City Council

SPECIAL Roswell City Council Thursday, February 24, 2021 – 5:00 P.M. Roswell Convention Center Meeting Room A – 912 N. Main St. Roswell, New Mexico 88201 Notice of this meeting has been given to the public in compliance with Sections 10-15-1 through 10-15-4 NMSA 1978 and Resolution 21-7. Except for emergency matters, the City Council shall take action only on the specific items listed on the Agenda. _____________________________________________________________________________________________ February 24, 2022 5:00 p.m. MAYOR – Dennis J. Kintigh Ward l Ward II Ward III Ward IV Ward V Jacob R. Roebuck Margaret Kennard Judy Stubbs Daniel Lopez Angela G. Moore Juan Oropesa Jason Perry Jeanine Best Savino Sanchez Jr. Barry Foster _____________________________________________________________________________________________ WELCOME! We are very glad you have joined us for the Roswell City Council meeting. If you wish to speak, please sign up at the podium prior to 6:00 p.m. In compliance with Resolution 21-7, all matters listed under Consent Items/Consent Agenda are considered routine by the City Council and will be approved by one motion. There will be no separate discussion on these items. If any member of the council desires to discuss the matter, that item will be removed from the consent agenda and will be considered separately. Any item approved as part of the consent agenda is not an agenda item for the purpose of the public participating. The Council is pleased to hear relevant comments; however, a 3-minute limit is set in accordance with Resolution 17-64 (Governing Body Rules of Order). Large groups are asked to name a spokesperson. Robert’s Rules of Order govern the conduct of the meeting. “THANK YOU” for participating in your City Government. _____________________________________________________________________________________________ CALL TO ORDER ROLL CALL APPROVAL OF THE AGENDA 1. Consider approval of the agenda for the February 24, 2022, Special City Council meeting. (Perry/Fuentes) ACTION ITEMS 2. Consider approval of a lease agreement for a parcel consisting of approximately 9.9 acres at the Air Center with Store Master Funding, LLC. (Stubbs/Stark) 3. Resolution 22-12: A Resolution to provide for an inter-fund loan from the General Fund, Solid Waste Fund, Water and Wastewater Funds to the Roswell Air Center Fund. (Perry/Fuentes) 4. Resolution 22-13: A Resolution approving budget adjustment for fiscal year ending June 30, 2022. (Perry/Davies) 5. Consider approval of Mayor Kintigh’s recommendation for Interim City Clerk. CLOSED SESSION 6. Hold a closed session pursuant to NMSA 1978, §10-15-1(H) (1) relating to limited personnel matters involving resignation of an employee. (Perry/Patterson) ADJOURN Notice of this meeting has been given to the public in compliance with Sections 10-15-1 through 10-15-4 NMSA 1978 and Resolution 21-7. If you are an individual with a disability who is in need of a reader, amplifier, qualified sign language interpreter, or any other form of auxiliary aid or service to attend or participate in the hearing or meeting, please contact Human Resources at 575-624-6700 at least one week prior to the meeting or as soon as possible. Public documents, 1  SPECIAL Roswell City Council Thursday, February 24, 2021 – 5:00 P.M. Roswell Convention Center Meeting Room A – 912 N. Main St. Roswell, New Mexico 88201 including the agenda and minutes, can be provided in various accessible formats. Please contact the City Clerk at 575-624- 6700 if a summary or other type of accessible format is needed. Printed and posted: Friday, February 18, 2022 THE PUBLIC IS ENCOURAGED TO PARTICIPATE ELECTRONICALLY THROUGH THE GO-TO-MEETING APPLICATION AND NOT PHYSICALLY ATTEND DURING THE PANDEMIC. Please join my meeting from your computer, tablet, or smartphone. https://global.gotomeeting.com/join/815060573 You can also dial in using your phone. United States: +1 (669) 224-3412 Access Code: 815-060-573 - New to GoToMeeting? Get the app now and be ready when your first meeting starts: https://global.gotomeeting.com/install/815060573 2  ROSWELL NEW MEXICO AGENDA ITEM ABSTRACT Special City Council Meeting Item No. 1 Meeting Date: February 24, 2022 COMMITTEE: N/A CONTACT: Parker W. Patterson CHAIR: N/A ACTION REQUESTED: Consider approval of a Lease Agreement for a parcel consisting of approximately 9.9 acres at the Air Center with Store Master Funding, LLC. BACKGROUND: Initiated by: Scott Stark Store Master Funding, LLC purposes to lease a parcel at the ROW consisting of approximately 9.9 acres. Store will sublet the parcel to Ascent Aviation, in order to fund and construct a large hangar on