New Mexico 2025 Regular Session Status: In Committee 3 D cosponsors

HB 259 — OIL & GAS ACT VIOLATION PENALTIES

Last action — action postponed indefinitely

  1. ✓
    Introduced
  2. 2
    In Committee
  3. 3
    Passed House
  4. 4
    Passed Senate
  5. 5
    To Executive
  6. 6
    Enacted

This bill died with 2025 Regular Session. It reached “In Committee” and never advanced before the session ended, so it can no longer move — a new version would have to be reintroduced in the current session.

This bill is no longer active — its legislative session has ended, so there are no live odds of enactment. It would have to be reintroduced in the current session to move again.

Bill Text

What changed in the latest version

375 added · 324 removed

Plain-language change summary

In the latest version of House Bill 259, the sponsors have changed from three to just two: Matthew McQueen and Kristina Ortez. This simplification could indicate a more focused approach to advancing the bill. Additionally, the text clarifies that the document may include amendments that have been proposed but not yet adopted, emphasizing its role in tracking changes. These updates are important as they sharpen the bill’s intent and streamline the legislative process, ensuring clarity for lawmakers and the public alike.

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HOUSE BILL 259 57 TH LEGISLATUR- STATE OF NEW MEXICO - FIRST SESSIO, 2025 INTRODUCED BY Matthew McQueen and Kristina Ortez and Leo Jaramillo 6 8 10 AN ACT RELATING TO NATURAL RESOURCES;
HOUSE BILL 259 57TH LEGISLATURE - STATE OF NEW MEXICO - FIRST SESSION, 2025 INTRODUCED BY Matthew McQueen and Kristina Ortez This document may incorporate amendments proposed by a committee, but not yet adopted, as well as amendments that have been adopted during the current legislative session.
INCREASING CIVIL PENALTIES ASSESSED FOR VIOLATIONS OF THE OIL AND GAS ACT;
The document is a tool to show amendments in context and cannot be used for the purpose of adding amendments to legislation.
INCREASING CERTAIN APPLICATION FEES IN THE OIL AND GAS ACT AND ADJUSTING THEM FOR INFLATION.
h AN ACT g o RELATING TO NATURAL RESOURCES;
16 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
INCREASING CIVIL PENALTIES t hr g e i k ASSESSED FOR VIOLATIONS OF THE OIL AND GAS ACT;
e t 17 SECTION 1.
INCREASING h r i s CERTAIN APPLICATION FEES IN THE OIL AND GAS ACT AND ADJUSTING h , t, THEM FOR INFLATION.
Section 70-2-31 NMSA 1978 (being Laws 1981, w l n d 18 Chapter 362, Section 1, as amended) is amended to read:
e u g e b l e e h n d d i = = o h BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
= = 19 a l "70-2-31.
l ] b ,d i a º e SECTION 1.
VIOLATIONS OF THE OIL AND GAS ACT--PENALTIES.-- i a e r 20 A.
Section 70-2-31 NMSA 1978 (being Laws 1981, r i = r t e w d m a n o Chapter 362, Section 1, as amended) is amended to read:
Whenever the division determines that a person a t m m 21 violated or is violating the Oil and Gas Act or any provision d r e 22 of any rule, order, permit or authorization issued pursuant to c e s k 23 that act, the division may seek compliance and civil penalties e a n b 24 by:
d m :
u [ (1) issuing a notice of violation;
b e d s º o t n = .230059.1AIC February 18, 2025 (3:15pm) s k m e e a n e d r e l u [ A d "70-2-31.
.230059.1 (2) commencing a civil action in district court for appropriate relief, including injunctive relief;
VIOLATIONS OF THE OIL AND GAS ACT--PENALTIES.-- A.
Whenever the division determines that a person violated or is violating the Oil and Gas Act or any provision of any rule, order, permit or authorization issued pursuant to that act, the division may seek compliance and civil penalties by:
(1) issuing a notice of violation;
(2) commencing a civil action in district court for appropriate relief, including injunctive relief;
B.
h B.
A notice of violation issued pursuant to Paragraph (1) of Subsection A of this section shall:
A notice of violation issued pursuant to g o t hr Paragraph (1) of Subsection A of this section shall:
(1) state with reasonable specificity the nature of the violation;
g e i k (1) state with reasonable specificity the h r i s nature of the violation;
[shall] (2) require compliance immediately or within a specified time period;
[shall ] h , t, (2) require compliance immediately or within a e u g e b l e e h specified time period;
[shall] (3) provide notice of the availability of an e t 17 informal review and the date of a hearing before the division;
[shall ] n d d i = = o h (3) provide notice of the availability of an l ] b ,d i a º e informal review and the date of a hearing before the division;
