A. The authority may accept a transfer of assets and liabilities upon the request, and following the legal dissolution, of an entity that is listed below or formed pursuant to one of the following statutes and that provides water service, subject to any other statutory requirements for such dissolution and transfer:

Terms Used In New Mexico Statutes 73-27-8

  • Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
  • Contract: A legal written agreement that becomes binding when signed.
  • Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
  • Liabilities: The aggregate of all debts and other legal obligations of a particular person or legal entity.

(1)     the Water and Sanitation District Act [N.M. Stat. Ann. Chapter 73, Article 21]; (2)     a water and natural gas association formed pursuant to Sections 3-28-1 through 3-28-22 N.M. Stat. Ann.;

(3)     a water users’ association formed pursuant to Sections 73-5-1 through 73- 5-9 NMSA 1978;

(4)     the Nonprofit Corporation Act [N.M. Stat. Ann. Chapter 53, Article 8];

(5)     the Public Improvement District Act [Chapter 5, Article 11NMSA 1978];

(6)     a corporation formed pursuant to Sections 62-2-1 through 62-2-22 N.M. Stat. Ann., the Business Corporation Act [Chapter 53, Articles 11 to 18 NMSA 1978] or the Cooperative Association Act [N.M. Stat. Ann. Chapter 53, Article 4]; or

(7)     an association or mutual domestic water consumers association organized pursuant to Laws 1947, Chapter 206, Laws 1949, Chapter 79 or Laws 1951, Chapter 52, as well as any association organized under the provisions of the Sanitary Projects Act [N.M. Stat. Ann. Chapter 3, Article 29].

B. Upon the transfer of the assets and liabilities of an entity listed in Subsection A of this section to the authority, the area within the boundaries of the authority serviced by the dissolved entity shall become part of the authority’s service area.

C. When a water right is included in the assets and liabilities of an entity listed in Subsection A of this section that are transferred to the authority, or upon the acquisition of a water right by the authority, the authority shall file a change of ownership form with the state engineer and shall apply to the state engineer to combine and commingle the transferred or acquired water right with the authority’s existing water rights and contract rights to water.

  Previous section
Next section  
 Article 27 Contents