Tucumcari switches insurers

The City of Tucumcari faced a significant rate increase and less coverage with its current liability insurance company when its policy was scheduled to renew on Nov. 1.

Instead, the city went with its previous insurer for better coverage and a slight increase in its rates compared to the current year.

Facing that choice, city commissioners on Thursday approved a policy with its old insurer, Travelers Insurance, over current insurer OneBeacon.

OneBeacon’s annual premium quote rose from $420,111 to $500,748, according to a document that City Manager Mark Martinez provided to the Quay County Sun. The Travelers quote the commission approved was $463,926 — an increase of $43,815 over last year’s policy but a savings of nearly $37,000 over the alternative.

CJ Wiegel of Tucumcari General Insurance Agency said an “incident” earlier this year with the Tucumcari Police Department and the New Mexico Legislature recently eliminating qualified immunity for governmental employees “scared OneBeacon quite a bit.”

An email and phone call to Wiegel asking for specifics about the TPD incident were not returned. Martinez said Monday it was his belief Wiegel was referring to a July arrest where an officer body-slammed a suspect to the ground after he resisted arrest. The officer was cleared of wrongdoing after an internal review.

Wiegel said OneBeacon decreased the city’s liability limit from $2 million to $1 million. He said the insurer also raised its premium 23%, effective Nov. 1.

Wiegel said the proposed Travelers policy was “very favorable” to the city, considering all municipalities will be negatively affected by the elimination of qualified immunity. He said the Travelers quote also increased city property values that had been underinsured.

City Manager Mark Martinez concurred with Wiegel’s assessment of the proposed Travelers policy, listing several ways it was better than OneBeacon’s.

Wiegel said Travelers previously had “pushed away” from covering the city due to claims. But the city’s loss ratio was “impeccable” in recent years, giving the city a more favorable policy and rate. Travelers is one of the top insurers of municipalities, including Clovis and Farmington, he said.

Commissioners took these actions Thursday:

• Approved by a 3-1 vote a waiver of Tucumcari Convention Center fees for a comedy show organized by the Tucumcari Zia Club. Proceeds from the Nov. 6 event will go to the Tucumcari Recreation Center. Mayor Ruth Ann Litchfield, while supporting the event’s goal, voted against it because she said it would set a bad precedent of other organizations asking for waived fees. Mayor Pro Tem Todd Duplantis abstained because he is a sponsor of the event.

• Approved a resolution accepting a $75,000 match waiver from the state’s Local Government Road Fund for the $313,892 Gamble and Barnes road project. Documents show the city’s share now will be only $3,473.

• Litchfield read a proclamation declaring Nov. 4 as Quay County Health Council Day to mark the organization’s 30th anniversary. Pagie Evans, the council’s vice-chair, presented its annual report. She said the council will focus on health equity in 2022.

• Approved a new schedule of meetings in November and December because of holiday conflicts. The commission will hold one meeting – on Nov. 18 – this month due to Thanksgiving and will have meetings on Dec. 9 and Dec. 16 due to Christmas.

• Accepted an amended list of banking signatories. The commission approved the list in its previous meeting, but Martinez said he needed to make a change on one.

Manager’s report

Martinez briefly discussed these items:

• He said a public hearing was held Wednesday by videoconference with Epsilon Solutions officials regarding the city’s proposed wastewater reuse improvement project. The city faces limits of phosphorus and nitrogen in its wastewater that would require expensive modifications to its sewer plant. Instead, officials propose piping treated wastewater to rangeland north of town for irrigation. It would require a 3.9-million gallon retention pond at the plant, a new pumping station and 2,700 feet of pipe. Construction would be scheduled to begin in December 2022, with completion by October 2023.

• Martinez said he met with the city’s water rights attorney about a possible lease of underused water rights to New Mexico Game and Fish to it can refill Tucumcari Lake and convert it to wildlife habitat.

• Martinez second state road officials were clearing storm drains and patching potholes in the Second and Main streets area.

Work session

Duplantis said he wanted to discuss possibly charging monthly fees for use of the recreation center and using that revenue for upkeep.

He said the center’s roof leaks and the basketball floor is warped. Without prompt repairs, “it’s going to come to the point where we can’t keep it,” adding if the building attracts black mold, it could lead to its condemnation.

He suggested a fee of $25 a month for each family. He said that not only can be used for upkeep, but hiring personnel and buying better exercise equipment.

Litchfield opposed the idea and noted many senior citizens on limited budgets would be hard-pressed to pay a membership fee.

“I don’t think it hurts to keep it free,” she said. “I’d hate to see us charge for it. Families are taxed enough, the way I see it.”

Martinez noted the likely cost of $300,000 to replace the roof far exceeds the city’s yearly budget for the facility. He said the city’s priority is continuing to provide infrastructure to residents. He said he and other officials would have to look at next year’s budget to address the roof.

Commissioner Ralph Moya said the center has been “extremely neglected” and urged the hiring of a grants writer to find other funds for it. He later expressed hope eventual recreational marijuana sales would boost the city’s tax revenue and perhaps provide money for the center.

Commissioner Christopher Arias agreed finding a grant was desirable to avoid a hit on the city’s budget, and he suggested a donation box for those who use the center.

Litchfield said contrary to rumors, the city is not closing the center.

Comments

During the public comments:

• Connie Loveland, executive director of Tucumcari MainStreet, said a recent haunted walking tour in downtown sold out three of four nights and received a national award from Main Street America.

• Michael Carlson, owner of CarlsonWay Farm in Tucumcari, told commissioners he would open Carlson Coffee Co. in the old Lena’s Cafe or Tri-Angle Cafe building near Tucumcari Railroad Plaza. He said the cafe would feature baked goods as well as coffee. Duplantis praised him for “taking a chance” on Tucumcari.

• Scott Crotzer, director of the Tucumcari/Quay County Chamber of Commerce, said his office gave away nearly 170 free pumpkins and would give $200 to the overall winner of a pumpkin-carving contest. He said 32 stops were participating in drive-up trick-or-treating this year.

• Loretta Muller said an abandoned house at Campbell Avenue and North Sixth Street had become “a pigsty” and nuisance, and she urged action. One code officer told her enforcement is lacking because the city lacks a municipal judge until after Tuesday’s election.

During commissioner comments:

• Moya said a collapsed building at Second and Main is “falling into the street.” He urged the city’s legal department to get involved on abating that nuisance and a closed KFC restaurant on First Street. Martinez said the collapsed building’s owner recently braced a wall and cleared debris but admitted it is an eyesore. He said the acting police chief also sent letters to the KFC’s owner.

Moya also urged a future work session to set the pricing on business licenses for recreational marijuana dispensaries.

• Arias said he recently met with four couples who were moving to Tucumcari, calling it “a positive development.”

Arias asked whether the “Bands of Enchantment” television show would shoot a second season in Tucumcari. Martinez said the producers were checking into state tax credits for film productions, and they might collaborate with Tucumcari art collective founder Matt Monahan on an art and music festival.

“Bands of Enchantment” had requested $300,000 in lodgers tax funds for the second season’s production. “I don’t believe we can swing that in the city of Tucumcari,” Martinez said. Producers had set a deadline of late October on whether the show would stay in Tucumcari, though it was uncertain whether producers had made a decision as of this week.