Jal council approves $10.12 million Colonias loan for wastewater plant, adopts budget and zoning changes

The City of Jal on July 22 approved a $10,120,000 Colonias Infrastructure Project Fund loan/grant agreement with the New Mexico Finance Authority to fund upgrades to the city’s wastewater treatment plant and adopted the Final FY2025 budget, both by unanimous roll-call votes.

The loan and budget were the headline actions at the regularly scheduled council meeting, where Councilors voted 5-0 to authorize Ordinance #2024-08 approving the Colonias loan/grant and Resolution #2025-03 adopting the Final FY2025 Budget. Councilors also approved related fiscal items, including Resolution #2025-02 for fourth-quarter budget adjustments and Resolution #2025-04 awarding RFP #2024-06 for residential and commercial contractors.

Mayor Stephen Aldridge framed the session’s work as part of ongoing outreach to state and industry partners. “We can walk into a room and they know Jal is there and they engage us and want to know how things are going and how they can help,” Aldridge said, citing recent meetings with legislators, lobbyists and energy-industry representatives.

Treasurer Isaac Sanchez presented the monthly financial reports — accounts receivable/payable, gross receipts tax details and lease reports — which the council approved by roll call before taking action on the budget and related resolutions.

In other business, the council unanimously approved the transfer of a dispenser-type liquor license from Sunoco Retail, LLC (Stripes Store #184) to 7-Eleven, Inc. (Store #42461). The council also authorized a one-year extension for the Jal Hospital District to complete house construction and approved the final reading of Ordinance #2024-07 to adopt a Temporary Dwelling Special Permit; both motions passed 5-0.

During the meeting the body temporarily convened as the Planning and Zoning Commission to consider land-use items. The commission approved a rezoning request for property owned by Jesus Baeza in the Original Town of Jal (Block 43, Lots 8–10 and 25–29) from Industrial “E” to Commercial “C” for oilfield rental housing, and approved an annexation/roadway dedication and rezoning of a separate tract (Southwest Quarter of Section 21 & North Half of Section 28, Township 25 South, Range 37 East) from Residential “B” to Commercial “C.” Both P&Z votes were recorded 6-0.

The City Manager reported progress on multiple capital projects: street work is moving forward, the skate-park group is addressing cement cracking with contractors and engineers, the city is preparing to bid Phase 2 of a water-transmission line pending state approval, and the meter-replacement program has installed about 400 meters with 103 already active in the system. The manager said USDA has provided a letter allowing the city to take on additional debt to support projects.

Council members entered a closed executive session at 8:22 p.m. to consult with legal counsel on pending or threatened litigation and to discuss purchase/acquisition or disposal of real property or water rights. The agenda item specifically listed protests before the Office of the State Engineer: Fulfer water-rights applications (OSE CP1735, CP1736 & CP1689) and Intrepid Potash/NGL protest (OSE CP1687). The council exited closed session at 8:35 p.m.; the minutes record no further public action on those matters.

Councilors used the final portion of the meeting to thank city employees across departments for their service and to praise recent community fireworks; the meeting adjourned at 8:35 p.m.

Votes at a glance: - Ordinance #2024-08 (Colonias Infrastructure loan/grant for WWTP, $10,120,000): approved, roll-call 5-0. - Resolution #2025-03 (Final FY2025 Budget): approved, roll-call 5-0. - Resolution #2025-02 (4th Quarter Budget Adjustments & Financials): approved, roll-call 5-0. - Resolution #2025-01 (donation to Town of Eagle Nest): approved, roll-call 5-0. - Resolution #2025-04 (award RFP #2024-06): approved, roll-call 5-0. - Ordinance #2024-07 (Temporary Dwelling Special Permit — final reading): approved, roll-call 5-0. - Transfer of Dispenser Liquor License (Sunoco/Stripes to 7-Eleven): approved, roll-call 5-0. - P&Z rezoning (Jesus Baeza, Block 43): approved, roll-call 6-0. - P&Z annexation/roadway dedication (City of Jal tract): approved, roll-call 6-0.

The council said items including a Police Department building report will return in August for further presentation and discussion.