Receiving a certificate proclaiming April 19-25 as Marine Corps League Week are, from left, Marc MacDonald, Ben Collins, Frank Donohue, George Morrison and Mayor Michael Morones.
By Roger Lanse
Mark Valenzuela and Neal Skiver from the Santa Fe investment banking firm of George K. Baum & Company explained how the town could invest in renewable energy financing in reference to implementing a Green Community Program and other qualified conservation projects. Valenzuela told the council that "we can get financing for you for 20 years at 1 percent." He and Skiver went on to say that New Mexico has been allotted $20 million for energy conservation projects and the money is available from the federal government by applying for qualified energy conservation bonds.
"These bonds are not cash from the federal government," Valenzuela stated, "It's a subsidy directly from the federal treasury to bite on the interest rate.
"This program created by the federal government requires the municipalities to sell these bonds as taxable bonds" according to Valenzuela. "It's very different from what we've done for you in the past. Municipalities have always had the privilege of selling tax-exempt bonds which means investors don't have to pay tax on their interest earnings. So, many investors like that hedge.
"In this case, because the federal government wants to incentivize these types of projects, it will provide a payment back to the municipality in the form of an interest rate subsidy, which amounts to close to a 70 percent repayment of interest.
"However, to apply for these qualified energy conservation bonds through the State Board of Finance, the municipality is required to set up a Green Community Program."
Town Manager Alex Brown said that this application, if approved, would allow the town to present any program for financing that will qualify.
Mayor Michael Morones stated, "This process opens up a tremendous amount of opportunities for us."
Four residents spoke before the council and all supported the resolution.
Council approved the resolution and directed the Town's manager, finance director and clerk to take the necessary action in submitting this application to the State Board of Finance.
Council also approved a second resolution establishing a Green Community Program for qualification to submit the aforementioned application to the SBF.
Two proclamations were issued by Morones, one declaring May 5 as "Give Grandly! Give Local Day!" for which no one was present to accept the proclamation, and another declaring April 19-25 "Marine Corps League Week," for which several MCL members appeared.
District 3 Councilor Jose Ray Jr. asked Brown about a problem at Scott Field for which he had received a telephone call. Brown stated that one baseball field at the park had started to sink and to repair it the turf would have to be torn up but couldn't be done until after baseball season is over.
Senator Howie Morales (D) gave the council and staff an update on the recent legislative session. He said the lower gasoline prices were welcome, but that it also provided less revenue to the state.
Morales stated that before the state enacts any new programs, provision must be made first to the state's most vulnerable citizens.
Morales informed the council that although he sees the need for a special legislative session to decide the fate of capital outlay funds, the governor has said there will be no special session. He called the Republican-controlled House defeat of a Senate bill to parcel out those capital outlay funds throughout the state "a political ploy."
The council approved a public celebration permit application by Q's Southern Bistro for a Memorial Weekend Festival on Pope Street and 101 W. College Avenue, on May 22-23, from 2-10 p.m.
Morones appointed Nancy Johnson and Janey Katz to the Lodgers Tax Advisory Board and Garland Kelduyn to the Recycling Advisory Board.