w l n d 18 and [shall] = = 19 a l (4) provide notice of potential sanctions, i a e r 20 including assessing a penalty, suspending, canceling or a t m m 21 terminating a permit or authorization, shutting in a well and d r e 22 plugging and abandonment of a well and forfeiting financial c e s k 23 assurance pursuant to Section 70-2-14 NMSA 1978.
r i = r t e w d m a n o and [shall ] d m :
e a n b 24 C.
b e d s º o t n = .230059.1AIC February 18, 2025 (3:15pm) s k m e - 2 - e a n e d r e l u [ A d (4) provide notice of potential sanctions, including assessing a penalty, suspending, canceling or terminating a permit or authorization, shutting in a well and plugging and abandonment of a well and forfeiting financial assurance pursuant to Section 70-2-14 NMSA 1978.
If the notice of violation is not resolved u [ informally within thirty days after service of the notice, the .230059.1 - 2 - division shall hold a hearing and determine whether the violation should be upheld and whether any sanctions, including civil penalties, shall be assessed.
C.
If the notice of violation is not resolved informally within thirty days after service of the notice, the division shall hold a hearing and determine whether the violation should be upheld and whether any sanctions, including civil penalties, shall be assessed.
When a decision is rendered by the division after a hearing, any party of record adversely affected shall have the right to have the matter heard de novo before the commission pursuant to Section 70-2-13 NMSA 1978.
When a decision is rendered by the division after a hearing, any party of record adversely affected shall have the h right to have the matter heard de novo before the commission u » r pursuant to Section 70-2-13 NMSA 1978.
D.
t h g e l i D.
Any civil penalty assessed by a court or by the division or commission pursuant to this section may not exceed [two thousand five hundred dollars ($2,500)] ten thousand dollars ($10,000) per day of noncompliance for each violation unless the violation presents a risk either to the health or e t 17 safety of the public or of causing significant environmental w l n d 18 harm, or unless the noncompliance continues beyond a time = = 19 a l specified in the notice of violation or order issued by the i a e r 20 division, commission or court, whereupon the civil penalty may a t m m 21 not exceed [ten thousand dollars ($10,000)] twenty-five d r e 22 thousand dollars ($25,000) per day of noncompliance for each c e s k 23 violation.
Any civil penalty assessed by a court or by the h r i s division or commission pursuant to this section may not exceed h , e h [two thousand five hundred dollars ($2,500) ] ten thousand t u g e b l e e , gh dollars ($10,000) per day of noncompliance for each violation n d d i = = o h unless the violation presents a risk either to the health or l ] b ,d i a º r safety of the public or of causing significant environmental e r = t e w d m a n o harm, or unless the noncompliance continues beyond a time d m :
No penalty assessed by the division or commission e a n b 24 after a hearing may exceed [two hundred thousand dollars u [ ($200,000)] three million six hundred fifty thousand dollars .230059.1 - 3 - ($3,650,000);
b r e t º o t n = .230059.1AIC February 18, 2025 (3:15pm) s k m e - 3 - e a n e d r e l u [ A d specified in the notice of violation or order issued by the division, commission or court, whereupon the civil penalty may not exceed [ten thousand dollars ($10,000) ] twenty-five thousand dollars ($25,000) per day of noncompliance for each violation.
No penalty assessed by the division or commission after a hearing may exceed [two hundred thousand dollars ($200,000)] HENRCºthree million six hundred fifty thousand dollars ($3,650,000)»HENRC HENRCºtwo million six hundred fifty thousand dollars ($2,650,000)»HENRC ;
It is unlawful, subject to a criminal penalty of a fine of not more than five thousand dollars ($5,000) or imprisonment for a term not exceeding three years or both such fine and imprisonment, for any person to knowingly and willfully:
It is unlawful, subject to a criminal penalty of h a fine of not more than five thousand dollars ($5,000) or u » r imprisonment for a term not exceeding three years or both such t h g e l i fine and imprisonment, for any person to knowingly and h r i s willfully:
(1) violate any provision of the Oil and Gas Act or any rule, regulation or order of the commission or the division issued pursuant to that act;
h , e h (1) violate any provision of the Oil and Gas t u g e b l e e , gh Act or any rule, regulation or order of the commission or the n d d i = = o h division issued pursuant to that act;
