The Valencia County Commission recently unanimously approved a resolution requiring private organizations get approval from the board before asking the county to act as a fiscal agent for legislative appropriations.
Valencia County attorney Adren Nance said there have been instances in the past when a private organization needs funding for a project and will approach the Legislature for capital outlay.
Recognizing such an appropriation would violate the state anti-donation clause, which prohibits a government agency from giving money to a private party, legislators will ask the organization if it has a fiscal agent, a public body, that can receive the funds.
“And the first we hear about it is the middle of the session or after the money is appropriated,” Nance said. “The county also can’t give the private party the money, again due to the anti-donation clause, so it’s not really a work around.”
The attorney further explained if the county did become the fiscal agent, the funding then becomes county money and the project becomes a county project, subject to all the laws a public agency has to follow, such as procurement processes.
“We would like private organizations to request permission for the county to act in that capacity (before requesting funding),” he said. “We want to make it clear, we won’t accept funds (for a private organization’s project) unless this board gives permission so we can explain the process.”
Commissioner Joseph Bizzell asked what happens if an organization doesn’t come to the county and is allocated funds. Nance said it was still up to the county commission as to whether it wanted to receive the funds through (the state Department of Finance and Administration) and go through with the project.
“The issue might become, ‘Does the county have the resources and is it even a project the county is interested in?’ If you don’t accept the funds, they reverts back to the state. The problem becomes they’ve wasted a lot of time and it never looks good to revert funds to the state. Eventually, someone is going to ask why we’re giving back so much money,” Nance said.
Valencia County Manager Danny Monette said it’s also important the funds be handled properly because if they aren’t, the state can demand the money back and it will have to come out of the county’s general fund.
“This will also, hopefully, encourage people to come to us before going to the Legislature so we can put it on our (Infrastructure Capital Improvement Plan),” Monette said.
The county’s ICIP is a priority list of county projects sent to the Legislature for capital outlay funding.
“This resolution is making it clear to people and the Legislature that unless it comes through us, we are not seeking those funds, so don’t fund it,” Nance added.
Former commissioner Jhonathan Aragon said the first step was to speak to members of the county’s state delegation and let them know about the new policy “so we’re not trying to handle this during the session.”
Julia M. Dendinger began working at the VCNB in 2006. She covers Valencia County government, Belen Consolidated Schools and the village of Bosque Farms. She is a member of the Society of Professional Journalists Rio Grande chapter’s board of directors.
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April 25, 2024
