Pursuant to C.R.S., §32-1-903, notice is hereby given to the members of the Upper Thompson Sanitation District Board of Directors and to the general public that the Board will hold its regular meeting, which is open to the public, at 4:00 p.m. on Tuesday, January 16, 2024, at the Upper Thompson Sanitation District Administrative Office, 2196 Mall Road, Estes Park, CO, 80517. Individuals who wish to address the Board via public participation may do so “in-person,” via telephone, or virtually through online participation, facilitated by the Microsoft Teams platform. Members of the public wishing to join the meeting via online or telephone participation, please email a request for the meeting link or telephone number to Ms. Gina Moore, Secretary to the Board, at gina@utsd.org by 2:00 p.m. on January 16, 2024.
Agenda
- Call to Order.
- Roll Call, Absences Excused.
- Pledge of Allegiance.
- Next Meeting Date: Regular Board Meeting, Tuesday, February 20, 2024.
- Agenda: Correction and Approval.
- Disclosure of Potential Conflicts of Interest.
- Public Forum: An opportunity for presentation by the public to provide information to the Board of Directors on any nonagenda item. Note: The Board cannot take any action on non-agenda items but may direct staff to include the item on a future agenda.
Public Comment on Agenda Items: Public comments will be heard by the Board at the conclusion of the presentation of the agenda item. Persons addressing the Board shall first be recognized by the District Manager or Board Chairman and may speak only one time per agenda item. Speakers shall state their name and address for the official minutes, address comments to the Board as a Body, and shall be allotted three (3) minutes for public comment. - Minutes: Correction and Approval: Regular Board Meeting, December 19, 2023.
- New Business and Special Orders:
- Update: Phase II - Design of the Water Reclamation Facility (WRF) and Lift Station Improvements Project – presented by Mr. Ravel, P.E., Water/Wastewater Project Manager, Merrick & Company.
- Request for Approval: WRF and Lift Station Improvements Project, Merrick & Company, Application for Payment No. 21, Dated January 9, 2024 – presented by Ms. Moore.
- Request for Approval: WRF and Lift Station Improvements Project, Garney Construction, CMAR Invoices 6450-004, Dated May 31, 2023, and 6450-005 R1, Dated December 19, 2023 – presented by Ms. Moore.
- Consideration for Adoption: Resolution No. 2024-01-01 Resolution Designating Location to Post Notice– presented by Ms. Moore.
- Discussion: Board of Director Vacancy.
- Reports of Officers, Committees, and Staff: Questions, Comments, Correction and Approval:
- Treasurer’s Report.
- Plant Report.
- System Development Fee Allocation and Connection Report.
- Collection System Report.
- Operations Manager’s Report.
- Assistant District Manager’s Report.
- District Manager’s Report.
- Adjournment.
Upper Thompson Sanitation District (District) prohibits discrimination against its customers, employees, and applicants for employment on the basis of disability, race, creed, color, religion, sex, sexual orientation, gender identity, gender expression, marital status, familial status, national origin, or ancestry, and in employment or in any program or activity conducted by the District. The District will make reasonable accommodation for qualified individuals with known disabilities. If any person has a disability and requires a reasonable accommodation to fully participate in this event, please contact District Manager, Mr. Chris Bieker, three days before the event via email at chris@utsd.org, or telephone at 970.586.4544, or dial 711 to connect with Relay Colorado.
Record of Proceedings
Minutes of a Regular Meeting of the Board of Directors of
Upper Thompson Sanitation District
Held: January 16, 2024, at 4:00 p.m., at the District Office, 2196 Mall Road, Estes Park, Colorado
Call to Order
A regular meeting of the Board of Directors of the Upper Thompson Sanitation District, Estes Park, Colorado, was called to order at 4:00 p.m. and held as shown above and in accordance with the applicable statutes of the State of Colorado with the following Directors present and acting:
Pledge of Allegiance
The Pledge of Allegiance was recited.