or (2) do any of the following for the purpose of e t 17 evading or violating the Oil and Gas Act or any rule, w l n d 18 regulation or order of the commission or the division issued = = 19 a l pursuant to that act:
or l ] b ,d i a º r (2) do any of the following for the purpose of e r = t e w d m a n o evading or violating the Oil and Gas Act or any rule, d m :
i a e r 20 (a) make any false entry or statement in a t m m 21 a report required by the Oil and Gas Act or by any rule, d r e 22 regulation or order of the commission or division issued c e s k 23 pursuant to that act;
b r e t º o t n = .230059.1AIC February 18, 2025 (3:15pm) s k m e - 4 - e a n e d r e l u [ A d regulation or order of the commission or the division issued pursuant to that act:
e a n b 24 (b) make or cause to be made any false u [ entry in any record, account or memorandum required by the Oil .230059.1 - 4 - and Gas Act or by any rule, regulation or order of the commission or division issued pursuant to that act;
(a) make any false entry or statement in a report required by the Oil and Gas Act or by any rule, regulation or order of the commission or division issued pursuant to that act;
(b) make or cause to be made any false entry in any record, account or memorandum required by the Oil and Gas Act or by any rule, regulation or order of the commission or division issued pursuant to that act;
G.
h G.
For the purposes of Subsection F of this section, each day of violation shall constitute a separate offense.
For the purposes of Subsection F of this u » r section, each day of violation shall constitute a separate t h g e l i offense.
H.
h r i s H.
Any person who knowingly and willfully procures, counsels, aids or abets the commission of any act described in Subsection A or F of this section shall be subject to the same penalties as are prescribed in Subsection D or F of this section." e t 17 SECTION 2.
Any person who knowingly and willfully procures, h , e h counsels, aids or abets the commission of any act described in t u g e b l e e , gh Subsection A or F of this section shall be subject to the same n d d i = = o h penalties as are prescribed in Subsection D or F of this l ] b ,d i a º r section." e r = t e w d m a n o SECTION 2.
Section 70-2-39 NMSA 1978 (being Laws 2019, w l n d 18 Chapter 260, Section 1) is amended to read:
Section 70-2-39 NMSA 1978 (being Laws 2019, d m :
= = 19 a l "70-2-39.
b r e t º o t n = .230059.1AIC February 18, 2025 (3:15pm) s k m e - 5 - e a n e d r e l u [ A d Chapter 260, Section 1) is amended to read:
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FEES--[APPROPRIATION] FEE ADJUSTMENTS--OIL i a e r 20 CONSERVATION DIVISION SYSTEMS AND HEARINGS FUND.-- a t m m 21 A.
"70-2-39.
The following fees, as adjusted for inflation d r e 22 pursuant to Subsection B of this section, are required to be c e s k 23 paid to the [oil conservation] division [of the energy, e a n b 24 minerals and natural resources department] with each u [ application for:
FEES--[APPROPRIATION ] FEE ADJUSTMENTS--OIL CONSERVATION DIVISION SYSTEMS AND HEARINGS FUND.-- A.
.230059.1 - 5 - (1) [with each application for] a non-federal and non-Indian permit to drill, deepen, plug back or reenter a well, the applicant shall submit to the division a nonrefundable fee of [five hundred dollars ($500)] one thousand five hundred dollars ($1,500);
The following fees, as adjusted for inflation pursuant to Subsection B of this section, are required to be paid to the [oil conservation ] division [of the energy, minerals and natural resources department] with each application for:
(2) [with each individual application for] administrative approval of a non-standard location, downhole commingle, surface commingle, off-lease measurement, release notification and corrective action, change of operator, application for modification to surface waste management facility, request for the creation of a new pool, proposed alternative method permit or closure plan application or authorization to move produced water, the applicant shall submit to the division a nonrefundable fee of [one hundred fifty dollars ($150)] four hundred fifty dollars ($450);
(1) [with each application for ] a non-federal and non-Indian permit to drill, deepen, plug back or reenter a well, the applicant shall submit to the division a nonrefundable fee of [five hundred dollars ($500) ] one thousand five hundred dollars ($1,500);
(3) [with each application for] a fluid e t 17 injection well permit, the applicant shall submit to the w l n d 18 division a nonrefundable fee of [five hundred dollars ($500)] = = 19 a l one thousand five hundred dollars ($1,500) per well;
