City Council

MINUTES OF SPECIAL CITY COUNCIL WORKSHOP CLOUDCROFT, NEW MEXICO FEBRUARY 24- 25, 2023 The City Council of the City of Artesia, New Mexico met in The Lodge at 61 Corona Place, Cloudcroft, New Mexico on Friday, February 24, 2023, at 12: 30 pm, with Mayor Jonathan Henry presiding, and the following City Officials present: Councilor Ignacio Mariscal Mayor Pro tern Jeff Youtsey Councilor Raul Rodriguez Councilor Jarrod Moreau Councilor Wade Nelson Councilor George Mullen Councilor Richard Townley Summer Valverde, City Clerk/ Treasurer Cass Tabor, City Attorney( joined at 4: 34 pm) Municipal Judge Sara Gallegos Haley Klein, Chamber of Commerce Human Resource Director Jerry Conde Fire Chief Kevin Hope Police Chief Kirk Roberts Community Development Director Jim McGuire Infrastructure Director Byron Landfair Deputy City Clerk Fatima Salinas Absent: Councilor Sam Hagelstein Opening remarks Mayor Henry thanked everyone that has made it to The Lodge. He expressed how this time for the Retreat will be a little different than others in the past. He expressed this is not a budget retreat but more a vision retreat to get a better understand for where we are headed and what we are trying to accomplish. He did explain there will be some budget discussions but there will not be any decision making. He expressed how without the public not able to make this meeting it would be best not to make any major decision. Mayor Henry briefly explained that the department heads will give an update of where each are to date and see what is needed to move forward. Mayor Henry opened it up for any public remarks. There were none. Finance City Clerk/ Treasurer Summer Valverde presented on finance. Mrs. Valverde discussed how she will go over: 1) budget highlight, 2) budget changes overtime, 3) fiscal indicators, 4) budget challenges and 5) looking ahead. Mrs. Valverde presented budget highlights and a graph showing currently as of December 2022 there is 62% in revenues due to GRT came in overbudget of 3. 3 million and transfers were at 66%.  Minutes, February 24- 25, 2023 Page 2 All transfers have been made for the one- time capital projects. Expenditures came in underbudget at 44% due to personnel department vacancies. There are 211 approved positions and 33 vacant, so FICA, Medicare, insurance, etc. contributes to the expenditures. Mrs. Valverde moved on to discussing budget changes overtime. Mrs. Valverde presented a graph to show when they prepare for a budget explaining how they look at deficits. She explained how revenues came in over for what expenses were for the year ended. Mrs. Valverde stated there is a cash balance of$ 21 million. Mrs. Valverde continued to explain her graph presentation from the year 2020 budget of 1. 7 million deficits, 2021 $ 3. 1 million deficit and in 2022 $ 1. 6 million deficit. Mrs. Valverde moved on to discussing fiscal indicators and explained the revenue sources are coming in from taxes and all other revenue sources a drop in the bucket. Mrs. Valverde explained, as many already know, property taxes and GRT' s is where we are getting most of the money to operate the city. Mrs. Valverde continued with her graph presentation of property taxes over the last 5 years. She presented how Oil & Gas ( O& G) has given a negative amount of growth and property taxes is$ 1. 4 million of the$ 26 million and our levy on the property tax is 3. 347 and over a several years it has not been touched. For GRT what we have imposed is 2. 3125% and this is what revenues brought in for the FY 2022. Mrs. Valverde explained to use some unused authority we would have to hold an election if we wanted to go that route. Mrs. Valverde continued to present a graph on the history of the industries on mining, oil and gas extraction, retail trade, and construction. She explains briefly on how mining, oil and gas has gone down in the past ten years. Mrs. Valverde stated she called Taxation& Revenue to ask about the construction industry because there were some highs and lows. She continued to explain that the construction agencies will file for their GRT at the beginning of a project then later file for their exemptions; for that reason, we see those highs and lows. Councilor Townley asked when the changes in the tax laws happened is that was when we began to see a drop around that time. Mrs. Valverde responded with it started to go down during the pandemic in 2020, that law is House Bill 6 and it come into effect in July of 2021. So our initial hit was during the pandemic. Discussion took place over on the history of industries, gross receipt taxes and getting a better understanding and continuing to understand our GRT. Mrs. Valverde moved on to discussing the budget challenges. Mrs. Valverde presented on our budget and reoccurring increases, such as, salaries, insurance costs, fuel, and vehicle maintenance and how our budget has been unstable. Mrs. Valverde