HOUSE MEMORIAL 123

53rd legislature - STATE OF NEW MEXICO - first session, 2017

INTRODUCED BY

James R.J. Strickler and Sharon Clahchischilliage

A MEMORIAL

RECOGNIZING AN OPPORTUNITY FOR JOB GROWTH PRESENTED BY THE FOUR CORNERS AND THE SAN JUAN GENERATING STATIONS IN SAN JUAN COUNTY, NEW MEXICO; REQUESTING THE ECONOMIC DEVELOPMENT DEPARTMENT, THE WORKFORCE SOLUTIONS DEPARTMENT AND THE ENERGY, MINERALS AND NATURAL RESOURCES DEPARTMENT TO STUDY THIS POTENTIAL AND PROVIDE A REPORT.

     WHEREAS, the northwest New Mexico region has a long history with energy production, including natural gas, oil, uranium and coal; and

     WHEREAS, the energy sector, which includes coal and oil and gas production, has been the region's top economic base industry, responsible for generating upwards of forty percent of taxable gross receipts for local governments and for providing thousands of jobs and approximately twelve percent of the wages in the region; and

     WHEREAS, due to changes in global markets, less expensive fuel stock and other factors, this region has been adversely impacted by industry dislocations, downsizing in production and job loss; and

     WHEREAS, several mines, including San Juan and Navajo mines that supply fuel to the Four Corners and the San Juan generating stations, depend on these markets to employ hundreds of workers; and

     WHEREAS, the New Mexico energy policy and implementation plan, finalized in 2015, recommends an all-of-the-above energy approach for New Mexico, as a means to build from our energy assets and to grow our economy; and

     WHEREAS, the United States economic development administration has made significant investments through its national partnerships for opportunity and workforce and economic revitalization initiative, known as the POWER initiative, in assisting the coal-impacted communities of the northwest New Mexico region to develop a plan to diversify the economy; and

     WHEREAS, the Four Corners and the San Juan generating stations employ hundreds of people, provide millions of dollars in property taxes each year and are an economic anchor for San Juan county;

     NOW, THEREFORE, BE IT RESOLVED BY THE HOUSE OF REPRESENTATIVES OF THE STATE OF NEW MEXICO that the economic development department, the workforce solutions department and the energy, minerals and natural resources department be requested to conduct a study and develop a report analyzing:

          A. the potential for co-generation and co-location of base industries, to build a cluster of economic activity that benefits from the Four Corners and the San Juan generating stations, supporting infrastructure and workforce;

          B. the potential for use of byproducts from these facilities;

          C. technologies, research facilities and businesses that can be supported by and benefit from this proximity;

          D. best practices and other similar cluster developments in other states;

          E. workforce strategies for potential implementation, including rapid response programs;

          F. the potential for the state and local governments to enter into public-private partnerships to incentivize these developments; and

          G. potential collaboration and resource consolidation with the study requested in House Memorial 72 of the first session of the fifty-third legislature, where applicable; and

     BE IT FURTHER RESOLVED that the economic development department, the workforce solutions department and the energy, minerals and natural resources department, along with New Mexico energy associations and local, tribal and regional utility companies, local and regional economic development organizations and universities in the region, be consulted and engaged in the development of the report and strategic planning process; and

     BE IT FURTHER RESOLVED that the economic development department, the workforce solutions department and the energy, minerals and natural resources department present their report to the relevant interim legislative committees prior to November 1, 2017; and

     BE IT FURTHER RESOLVED that copies of this memorial be transmitted to the secretary of economic development, the secretary of workforce solutions, the secretary of energy, minerals and natural resources, the director of the Four Corners economic development corporation and the chair of the San Juan county commission.

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