(2) [with each individual application for ] administrative approval of a non-standard location, downhole commingle, surface commingle, off-lease measurement, release h notification and corrective action, change of operator, g o t hr application for modification to surface waste management g e i k facility, request for the creation of a new pool, proposed h r i s alternative method permit or closure plan application or h , t, authorization to move produced water, the applicant shall e u g e b l e e h submit to the division a nonrefundable fee of [one hundred n d d i = = o h fifty dollars ($150)] four hundred fifty dollars ($450);
i a e r 20 (4) [with each application for] a permit for a a t m m 21 commercial surface waste management facility, landfill or d r e 22 landfarm, the applicant shall submit to the division a c e s k 23 nonrefundable fee of ten thousand dollars ($10,000) per e a n b 24 facility;
l ] b ,d i a º e (3) [with each application for ] a fluid r i = r t e w d m a n o injection well permit, the applicant shall submit to the d m :
u [ (5) [with each application for] an .230059.1 - 6 - administrative hearing, re-hearing or de novo hearing before the division or commission, the applicant shall submit to the division a nonrefundable fee of [five hundred dollars ($500)] one thousand five hundred dollars ($1,500) per application;
b e d s º o t n = .230059.1AIC February 18, 2025 (3:15pm) s k m e - 6 - e a n e d r e l u [ A d division a nonrefundable fee of [five hundred dollars ($500)] one thousand five hundred dollars ($1,500) per well;
and (6) [with each application for] a continuance of an administrative hearing, re-hearing or de novo hearing before the division or commission, the applicant shall submit to the division a nonrefundable fee of [one hundred fifty dollars ($150)] four hundred fifty dollars ($450) per application.
(4) [with each application for ] a permit for a commercial surface waste management facility, landfill or landfarm, the applicant shall submit to the division a nonrefundable fee of ten thousand dollars ($10,000) per facility;
B.
(5) [with each application for ] an administrative hearing, re-hearing or de novo hearing before the division or commission, the applicant shall submit to the division a nonrefundable fee of [five hundred dollars ($500) ] one thousand five hundred dollars ($1,500) per application;
On January 1, 2027 and on January 1 of each successive year, the division may adjust for inflation the fees required in Subsection A of this section by multiplying the fee as of January 1, 2026 by a fraction, the numerator of which is the consumer price index ending in September of the prior year and the denominator of which is the consumer price index ending e t 17 in September 2025;
and (6) [with each application for ] a continuance of an administrative hearing, re-hearing or de novo hearing before the division or commission, the applicant shall submit to the division a nonrefundable fee of [one hundred fifty h dollars ($150)] four hundred fifty dollars ($450) per g o t hr application.
provided that the fees shall not be adjusted w l n d 18 below the minimum amounts provided in Subsection A of this = = 19 a l section as a result of a decrease in the consumer price index.
g e i k B.
i a e r 20 By November 1, 2026 and by November 1 of each successive year, a t m m 21 the division shall post on its website the fees required in d r e 22 Subsection A of this section for the subsequent year.
On January 1, 2027 and on January 1 of each h r i s successive year, the division may adjust for inflation the fees h , t, required in Subsection A of this section by multiplying the fee e u g e b l e e h as of January 1, 2026 by a fraction, the numerator of which is n d d i = = o h the consumer price index ending in September of the prior year l ] b ,d i a º e and the denominator of which is the consumer price index ending r i = r t e w d m a n o in September 2025;
c e s k 23 [B.] C.
provided that the fees shall not be adjusted d m :
An application for an administrative e a n b 24 hearing, re-hearing or de novo hearing before the [oil u [ conservation] division or commission will be considered to be .230059.1 - 7 - materially amended if the amendment is made for a purpose other than to correct:
b e d s º o t n = .230059.1AIC February 18, 2025 (3:15pm) s k m e - 7 - e a n e d r e l u [ A d below the minimum amounts provided in Subsection A of this section as a result of a decrease in the consumer price index.
By November 1, 2026 and by November 1 of each successive year, the division shall post on its website the fees required in Subsection A of this section for the subsequent year.
[B.] C.
