Village of Los Lunas Council Agendas\Minutes

VILLAGE OF LOS LUNAS REGULAR COUNCIL MEETING AGENDA THURSDAY, MARCH 13, 2025 – 6:00 P.M. COUNCIL CHAMBERS – 660 MAIN STREET LOS LUNAS, NM 87031 ATTENTION: Village Council meetings are also streamed live via Microsoft TEAMS. You may connect with codes that are available on our website (www.loslunasnm.gov) and/or https://www.loslunasnm.gov/meeting. PLEASE TURN OFF OR MUTE ALL ELECTRONIC DEVICES DURING THE MEETING. YOUR COOPERATION IS APPRECIATED. The Village of Los Lunas Council is pleased to have residents of the community take time to attend Village Council Meetings. Attendance and participation is encouraged. Individuals wishing to be heard during Public Input and Public Hearing proceedings are encouraged to be prepared and will be limited to three (3) minutes in order to allow everyone the opportunity to be heard. PUBLIC COMMENTS ARE EXPECTED TO BE CONSTRUCTIVE AND DEVOID OF CHARACTER ASSASSINATION. Questions raised on non-agenda items may be answered at a later date in order to facilitate proper research. Written comments are welcome and should be given to the Village Administrator prior to the start of the meeting. Written materials will not be accepted during regular agenda items in the interest of time. ∗ CALL MEETING TO ORDER. ∗ PLEDGE OF ALLEGIANCE. ∗ PUBLIC INPUT FORUM. JASON DURAN & 1. RESOLUTION 25-14: AUTHORIZING PRIVATE SALE OF 03 MAYO LOOP, LOS LUNAS, NM 87031. LARRY GUGGINO TAB 1. ACTION REQUESTED OF COUNCIL: Approve or disapprove. BACKGROUND AND RATIONALE: The property was deeded to the Village by HUD at a time when the Village was managing the Section 8 housing program. Subsequently, the Village entered into an agreement with another governmental entity to manage the Section 8 housing within Los Lunas, and this property was not involved in that agreement. The Village has owned the property for approximately 23 years, but due to its condition, the Village’s inability to use the property for any governmental purpose, and other considerations, staff is requesting that Council approve the sale of the property at a private sale to the current occupants, who have resided on the property from the time the Village was involved in the Section 8 program to the present. Pursuant to §3-54-1(A) NMSA 1978, if the subject property is valued at less than $25,000.00, the Village may sell the property at a public or private sale. The Village obtained an appraisal of the property in January of this year, and it appraised for $24,000.00. Approve the private sale of the property to the current occupants for $20,000.00. 2. APPROVAL OF MINUTES. TAB 2. a) Minutes from February 27, 2025, Council Meeting. b) Minutes from February 20, 2025, Industrial Rate Workshop. c) Minutes from September 19, 2024, Zone Code Update Workshop. d) Minutes from December 12, 2024, Zone Code Update Workshop. 3. ADJOURNMENT. If you are an individual with a disability who needs a reader, ampli�ier, quali�ied sign language interpreter, or any other form of auxiliary aid or service to attend or participate in the hearing or meeting, please contact the Deputy Clerk �ive (5) days prior to council meeting at 839-3840.  INTERNAL AGENDA REQUEST FORM DATE OF COUNCIL MEETING MARCH 13, 2025 (AGENDA REQUESTS ARE DUE TUESDAY @ NOON ONE WEEK PRIOR TO COUNCIL MEETING) AGENDA TITLE: Resolution 25-14 authorizing private sale of 03 Mayo Loop, Los Lunas, NM 87031 ACTION REQUESTED OF COUNCIL: Approve or Disapprove BACKGROUND AND RATIONALE: The property was deeded to the Village by HUD at a time when the Village was managing the Section 8 housing program. Subsequently, the Village entered into an agreement with another governmental entity to manage the Section 8 housing within Los Lunas, and this property was not involved in that agreement. The Village has owned the property for approximately 23 years, but due to its condition, the Village’s inability to use the property for any governmental purpose, and other considerations, staff is requesting that Council approve the sale of the property at a private sale to the current occupants, who have resided on the property from the time the Village was involved in the Section 8 program to the present. Pursuant to §3-54-1(A) NMSA 1978, if the subject property is valued at less than $25,000.00, the Village may sell the property at a public or private sale. The Village obtained an appraisal of the property in January of this year, and it appraised for $24,000.00. Approve the private sale of the property to the current occupants for $20,000.00. PRESENTER(S): Laurence P. Guggino, Jr. Jason Duran  RESOLUTION NO 25-14 AUTHORIZING THE SALE OF SURPLUS REAL PROPERTY LOCATED AT 03 MAYO LOOP, LOS LUNAS, NM 87031 WHEREAS, the Village is the owner of certain real property in Valencia County, New Mexico located at 3 Mayo Loop, Los Lunas, NM 87031, UPC No. 1-019-038-322248000000 (the “Property”); and WHEREAS, the Property was part of the Section 8 housing program operated and maintained by the Village; and WHEREAS, the Village no longer operates the Section 8 housing program and transferred all of the participants to the Section 8 program to Socorro County, El Camino Real Housing Authority; and WHEREAS, on November 27, 2001, the Department of Housing and Urban Development (“HUD”) deeded the Property to the Village. See, Exhibit A attached hereto; WHEREAS, the Property was removed for the Section 8 housing program and cannot be utilized by the Village for any governmental purpose; and WHEREAS, the Village had an appraisal of the Property performed and the Property appraised at less than $25,000.00. See, Exhibit B attached hereto; and WHEREAS, pursuant to §3-54-1 NMSA 1978, any surplus property owned by the Village and valued at less than $25,000.00 may be sold at a private or public sale; and WHEREAS, the Property is currently occupied by the family that occupied the Property when the Village received title to the Property from HUD and the current occupants would like to purchase the Property from the Village; and WHEREAS, Jorge Bencomo-Diaz, one of the current occupants of the Property has offered to purchase the Property “as is” and with faults for $20,000.00 cash; and WHEREAS, due to the current location of the Property, the Village’s inability to use the Property for any governmental purpose, the appraised value of the Property, the current condition of the Property, and the potential liability to the Village, the sale of the Property to Jorge Bencomo-Diaz for $20,000.00 is in the best interest of