MINUTES OF THE REGULAR MEETING OF THE BOARD OF DIRECTORS

OF THE

ARABIAN ACRES METROPOLITAN DISTRICT

Held: Friday August 19, 2005 at 7:00 p.m. at 400 W.

Midland Avenue, Suite 250, Woodland Park, Colorado.

Attendance	The regular meeting of the Board of Directors of the Arabian Acres Metropolitan District was called to order and held in accordance with the statutes of the State of Colorado. The following Directors were in attendance: Gene L. Billings Alan L. Jordan David J. Biondo Dennis Yoder Radford Walker Also present was Debbie Stanford with AquaTest, Inc. and Dave Stanford with AquaTest, Inc
Call to Order	Director Yoder noted that a quorum was present and called the regular meeting of the Board of Directors of the Arabian Acres Metropolitan District to order at 7:10pm..
Disclosure Matters	Director Yoder asked the Board to confirm that no changes have occurred to any of the Directors’ interests that warrant amending the written disclosures on file with the Secretary of State’s Office with regard to any potential conflicts of interest. Pursuant to Colorado law, certain disclosures may be required prior to taking official action at the meeting. The Board reviewed the agenda for the meeting, following which each Board member disclosed their conflicts of interest, stating the fact and summary nature of any matters, as required under Colorado law, to permit official action to be taken at the meeting.
Approval of Minutes	The minutes of the regular meeting of the Board of Directors held July 22, 2005 were read, and upon motion duly made, seconded and unanimously carried, were approved with one correction.. That correction was to be that the board discussed putting the management and operations contract out to bid in the coming year but no motion was made on this
Financial Matters	Director Biondo reported he had reviewed the financial statements. He also reported that the District had received on tap fee however the paperwork that accompanies the tap application had not yet been completed. The Colorado Trust Account has a balance of $44,857.67. The monthly financial statements and expenses were reviewed and it was noted that the Park State Bank checking account has a balance of approximately $21,131.31. A motion was made and duly carried to approve the financial statements. The final audit was received and reviewed and many questions arose. Director Biondo will contact the auditor and make inquiries and, possibly, request his presence at the September meeting. Budget officers were appointed and are as follows: Director Walker, Director Jordan and Director Biondo
Manager’s Report	Dave Stanford reported a change of 20% in water loss since the recent repair. Locating leaks was discussed and a consensus was reached by the board for AquaTest to expose and exercise the valves. A motion was made and duly carried to change the operating procedure in the contract with AquaTest to include on day a week being dedicated to leak locations at a minimum of 6 hours and no more than 8 one day a week.
Attorney’s Report	No report.
Adjournment	There being no further business to come before the Board, and upon motion duly made, seconded and unanimously carried, the meeting was adjourned at 9:15 PM. _________________________________________ Secretary for the Meeting