Board Minutes of November 14, 2007 Regular Meeting

Of the Board of Directors of the St. Vrain Sanitation District

Attendance:

Directors: Brad Hagen, Brian Travis, Wesley LaVanchy, Gary Cope

Reggie Golden – 10:00 A.M. Conference Call – Excused from 9 – 10A.M.

Staff: Eric Doering, Jon Peterson, Rob Fleck, John Anderson, Kim Castonguay, Dick Lyons – Attorney

Public: Representatives of the East I-25: Stephanie Stawart, Gary Woods, Merlin Maass, And Nick Sekich. Eric Bradac from Timberlan

Call to Order: The meeting was called to order at 9:03 A.M.

Public Invited to Be Heard – 9:10 A.M.

Ms. Stephanie Stawart from the East I-25 Sanitation Group came before the Board of Directors to inform them that they received an order from the Court organizing their District. At this time they are ready to move forward. They came to discuss two matters with St. Vrain Sanitation District. The first one is that the IGA was approved in September of 2005. They would like to move that forward and enter into the final IGA. Second they have been to the North Front Range Water Quality Planning Association and are prepared to file to form their own 208 Boundary. They need to file an objection to Meads 208 map and St Vrain Sanitation Districts 208 map by December 12, 2007. North Front Range has their meeting in December 2007 on their service areas. The East I-25 Sanitation District would like an update of their Will Serve Letter. Staff will get together with East I-25 Sanitation Group to work out the IGA.

Consent Agenda – 9:20 A.M.

Mr. Wesley LaVanchy made a motion to approve the consent agenda. Mr. Brian Travis seconded it. Approved

District Managers Report – 9:21 A.M.

Mr. Eric Doering informed the Board members that staff would begin completing their performance appraisals. There was a discussion on the Pros and Cons of performance appraisals.

The WCR 26 plan was approved by the North Front Range Water Quality Planning Association and the State of Colorado.

St. Vrain Sanitation District has signed a contract with Western States Land Services, Inc. They are an Easement Acquisition Service.

St. Vrain Sanitation District has an opportunity to Bore under the I-25 connecting from the Frederick West Business Park over to the West side of the road to provide service while they are doing the I-25 widening. CDOT will pay to install this crossing and St. Vrain Sanitation District will pay for the material cost for a steel casing across I-25 with carrier pipe. The cost to St. Vrain Sanitation District will be $66,000.00. Mr. Rob Fleck and Mr. Dick Lyons are working with Flatirons to put together an agreement.

Mr. Eric Doering has been working with Mr. John Winslow of Gill Capital Partners, our investment company about a change regarding fees for service. We currently work on a per transaction basis. Due to the increasing transactions and the amount of investment dollars, he has chosen to go to a fee based plan that will save the District considerable cost for transactions. District will lower their overall cost by around $7,500.00 per year.

Action Items – 9:37 A.M.

Mr. Gary Cope made a motion to approve Resolution 2007-14 to certify past due service charge balances to the Weld County Treasurer on December 3, 2007. Mr. Wesley LaVanchy seconded it. Approved

Mr. Brad Hagen made a motion to approve King Surveyor’s survey using the topography from 2004 and for the amount of $4,900.00. Mr. Wesley LaVanchy seconded it. Approved

Mr. Wesley LaVanchy made a motion to approve the bid from Apex for the Phase one environmental work at the current Tri Area Sanitation plant site. Mr. Gary Cope seconded it. Approved

Mr. John Anderson informed the Board that the UV system repairs will be approximately $20,000.00. The Board is in full support of John’s repairs and upkeep.

Staff would like to reach an agreement with Last Chance Ditch Company to cross the ditch at two separate locations, north of WCR 26 on the Nelson property and WCR 11 on the Brook property. St. Vrain Sanitation District needs these crossings to install the WCR 26 East line and Tri Area Sanitation Line. Staff will work out an agreement and bring back to the Board for approval.

Updates or Discussion – 9:57 A.M.