the Village. NOW, THEREFORE, BE IT FOUND, DETERMINED, AND RESOLVED BY THE VILLAGE OF LOS LUNAS COUNCIL, LOS LUNAS, NEW MEXICO AS FOLLOWS: 1. The foregoing recitals are adopted as true and correct; 2. Subject to the approval of the Local Government Division of the Department of Finance, the sale of the Property “as-is” and with all faults to Jorge Bencomo-Diaz is hereby approved for $20,000.00 in cash;  3. Upon the approval of the sale of the Property by the Local Government Division of the Department of Finance, the Village Administrator is authorized and directed to enter into a purchase agreement with Jorge Bencomo-Diaz for the sale of the Property, open and close escrow on the sale of the Property; to pay all required fees and charges on behalf of the Village; and to take all other steps necessary or convenient to sell the Property in accordance with this Resolution; and 4. This Resolution shall take effect immediately upon its adoption. Passed and approved and adopted by the governing body at its regular meeting of March 13, 2025. _________________________ Charles Griego, Mayor Attest: ____________________________ Gregory D. Martin, Village Administrator  MINUTES VILLAGE OF LOS LUNAS THURSDAY, FEBRUARY 27, 2025 The Board of Trustees of the Village of Los Lunas, County of Valencia, and State of New Mexico met Thursday, February 27, 2025, in regular session at 6:00 PM. Roll call was taken, and the following were present: Mayor Charles Griego, Councilman Christopher Ortiz, Councilman Cruz Munoz, Councilman James Runyon, and Councilman Gino Romero. The meeting was conducted in person and recorded through TEAMS. Mayor: Charles Griego Mayor Pro Tem: Gino Romero Council: James Runyon Christopher Ortiz Cruz Munoz Also present were Gregory D. Martin, Mykayla Moody, Erin Callahan, Craig Donohue, and Luis Brown. In accordance with Ordinance 114A, the following agenda was prepared and circulated as required: 1. ORDINANCE 482: NIGHTRAIN ENERGY STORAGE, LLC INDUSTRIAL REVENUE BONDS (SERIES 2025). 2. RESOLUTION 25-07: NOTICE OF 2022 LGTPF LP30015 GRANT FUNDING EXTENSION. 3. RESOLUTION 25-08: NOTICE OF 2022 LGTPF LP0016 GRANT FUNDING EXTENSION. 4. RESOLUTION 25-09: MUNICIPAL ARTERIAL PROGRAM L300354 MAP GRANT FUNDING EXTENSION. 5. RESOLUTION 25-10: NOTICE OF 2022 LGTPF LP30018 GRANT FUNDING EXTENSION. 6. RESOLUTION 25-11: FY 2025 INTERIM BUDGET ADJUSTMENTS. 7. RESOLUTION 25-12: APPOINTMENT OF DEPUTY CLERK. 8. RESOLUTION 25-13: APPOINTMENT OF RECORDS CUSTODIANS. 9. EXECUTIVE SESSION: a) Hire Streets Supervisor – Streets Division / Public Works Department. b) Preliminary negotiations between IIAF Local 4297 and the Village of Los Lunas commenced on February 14, 2025. We would like to discuss the union’s proposals and receive direction from Mayor and Council for the next steps in the process. 10. APPROVAL OF MINUTES: a) Minutes from February 13, 2025, Council Meeting. 11. ADJOURNMENT. • CALL MEETING TO ORDER. At 6:00 PM, Mayor Griego brought the meeting to order and welcomed the audience. • PLEDGE OF ALLEGIANCE. Mayor Griego asked Sonia Walker to lead the Council and TEAMS participants in the Pledge of Allegiance. • PUBLIC INPUT FORUM. Mayor Griego asked the audience if there was anyone present who wanted to speak to the Council about an issue that was not on the council agenda. Mr. Guy DeSharie approached he podium – resident of Valencia County for 47 years. He voiced his concern about the work about the River Mile 163 Project being done by the Bureau of Reclamation over in the Bosque Open Space Preserve. Ms. Elizabeth DeSharie shared her concern and support about the project mentioned by her husband. She also wanted to thank the Council for their support of the Bosque Open space preserve. Mr. Craig Orsman approached the podium – his question was about AI and Greater KUDU – what have they given back to the community? Mayor Griego asked Mr. Orsman to leave his name with the Village Administrator and he would respond back to him after the meeting. 1. ORDINANCE 482: NIGHTRAIN ENERGY STORAGE LLC INDUSTRIAL REVENUE BONDS (SERIES 2025). Mayor Griego asked for a motion from Council to recess and go into a public hearing. APPROVAL: Motion to approve. MOVED: Councilman Romero SECONDED: Councilman Ortiz CARRIED: Motion passed on a vote of 4 (Councilman Romero – yes; Councilman Ortiz – yes; Councilman Runyon – yes; Councilman Munoz – yes) FOR AND 0 AGAINST. 6:18PM – Debra Sanchez swore in participants. Mayor Griego ask if there was a motion from Council. APPROVAL: Motion to approve Ordinance 482. MOVED: Councilman Romero SECONDED: Councilman Runyon CARRIED: Motion passed on a vote of 4 (Councilman Romero – yes; Councilman Ortiz – yes; Councilman Runyon – yes; Councilman Munoz – yes) FOR AND 0 AGAINST. 2. RESOLUTION 25-07: NOTICE OF 2022 LGTPF LP30015 GRANT FUNDING EXTENSION. Ms. Brittany Armijo presented items 2, 3, 4 and 5 together – all related. We are requesting approval on grant funding extensions for four different projects. The first one is the Carson Improvement project, the second one is the Castillo Improvement project, the third one is the New Mexico 263 project and the fourth one is the Lambros Loop project. They are all very similar and we are requesting the grant funding to be extended until June of 2026 – it currently expires June of 2025. DOT has already stated that they would give us approval on these grants we just needed to submit resolutions to the governing body for approval. Mayor Griego asked for a motion from Council. APPROVAL: Motion to approve Resolution 25-07. MOVED: Councilman Runyon SECONDED: Councilman Munoz CARRIED: Motion passed on a vote of 4 (Councilman Romero – yes; Councilman Ortiz – yes; Councilman James Runyon – yes; Councilman Cruz Munoz – yes) FOR AND 0 AGAINST. 3. RESOLUTION 25-08: NOTICE OF 2022 LGTPF LP30016 GRANT FUNDING EXTENSION. Mayor Griego asked for a motion from Council. APPROVAL: Motion to approve Resolution 25-08. MOVED: Councilman Munoz SECONDED: Councilman Runyon CARRIED: Motion passed on a vote of 4 (Councilman Romero – yes; Councilman Ortiz – yes; Councilman James Runyon – yes; Councilman Cruz Munoz – yes) FOR AND 0 AGAINST. 4. RESOLUTION 25-09: MUNICIPAL ARTERIAL PROGRAM L300354 MAP GRANT FUNDING EXTENSION. Mayor Griego asked for a motion from Council. APPROVAL: Motion to approve Resolution 25-09. MOVED: Councilman Oritz SECONDED: Councilman Romero CARRIED: Motion passed on a vote of 4 (Councilman Romero – yes; Councilman Ortiz – yes; Councilman James Runyon – yes; Councilman Cruz Munoz – yes) FOR AND 0 AGAINST. 