The Sandoval County Board of County Commissioners voted Oct. 22 to adopt an ordinance authorizing Local Economic Development Act (LITA) incentives and related agreements to support Castellian Corporation’s proposed Project Ranger manufacturing site near Rio Rancho.

The ordinance approved the project participation agreement and intergovernmental arrangements that would make the county the fiscal agent for LITA funds. Under the deal outlined in meeting documents, up to $5 million in state LITA funds, up to $1 million from the city of Rio Rancho, and up to $4 million from Sandoval County could be committed toward eligible project expenses if Castellian meets benchmarks set in the agreement.

Why it matters: Project Ranger would build scale production for solid rocket motors and assemble “all-up rounds” used in defense programs. Castellian’s representatives said the facility would create roughly 300 jobs in the first five years, invest more than $100 million in the first year of construction and operations, and pay industry-level wages. County officials and state economic-development staff said the incentives are tied to job and investment performance with clawbacks, required security deposits and environmental insurance.

What the commissioners approved
- The board approved a floor substitute of ordinance 10-22-25.0 authorizing (1) execution of the project participation agreement, (2) intergovernmental agreements by which Sandoval County would act as fiscal agent for state and city LITA funds, and (3) appropriation procedures for eligible disbursements. The substitute added a clause allowing the board to adopt limited amendments by later resolution if changes are needed to align the county’s documents with those completed by the city of Rio Rancho.

Castellian presentation and company claims
Andrew Christ, Castellian co‑founder and chief financial officer, summarized the company’s operations and safety commitments in a presentation to the board and the public. Christ said the facility would manufacture solid rocket motors, assemble all‑up rounds, perform electronics assembly and static‑fire testing on site, but would not synthesize ammonium perchlorate or conduct flight testing within Sandoval County. "What we will not be doing is synthesis of ammonium perchlorate or synthesis of any other chemicals on‑site," Christ said during his remarks.

Christ and other Castellian staff described the company’s engineering and management team (many with prior experience at SpaceX and other aerospace firms), said the site requires modest process water (approximately the use of 50 household equivalents at full rate), and described planned workforce partnerships with local universities and community colleges. Castellian representatives said the project layout was intentionally spaced to meet Department of Defense site‑safety criteria and that hazardous mixing operations would be conducted remotely.

Regulatory and safety oversight cited
Castellian and county staff repeatedly cited compliance with multiple oversight regimes. The presentation named Department of Defense standard DOD 4145 (shorthanded in the meeting as “4145”) and the inhabited‑building distance (IBD) setbacks it prescribes, Construction Industries Division building and fire codes, Department of Transportation packaging and transport rules, the New Mexico Environment Department, and the New Mexico Historic Preservation Division as regulators and reviewers. County staff and state economic officials told the board that the project participation agreement includes security and clawback provisions and that Castellian must provide environmental insurance and a bond for removal of structures if the site is abandoned.

Public comment and local reaction
Supporters and opponents addressed the board at length. Senator Jay Block spoke in favor, calling the proposal "a great opportunity for Rio Rancho, Sandoval County, New Mexico, and our nation," and stressing its potential contribution to national defense and local employment.

Opponents and some residents questioned transparency, requested additional public hearings and expressed skepticism about long‑term liabilities for cleanup. Resident Elaine Cimino asked the board to postpone approval and hold public hearings so the community could review safety studies and baseline environmental data; she said, “We do not want this to happen. We don't want to accept the risk as citizens, as taxpayers, and we deserve our say.” Another commenter asked whether the company or taxpayers would be responsible for cleanup after a catastrophic event.

County staff and company representatives responded at the meeting that the project would be subject to multiple code reviews, permitting and state and federal oversight prior to or during construction and operation, and that the company’s lease requires bonds and insurance to cover removal and environmental remediation where required.

Vote and next steps
The board adopted the ordinance authorizing the project participation agreement and intergovernmental agreements. Commissioners recorded affirmative votes and the motion passed. County staff said the county will serve as fiscal agent for state LITA funds and will disburse funds only for eligible costs after the company meets agreed deliverables. The county manager and economic development staff said they expect final intergovernmental paperwork and the project participation agreement to be completed before closing and that the city of Rio Rancho is conducting its parallel due diligence.

The company said it has capital on hand and contracts with defense customers that underpin Project Ranger. Castellian representatives also said they have committed to follow Department of Defense safety standards and to coordinate training and planning with local first responders.

What remains open
- Additional permitting and certification reviews by state and federal regulators.
- Final intergovernmental agreements and any technical amendments to documents resulting from the city of Rio Rancho’s review.
- Continued public outreach and local emergency‑response coordination.

The county's approval authorizes moving to the closing steps described in the ordinance and the project participation agreement; it does not itself constitute operational permits or final construction approvals required by other agencies.