Finance Committee

Regular Meeting of the Finance Committee City Hall – Large Conference Room 425 N. Richardson Ave. Thursday, February 6, 2025, at 2:00 PM Notice of this meeting was given to the public in compliance with Sections 10-15-1 through 10-15-4 NMSA 1978 and Resolution 24-23. ROLL CALL The meeting convened at 2:00 p.m. with Chairman Corn presiding. Councilor Halvorson, Councilor Heldenbrand, Councilor Johnson were present, and Councilor Cavin was present via telephone. STAFF PRESENT Chad Cole, Della Andazola, Hess Yntema, Mike Mathews, Lee Rogers, James MacCornack, Abraham Chaparro, Debbie Reyer, Andrew Valadez, Caroline Brooks, Jessica Parham, Elizabeth Prichard, Toni Gomez, Amalia Martinez, Becky Hicks, Melissa Garcia via GoToMeeting, Merissa Guilez via GoToMeeting, Enid Costley, Jim Burress, Bobbi Thompson, Daniel Fuller, Derick Washichek, Steve Chavez, Justin Jones, Amanda Dickerson, Terri Best, Naomi Steward, Ron Garcia, Jeff Bechtel, Alberto Aldana, Ernest Alford, and Elizabeth Nulf. GUESTS PRESENT Rita Kane-Doerhoefer, Rosario Rubio, and Mike Espiritou. APPROVAL OF AGENDA Councilor Heldenbrand made a motion to approve the agenda. Councilor Halvorson seconded the motion. The motion passed with a 5-0 voice vote, with Councilor Cavin participating via telephone. APPROVAL OF MINUTES 1. Consider approval of the January 2, 2025, Regular Finance Committee Meeting Minutes. Councilor Heldenbrand made a motion to approve the regular meeting minutes from January 2, 2025 meeting. Councilor Halvorson seconded the motion. The motion passed with a 5-0 voice vote, with Councilor Cavin via conference telephone. BUDGET PLANNING 2. Payroll Summary. Report submitted by Elizabeth Nulf. Ms. Nulf gave an overview on the report handout. The overview included the detail of the actual payroll expense totals for the 7 months and the budget totals for the 7 months, reporting variances. The report reflected a favorable variance for the seven months. Mr. Cole, City Manager also gave an overview to emphasize the change implemented in internal control to return the payroll management process to the Finance Department. Mr. Cole, City Manager stated the payroll process was formerly managed by the Human Resources Department with direction provided by the former Human Resource Director. The payroll was budgeted at 80%, which was inaccurate; therefore, a solid internal control was implemented by Mr. Cole, City Manager to move the payroll process management to Finance Department. Chad Cole, City Manager emphasized the payroll expense for the City of Roswell is currently budgeted correctly at 100% for fiscal Year 2025, and thereon. Councilor Halvorson made a comment that she did not understand why the previous administration would budget at 80%, and Mr. Cole, City Manager replied it was not a correct process to budget payroll expense at 80%. Councilor Johnson stated the payroll should always be budgeted at 100%. 3. Future Budget Planning. Financial Reports submitted by Toni Gomez. Ms. Gomez handed out the reports and gave an overview stating all departments were within budget for the six months July 1, 2024 to December 31, 2024. Chad Cole, City Manager gave an overview on the detailed financial reports for time period July 1, 2024 to December 31, 2024, noting the reports include full accounting detail on revenue, detail on expenditures by line item, and detail financial statements for the fund balances. Mr. Cole, City Manager stated the financial reports reflected the actual totals versus budget totals with a favorable outcome, stating the departments were all within their budget. Mr. Cole, City Manager commented the departments were within budget even though the City of Roswell’s flood disaster in October 2024, which was also incredible, thanking all the employees. Mr. Cole, City Manager noted this is the first time according to Deputy City Manager Mike Matthews all the departments have been within the operating budget at six months. Councilor Heldenbrand inquired as to when the budget for FY26 would be ready for review, so the Councilors can review a summary to date in their determination of the financial impact due to the flood disaster. Mr. Cole, City Manager replied the expected date for the budget draft at this time is May 2025, but with all the required repairs to roads, bridges, sewer lines, and buildings incurred from the flood it is difficult to provide an exact date due to all the information needed to be accumulated for budget purposes. Chairman Corn stated monies are needed to be pulled from funds to cover the cost of all the required repairs to bridges, roads, buildings, and sewer lines. Chad