October 14, 2025 Special Meeting

Upper Thompson Sanitation District
Special 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 a special meeting, which is open to the public, at 4:00 p.m. on Tuesday, October 14, 2025, 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 Zoom 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 Gina Moore, Financial Officer, at gina@utsdco.gov by 2:00 p.m. on October 14, 2025.

Agenda

1. Call to Order.
2. Roll Call, Absences Excused.
3. Pledge of Allegiance.
4. Next Meeting Date: Regular Board Meeting, Tuesday, October 21, 2025.
5. Agenda: Correction and Approval.
6. Disclosure of Potential Conflicts of Interest.
7. 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.
8. Proposed 2026 Budget – presented by Ms. Jurgens and Ms. Moore.
9. Adjournment.

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, Ms. Suzanne Jurgens, three days before the event via email at suzanne@utsdco.gov, or telephone at 970-586-4544, or dial 711 to connect with Relay Colorado.

Record of Proceedings

Minutes Of a Special Meeting of the Board of Directors Of 
Upper Thompson Sanitation District 
Held: October 14, 2025, at 4:00 p.m., at the 
District Office, 2196 Mall Road, Estes Park, Colorado 

Call to Order 

A special 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: 
Christopher Eshelman, Chairman 
Susan Doylen, Vice-Chairman/Secretary 
Michael Morton, Treasurer 
Kent Bosch, Assistant Treasurer/Secretary 
Andrew Kessler, Assistant Secretary/Treasurer 

Staff: 
Suzanne Jurgens, District Manager 
Gina Moore, Financial Officer 
Matt Allen, Operations Manager 
Nathanael Romig, Collection Superintendent 
Henry Newhouse, Plant Superintendent 
Cristie Rambeau, Customer Accounts Specialist (arrived at the meeting in person at 4:11 p.m.) 
Naomi McCracken, Secretary (at 4:00 p.m., joined via web conference call, at 5:05 p.m., arrived at the meeting in person)

Next Meeting Date 

A regular meeting of the Board of Directors will be held on October 21, 2025, at 4:00 p.m. 

Approval of Agenda 

The Board considered the Agenda. 

It was moved by Ms. Doylen and seconded by Mr. Morton 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. 

In attendance via web conference call, was Ms. Trudy Ester, of 1070 Griffith Court, Estes Park. Ms. Ester did not offer comment on a non-agenda item. 

In attendance via web conference call, was Ms. Monica Sigler, of 1621 High Drive, Estes Park. Ms. Sigler did not offer comment on a non-agenda item. 

In attendance via web conference call, was Ms. Patti Brown, of 270 Cyteworth Road, Estes Park. Ms. Brown indicated she was observing the meeting on behalf of the Estes Valley Voice. Ms. Brown did not offer comment on a non-agenda item. 

In attendance was Ms. Mary Lou Harger, of 191 0 Bald pate Court, Estes Park. Ms. Harger did not offer comment on a non-agenda item. Ms. Harger arrived at the meeting at 4:11 p.m. 

Business and Special Orders: 

Proposed 2026 Budget - presented by Ms. Jurgens and Ms. Moore: 

Ms. Jurgens and Ms. Moore presented the 2026 Proposed Budget to the Board. 

Ms. Jurgens stated she was pleased to submit the Proposed 2026 Budget document to the Board of Directors for their review and feedback. 

Ms. Jurgens explained that in accordance with statutory law, §1-13.5-111, C.R.S., the District is required to submit the proposed budget for 2026 to the Board of Directors by October 15, 2025. The board packet, containing the 2026 Proposed Budget, was distributed to the Board and staff on October 8, 2025. 

Ms. Jurgens stated that during this meeting, the District will present the proposed budget for 2026 and review key developments through September 30, 2025. She noted that throughout this presentation, the staff are available to provide further clarification about specific line items in the proposed budget. 

Ms. Jurgens said the 2026 budget document opens with a message reviewing District activities up through September 30, 2025, and summarizes the basis for the 2026 budget. The budget message delineates the District's operational philosophy and articulates the priorities for the year 2026 and subsequent years. 

Ms. Jurgens added the budget message also describes the process and objectives of budget creation, as well as an overview of the legal requirements of the document. Additionally, the budget message outlines operational and capital activities in relation to the revenue and expense budget. 

Ms. Jurgens stated the District's success in 2025 is attributed to the dedication of skilled staff and collaboration with various professional service providers and supporting organizations. 

