FARMINGTON — At its meeting Tuesday night, the Farmington City Council will decide whether to incorporate about 56 acres of subdivision land west of city limits.
In early October, Joe Kozimor, of Joe & Stan, LLC, requested that the city of Farmington annex 55.84 acres -- including land the company owns that is west of Little Rabbit Drive and north of West Main Street, at the edge of the city's limits.
The land development company owns 50.48 acres of the land, and the Bureau of Land Management and New Mexico Department of Transportation own the other portions.
The annexation would allow Kozimor to continue developing Little Creek Subdivision. He said he has already developed all of the subdivision land inside city limits.
In a decade, the subdivision could cost the city $178,435 annually, according to 10-year projections. Community Development Director Mary Holton said that overhead is not unusual.
"You pay services for citizens," she said.
According to the Community Development 10-year projections, the subdivision will earn the city an estimated $104,365 in taxes. But city departments predict under the same projection that the city will need to spend $282,800 annually to fund services, such as street resurfacing, snow removal and animal control, according to Community Development documents.
Departments also expect a one-time cost of $150,000 to buy a dump truck equipped with a street sweeper or plow, according to the documents.
Because the subdivision is intended for residential uses, the city wouldn't receive any gross receipts taxes normally earned from businesses, Holton said. And because the city's property taxes are low, it would net little money in taxes, she said.
"That's kind of what we'd expect from anywhere that is residential," said Fran Fillerup, Community Development associate planner.
But Kozimor said his houses would attract commercial development -- like grocery stores and day cares -- and those businesses would provide the city gross receipts taxes.
If the annexation is approved, Kozimor said he would develop 140 to 200 homes of various sizes. They would range from small, low-rent homes close to the highway to larger, expensive houses with solar panels set farther back.
The initial annexation request included incorporating an additional 0.9 acres of land owned by Hector Rangel. But Rangel, who owns a storage shed retailer, opted out.
"More rules, more regulations, more taxes. I'm against that," he said.
Although not included in the City of Farmington Comprehensive Plan, the Planning and Zoning Commission considers the annexation consistent with the plan, according to its documents.
The comprehensive plan proposes six other annexations in several areas on the outskirts of city limits.
"The western part of the city is high residential growth right now," Holton said.