Attendance
Board of Directors:
Jack Reed, Chairman
Susan Doylen, Vice-Chairman/Secretary
Christopher Eshelman, Assistant Secretary/Treasurer
Kent Bosch, Assistant Secretary/Treasurer
Staff:
Chris Bieker, District Manager
Suzanne Jurgens, Assistant District Manager
Gina Moore, Financial Officer
Henry Newhouse, Plant Superintendent (Joined via web conference call)
Matt Allen, Operations Manager
Nathanael Romig, Collection Superintendent
Sheryl Panzer, Customer Accounts Manager
Guests:
Steve Ravel, P.E., Water/Wastewater Project Manager, Merrick & Company (Joined via web conference call)
John Kuosman, Water/Wastewater Division Leader, Merrick & Company (Joined via web conference call)
Next Meeting Date
A regular meeting of the Board of Directors will be held on February 20, 2024, at 4:00 p.m.
Approval of Agenda
The Board considered the Agenda.
It was moved by Ms. Doylen and seconded by Mr. Bosch to approve the Agenda as presented. Motion carried unanimously.
Disclosure of Potential Conflicts of Interest
Disclosure of potential conflicts of interest is a topic of discussion at every Board meeting to address potential conflicts of interest that may arise as new agenda items are introduced. District Directors who have disclosed potential conflicts of interest can vote as issues arise.
Public Forum
Mr. Reed opened the meeting for public comment.
Mr. Reed explained the Public Forum is an opportunity for presentation by the public to provide information to the Board of Directors on any non-agenda item. He further explained the Board cannot take action on non-agenda items but may direct staff to include the item on a future agenda.
Regarding public comment on Agenda Items, Mr. Reed provided the following statement:
Public comments will be heard by the Board at the conclusion of the presentation of the agenda item. Persons addressing the Board shall first be recognized by the District Manager or Board Chairman and may speak only one time per agenda item. Speakers shall stand at the podium, state their name and address for the official minutes, address comments to the Board as a Body, and shall be allotted three (3) minutes for public comment.
In attendance via web conference call, was Mr. Stewart Squires, of 618 Park River Place, Estes Park. At 4:23 p.m., Mr. Stan Gengler of 1120 Fairway Club Lane, Estes Park, joined the meeting in person. Mr. Squires and Mr. Gengler did not offer comment on a non-agenda item.
Approve Minutes from Prior Meeting
The Board reviewed and discussed the Minutes of the December 19, 2023, Regular Board Meeting.
It was moved by Mr. Eshelman and seconded by Ms. Doylen to approve the Minutes of the December 19, 2023, Regular Board Meeting as presented. Motion carried unanimously.
New Business and Special Orders
Update: Phase II - Design of the Water Reclamation Facility and Lift Station Improvements Project- presented by Mr. Ravel, PE, Water/Wastewater Project Manager, Merrick & Company:
Regarding the design of the Water Reclamation Facility and Lift Station Improvements Project (Project), Mr. Ravel noted the following updates which occurred after the December 19, 2023, Regular Board Meeting:
- Overall Project:
- Meetings were conducted with the District and Garney Construction to review the project.
- Meetings were conducted with the District, the Colorado Water Resources and Power Development Authority (CWRPDA), State Revolving Fund (SRF), the Colorado Department of Public Health and Environment (CDPHE), and the US Environmental Protection Agency (USEPA) Water Infrastructure and Innovation Act (WIFIA) to review project financing and funding opportunities.
- The design team will continue to work towards a 90% submittal with a target submittal date of April 2024.
- Additional information was prepared and submitted to the Environmental Protection Agency (EPA) for the WIFIA loan application.
- The CWRPDA SRF application was submitted to the CWRPDA and CDPHE on January 3, 2024.
- An updated project schedule including permitting, financing, and design considerations will be further developed for completion of the project as the team understands the impact of the value engineering (VE) and final design decisions.
- Fish Creek Lift Station (FCLS), Wapiti Lift Station (WLS), WLS Interceptor, and WLS Force Main:
- The process design report (PDR) and updated 60% drawings will be submitted to the CDPHE for design review.
- Water Reclamation Facility (WRF):
- The process design report (PDR) and updated 60% drawings will be submitted to the CDPHE for design review.
- The updated 60% WRF site plans will be submitted to Larimer County for use with finalizing the site plan approval.
In addition to the Project update provided in the board packet, Mr. Ravel highlighted that the District is reviewing the 60% drawings, and a meeting was recently held to discuss lift station design comments provided by the District. Upcoming meetings are scheduled to evaluate District comments pertaining to the liquid and solid processes.
