The Senate Judiciary Committee introduced a committee substitute for SB 21 and SB 22 (CS/SB 21 SJC). It alphabetizes and increases the number of definitions in the Water Quality Act (WQA) in Section 74-6-2 NMSA 1978 to twenty-seven beginning with barrier and ending with water pollution. It expands the duties of the Water Quality Control Commission (WQCC) in Section 74-6-4 NMSA 1978 to include adopting rules regarding discharges of dredged or fill material that may include compensatory mitigation for unavoidable adverse impacts; rules for the NM Environment Department (NMED) to investigate and remediate water pollution and soil and soil vapor contamination; and rules for the NMED to govern the transfer and use of treated domestic wastewater for potable reuse including a standard of performance and other evaluative criteria. The rules governing the potable reuse of domestic wastewater may include the use of existing permitting systems or creating new permitting rules that include the means necessary to ensure that potable reuse projects are conducted in a manner that is directly protective of human health. It makes technical changes to this section.
CS/SB 21 SJC allows the WQCC to adopt rules allowing the issuance of a general permit by the constituent agency in Section 74-6-5 NMSA 1978 and reflects that change throughout this section. It adds an additional criterion for denial of an application for a permit or request for general permit coverage to include that the surface water discharge would cause or contribute to water contaminant levels in excess of a downstream state or tribal water quality standard. It deletes the current notification system for these permit applications and requests for general permit coverage. 
CS/SB 21 SJC establishes new publication requirements in Section 74-6-5 NMSA 1978 for ground water discharge permits depending on whether it is for the issuance of new permits or permit modifications or whether it is for permit renewals. The biggest difference is that the notification for new or modified permits goes to adjacent and nearby landowners by postal or electronic means and requires a notice posted conspicuously at the place of discharge or proposed discharge; renewals require notice to the general public by postal or electronic means. CS/SB 21 SJC directs the WQCC to establish publication requirements for surface water permits. Although similar to groundwater permits, the notification for the public and other governmental entities is not specified as to method but does require notice of each draft permit. If it is a request of a general permit for surface water, it does not require notice to adjacent or nearby owners or posting on the site of the discharge or proposed discharge. The notice to the public utilizes more methods including social media posts, radio announcements, and newspaper advertisements.  All notices under this section require consideration of the languages spoken by and the communication methods accessible to the intended recipients of the public notice. It allows for issuance of surface water permits for fixed terms up to ten years. CS/SB 21 SJC does not limit monitoring devices to effluent monitoring devices. It requires the WQCC to establish fees for permits and approvals of general permit coverage that support the cost of developing and implementing the permitting rules authorized pursuant to Section 74-6-4 NMSA 1978. Unless otherwise required by law, money collected is deposited into the Water Quality Management Fund. 
It provides exemptions for surface water permits for certain activities related to farming, silviculture and ranching including for construction and maintenance of stock ponds, irrigation ditches including acequias and for construction and maintenance of certain farm, forest or temporary roads. It imposes additional compliance requirements for the exemption of roads to  assure that flow and circulation patterns and chemical and biological characteristics of the surface waters are not impaired, that the reach of the surface waters is not reduced and that any
adverse effect on the aquatic environment will be otherwise minimized. It also exempts other types of construction; return flows composed entirely from irrigated agriculture and certain stormwater runoff associated with a mining operation or oil and gas exploration, and with silviculture activities; and discharge of dredged or fill material into waters of the United States that are regulated under Section 404 of the federal Clean Water Act.  CS/SB 21 SJC provides that the exemptions are not applicable if the discharge from any of these activities contains any toxic pollutant established by WQCC rules or if a new activity brings a surface water of the state into farm production where the area of the surface water has not previously been used for farming.
CS/SB 21 SJC creates the nonreverting Water Quality Management Fund which will be funded in part by fees collected under Section 74-6-4 NMSA 1978 and for the operation and maintenance of a permitted facility pursuant to Subsection H of Section 74-6-5 NMSA 1978. It conforms Section 74-6-9 NMSA 1978 so that constituent agencies may investigate and remediate water pollution and soil and soil vapor contamination.