5. RESOLUTION 25- 10: NOTICE OF 2022 LGTPF LP30018 GRANT FUNDING EXTENSION. Mayor Griego asked for a motion from Council. APPROVAL: Motion to approve Resolution 25-10. MOVED: Councilman Runyon SECONDED: Councilman Munoz CARRIED: Motion passed on a vote of 4 (Councilman Romero – yes; Councilman Ortiz – yes; Councilman James Runyon – yes; Councilman Cruz Munoz – yes) FOR AND 0 AGAINST. 6. RESOLUTION 25-11: FY 2025 INTERIM BUDGET ADJUSTMENTS. Ms. Cheryl Cates presented item six. For the interim budget adjustments at midyear, as you know, we take an evaluation of where we stand with the budget in order to adjust our budget with the state that we have filed. We need to bring our adjustments to you for approval and that's why I'm here tonight. So I'm going to go over the list of adjustments that that we have and I'm going to kind of hit the highlights. If you guys have any questions, please stop me at any time. Councilman Romero had a comment - maybe address this as you go along, but it looks unless I'm reading this wrong, it looks like we're either overspent or outside of the budget about 7-8 million dollars. Is that correct? Cheryl responded, that would be a good rough estimate. Yes, Sir. Councilman Romero - OK. So my first question is how do how did we get here? I mean and then the second question which is just equally as important is how is the Council just being notified of this today? Cheryl stated that she was going to be blunt – there are no protocols in place within the Village, where approval has to be obtained to bend over budget on a line item. I do not know when this happened, whether it was in recent past history or it's always been this way, but the responsibility for the budget and maintaining the spending per budget line has been divested to the departments instead of being over seen by finance. Councilman Romero that something needs to change ad needs to change fast. we have a GPS monitoring systems that they're looking at install on some, not all, of the village vehicles simply because some of our village vehicles already have them, like fire and PD. But we're looking at about 125 vehicles across the different divisions and departments and with the last five months of this budget year coming up, we're looking at a cost of about S15,625 that again is spread across all the divisions. In the water sewer revenue we the village was successful getting it congressionally directed spending EPA grant for the East West Corridor for $959,752. I would like to bring your attention immediately down to the expenditures, there is you'll see an offset in the account ending in 5627 for $1,005,752 that is $959,000 off plus, the village's portion of 46,000. So that's why there's a difference between those numbers. There has been a significant increase in testing laboratory testing that is being required by the EPA and it's basically an unfunded mandate. But we anticipate that the cost is going to be about $600,000 for the year. One you're aware of, it's the $400,000 increase for plastic gas, so we're increasing that and then there's $218,000 for the composting facility. Cheryl continued with her presentation. She then asked if there were any questions from Council. Councilman Romero asked so what's needed in order for us to have checks and balances and be able to get reporting and that kind of thing. I mean, we get the financial report, but there's nothing really substantial in there. We need a division or buyers that would be in charge of going out for quotes, making sure that everything was priced right. Right now, all that responsibility lies on our department heads and they have a lot on their plates. Councilman Romero asked how many people would you be talking about. Cheryl replied, we would need about three buyers. If we're getting over budget in a project and priorities ae being changed this Council needs to know, and I think that's bottom line, if that's what we want to get done. Councilman Runyon asked Greg if he had anything to add. there's a definitely some thoughts that I want to share and I appreciate Cheryl, going through the resolution, obviously it represents a lot of work on our part to evaluate the budget at mid-year, which we do every year and bring that to you for the necessary changes and explanations. Mayor Griego asked for a motion from Council. APPROVAL: Motion to approve resolution 25-11. MOVED: Councilman Ortiz SECONDED: Councilman Munoz CARRIED: Motion passed on a vote of 3 (Councilman Romero – no; Councilman Ortiz – yes; Councilman James Runyon – yes; Councilman Cruz Munoz – yes) FOR AND 1 AGAINST. 7. RESOLUTION 25-12: APPOINTMENT OF DEPUTY CLERK. Mr. Gregory D. Martin presented items seven and eight. Resolution 25-12 is to designate the deputy village administrator as a Deputy municipal clerk. As you may or may not know, the village administrator by ordinance is also the municipal clerk as well as the treasurer of the village. We have deputy clerk and we can appoint as many other deputy clerks as are needed in order for the duties to be adequately performed. Resolution 25-13 is for the appointments of records custodians. We're already doing this the only difference is #1 - apparently, we've never actually brought a resolution to officially appoint records custodians to Council. We identify probably about 12 positions, usually directors of departments as records custodians when we look at the process of records. Mayor Griego asked for a motion from Council. APPROVAL: Motion to approve Resolution 25-12. MOVED: Councilman Romero SECONDED: Councilman Runyon CARRIED: Motion passed on a vote of 4 (Councilman Romero – yes; Councilman Ortiz – yes; Councilman James Runyon – yes; Councilman Cruz Munoz – yes) FOR AND 0 AGAINST. 8. RESOLUTION 25-13: APPOINTMENT OF RECORDS CUSTODIANS. APPROVAL: Motion to approve Resolution 25-13. MOVED: Councilman Runyon SECONDED: Councilman Munoz CARRIED: Motion passed on a vote of 4 (Councilman Romero – yes; Councilman Ortiz – yes; Councilman James Runyon – yes; Councilman Cruz Munoz – yes) FOR AND 0 AGAINST. 