Cole  concurred with Chairman Corn but also emphasized the State and third-party consultants are working diligently in obtaining reimbursement from FEMA plus State of New Mexico. For the Record: Councilor Corn left the meeting at 2:20pm. 4. Review Lodger's Tax Income and Expenses. Presented by Toni Gomez. Ms. Gomez presented on the report included in the agenda detailing a review of the lodger’s tax income and expenses. Ms. Gomez also noted the ending cash at $828,232.63. Ms. Gomez emphasized the Lodger’s Tax Fund was within budget for the six months, July 1, 2024 to December 31, 2024 with 63% payroll budget used and 44.7% used for operating expenses. Councilor Heldenbrand noted there have not been any transfers from Lodger’s Tax fund to the General fund account for FY25, and with the City’s need for operating cash, he recommended a transfer to the zoo and convention center. Chad Cole, City Manager, stated the Finance Department would need to post a journal entry to record a transfer but the City of Roswell and other government organizations usually transfer at the end of the fiscal year. Councilor Heldenbrand again emphasized with the City in need of operating cash, a transfer as of present date would be justified instead of leaving the funds to remain in the Lodger’s Tax Fund until end of fiscal year. Chairman Corn expressed the City should leave the funds in Lodger’s Tax Fund for a later date due to later needs plus concurred with Mr. Cole, City Manager that end of year transfer is usual practice. 5. Review Customer Water Credits Applied. Presented by Ernest Alford. Mr. Alford gave an overview on the report included in the agenda. Mr. Alford stated the Water Credit Refund total issued to water utility customers to date is $125,855.79. FLOOD DISASTER UPDATE 6. Total Expenses. Report submitted by Toni Gomez. Ms. Gomez gave an overview on the expense report provided in the agenda which included the expenses incurred month of January 2025. Chairman Corn asked, if Ms. Gomez had to estimate the expenses for a month what would be her estimate and Ms. Gomez replied her estimate would be about $500,000 to $1,000,000 per week. 7. Flood Disaster Purchase Order List  Presented by Toni Gomez. Ms. Gomez provided a report with a total of $7,784,908.36 for expenses, and purchase orders for required expenses due to flood disaster in October 2024. Councilor Heldenbrand wanted to know if these purchase order totals were included in the financial reports also provided for the six months ended December 31, 2024, Ms. Gomez replied the purchase order totals are included in the financial reports for the six months, July 1, 2024 to December 31, 2024, which reflected a favorable variance. Chairman Corn and Councilor Corn commended the departments for their dedication to operate within budget for a favorable outcome for the six months regardless of a flood disaster. 8. Road and Bridge Infrastructure Presented by James MacCornack. Mr. MacCornack gave an update stating all the bridges are re-open and area repaved as well as guard rail repaired on Mescalero Bridge and guard rail replaced on North Kentucky Bridge. Mr. MacCornack also stated the 8th Street Bridge guard rail is also in process of being replaced. Mr. MacCornack made note all these repairs and replacements were within the department budget totals. Chairman Corn wanted to know if the trails fell in this update, Mr. MacCornack stated the trails were ran in engineering. Mr. Cole, City Manager did mention the trail path travels under bridges, Spring River Bridge; therefore, step one is an effort to determine ownership of the waterways so work can begin. Hess Yntema, City Attorney gave an overview on the effort to determine ownership of the waterways including Spring River canal prior to the City of Roswell providing an approval for work to begin. 9. Building Infrastructure and Property Presented by Lee Rogers. Mr. Rogers gave an update and his overview noted an update on the property insurance reimbursement status, half of the property insurance proceeds have been received and are also considered in budget adjustments in today’s meeting agenda. Mr. Rogers stated the third-party consultants, DRS, are currently in Roswell to complete flood mitigation cost applications to FEMA for reimbursement. Mr. Rogers also commented inspections have been scheduled for this phase, starting with Parks and IT. Mr. Rogers emphasized DRS, Jim Burress, and himself met to discuss in detail all the different park locations where damage was detected under the playgrounds. Mr. Rogers commented Mr. Cole, City Manager and DRS, the third-party consultants, are avidly active