Public Infrastructure Advisory Board Meeting – April 29, 2025

The Public Infrastructure Advisory Board (PIAB) of Rio Rancho met on April 29, 2025, at 6:00 PM in City Hall. The board discussed and approved the 2025 meeting schedule, the annual report to the governing body, the FY26 operating budget, and the FY26-30 Capital Improvement Program (CIP). Presentations were given on the OMI‑Jacobs contract amendment, utility rates, general obligation bonds, and project updates. Two members of the public spoke during the public forum.

Consent Calendar

• Approval of July 16, 2024 Meeting Minutes – Approved unanimously by roll call (Martinez, Pearson, Iyer).

Discussion Items

• Establishment of 2025 Board Meeting Schedule – The board approved quarterly meetings on July 15, 2025 and October 14, 2025 (both at 6:00 PM). Motion by Martinez, seconded by Pearson, approved unanimously.
• Annual Report Method to Governing Body – The board approved providing a letter to the governing body for 2024, in accordance with municipal code 33.26. Motion by Martinez, seconded by Pearson, approved unanimously.
• OMI‑Jacobs Contract Amendment Overview – Deputy Utilities Director Steve Gallegos presented: the contract runs through June 2031 at $10.8 million per year, with annual increases of 2.5% or CPI (whichever is lower). The amendment added three new operators, a hydro excavator, a backhoe, and two line spotters. No board questions.
• Utilities Rates Presentation – Director Gallegos explained that a 3% rate adjustment for water, wastewater, and water rights acquisition fees, and a 5% adjustment for the bulk fill station, were approved by the governing body for FY26–30, effective July 1, 2025. The increase was driven by a 43% rise in electricity costs and increases in chemicals and asphalt. The utility is an enterprise fund.
• Presentation and Input on City Manager’s Recommended FY26 Operating Budget (Roads, Drainage, Water/Wastewater) – Deputy City Manager Peter Wells, Public Works Director BJ Gottlieb, and Director Gallegos presented highlights. Key changes: shifting $2.3 million from contracted patch-and-seal to the geobond program; increasing traffic overtime and standby pay ($2,000 overtime, $4,000 standby); adding external inspectors ($239,000); adding a project manager for building maintenance; and including the first year of debt service for a $32 million loan to fund a new fire station and the reconstruction/widening of Unser Boulevard (from Cherry Road to PDV, 1.75 miles, $32 million). The board approved the operating budget unanimously.
• Presentation and Input on City Manager’s Recommended FY26-30 Capital Improvement Program (CIP) – Directors presented project highlights: pausing the residential HMI (heavy mill/inlay) program and moving funds to the geobond; adding $2.1 million for Southern Boulevard Phase 2A (Nicholas Crossing); design for Loma Colorado Boulevard extension to Chesman Drive ($1.5 million); and various utility projects (waterline replacements, well re-drilling, wastewater treatment plant upgrades). The board approved the CIP unanimously.
• General Obligation Bonds for Roads/Utilities – Peter Wells presented an overview. The city’s financial advisors estimated $18 million in bonding capacity without raising the property tax rate. Staff recommended a $12.435 million road bond (proceeds ~$11.6 million) to fund four projects, supplemented by $8.8 million shifted from other programs. The board will provide formal input at a later meeting (July or October).
• Utilities Project Updates – Director Gallegos listed major projects: WWTP #2 headworks replacement ($28 million, $11M from ARPA, construction start fall 2025); WWTP #1 decommissioning (completed); Lift Station 22 upgrades (design 75-90% complete); force main from Willow Creek to Corrales Road; WWTP #5 expansion; Well 13 (600 gpm, ~$7M, online summer 2025); Unser water transmission line (core-funded, $9M, bid summer 2025); AMI metering system; Well 9 (7.6M, bid next fiscal year). No board questions.
• Public Works Project Updates – Director Gottlieb provided updates: 2024 geobond projects (Safe Light Boulevard complete, 19th Avenue design 95% complete, Loma Road bid package ready); NSIP program (HMI phases 1-3, patch and seal phase 9 on track); Sarah Road reconstruction (design complete, no construction funds); College Boulevard (nearly complete); 15th Street realignment (design 90% complete); Broadmoor Boulevard (ongoing, contractor Albuquerque Asphalt); federal projects (Idalia Road culvert crossing, Northern Boulevard phase B, Idalia Preliminary Engineering, Loma Colorado corridor). No board questions.

Public Comments & Testimony

• Michael Jackovich (6751 Silver Creek Drive, retired professional engineer, former PIAB chair) – Urged board members to drive all proposed geobond roadways and take notes, noting they may be surprised at conditions. He expressed disappointment that four board positions have been vacant for three of the last five years and suggested the quorum definition change (majority of actual members rather than full board) was noteworthy. He concluded with a mentor’s advice: “If something doesn’t make sense, investigate it.”
• Michael Farrell (3553 Calle Swenos) – Read a letter from the SKAFCA (Sandoval County Flood Control Authority) to the Planning and Zoning Commission regarding a rezoning proposal in Chemisa Hills. The letter stated that the developer had not submitted a drainage plan, that the main drain on Highway 528 is at capacity, and that on-site ponding may be needed. Adding over 300 homes and commercial space could put existing neighborhoods at risk of flooding. He urged the board to be aware of these drainage concerns.

Key Outcomes

• Unanimous approval of the July 16, 2024 meeting minutes.
• Unanimous approval of the 2025 meeting schedule (July 15 and October 14, 2025).
• Unanimous approval of the annual report method to the governing body.
• Unanimous approval of the City Manager’s recommended FY26 Operating Budget related to roads, drainage, and water/wastewater utilities.
• Unanimous approval of the City Manager’s recommended FY26-30 Capital Improvement Program.
• No formal vote on the General Obligation Bonds presentation; the board will provide input at a later meeting (July or October 2025).
• No action taken on the utility and public works project updates; they were informational.