Finance committee approves $137,416 reallocation for public-works grant management; NMGA role discussed

The Santa Fe Finance Committee voted unanimously Jan. 26 to reappropriate $137,416 of unspent FY25 one-time general fund balance to FY26 Public Works administration professional contracts to support the city’s capital-management program.

The item—introduced as a budget-amendment resolution—was presented to the committee along with Sam Burnett, identified by staff as interim public works director, who described why the city contracted with the New Mexico Grant Association (NMGA). Burnett said NMGA was engaged because a buildup of projects and grant activity created a bandwidth problem for staff and ‘‘they’re working with us really one, to identify what our current processes are, how we document, how we track, how we report,’’ and to train staff and put systems in place.

Councilors pressed staff on whether contracting this work out was a stopgap or a long-term solution. One councilor asked whether the contract was filling a long-standing vacancy or permanently replacing an in-house grants manager; Burnett said the decision will depend on future workload and capacity and assessed a roughly ‘‘50/50’’ chance NMGA will be needed in the near to midterm, though he said the firm’s work should strengthen internal processes.

Councilor Alma Castro flagged the volume of work the city is handling, saying she had counted ‘‘74 active legislative grants’’ and asking whether that level will continue. Interim finance/deputy city manager Andrea Phillips and finance staff (including grants manager Erica Lujan, referenced by staff) said NMGA is helping create standard operating procedures and training staff to manage those grants and that staff are exploring process changes to speed approvals when grant deadlines are imminent.

The committee debated the trade-offs between internal capacity and contracted assistance before Chair Pilar Faulkner moved to approve the amendment; following a roll-call vote—Councilors Jamie Cassatt, Alma Castro, Lee Garcia and Chair Faulkner voted yes—the motion passed.

Votes at a glance - Approval of agenda as amended (postponed Item 8a): Passed, unanimous. - Consent calendar (Item Y pulled): Approved as amended, unanimous. - Budget-amendment resolution to reappropriate $137,416 to FY26 Public Works administration professional contracts: Approved, unanimous.

What happens next Staff will use the reallocated funds to continue professional-contract work supporting capital grants management while documenting processes and training internal staff; the committee will consider follow-up as the city evaluates whether to transition grant management fully back in-house or continue with contracted support. The Finance Committee’s next meeting is scheduled for Feb. 9.