MINUTES OF THE REGULAR MEETING OF THE BOARD OF DIRECTORS

 

OF THE

 

ARABIAN ACRES METROPOLITAN DISTRICT

 

Held:      Friday, December 16, 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 and held in accordance with the statutes of the State of Colorado.  The following Directors were in attendance:

Gene L. Billings

Radford Walker

David J. Biondo

Dennis Yoder

 

Also present was Dave and Debbie Stanford with AquaTest, Inc.  Also present was Ken Rupp, the District’s private consultant.  Also presented was Dave Barwick, the operator bidding on the Operations contract for the District and Terry Malcom, the bidder for the Administration contract for the District. 

 

Director Jordan was excused due to a conflict in his schedule pursuant to 32-1-905(1) (g), C.R.S.

 

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 7:06pm.

 

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.

 

Public Comment

A letter from the homeowner whose home was destroyed by fire at 747 Kutsu Ridge was presented requesting the Board allow them an additional 3 months before resuming their monthly service fee billing.  Upon motion duly made, seconded and unanimously approved, the Board denied the homeowner’s request and directed that their billing to resume at this time.

 

Approval of Minutes

The minutes of the regular meeting of the Board of Directors held October 21, 2005 were read, and upon motion duly made, seconded and unanimously carried, were approved with corrections.  The minutes of the regular meeting of the Board of Directors held November 18, 2005 were read, and upon motion duly made, seconded and unanimously carried, were approved with corrections.  A copy of the November 28, 2005 minutes of a special meeting were read, and upon motion duly made, seconded and unanimously carried, were approved with corrections, although one copy with the secretary’s signature was not submitted for the files. 

 

Financial Matters

 

Director Biondo reviewed the financial statement and expenses. It was noted that the Park State Bank checking account has a balance of approximately $33,393.15 and the Colorado Trust account carried a balance of $21,879.26.  A motion was made, seconded and duly carried by a majority vote of 2 to 1 to approve the financial statements and cash disbursements as presented.  Director Walker abstained from voting.

 

It was noted that Joan Fritsche of Seter and Vander Wall is still reviewing the budget.

 

Manager’s Report

 

Mr. Stanford presented his report including the information that the District has made 3 taps this year.  His report was accepted as presented.

 

Mr. Rupp presented a reply to the Manager’s Report delivered to the Board and himself in an untimely manner at the November Board of Directors meeting, dated November 15, 2005, where certain issues were raised concerning improper chlorine contact time from Control Building A to the nearest tap and the past and/or future engineering results thereof.  Mr. Rupp passed out various maps, copies of engineering reports, letters to the State and a Disclosure Schedule to the Board members.  Mr. Rupp pointed out that all proper steps had been taken concerning the chlorine contact time from Control Building A to the nearest tap.  There is one tap at 562 Donzi Trail that should be moved from the two inch tank feeder line to the four inch main at some time in the future, as disclosed in the Disclosure Schedule issued upon formation of the District.  Mr. Rupp also pointed out that the two street valves in Silbani Lane must be closed and remain closed to achieve the proper chlorine contact time according to the engineer’s calculations and recommendations.  It was determined to direct the new system operator to monitor the chlorine contact times at any suspect taps.    

 

Attorney’s Report

 

 

Mr. Rupp reported that there has been no further progress for the two easements or the Augmentation and Exchange Decree.

Other Business

The Board also suggested that a search be undertaken to locate a new auditor for this year using a bid process.

 

The Board affirmed that the Board is in agreement with Dave Barwick, in principal, regarding the draft contract for his taking the position of District System Operator.  The base contract fee of $1500.00 was discussed and agreed upon as well.  Directors Billings, Yoder, Ken Rupp and Mr. Barwick will attempt to finalize the contract by December 31, 2005.

 

The Board affirmed that the Board is in agreement with Terry Malcom, in principal, regarding the draft contract for his taking the position of District Administrator.   Directors Billings, Yoder and Mr. Malcom will attempt to finalize the contract by December 31, 2005.

 

A motion was made, seconded and unanimously carried to increase the District’s base monthly service fee by $10.00 beginning January 1, 2006.

 

The Board discussed the coordination of a time, which is mutually agreeable for Terry Malcolm, Dave Barwick and AquaTest, Inc. for the transfer of all District records, equipment, keys, etc. to be transferred to Mr. Malcom’s office.  Director Biondo was appointed to physically conduct the transfer on Friday, December 30, 2005.

 

A motion was made, seconded and duly carried unanimously for Director Billings to be the designated representative for the District.

 

Mr. Rupp presented the Fourth Amended and Restated Advance and Reimbursement Agreement.  He presented a plan for a token payment by the District of $1000.00 for this year.  He stated that the partnership would extend the agreement through the end of 2006 with no interest, whether the District made a payment or not.  The balance of the agreement and promissory note before the payment is $47,854.00. 

 

A motion was made to approve a $1000.00 payment by the District for 2005 and to affix the proper signatures to the appropriate documents to restate the agreement for 2006.  The motion was seconded and unanimously approved.  Mr. Rupp presented the new documents to the Board for signatures, however had not brought the old promissory note to the meeting.  It was decided by the Board and Mr. Rupp to make the transfer of the appropriate documents sometime after the meeting with Director Billings.  AquaTest, Inc. was directed to draft a check in the amount of $1000.00 for disbursement to The Rupp Family Partnership, once all paperwork had been properly transferred.

 

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