The District's key highlights for 2025 are as follows: 

• Maintained compliance with wastewater effluent discharge permits through proficient operation of the treatment facility.
• Successfully operated and maintained the District's aging infrastructure keeping fiscal responsibility in mind.
• Advanced design modifications and oversight of the Water Reclamation Facility (WRF) and Lift Station Improvements Project, led by District engineer, Steve Ravel from AE2S.
• Development in the Estes Valley, specifically within the District's boundary, has exceeded 2025 budgeted growth projections.
• Acknowledged the contributions of District employees through the provision of competitive compensation, comprehensive benefits packages, and avenues for professional growth.
• Managed loan obligations, including requisitions and payment of loan fees, as well as communication of WRF Project updates for both the Colorado Water Resources and Power Development Authority (CWRPDA) loan and the EPA's Water Infrastructure Finance and Innovation Act (WIFIA) loan.
• Worked toward finalizing implementation of the new customer account management software to improve customer service operations.
• Continued renegotiation of the agreement with the Rocky Mountain National Park Service with plans to finalize that document in 2025.

Ms. Jurgens noted additional highlights of 2025 include: 

• The District accepted the resignation of Mr. Gengler and appointed Mr. Kessler to the Board of Directors.
• The District's 2025 Director election was cancelled because there were no more candidates than offices to be filled.
• Collaborating with the District's IT partner, lstonish, to strengthen IT infrastructure through the implementation of advanced technologies and enhanced cybersecurity measures.
• Long time employee, Sandra Mourning, was promoted to Water Quality Laboratory Manager.
• The District added two new staff members: Wastewater Treatment Operator and Customer Accounts Specialist.

Ms. Jurgens stated that in 2026 the District plans to maintain the existing wastewater infrastructure and address environmental and financial challenges. The 2026 budget, shaped by prevailing economic trends and inflationary pressures, prioritizes transparent financial management, optimized operational efficiency, and adherence to established water quality standards. 

Ms. Jurgens explained that the 2026 Proposed Budget includes major capital projects which include finalizing design modifications and beginning construction of the Water Reclamation Facility and Lift Station Improvements utilizing significant funding from CWRPDA and WIFIA. She further explained that other capital projects also include trenchless rehabilitation of existing sewer mains. Additionally, the District plans to connect to Estes Park's water distribution network when that infrastructure becomes available in 2026. Planned capital improvements for the years 2026 through 2035 total 106.9 million dollars (in 2025 dollars). She stated that 2026 Capital expenses include $187,500 for the administration department, $780,500 in collection system costs, and $792,000 to maintain the existing wastewater treatment facility. The remaining capital expenditures through 2035 encompass the completion of the new Water Reclamation Facility Project and ongoing capital projects detailed by department over the subsequent nine years. 

Ms. Jurgens noted the 2026 budget allocates funds for capital equipment purchases and covers ongoing operation, maintenance, and administrative costs. The budget document includes operating and capital revenue projections and ending fund balances. 

Ms. Jurgens stated the budget also allocates resources for staff compensation and professional development, which reflect the District's commitment to its employees. 

Ms. Jurgens reported the budget message includes the following schedule of important dates in the 2026 budget review process: 

• October 14, 2025-Presentation of proposed budget to the Board.
• October 15 to November 13, 2025 - Board and staff review the proposed budget and develop questions and comments for the budget team. Modifications to the proposed budget are considered and implemented.
• November 18, 2025-Budget Hearing during regular Board meeting.
• December 16, 2025-Approval and adoption of the 2026 budget at the regular Board meeting.

Ms. Jurgens said that preparing a budget involves careful planning, particularly in the context of environmental sustainability and fiscal responsibility. 

Ms. Jurgens commended the staff for their commitment to maintaining a careful balance between delivering exceptional service, adhering to water quality regulations, and managing treatment costs effectively. 

Ms. Jurgens stated that staff is the District's most valued asset. The employee compensation package reflects the District's steadfast commitment to supporting the staff and enhancing their well-being, professional development, and job satisfaction. 

Ms. Jurgens reminded the Board and staff to review the document and submit questions or comments about the budget document to her no later than Thursday, November 13, 2025. 

Ms. Moore thanked the Board for appointing her as the Budget Officer. Ms. Moore acknowledged and thanked Ms. Jurgens for preparing the budget message and for her review of the spreadsheets comprising the 2026 Proposed Budget. Ms. Moore also thanked District staff for compiling figures and quotes for the budget. Ms. Moore stated the budget development is a team effort and she expressed her appreciation to work alongside such an outstanding group. 

Ms. Moore then reported that The Notice of Special Meeting and Agenda for this meeting were posted, as statutorily required, on both the Upper Thompson Sanitation District (UTSD) website and at the UTSD administration office. The Public Notice of the Budget Hearing, scheduled for November 18, 2025, will also be posted on the UTSD website and at the UTSD administration office. In addition, the notice of the budget hearing will be published in both the Estes Park News and Trail Gazette on October 17, 2025. 