explained how overall there has been increases in the economy such as fuel, oil and how inflation has increased. Discussion took place over on inflation. Mrs. Valverde stated that if we can' t get help from the state, we may have to look to the general funds to subsidize. Mrs. Valverde moved on to looking ahead in her presentation. Mrs. Valverde gave her final presentation on goals for budget reform. In which she stated 1) creating a vision for the City of Artesia so the budget can be strategically planned with overall goals set over several years, 2) make investments that have a greater return such as business growth, 3) set a reserve limit so that  Minutes, February 24- 25, 2023 Page 3 any overage can be invested in maintaining our capital needs, and 4) strive to create a balance budget that includes strategies that are results driven. Discussion took place over goals for budget and creating a balance budget. Council and department heads expressed their thoughts and concerns on the budget. Action item: Get a better understand on the GRT— What are the drivers? What is our benchmark number? And goals for the Budget Reform—( See Mrs. Valverde slide) Infrastructure Infrastructure Director Byron Landfair presented a handout he put together for the retreat. Mr. Landfair began with thanking the council for giving the parks some extra funds. Mr. Landfair gave a brief update and how they were able to spend on improving the parks such as putting up signs at Jaycee Park, improving the circle, putting up bleachers for the softball and football fields, adding a dog park. They trim down the tress downtown and some of the park. They added ADA ramps to the sidewalks. Mr. Landfair moved on to the next discussion of utilities. He gave a rundown of where they were at. He stated he had to hold off on watering the parks until August. The re- use water system is down until then if not longer. He also stated he could use ideas on how to get it out to the public to notify them of our parks landscape. Mr. Landfair stated the water departments predicted budget is expected to clear about$ 470k this year but would like to clear about$ 500k that give you enough 111 to buy the capital every year and put a little aside into the reserve fund to save up for bigger projects. He explained right now there is 3. 5 cash on hand for that group and it' s including the reserve. He stated that they need to look at minor distribution replacement as well as capital equipment replacement. He explained they need to start getting rid of old cast iron and ac lines and replacing them. Another big change that will be coming to the water department is the Lead and Copper Rule. He explained they use to be able to sample for lead and copper every three years to about twenty sites around the city. The big change to the lead and copper rule is that they take those twenty sample sites, and it quadruples it. We must sample 25% of the schools and 25% of the daycares. He continued to explain the lead copper rule. He stated he sent off for some clarification to the rule. Mr. Landfair explained that it cost us about$ 8k to do samples for 20 sites and if we are going to have to quadruple that its going to cost us about$ 24k a year just in sampling. Mr. Landfair moved on to state the wastewater department is in good shape. He stated they are expected to clear $ 520k for the year and they have $ 7. 1 million on hand. Some of that cash on hand comes from Navajo refinery. Mr. Landfair explained how that money is collected. Mr. Landfair stated that with some of that money he plans to redo the UV System in the next two years. He gave explanation of how that money will be spent and updates it will go into. Mr. Landfair move on to Solid Waste. He explained how solid waste is the least healthy of the three utilities. It' s expected to clear$ 188k. He states what' s concerning is that we are missing that half million- dollar mark. He explains one thing we need to consider as we are going through rates out at Solid Waste is do we want a permanent all clean-up or stay in a hybrid system that we already are. He explains what is done now with staff being available on Wednesdays and are  Minutes, February 24- 25, 2023 Page 4 servicing tickets but if alleys get too bad, we contract out. Another decision we need to look at is we are a private company to pick up our trash trailers from the transfer station to the sand point. So, it' s going into two trucks before its final place. So, an expanse that we see is we are paying twice to move trash, theoretically. We pay about $ 400k a year. These are some things we need to look as we move forward for solid waste. Mr. Landfair continued to move in discussion in some history on streets and parks. He stated he read in the International City County Managers Association' s ( ICMA) recommending in its data indicating a ratio of 1 FTE( full time employee) per 18- 20 acres