in the process and phases required by FEMA in the reimbursement process. Mr. Cole, City Manager provided detail concerning the current phase which is the substantial damage process, and Mr. Cole, City Manager stated the process is moving along in a timely manner. Mr. Cole, City Manager also gave an overview on the DeBremond Stadium which is annually leased to the Roswell Independent District, for $1.00, with the lease stating the RISD is responsible for the upkeep. Mr. Cole, City Manager noted there is currently trash and debris still around the stadium which is the responsibility of  the RISD; therefore, the RISD has been contacted to clean the debris and trash. The structural upkeep is the responsibility of the City of Roswell; therefore, engineers have been sent out to access the structure of the stadium. 10. Debris Removal Update due to Flood Disaster Presented by Abraham Chaparro. Mr. Chaparro gave an update with no change on the debris removal process since last meeting. Mr. Chaparro stated the City of Roswell is going to activate the secondary site at landfill, and noted the waterways are two separate projects. Mr. Chaparro stated regular internal weekly meetings with department heads; listing water department, parks department, engineering department, and administration involved so this waterway project can provide the best solution in addressing the issue at hand considering all aspects such as cost and time factors. Mr. Chaparro made note the damage from the flood disaster at the landfill is classified as Category G, which falls within emergency repairs for FEMA reimbursement process. For the Record: Councilor Cavin joined the meeting via telephone at 2:51pm 11. Review Water and Waste Water Update due to Flood Disaster Presented by Andrew Valadez. Mr. Valadez gave an update noting sewer line repairs and dirt work have been completed for bridges and crossings. Mr. Valadez stated there has been successful progress in the projects. Mr. Valadez noted he is available for any questions presently or if questions arise at a different time. Chad Cole, City Manager wanted to note Andrew Valadez has been exceptional after stepping into the management position after the former manager retired, listing an occasion where Mr. Valadez assisted with an external project after hours to test surrounding hydrants and well for the hospital. Councilor Cavin also commended Mr. Valadez for assisting with the water outage at the BLM, working relentlessly day and night. Action Items 12. Consider recommending adoption of Resolution 25-XX approving budget adjustments for the fiscal year ending June 30, 2025. Presented by Toni Gomez. Ms. Gomez requested to consider recommending adoption of Resolution 25-XX approving budget adjustment in the amount of $5,530,467.18, for the fiscal year ending June 30, 2025. Councilor Johnson made a motion to consider recommending adoption of Resolution 25-XX approving budget adjustments in the amount of $5,530,467.18 for the fiscal year ending June 30, 2025 to the consent agenda. Councilor Halvorson seconded the motion.  The motion passed with a 5-0 voice vote, with Councilor Cavin via conference telephone. 13. Consider recommending adoption of Resolution 25-XX to seek approval for the disposal of City-owned assets that were damaged, destroyed or rendered unusable due to the flood event on October 19-20, 2024. This action is necessary to comply with New Mexico State Statute NMSA Section 3-54-2 that authorizes the City to dispose of personal property. Approval of a formal resolution authorizing the disposal of flood-damaged assets, ensuring compliance with state law and auditing requirements. Presented by Deanna Garcia. Ms. Garcia requested to consider recommending adoption of Resolution 25-XX to seek approval for the disposal of City-owned assets that were damaged, destroyed or rendered unusable due to the flood event on October 19-20, 2024. 1. Identifies specific assets for disposal. 2. Authorizes the Finance Department to carry out the appropriate disposal process. 3. Ensures compliance with NMSA 3-54-2, including proper notification to the NM Department of Finance. 4. Documents the asset removal process for auditing and transparency purposes approving budget adjustments for the fiscal year ending June 30, 2025. Councilor Johnson requested information as to if all the assets were scraped, as the Dodge Durango. Ms. Garcia replied she received list from the departments on the assets scraped, destroyed, or damaged. Enid Costley wanted to clarify this list was not a total loss of assets due to flood disaster as the assets such as computers for the library are not included on this list but are a total loss. Councilor Halvorson made a motion to consider recommending adoption of Resolution 25-XX to seek approval for the disposal of City-owned assets that were damaged, destroyed or rendered unusable due to the flood event on October 19-20, 2024 to the consent agenda. Councilor Heldenbrand seconded the motion. The motion passed 5-0 voice vote, with Councilor Cavin participating via telephone. 