LOCAL NEWS

City Divvies GRT & Lodgers Tax to Nonprofits as Part of Next Year’s Budget

By Kathleen Sloan

HERALD Reporter

The City of Truth or Consequences held a 3-1/2-hour budget work session on Thursday, May 10. Budgets for Fiscal Year 2012-’13, starting July 1, are due to the Department of Finance & Administration by June 1.

The city, last fiscal year and this fiscal year, will be paying “sub-recipients” $106,800. That chunk of money comes from gross receipts taxes (GRT), said Financial Director/Administrator Linda Lanham.

The GRT is down about $100,000 from last fiscal year, reported City Manager Juan Fuentes, from $1.9 million to $1.8 million.

•The Boys & Girls Club, which provides 20 hours of programing a week to area youth during the school year and 30 hours of programming a week during the summer, will get about 30 percent of the money, or about $32,800.

•The Domestic Abuse Intervention Center will get 4.6 percent, or about $5,000.

•Geronimo Trail Scenic Byway will get 4.6 percent, or about $5,000.

•Sierra County Economic Development Organization will get nothing.

Mayor John Mulcahy, SCEDO executive director, recused himself.

City Commissioner Steve Green pointed out that SCEDO has received about a $1 million from area municipalities over the last 10 years, “and not one job has been created.”

Green pointed out that the organization is now also charging membership dues, without which no advertising or promotion is given. Green said the city’s grant would thus be supporting discrimination and favoritism for businesses “paying to play.”

Fellow commissioners agreed to cut SCEDO as a grant recipient.

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