ofmaintained parkland as a general standard for park maintenance. He stated that about 10 to 11 employees alone for parks. Mr. Landfair stated we currently have five employees in parks permanent and five employees in streets permanent and one supervisor, so eleven in that department. He stated prior to 2016, ' 17, & ' 18, how the city has gotten through summers, we' d hire 4 temps from temp agencies, since about 2016 17 we have not found any temp works. Prior to this as well we would get through summer with about four to six summer helpers. In the last three years we have not hired anybody. How we have been getting through is combining departments throughout the summers and winters. He continues to update with streets. Mr. Landfair moves into discussion over facilities maintenance. He commends the facilities department for doing a great job being that they only have about four to five employees on staff and are taking care the city building and some city properties. Mr. Landfair reviews a list that was given in the retreat packet of all the buildings and city properties facility maintenance maintains. Councilor Rodriguez asked if we maintain the city properties or if we subcontract out. Mr. Landfair responded with we are doing what we can, but they' ve been subcontracting out the last three or four years now. Mr. Landfair moved into letting the council know they have information on the lead and copper information in their packet. He also gave a brief recap on current projects such as 20th Street Reconstruction at $ 3 million, Industrial Park Phase III at $ 4 million, WTP Pond Re- line at $ 1 million ( no water to parks re- use system until July 2023), and street maintenance on Richardson and 2nd St. at $ 1 reconstruct- tear down and rebuild back up). He also recapped on million ( such as 26th St.- Hermosa Ave to Main St. at $ 6 million ( re- alignment bridge upcoming projects rehab), Hermosa Ave — 1st St. to 13th St at $ 5 million, Grand St water upgrade at $ 1. 5 million replacing water line from 13th to 26th street), Main St ( US285) — Airport Rd to 41st St Water Relocation at$ 1 million, Tank Painting— Lonesome Tank& Bulldog Tank at$ 600K( repaint) and New Well for Bulldog Tank at$ 1. 5 million. Mr. Landfair move into discussing of the fleet list in the packet. He explained that most of the fleet are coming from water and streets. Also listed is some maintenance, recreational, administration and planning. He recommended to council that they start re placing them as we have the funds and look to replacing a percentage each year. Cemetery — Mr. Landfair commented on the average of service prior to 2020 was 95, and in the last two years the average has gone up to 130. Basically, we have gone from 8 a month to 10 a month. Discussion took place over on cemetery and expansions, and communication about Twin Oaks Cemetery.  Minutes, February 24- 25, 2023 Page 5 Action item: 1) Water Dept— changes in lead& copper regulations a) estimate cost to the city, b) clarification of requirement. 2) Solid Waste— consider change of process to reduce cost. 3) Streets formalize the maintenance program. 4) Fleet— replacement process ( Infrastructure/ Fire/ Police) Court Update City Municipal Judge Sara Gallegos gave an update of what the Artesia Municipal Court currently consists of. Her staff consists of herself, a court admin and two court clerks. She also stated that when she hires, she is responsible in doing her own hires and does not go before the council. She also is responsible for her own budget as well. Judge Gallegos explains a wide range of charges comprise of such as animal control, code enforcement, traffic matters and criminal charges, including DWI charges. She continued to explain there are approximately 76 Municipal Judge in the state, however she is one of 20 to hear DWI' s. Her sentencing powers includes fines and fees, incarceration, probations, community services, treatment, classes, etc. All fees go into the city' s general fund. She goes to state the purpose of the Municipal Court is compliance. Judge Gallegos gave stats update on total cases heard between 2022 back thru 2019. In 2022 total cases were 645, 823 citations, 23 DWI' s collected $ 66, 539; 2021 total cases were 898 1203 citations, 19 DWI' s, $ 99, 014; 2020 total cases were 734, 935 citations, 8 DWI' s, collected 72, 017; 2019 total cases were 1290, 1616 citations, 3 DWI' s, collected $ 110, 714. 