14. Consider recommending authorization for ratification of award of Roswell Substantial Damage Assessments Project to Stantec in the amount of $133,154.18 which includes GRT. Presented by Chairman Corn. Chairman Corn stated this abstract was heard at the Finance Committee Meeting held on January 2, 2025, was verbally amended  to correct the funding source and voted to City Council consent agenda, with a 5- 0 voice vote with Councilor Johnson via GoToMeeting. City Council referred back to Finance Committee at City Council meeting held on January 9, 2025, due to incorrect funding language on abstract. The correct funding source on the abstract is $723.64 from the American Rescue Plan Act Corona Virus Local Fiscal Recovery Fund and the remainder amount of $132,430.54 from the Street Department, street project Purchase Order #22302888, with the available balance of $173,127.32. The fund in the amount of $132,430.54 was transferred from GL #26234323-817501 to Street Professional Services GL #26234323- 654801. Councilor Heldenbrand made a motion to amend authorization for ratification of award of Roswell Substantial Damage Assessments Project to Stantec in the amount of $133,154.19 which includes GRT. Councilor Halvorson seconded the motion. The motion to amend passed 5-0 voice vote, with Councilor Cavin participating via telephone. Councilor Heldenbrand made a motion to consider recommending authorization for ratification of award of Roswell Substantial Damage Assessments Project to Stantec in the amount of $133,154.18 which includes GRT as amended to the consent agenda. Councilor Johnson seconded the motion. The motion passed 5-0 voice vote, with Councilor Cavin participating via telephone. 15. Consider recommending authorization for ratification for PO 22501743 for repair of 20” water line leak on West Bland St. to White Cloud Pipeline in the amount of $104,554.27 including GRT, to include a budget adjustment of $18,629.08. Presented by James MacCornack. Mr. MacCornack requested to consider recommending authorization for ratification for PO 22501743 for repair of 20” water line leak on West Bland St. to White Cloud Pipeline in the amount of $104,554.27 including GRT, to include a budget adjustment to Infrastructure Maintenance and Repair account 53004354-614020 in the amount of $18,629.08. Councilor Heldenbrand asked if the budget adjustment of $18,629.08 was just needed to be moved from one item line to a different line item within the department. Chairman Corn stated that is correct. Councilor Johnson made a motion to consider recommending authorization for ratification for PO 22501743 for repair of 20” water line leak on West Bland St to White Cloud Pipeline in the amount of $104,554.27 including GRT, to include a  budget adjustment of $18,629.08 to the consent agenda. Councilor Halvorson seconded the motion. The motion passed 5-0 voice vote, with Councilor Cavin via conference telephone. 16. Consider recommending authorization for PO approval to San Bar Construction Corporation in the amount of $96,760.95 which includes GRT for re-striping of City roads. Presented by James MacCornack. Mr. MacCornack requested to consider recommending authorization for PO approval to San Bar Construction Corporation in the amount of $96,760.95 which includes GRT for re-striping of City roads. Mr. MacCornack stated the current FY25 Road Fund has $100,000 identified for road striping maintenance. Councilor Halvorson made a motion to consider recommending authorization for PO approval to San Bar Construction Corporation in the amount of $96,760.95 which includes GRT for re-striping of City roads to the consent agenda. Councilor Heldenbrand seconded the motion. The motion passed 5-0 voice vote, with Councilor Cavin participating via telephone. 