Summary:

 Senate Bill 231 (SB 231) enacts the Beneficial Substances Act, creating a statewide regulatory framework for the registration, labeling, and sale of plant biostimulants, soil amendments, and other beneficial agricultural substances. The bill transfers regulatory oversight of soil conditioners from the New Mexico Fertilizer Act to the Beneficial Substances Act, requires product registration and labeling, establishes inspection fees, and sets criminal penalties for misbranded or adulterated products. SB 231 takes effect January 1, 2026. 

Legislation Overview:

 Senate Bill 231 (SB 231) establishes the Beneficial Substances Act, which regulates the sale and use of plant biostimulants, soil amendments, and beneficial agricultural compounds that improve plant health, soil fertility, and crop yields but are not classified as fertilizers or pesticides. The bill defines key terms, including beneficial substance as a non-nutrient compound demonstrated to benefit plant growth, soil, or planting media, plant biostimulant as a microbial or organic substance that enhances nutrient uptake, stress tolerance, or plant metabolism, and soil amendment as a material that modifies soil chemistry, structure, or biology to improve productivity.

The bill assigns regulatory authority to the New Mexico Department of Agriculture (NMDA) and requires registration of all beneficial substances before sale, with a $50 per-product registration fee. Inspection fees of up to $0.50 per ton are required for bulk materials. Mandatory labeling requirements are established, detailing composition, purpose, and usage instructions. The NMDA is required to compile annual reports on beneficial substance use in New Mexico. The department may conduct inspections, test samples, and issue penalties for misbranded products with misleading or false claims, adulterated products containing harmful contaminants, and failure to register or comply with labeling regulations. The bill preempts local regulation, prohibiting municipalities or counties from enacting separate rules on beneficial substances. Violations of the Beneficial Substances Act may result in civil penalties up to $5,000.

Implications
SB 231 removes soil conditioners from the Fertilizer Act and places them under a dedicated regulatory framework, ensuring consistent standards for agricultural additives. The registration and inspection fees provide funding for enforcement but may increase compliance costs for manufacturers and distributors. The bill prevents local governments from imposing separate regulations, ensuring statewide consistency in agricultural product oversight. By establishing clear labeling and product quality standards, SB 231 aims to reduce fraudulent claims in the market and protect farmers from ineffective or unsafe products. 

Current Law:

 Currently, soil conditioners are regulated under the New Mexico Fertilizer Act, which does not cover plant biostimulants and other beneficial substances. SB 231 removes soil conditioners from the Fertilizer Act and creates a standalone regulatory system to govern all beneficial agricultural products. 

Amendments:

 Amended February 19, 2025 in SCONC:

SCONCa/SB 231: The Senate Conservation Committee amendment to Senate Bill 231 introduces the following pertinent change:

The committee amendment makes a single substantive change to the bill by amending the adulteration provision in Section 12. The original bill defined a beneficial substance as adulterated if it contained any harmful substances that could injure plants, animals, humans, aquatic life, soil, or water. The amendment adds a new provision stating that a beneficial substance is also adulterated if it contains hazardous waste as defined in Subsection K of Section 74-4-3 NMSA 1978, unless the waste itself is chemically equivalent to a beneficial substance. This change clarifies that hazardous waste cannot be included in beneficial substances unless it meets equivalency standards. SCONCa/SB 231 was adopted by the Senate Conservation Committee and referred to the Senate Judiciary Committee for further review.

Implications

The amendment strengthens the environmental safety provisions of SB 231 by ensuring that hazardous waste cannot be incorporated into beneficial substances unless it meets strict equivalency criteria. This change provides additional safeguards against potential contamination of soil and water while preventing the misuse of hazardous materials under the guise of beneficial substances. The bill as a whole introduces a regulatory framework that could increase compliance costs for businesses engaged in the production and sale of beneficial substances, as they will need to adhere to registration and labeling requirements. However, by consolidating soil conditioners and plant biostimulants under a single act, the bill also streamlines oversight and regulation of these substances within the state.