An application for an administrative hearing, re-hearing or de novo hearing before the [oil conservation] division or commission will be considered to be materially amended if the amendment is made for a purpose other than to correct:
All funds received by the [oil conservation] division from fees imposed pursuant to Subsection A of this section shall be delivered to the state treasurer and deposited in the fund.
All funds received by the [oil conservation] division from fees imposed pursuant to Subsection h A of this section shall be delivered to the state treasurer and g o t hr deposited in the fund.
Disbursements from the fund shall be made upon warrants drawn by the secretary of finance and administration pursuant to vouchers signed by the secretary of energy, minerals and natural resources or the secretary's authorized representative.
Disbursements from the fund shall be g e i k made upon warrants drawn by the secretary of finance and h r i s administration pursuant to vouchers signed by the secretary of h , t, energy, minerals and natural resources or the secretary's e u g e b l e e h authorized representative.
Money in the fund is subject to appropriation by the legislature to the division to develop and modernize the division's online application processing system, e t 17 online case management system, online data reporting and w l n d 18 visualization systems and online case file system and for other = = 19 a l technological and equipment upgrades necessary to support the i a e r 20 efficient and transparent implementation and enforcement of the a t m m 21 Oil and Gas Act, including hiring necessary information d r e 22 technology personnel, and for hearing administration costs.
Money in the fund is subject to n d d i = = o h appropriation by the legislature to the division to develop and l ] b ,d i a º e modernize the division's online application processing system, r i = r t e w d m a n o online case management system, online data reporting and d m :
c e s k 23 Any unexpended or unencumbered balance remaining in the fund at e a n b 24 the end of a fiscal year shall not revert to the general fund.
b e d s º o t n = .230059.1AIC February 18, 2025 (3:15pm) s k m e - 8 - e a n e d r e l u [ A d visualization systems and online case file system and for other technological and equipment upgrades necessary to support the efficient and transparent implementation and enforcement of the Oil and Gas Act, including hiring necessary information technology personnel, and for hearing administration costs.
u [ [Money in the fund in fiscal year 2020 may be expended by the .230059.1 - 8 - division for the purposes of the fund.] E.
Any unexpended or unencumbered balance remaining in the fund at the end of a fiscal year shall not revert to the general fund.
[Money in the fund in fiscal year 2020 may be expended by the division for the purposes of the fund.] E.
- 9 - 11 13 15 e t 17 w l n d 18 = = 19 a l i a e r 20 a t m m 21 d r e 22 c e s k 23 e a n b 24 u [ .230059.1
h - 9 - u » r t h g e l i h r i s h , e h t u g e b l e e , gh n d d i = = o h l ] b ,d i a º r e r = t e w d m a n o d m :
b r e t º o t n = .230059.1AIC February 18, 2025 (3:15pm) s k m e e a n e d r e l u [ A d
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Action History

  1. action postponed indefinitely

  2. DO PASS committee report adopted

  3. DO PASS, as amended, committee report adopted

  4. Sent to House Energy, Environment and Natural Resources Committee & House Judiciary Committee & House Appropriations & Finance Committee

Sponsors

Sponsorship breakdown

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3 sponsors · 0 co-sponsors · 109 not signed on

Sponsors (3)

Co-sponsors (0)

None.

Not signed on (109)

109 members have not signed on to this bill.

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"Not signed on" means a member has not sponsored or co-sponsored this bill — it does not imply opposition. Members flagged Voted No have a recorded No vote on this bill.

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environment energy
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Frequently asked questions

Who sponsors HB 259?
HB 259 is sponsored by Leo Jaramillo (Democrat), Kristina Ortez (Democrat), and Matthew McQueen (Democrat).
What is the current status of HB 259?
This bill died with 2025 Regular Session. It reached “In Committee” and never advanced before the session ended, so it can no longer move — a new version would have to be reintroduced in the current session.
Where can I track HB 259?
Track HB 259 free on One Click Politics — get push/email alerts when it moves.

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