17. Consider recommending authorization for PO approval to New Mexico Gas Company in the amount of $152,778.09 which includes GRT for extension of natural gas service to the Southeast area of the Roswell Air Center. Presented by James MacCornack. Mr. MacCornack requested to consider recommending authorization for PO approval to New Mexico Gas Company in the amount of $152,778.09 which includes GRT for extension of natural gas service to the southeast area of the Roswell Air Center. Mr. MacCornack stated the City of Roswell has been working on utility extension to the southeast area of the Roswell Air Center to enable additional development. New Mexico Gas Company was contacted to provide a quote for extension of natural gas service. Cost of extension to be funded by grant 24-I4050 in cooperation with Chaves County. Grant currently has $363,895.25 unobligated. Councilor Johnson made a motion to consider recommending authorization for PO approval to New Mexico Gas Company in the amount of $152,778.09 which includes GRT for extension of natural gas service to the Southeast area of the Roswell Air Center to the consent agenda. Councilor Halvorson seconded the motion. The motion passed 5-0 voice vote.  For The Record: Councilor Cavin arrived in person at 3:42 pm. 18. Consider recommending authorization for ratification of the purchase in the amount of $144,988.81 (including GRT) to McClain YU Architecture for planning and design of the HVAC system at the Roswell Police Department Headquarters. Presented by Lee Rogers. Mr. Rogers requested to consider recommending authorization for ratification of the purchase in the amount of $144,988.81 (including GRT) to McClain Yu Architecture for planning and design of the HVAC system at the Roswell Police Department Headquarters. Mr. Rogers stated the project is to be funded with the American Rescue Plan Act Coronavirus Local Fiscal Recovery Fund for amount $144,988.81. Councilor Halvorson made a motion to consider recommending authorization for ratification of the purchase in the amount of $144,988.81 (including GRT) to McClain YU Architecture for planning and design of the HVAC system at the Roswell Police Department Headquarters to the consent agenda. Councilor Cavin seconded the motion. The motion passed 5-0 voice vote. 19. Consider recommending approval to purchase and install equipment for Consolidated Dispatch in the amount of $345,229.86 using budgeted capital appropriation 24-I2882 awarded at $350,000.00. Presented by Terri Best. Ms. Best requested to consider recommending approval to purchase and install equipment for Consolidated Dispatch in the amount of $345,229.86 using budgeted capital appropriation 24-I2882 awarded at $350,000.00. Councilor Cavin wanted an idea of transfer completion date and Ms. Best stated her estimated completion date would be August 31, 2025. Councilor Cavin made a motion to consider recommending approval to purchase and install equipment for Consolidated Dispatch in the amount of $345,229.86 using budgeted capital appropriation 24-I2882 at $350,000.00 to the consent agenda. Councilor Johnson seconded the motion. The motion passed 5-0 voice vote. 20. Consider recommending authorization for approval to issue a purchase order in the amount of $1,470,000.00 for the purchase of two (2) Class-A HME pumpers from Municipal Emergency Services. Presented by Daniel Fuller. Mr. Fuller requested to consider recommending authorization for approval to issue a purchase order in the amount of $1,470,000.00 for the purchase of two (2) Class-A HME pumpers from Municipal  Emergency Services. Mr. Fuller stated the funding source is from insurance payment in the amount of $1,470,000.00 from account 11014121-817506 Capital vehicles, pending transfer of funds. Mr. Fuller stated two Class-A HME pumpers were lost in the flood disaster in October 2024, so the replacement of two Class-A HME pumpers will meet the needs of the pumpers for now, but emphasized three pumpers are ideal for the City of Fire Department to meet their full need. Councilor Halvorson made a motion to consider recommending authorization for approval to issue a purchase order in the amount of $1,470,000.00 for the purchase of two (2) Class-A HME pumpers from Municipal Emergency Services to the consent agenda. Councilor Cavin seconded the motion. The motion passed 5-0 voice vote. 21. Consider recommending authorization to issue a purchase order in the amount of $2,204,755.00 issued to Siddons Martin Emergency Group for a 100’ Midmount Aerial Platform. Presented by Daniel Fuller. Mr. Fuller requested to consider recommending authorization to issue a purchase order in the amount of $2,204,755.00 issued to Siddons Martin Emergency Group for a 100’ Midmount Aerial Platform. Mr. Fuller stated the funding source is from insurance payment in the amount of $2,204,755.00 from account 11014121-817506 Capital vehicles, pending transfer of funds. Mr. Fuller stated the Aerial Platform was lost in the flood disaster in October 2024. Mr. Fuller stated the Aerial Platform assisted in saving lives as without the former Aerial