Ms. Moore noted that this proposed budget was emailed to Ms. Linda Glesne of CEGR Law, is in compliance with Colorado Revised Statutes and presents the following legal requirements: Estimated beginning and ending fund balances, audited previous year's figures, year-end estimated figures for the current year and figures for the year in which the budget will be adopted. 

Ms. Moore stated the estimated figures for 2025 revenue and expenses were based on actual revenue and expenses through September 30, 2025, and anticipated expenditures forecasted through the end of 2025. Ms. Moore noted that at the budget hearing in November 2025, the proposed budget will be updated to reflect estimated revenues and expenses through October 31, 2025. 

Ms. Moore then presented the proposed revenue budget for 2026 to the Board. Ms. Moore stated interest income projected in 2026 is based on estimated 2025 revenue as well as the projected decline in 2026 for interest rates between 2.5% and 3.5%. Ms. Moore reported the current interest rate for investments is approximately 4.3%. Ms. Moore explained that the 2026 Proposed Budget revenue includes a 10.5% increase to rates and fees for metered, non-metered, data collection fees, and biosolids and waste hauling charges, as adopted by the Board via Resolution No. 2025-09-01 at the September 23, 2025, Regular Board Meeting. 

Ms. Moore then explained that 2026 system development revenue conservatively forecasts the sale of twelve new system development fees (SDF) at the rate of $18,700 per SDF, as adopted by the Board via Resolution No. 2025-09-01. A total of fifteen permit fees is projected to be sold in 2026 at the rate of $400 each. She added that through September 30, 2025, twenty-two system development fees were sold. 

Ms. Moore noted the 2026 revenue budget includes the remaining amount of $11,642,827 available to requisition from the CWRPDA Water Pollution Control Revolving Fund and $14,326, 173 in loan proceeds from WIFIA. These bond and loan proceeds will fund construction of the Water Reclamation Facility and Lift Station Improvements Project (Project). Additionally, to fund the construction of the Project as well as capital improvements, $5,760,000 is budgeted to be drawn from the District's cash reserves. Total projected revenue, including the bond and loan proceeds, District cash contribution, and operating and capital income is $39,948,960 for budget year 2026. Ms. Moore reported that she is projecting 2025 operating and capital revenue to be higher than budgeted at year end 2025 due to more SDF's sold than budgeted and higher interest income received than budgeted. 

Ms. Moore then highlighted that many of the 2026 budgeted figures for overhead and operation expenses were based on 2025 estimated expenses and/or 2025 budgeted expenses. The 2026 Proposed Budget includes a $10,000 overhead contingency, a $50,000 operation and maintenance contingency, and a $250,000 capital contingency allowing the Board and District Manager to appropriate funds to unforeseen, yet essential, expenditures. 

Ms. Moore then provided a summary review of information in the 2026 Proposed Budget overhead expenditure budget for specific accounts. She noted that a few accounts were increased from 2025 to 2026 to align with the District's goal to change from quarterly customer billings to monthly billings in early 2026. These accounts include postage and delivery and printing and copying. Budgeted costs for computer maintenance, software and equipment, and professional services were based on vendor quotes received. 

Ms. Moore stated there are expected increases in several expenditure accounts for 2026 including the discharge permit, utilities, property and liability insurance, and worker's compensation insurance. Ms. Moore indicated that the proposed budget figures for property and liability and worker's compensation insurance are high to allow for premium increases, payroll changes, audit premium payments, deductibles, and additions of new equipment in 2026. An additional amount of $40,000 was budgeted for a builder's risk insurance policy for the new water reclamation facility project, this amount is a verbal quote from the District's insurance provider. A 10% liability discount is anticipated due to 100% employee participation in Vector Solutions Training. The Vector Solutions courses offered are designed to address various workplace safety, compliance, and professional development needs. The District also participates in additional beneficial programs offered by the Colorado Special District Property and Liability Pool such as the safety grant reimbursement, increased cybersecurity limit, and sanitation maintenance warranty program, which provide savings to the District. 

Ms. Moore reported to the Board that the District and employees will experience an increase of 17% in medical insurance premiums, a 5% increase in dental premiums and no change in vision insurance premiums in 2026. The health insurance figures projected in the 2026 budget are based on 2025 employee selections or anticipated changes to selections. 

Ms. Moore stated that auditing expense will increase due to the additional requirement of uniform guidance testing. Uniform guidance testing is a single audit requirement depending on the amount of federal funds spent. 

