members shall be paid per diem and | 0008| mileage in accordance with the provisions of the Per Diem and | 0009| Mileage Act. | 0010| Section 3. DUTIES.-- | 0011| A. After its appointment, the automobile insurance task | 0012| force shall hold one organizational meeting to develop a work plan | 0013| and budget for the ensuing interim. The work plan and budget shall | 0014| be submitted to the New Mexico legislative council for approval. | 0015| B. Upon approval of the work plan and budget by the New | 0016| Mexico legislative council, the task force shall examine the | 0017| statutes, constitutional provisions, regulations, court decisions | 0018| and underwriting and other practices governing automobile insurance | 0019| in New Mexico and elsewhere and recommend legislation or changes if | 0020| any are found to be necessary to the first session of the forty-third legislature. The task force shall seek in its study to | 0021| determine why automobile insurance rates are at the level they are | 0022| in New Mexico; investigate whether, and if so, why those rates are | 0023| disproportionately high; assess what options are reasonably | 0024| available to lower the rates; determine what percentage of New | 0025| Mexicans are uninsured, and what options may be pursued to decrease | 0001| that percentage; consider what options are in general available to | 0002| address automobile insurance problems in New Mexico, including the | 0003| advantages and disadvantages of each; address concerns about | 0004| competition in the marketplace, fraudulent practices and their | 0005| impact on rates; and review how enforcement of effective automobile | 0006| insurance laws can be achieved, including consideration of | 0007| effective methods working in other states. | 0008| Section 4. SUBCOMMITTEES.--Subcommittees shall be created | 0009| only by majority vote of all voting members appointed to the | 0010| automobile insurance task force and with the prior approval of the | 0011| New Mexico legislative council. A subcommittee shall be composed | 0012| of at least one member from the senate and one member from the | 0013| house of representatives, and at least one member of the minority | 0014| party shall be a member of the subcommittee. All meetings and | 0015| expenditures of a subcommittee shall be approved by the full task | 0016| force in advance of the meeting or expenditure, and the approval | 0017| shall be shown in the minutes of the task force. | 0018| Section 5. REPORT.--The automobile insurance task force | 0019| shall make a report of its findings and recommendations for the | 0020| consideration of the first session of the forty-third legislature. | 0021| The report and suggested legislation shall be made available to the | 0022| New Mexico legislative council on or before December 15 preceding | 0023| that session. | 0024| Section 6. STAFF.--The staff for the automobile insurance | 0025| task force shall be provided by the legislative council service, | 0001| and the staff of the department of insurance and other state | 0002| agencies shall provide assistance as requested. The legislative | 0003| council service, at the direction of the task force, may hire | 0004| additional staff as necessary and contract with experts, including | 0005| an actuary, to assist the task force in carrying out its tasks. | 0006| Section 7. APPROPRIATION.--For the purpose of paying the | 0007| salaries and expenses of the technical, professional, legal, | 0008| clerical and stenographic assistants; for necessary equipment and | 0009| supplies used in carrying out the provisions of this act; and for | 0010| reimbursing the per diem and mileage expenses of the automobile | 0011| insurance task force, there is appropriated to the legislative | 0012| council service from the general fund the sum of one hundred | 0013| thousand dollars ($100,000). All or any part of this appropriation | 0014| may be expended in fiscal years 1996 and 1997, and any unexpended | 0015| or unencumbered balance remaining at the end of fiscal year 1997 | 0016| shall revert to the general fund. Payments from the appropriation | 0017| shall be made upon vouchers signed by the director of the | 0018| legislative council service or his authorized representative. | 0019| Section 8. EMERGENCY.--It is necessary for the public peace, | 0020| health and safety that this act take effect immediately. | 0021| - 6 - |