9.EXECUTIVE SESSION. Mayor Griego announced that the Council would be going into executive session pursuant to NMSA 1978 Section 10-15-1(H), the following matters may be discussed in a closed session: hiring of a Streets Supervisor and preliminary negotiations between IIAF Loal 4297 and the Village of Los Lunas commenced on February 14, 2025. We would like to discuss the union’s proposals and receive direction from Mayor and Council for the next steps in the process. APPROVAL: Motion to approve. MOVED: Councilman Runyon SECONDED: Councilman Munoz CARRIED: Motion passed on a vote of 4 (Councilman Romero – yes; Councilman Ortiz – yes; Councilman James Runyon – yes; Councilman Cruz Munoz – yes) FOR AND 0 AGAINST. Adjourned at 7:33PM At 8:34PM, Mayor Griego asked for a motion from Council to reconvene after discussion: hiring of a Streets Supervisor and preliminary negotiations between IIAF Loal 4297 and the Village of Los Lunas commenced on February 14, 2025. We would like to discuss the union’s proposals and receive direction from Mayor and Council for the next steps in the process. APPROVAL: Motion to approve. MOVED: Councilman Ortiz SECONDED: Councilman Runyon CARRIED: Motion passed on a vote of 4 (Councilman Ortiz – yes; Councilman James Runyon – yes; Councilman Cruz Munoz – yes) FOR AND 0 AGAINST. Regarding the Street Supervisor – Mayor Griego recommended Steven Walker. APPROVAL: Motion to approve. MOVED: Councilman Romero SECONDED: Councilman Munoz CARRIED: Motion passed on a vote of 4 (Councilman Romero – yes; Councilman Ortiz – yes; Councilman James Runyon – yes; Councilman Cruz Munoz – yes) FOR AND 0 AGAINST. Regarding the preliminary negotiations between IIAF Loal 4297 and the Village of Los Lunas - no decision was made. APPROVAL: Motion to approve. MOVED: Councilman Runyon SECONDED: Councilman Munoz CARRIED: Motion passed on a vote of 4 (Councilman Romero – yes; Councilman Ortiz – yes; Councilman James Runyon – yes; Councilman Cruz Munoz – yes) FOR AND 0 AGAINST. 10. MINUTES. Mayor Griego asked if there were corrections to the Council minutes of February 13, 2025 – there were none. APPROVAL: Motion to approve. MOVED: Councilman Munoz SECONDED: Councilman Runyon CARRIED: Motion passed on a vote of 4 (Councilman Romero – yes; Councilman Ortiz – yes; Councilman Runyon – yes; Councilman Munoz – yes) FOR AND 0 AGAINST. 11. ADJOURNMENT. Council meeting adjourned at 8:30PM. _____________________________________________ _____________________________________________ Gregory D. Martin, Village Administrator Charles Griego, Mayor  MINUTES VILLAGE OF LOS LUNAS THURSDAY, FEBRUARY 27, 2025 1. ORDINANCE 482: NIGHTRAIN ENERGY STORAGE LLC INDUSTRIAL REVENUE BONDS (SERIES 2025). Ms. Jill Sweeney presented item one. Before you this evening is Ordinance 482 authorizing the issuance and sale of industrial revenue bonds in the amount of $600 million for the design, construction, acquisition, equipping and operation of up to somewhere between 500 megawatts and 2000 megawatts battery energy storage. The location is west of Meta existing data center and adjacent to PNM Hidden Mountain switching station. On January 26th, the Council adopted resolution 25-04 indicating its intent to go forward with this project. This ordinance authorizes the issuance and sale of the bond, along with the supporting documentation also for your consideration, the indenture lease bond purchase agreement. The ordinance also affirms the use of nontaxable transaction certificates by the company to facilitate its tax abatement, remembering that this is a tax abatement project. Jill asked if there were any questions. Mayor Griego asked if she, Jill, could give some information about the timetable. Mr. Colin Ramsey from esVolta said he could answer questions. Awaiting award from PNM – believe the beginning of May is when it closes. Probably going to take until the end of the year to find out. It’s not a quick process. Councilman Romero commented, there is no transaction going from the Village towards the project, correct? Jill responded, correct. So what the village's role in this project is to facilitate gross receipts tax and perhaps eventually property tax abatement relating to the project the village is giving any money, it's giving the opportunity to the company to for tax relief that then makes their project. Mayor Griego asked if there were any questions from the public – Mr. Craig Orsman approached the podium, he asked where the other sites were located in the state. Jill responded that there is one in Otero County, Dona Ana County, Las Cruces, Rio Rancho, and Bernalillo County. Mr. Orsman also asked if Council is aware of how much this IRB may cost Los Lunas in tax abatement. Mayor Griego replied, we're looking at a payment in lieu of tax agreement that's within the agreement. We discussed that so that there is a reimbursement to the village. Jill also commented that the tax abatement is tied to the number of megawatts of the final project will be and we know the final project the company has committed to tie the tax abatement to an amount that is not less than 200 Megawatts. Mayor Griego asked Council for a motion to close the public hearing. APPROVAL: Motion to approve. MOVED: Councilman Runyon SECONDED: Councilman Munoz CARRIED: Motion passed on a vote of 4 (Councilman Romero – yes; Councilman Ortiz – yes; Councilman Runyon – yes; Councilman Munoz – yes) FOR AND 0 AGAINST. Closed at 6:39PM  INDUSTRIAL RATE WORKSHOP MINUTES VILLAGE OF LOS LUNAS THURSDAY FEBRUARY 20, 2025 The Board of Trustees of the Village of Los Lunas, County of Valencia, and State of New Mexico met Thursday, February 20, 2025 in a workshop started at 6:00 PM at the Council Chambers. Roll call was taken and the following were present: Mayor Charles Griego, Councilman Patrick Ortiz, Councilman Gino Romero, Councilman James Runyon, and Councilman Cruz Munoz. Mayor: Charles Griego Mayor Pro Tem: Gino Romero Council: Christopher Ortiz James Runyon Cruz Munoz Also present: Gregory D. Martin, Debra Sanchez, Craig Donahoe, Michael Jaramillo, Jerry Paz, and Julie Brown. In accordance with Ordinance 114A, the following agenda was prepared and circulated as required: 1) BACKGROUND OF MOLZEN CORBIN’S WORK ON AN INDUSTRIAL RATE STUDY FOR THE VILLAGE OF LOS LUNAS. 2) PRESENT AND REVIEW POWERPOINT PRESENTATION FOR PUBLIC SCRUTINY, OPEN TIME FOR QUESTIONS AND COMMENTS. 3) PRESENT SUGGESTED RATE SCENARIOS FOR JULY 2025 THROUGH JULY 2029. 4) DISCUSS MOST FAVORABLE RATE SCENARIOS, AND WHICH SCENARIOS TO PRESENT TO THE PUBLIC. 5) FUTURE ACTION. 