the parcel and operate an aviation maintenance business therein. The term of the proposed Lease is 45 years. Failure to construct the hangar and maintain an aviation related business on the parcel during the entire term would constitute a default of the proposed lease. The 45 year term is necessary to fund the construction of the hangar. At the expiration of the term, all improvements become the property of the City. In order to facilitate the funding of the project, Store would have the right to mortgage its leasehold interest in the parcel, however, any transfer of the lease is subject to approval by the City Council, which approval may not be unreasonably withheld. FINANCIAL CONSIDERATION Rent for this lease is set forth in Exhibit B of the Agreement. Rent consists of a base rate of $0.10 per square foot, escalating by 3% after the fourth year, and reimbursement of capital investments made by the City in preparation for construction of a hangar by the tenant on the parcel. LEGAL REVIEW: The City Attorney has reviewed the proposed Lease Agreement. BOARD AND COMMITTEE ACTION: This Special Session of the City Council is the first consideration of this Lease Agreement. This item was placed on the agenda at the request of the City Manager, as permitted by the Governing Body Rules of Order. STAFF RECOMMENDATION: Consider approval of a Lease Agreement for a parcel consisting of approximately 9,9 acres at the Air Center with Store Master Funding, LLC Attachments ATTACHMENTS – Lease Agreement with Exhibits to be provided next week. 3  ROSWELL NEW MEXICO AGENDA ITEM ABSTRACT Special Committee Meeting Item No. Meeting Date: February 24, 2022 COMMITTEE: Finance CONTACT: Juan Fuentes CHAIR: Jason Perry ACTION REQUESTED: Consideration of Resolution 22-12 to provide for an inter-fund loan from the General Fund, Solid Waste Fund, Water and Wastewater Funds to the Roswell Air Center Fund. BACKGROUND: Initiated by: Joe Neeb/Juan Fuentes The City entered into an agreement with Ascent Aviation to plan, design and construct a large hangar at the Roswell Air Center. Partial funding for the project will be the $3 million from State Legislative Appropriation Grant awarded to Chaves County for the Roswell Air Center improvements. The estimated project cost will exceed the grant funds allocated and the proposed resolution authorizes an inter-fund loans from the General Fund, Solid Waste, Water and Wastewater funds. The loan to the Air Center will be for $11,100,000 subject to the term and conditions described in Appendix A. FINANCIAL CONSIDERATION: Proposed resolution authorize the inter-fund loan of $11,100,000 from the various funds to the Air Center Fund. LEGAL REVIEW: Proposed resolution has been submitted for legal review. BOARD AND COMMITTEE ACTION: Consideration of Resolution 22-12 to provide for an inter-fund loan from the General Fund, Solid Waste Fund, Water and Wastewater Funds to the Roswell Air Center Fund. STAFF RECOMMENDATION: Consideration of Resolution 22-12 to provide for an inter-fund loan from the General Fund, Solid Waste Fund, Water and Wastewater Funds to the Roswell Air Center Fund. ATTACHMENTS Resolution 22-12 to provide for an inter-fund loan from the General Fund, Solid Waste Fund, Water and Wastewater Funds to the Roswell Air Center Fund. 4  RESOLUTION OF INTERFUND LOAN RESOLUTION NO. 22-12 A RESOLUTION TO PROVIDE FOR AN INTER-FUND LOAN FROM THE GENERAL FUND, SOLID WASTE FUND, WATER AND WASTEWATER FUNDS TO THE ROSWELL AIR CENTER FUND. WHEREAS, the City of Roswell entered into an agreement with Ascent Aviation to plan, design and construct a large hangar at the Roswell Air Center; and WHEREAS, the City and Chaves County have agreed to use $3 million from a Legislative State Appropriation Grant for infrastructure improvements for the project; and WHEREAS, the estimated project cost will exceed the grant funds allocated; and WHEREAS, the city is permitted to make inter-fund loans; and WHEREAS, the General Fund, Solid Waste, Water and Wastewater have sufficient funds to make such a loan without detriment of any function or activity within the funds; and WHEREAS, the Roswell Air Center has a need for a temporary inter-fund loan to the Air Center Fund for the purpose of funding the up-front cost to plan, design and construct the large hangar project; NOW THEREFORE BE IT RESOLVED by the governing body, the City Council of Roswell, New Mexico: that an inter-fund loan from the various funds described in Appendix A to the Roswell Air Center in the amount of $11,100,000. The inter-fund loan authorized by this resolution shall be for the term and subject to the conditions described in Appendix A, which is