MINUTES OF THE REGULAR MEETING OF THE BOARD OF DIRECTORS

 

OF THE

 

ARABIAN ACRES METROPOLITAN DISTRICT

 

Held:      Friday, November 18, 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:

 

            Dennis S. Yoder

Gene L. Billings

Radford K. Walker

Alan L. Jordan

David J. Biondo

 

Also present were David Stanford of Aqua Test, Inc., Joan Fritsche of Seter and Vanderwall, P.C. the District’s attorney, Ken Rupp the District’s private consultant.  RFP participants present for Board interview were David Barwick and Chris Strole, RFP bidders for operators of water system, Clifton Gunderson of R.S. Wells LLC, Carrie Barstow CPA, Dawn Schilling CPA, Judy Simonson of Simonson & Assoc. Inc., Roger Migchelbrink of ECO Resources, Inc., Thomas Tharnish, and Terry Malcom.

 

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 7:08pm.

 

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

Approval of Minutes tabled until next meeting.

 

 

Manager’s Report

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Financial Matters

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Attorney’s Report

 

 

 

 

 

 

 

 

Other Business

 

Due to the extent of the agenda and that Mr. Stanford needs to leave the meeting early, the Manager’ report was presented to the Board early.

 

Dave Stanford of Aqua Test, Inc. informs the Board of a drop test performed November 9, 2005, whereby proof is claimed of a leak of approximately 7.35 gallons per minute from the 2” main in Daniwood Grove in the vicinity of the valve operating the 2” private service line.  He informs the Board the leak at the valve is at 56% of total maximum capacity of the systems production.  Mr. Stanford recommends excavating the area to determine the cause and fix the leak.

 

Mr. Stanford states that the water loss is 4,000 gallons per day, down from 7,000 in an earlier Email.  Dave Stanford asks the Board whether he should fix the leak at the valve on Daniwood Grove.  Mr. Rupp disputes the 4,000 gallons per day loss and questions whether it is just the one valve stem, other leaks, meter problem, or change in usage of customers?  Mr. Rupp questions the validity of the drop test as too many unknown factors could affect the results of the test.  The Board instructs Dave Stanford to monitor the situation and to notify the Board if the loss increases over time.  

 

Mr. Stanford raised several concerns related to source water and chlorine contact time.  Two customer’s service taps should be moved to adjacent 4” main due to insufficient chlorine contact time.  Algae have currently been observed in the holding tank.  Dave recommends taking any well off line that produces algae. Re-drilling another well is an alternative or a new filtration system could be installed to satisfy CCT.  JPS engineering should revaluate this issue for the primary purpose of CCT.  JDS – Hydro would look at the water intrusion issue as well.  Mr. Stanford advised the Board to budget for sufficient chlorine contact time engineering and related improvements.  Mr. Rupp attempted to address these issues, however due to the untimely manner in which the Manager’s report was submitted to the Board for review, Mr. Rupp plans to address these issues at the next regular Board meeting in December, once he has had time to properly review the Manager’s report and its contents. 

 

It was reported that an additional tap fee was received bringing the total taps to three for the year. The financials show the District has $23,851.19 in Park State Bank checking account and $45,245.81 in the Colorado Trust account.  The monthly financial statements and expenses were reviewed. Check # 1524 was voided to Sierra Water as a duplicate billing error. A motion was made for the Board to approve the financial statements and cash disbursements as presented. The motion is seconded and unanimously carried.

 

A motion is put on the floor by Al Jordan to move $23,500 from Colorado Trust to Zion’s bond Fund to pay the Bond interest payment due December 1st, 2005. Director Radford seconded the motion and it was unanimously carried and approved by the Board.

 

A discussion by the Board members ensues concerning Public Notice of Budget Meeting about proposed rate change of monthly fee increase of $10 for 2006.

 

Joan Fritsche recommends we certify the mill levy before December 10th, 2005.  Director Al Jordan made a motion to approve the Budget for 2006.  Skip Billings seconded the motion and was unanimously carried and approved by the Board.

 

No further progress was reported for the two easements or the Augmentation and Exchange Decree.

 

Director Yoder read to Board members the Email received from John McGinn, the District’s engineer, regarding his recommendations for proceedings and selection process of the new Administration and Management Contractor and the System Operator Contractor.

 

 

 

Joan counseled the Board on the format of questions on the bids for operations, management, administration, and record storage for AAMD.

 

Interviews began with Thomas Tharnish from Monument for operations with a bid of $1,500 per month.  The next interview was conducted with David Barwick and Chris Strole for operations with a bid of $1,500 per month, negotiable.  Next was Clifton Gunderson of R.S. Wells LLC for administration and management with a bid of $850 - $1,250 per month.  Carrie Barstow, CPA was interviewed next for administration and billing with a bid of $650 -$750 per month, additionally she would charge $18,000 per year for full accounting services with quarterly reporting.  Dawn Schilling, CPA is our next interview with a bid of $3,000 per month. Judy Simonson & Associates, Inc. for accounting, billing, and management, put in a preliminary bid of $2,000 per month.  Terry Malcom was interviewed for administration and management of the District.  Mr. Malcom submitted a preliminary bid of $2,000 per month, negotiable.  The last bidder interviewed is Roger Migchelbrink from Eco Resources for operations at about $1,200 per month.

 

Invitations are to be extended to Judy Simonson & Associates, Inc., David Barwick & Chris Strole, Terry Malcolm, and Eco Resources, Inc. for a special meeting declared for final bidding process and selection to be held November 28, 2005, at 7 PM, Woodland Professional Building, 400 West Midland Ave., Suite 250, Woodland Park, Colorado.

 

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 10:37 PM.

 

 

                   _________________________________________

                              Secretary for the Meeting