what is the general obligation bond?
On the March 6, 2018 municipal election ballot will be a question asking voters to authorize $3 million of general obligation bonds. All registered voters who reside within the boundaries of the Ruidoso Village limits may vote on the following bond question:
Shall the Village of Ruidoso issue up to $3,000,000 of the General Obligation bonds, to be repaid from property taxes, for the purpose of enlarging, improving, and/or extending the production and distribution components of the Village's water system?
Answers to Frequently Asked Questions
Will the new bonds increase my taxes?
Residents of Ruidoso WILL NOT see an increase with the continuation of the Water Infrastructure Improvement Bond Program. This is a continuation of the Water Infrastructure Improvement Bond Program that was designed to set the mill levy rate (property tax rate) at a rate to ensure a continual approval of $3 million at each election. By getting voter approval on the General Obligation Bond every two years, residents can continue the Water Infrastructure Improvement Program without increasing their property taxes.
Why does the Village Need to Impose General obligation debt?
The Village of Ruidoso has been experiencing water loss due to old and failing infrastructure. Even with the improvements made in the last four years, there are still many improvements that must be made. In order to do this, citizens are asked to continue this investment in their community by authorizing $3 million of General Obligation bonds to continue the Capital Improvement Program that allows the Village to issue debt that corresponds with the needs for improvements related to water infrastructure.
How Will the Village Use the 2018 GENERAL OBLIGATION Bond Proceeds?
Ruidoso has the most complicated water system in all of New Mexico because it includes 42 different pressure zones. The mountainous terrain requires many additional zones in order to supply water to our citizens, and much of the existing infrastructure is more than 50-years-old. Galvanized piping was used in the past which has accelerated the deterioration rate due to the soil conditions in our mountainous terrain. Bond proceeds will support continued water distribution and production improvements.
What is The Capital improvement program?
In 2013, the Ruidoso Village Council approved a Capital Improvement Program to support badly needed improvements to the water system. The Capital Improvement Program called for a property tax increase the first year (2014) with the approval of voters. The bond program was designed to set the mill levy rate (property tax rate) at a rate to ensure a continual approval of $3 million at elections.
As part of the Capital Improvement Program that was funded by the 2014 and 2016 General Obligation Bond, the Village of Ruidoso also implemented several other key water infrastructure projects including:
A water conservation plan and audit have been developed per the requirements of the Office of the State Engineer to identify water savings as a condition of the Village's leased water rights.
A dynamic water model is being built that will assist the Village to identify areas of loss of non-revenue water and indicated fire-flow deficiencies.
A liner was put into place in Grindstone Reservoir that has dramatically decreased the amount of water seepage that was occurring at that site.
A water meter replacement program that consisted of replacing 7,500 old water meters in the Ruidoso service area with new, automated meters that have facilitated the detection of leaks and made it much easier for customers to access and monitor their water usage online.