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Bid to overhaul New Mexico oil and gas regulations clears first hurdle amid litigation

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Bid to overhaul New Mexico oil and gas regulations clears first hurdle amid litigation


SANTA FE, N.M. — An effort to modernize state oversight of a thriving petroleum industry in the nation’s No. 2 state for oil production advanced past its first committee vetting Thursday at the New Mexico Legislature.

The bill would rewrite portions of the state’s 1930s-era Oil and Gas Act in order to help regulators keep pace with the industry’s meteoric growth in recent years — and increasingly assertive calls to hold the sector accountable for air pollution, spills and the costly cleanup of equipment and abandoned wells.

It advanced on 6-5 vote of the lead House committee on natural resources, over the objections of small and moderate sized oil producers — but with the public endorsements of industry heavyweights Occidental Petroleum and EOG Resources.

The initiative would increase financial assurances for well plugging and cleanups, while ratcheting up administrative fees and penalties for regulatory violations. The bill also would give regulators greater authority over applications to transfer ownership of wells that often change hands when oil and natural gas output declines.

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Bill cosponsor Rep. Matthew McQueen of Galisteo urged colleagues to rally behind the bill, warning that a downturn in the industry could saddle the state with immense liabilities for orphaned wells.

“If we can’t put appropriate safeguards in place during record (oil) production then we’re never going to have those safeguards in place,” he said. “We’ve had boom industries in New Mexico before. We had uranium mining — they went bust. We’re still dealing with that legacy that was not cleaned up.”

Initial provisions were dropped from the bill that would have established no-drilling buffer zones around schools, residences, surface waters and critical habitats across New Mexico, to the dismay of environmentalists and community advocates who vowed to press legislators to reinstate setback requirements. The State Land Office recently imposed its own buffer around schools.

The Democratic-led Legislature and governor are being sued over alleged failures to meet constitutional provisions for protecting against oil and gas pollution, as fed-up residents living near oil wells and environmental groups turn to the judiciary for relief. A lawsuit filed in May 2023 seeks compliance with a “pollution control clause” of the New Mexico Constitution.

“This bill utterly fails to impose any real restrictions on the oil industry and does nothing to protect frontline communities from the toxic pollution they’re exposed to every single day,” said Gail Evans, an attorney with the Center for Biological Diversity and lead counsel in the lawsuit to plaintiffs including Indigenous Lifeways, Pueblo Action Alliance, Youth United for Climate Crisis Action.

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Democratic state Rep. Nathan Small of Las Cruces — the lead House budget negotiator — warned that deleted provisions from the bill “would make it extremely difficult and unlikely for these important fiscal protections to move forward.” He voted to advance the bill toward a second vetting before a possible House floor vote.

Ahtza Chavez, executive director of the Native American environmental and social justice group NM Native Vote, participated in working groups on the bill organized by Gov. Lujan Grisham over the past six months, alongside state oil-field regulators and industry representatives.

She called the elimination of setback requirements “devastating” but pledged support for the amended bill.

“They’ve had 90 years to do better and they have not protected our communities,” said Chavez, an Albuquerque resident who is Diné, tracing her ancestry to the Navajo.

The committee-endorsed bill would increase a common financial assurance to remediate multiple wells from a maximum of $250,000 to $10 million. The cap on daily penalties for regulatory violations would increase from $2,500 to as much as $25,000, with no cumulative limit.

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Voting against the bill, Republican state Rep. Larry Scott of Hobbs, said the initiative represents an existential threat to small-scale oil and natural gas producers, echoing concerns raised by several businesses.

“The concern is that, with the stroke of a pen, financial assurances and penalties can put these small operators completely out of business,” said Scott, also a petroleum-industry engineer.

The bill would also expand the state’s regulatory authority over other types of well activity in anticipation of a gradual transition away from fossil fuel production — including geothermal projects that harness underground heat to produce electricity, or emerging underground systems of kinetic energy storage.