6) QUESTIONS. - Michael Jaramillo, Public Works Director, welcomed everyone to the workshop. The purpose of the workshop is to go over some information that our team has collected. He introduced the staff from Molzen-Corbin – Julie Brown and Jerry Paz. Also present were Brittany Armijo, Craig Byers and Scott White. - We are working on several items; one is to finalize our Water Master Plan and also submit a revised permit. It’s part of the water conservation plan that is being required by the Office of the State Engineer. - Jerry Paz, Molzen-Corbin, started his presentation to Council. The purpose and objectives of the rate study was to promote property utility system management; recover actual cost of utility services, including operating and maintenance costs; promote future planning efforts; reduce financial losses within the water/wastewater system; fund reserves to “match” federal and state funding programs, and meet capital improvement needs; develop a rate system that is easily understood by all customers; meet the individual needs of the water/wastewater system; and meet OSE water conservation requirements. - The model that Julie has developed for you – take all the customers and simulates what would happen if we made this change or this change based on their usage – we tally up every customer based on new rate scenario and calculate the projected revenue that would generate for your municipal operations and we can do infinite number of combinations permutations. If there are scenarios that we should consider, we can do that and come back to you. - The expectation is to get direction from Council as we go along and the decisions that Council makes and provide back to us on how we can adjust this model and that information we would come back for another workshop and then pending that there would be a selection of narrowing down these scenarios probably generate two or three more for the next meeting based on your input and those would be taken to a Council meeting where it would be your first and second ready of that new ordinance. We would then work your legal staff. - The reason for rate increases is that we want to promote proper utility system management with the resources to effectively do their job. It’s to recover the actual cost of utility service, including the operation maintenance cost. It promotes future planning efforts; it reduces a burden on the general fund and financial losses within the water wastewater system if the revenues are sufficient to cover their expenses. There is a reserve fund that's included to match federal state funding programs to improve your capital needs. - Mayor Griego commented that if we are doing a rate study increase that it needs to be across the board. It needs to be all users. If we are looking to develop a cost the cost is being shared proportional. - Jerry Paz also commented that with their model, they can make infinite number of changes very easily – we would take your input and your direction and we would move forward on that. So these are the steps we went through. Step one is where we looked at all of your costs. We got your previous audit and looed at your expense, your revenue and how that is currently generated. Step two – identify capital improvement requirements. Step three – establish customer classifications, residential,  commercial, industrial, bulk water users. Step four – evaluate options and develop appropriate rate schedules. Step five – implement rate schedules as-needed. Step six – review and adjust rates and charges, making changes when necessary and timely. - Some facts about water and wastewater rates the we have seen all over the country that you’re not unique 78% of water systems are expected to raise the rates this year according to the American Water Works Association, 21% of all U.S. utilities report being full able to cover the cost of providing drinking water service. So what that means is that there is a lot of depreciation on utilities. Across the United States, again in in 2023, the average rate increases were going up 4 to 5% per year. Councilman Runyon asked when was the last time rates were adjusted? Michael Jaramillo replied, we started in 2014 and it was approved in 2017. - We try to look at the background of your community and how your water rates fit within the demographics of everything going on in the country and you know right now the 2024 Census estimates, you're right about 20,000 people. You're growing at 3.1% growth rate and about 15% of all your residents are below the poverty line, so we recognize that raising rates does affect some of your vulnerable community. Capital income is below the state average. - Jerry Paz introduced Julie Brown – she graphed your usage patterns of your various categories. We theorized that increase from 2020 to 2021 is due to an increased number of commercial customers during that time and an increased amount of commercial expansion during that time. And then residential as well has been generally decreasing over time since 2020. We just want to show you guys that Los Lunas is working to conserve water. - Suggested definitions: residential and light commercial: under 3.0 AFY; heavy commercial and light industrial: between 3.0 AFY and 13 AFY required to provide own water rights; all construction meters are considered industrial users; and defined by >80,000 gallons of water usage per month. Heavy industrial: over 13 AFY required to provide own water rights; required to enter into a water/wastewater agreement with Village; and defined by >350,000 gallons of water usage per month. - There are no residential users that use more than 40,000 gallons. We have 33% of commercial customers use less than 1,000 gallons a month and 61% of customers use less than 6,000 gallons per month. - We figured out what the total system revenue would be generated from each one of these customers based on their water usage. So for a usage for a single customer that uses 1,000 gallons, the system is generating $17.00 on that customer $17.00 per 1000 gallons and then once it hits about the 7,000 to 8,000 gallons per month of water usage, the system revenue is 0, which indicates that the system is generating as much revenue as it is expending by producing the water, and then for all of those customers beyond that point, the amount of money that it takes the system to produce water for this customer is more than they are generating from these water rates. - Mayor Griego asked if the reserves are static – are they growing? Michael Jaramillo replied, back in 2016 we had about $700,000 in the water sewer reserves and no doubt I think recently within our last budget, our reserves are about $3 million. They have grown, but it’s been a very slow growth because of a lot of the costs that we have been dealing with. There’s going to come a point that we're going to start to struggle if I can't make up some of it due to the increased costs