The Truth or Consequences City Commission passed a preliminary budget last week that did not include capital projects or department projects for about $22 million.
The Sierra County Sun recently received the “capital projects” worksheet under an Inspection of Public Records Act request, which fills in a major piece of the budget. The City Commission received the worksheet during its May 27 meeting last week.
Capital projects for the upcoming budget year starting July 1 and ending June 30, 2021 will total $13.8 million.
Included in the $13.8 million is nearly $6.56 million principal loan debt (not including interest). That amount will be added to the $22-million budget.
Besides the $6.56 million principal loan debt, the $13.8 million capital-projects total also includes over $8.8 million in grant money, with the City having to come up with nearly $326,000 in matching funds— supposedly cash funds—which would increase the budget by that much more.
A breakdown of the capital projects’ $13.8 million: nearly $10.76 million in water projects; $1.9 million in street projects; about $190,000 for Ralph Edwards Park sprinkler system, truck and equipment; $493,000 for a sewer project and about $260,000 for airport projects.
The City also has applications pending for an additional $2.1 million in capital projects, which would require an additional match of about $246,500. The remainder would be made up in grant awards totaling $1.88 million.
The capital projects worksheet does not include City-funding sources for the loans or cash matches.
The $22-million preliminary budget approved last week also did not include department projects, therefore the bottom line is likely to go up more than $6.6 million in principal loan debt and $572,000 in cash match.
City Manager Morris Madrid arrived around December 2019, mid-year for the 2018-2019 budget, which was drafted by his predecessor Juan Fuentes. The budget that year was $23.8 million. Madrid drafted the next year’s budget at $26.2 million. It appears the 2020-2021 budget will be around $30 million.