attached hereto and incorporated by reference. APPROVED, ADOPTED AND SIGNED on this ____ day of _____________, 2022. CITY SEAL _____________________ Dennis Kintigh, Mayor ATTEST: ___________________________ Interim City Clerk 5  APPENDIX A Fund Fund Name Intergovernmental Loan 1101 General Fund 4,100,000 37% 5200 Solid Waste 2,000,000 18% 5300 Water 4,000,000 36% 5301 Wastewater 1,000,000 9% 11,100,000 100% Loan Amortization Schedule Enter values Loan summary Loan amount $ 11,100,000.00 Scheduled payment $1,301,258.62 Annual interest rate 3.00 % Scheduled number of payments 10 Loan period in years 10 Actual number of payments 10 Number of payments per year 1 Total early payments $ - Start date of loan 6/1/2022 Total interest $1,912,586.23 Optional extra payments $ - Lender name: Pmt Payment Beginning Scheduled Extra Ending Cumulative No. Date Balance Payment Payment Total Payment Principal Interest Balance Interest 1 6/1/2023 $ 11,100,000.00 $ 1,301,258.62 $ - $ 1,301,258.62 $ 968,258.62 $ 333,000.00 $10,131,741.38 $ 333,000.00 2 6/1/2024 10,131,741.38 1,301,258.62 - 1,301,258.62 997,306.38 303,952.24 9,134,434.99 636,952.24 3 6/1/2025 9,134,434.99 1,301,258.62 - 1,301,258.62 1,027,225.57 274,033.05 8,107,209.42 910,985.29 4 6/1/2026 8,107,209.42 1,301,258.62 - 1,301,258.62 1,058,042.34 243,216.28 7,049,167.08 1,154,201.57 5 6/1/2027 7,049,167.08 1,301,258.62 - 1,301,258.62 1,089,783.61 211,475.01 5,959,383.47 1,365,676.59 6 6/1/2028 5,959,383.47 1,301,258.62 - 1,301,258.62 1,122,477.12 178,781.50 4,836,906.35 1,544,458.09 7 6/1/2029 4,836,906.35 1,301,258.62 - 1,301,258.62 1,156,151.43 145,107.19 3,680,754.92 1,689,565.28 8 6/1/2030 3,680,754.92 1,301,258.62 - 1,301,258.62 1,190,835.98 110,422.65 2,489,918.94 1,799,987.93 9 6/1/2031 2,489,918.94 1,301,258.62 - 1,301,258.62 1,226,561.06 74,697.57 1,263,357.89 1,874,685.50 10 6/1/2032 1,263,357.89 1,301,258.62 - 1,263,357.89 1,225,457.15 37,900.74 0.00 1,912,586.23 6  ROSWELL NEW MEXICO AGENDA ITEM ABSTRACT Special Committee Meeting Item No. Meeting Date: 02/24/2021 COMMITTEE: Finance Committee CONTACT: Juan Fuentes CHAIR: Jason Perry ACTION REQUESTED: Resolution 22-13 - Consider approval of Resolution 22-13 approving budget adjustments for fiscal year ending June 30, 2022. BACKGROUND: Initiated by: Chanel Rey This is a housekeeping item. DFA’s reporting system (LGBMS), requires approval of a budget amendment when increasing a revenue and/or expense in the approved budget. FINANCIAL CONSIDERATION: Transfers between various funds $11,100,000. • Fund 1101 (General Fund): Transfers out $4,100,000 • Fund 5200 (Solid Waste Fund) Transfers out $2,000,000 • Fund 5300 (Water Fund): Transfers out $4,000,000 • Fund 5301 (Wastewater Fund): Transfers out $1,000,000 • Fund 5100 (Aircenter Fund): Transfers in $11,100,000 LEGAL REVIEW: No legal review is required at this time. BOARD AND COMMITTEE ACTION: Consider approval of Resolution 22-13 approving budget adjustments for fiscal year ending June 30, 2022. STAFF RECOMMENDATION: Consider approval of Resolution 22-13 approving budget adjustments for fiscal year ending June 30, 2022. ATTACHMENT S Resolution 22-13 approving budget adjustments for FY22. Appendix A – Summary of FY22 Budget Adjustments. 7  RESOLUTION 22-13 A RESOLUTION OF THE CITY OF ROSWELL, NEW MEXICO AMENDING THE BUDGET FOR THE FISCAL YEAR ENDING JUNE 30, 2022, BY INCREASING TRANSFERS BETWEEN VARIOUS FUNDS. WHEREAS, the governing body of the City of Roswell, State of New Mexico, has previously approved a budget for the fiscal year 2021-2022, ending June 30, 2022; and WHEREAS, the City desires to amend said budget in the amount of $11,100,000 in transfers between various funds detailed in Appendix A and summarized below: • Fund 1101 (General Fund) transfers out $4,100,000 • Fund 5200 (Solid Waste Fund) transfers out $2,000,000 • Fund 5300 (Water Fund) transfers out $4,000,000 • Fund 5301 (Wastewater Fund) transfers out $1,000,000 • Fund 5100 (Aircenter Fund) transfers in $11,100,000 WHEREAS, it is the majority opinion of the Governing Body that the proposed amended budget continues to meet fiscal requirements as currently determined for the fiscal year 2021-2022. NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL AS THE GOVERNING BODY OF THE CITY OF ROSWELL, NEW MEXICO, hereby adopts the budget adjustment hereinabove described and respectfully request approval for same from the Local Government Division of the Department of Finance and Administration, State of New Mexico. PASSED, ADOPTED, SIGNED, and APPROVED the 24th day of February 2022. CITY SEAL _____________________________ Dennis Kintigh, Mayor ATTEST: ______________________ Interim City Clerk 8