WHEREAS, the Village of Capitan held a public auction of surplus equipment not essential for municipal purposes on October 29, 2005; and

WHEREAS, the sale of the surplus equipment, less expenses for advertising and the auctioneer’s commission resulted in income of$ 17,857.82 to the Village of Capitan; and

WHEREAS, the Governing Body in and for the Village of Capitan, State of New Mexico, meeting in regular session on the 10 day of January, 2006 desires to use this non-reoccurring revenue on a shop building; and

NOW THEREFORE, BE IT RESOLVED that the Governing Body of the Village of Capitan, meeting in regular session on the 10 day of January, 2006 does respectfully requests approval from the DFA to adjust the 2005 — 2006 budget by allowing an increase in budgeted income in the amount of $17,857.00 and an increase in budgeted expenditures in the amount of $17,857.00 in the General Fund. A new line item titled Auction Proceeds will be created under other income to account for the income. The expenditure will be added to line item 6039 Capital Outlay Street, which will increase the budgeted expenditure from $109,000 to $126,857.

DONE, PASSED AND APPROVED by the Governing Body of the Village of Capitan, Lincoln County, New Mexico on this 10 day of January, 2006.

Steven M. Sedei Mayor

ATTEST:

Shirley L. Paviovic, Deputy Clerk