ALBUQUERQUE, N.M. (KRQE) – Late Tuesday night, Bernalillo County Commissioners approved a major plan surrounding the controversial Santolina Project.
Commissioners narrowly passed the plan that would reimburse the developer of the nearly 14,000 acre Santolina Project.
The proposal returns about 45 percent of the new tax revenue generated there over the next 50 years back to the developer for local infrastructure costs, like water and roads.
The reimbursement is capped at around $500 million, but could climb to $1 billion over 50 years because of inflation.
The community will be built between Atrisco Heritage High School, MDC and along Central and I-40.
Residents in the area fought the development saying there wasn’t enough water to support it.
Commissioner Maggie Hart Stebbins opposed the tax plan.
“Again, I’m a little but troubled by this notion that it could be more than $500 million and I would propose, I don’t know exactly what the language would be or where it would be appropriate to put into the the resolution, but that we actually cap it at $500 million.
Right now, the area isn’t generating much in the way of property taxes but it will as it develops.
Part of that money is what will go back to the developer for infrastructure costs.
State and federal taxes aren’t affected unless they make their own tax increment development districts.