Senate Finance committee advances bill to change PRC funding, allow fee increases through index

Senate Finance Committee members voted to give Senate Bill 143 a do-pass recommendation after adopting an amendment that makes the new fund reverting and removes earlier Senate Tax amendments, the committee chair said.

The bill, as amended, would authorize a mill assessment on utilities and telecoms to support the Public Regulation Commission (PRC) and allow the PRC to adjust annual fees up to the annual employment cost index; the amended language also sets a statutory sunset of July 2031 for the fee authority and adds an effective date of Jan. 1, 2026. The committee discussion said fees supporting the PRC have not been raised since 2003.

Supporters who spoke at the hearing included Camilla Feibelman of the Sierra Club, who said the change aligns New Mexico with other states'funding models for regulators, and Dean Archuleta of PNM, who said the measure would help the PRC do its work. No opposition was recorded in committee testimony on Zoom; committee members reported no objections during the floor motion.

Committee members asked how fee adjustments would be implemented and how the public could comment. Committee counsel and staff said any fee changes that affect parties outside the PRC would be done by administrative rule and would therefore include the normal public-notice and comment processes; the bill allows, but does not require, the PRC to increase fees. Committee staff said any fee revenue above what is appropriated to the PRC would revert to the general fund.

The committee passed the bill as amended and returned it to the Senate calendar with the committee'recommendation.