CS/SB 21 SJC clarifies in Section 74-6-10 NMSA 1978 that unless required by law, money collected pursuant to this section for surface waters will be deposited into the Water Quality Management Fund; money collected by this section for ground waters, other than the provisions in Section 74-6-5 NMSA 1978, will be deposited into the Neglected and Contaminated Sites Fund. 
CS/SB 21 SJC imposes new limitations on the WQA. It does not allow reasonable degradation of water quality resulting from surface water discharges permitted under the WQA. This act will take primacy over the authority conferred on the Oil Conservation Division when there is a discharge of a water contaminant to a surface water.
CS/SB 21 SJC establishes the nonreverting Neglected and Contaminated Sites Fund. The NMED administers the Fund. Unless otherwise required by law, money from claims enforcement actions, response actions, or response costs relating to the contamination liability will be deposited into the Fund so that the NMED may respond to, investigate and remediate water pollution and soil and soil vapor contamination.
CS/SB 21 SJC creates a new section of the WQA that imposes liability for the prevention or abatement of existing water pollution if there has been an actual or threatened release of a water contaminant that causes the requirement for response or remediation, or the incurrence of response or remediation costs. It includes responsibility for release of a water contaminant prior to or since the effective date of the 2025 act. It specifies what constitutes such liability including costs of removal or remedial action; necessary costs of response incurred by any other person; damages to natural resources  and the cost of any health assessment or health effects study carried out pursuant to WQCC rules. It establishes liability defenses including act of God, act of war. an act or omission of a third party dependent on defendant’s due care and the relation of the defendant and third party. It allows any person to seek contribution from any other person who is liable or potentially liable pursuant to the WQA but does not diminish the right of any person to bring an action for contribution in the absence of a civil action pursuant to the WQA. It protects a person who has resolved that person’s liability to the state in an administrative or judicially approved settlement from claims for contribution regarding matters addressed in the settlement. Unless otherwise stated, such a settlement does not discharge any of the other potentially liable persons but does reduce the total potential liability by the amount of the settlement.
CS/SB 21 SJC creates the New Mexico Pollutant Discharge Elimination System Act which has thirteen definitions starting with commission and ending with waters of the United States. It requires permits issued by the NM Environment Department for discharges into waters of the United States and limits the rights under this permit including denial of a permit if the regional administrator has objected in writing pursuant to the federal act. It allows certain exemptions to the requirement of a surface water permit including discharge composed entirely of return flow from irrigated agriculture; discharge of storm water runoff from a mining operation or an oil and gas activities under certain conditions; and certain discharge of runoff resulting from specific silviculture activities.   
CS/SB 21 SJC orders the WQCC to adopt, promulgate and publish rules to implement and administer the program and for notification procedures; to adopt a schedule of fees to pay all cost of implementing the program; and to hear and decide petitions for review of department actions concerning a permit or issuance of a compliance order. 
CS/SB 21 SJC requires the NMED to administer and enforce the rules adopted by the WQCC under the Pollutant Discharge Elimination System Act and grants the NMED wide powers, including certain rights of entry; issuing administrative compliance orders; filing civil and criminal actions to enforce the New Mexico Pollutant Discharge Elimination System Act, permits and rules; denial of a permit or request for permit coverage if the discharge would cause or contribute to a pollutant in excess of a downstream state or tribal water quality standard; and  receiving and expending funds for the purposes consistent with this Act. 
CS/SB 21 SJC orders the NMED to encourage the public to report violations; to establish procedures for reporting these violations and make that information on reporting procedures available; investigate and provide written responses to these properly submitted complaints; publish notice and provide at least a thirty days for public comment on a proposed settlement of an enforcement action under this Act; and not oppose intervention by any person when permissive intervention is authorized by statute or rule.
