A. The following are declared to be the objects and purposes of this 1985 act. Experience has proven that the costs to ratepayers of small water utilities with annual revenues of less than five hundred thousand dollars ($500,000) and the public at large in complete government regulation of their rates is greatly disproportionate to the need and benefits of complete rate regulation and interferes with setting of fair, just and reasonable rates to all utilities. A rational basis exists to provide procedures for setting rates of such small water utilities different from and more limited than those for setting rates of other utilities. Without limiting government regulation of rate setting by small water utilities as provided by Section 62-8-7.1 NMSA 1978, the declared policy of the Public Utility Act [Chapter 62, Articles 1 to 6 and 8 to 13 NMSA 1978], as amended, the provision of reasonable and proper utility services at fair, just and reasonable rates, and the general welfare, business and industry of the state may be frustrated.
B. The following are hereby declared to be the objects and purposes of these 1987 amendments to the Public Utility Act. Because small sewer utilities are similar to small water utilities, the costs to ratepayers of small sewer utilities with annual revenues of less than five hundred thousand dollars ($500,000) and the public at large in complete government regulation of their rates is greatly disproportionate to the need and benefits of complete rate regulation and interferes with setting of fair, just and reasonable rates to all utilities. A rational basis exists to provide procedures for setting rates of such small sewer utilities different from and more limited than those for setting rates of other utilities. Without limiting government regulation of rate setting by small sewer utilities as provided by Section 62-8-7.1 NMSA 1978, the declared policy of the Public Utility Act, the provision of reasonable and proper utility services at fair, just and reasonable rates, and the general welfare, business and industry of the state may be frustrated.
C. The following are declared to be the objects and purposes of this 1991 act. Experience has proven that the construction, development and extension of proper plants and facilities cannot be accomplished without unnecessary duplication and economic waste within areas certificated to water and sewer utilities without controls against duplicative intrusions into certificated areas by municipal utilities. A rational basis exists to prohibit intrusion of municipal water or sewer facilities or service into areas in which a public utility furnishes regulated services until that municipality elects to come within the terms of the Public Utility Act, in which event both systems will be brought into parity of treatment with respect to the commission's independent jurisdiction and power to prevent unreasonable interference between competing plants, lines and systems. Without such controls as provided by Section 62-9-1.1 NMSA 1978, the declared policy of the Public Utility Act, the provision of reasonable and proper utility services at fair, just and reasonable rates and the general welfare, business and industry of the state may be frustrated.
D. The provisions of the 1985 and 1987 acts and of this 1991 act shall be liberally construed to carry out their purposes.
History: Laws 1985, ch. 221, § 1; 1987, ch. 52, § 1; 1991, ch. 143, § 1.
ANNOTATIONSCompiler's notes. — Sections 62-3-1 to 62-3-5 of the Public Utility Act are still effective as the repeal of Chapter 62, Article 3 by Laws 1998, Chapter 108, Section 82, effective July 1, 2003 was repealed prior to taking effect by Chapter 23, Section 1, Laws 2003. Although Laws 2003, Chapter 336, Section 8, amended Laws 1998, Chapter 82, as amended, an amendment of a repealed section is ineffective. See Quintana v. N.M. Dep't of Corrs., 100 N.M. 224, 668 P.2d 1101 (1983). Laws 2003, Chapter 416, Section 5 also repealed Laws 1998, Chapter 108, Section 82, as amended, a second time, however, that repeal is of no effect as the section had previously been repealed by Chapter 23, Section 1, Laws 2003.
"This 1985 act", referred to in the first sentence of Subsection A, and "the 1985 . . . acts," referred to in Subsection D, refer to Laws 1985, ch. 221, which is presently compiled as 62-3-2.1, 62-8-7, 62-8-7.1 NMSA 1978.
The terms "these 1987 amendments," referred to in the first sentence in Subsection B, and "1987 act," referred to in Subsection D, apparently mean Laws 1987, ch. 52, which appears as 62-3-2.1, 62-3-3, 62-8-7.1 and 62-9-2.1 NMSA 1978.
The term, "this 1991 act", referred to in Subsections C and D, refers to Laws 1991, ch. 143, which is presently compiled as 62-3-2.1 and 62-9-1.1 NMSA 1978.
The 1991 amendment, effective April 3, 1991, substituted "62-8-7.1 NMSA 1978" for "62-8-7 NMSA 1978, as amended" near the end of Subsection A and added Subsections C and D.
The 1987 amendment, effective June 19, 1987, added Subsection B and made a minor word change near the beginning of Subsection A.
An exception for small municipalities was not created. — Subsection C of Section 62-3-2.1 NMSA 1978 lacks the explicit language required to create an exception subjecting small municipalities to the Public Utility Act or to public regulation commission jurisdiction, prohibit municipal utilities from serving in areas covered by a public utility's certificate of convenience and necessity, or expand the scope of the Public Utility Act or the public regulation commission's jurisdiction over municipalities beyond the controls identified in Section 62-9-1.1 NMSA 1978. Moongate Water Co., Inc. v. City of Las Cruces, 2012-NMCA-003, 269 P.3d 1, cert. granted, 2012-NMCERT-001.