11 Judge Gallegos explained numbers above indicating citation count is not just in Municipal courts but many courts across the state, but DWI' s are up. Judge Gallegos goes to explain that there are more DWI' s cited in the last couple of years. She stated in 2022 Magistrate Court had 27, and Municipal Court had 23, so they have been averaging about the same. Haley Klein with the Chambers wanted to know the difference between Magistrate Court and Municipal Court. Judge Gallegos explained the officers cite depending on the charges whether it be Magistrate or Municipal. Chief Roberts also clarified that Magistrate court is a state court. It' s managed thru the state and finance thru the state and will only hear state charge. It cannot hear Municipal charges. Discussion took place over how officers choose to give cases to Municipal or Magistrate courts, also discussion on House Bill 139. Judge Gallegos continued to update on how she removed the designation of the jail to be her pre- trail release. Which indicates the jail must contact Judge to be decided if released on own recognizance. She has taken up responsibility on all arrests and has set her own conditions of release. Judge Gallegos reviewed over COVID and Municipal Court. She stated how they never closed being that the court office is still brand new and built with plex glass, so they were able to social distance, still wear masks in the court room and did remote hearings through Meeting Owl. Judge Gallegos thanked everyone and appreciated the invite to this retreat. She also stated hearings are open to the public and everyone is welcome to come by.  Minutes, February 24- 25, 2023 Page 6 The meeting recessed for break and room check- in at 3: 15 p. m. The meeting reconvened at 3: 43 p. m. Fire Department Fire Chief Kevin Hope reported some basics listed on the agenda and future items. Chief Hope began with speaking of staffing needs ( current and future). He states that all budgeted positions are currently full but stress that only five are uncertified and going through the academy that just started. Chief Hope reviewed a graph he presented on some staff highlights stating there is a battalion chief that basically run both stations; there are two lieutenants ( which oversees engine company, latter company, or any company) one at each station and their staff. He stated they have operated a little over half on each shift for the last four years, which has created overtime. Going forward, with nine per shift we can do but with Station 3, a lot of the times would be a two- man crew, not optimal. However, 82% of the call are EMS, two- man on EMS call is ok for most responses, but it' s not ideal. Chief Hope stated for now, once those individuals get through training, we will be good with current response, and good with two stations. Chief Hope believes that in going forward we should look into a station 3 and look at reinstating the six positions. With the individuals completing training that puts the budget for this year at$ 64k difference with full staff. Should we add the six positions that puts us at $ 834k for next fiscal year' s budget and he stresses stating that its at certified full staff Discussion took place over in transports. Chief Hope moved on to discussing station distribution and stated it kind of ties into what we were discussing. Chief Hope went into presenting a slide over having a third station and showing the area where station 3 would be located and its response area, along with station 1' s area and station 2' s area on the slide. Chief Hope stated when ISO comes in to evaluate it' s a mile and half area for and engine company and two and half mile for a latter. Chief Hope went into explaining how each station cover the areas designated on the map shown on his slide. Discussion took place over the three stations and the areas that would be covered. Chief Hope moved into discussing apparatus replacements. Chief Hope explain some replacements such as 1) Engine# 3 2007 Rosenbauer a class A. It does count in our ISO. It' s a 4- wheel drive and it can go out into county as well and is use structure response. Chief Hope recommended it be replaced its beyond its date. Mrs. Summer is aware and is in capital for future replacement. 2) Engine # 4 2004 Rosenbauer within three years will need to be replaced. 3) Engine # 5 2014 still have time on it but keep in mind those are coming up. He goes to explain that engine # 5 was the last to be purchase at about half a million and to equip it it was about $ 230-$ 240k, and engine replacements we are looking about a million dollars. Councilor Nelson asked what the lead time on the trucks. Chief Hope responded with putting in a PO today its three years. 