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Committee directs staff to pursue ending Phase 3 of Midtown annexation and coordinate with county on Agua Fria designation
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Summary
The committee approved a resolution to direct staff to amend settlement and annexation phasing agreements to terminate Phase 3, refrain from challenging Santa Fe County’s traditional historic community designation for Agua Fria, and reconvene extraterritorial land-use authorities to implement necessary ordinance changes; councilors asked for safeguards for landowners and drainage funding clarity.
The Finance Committee approved a resolution (listed as 2026‑TBD in the packet) instructing staff to bring forward an amendment to annexation phasing agreements so the city would terminate Phase 3 of a prior annexation plan, to waive the city’s right to challenge the county’s designation of Agua Fria as a traditional historic community, and to work with Santa Fe County and the extraterritorial land-use authority to make related ordinance changes.
Councilor Jamie Cassette said she was generally comfortable not annexing Area 1B but raised two concerns: whether previously negotiated county commitments (she cited drainage funding on West Alameda) could be lost and whether the county’s petition process had excluded some landowners who might want to be annexed. “I don't want our ability to negotiate dollars for fixing Alameda to go out the door,” she said, asking staff to preserve negotiation levers. Cassette also criticized the manner in which the Agua Fria petition had been presented and urged that landowners keep the option to petition the city.
Director Heather Lamboy, sitting with staff, said the resolution initiates a process that will include the extraterritorial land-use commission and public hearings and that staff will research the drainage funding issue. “This is just a start,” Lamboy said, and she confirmed that the extraterritorial land-use authority and commission will provide public and legislative review before any final changes.
Chair and multiple councilors emphasized that the resolution is procedural — a direction to convene county and city review — and final agreements would come back to elected governing bodies. After discussion and clarification that public hearings and legislative steps will occur, the committee moved and voted to approve the resolution to initiate the process.
