Clovis approves ordinance authorizing grant

The Clovis city commission on Thursday unanimously approved the ordinance authorizing the execution and delivery of a $2.4 million water project loan/grant agreement from the New Mexico Finance Authority.

Mayor Mike Morris and City Manager Justin Howalt presented the agreement to the commission. Morris said the agreement is strictly between the city and the finance authority and is separate from Eastern New Mexico Water Utility Authority’s mission. He said the agreement is to benefit the city’s reuse system.

“The wastewater is treated and then piped back to town to water parks, golf courses, and schools for today’s case,” Morris said.

Morris said the loan/grant agreement would be used to finance the cost of construction of a distribution pipeline to deliver recycled water within the city. Howalt added it would primarily target local districts so they wouldn’t be pulling from the aquifer.

“Our reuse system is almost completely built out, there are just a few laterals (such as the high school and middle schools) that haven’t been completed yet,” Morris said.

The loan amount of the fund is $1 million, while the grant portion is $1.5 million. Howalt also stated to the commission that not all of the loan will fall onto city shoulders, as some of the school districts have agreed to help pay a portion of it.

Other items at Thursday’s meeting:

• The commission approved the proclamation of December as “Red Kettle Month,” which was presented by the Salvation Army.

• A $13,900,000 loan/grant agreement by and between the NM Finance Authority and the ENMWUA was adopted by the commission. The loan amount will not exceed $1,390,000, while the grant amount would be $12,510,000. The loan would be paid through membership fees.