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SB 234: NEW MEXICO CHILE ADVERTISING ACT VIOLATIONS

An Act Relating To New Mexico Chile Peppers; Expanding Violations Of The New Mexico Chile Advertising Act; Providing For Stop-sale, Use Or Removal Orders To Be Issued By The New Mexico Department Of Agriculture.

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MILD SB 234
NEW MEXICO CHILE ADVERTISING ACT VIOLATIONS

Legislative URL:
SB 234 on nmlegis.gov
Emergency Clause:
No
Germane:
N/A
Location:
Signed
Action:
[2] SCONC/SJC-SCONC [14] DP-SJC [24] DNP-CS/DP/a [38] fl/a- PASSED/S (36-0) [39] HAGC- DP [51] PASSED/H (62-1) SGND (Apr.5) Ch.211.
Issue(s):

Companion Bills

Bills:
NM CHILE ADVERTISING ACT VIOLATIONS

Related Legislators

Bill Sponsor:

Related Documents

Downloads:
Introduced
SCONC Committee Report
SJC Committee Report
SJC Committee Substitute
Senate Floor Amendment 1
Final Senate Vote
HAGC Committee Report
Final House Vote
Fiscal Impact Report
Final Version
Summary

Senate Bill 234 amends the New Mexico Chile Advertising Act to make it unlawful to:

  • knowingly advertise, describe, label or sell chile peppers,
  • using the name of any city, town, county, village, pueblo, mountain, river or other geographic feature or features located in New Mexico,
  • in a misleading or deceptive manner that states or implies that the chiles were grown in New Mexico.

 

The new prohibition (as well as the current provision that applies to false claims that chile is from the state of New Mexico) do not apply to any business names or trademarks established prior to the effective date of the Act (2011). However, those business names or trademarks that would violate the Act but for the grandfathering exception must carry a prominent disclaimer stating “NOT GROWN IN NEW MEXICO” if the product contains chile peppers that were not grown in New Mexico.

 

The bill also eliminates the authority of the NMSU Board of Regents to issue cease and desist orders for violations of the Act and authorizes the New Mexico Department of Agriculture to issue “stop-sale, use or removal” orders instead.

 

A potential benefit of the bill might be that it would help keep New Mexico chile farmers in business, thus potentially protecting their land from development.

 

On March 4, 2013, the SJC adopted a Committee Substitute that makes a few changes from the original bill as follows:

  • adds “products containing chile peppers” to the subject of the prohibition;
  • allows restaurants to use “New Mexico style” on their menus when referring to chile peppers that are not grown in New Mexico;
  • exempts the grower-seller of up to 20,000 pounds of chile peppers per year at farmers’ markets from recordkeeping that may be required by rule.

 

A concern about this bill might be that it will unduly burden small farmers who describe their chile with local descriptors (like “Chimayo chile”) by subjecting them to reporting requirements designed for industrial-scale farmers. A benefit might be that it may help protect those same farmers from deceptive labeling practices by some out-of-state growers. The amendment may lessen any concern over registration burdens with the farmers’ market exemption.

 

 

This bill is a companion bill to House Bill 238.

Date of Summary:  1/24/2013, Updated 3/5/2013