A quorum of Española’s lodgers tax advisory board met Dec. 7 to discuss funding requests from four groups. While the Board struggled to accommodate different requests, the budget and actual revenue available was a constant stumbling block. The group was operating under the assumption it had $9,200 to disburse.
One hour into the meeting President Marlo Martinez stopped the meeting and asked City Clerk Tessa Jo Mascareñas to get an accurate accounting from city finance director Joyce Sandoval. Sandoval told the Board it had budgeted $52,000 for Fiscal Year 2012-13, which ends June 30, 2013. The Board is allowed to grant $21,000 of the total budget to groups encouraging tourism.
“You’re allowed to grant $10,000 to subrecipients, $7,000 for advertising and $4,000 to other,” Sandoval said.
The advertising and other categories can be moved to subrecipients, at the Board’s discretion, Sandoval said.
The remainder of the $52,000 is spent on debt incurred to construct the Misión y Convento.
Martinez said, “So we budgeted $85,500 at the March 2012 Lodgers Tax Board meeting and the city council lowered that to $52,000?”
Sandoval said the fund had been spiraling down since 2008 and the construction of Indian hotels, which don’t pay into the city’s lodgers tax fund.
“We no longer have those budgets of $192,000,” Sandoval said.
Board member JoAnn Casados said, “It’s a shame we can’t collect from the pueblos.”
A discussion ensued regarding the collection of taxes by the Santa Claran and Ohkay Owingeh resort facilities, which goes to the pueblos, not the city. Martinez said even when a group is successful in bringing tourists to the Valley, they stay at pueblo facilities where the city can’t collect taxes.
“Has anyone ever approached them and asked them to help out?” Martinez said.
Sandoval said the pueblos collect taxes, just as the city, but it goes to the pueblos.
“You have to understand the money flows one way: from the city to the pueblos, never the other way around,” Sandoval said.
The budget
According to city ordinance, a lodgers tax is imposed on hotels inside the city limits, which is collected from those staying at the hotels. While the city’s budget is projecting $52,000 to be collected in this Fiscal Year, midway into the Fiscal Year the city has collected $9,287.59 or 17.9 percent of the total projected income.
City councilors in June 2012 approved expenditures from the $52,000 lodgers tax revenue stream as follows:
• $12,687 to pay for plaza development
• $21,000 to the Lodgers Tax Advisory Board
• $13,113 to pay down on a loan for the Misión y Convento
• $5,200 to the general fund for administration
New signs
Casados asked the Board if anyone had seen the new welcome sign coming into Española from Santa Fe.
“It’s pretty but you can’t read it,” Martinez said. “Is there one at every entrance to town?”
Mascareñas said the city was in the process of installing the signs and they all look the same.
“They’re all the same?” Casados asked. “You can’t see it. You can’t read it.”
A request for the costs and vendor for the city signs is pending with the city at this time.
Arts festival
Jan Brookshier represented the Española Valley Arts Festival and requested $3,000 to supplement the $2,000 remaining in the Festival’s 2012 budget.
“You funded us with $2,000 last year and it was early and a life-saver,” she said.
The event’s big costs will be more brochures and more mailing. The poster contest in March also requires funding, she said.
“Last year we printed 2,000 brochures and we ran out quickly,” Brookshier said.
Brookshier took over the Festival after a tenuous 2011 show, she said. The group wasn’t sure what would happen in 2012.
“We learned a lot,” she said. “We’ll be much more organized this year.”
Again the Board got bogged down in whether it had enough funding to meet all the current requests and requests that would come in spring 2013.
“You know the fiesta committee will be here,” Martinez said.
Casados made a motion to reserve $1,500 for the Festival pending further review of the budget. Board member Pete Valdez seconded and it passed unanimously.
Hispanic music awards
Judy Lujan requested $5,000 to help fund the Hispanic music award show Jan. 19. Martinez asked her to perform a different presentation than previous years.
“It speaks for itself, “ Lujan said. “It’s the 22nd annual and we’ve had it here the last eight or nine years in Española. We’ve made it the success that it is.”
The Show attracts 1,500 people, including musicians and their families, Lujan said. It runs a budget of $60,000, funded by Premier Distributing, Coca-Cola, Santa Claran Hotel/Casino, Ohkay Casino and Rio Arriba County.
For the $5,000 provided by the Board, the city of Española gets a table at the Show. Board members requested the table not be so close to the stage, as the sound hurts their ears. Lujan said that was up to Mayor Alice Lucero.
Lucero said at Monday night’s city council meeting for the sponsorship all city councilors get tickets to the show.
Councilor Robert Seeds asked if that was correct and when Lucero said yes, that’s the case councilor Peggy Martinez disagreed with the practice.
“That’s not right,” Peggy Martinez said.
Lodgers Tax Advisory Board members discussed at their Dec. 7 meeting giving the Show less and it was at this point Marlo Martinez stopped the meeting and got the 2012 numbers from Sandoval. Following Sandoval’s update, Valdez made a motion to give the Show $4,500 but it died for lack of a second.
Lujan encouraged the Board to go the full $5,000.
“You receive benefits as if you were a $10,000 sponsor,” Lujan said.
Casados and Martinez reminded Lujan of the money’s source.
“The little hotels are providing this money to you,” Martinez said.
“Not the casino hotels, the little hotels in town,” Casados said. “Tell them that.”
Following more discussion of the budget, Valdez made another motion to give the Show $5,000. It passed unanimously.
Beautification
committee
The Española Beautification Committee requested $45,000 from the Board for, “Median restoration and beautification of all main arteries throughout the city.”
Casados said it was a good project and would be more permanent in helping attract visitors, however, the budget wouldn’t allow that much funding. The Committee is headed by LouAnna Hauck and Barbara Ricci.
The Board approved $5,000 in funding for the Committee.
City council action
The city council struggled with the same budget versus actual concept at Monday night’s meeting. Three different councilors at different times asked for verification and clarification of the lodgers tax budget.
Sandoval was not at that meeting. Interim city manager Joe Duran explained the budget but councilors Robert Seeds and Cory Lewis wanted to know exactly how much was in the bank at this time.
Duran said $9,287.
Peggy Martinez said, “So if we grant $10,000 tonight, where do we make up the eight hundred bucks?”
Duran said more money will come into the fund at the end of December, before the disbursements would be made.
The debt service, plaza development and city administration fees were not explained.
Discussion on the $5,000 to the Hispanic Music Award Show centered on the event being out of the city and no income will be realized by the city.
“People are going to eat out there and stay out there,” Peggy Martinez said. “That doesn’t help us.”
Lucero said there are not enough rooms at the Ohkay Casino so all the hotels are full that night.
“Not everyone eats there,” Lucero said. “Restaurants in town stay open late that night to accommodate guests. They buy gas here and shop our stores.”
The vote for the grant came down to 3 to 3 with Seeds, Peggy Martinez and Councilor Pedro Valdez voting against and Councilors Dennis Salazar, Eric Radosavich and Elaine Herrera voting for it.
“The vote is 3 to 3,” Lucero said. “I will break the tie and vote for the motion.”
The funding for the Española Beautification Committee was welcomed by all councilors.
“This will be a permanent improvement in our city,” Peggy Martinez said.
The council voted 6-0 to give the Committee $5,000.