Compensation study finds district pay below market; board to weigh $62,271 annual salary increases
February 26, 2026 | Doña Ana County, New Mexico
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A compensation study presented Feb. 25 found the South Central Regional Transit District's pay ranges generally lag peer organizations, and the board said it will consider funding options during the budget process.
Consultant Mark Holcomb summarized a market survey of 18 peer organizations adjusted for local cost of living. "We did find a big market gap... almost 20% behind the market," Holcomb said, and he recommended adopting an adjusted market-responsive pay plan that assigns individual classifications to new pay ranges rather than applying a flat across-the-board increase.
Holcomb estimated the recurring base-salary cost of recommended adjustments at $62,271 annually. He and board members emphasized that figure covered salary only and that benefits and fringe costs would increase total recurring expense; Holcomb said applying a typical fringe percentage could push total annual cost closer to $100,000.
David Armijo and board members discussed implementation options: one-time catch-up adjustments, smoothing increases over multiple budget cycles, or a midyear adjustment to reduce immediate budget impact. Armijo said the board would receive detailed personnel-level comparisons and that final decisions would be tied to the fiscal-year budget process, with options brought to the board beginning next month.
Board members asked questions about which classifications would be most affected; staff noted that mechanics and some other classifications are harder to recruit and may require larger adjustments. The consultant said responses averaged about 10 comparable matches per position, and staff said the New Mexico Department of Transportation covered about 80% of the study's procurement cost, with the district and a northern regional partner splitting the remaining 20%.
No formal compensation policy change was voted on at the meeting; the board directed staff to include cost and implementation options in upcoming budget materials.
Consultant Mark Holcomb summarized a market survey of 18 peer organizations adjusted for local cost of living. "We did find a big market gap... almost 20% behind the market," Holcomb said, and he recommended adopting an adjusted market-responsive pay plan that assigns individual classifications to new pay ranges rather than applying a flat across-the-board increase.
Holcomb estimated the recurring base-salary cost of recommended adjustments at $62,271 annually. He and board members emphasized that figure covered salary only and that benefits and fringe costs would increase total recurring expense; Holcomb said applying a typical fringe percentage could push total annual cost closer to $100,000.
David Armijo and board members discussed implementation options: one-time catch-up adjustments, smoothing increases over multiple budget cycles, or a midyear adjustment to reduce immediate budget impact. Armijo said the board would receive detailed personnel-level comparisons and that final decisions would be tied to the fiscal-year budget process, with options brought to the board beginning next month.
Board members asked questions about which classifications would be most affected; staff noted that mechanics and some other classifications are harder to recruit and may require larger adjustments. The consultant said responses averaged about 10 comparable matches per position, and staff said the New Mexico Department of Transportation covered about 80% of the study's procurement cost, with the district and a northern regional partner splitting the remaining 20%.
No formal compensation policy change was voted on at the meeting; the board directed staff to include cost and implementation options in upcoming budget materials.
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