The Roundhouse in Santa Fe (Photo by Peter St. Cyr)
The legislation, which would let voters decide whether to move the Corporations Division to the Secretary of State’s Office, must still pass another committee and win the approval of the full Senate.
A proposal to move the Corporations Division of the Public Regulation Commission to the Secretary of State’s office passed the Senate Rules Committee today by a unanimous vote.
The Secretary of State’s Office supported the measure (HJR 16), which is perceived by many to be the least controversial of the three pieces of reform being pushed by Think New Mexico.
It must now pass the Judiciary Committee before it can be heard on the Senate floor. Senate passage of the joint resolution would mean a constitutional amendment would appear on the ballot in the November general election. The Legislature would have the opportunity to decide the final details during the 2013 session.
The Corporations Division issues certificates of incorporation, handles the registration of limited liability companies (LLCs) and processes charter documents. PRC Member Jason Marks, an Albuquerque Democrat who helped present the bill to the Rules Committee, said 16 full-time employees of the division — and their budget — would be transferred to the Secretary of State’s office, where the Business Services office already processes limited liability partnerships (LLPs).
Proponents say the move would be budget-neutral. In an interview after the meeting, Secretary of State Dianna Duran said she’s in the process of evaluating how the Corporations Division could be integrated into her office.
Rules Committee Chair Linda Lopez, D-Albuquerque, said the other PRC reform bills, HJR 11 and HJR 17, could be heard in the committee on Sunday.
Unanimous vote, unanimous support
In introducing the bill, which is sponsored by House Minority Leader Tom Taylor, R-Farmington, Marks said he has learned during his tenure at the PRC that the agency has “too broad a scope.” He got laughs from the room when he said the agency regulates things “from soup to nuts,” including utilities, insurance, taxi cabs and even ski areas.
Commissioner Doug Howe stood up to support the measure, and Think NM’s Fred Nathan said Commissioner Pat Lyons had also signed on to the idea.
The measure also had strong support in the committee meeting as business groups and current and former PRC officials spoke in favor; no one voiced opposition to the proposal, although several members of the committee asked pointed questions.
Senate Majority Leader Michael Sanchez, D-Belen and a member of the Rules and Judiciary committees, has said he doesn’t think the 30-day session is long enough to fully consider PRC reform. He was not present for today’s debate or vote.