State auditor scrutinizes utility

The New Mexico state auditor’s office confirmed it’s taking a closer look at the books of a water utility for Sunland Park, Santa Teresa and southern Doña Ana county. 

State Auditor Joseph Maestas said the Camino Real Regional Utility Authority was under scrutiny in an Aug. 19 letter to New Mexico Environmental Law Center attorneys requesting further action on behalf of residents.

“The [Office of the State Auditor] already has initiated an investigation of CRRUA regarding the concerns of fraud, waste, and abuse,” Maestas wrote in the letter. 

Late last year, it came to light that CRRUA had distributed water with high levels of arsenic to customers for more than a year, without telling the public or the New Mexico Environment Department. Arsenic naturally occurs at higher levels in the region’s groundwater. High exposure over time contributes to certain kinds of cancers, and is linked to higher rates of diabetes, heart conditions and skin conditions, according to the U.S. Environmental Protection Agency.

Top environmental officials called on the state auditor’s office and the state’s top prosecutor to investigate the water utility in March. 

That investigation is ongoing and the state auditor’s office is “actively collaborating with other state and federal agencies,” said David Peña, a policy director with the New Mexico Auditor. 

The office will publish a document at the conclusion of the investigation and after a legal review by state lawyers, which would outline any findings or note the inquiry’s closure, Peña said, but the timeline for that is uncertain.

CRRUA officials and staff said the utility has made significant improvements in water quality this year. The latest three tests from the New Mexico Environment Department show CRRUA is now in compliance, with arsenic levels in the utility’s water measuring below the federal limit of 10 parts per billion.

In June, CRRUA’s voluntary testing found the drinking water in one facility exceeded the federal level for arsenic at 13 parts per billion, but said staff addressed the issue and treated the water to safe standards.

An independent evaluation of CRRUA’s operations found the utility’s water rates were too small to effectively hire people needed to operate water treatment. The audit also found that the utility’s staff were not trained on best practices for some of the chemical treatment procedures, and that significant upgrades and repairs are needed to water treatment plants. 

CRRUA raised its water rates in July, five years after it passed a plan that was never put in place by its staff.

The water utility also announced that it is using $440,000 to replace a filter in an arsenic treatment plant and that it has addressed 70 percent of the 58 infractions laid out by state regulators after a review in late 2023. 

Next public meeting Sept. 16

But one thing residents said was at the top of the list: more public meetings. 

José Saldana, an electrical engineer living in Sunland Park, said he was hopeful the investigation would spur state agencies to reckon with continued mistrust of CRRUA.

“People have known we have bad-quality water for years, decades,” he said.

Saldana said the company’s communication strategy of using social media excludes a lot of the older residents, and said that recent cancellations of the board’s regular meetings and use of special meetings was making it difficult for the community to attend. 

He wants a broader discussion about the city of Sunland Park and Doña Ana County pausing the rate increases, or finding a different water company to operate the utility. 

“Hire another company to gain the respect and trust again and not increase water bills until they fix the issues,” he said. 

After Source NM inquiries Thursday, the New Mexico Environment Department announced a tentatively scheduled public meeting for Sept. 16 for concerns about CRRUA’s water.

“We had not announced that date yet because we generally post such dates closer to the day of the meeting,” said Drew Goretzka, an environment department spokesperson. 

Daisy Maldonado, an organizer with nonprofit Empowerment Congress of Doña Ana County, said she understands why the board might be hesitant to hold town hall meetings.

“Essentially, they’re not the folks who are ultimately responsible for past transgressions,” she said. “However, they are tasked to repair what has happened in the past – that’s the reason to show the community that they’re trying to rebuild the trust and reputation of services.” 

She said holding meetings in-person is crucial to avoiding rumors and offers the chance for the public to directly ask questions. 

Emails, phone calls and a text message requesting comment from CRRUA spokesperson Udell Vigil went unreturned Thursday. 

Emails and calls to Mayor of Sunland Park, Javier Perea, who chairs CRRUA’s board, also went unreturned. A city employee said Perea was out of town and would return to the office after the Labor Day weekend on Tuesday, Sept. 3. 

Saldana and Vivian Fuller, from Santa Teresa, both spoke at the wide-ranging town hall Gov. Michelle Lujan Grisham held on July 25, asking for state agencies to hold informational meetings, and asked for a delay in paying higher rates until people could trust CRRUA’s water quality.

Lujan Grisham said water costs are expected to rise with the scarcity and costs to treat water, and also said it would take time to address the longstanding issues at CRRUA. She promised Sunland Park and Santa Teresa residents that state environment and health agencies would host a public meeting. 

“We’ve been out there but we’re not communicating with residents, it’s clear to me that we’re not doing the job we should do,” Lujan Grisham said at the event in July.