Upper Thompson Sanitation District
Regular Meeting of the Board of Directors
District Administrative Conference Room
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, March 19, 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 March 19, 2024.
Agenda
- Call to Order.
- Pledge of Allegiance.
- Roll Call, Absences Excused.
- Next Meeting Date: Regular Board Meeting, Tuesday, April 16, 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 non-agenda 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.
All public commentary must be made at the podium or offered virtually via Teams Chat. - Minutes: Correction and Approval: Regular Board Meeting, February 20, 2024.
- 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. 22, Dated March 6, 2024 – presented by Ms. Moore.
- 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.
- Executive Session: §24-6-402(4)(e), C.R.S., Determining positions relative to matters that may be subject to negotiation, developing strategy for negotiations, and instructing negotiators related to the Water Reclamation Facility and Lift Station Improvements Project program delivery method.
- Board Discussion and Consideration for Approval: Reconsideration of the program delivery method for the Water Reclamation Facility and Lift Station Improvements Project.
Upper Thompson Sanitation District (District) prohibits discrimination against its customers, employees, and applicants for employment on the basis of race (including traits historically associated with race, such as hair texture and length, protective hairstyles), color, ethnic or national origin, ancestry, age, disability, sex, gender, sexual orientation, gender identity and expression, religion, creed, political beliefs, marital status, familial or parental status in employment or in any program or activity conducted by the District. The District will make reasonable accommodations 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: March 19, 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 4:01 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:
Christopher Eshelman, Chairman
Susan Doylen, Vice-Chairman/Secretary
Stanley Gengler, Treasurer Uoined meeting at 4:56 p.m. via web conference call)
Jack Reed, Assistant Treasurer/Secretary
Kent Bosch, Assistant Treasurer/Secretary Uoined via web conference call)
Staff:
Chris Bieker, District Manager
Suzanne Jurgens, Assistant District Manager
Gina Moore, Financial Officer
Matt Allen, Operations Manager
Nathanael Romig, Collection Superintendent
Henry Newhouse, Plant Superintendent
Sheryl Panzer, Customer Accounts Manager
Steve Ravel, P.E., Water/Wastewater Project Manager, Merrick & Company
John Kuosman, Water/Wastewater Division Leader, Merrick & Company
Next Meeting Date
A regular meeting of the Board of Directors will be held on April 16, 2024, at 4:00 p.m.
Approval of Agenda
The Board considered the Agenda.
It was moved by Ms. Doylen and seconded by Mr. Reed 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. Eshelman opened the meeting for public comment.
Mr. Eshelman 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. Eshelman 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.
No members of the public joined the meeting.
Approve Minutes from Prior Meetings
The Board reviewed and discussed the Minutes of the February 20, 2024, Regular Board Meeting.
It was moved by Ms. Doylen and seconded by Mr. Reed to approve the Minutes of the February 20, 2024, 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 February 20, 2024, Regular Board Meeting:
- Overall Project:
- Meetings were conducted with the District and Garney Construction.
- 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.
- Additional information was prepared and submitted to the EPA for the WIFIA loan application. The WIFIA loan terms were received and are under review.
- The CWRPDA SRF authorized the negotiation of the loan terms at their March 8, 2024, board meeting for an $18 million loan.
- The environmental assessment (EA) report was updated based on EPA WIFIA and US Bureau of Reclamation (USSR) comments.
- The design team is continuing to work towards a 90% submittal with a target submittal date of April 15, 2024.
- Fish Creek Lift Station (FCLS), Wapiti Lift Station (WLS), WLS Interceptor, and WLS Force Main:
- The process design report (PDR) and 90% drawings will be submitted to the CDPHE for design review.
- The FCLS, WLS, and WLS Force Main 90% drawings will be submitted to the USSR for approval.
- Water Reclamation Facility (WRF):
- The PDR and updated 60% drawings were 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.
