Lovington officials defend interim budget amid tight deadline as GRT receipts climb

The Lovington City Commission moved forward with an interim budget submission after an extended debate over timing, priorities and impacts on public safety and employees. Finance director Ed Ryan told the panel the interim budget had been uploaded into the state LGPMS system and must be submitted on schedule to provide operating authority until the final DFA approval.

Commissioners pressed staff on whether cuts disproportionately affect police, fire and other services. Commissioners asked for future monthly or quarterly reviews, and some members requested earlier-starting budget workshops next year to avoid last-minute decisions. The city manager and finance director explained the difficulty of translating the city’s chart of accounts to the DFA format and stressed that budget adjustments (BARs) can be made after submission if revenue trends change.

City Manager noted March 2026 gross receipts tax (GRT) collections of $1,316,714.12 — the second-highest month on record and the first affected by an Albertsons opening — and said retail accounted for about 24% of the total. Staff and commissioners agreed to monitor July revenue reporting for final-year figures and to consider any required September adjustments.

The commission emphasized that submitting a balanced budget by the DFA deadline did not prevent later amendments and agreed to consider additional workshops and improved reporting cadence.

What’s next: Staff will submit the interim packet to DFA, prepare quarterly budget reports, and schedule additional internal workshops so commissioners can review proposed adjustments ahead of future BARs.