CS/SB 21 SJC establishes a process for administrative and civil enforcement which includes temporary restraining orders and injunctive relief and sets the minimum daily fee for noncompliance of an administrative compliance order at five thousand dollars ($5000) and a maximum daily penalty of twenty thousand dollars ($20,0000) with the NMED taking into account such factors as seriousness of violation, past history and mitigating factors. For the purpose of administrative or civil enforcement, CS/SB 21 SJC mandates that a single operational upset or event that leads to simultaneous violations of more than one pollutant parameter will be treated as a single violation.  There are provisions for a person to contest a compliance order no later than thirty days after it was issued and request a public WQCC hearing. If a person fails to comply with a final order issued by the WQCC after a public hearing, the NMED may file a civil action and assess an additional penalty of not more than twenty-five thousand dollars ($25,000) for each day of noncompliance. Civil penalties are deposited into the Water Quality Management Fund.
CS/SB 21 SJC creates criminal penalties for certain violations of the act, false statements concerning the permit, falsification of a monitoring system, failure to monitor, sample or report, and violation of filing requirements required under this Act.  It makes such first violations a fourth-degree felony; and a second or subsequent violations, a third-degree felony. If a person knowingly violates provisions of the Act or knowingly causes another to do so that causes a substantial adverse environmental impact, that person is guilty of a third degree felony. If a person knowingly violates provisions of the Act or knowingly causes another to do so and it creates a substantial danger of death or serious bodily injury to another person, that person is guilty of a second-degree felony. In addition, a person who knowingly or negligently violates paragraphs 2 or 6 of Subsection A of this section may have a criminal fine of ten thousand dollars ($10,000) per day levied for each violation imposed.  A person who knowingly violates paragraph 3 or 4 of Subsection A of this section may have a criminal fine of five thousand dollars ($5,000) per day levied for each violation imposed. A single operational upset or event that leads to simultaneous violations of more than one pollutant parameter shall be treated as a single violation. It grants the attorney general the authority to enforce the criminal penalties in the Act. 
CS/SB 21 SJC creates an appeal process to the WQCC that requires the timely filing (within 30 days of notice of departmental action) of a written petition including a statement of the issues and relief sought that will be provided to all other persons participating in the preceding before the NMED. The appeal petition may include a request of stay of the NMED action. CS/SB 21 SJC specifies notice provisions for an appeal hearing and a 90-day period in which to conduct the hearing, which a hearing officer may conduct followed by recommendations to the WQCC. It allows for additional evidence under certain circumstances and requires the WQCC to notify the petitioner and all other participants of its decision and the reasons supporting the decision.
CS/SB 21 SJC allows a person adversely affected by a rule adopted by the WQCC or by a person participating in a permitting or compliance order review before the WQCC. to seek judicial review to the court of appeals within thirty days after the WQCC’s final action as defined in the act. It creates the possibility of a stay of the action either by the WQCC after application and a hearing or by the court of appeals if the WQCC denies the stay. The appeals court is limited to the record and to the bases for appeal under an administrative appeal.
CS/SB 21 SJC establishes limitations on the WQCC and the NMED when requiring a permit under the Pollutant Discharge Elimination System Act. Neither the WQCC or the NMED may require such a permit that takes away or modifies a property right in water; affects relations between employers and employees concerning a condition of water quality; or supersedes or limits the applicability of a law relating to industrial health, safety or sanitation.
CS/SB 21 SJC establishes both requirements and limitations on making records available to the public obtained under the Pollutant Discharge Elimination System Act including a limitation on confidential business information as defined by this Act or under the Uniform Trade Secrets Act. It provides a process for segregating that confidential information from the rest of the application or supporting documents.  It allows for the disclosure of confidential business information to officers, employees, or authorized representatives of the WQCC, the NMED and the federal government and when relevant, in a proceeding pursuant to this Act or the federal act. It imposes a fine of not more than one thousand dollars ($1,000) or a year in jail or both for willful disclosure of a trade secret by an officer, employee or authorized representative of the WQCC or the NMED.
CS/SB 21 SJC declares an emergency.