Mr. Ravel highlighted that the District reviewed the WIFIA loan terms and conditions and provided comments. WIFIA accepted the comments and is working to finalize the loan.
Mr. Ravel reported that he, Mr. Bieker, Ms. Jurgens, and Mr. Allen attended the Colorado Water Resources and Power Development Authority (CWRPDA) SRF Board Meeting, held on Friday, March 8, 2024. At this meeting, the CWRPDA authorized an $18 million loan to the District for the Project and asked Mr. Bieker questions about the Project. Mr. Bieker and Ms. Jurgens offered summary comments about the importance of the Project to the District and Estes Park Community and expressed gratitude to CWRPDA staff and Board for their support and loan to finance construction of the Project. Mr. Ravel relayed that the CWRPDA SRF Board and staff were appreciative of the District's effort to attend the meeting. Mr. Ravel noted that proceeding this board meeting, the SRF loan terms and conditions were received via email and are under review by the District.
Mr. Ravel then answered questions from the UTSD Board regarding loan interest rates, terms, and conditions. Mr. Ravel stated that interest rates are not finalized; however, for planning purposes he anticipates the CWRPDA SRF loan to be approximately 4% and the WIFIA loan to be lower than 4%.
Mr. Ravel explained that Merrick & Company is working with the Town of Estes Park and Estes Valley Fire Protection District (EVFPD) to finalize the design of the Project's water supply, including the placement of the water main and fire hydrants, and the necessity of a sprinkler system in the new water reclamation facility and lift station buildings. Mr. Ravel reported he received a preliminary email from Mr. John Landkamer with the EVFPD stating the proposed locations of the fire hydrants are appropriate and that fire suppression sprinkler systems are not required in the buildings. Mr. Ravel emphasized this is a preliminary concurrence and not a final determination. Mr. Ravel reported he and the District will continue to meet with the Town of Estes Park and EVFPD to discuss additional Project details such as utility easements and fire protection.
Mr. Bieker, Mr. Ravel, and the Board then discussed the needed easement for the force main from the owners of Estes Park Ride-A-Kart. Mr. Bieker stated he and Mr. Allen have an upcoming meeting with the owners of Estes Park Ride-A-Kart to discuss the easement.
The Board thanked Mr. Ravel for the Project update.
Request for Approval: WRF and Lift Station Improvements Project, Merrick & Company, Application for Payment No. 22, Dated March 6, 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 10088299 in the amount of $203,892.82. Ms. Moore explained Invoice Number 10088299 is for work performed on the Water Reclamation Facility and Lift Station Improvements Project from January 1, 2024, through January 26, 2024. 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 Ms. Doylen and seconded by Mr. Reed to approve payment to Merrick & Company for Invoice Number 10088299 in the amount of $203,892.82. Motion carried unanimously.
Reports of Officers, Committees, Professional Consultants, & Staff
The Board considered the Reports of Officers, Committees, Professional Consultants, and District Staff.
The Board commended the Collection Department for their discovery of a private 4-inch service lateral that was defective and allowing infiltration.
Ms. Jurgens and Mr. Allen then answered questions from the Board regarding the planned upgrade to the audio-visual (AV) equipment in the District's administration conference room. Ms. Jurgens reported that she and Mr. Allen visited Linx Multimedia's (Linx) showroom in the Denver area to further investigate AV options. Ms. Jurgens stated she received a revised proposal from Linx, and it is under consideration by District staff. The Board discussed and agreed that the current AV system is not working well and expressed their support for District staff upgrading to a new system that will facilitate an improved communication platform for all virtual attendees.
Mr. Newhouse answered questions of the Board about a discovered leak in the volute of a Thompson River Lift Station pump. Mr. Newhouse informed the Board that Water Technology Group recently pressure tested the pump and determined that fabrication of a new volute for the pump is the best option for the District. Mr. Newhouse reported this fabrication process is estimated to take three to four weeks. He also explained another option for the District is to purchase a new dry submersible pump and this would take two to three months. Mr. Newhouse stated he anticipates receiving quotes from Water Technology Group for both the repair work and new pump purchase options and will update the Board on the District's resolution to this matter.