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New Mexico

New gay bar opens in Nob Hill

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New gay bar opens in Nob Hill


ALBUQUERQUE, N.M. – Vers Bar will soon open in Nob Hill, adding a new gay bar to the city as its owners say Albuquerque’s LGBTQ+ community wanted more space.

KOB 4 got a preview before the opening and spoke with owners Lucas Romero and Luke Rogers outside the new bar.

Romero and Rogers said Albuquerque right now has only two gay bars and one gay club, fewer than other cities its size and fewer than the city used to have.

“We put a lot of love and effort into this space and put a lot of love and effort into the community. And I think when you bring those two things together, I think we have something really special for Albuquerque,” Romero said.

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“Coming out of COVID. We realized that there was an opportunity or a need for people in the queer community to have a space, and so we hosted this mixer. We called it friends of Dorothy,” Rogers said.

They said those quarterly meetups at different bars across Albuquerque eventually drew close to 400 people and helped show demand for a permanent space.

“We were like, well, hold on. Is this our proof of concept for possibly a gay bar?” Romero said.

The couple found the former Albuquerque Distilling location on Central early last year and renovated it into a bar and lounge. They also leased the suite next door for a dance floor and event space.

They said social media posts about the project built interest beyond New Mexico, but they created Verse Bar with local customers in mind.

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“To many of us in the gay community, having a gay bar or a strong queer culture is really important.” Rogers said.

Verse Bar will officially open to the public next weekend. Romero and Rogers said they plan a soft opening this weekend to test equipment and make sure staff are ready.



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New Mexico’s ban on liquor ‘minis’ yields mixed results five years later

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New Mexico’s ban on liquor ‘minis’ yields mixed results five years later


POJOAQUE — Five years ago, the wall behind the cash registers at Kokoman Fine Wines & Liquor teemed with an extensive selection of miniature bottles of alcohol.

Though lawmakers banned the sale of so-called minis for off-site consumption under a sweeping liquor reform bill that took effect July 1, 2021, the wall still looks the same.

While Kokoman is complying with the law, small bottles of liquor continue to occupy the wall.

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DWI arrests rise

Lift for local spirits

‘We lost money’

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Hidden gem in Cloudcroft, New Mexico has best BBQ in US

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Hidden gem in Cloudcroft, New Mexico has best BBQ in US


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A Cloudcroft barbecue spot has gained national recognition for its slow-cooked, savory meats and generous sides.

Mad Jack’s Mountaintop Barbecue landed at No. 7 on Yelp’s latest list of the Top 100 BBQ restaurants and was the only New Mexico spot to make the list. To compile the list, Yelp identified businesses in the barbecue category, then ranked those spots based on the volume and ratings of reviews from the Yelp Elite Squad — which comprises adventurous locals.

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“High up in Cloudcroft, Mad Jack’s Mountaintop Barbecue brings Texas pitmaster tradition to 9,000 feet, serving up slow-smoked meats, hearty sides, and homemade desserts,” Yelp Elite Squad writes. “With picnic favorites like loaded potatoes, roasted corn, and hand-cut brisket sandwiches, this laid-back spot turns every meal into a mountain getaway worth savoring.”

It’s no surprise that Mad Jack’s Mountaintop Barbecue ranked high on the list, since James Jackson, a native of Lockhart, Texas, founded the restaurant. Lockhart is known as the “Barbecue Capital of Texas,” a title it received from the House of Representatives of the 76th Texas Legislature in 1999.

Jackson’s family bought a vacation home in Cloudcroft, and Mad Jack’s came to be.The line can stretch up to two hours, and people from all over the world, including plenty of Texans, come to taste what Mad Jack’s has to offer, according to its website.

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If you can’t make the trip out to Cloudcroft, you can still get a taste of Mad Jack’s by ordering its rubs and sauces online.

Natassia Paloma may be reached at npaloma@gannett.com, @NatassiaPaloma on X, natassia_paloma on Instagram, and Natassia Paloma on Facebook.



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