that are happening across the board, - Councilman Romero commented about a mishap with the system this year that cost close to $1 million – where did those funds come from. Michael Jaramillo replied, it came out of the reserves. I didn't get any additional money and again my team understands it's something that we're going to make sure that this does not happen again. We are putting a lot of protocols in place and we are going to do a better job. - What is frequently asked when we do rate increases for communities is, well, what are they doing over here and what are they doing over there? How do we compare it to our neighbors? How do we compare with the rest of the state. Numbers were pulled from peer communities so that Council could see and compare. - Base rate: covers fixed costs – administration, customer service, billing, meter maintenance, etc. These costs are incurred regardless of water usage. Variable rate: covers usage-dependent costs – operations, maintenance, capital improvements, etc. These costs scale with the amount of water used. - Jerry Paz – how do we look at the base rate, the AWWA recommends between 20% and 40% for the base rate, varying based on the user profile of the community. Los Lunas would be better served around 20%. The 2023 expenses (less depreciation) was $10,141,415. With almost 8,000 customers in Los Lunas, this translates to an AWWA minimum base cost per customer of $22.27/mo. The current base rate ($24.99/mo.) is within this range. - Your base rate is right in line with what WW is recommending. And again, the cost for the variable is direct cost to produce the water, the operation Main labor and staffing the water rights management services, capital improvements, regulatory requirements and professional engineering services all get factored into this rate structure.  - Mayor Griego asked about the revenue. Michael Jaramillo replied, revenue is right about $15 million annually. Expenses have been about $10 to $12 million – those are operational expenses. Mayor Griego asked if there were some capital in there. Michael replied, there is but not much. - We have projects that are going to have to get done in the next five years. Consider taking out a loan for some of these or what would that time value of money be worth, and how much should we bill into every year. The Village has been successful in getting grants. Jerry went over the funding agencies, the type of grant, estimated max amount, interest and the term. - PowerPoint chart was provided with the Capital Improvements and Depreciation Needs. - Mayor Griego commented that “don’t hold your breath with federal grants,” because it’s not going to happen – state money is available but there’s limits to borrow. We need a clear understanding how much we need and what the priorities are. There is a list, but of that list, what do we need to get done? Within the next two or three years, and how are we going to fund this. I assume we could borrow all the money, if possible, but would the rates be. - Conservation and growth: revenue generally decreases after a rate increase because residents begin conserving water. This usually amounts to a 2.5-3% reduction in predictive revenue. Los Lunas will continue to grow in population as well. This usually amounts to 2.5% increase in predictive revenue. For the purposes of this study, these two effects are assumed to cancel each other out. - Julie Brown presented ten water rate scenarios - they can come up with the team more if you would like because there's infinite number of combination and something might pique your interest. We can tweak this number and change this number, let us know and we can make those changes for our next meeting. At the bottom of the scenarios, you can see how much revenue can be expected to be generated. - Michael Jaramillo commented that there are some priorities that we need to look at so we can change those capital needs and drop that number down a little bit and hit the mandatory items. - Mayor Griego replied, source should be self-sufficient that that general fund should not be covering any of other costs. - But I think it's also too needs to be efficient and I think what Gino said, we can't have those accidents anymore. The $1 million accident, those can't happen anymore. We need to have supervisors who are at the level to take care of their departments and not have to go back to the director and do their budget work for them. - Michael Jaramillo - we can do a secondary workshop with the revised information so that you can make determination and then what we would do is basically look at seeing if these rate adjustments or process of going through the ordinance and going through the public. Michael said that he would enlist the help of Erin Callahan to draft the ordinance. - Julie Brown continued with the presentation of rate scenarios. - Recommended Council action: Immediate action – for both water and sewer, it is recommended that an Industrial Rate system (Scenario 2) be implemented in the short term to increase rates for users over 80,000 gallons/month. Future action – it is also recommended to implement a rate increase for all residents of Los Lunas (Scenario 5) at a future date. - Next workshop will be held on Thursday, April 3, 2025. - Meeting adjourned 8:00PM. __________________________________ Charles Griego, Mayor ATTEST: ________________________________ Gregory D. Martin, Village Administrator  ZONING CODE UPDATE WORKSHOP MINUTES VILLAGE OF LOS LUNAS THURSDAY SEPTEMBER 19, 2024 The Board of Trustees of the Village of Los Lunas, County of Valencia, and State of New Mexico met Thursday, September 19, 2024 in a workshop started at 6:00 PM at the Council Chambers. Roll call was taken and the following were present: Mayor Charles Griego, Councilman Patrick Ortiz, Councilman Gino Romero, Councilman James Runyon, and Councilman Cruz Munoz. Mayor: Charles Griego Mayor Pro-Tem: Gino Romero Council: Christopher Ortiz James Runyon Cruz Munoz Also present: Gregory D. Martin, Debra Sanchez, Craig Donohue, Alex Ochoa, Sonia Walker, Matt Ryan, Andy Gomez, Jackie Fishman, consultant from Consensus Planning. In accordance with Ordinance 114A, the following agenda was prepared and circulated as required: 1) Introductions. 