The Hobbs City Commission voted to support two state-level actions intended to protect local revenues and reduce perceived regulatory overreach: backing a proposed statewide redistribution of gross receipts tax proceeds for cities and counties, and supporting Artesia Recreation Center Foundation in a legal challenge to an executive-order driven building-code requirement concerning electric-vehicle infrastructure.

Mayor Cobb summarized the background before the consent vote, saying the city has lost significant gross receipts tax revenue after the state changed tax rules (HB 6) from origin-based to destination-based sourcing. The mayor said a proposed “all cities and counties” fund (he referenced House Bill 292 and Senate Bill 4243 in his remarks) would redistribute gross receipts receipts back to municipalities and could return an estimated $13 million a year to Hobbs while also allocating funds statewide.

Why it matters: The commission framed the redistribution measure as remedying an unintended consequence of past tax-code changes that shifted sales-tax collections away from some oilfield service activity and away from communities that host heavy field traffic.

Key details:
- Revenue impact: Mayor Cobb said Hobbs and nearby Carlsbad were among the most affected communities, and he estimated the proposed redistribution could bring about $13 million annually back to Hobbs (figure presented by mayor: "would bring about $13,000,000 a year back to the city of HOB").
- Legislative history: The mayor described earlier attempts to secure a one-time $25 million payment that were vetoed, and said local legislators reintroduced the redistribution proposal for interim committee consideration starting in July.
- EV charger rule and Artesia lawsuit: The mayor also described Resolution 76-33, which opposes a governor’s executive order that effectively changed building-code requirements to compel increased electrical capacity for new construction. He said the change was not legislatively mandated and cited the Artesia Recreation Center Foundation’s lawsuit against the Construction Industries Division; Hobbs agreed to be an amicus and does not face a direct financial obligation under the request.

Public comment on the EV rule: Resident Wade Cabot spoke during public comment urging support for Resolution 76-33, calling the statewide EV policy “government overreach out of Santa Fe” and asking the commission for its support.

Action taken: The items were on the consent agenda and were approved in a single consent motion. The roll call recorded commissioners voting yes on the consent items, and the commission approved the resolutions without separate debate.

Ending: Mayor Cobb said staff will pursue interim committee testimony in July to press the redistribution measure and coordinate with state legislators on the Artesia amicus filing.