Mr. Ravel reported that he, Mr. Jason Simmons of Hilltop Securities, District bond counsel Ms. Kim Crawford, and District staff are meeting with WIFIA on a bi-weekly basis and are in the process of responding to questions from WIFIA regarding environmental reports and the financial model prepared by Hilltop Securities. On Thursday, January 18, 2024, representatives from the SRF loan program will be attending the scheduled meeting with WIFIA.
Mr. Ravel stated that the application for the SRF loan program was submitted on January 3, 2024, and is under review. Mr. Ravel reminded the Board that the District is applying for the maximum loan amount of $18 million.
Mr. Ravel noted that meetings are held with the Bureau of Reclamation (BOR), CDPHE, and EPA WIFIA team regarding the environmental assessment component of the Project. A meeting is scheduled on January 17, 2024, to coordinate environmental requirements of all involved agencies.
Mr. Ravel informed the Board that Garney Construction is working on a 60% Project cost estimate anticipated to be received by February 7, 2024.
Director Eshelman asked Mr. Ravel the likelihood of the SRF loan being less than the $18 million maximum allowable amount. Mr. Ravel responded he has not received any specifics from CWRPDA on the Districts potential loan amount. Mr. Bieker asked Mr. Ravel for clarification on WIFIA's willingness to loan the District more funds in the event a lesser amount is received from SRF. Mr. Ravel explained that WIFIA's cap is 80% of total Project costs; therefore, the District has the option to include design and preconstruction costs, already paid from District reserves, in the total Project cost to obtain a higher loan amount from WIFIA. If the SRF loan is not awarded, then the District has the option to seek funding from the bond market for the remaining 20% of Project costs. Mr. Kuosman added the bond market is an optimistic consideration due to the recent economic stabilization and downward trending interest rates.
Director Doylen asked Mr. Ravel if WIFIA and/or SRF commit a funding amount to the District if this funding is guaranteed or can it be revoked at a future time. Mr. Ravel stated once an agency offers an amount in a letter, the funding is committed.
Director Eshelman asked Mr. Ravel if the District paying Garney Construction to develop a 60% design cost estimate is essential or if the District could move forward without this cost estimate and incorporate only value engineering. Mr. Ravel explained that Garney Construction is developing a new cost estimate model for the 60% design and this model will be utilized for the 90% cost estimate. Mr. Ravel indicated that Garney Construction is working within their budget.
The Board thanked Mr. Ravel for the Project update.
Request for Approval: WRF and Lift Station Improvements Project, Merrick & Company, Application for Payment No. 21, Dated January 9, 2024 - presented by Ms. Moore:
Ms. Moore asked the Board for approval to remit payment to Merrick & Company for an invoice received by the District: Invoice Number 10077059 in the amount of $246,404.02. Ms. Moore explained Invoice Number 10077059 is for work performed on the Water Reclamation Facility and Lift Station Improvements Project from November 25, 2023, through December 29, 2023. Ms. Moore stated she has prepared a check for payment of this invoice, and it is ready for signature at this meeting.
It was moved by Mr. Eshelman and seconded by Ms. Doylen to approve payment to Merrick & Company for Invoice Number 10077059 in the amount of $246,404.02. Motion carried unanimously.
Request for Approval: WRF and Lift Station Improvements Project, Garney Construction, CMAR Invoices 6450-004, Dated May 31, 2023, and 6450-005 R1, Dated December 19, 2023 - presented by Ms. Moore:
Ms. Moore explained on January 5, 2024, Garney Construction emailed Invoice Number 6450-004 for work performed on the Water Reclamation Facility and Lift Stations Improvements Project (Project) from January 9, 2023, through May 31, 2023, in the amount of $69,281.00, Mr. Nick Campbell of Garney Construction reported to her in an email that although the invoice was prepared earlier in the year, it was errantly not sent to the District.
Invoice Number 6450-005 R1 from Garney Construction, totaling $30,949.00, is for work performed on the Project from June 1, 2023, through December 19, 2023.
Ms. Moore asked the board for approval to remit payment for both invoices received from Garney Construction. Ms. Moore stated she has prepared a check for payment of these invoices, and it is ready for signature at this meeting.
It was moved by Mr. Eshelman and seconded by Mr. Bosch to approve payment to Garney Construction for Invoice Number 6450-004 in the amount of $69,281.00. Motion carried unanimously.
It was moved by Mr. Eshelman and seconded by Mr. Bosch to approve payment to Garney Construction for Invoice Number 6450-005 R1 in the amount of $30,949.00. Motion carried unanimously.
