Taos County pauses municipal disbursements from voter-approved fire/EMS GRT to stabilize county services
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Summary
The Taos County Commission voted Dec. 16 to temporarily suspend the 55% municipal disbursement of the 0.25% gross-receipts tax dedicated to county fire protection and EMS (Resolution 2025-53), citing multi-year structural deficits and the need to stabilize county operations; the suspension begins following a 180-day notice window for affected agreements.
The Taos County Board of Commissioners on Dec. 16 approved Resolution 2025-53, temporarily suspending the municipal share of the 0.25% gross receipts tax that had been allocated to the Town of Taos, Red River, Questa and Taos Ski Valley. The county finance director said audited data show distributions outpaced revenue, producing a cumulative shortfall over recent years and leaving the county’s fire-and-EMS fund operating at a structural deficit.
Emily (Taos County finance) presented the analysis that underpinned the recommendation, saying the fund’s revenues (GRT plus EMS billing and minor sources) totaled about $5.9 million across the relevant period while expenses reached about $7.1 million, producing a deficit of roughly $1.147 million and reliance on transfers and supplemental grants. Emily said the change is intended as a temporary pause until the fund is operating in the black and allocations can be reassessed.
Commissioners asked whether municipalities retain authority to pursue their own GRTs; county staff confirmed local governments may seek additional gross-receipts tax authority if they have remaining capacity. Chief Cordova, appearing online, framed the operational context: the GRT had enabled expanded county EMS and fire coverage (including a 24/7 ambulance in the southern county), but service gaps remain and the county needs to ensure sustainable staffing and coverage.
County legal and finance staff explained that pausing disbursements would require drawing on other reserves if the county chooses to continue supplementing EMS, and that transfers from the general fund are not currently budgeted. Counsel also reminded the Commission procedural and notice requirements tied to intergovernmental agreements.
Vice Chair Romero moved to adopt the resolution and Commissioner Vigil seconded. The motion carried on a roll-call vote with all sitting Commissioners recorded as voting "Yes." The resolution suspends the prior allocation (Resolution 2025-24) while the county analyzes options and seeks a sustainable path forward; staff said the pause is intended to be temporary and that discussions with municipal partners are expected to follow.
The most immediate procedural effect is that the distribution formula is paused; the county said it will reassess allocations and consider options (amendments, MOUs, transfers, or restored distributions) once the fund shows positive operating results. Commissioners and staff emphasized the intent to continue dialogue with municipal partners and protect emergency services during the transition.
