Mountainair Town Council Meeting Ends with Startling Allegations
On October 3, 2023, the Mountainair Town Council began with everyday matters. The volunteer fire department got rid of their old billing company. Dennis Fulfer, the town clerk, briefed the town council on a special meeting to review proposals for the town's attorney position. The meeting ended with allegations of fraud by Council member Ernie Lopez against Mayor Peter Nieto and Mayor pro tem Gayle Jones.
The departmental reports for the town council meeting included a briefing from fire department representative Josh Lewis on behalf of Fire Chief Phillip Nelson. Lewis stated that the fire department had terminated its relationship with its old billing company because the company had become unresponsive. Lewis reported that the Emergency Medical Services team had gained an additional member. Finally, Lewis pointed out that the Mountainair Fire Department had been able to respond to the fire at Darrell Roberts' property in eight minutes. According to the National Fire Protection Association, the standard for a rural volunteer fire department's response time is 14 minutes.
Town clerk Dennis Fulfer reported on a planned special meeting for October 18, 2023. The meeting will address proposals for the town's legal services contract.
In his report to the town council, Mayor Peter Nieto briefed the council members on the upcoming cancer walk planned for October 21, 2023, at 8:00 AM. The cancer walk will begin at the intersection of NM-55 and US-60. Nieto also announced to the town council that the town had obtained full funding for its outdoor equity trips. Mountainair's outdoor equity trips will include a trip to the Sandia Tram and whitewater rafting.
Mountainair resident Stan Sorrells requested an arrangement with the town so that he could place a fence around his yard. As part of installing the fence, Sorrells had learned that the boundary of his yard included property owned by the town. To allow Sorrells to place the fence he desired, the town council required that he sign an agreement that granted the town an easement to access its property when necessary for utilities.
Two actions brought before the town council were tabled due to the absence of council members. First, Resolution 2023-30 would have sought to offer deferred compensation to municipal employees through the Public Employees Retirement Association of New Mexico (NMPERA). Second, Resolution 2023-31 would have sought to increase the pay scale for police department employees.

Following public comment, Mayor Nieto stated that Dennis Fulfer had received an email from Town Council member Ernie Lopez in which Lopez complained about Nieto for hiring a private investigator in the Shumate matter. According to Nieto, in Lopez's email, he stated he had filed a complaint against Nieto and Mayor pro tem Jones with the New Mexico State Auditor and the New Mexico Attorney General's Office for fraud and misappropriation of funds regarding what was described as a surreptitious hiring of the private investigator Doug Shawn of Universal Investigation Services, referring to the actions of Nieto and Jones as "theft and malfeasance."
In the Shumate matter, former Mountainair Police Officer Michael Shumate was terminated from the police department after he failed to return to work following a dispute with the town. Shumate claims that he was terminated for investigating alleged illegal activity by former Mountainair Police Chief Reyes and police officers Brent Woodard and Nevil Benard. Lopez is currently in civil litigation against the town of Mountainair and shares the same attorney as Shumate. In past meetings involving the Shumate dispute, Lopez has recused himself from the relevant proceedings due to his connection to Shumate and Shumate's counsel. Lopez is suing the town for tort claims related to what he describes as defamatory statements related to allegations Lopez sexually harassed an officer in the Mountainair Police Department.
Nieto said that the town council approved the hiring of a private investigator in November of 2021 when the town hired Universal Investigation Services for the issues related to the Mountainair Police Department. Nieto said that hiring a private investigator was not concealed from Lopez and that Lopez voted against hiring the private investigator in the November 10, 2021, town council meeting. Nieto also said that Lopez approved the meeting minutes in which the town retained Shawn.
In the email read by Nieto during the October 3, 2023, meeting of the town council, Nieto said that Lopez claimed that the hiring of the private investigator took place in March 2021. Nieto said this was a clerical error on a purchasing order and was misdated as being created in March 2021 when it was drafted in 2022. Nieto said the purchasing order was amidst other purchasing orders made in 2022.
Nieto claimed that this was not the first request Lopez had submitted to the State Auditor seeking an audit of Nieto from the office. Nieto recounted that Lopez had sought an audit of Nieto concerning a trip he took as an employee of the Mountainair Public Schools. Nieto said that the auditor found no misconduct concerning this trip.
Councilmember Lopez did not respond to the allegations raised by Mayor Nieto during the October 3, 2023, meeting of the town council. The Mountainair Dispatch has asked Council member Ernie Lopez for his response to Nieto's assertions via email on October 5, 2023.
Updated October 5, 2023 to correct a date error in the third to last paragraph.