Española heads into Tuesday election projecting $4M general fund deficit amid mayor's legal battles

ESPAÑOLA — In the lead-up to the Municipal Officer Election here on Tuesday, the state of the city's financial health might be top of mind for voters as they prepare to cast their ballots for mayor, municipal judge and three contested city council seats.

Española's Board of Finance, which is comprised of its eight-person council and chaired by incumbent Mayor John Ramon Vigil, met Monday to review its budget, which projects a roughly $4 million deficit in the city's general fund for fiscal year 2026.

If current spending holds, Española is on track to log its second-consecutive year of overspending after running an approximately $1.7 million deficit in fiscal year 2025, which ended Sept. 30.

As of December, the city had already spent just over $2 million beyond the limits of its general fund, according to Patrick Varela, who stressed at Monday's meeting the urgency that Española's elected leaders bring spending to within budgetary constraints.

A significant line item in Española's budget is for legal fees, estimated in the current fiscal year at around $500,000, much of which has gone toward defending the city's mayor, who is running for reelection to a second term.

Vigil faces two challengers: five-term City Councilor Dennis Tim Salazar, Vigil's cousin, and Joann Salazar, the chair of both the Rio Arriba County Democratic Party and the city's Community Development Commission.

Both mayoral challengers have taken aim at Vigil's tumultuous first term during their campaigns, presenting themselves each as an opportunity for voters to restore stability, in their view, to this northern New Mexico city of around 10,000 residents.

Since assuming office in 2022, Vigil has faced a series of legal complaints ranging from allegations of discrimination to sexual harassment, as well as significant turnover in key positions.

Three former city employees have lodged complaints of sexual harassment and discrimination against Vigil during his tenure. A department director, who claimed the mayor sexually assaulted her at a Santa Fe bar in 2024, is also threatening legal action after a New Mexico State Police investigation into her allegations last year ended without criminal charges.

The Española City Council voted out former Rio Arriba County health and human services director Lauren Reichelt as city manager last month after a short-term tenure, marking the fifth person to come and go from the position under Vigil's administration in four years.

In Reichelt's place, Vigil appointed an apparent ally, Police Chief Mizel Garcia, who remains in the role heading into Tuesday's election in an interim capacity.

The turnover under Vigil's administration has come at a cost to the city.

Former City Manager Eric Lujan, for example, exited the role only after reaching a settlement with the town to extend his salary and benefits, keeping him on the payroll in a newly created position for around six months.

Lujan's predecessor, Jordan Yutzy, filed a lawsuit against the city and Vigil, accusing the mayor of misconduct and overruling Yutzy where it came to hiring decisions commonly reserved for city manager roles.

Despite the pattern of allegations against him, Vigil has consistently denied wrongdoing. Instead, he said he is looking toward the future after laying what he believes to be a strong groundwork for progress in Española.

"I respect the legal process and due process," he said in a statement. "I will not litigate these matters in the press, but I remain confident in the facts that have always proven to clear my name and I remain with a strong commitment to this community.

"If reelected, reassurance will not come from words — it will come from performance."

Vigil declined a phone interview, and instead asked he be able to respond to questions submitted in writing.

A lifelong resident who grew up on Española's historic west side, Vigil has deep family roots in the Española Valley. He previously served as a city councilor from 2018 to 2022 and is a former member of the Jemez Mountains Electric Cooperative Board of Trustees. He's also a small business owner and licensed real estate broker.

His reelection campaign promises public safety reform, transparency, "youth investment and intervention programs," economic growth and infrastructure improvement.

Dennis Tim Salazar, a cousin by marriage running against Vigil, said the city is in a state of disarray and urgently needs a leadership change. He gave a searing assessment of Vigil's performance as mayor, arguing that Vigil has severed community partnerships that will take some time to rebuild.

"To be straight up," Salazar said, "I think he's the worst mayor the city's ever seen."

Salazar served as an Española city councilor for five consecutive terms, from 2004 to 2024. He has garnered support from former Española Mayor Javier Sánchez and current District 4 Councilor Sam LeDoux.

"I think the current mayor has had an element of chaos to his entire administration," Ledoux told the Journal. "We went through five city managers and seven city finance directors during his time, and we haven't been able to do anything on the City Council. 

"Often, we've gotten to only about four to five ordinances a year heard by the council because of various delays," he added, "and a lot of those delays have to do with the fact that our city attorney is tied up with legal cases in relation to the mayor."

Joann Salazar, a write-in candidate and 30-year veteran of government work, says she would bring her long history of service in various public roles and nonprofit leadership to lead the city if elected.

She submitted her candidacy on the very last day she was eligible, she said, after hearing from many Española residents who have become dissatisfied with the city's current administration.

Salazar, who also grew up on the city's west side, said her position on Española's Community Development Commission gives her a valuable vantage from which to reshape the city's economy and get its financial house in order.

She said the commission has been batting around the idea of forming a relationship with nearby Los Alamos National Laboratory to rent office space to the federal employer, helping to resolve some of the commuter congestion in the nearby town.

Española remains one of handful of municipalities in New Mexico to not take part in the statewide local election, which was established in 2018 and is held in November of odd-numbered years.

All three mayoral candidates said they were interested in aligning with the state's local election system, citing administrative difficulties and added costs associated with remaining independent.

Española residents will also have a new option for municipal judge this election cycle: Peggy Sue Martinez, a current city councilor representing District 2, is running against Judge Joseph Madrid.

District 1 City Councilor Aaron Salazar faces one challenger this year, Jacob Torres; Michelle Martinez and Steven Salazar are seeking a seat in District 2; Floyd Archuleta and Manuel Martinez are vying to represent District 3; and District 4 Councilor Justin Salazar-Torrez faces no challengers this year.

John Miller is the Albuquerque Journal’s northern New Mexico correspondent. He can be reached at jmiller@abqjournal.com.