State’s support of Aamodt questioned
County officials concerned after Legislature fails to set aside $9.1M for regional water system
“Without the State’s funding, it is hard to imagine the Regional Water System being timely constructed or constructed so as to meet the County’s needs.” Katherine Miller Santa Fe County manager
Faced with a state budget crunch, the Legislature in its session that ended in March decided against setting aside additional money for construction of a $253 million regional water system in the Pojoaque Valley, a move that has raised concerns among Santa Fe County officials about the state’s commitment to the project.
The state, county and federal government are responsible for paying for construction of the water system as part of an agreement to settle the Aamodt water rights lawsuit with the pueblos of Nambe, Tesuque, Pojoaque and San Ildefonso.
The state has agreed to contribute an estimated $72.5 million in 2024 dollars to the project. According to the State Engineer’s Office, it set aside $15 million in 2014.
The Legislature had considered setting aside $9.1 million this year for the water system. By delaying that appropriation, the state is missing out on interest that could be earned by 2024 on that money.
An appropriation of $9.1 million, at 1 percent interest, would generate more than $90,000 a year in interest.
While the state does not have to put up money until construction begins, possibly as soon as next year, the decision has raised the ire of county officials.
“Without the State’s funding, it is hard to imagine the Regional Water System being timely constructed or constructed so as to meet the County’s needs,” Santa Fe County Manager Katherine Miller said in a statement. “The State’s failure to fully appropriate its share means that other parties to the Settlement Agreement must assess whether to go forward without a firm commitment from the State, based upon the hope that the State will appropriate funds in the future.”
Sen. Carlos Cisneros, D-Questa, vice chairman of the Senate Finance Committee, said the decision to not put up the money was a matter of setting priorities in a tight budget year.
“Do we use this money for this purpose or do we use it to shore up public education for New Mexico’s children?” Cisneros said.
Melissa Smith, a spokeswoman for the State Engineer’s Office, said in an email, “Given the budget challenges, it makes sense to direct funding to the highest priorities of the state.”
The county hasn’t yet provided funds for construction.
The state, according to a 2014 agreement with the federal government, is not obligated to pony up its share of the system’s costs before construction begins.
In February, the Bureau of Reclamation, which is providing most of the money for the water system, announced it awarded a fouryear, $91.9 million design and construction contract to CDM Smith, a Boston-based firm with an Albuquerque office, for parts of the project.
The deadline for the water system to be substantially completed is 2024.
The system will serve customers on the four pueblos and other county residents. Its operation will be overseen by a board with members representing the county and the pueblos.
Opponents of the Aamodt settlement agreement lobbied the Legislature to withhold additional funding for the project.