The Roundhouse in Santa Fe (Photo by Peter St. Cyr)
Both resolutions still need approval from one committee and the full Senate, in addition to House concurrence on changes.
Efforts to streamline and improve the embattled Public Regulation Commission cleared a major hurdle this morning as the Senate Rules Committee approved two proposed constitutional amendments that would relieve the commission of insurance regulation duties and ask the Legislature to establish qualifications for commissioners.
On a vote of 6-1, with Sen. William Burt, R-Alamogordo in opposition, the Rules Committee approved House Joint Resolution 11, which would ask voters whether to grant the Legislature the authority to set required qualifications for commissioners. Sen. George Muñoz, D-Gallup, was the lone dissenter on a 7-1 vote for HJR 17, which would move the insurance regulation office out from under the supervision of the PRC to make it a separate, independent agency.
Though he had previously expressed skepticism about both pieces of legislation, Majority Leader Michael Sanchez, D-Belen, voted for them today.
Both resolutions now head to the Senate Judiciary Committee — of which Sanchez is a member — and must also receive the backing of the full Senate, in addition to House concurrence on changes. If that happens, both proposals to amend the N.M. Constitution will be asked of voters in November.
Marks says moving insurance regulation won’t cost more
PRC Commissioner Jason Marks joined sponsor Kiki Saavedra, D-Albuquerque, to present HJR 17 to the committee.
“I think this will definitely improve the PRC,” Marks said. “The No. 1 reason to do this is to provide the commissioners and our staff with the ability to focus on… the other things we do. I believe this will improve and enhance insurance as well.”
Advocates of reform at the agency, including Think New Mexico, have said the PRC’s mandate is too broad, and insurance oversight would be better handled by an independent agency.
Marks survived a grilling by Muñoz and Sanchez, who asked Marks to promise that the PRC would not come back for more money if the Insurance Division — and about 100 full-time employees — were moved out of the agency.
“You’re telling us you’re not going to come back to us for more money? You’re giving us your word it’s not going to happen and Mr. Franchini, the superintendent of insurance, is going to be satisfied with what you say?” Sanchez asked Marks.
Marks promised.
“I give you my word, but, uh, fortunately for me, at least, I’m term-limited,” Marks said to chuckles.
“The PRC… we have some black marks on our history, but one thing we’ve been good at is fiscal management,” he said, adding that the agency has reverted money to the general fund and not furloughed employees in recent years. Marks referred to a PRC financial analysis of the move, which you can see here.
Although the original proposal specified that the superintendent of insurance would be chosen from a pool of candidates submitted to the governor, Democrats amended the bill to give the Legislature the power to decide how the nominating committee will be created.
“I’m not against the (proposal). This isn’t a bad change… but there’s going to be a cost, and it’s going to be more expensive at some point in time, and the people have a right to know,” Sanchez said.
Concerns about implementing qualifications linger
As NMPolitics.net reported Monday, Commissioner Theresa Becenti-Aguilar has been a harsh critic of PRC reform proposals. She voiced her concern about implementing qualifications for PRC members to the Rules Committee today while that resolution, sponsored by Joseph Cervantes, D-Las Cruces, was being discussed.
“I think it’s very important that we take a closer look at this particular bill because it represents minorities throughout the state,” Becenti-Aguilar said. “The proponents…did they reach far enough? Did they consult with one Indian tribe in New Mexico? … To my knowledget hey have not done so.”
Sanchez echoed her concerns with a stern rebuke to Think New Mexico, saying, “I’m very concerned about how this was done and the people who… weren’t in the loop. … If Think New Mexico is thinking, they might want to think about other people.”
Becenti-Aguliar’s concern has not been shared by Native American lawmakers who voted for the proposals in the House, or by other advocates for Native groups. Conroy Chino, who represents the All Indian Pueblo Council, has told NMPolitics.net he was aware of Becenti-Aguilar’s concerns but his clients don’t have a problem with the proposal.