Ms. Moore reviewed the 2026 operation expenditure budget stating that lab chemicals reflect an approximate 7% increase. The plant operation budget includes pump rebuilds, aeration basin valve actuator replacement, equalization basin drive reducer replacement and generator maintenance. The collection operation budget includes amounts for pipe patch packer tools and discharge hoses, a $30,000 allowance for large diameter trenchless point repairs, plus a $9,500 allowance for the closed caption television crawler main cable replacement. 

Ms. Jurgens then noted the 2026 budget incorporates several planned capital improvement projects outlined in the Capital Improvement Plan (CIP). The Capital Improvement Plan allocates funds needed for high priority structural repairs and rehabilitation of critical equipment and infrastructure and includes ongoing expenses for design modification and construction of the new water reclamation facility, and other capital purchases in support of the District's business activities. She reported that 2026 proposed Capital Improvements expenditures total approximately 31.7 million dollars. This figure includes estimated 2026 Project costs just under 30 million dollars. 

A summary of proposed expenditures include: 

District Wide: 

• Purchase of water taps from the Town of Estes Park and the cost of engineering and construction to install a water line to connect the administration, collection, and treatment plant buildings to the Town of Estes Park's new water line along Mall Road.
• Implementation of an employee wellness program.

Administration: 

• Procurement of a new vehicle to replace the existing administration vehicle which is 1 O years old.
• A new copy machine for the Collection Department.

Collection System: 

• Ongoing collection system rehabilitation such as Cured-in-Place-Pipe Lining (CIPP), pipe bursting (a trenchless method for replacing under-ground pipes without digging a trench), and new pipe installation.
• Rehabilitation and/or replacement of manholes which service Eagle Rock School.
• GPS equipment.
• Hands free radio system.

Treatment Plant: 

• SCADA (Supervisory Control and Data Acquisition) software and hardware.
• Upgrades to existing equipment - i.e. blower programmable logic controller cabinet, generator transfer switch, lift station pump replacement, and mechanical screen replacement.
• Welder.
• Hands free radio system.

Ms. Jurgens summarized the 2026 Proposed Budget indicating that expenditures exceed revenues. She noted that planned capital improvement projects in 2026 are the drivers of the operating/capital net position. Those capital improvement projects are subject to approval by the Board of Directors and the District Manager. She further detailed that the financing of approved capital improvement projects for the year 2026, which are not covered by 2026 revenues, will be supported through the District's net position, appropriated reserves, and loans obtained for the Water Reclamation Facility and Lift Station Improvements Project. 

Ms. Moore reviewed the final section of the 2026 Proposed Budget including the accounts allocating debt service to CWRPDA and capitalized interest to WIFIA, per amortization schedules received from these lenders. Ms. Moore presented total figures for 2026 overhead, operational, and capital expenditures compared to the 2025 budgeted figures, along with the net operating surplus and net income estimated at year-end 2025 and budgeted for year-end 2026. 

The Board, Mr. Allen, Mr. Newhouse, and Mr. Romig discussed the needs, sustainability, and continuity of the items budgeted in the capital improvement plan for both the existing treatment plant and new water reclamation facility: 

Ms. Jurgens, Ms. Moore, Mr. Allen, Mr. Newhouse, and Mr. Romig answered questions of the Board throughout the 2026 Proposed Budget presentation. 

Mr. Morton commented he appreciates the level of involvement, knowledge, and detail encompassed in the 2026 Proposed Budget that assists the District in day-to-day operations and preparation for the future. 

Ms. Doylen added that a budget reveals an organization's priorities and for the District these priorities include the District's future, sustainability of the collection system, valuing the health and safety of District employees, and being responsible to both the ratepayers and the environment. 

Public Comment: Ms. Mary Lou Harger, of 191 O Bald pate Court, Estes Park commented that the 2026 Proposed Budget is easy to understand and presents justification for the 10.5% increase to 2026 service rates and fees. Ms. Harger stated she plans to encourage other Estes Park residents to attend board meetings for the purpose of gaining education and understanding on the District's budget and mission. 

The Board thanked Ms. Harger for her comment and for her attendance at the meeting. 

Ms. Jurgens and Ms. Moore offered to assist Ms. Harger in a CORA request displayed on the District's website if she desires to review the budget in further detail. 

The Board thanked Ms. Jurgens and Ms. Moore for their presentation of the 2026 Proposed Budget. 

At 5:08 p.m., Ms. Ester excused herself from the remainder of the meeting. 

At 5:10 p.m., Ms. Brown and Ms. Sigler excused themselves from the remainder of the meeting. 

Adjournment 

Having no further business, at 5:14 p.m. it was moved by Ms. Doylen and seconded by Mr. Kessler to adjourn the meeting. Motion carried unanimously.