11 Councilor Moreau asked if there is a reasonable sale price, we can sell the trucks for or how does that work. Chief Hope responded when a truck hits service life then we put them up for auction  Minutes, February 24- 25, 2023 Page 7 someone will buy them use for parts and ranchers have bought and use them. Chief Hope also stated he is not a fan of putting a truck that has reached its service life and putting it into emergency 11 service elsewhere. But we have donated before and no tax write-off from it either. Chief Hope moved into discussion over protection equipment purchase or replacement. Chief Hope explained that he is referring more to the SCBA' s and not gloves these are smaller ticket items. Chief Hope stated he was contacted by a senator to help with equipment in the amount of 275k. He plans to replace equipment as they come up if those moneys come through. He continued to talk of the SCBA ( Self Contained Breather Apparatus), stating in about two to three years they will be out of warranty, using equipment out of date they can be cited for it. The last purchase on replacing those were$ 340K. Chief Hope stated the council through the fire fund they replace equipment on a fair rated basis, aside from if something breaking. Chief Hope stated to council to keep in mind in three years there will be big tickets for replacements. Chief Hope moved into discussing ISO classification in how it ties into personnel, equipment, and station distribution. Chief Hope explained we are currently an ISO 2 since 2012 prior to that were a 3. He explained this last survey when we were inspected, we barely got by with a class 2 due to staffing. Chief Hope explained how there is fifteen points available, and the conditions of when moving on the ISO classes determines on how good you are at your job. He stated this next year we will get another survey so all personnel and data from now until then will count. Chief Hope gave explanation on what will count, what will help to move up to a class 1. EMS does not get evaluated in the ISO. Chief continued to state that another caveat to ISO is funding through the state. He explained as ISO rating gets better it gets calculated for distribution. It is per station, each station ( 1& 2) gets X amount of funds per year as a base, if there is an overage in the fire funds which it has) a percentage gets put in the distribution. With adding a station 3 and getting a class 1 ISO we are looking at about $ 3 1k more in fire fund distributions and it will help take some burden off on having to go before council. We would have accrued funds. Action items: 1) Station # 3 and staffing ( build the case). 2) Engine # 3 — create replacement plan build the case). Community Development Community Director Jim McGuire began with giving an update on the Aquatic Center which will begin to be open on Monday through Friday 6 am to 7 pm, Saturdays 11 am to 6 pm, and Sunday 12 pm to 6 pm. He added they were able to get 10 lifeguards certified to have these hours of operation. Mr. McGuire presented a handout for the retreat to follow. He began with presenting of overhauling the Zoning Regulations. Mr. McGuire reported this began several years ago, but it didn' t go too well. He explained how he has some changes and would like to start working with the planning committee and make sure we are all on same page, then take it to planning and zoning commission, and then to city council. He stated he has some chapters drafted to begin with. Mr. McGuire moved into discussion on how he would like to begin preparing a new comprehensive plan. He stated the last one was in 2012 and should be reviewed every five years. He stated he  Minutes, February 24- 25, 2023 Page 8 applied for a grant for comprehensive plan and was denied due to too much money in our general funds. Mr. McGuire moved to discuss in a new community/ recreation center. He stated he applied for a grant the design and another to redo the restroom and concessions out at Jaycee Park and we did not get either. Mr. McGuire stated we have some private funds wanting to help with that, that' s an option. He stated now is the legislative request, so he sent a letter of interest to Senator' s Lujan and Heinrich for the wellness center and the restrooms, then if we get a response then we send out more details. Mr. McGuire explains how the center requires costly repairs every year and how he would like to do some updates, hence the new center. Mr. Landfair suggested we budget on the comprehensive plan and budget for recreation center. Mr. McGuire moved into discussion over demolish burned and unsafe building and cleaning up the properties. Mr. McGuire stated there are six homes burned: 1) 2901 W Grand Ave— cost over$ 35K to tear down 2) 1304 S Sandia— cost about $ 27, 800 to tear down 3) 1112 W Dallas Ave— already( torn down by family, getting cleaned up by family) 4) 508 W JJ Clark Dr— over$ 21K( owners passed, maybe hard to get in contact with owners, one person living in tent in back yard) 5) 822 S 2nd Street—$ 24, 800 to clean up (two story home with trailer in back yard) 6) Abo Apartments Mr. McGuire stated with doing Sandia, Clark, and 2nd St. it will be about $ 73, 500. For his professional services in his budget is about $ 90K and demolition is $ 70K. He explains how the city takes over in demolishing some of the homes burned if owners do not take care of it. Councilor Townley commented on property the Sandia property about some potential individuals taking over in demolishing the property if current owners want to sell or sign over property. Mr. McGuire responded he spoke to the owners about that. Council went into discussion of a couple of the burned homes property. Mr. McGuire moved into discussing to build a new city hall. He commented this is more of an overall City effort. Discussion took over in what was discuss from in the past on the build of a new city hall and whether it needs to be decided on moving forward with it as well. Mr. McGuire moved onto the last item he has listed which is on the marketing the Armory Property. Mr. McGuire gave some estimate of$ 214, 356 for demolishing the property. Discussion took over what to do with property as what was discussed in past. Action item: 1) Demolish burned and unsafe homes/ buildings. 