Bernalillo County staff proposed administrative guidance to limit the county’s role as fiscal agent for state capital outlay grants intended for nonprofit or nongovernmental entities. Kathy Korte summarized the proposal: beginning with the 2026 legislative session, the county would suspend acceptance of capital outlay grants on behalf of nonprofits for vehicle purchases and for assets under $5,000 that cannot be capitalized and inventoried; the proposal would also require county commission approval before nonprofits pursue capital outlay for land, buildings or major construction.

Why it matters: Staff said the county currently manages dozens of nonprofit grants and has inventory and liability gaps. The report cited 71 capital outlay grants from 2022–2025 totaling $28.4 million that are intended for nonprofits; staff said only 56 assets purchased since 2014 exceeded the county’s $5,000 capitalization threshold and are annually inventoried. Staff also reported vehicle incidents and insurance shortfalls tied to vehicles leased or purchased on behalf of nonprofits.

Commission reaction and next steps: Commissioners welcomed the staff’s assessment but several urged broader outreach. Commissioner Barbara Baca called the staff work “a good start” but asked for more time and engagement with nonprofit partners, state officials and legislators; Commissioner Benson supported the $5,000 capitalization floor as reasonable but also urged consultation. County manager and staff said they would brief the Legislature’s representatives and nonprofit stakeholders and return with recommendations; the commission voted to defer introduction of the administrative resolution for further consultation and scheduled an introduction for Oct. 28.

Process detail: Staff recommended rescinding Administrative Resolution 2016‑31 and establishing clearer guardrails so county ownership, inventory and risk are managed consistently. They also noted that county facilities leased by nonprofits incur maintenance costs and suggested creating a county‑owned buildings fund to manage repairs and capital needs.