Consideration for Adoption: Resolution No. 2024-01-01 - Resolution Designating Location to Post Notice - presented by Ms. Moore:
Ms. Moore presented Resolution No. 2024-01-01, designating the posting location of the District's Board meeting notices, pursuant to Section 24-6-402(2)(c) and 32-1-903(2) of the Colorado Revised Statutes.
Ms. Moore explained the Resolution is an annual resolution and is required to be presented to the Board at the first regular meeting of each year.
Ms. Moore stated the District's notices of meetings and agenda information are required to be posted at least 24 hours prior to each meeting online at www.colorado.gov/utsd, per Colorado Revised Statute 24-6-401.
Ms. Moore further explained the resolution also details that in the event of interruption in internet service, or another emergency circumstance, such as a power outage, the District will also post notice of public meetings at least 24 hours prior to a meeting at the District Administration Building, 2196 Mall Road, Estes Park, Colorado.
The Board considered the Resolution.
It was moved by Ms. Doylen and seconded by Mr. Eshelman to adopt Resolution No. 2024-01-01 Designating Location to Post Notice in the year 2024. Motion carried unanimously.
Discussion: Board of Director Vacancy
Due to Mr. Ronald I. Duell's resignation, effective December 22, 2023, there is a board vacancy. Mr. Bosch, Mr. Eshelman and Ms. Doylen stated they have been actively seeking and communicating with potential candidates to serve on the Board. As of January 16, 2024, two eligible electors have submitted letters of interest to Mr. Bieker for the Board's consideration.
Director Doylen suggested a committee of two directors be formed to interview qualified candidates to fill the board vacancy. The Board discussed and agreed Director Reed and Director Eshelman would serve on the interview committee. Director Doylen and Director Bosch indicated they would contribute interview questions. The Board concurred to have the interviews completed and offer a recommendation for a candidate before the February 20, 2024, regular board meeting. Director Bosch stated the importance of keeping continuity and dependability on the Board.
At 4:51 p.m., Mr. Kuosman excused himself from the remainder of the meeting.
At 4:52 p.m., Mr. Squires excused himself from the remainder of the meeting.
Reports of Officers, Committees, Professional Consultants, & Staff
In addition to the Treasurer's Report, Ms. Moore presented a spreadsheet detailing year to date budget to actual figures as of December 31, 2023. Ms. Moore emphasized these figures are unaudited and anticipated to change with the posting of the Rocky Mountain National Park (RMNP) revenue when received in 2024 for RMNP's 2023 annual billing and for 2023 expenses 'that have yet to be invoiced.
Ms. Moore summarized that 2023 unaudited total revenue is $6,510,781 which is $681,546 more than the 2023 budget amount of $5,829,235. This is due to $664,560 more in interest income and $116,928 more in service expansion income received than budgeted.
Ms. Moore then highlighted that the District's unaudited net profit for year 2023 is $1,674,136 which is $6,389,573 more than the budgeted 2023 net loss of ($4,715,437). This difference is primarily due to $3,304,195 less in capital expenditures spent in year 2023 than budgeted, total overhead expenditures for year 2023 are $1,859,819 less than the 2023 budget amount of $4,820,247 and total operation expenditures were $544,012 less than the 2023 budget amount of $1,174,025. The actual total 2023 unaudited expenditures are $5,708,027 less than the $10,544,672 budgeted for year 2023, with $4,836,645 spent combining overhead, operations, and capital expenditures. Ms. Moore reported that overall, the District's unaudited cash reserves for year ending December 31, 2023, total $15,081,735. T
he Board considered the Reports of Officers, Committees, Professional Consultants, and District Staff.
The Board asked questions of the staff regarding the departmental reports.
The Board did not have corrections to the departmental reports.
The Board thanked District Staff for preparing the reports and for the additional annual reports provided by the Collection and Plant Superintendents.
It was moved by Ms. Doylen and seconded by Mr. Bosch to accept the Treasurer's Report, Plant Report, System Development Fee Allocation and Connection Report, Collection System Report, Operations Manager's Report, Assistant District Manager's Report, and District Manager's Report. Motion carried unanimously.
Adjournment
Having no further business, at 5:19 p.m. it was moved by Mr. Bosch and seconded by Ms. Doylen to adjourn the meeting. Motion carried unanimously.