2) Market the Armory Property. 3) Comprehensive Plan. 4) Review all city owned property and sell properties not needed.  Minutes, February 24- 25, 2023 Page 9 Police Department Chief Kirk Roberts presented a slide for the retreat to follow. Chief Roberts presented an overview of crime stats. Chief Roberts shows a graph of the stats of each crime. Chief Roberts reports on personnel how recruiting numbers have been up and resignations have been down. Chief Roberts stated that we still do lose people to the county. He stated that after we raised our wages the county increased theirs as well. Chief Roberts gave a quick review of personnel stats. Chief Roberts reported on animal shelter stats and issues and shows some graphs on that. Chief Roberts also reported that a lot of the dog rescuers are getting full and have not been taking rescues, and it' s been hard- to- find organizations that will be able to rescue a lot of these animals coming in. Chief Roberts stated that adoptions are better than rescues at this time. Discussion to place over rescues, adoptions, and certificates for spays or neuters for the animals. Chief Roberts moved into discussing the Fleet in being and issue. Chief Roberts presented in his slides a graph of the vehicles for police. Chief Roberts also presented a slide for new vehicles for his department. Action items: 1) Prepare crime stats for the city. 2) Animal Shelter - a. investigate what other cities are doing; b. how long are they holding animals; c. look into new procedures. 3) Replacement schedule ( consider wait time). Recess and Reconvene Mayor Henry announced two options 1) that we continue with Personnel and finish for this evening or 2) move to continue with Personnel first on the agenda for tomorrow. Councilor Moreau made a motion to move Personnel to the first item in the morning. Motion was seconded by Councilor Townley, and upon vote. Motion carried. The City Council Retreat recessed at 7: 10pm The City Council Retreat reconvened on Saturday, February 25th, 2023, at 8: 15 am with the following members present: Councilor Ignacio Mariscal Mayor Pro tem Jeff Youtsey Councilor Raul Rodriguez Councilor Jarrod Moreau Councilor Wade Nelson Councilor George Mullen Councilor Richard Townley Summer Valverde, City Clerk/ Treasurer Cass Tabor, City Attorney Municipal Judge Sara Gallegos  Minutes, February 24- 25, 2023 Page 10 Haley Klein, Chamber of Commerce Human Resource Director Jerry Conde Fire Chief Kevin Hope Police Chief Kirk Roberts Community Development Director Jim McGuire Infrastructure Director Byron Landfair Deputy City Clerk Fatima Salinas Personnel Human Resource Director Jerry Conde presented discussion over HR Module, comp study, Trans America ( retirement), hiring a safety coordinator, Red Rocket ( market contractor), and IT Infrastructure. Discussion took place over how to tackle and help Mr. Conde get matters taken care of. Action item: Sitting down and prioritizing the list Mr. Conde presented for Personnel: Economic Development Discussion Chamber of Commerce Executive Director Hayley Klein presented the Economic Development discussion. Mrs. Klein began giving a history of when the city partnered up with the Chamber of Commerce with the Economic Development ( back in 2011) and with Michael Bunt. Mrs. Klein gave a recap ofhow much and how hard Michael Bunt work to help the city to bring in restaurants, business, hotels, and housing when he was with the Chamber of Commerce. Mrs. Klein stated a lot has happened since Mr. Bunt left back in 2018, then another person came and by then focus was lost or we may just need to re- evaluate the economic development for the city. Mrs. Klein stated in moving forward she wanted to spend time recapping the last ten years, examine the impact of it, look at the tools we have to open up opportunities, create a vision, and created a strategic plan to move forward to have the most impact on our goals. Mrs. Klein gave a recapped of past 10 years for the city, discussing the before and after of what has changed in Artesia. Giving examples to name a few: Oil & Gas Conservation Canyon Stone Apartments Good Life Senior Living & Memory Care IHOP La Quinta Hampton Inn