FARMINGTON — Two ordinances will be before the San Juan County Commission at its Tuesday evening meeting.

One of those measures concerns dropping a tax, and the other would pick one up.

The tax that could be dropped is a one-eighth of 1 percent gross receipts tax that was imposed in 2003. The tax that could be picked up is of the same value. Both are taxes on sales and services in the county that aren't food or medicine.

"Keep in mind, this has no impact on the citizens," County Executive Officer Kim Carpenter said, adding both taxes are of the same worth.

The tax enacted in 2003 was to fund San Juan Regional Medical Center improvements. Those improvements included building the hospital's east tower and renovating its first and third floors and its emergency room. Money remains to work on the second and fourth floors, Carpenter said.

The 2003 tax generated more revenue than was expected, and the construction bonds are now paid, Carpenter said.

The other tax is the county's attempt to recover expected revenue losses.

The county lost property taxes from Navajo Mine and gross receipts taxes when Four Corners Power Plant closed three of its stacks. Now, it will lose more revenue when San Juan Generating Station closes two of its stacks, Carpenter said.

The county will also begin losing revenue as the state phases out its "hold-harmless" payments. Those payments were awarded to counties state-wide in exchange for not collecting sales tax on food and medicine. But a law legislators passed in 2013 phases those payments out over the next 15 years.


The commission will meet at 4 p.m. on Tuesday in the county administration building at 100 S. Oliver Drive in Aztec.

Dan Schwartz covers government for The Daily Times. He can be reached at 505-564-4606 and Follow him @DTDSchwartz on Twitter.