0001|                            HOUSE BILL 386
    |
0002|     43RD LEGISLATURE - STATE OF NEW MEXICO - SECOND SESSION, 1998
    |
0003|                            INTRODUCED BY
    |
0004|                             GARY K. KING
    |
0005|     
    |
0006|                                   
    |
0007|     
    |
0008|                                   
    |
0009|     
    |
0010|                                AN ACT
    |
0011|     RELATING TO PUBLIC UTILITIES; AMENDING SECTION 62-13-3 NMSA
    |
0012|     1978 (BEING LAWS 1941, CHAPTER 84, SECTION 82, AS AMENDED) TO
    |
0013|     PERMIT THE NEW MEXICO PUBLIC UTILITY COMMISSION TO AWARD
    |
0014|     LITIGATION EXPENSES TO CERTAIN INTERVENORS.
    |
0015|     
    |
0016|     BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
    |
0017|          Section 1.  Section 62-13-3 NMSA 1978 (being Laws 1941,
    |
0018|     Chapter 84, Section 82, as amended) is amended to read:
    |
0019|          "62-13-3.  COSTS.--
    |
0020|               A.  Except <u>as provided in Subsection D of this
</u>    |
<u></u>0021| <u>    section and</u> as otherwise provided by law, in all proceedings
    |
0022|     before the commission and in the courts, each party to the
    |
0023|     controversy shall bear his own costs and no costs shall be
    |
0024|     taxed against either party.
    |
0025|               B.  In any commission rate proceeding in which the
    |
<center>- 1 -</center>

0001|     utility seeks rates to recover adjusted test-year litigation
    |
0002|     expenses, there shall be no presumption that the litigation
    |
0003|     expenses are prudent.  Nothing in this section shall be
    |
0004|     construed to create or imply a presumption of prudence for any
    |
0005|     utility expenditures not addressed in this section.
    |
0006|               C.  As used in this section, "litigation expenses"
    |
0007|     means all <s>[attorneys']</s> <u>attorney</u> fees, consulting fees and
    |
0008|     other costs of litigation, including in-house expenditures.
    |
0009|               <u>D.  When, at its discretion, the commission finds
</u>    |
<u></u>0010| <u>    that the public interest would be served, the commission may
</u>    |
<u></u>0011| <u>    contract to pay the litigation costs of non-governmental
</u>    |
<u></u>0012| <u>    intervenors to present evidence and legal argument or
</u>    |
<u></u>0013| <u>    otherwise intervene in proceedings before the commission in
</u>    |
<u></u>0014| <u>    support of the interests of residential, small commercial and
</u>    |
<u></u>0015| <u>    irrigation consumers in commission proceedings.  All such
</u>    |
<u></u>0016| <u>    contracts shall be paid for with funds appropriated to the
</u>    |
<u></u>0017| <u>    commission.  The commission shall adopt rules and regulations
</u>    |
<u></u>0018| <u>    governing its award of such intervenor contracts</u>."
    |
0019|                              
    |