CGS- Firearms McAlister' s Roselawn Apaitiuents Stone Gate Apartment Starbucks Wendy' s Popeye' s 11 Mrs. Klein gave explanation of the 2002 State Statue LEDA (Local Economic Development Act) and the LOGART ( Local Option Gross Receipt Tax) and how it has helped the City of Artesia be  Minutes, February 24- 25, 2023 Page 11 able to adopt ordinances for the city to be able to establish the funds for economic development. Mrs. Klein explains the LEDA has since then been amended and hopes to be able to help the city amend our ordinance to match the states, but the LOGART would have to go to a vote. Mrs. Klein continues to into recapping all that has been developed in Artesia the past ten years. Mrs. Klein gave a list of projects that received funding over the years were, to name a few: Horner Farms Industrial Park Elite Kith & Kin Adobe Rose Desert Hills Electric Supplies Hampton Inn Hotel Artesia Mrs. Klein moved into discussing the housing study that was established in the past before. Discussion took place over the housing study, housing market, housing development for affordable housing, the census and GRT' s in span ten years. Mrs. Klein explained how she went and did her own swat of analysis. She went over strengths we have, weaknesses, opportunities, threats and stated these come from a marketing perspective. She began with our strengths; we have benefactors that most communities don' t have. We have four foundations and three that have a lot of money. The schools are top notch. The Hospital. Our spirit, which is intangible. We are friendly to industry and law enforcement and that a really big deal when it comes to marketing and recruitment. Our amenities like our Aquatic Center, Library, Ocotillo, and Main Street have helped us tell our story. The Chamber brings activity to the community like the events. Mrs. Klein moved into weaknesses. Housing costs are high. Development is high. And then Perception and Attitude, although we have spirit there is another side of that story, external and internal sides. She adds apathy. We have vacancies in buildings sitting there vacant. And in a way the development around us in the county, where a lot of housing development is occurring in the county and it doesn' t count in our GRTs, property tax and our census. The meeting recessed for break and room check- out at 10: 35 a.m. The meeting reconvened at 11: 00 a. m. Mrs. Hayley Klein continued presenting and moved into speaking about opportunities. She goes on to say that we have vacancies so those are opportunities for development, whether it be residential or commercial. Ordinance amendments are good opportunities for the city, especially the two spoken earlier. The benefactors that we have, while we have them we should use them, we wont have them forever. Boundaries can be an opportunity for the city to look at for growth. Marketing is an opportunity. The Chamber is getting ready to begin a foundation a 501c3 and it can be an opportunity for the city. The historic district can be an opportunity for us and parks. Mrs. Klein moved into speaking of the threats we can have in our community, such as the regulation on oil and gas can hurt us, whether by perception or reality. Perception can be a threat. Destination tax can be a threat as well. She stated that we have the largest young population in the state. And this can be all of the above, an opportunity, a threat and a weakness. One being, the young people come back for whatever reason, maybe it be the way they look at this community.  Minutes, February 24- 25, 2023 Page 12 Discussion took place over how to turn the threats into opportunities for the communities. Mrs. Klein spoke of some goals she set for herself Councilor Youtsey spoke of his trip he took to Boston and rode around and noticed some Pods that are used for small businesses. He discussed how the city could possibly benefit from this and our community can do so as well. Have these up coming entrepreneurs use for beginning their business. Mayor Henry went into discussion over adding these Pods or Hubs for people that want to start a business. Help the community in developing their business and market for themselves. Speaking of getting these vacant buildings and develop new businesses. Discussion took place over how to become and be the best city in New Mexico. Council and staff expressed their views. Action items: 1) Mayor— Artesia" The Best City in NM" 2) Hayley— Sunset completed projects. 3) Chamber— Amend city ordinance to match state. 4) Chamber& Council— Housing Incentive Plan Chamber& Council— Market Artesia ill5) a. b. c. Pod Park Vet Village Hayley' s list of goals d. Transformation of downtown buildings & business spaces There being no further discussion, the retreat was adjourned at 12: 42 p.m. on February 25th, 2023. ii Nvirki Jonatha r enry, Mayor ATTEST: S •• s/ Summer Valverde, ity Clerk s • 11l'v M EX` Gtzs 4• ll/!!! 14