Platform there would have been many issues in providing assistance to the citizens from the flood waters. Councilor Halvorson made a motion to consider recommending authorization to issue a purchase order in the amount of $2,204,755.00 to Siddons Martin Emergency Group for a 100’ Midmount Aerial Platform to the consent agenda. Councilor Heldenbrand seconded the motion. The motion passed 5-0 voice vote. 22. Consider recommending authorization for ratification for PO 22501332 for emergency Water & Wastewater Repairs due to flood disaster on Hondo Draw Bypass (Hondo River Sewer Damage) in the amount of $542,918.26, 4th Street manhole replacement in the amount of $233,215.10 and Berrendo River Aerial sewer line repair in the amount of $134,007.06 totaling $910,140.42 to J & H Services, Inc. includes GRT, with a budget adjustment to GL 53014355-614020 in the amount of $910,088.72.  Presented by Mr. Valadez requested to consider recommending authorization for ratification for PO 22501332 for emergency Water & Wastewater Repairs due to flood disaster on Hondo Draw Bypass (Hondo River Sewer Damage) in the amount of $542,918.26, 4th Street manhole replacement in the amount of $233,215.10 and Berrendo River Aerial sewer line repair in the amount of $134,007.06 totaling $910,140.42 to J & H Services, Inc. includes GRT, with a budget adjustment to GL 53014355-614020 in the amount of $910,088.72. Councilor Johnson made a motion to consider recommending authorization for ratification for PO 22501332 for emergency Water & Wastewater Repairs due to flood disaster on Hondo Draw Bypass (Hondo River Sewer Damage) in the amount of $542,918.26, 4th Street manhole replacement in the amount of $233,215.10, and Berrendo River Aerial sewer line repair in the amount of $134,007.06 totaling $910,140.42 to J &H Services, Inc. includes GRT, with a budget adjustment to GL 53014355-614020 in the amount of $910,088.72 to the consent agenda. Councilor Cavin seconded the motion. The motion passed 5-0 voice vote. 23. Consider recommending authorization for ratification for PO 22501336 for emergency water and wastewater repairs due to flood disaster to White Cloud Pipeline in the amount of $369,329.49 including GRT, 53004355-614020 of $369,329.49 including GRT, to include a budget adjustment to GL line 53004355- 614020 of $369,279.49. Presented by Andrew Valadez. Mr. Valadez requested to consider recommending authorization for ratification for PO 22501336 for emergency water and wastewater repairs due to flood disaster to White Cloud Pipeline in the amount of $369,329.49 including GRT, 53004355-614020 of $369,329.49 including GRT, to include a budget adjustment to GL line 53004355-614020 of $369,279.49. Mr. Valadez stated a budget adjustment to Maintenance & Repair Infrastructure GL 53014355-614020 in the amount of $910,088.72 and a PO 22501332 encumbrance of $51.70 Councilor Heldenbrand made a motion to consider recommending authorization for ratification for PO 22501336 for emergency water and wastewater repairs due to flood disaster to White Cloud Pipeline in the amount of $369,329.49 including GRT, to include a budget adjustment to GL line 53004355-614020 of $369,279.49 to consent agenda. Councilor Cavin seconded the motion. The motion passed 5-0 voice vote. 24. Consider recommending authorization for ratification of the expenditure of $186,050.93, over $60,000.00 to procure engineering services from Molzen Corbin for a terminal improvement design.  Presented by Bobbi Thompson. Ms. Thompson requested to consider recommending authorization for ratification of the expenditure of $186,050.93, over $60,000.00 to procure engineering services from Molzen Corbin for a terminal improvement design. Ms. Thompson noted funding source is capital appropriation grant 23-H2930 awarded amount $1,980,000. Councilor Halvorson made a motion to consider recommending authorization for ratification of the expenditure of $186,050.93, over $60,000.00 to procure engineering services from Molzen Corbin for a terminal improvement design to the consent agenda. Councilor Cavin seconded the motion. The motion passed 5-0 voice vote. 25. Consider recommending authorization for ratification of the expenditure of $179,216.33, over $60,000, to procure engineering services from Molzen Corbin for the NCAR triangle site survey. Presented by Bobbi Thompson. Ms. Thompson requested to consider recommending authorization for ratification of the expenditure of $179,216.33, over $60,000, to procure engineering services from Molzen Corbin for the NCAR triangle site survey. Ms. Thompson noted funding source is capital appropriation grant 23-H2773 awarded amount $4,950,000. Councilor Heldenbrand made a motion to consider recommending authorization for ratification of the expenditure of $179,216.33, over $60,000, to procure engineering services from Molzen Corbin for the NCAR triangle site survey to the consent agenda. Councilor Halvorson seconded the motion. The motion passed 5-0 voice vote. 26. Consider recommending license agreement, or agreement substantially similar to that presented, between Reno Air Racing Association (RARA) and City of Roswell (COR). Presented by Hess Yntema. Mr. Yntema requested to Consider recommending license agreement, or agreement substantially similar to that presented, between Reno Air Racing Association (RARA) and City of Roswell (COR). Mr. Yntema also stated the City of Roswell will receive a $1.00 per car for parking, which for size for of lots would receive about $115.00 per day, for cars alone. Mr. Yntema also stated the City of Roswell does not assume any additional financial obligations. For The Record: Councilor Heldenbrand left the meeting at 4:15pm and returned at 4:17pm.  Councilor Halvorson made a motion to consider recommending license agreement, or agreement substantially similar to that presented, between Reno Air Racing Association (RARA) and City of Roswell (COR) to consent agenda. Councilor Cavin seconded the motion. The motion passed 5-0 voice vote. 27. Resolution 25-XX – Consider recommending adoption of Resolution 25-XX Instructing General Fund Departments to Maintain a 2% Savings. Presented by Chairman Corn. Chairman Corn expressed his concern for the current and ongoing financial obligations the City of Roswell has incurred due to the flood disaster in October 2024 and his concern over the decrease in cash flow used to cover the normal operating expenses. Chairman Corn requested to consider recommending adoption of Resolution 25-XX Instructing General Fund Departments to Maintain a 2% Savings in an effort to decrease operating expenses and create a cash savings as the reimbursement from FEMA for the damages sustained from the flood disaster could be out several months and/or years. Councilor Cavin requested additional information as to how this 2% savings would affect payroll and other operating expenses. Chad Cole, City Manager stated the 2025 Budget was based on year 2023 Budget, totals which already contributed to substantial cuts in the budget. Councilor Heldenbrand had concerns regarding the language on the proposed Resolution 25-XX; therefore, requested to send to full City Council. Councilor Cavin stated the language could easily be changed but perhaps this was not a good time to implement a 2% Savings to the departments as the 2025 budget included the same projections and totals as from 2023, which costs have increased since 2023. Chad Cole, City Manager agreed with Councilor Cavin stating the departments were within budgets with a favorable outcome as reflected in the financial report overview discussed earlier in the meeting; and, also made note the 2025 Budget already included certain decreases in expenses for each department. Chairman Corn noted he was open to changing the language in the Resolution 24-XX and open to other ideas to address the City of Roswell current financial status to date plus lack of resources. Councilor Cavin made a motion to send Resolution 25-XX to full City Council to consider recommending adoption of Resolution 25-XX Instructing General Fund Departments to Maintain a 2% Savings. Councilor Heldenbrand seconded the motion. For The Record: Councilor Cavin left the meeting at 4:38pm and returned at 4:41pm The motion to send to full City Council passed 3-2 voice vote, with Councilors Halvorson and Johnson voting no. NON-ACTION ITEMS 28. Finance Departmental Reports.  Gross Receipts Tax  Cannabis Excise Tax 29. Lodger’s Tax Report  Convention Center Bed Fee Report submitted as stands, no questions. 30. Roswell Public Library Report submitted as stands, no questions. 31. Golf - Department Report. Report submitted, no questions 32. Museum Monthly Report Report submitted as stands, no questions. 33. Public Affairs Report. Reports submitted as stands, no questions. 34. Visitor Center Report. Report submitted as stands, no questions. 35. Roswell – Chaves County Economic Development Corporation Quarter 2 Report FY2025 Report submitted as stands, no questions. 36. MainStreet Roswell Quarter 2 Report FY2025 Report submitted as stands, no questions. 37. Roswell Hispano Chamber of Commerce Quarter 2 Report FY2025  Report submitted as stands, no questions. PUBLIC PARTICIPATION Rita Kane-Doerhoefer spoke regarding recycling. ADJOURN The meeting adjourned at 5:13 p.m.