A. The acquisition of any public utility system by a municipality furnishing electric service more than five miles beyond its boundary is subject to the rights and liabilities of the public utility, and the obligations assumed by the municipality shall be paid from the gross revenue ascribable to the electric system so acquired.
B. No municipality shall acquire any public utility system for furnishing electricity more than five miles beyond its boundary in territory receiving similar utility service:
(1) from a public utility subject to the jurisdiction of the New Mexico public utility commission and the Public Utility Act [Chapter 62, Articles 1 to 6 and 8 to 13 NMSA 1978] without the consent of the public utility or as otherwise provided by law;
(2) within any municipality that already owns or operates its electric utility without the consent of the municipality or as otherwise provided by law; or
(3) within territory receiving similar utility service from a rural electric cooperative without the consent of the rural electric cooperative or as otherwise provided by law.
C. The provisions of this section shall not apply to either the acquisition by a municipality of a generating facility or any interest in a jointly owned generating facility or the sale of electric power and energy derived from any such facility as authorized by Section 3-24-1 NMSA 1978.
History: 1953 Comp., § 14-23-8, enacted by Laws 1965, ch. 300; 1979, ch. 260, § 6; 1993, ch. 282, § 6.
ANNOTATIONSCross references. — For rural electric cooperatives, see 62-15-1 NMSA 1978 et seq.
The 1993 amendment, effective June 18, 1993, in Subsection B, substituted "New Mexico public utility commission" for "New Mexico public service commission" in Paragraph (1), and made a stylistic change in Paragraph (2).