The Board did not have corrections to the departmental reports.
The Board thanked District staff for preparing the reports.
It was moved by Ms. Doylen and seconded by Mr. Eshelman 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.
Executive Session
At 4:43 p.m., it was moved by Ms. Doylen and seconded by Mr. Reed to go into Executive Session pursuant to §24-6-402(4)(e), C.R.S. "Determining positions relative to matters that may be subject to negotiation, developing strategy for negotiations, and instructing negotiators" related to the Water Reclamation Facility and Lift Station Improvements Project program delivery method. Motion carried unanimously.
The Executive Session was attended by Directors Reed, Doylen, Bosch, Eshelman and Gengler; Mr. Bieker, Ms. Jurgens, Mr. Allen, and Ms. Moore; Mr. Ravel and Mr. Kuosman.
The Board did not engage in substantial discussion of any matter not enumerated in §24-6-402(4)(e) C.R.S., nor did it adopt any proposed legislative policy, position, resolution, rule, regulation, or formal action.
The Executive Session was adjourned at 6:50 p.m.
At 6:50 p.m., the Board took a 7-minute recess.
Return to Regular Session
At 6:57 p.m., the Board returned to regular session.
Board Discussion and Consideration for Approval: Reconsideration of the program delivery method for the Water Reclamation Facility and Lift Station Improvements Project
The Board discussed two program delivery methods available to the District to proceed with the construction of the Water Reclamation Facility and Lift Station Improvements Project: Construction Manager at Risk (CMAR) or Design Bid Build. Ms. Doylen highlighted that the 60% Project Cost Estimate provided by preconstruction CMAR Contractor, Garney Construction Inc., exceeds the District's budget for total Project cost and does not meet the District's future recommended rate service structure per the 2023 Wastewater Rate Study. Ms. Doylen emphasized that Garney Construction, Inc. is a quality contractor; however, to maintain fiscal responsibility and accountability to District customers, the Design Bid Build approach should be considered to lower Project construction costs and adhere to the Project budget. Mr. Eshelman added that the Design Bid Build approach may result in competitive construction pricing to the benefit of the District's customers and Estes Valley community. Mr. Gengler commented that the District owes it to our citizens to obtain competitive bids and be economically efficient. Mr. Bosch noted that it is the District's fiduciary responsibility to proceed with a new approach. Mr. Eshelman stated that the value engineering efforts during the preconstruction process were valuable and efficient and will result in a better overall project.
As recommended by Merrick & Company, the Board then considered termination of the existing Preconstruction Services CMAR Agreement with Garney Construction, Inc. in order to proceed with the Design Bid Build program delivery method. The Board and Mr. Kuosman discussed additional engineering fees for the transition to the Design Bid Build approach. Mr. Kuosman stated engineering fees would range between $125,000 to $250,000 and committed to engineering costs not exceeding $250,000.
The Board continued their discussion and determined to shift to the Design Bid Build delivery method contingent on the approval of the funding sources (WIFIA and CWRPDA/SRF) and legal counsel (CEGR Law).
It was moved by Ms. Doylen and seconded by Mr. Bosch, to terminate the existing Preconstruction Services CMAR contract with Garney Construction, Inc. and to provide a termination notice to Garney Construction, Inc. contingent on funding sources (WIFIA and CWRPDA SRF) and legal counsel (CEGR Law) approval of the change to the Design Bid Build delivery method for the Water Reclamation Facility and Lift Stations Improvement Project. Motion carried unanimously.
Adjournment
Having no further business, at 7:05 p.m. it was moved by Ms. Doylen and seconded by Mr. Reed to adjourn the meeting. Motion carried unanimously.
Susan L. Doylen, Vice-Chairman/Secretary
Christopher L. Eshelman, Chairman
April 16, 2024