Associated Press: Former Cabinet secretary defends auto dealerships from Tesla

Associated Press: Former Cabinet secretary defends auto dealerships from Tesla

Heather Ferguson, executive director of the government accountability group Common Cause New Mexico, said the quick transition by Ortiz from Cabinet secretary to industry spokesman smacks of crony capitalism. “The perception this creates, on the heels of the Tesla deal, is concerning,” Ferguson said. “Each one of these things chips away at the state’s national reputation as to whether businesses can come in and get a fair shake. It hurts our economy.”

SANTA FE, N.M. (AP) — A recently retired state Cabinet secretary who oversaw New Mexico’s first major foray into electric vehicles for government fleets has gone to work at a lobbying group for automotive dealerships as they safeguard state-authorized control over direct sales of new vehicles from incursions by electric-car maker Tesla and other potential rivals.

Ken Ortiz retired in June as secretary of the General Services Department. He has begun work as president of the New Mexico Automotive Dealers Association by publicly defending New Mexico’s ban on direct sales of motor vehicles and highlighting local employment provided by auto dealerships.

Tesla forged a route around the state’s direct-sales prohibition last month as it opened a store and repair shop on autonomous Native American land at Nambé Pueblo in northern New Mexico. It marked a new approach in Tesla’s yearslong fight to sell cars directly to consumers and cut dealerships out of the process. …

Heather Ferguson, executive director of the government accountability group Common Cause New Mexico, said the quick transition by Ortiz from Cabinet secretary to industry spokesman smacks of crony capitalism.

“The perception this creates, on the heels of the Tesla deal, is concerning,” Ferguson said. “Each one of these things chips away at the state’s national reputation as to whether businesses can come in and get a fair shake. It hurts our economy.”