Members Present: The following Directors were present and acting:
- Krall, President
- Gary Osteen
- Brock Knez
- Jodi Lightfoot
- Mike Lomas
- Kasey O’Halloran
- Mary Andre, CDC Engineering
Call to Order: The Regular Meeting of the Board of Directors of Timbers Water & Sanitation District was called to order by President Dr. Krall on December 9, 2019 at 5:41 pm, noting a quorum was present.
Minutes: The Board reviewed the regular meeting minutes from November 2019 meeting. Upon motion duly made by Ms. Lightfoot and seconded by Mr. Osteen, it was
RESOLVED to approve the meeting minutes.
Financials: The Board reviewed the financial statements for November 2019. Upon motion duly made by Ms. Lightfoot and seconded by Dr. Krall, it was
RESOLVED to approve the financial statements.
Invoices: Invoices for November 2019 were reviewed. Upon motion duly made by Mr. Osteen and seconded by Mr. Knez, it was
RESOLVED to approve payment of the open invoices.
Transfer of funds from TWSD to TWSWA Enterprise:
District Manager Update:
Ms. O’Halloran notified the Board Members that John Fitzgerald has been working on the second aerator as the power supply doesn’t seem to be functioning properly. He has sent the motor back to the manufacturer for inspection as it is only 20 months old. John will get it repaired right away so that a back up motor will be available in case the remaining aerator goes down. A violation notice was received regarding the BOD removal limits. John has responded to the violation and explained that this will be resolved once the new treatment plant is online.
New Business: Resignation of Dusty Atkinson from the Board of Directors was received on December 1, 2019. Dr. Krall made a motion to appoint Mike Lomas as a Director to the Board of Directors, Ms. Lightfoot seconded the motion. It passed unanimously. Dr. Krall read the Oath of Agreement to Mike Lomas who agreed. Mr. Lomas was officially appointed.
2020 Proposed Budget Public Hearing:
Ms. O’Halloran presented the 2020 Budget presentation to the Board. Ms. Lightfoot made a motion to approve the 2020 budget as presented, Mr. Knez seconded the motion, and the motion passed with four in favor and one against.
Dr. Krall made a motion to set the mill levies for the Water and Sewer SubDistrict as proposed in the Budget presentation, Mr. Osteen seconded the motion, and the motion passed unanimously.
Ms. Andre shared with the Board a comparison of water and sewer fees throughout the valley. With the assumption of a user using 50,000 gallons of water a year, Timbers has the second highest water rate in the valley. Ms. O’Halloran proposed that next year, the Budget Presentation be done in November. The Board agreed.
Old Business: Phase I Status Update – Ms. Andre brought up the question of MH 26 and how to handle it going forward. The options would be for Timbers to purchase the MH on their own, change order this into Aslan’s contract, or open a new contract with Duckels to complete this portion of work.
Pay Request #3 was presented by Ms. Andre to the Board from Duckels. This includes everything Duckels has done except the final retainage and the liquidated damages. Dr. Krall made a motion to approve Pay Request #3 to Duckels, seconded by Ms. Lightfoot, and the motion passed unanimously. Liquidated damages were discussed at the last meeting as a total of $6000 however Duckels questioned the completion date of October 22nd, and stated they believed it should be October 17th. CDC has reviewed their observation reports and concur with Duckels that the contractor had completed all accomplishable work by October 17th, and demobilized from the site. The Board agrees liquidated damages from October 17th to the date of Substantial Completion (November 8th, 2019) are not applicable since work completed during this time was delayed due to the need to locate the final manhole (MH 26). The Board discussed assessing liquidated damages as follows:
September 20th to October 17th = 27 days
Less 2 weather days = 25 days
25 days @ $200/day = $5000
The Board agreed that this was sufficient. Mr. Lomas made a motion to approve liquidated damages in the amount of $5000, Mr. Osteen seconded the motion and it passed unanimously.
Phase II Status Update- Equipment Procurement contracts were given to the Board for approval. Ms. Lightfoot has been in discussion with the tank manufacturer on delivery date and costs for delay. Ms. Lightfoot will continue to work with the contact at the company to get final dates and amounts. Trees at the plant have been topped and will be removed. The access road drainage has not been completed and Mr. Lomas stated it will be very wet in the spring. Mr. Lomas would like to get it taken care of before May. The generator is not delayed and will be stored on site for no charge, however the manufacturer would like paid before delivery. Ms. Lightfoot suggested partial payment and final payment on delivery. Dr. Krall would like to pay some now to assure that the generator would be Timbers in the spring. Mr. Lomas is concerned where liability lies if the Board pays for it before delivery. Dr. Krall suggested to Ms. Andre that she proposes to the manufacturer that Timbers will pay 60% prior to delivery and that liability lies with the manufacturer until delivery.
Reclamation – Sludge calculations are in line with what CDC had originally planned. The cost of remove the sludge will be approximately $150,000 more then budgeted. However, the contingency budget will be able to absorb this cost. This portion of the project won’t be completed until Summer of 2021 due to the delay in getting the new WWTP online and operational. A local company, Veras, would be able to be the General Contractor on this project and do the earthwork and sludge work. It would be incredibly costly to reclaim the lagoons in 2020.
Contingency Budget – CDC’s research has shown that the project still appears to be within budget by at least $100,000. The remaining might be able to be claimed for reimbursement from the DOLA grant.
Permit Modification – CDPHE has been working with CDC on the Discharge Permit that was issued incorrectly to Timbers. The application was incidentally submitted as a general permit instead of an individual permit. CDPHE will incorporate the changes requested in the alternative analysis. The review process is being conducted. The current groundwater discharge permit was accidentally deleted by CDPHE and is in the process of being reinstated. Arsenic standards are under review and CDPHE doesn’t believe it will be an issue going forward. CDPHE and CDC will continue to monitor the changes in this arena of standards.
Zirkel Wireless Contract – Ms. Lightfoot has been speaking with some residents about the potential of a tower placement. She will be in contact with Alan Belvo in the coming weeks.
With business concluded and upon motion duly and unanimously approved, it was RESOLVED to adjourn the regular meeting the Timbers Water & Sanitation District Board of Directors at 8:08 pm, this 9th day of December 2019.
Respectfully submitted, Kasey O’Halloran
District Manager, Timbers Water and Sanitation District