SB 535: ENERGY EDUCATION & MARKETING TAX ACT

An Act Relating To Taxation; Creating The Energy Education And Marketing Board; Creating The Energy Education And Marketing Fund; Enacting The Energy Education And Marketing Tax Act; Amending And Enacting Sections Of The Nmsa 1978; Making An Appropriation.

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HIGH SB 535
ENERGY EDUCATION & MARKETING TAX ACT

Legislative URL:

SB 535 on nmlegis.gov

Emergency Clause:

No

Germane:

N/A

Location:

- OTHER -

Action:

[14] SCORC/SFC-SCORC API.

Issue(s):

Energy

Related Legislators

Bill Sponsor:

George Munoz

Related Documents

Downloads:

Introduced
Fiscal Impact Report

Summary

This bill enacts the Energy Education And Marketing Tax Act. It creates the Energy Education and Marketing Board and the Energy Education and Marketing Fund. The bill imposes the Energy Education and Marketing Tax of one-tenth of 1% on all oil, natural gas or liquid hydrocarbon, carbon dioxide, helium or a non-hydrocarbon gas severed and sold in New Mexico. The net receipts of the tax will be distributed as follows: 25% to the Energy Education and Marketing Fund, 25% to the Clean Energy Grants Fund, and 50% to the Lottery Tuition Fund. The last two funds already exist in current law.

The bill creates an Energy Education and Marketing Board of nine members: the Secretary of the Energy, Minerals and Natural Resources Department and eight members each of whom has at least five years of active experience in the oil or gas industry, with equal representation of both industries. The President Pro Tempore of the Senate, the Senate Minority Floor Leader, the Speaker of the House and House Minority Floor Leader will each appoint two of the eight members.

The bill requires the Board to:

• “promote the importance of the oil and natural gas exploration and production industries in the state;
• encourage the efficient use of energy in the state; and
• promote environmentally sound production methods and technologies in the production of oil and natural gas.”

The Fund will be used to support the Board’s work.

One potential benefit of the bill might be that efforts to educate the public about energy efficiency may be increased. One potential concern might be the composition of the Board itself and another might be that it could be possible to focus all of the funding and education efforts on industry promotion.

Date of Summary:  2/15/2013