The Dissolution of Dacono Sanitation District will go to the voters on February 5, 2008 with consolidation to take place on May 1, 2008. Dacono Sanitation District and St. Vrain Sanitation District will be doing a mail in ballot for the election. Mr. Brad Hagen made a motion to authorize Eric Doering to sign the agreement with RS Wells to conduct the mail ballot Election February 5, 2008. Mr. Wesley LaVanchy seconded it. Approved

Tri Area Sanitation District consolidation vote for dissolution passed with 404 yes votes and 164 no votes. The vote for Inclusion into St. Vrain Sanitation District passed with 399 yes votes and 161 no votes. The Savanna Subdivision in Frederick was never included into Tri Areas District and did not get to vote. The agreement was signed 17 years ago, but never recorded. They have been paying sewer service to Tri Area Sanitation District though. They will be included by the end of 2007. St. Vrain Sanitation District will need to get Savanna also included into St. Vrain Sanitation District, therefore we will need to have an election for them February 5, 2008 at the Town of Frederick. Mr. Brad Hagen made a motion to make a notice of public hearing for St. Vrain Sanitation District Board to be held December 12, 2007 at the St. Vrain Sanitation District’s Administration Building regarding a resolution calling for an election on the issue of inclusion on the Savannah Annexation. Mr. Wesley LaVanchy seconded it. Approved

Executive Session – 10:25 A.M.

Mr. Brad Hagen made a motion that they go into Executive Session pursuant to citation: “Section 24-6-402(4)(f) for purposes of discussing personnel matters.”

Adjourned – 11:17 A.M.

Budget Discussion – 11:18 A.M.

In regards to the Enterprise Fund, Mr. Brad Hagen made a suggestion to have the supplies for the office lowered from $12,000.00 to $8,500.00. Mr. Eric Doering explained that due to the addition of all Tri Area and Dacono’s Customers the mailings, postage and files will all increase from 4500 Customers to over 8000. This is the cost of doing business. Mr. Wes LaVanchy stated that he was ok with giving the go ahead on the smaller budget items because of the unknown for 2008. Mr. Eric Doering assured the Board that if he finds that St. Vrain Sanitation District does not need that high of a dollar amount in a certain line item he will cut that amount for the following year’s budget.

The Line Maintenance & Repairs went from an estimated $75,000.00 for 2007 to an estimated $475,000.00 for the 2008 budget. Mr. Brad Hagen believes that amount should be around $150.000.00 for 2008 and that St. Vrain Sanitation District budget the remainder out over the next few years. Mr. Brad Hagen and Mr. Wesley LaVanchy would like specifics as to which lines are planned for the proposed $400,000.00 and what is going to be done. Mr. Brad Hagen would like line cleaning changed form $82,500 to $56,000.00. He also believes that the TV camera inspections are too high and would like those scheduled out over several years. Mr. Rob Fleck responded by stating that we are currently on a 5 year schedule for cleaning of the lines and we are coming up on the fifth year. $75,000.00 represents our existing system for 2008. $400,000.00 is for issues in the Tri Area Sanitation District and Dacono Sanitation systems. There are major areas that are going to need to be addressed. Mr. Brad Hagen and Mr. Reggie Golden requested that half of the maintenance & repairs be put into contingency.

Mr. Reggie Golden would like St. Vrain Sanitation District’s Pretreatment program paying for its self in the next two years.

Mr. Brad Hagen instructed staff to get Board approval first on all Capital Improvements.

In regards to the IT expenditures Mr. Gary Cope would like to see our organization on a five year IT maintenance program. Mr. Eric Bradac from Timberlan informed the Board that what is proposed is the first step to a multi year plan. Mr. Wesley LaVanchy and Mr. Gary Cope suggested that Staff leave the billing software and everything that goes with it in the 2008 Budget and put the remainder into contingency.

Staff will revise the Budget and bring back in December for approval.

Mr. Gary Cope made a suggestion to have cameras installed outside of the Administration Building.

Meeting adjourned at 12:10 A.M.

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Recording Secretary Board Secretary

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