Las Cruces City Council approves bonds to fund $20 million settlement

Revenue bonds to cover lawsuit payout; other council actions include liquor license transfer

Las Cruces City Council approves bonds to fund $20 million settlement
Las Cruces City Hall (Courtesy photo / City of Las Cruces)

Organ Mountain News report

LAS CRUCES - The Las Cruces City Council on Monday approved the issuance and sale of Taxable Municipal Gross Receipts Tax Revenue Bonds to cover a $20 million settlement in a civil lawsuit filed by the estate of Teresa Gomez.

The lawsuit stems from the October 2023 shooting of Gomez, 45, by then-Las Cruces Police Officer Felipe Hernandez. The incident occurred during an early-morning interaction on Oct. 3, 2023. Following an investigation by the Las Cruces Police Department and the Officer-involved Incident Task Force, Hernandez was charged with second-degree murder in January 2024. He was later dismissed from the department in May 2024 after an administrative investigation.

The $20 million settlement, reached in November 2024, is the largest civil agreement in the city’s history. The council approved the issuance of bonds totaling up to $21 million, with a maturity date no later than June 1, 2046, to fund the settlement.

Other council actions

  • Liquor license transfer: Councilors approved a resolution to transfer a dispenser liquor license to Cruces Total Golf, located at 170 W. Picacho Ave., allowing for on-premises alcohol sales. The transfer requires final approval from the New Mexico Alcohol Beverage Control Division.
  • City manager recruitment resolution: A resolution addressing the council’s prior invalid decision to seek candidates for the 2024 city manager vacancy was removed from the agenda. The matter will be reconsidered at a special meeting on Jan. 13.

The Jan. 13 meeting will take place at 9 a.m. in the Council Chambers, 700 N. Main St. All City Council meetings, including work sessions, are available for viewing on the city’s YouTube channel.

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