The bill amends existing water law in New Mexico to increase the maximum penalties for violations and to introduce annual adjustments for these penalties to account for inflation. Specifically, the maximum civil penalty for violations of water law is raised from $100 to $2,000 per day, with a higher penalty of $10,000 per day for violations directly related to the illegal recovery or use of stored water. Additionally, the state engineer is required to adjust these maximum penalty amounts annually starting July 1, 2027, based on the percentage change in the consumer price index, ensuring that penalties remain relevant over time.

The bill also modifies the enforcement process by allowing the state engineer to issue a written notice of violation before a compliance order is issued, and it emphasizes that repayment of overdiverted or illegally diverted water is the preferred remedy for violations. The state engineer is granted the authority to assess civil penalties for ongoing violations and to take civil action if compliance orders are not followed. Furthermore, the bill includes provisions for the suspension or revocation of licenses for violations, with the potential for civil penalties to be assessed in cases of breach. Overall, these changes aim to strengthen the enforcement of water laws and ensure compliance in New Mexico.

Statutes affected:
introduced version: 72-2-18, 72-5A-12, 72-12-14