2) Article II draft revisions 3) General discussion 4) Adjourn - Mayor Griego welcomed everyone to the workshop. - Alex welcomed everyone to the workshop and made introductions. - Jackie will go over article two. This is where we establish all the zone districts – this chapter is a combination of some new districts, new language, new standards that were spread throughout the old code. There are seven residential zones and we have two new ones. - We have R1, RMR, 2R3R4 and of course the old AR and RR zones. We have M1 and M2 and we added a new M zone. M2 is heavy industrial of having just one industrial zone. - We have the two TOD zones which are existing and then we have the Main Street overlay district and we have four different segments of that district. We have some general standards for each zone, new language that addresses ADU’s and then also address things like the number of accessory structures allowed by zone. Have allowed allowances for tiny homes and created things like usable open space for multi family units. - There are special setbacks for commercial buildings are adjacent to residential zones. These things are done with the goal of protecting the residential use. - Main Street overlay, we have been working on this for over a year. The goal was to discourage auto dependent uses like car wash- and drive-up restaurants within the more congested areas of Main Street. We have written standards for new driveways, which of course we know has to be coordinated with NMDOT. The overlay has four segments, those include the villages west boundary to Los Morros, Los Morros to Canal, Canal to Hwy 314 and then Hwy 314 to Valencia. - Mayor Griego commented – overlay problems, I know there has been concerns in the past about creating non-conforming uses, has that been dealt with? Alex replied yes - for the most part we have addressed the majority of the uses throughout the Main Street sections. However, there are a few of the residential uses within this kind of main floor which would theoretically be non-conforming, but they are already currently non-conforming, so there would be really no change to their current designation. Mayor Griego asked if the conflict between the drive-up windows and driveways been resolved. Alex replied, yes and no - we did remove it for pharmacies and other types of like medical sort of uses. However, not for drive through restaurants. It’s just in the Main Street area – the section between Hwy 314 and Canal. - Jackie continued with her presentation – she added that the overlay again addresses certain uses setbacks, parking, building heights and densities. - Councilman Ortiz asked a question – regarding the setbacks, is it from the property line or is it from the building? Jackie responded, its from the property line. - Commercial property lines, theoretically you can build up to the property line. Alex also commented, that within this new proposed code, we have added a required set back for commercial. - Do we want buildings that are built directly on the property line, or if we fell like there should be a separation. Our opinion is there should be a little bit of a separation, however, again for some of these non-conform structures the dimensional non- conforming is a bit easier to deal with rather than a use non-conforming use rather than the size of dimension. - The new M2 zone, we’re calling for a 13,120 ft. buffer from a lot that is zoned or is in use for single family residential purposes. - Councilman Runyon has the concern – wants to make sure we or at least have the heads up on who we are sending into a problem by changing a few feet. You’ve gone through every example that you can think of on Main Street t work through that problem. Alex replied, as far as the dimensional standards, again, we have not really adjust the side set back, so I think the structures where there would be an issue. There is a required 15 ft. set back from the front property line to the back of the structure – massing of the building. The majority of the structures along Main Street, currently have parking in the front anyways, so there is typically more than enough space. They all look like they are all about 15 ft. from the front set back and side set back, there is still 0. There would not be any issue with the kind of dimensional non-conforming – so the sides are good. - Mayor Griego wanted to look over the new zoning ordinances. He commented on the R4 with a three-acre minimum lot. Where would be propose these to be? Alex responded, we currently have one in development, that would be the cabin development. We have a long horizontal multi family detached. It’s a multiple units on one parcel and all of the units are for rent. So it’s basically an apartment building, but they are all individual and all for rent. That cabin development is on Main Street and Huning Ranch. - Per Sonia Walker, in terms of the R4, we do currently have two models that fit that which is the mobile home park off Edeal Rd. and as Alex mentioned the bungalows that are going in at Huning Ranch, they are currently zoned SU. - Alex commented, we are trying to create these zones districts, however, after we get done with the zoning code and hopefully get it implemented the next step is to update the comprehensive plan. - Mayor Griego wanted to go through C1 and C2. Jackie explained – for C1, we require a minimum lot size of a quarter acre, 10,890 sq. ft. flat with 40 feet front set back of five fee rear15 zero side building height maximum of 35; D2, minimum lot size to ½ acre, 40-foot lot width same set back 5 ft. in the front, rear 15, side 0. Except on a corner lot, building height goes up 10 ft from 35 to 45. With the C1 and C2 we currently have those districts that are already existing. What we would typically think of a C1 district as really a sort of neighborhood commercial. The C2 district is meant for manufacturing and neighborhood commercial. - Alex went over the different uses with council – within the first district is the area from the western portion of the village to Los Morros, the only use that is restricted is adult entertainment. If someone were to come in with that sort of usage, it would not be allowed within that Main Street overlay. District 2, again, this is from Los Morros all the way to Canal, the large commercial area that we currently have – adult entertainment or retail is not allowed. Multifamily detached residential patio homes, single family detached. The third area is from Canal to Hwy 314, that would really has the majority of the uses that would not be allowed – adult entrainment, retail, car washes, drive in theaters, drive thru restaurants, hospitals or major medical clinics, motor vehicle fueling or service stations, multi family detached residential, storage