The Wildfire Mitigation & Liability Act, Senate Bill 161 and House Bill 267, is an opportunity to address a large concern for rural electric cooperatives in New Mexico. As not-for-profit entities, they are one wildfire away from bankruptcy. Insurance agencies are increasing rates exponentially and frequently no longer offer adequate wildfire coverage to utilities.

Not-for-profit electric cooperatives were formed to provide an essential service that is necessary for the health, safety, and welfare of its member-owners in our underserviced rural New Mexico communities. Cooperatives have two main focuses when it comes to safely delivering power: reliability and affordability.

vote yes on SB-161 & HB-267
the Wildfire mitigation & Liability act

The Wildfire Mitigation & Liability Act, SB-161 & HB-267, allows electric utilities to create Wildfire Mitigation Plans that will be approved by the Public Regulation Commission (PRC) in consultation with the Energy, Minerals and Natural Resources Department Forestry Division (EMNRD). Less than 10 percent of wildfires in New Mexico can be attributed to utilities, but utilities across the state face billions in liability while insurance companies decrease or limit coverage.

Once an electric utility has developed and implemented their Wildfire Mitigation Plan, a rebuttable presumption is created that the electric utility has taken reasonable and prudent preparation and mitigation of wildfire risk, unless there is intentional or malicious disregard. The bill additionally creates clear standards and definitions for recovery.

Last year, the New Mexico Senate unanimously passed Senate Memorial 2, creating the Wildfire Study Group. This bill is directly informed by the work of the Wildfire Study Group and includes provisions of agreement from the final report, including integrating wildfire risk into grid modernization policy, equitable cost recovery for wildfire-related grid upgrades, leveraging public funding, wildfire planning to improve public safety, and landowner access and responsibility.

Additionally, this bill appropriates money to the PRC and EMNRD to implement the act and a one-time $10 million appropriation to support not-for-profit co-ops with their ongoing wildfire mitigation work.

Co-op leadership worked with the Senate Memorial 2 group, New Mexico Forestry Division and the Public Regulation Commission (PRC) to formulate these bills.

Help protect our state’s land and energy grid, while supporting not-for-profit electric cooperatives keeping the lights on for the citizens of rural New Mexico.

increasE wildfire mitigation & protect rural residents

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