City OKs higher sales tax
Taxes will rise to keep city control of Red Rock Park

By Kevin Killough
Staff writer

GALLUP — The Gallup City Council decided to go forward with a one-fourth cent increase in the gross receipts tax and to retain possession of Red Rock State Park. The tax hike will put Gallup at a GRT of 7.9375 percent, which concerned Councilor Pat Butler.

“It’s going to affect revenues by sending it all out of town,” Butler said during the work session.

The rate would be among the highest in the state, comparable with Espanola, Alamagordo, and Taos, although, a few municipalities have higher rates.

City Manager Gerald Herrera disagreed that the tax rate would send shoppers out of town. He pointed out that surrounding areas would have tax rates only a fraction of a percent lower.

“It’s not a major drive to go to other cities. You’re going to pay more for gas to go to those other cities,” Herrera said.

The discussion soon turned to why the city needs the funds.

The pressure from the federal government for the city to reach compliance with the American Disabilities Act leaves few options. City Attorney Dave Pederson explained that the city currently has a budget around $100,000 for compliance projects. Pederson said that it was not a “realistic figure.”

“That may not be enough for maintenance, even after you spend the money to reach compliance,” Pederson said.

He cited the example that one sidewalk ramp for wheelchairs costs $5,000.

Stan Henderson, executive director of the Public Works Division, said the total costs of all renovations were high.

“The figure is easily in the seven digits. We’re looking at a significant chunk of change,” Henderson said.

Pederson pointed out that the federal government’s demands for compliance were not suggestions, leaving few options for putting the projects off. A deliberate source of revenue would be required.

“If we don’t comply, we’re going to get hauled into federal court again, and that will be costly,” Pederson said.

The city also decided not to hand over Red Rock Park to the state in hopes of getting further funding for maintenance of the park. The main concern councilors had was whether or not the state would actually put forth the funds, since the leasing agreements with the city did not guarantee any of the money needed to run the park. The state’s commitment to the park in the past had been lacking, it was noted.

Despite many promises about the potential of state parks, the Legislature had rarely come through with any significant support, the councilors said.

Ben Welch, executive director of parks, told the council he was satisfied with the decision. The state had done little in his experience to maintain the park, which is important to him.

Dave Simons, director of State Parks Department, voice some discontent with the decision during the regular session. He stressed that $300,000 had been secured for the park, but those funds could not be spent unless the park was in the state’s hands. And he said that the state was dedicated to the park.

“We tried to share that burden with you,” Simons said.

The city also needed a formal vote to cancel the next meeting, which falls on Christmas Day. Not surprisingly, the vote was unanimous.

“Oh what the hell. Let’s go ahead and have the meeting,”

Councilor Butler joked, which earned him the nickname “Ebenezer” for the evening.