and single family and also truck stops or heavy fueling. The fourth district from Hwy 314 all the way to the east side of the village – adult entertainment, retail, drive in theatre, motor vehicle fueling or service stations except at intersections, multifamily detached residential patio homes, single family detached and again struck stops and heavy fueling. - Mayor Griego invited some guests to speak. He was from a community advocacy group, he wanted to speak about the homelessness in the county. Inquired about a tent city – where does that fit into the code. He also inquired about parks. Alex explained the process for addressing these types of items. - Meeting adjourned 7:30PM. __________________________________ Charles Griego, Mayor ATTEST: ___________________________________________ Gregory D. Martin, Village Administrator  ZONING CODE UPDATE WORKSHOP MINUTES VILLAGE OF LOS LUNAS THURSDAY DECEMBER 12, 2024 The Board of Trustees of the Village of Los Lunas, County of Valencia, and State of New Mexico met Thursday, December 12, 2024 in a workshop started at 6:00 PM at the Council Chambers. Roll call was taken and the following were present: Mayor Charles Griego, Councilman Patrick Ortiz, Councilman Gino Romero, Councilman James Runyon, and Councilman Cruz Munoz. Mayor: Charles Griego Mayor Pro-Tem: Gino Romero Council: Christopher Ortiz James Runyon Cruz Munoz Also present: Gregory D. Martin, Debra Sanchez, Craig Donohue, Alex Ochoa, Sonia Walker, Andy Gomez, Jackie Fishman, consultant from Consensus Planning. In accordance with Ordinance 114A, the following agenda was prepared and circulated as required: 1) Introductions. 2) Article VI draft revisions 3) General discussion 4) Adjourn - Mayor Griego welcomed everyone to the workshop. - Alex welcomed everyone to the workshop and made introductions. This is the last article for the zoning update. - This is article five which will go over some of the procedures for land use applications for development plant applications and just some of the authoritative bodies. - Jackie Fishman continued with presentation. The is the last article to go through, administration and enforcement. The details of the different types of applications and what is required to be submitted. Also, things like how to justify a zone change – what the criteria is. - We also talk about the P&Z commission what their authority and duties are and the appointments. Their authority and duty appointments, recommendations/decisions. That is the first section of this article. Then we go to development procedures and tells you whether it is a review, a recommendation, a decision and then all the various bodies and what the decisions they make. Jackie talked about a table that explains administrative decisions, quasi-judicial decisions, legislative policy decisions and the four entities of Community Development Department, the DRC, PMZ and then Village Council. - Section on short term rental as a permitting and that is a current regulation that are repeated in this rewrite. There was nothing changed on the short-term rentals. - There’s a section on sign permitting – this talks about what you have to do on your application, what your submittals include, it’s pretty straightforward. - The next section is site plan deviations, that’s new to Los Lunas. It’s a type of variance, but it is a small enough that staff can make that decision without going through a hearing process. - We have the development plan application – all the things that you would have to include in your application whether it is residential or commercial. - We also address applications for manufactured and mobile homes. - Address commercial and industrial development plan applications will be different than residential – pretty straightforward. Then followed by the development plan application approval process. - The next section is on quasi-judicial applications and that is where one comes to a haring and be sworn in and tell the truth. We start with a conditional use permit and what is required to be submitted. - Jackie touched briefly on the designated use permit and what it needs to include, then went to variances, zone map amendments, zone boundary, comprehensive plan, notice of hearings, nonconformity section, violations, enforcement and penalties. - Abatement penalties and I think this is the last section on fees. Everything is pretty much straightforward. Sometimes we see fees in the code – sometimes municipalities do not put in because they may change. Alex stepped in to comment – point of clarity, so it is within the zoning code to make the kind of administrative process easier rather than actually updating the text of the code. It is either revised or approved by resolution, it does not necessarily need to go  through a long-drawn-out process. So all the permits are cross the board for commercial, industrial, ay sort of tenant improvements, they are $100.00. Councilman Runyon asked if these fees were in line with other municipalities around. Alex commented that he was going to let Sonia answer. Sonia replied that there were changes in all of the fees. She looked at other municipalities around the state, Belen, City of Albuquerque, Los Ranchos, Corrales, Las Cruces, Valencia County, Bernalillo County, just around the area and they do vary. There is some that are significantly higher than what we are proposing. What she did was try to make what makes sense for Los Lunas without being exaggerated. - Councilman Romero asked what fund the fees are placed into. Alex replied that the fees go into the Community Development fund and then they are transferred to the general fund. - Councilman Romero asked about a building inspector. Alex replied, within the draft right now we are proposing that as part of the development plan application when someone is submitting something, they need to schedule an inspection with basically the Community Development Department to ensure that what they are actually placing on the ground is accurate to their application. - Alex went over some a couple of administrative items, so what is proposed, unless there is really any major modifications or changes to the code as presented, he is hoping that they are still on board for the January 15th P&Z hearing for recommendation and then the January 30th Council meeting review for approval. - So we are done. - Meeting adjourned 7:00PM. __________________________________ Charles Griego, Mayor ATTEST: ________________________________ Gregory D. Martin, Village Administrator