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Articles from Vol 24 No. 1 - January 6, 2024

Donald Wescott Fire Protection District, Nov. 27 – Merger completion expected by November; 2024 budget approved without mill levy certification

By Natalie Barszcz

Correction

In the November edition, the cost for the Station 4 air duct cleaning completed by Steamatic was $3,243. OCN regrets the error.

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At the Donald Wescott Fire Protection District (DWFPD) special meeting on Nov. 27, the board heard about the next steps to complete the merger with Tri-Lakes Monument Fire Protection District dba: Monument Fire District (MFD), approved the 2024 budget without certifying the mill levy, set the Board of Directors’ meeting schedule, and recognized Lt. Roger Lance Jr. and members of the Local 4319 for helping voters understand ballot initiatives 6A/6B. The board received an update on the station remodels and held a Volunteer Pension Board of Trustees session before the meeting.

Secretary Larry Schwarz and Director Mike Forsythe were excused.

Nov. 7 election update

District counsel Michelle Ferguson of Ireland Stapleton Pryor Pascoe PC law firm, attending via Zoom, congratulated the district on the passing of the ballot initiative 6A/6B and said the district can move forward after the official results are received from the El Paso County Clerk and Recorder. Ferguson said District Attorney Emily Powell had indicated that the election results and a court order for the dissolution of the district would be filed by Dec. 31, and the dissolution would be effective by the end of the year. MFD attorney Maureen Juran will process the merger of the district’s boundaries beginning in January 2024 and the process could take about six months to complete, said Ferguson. See www.ocn.me/v23n11.htm#dwfpd.

2024 budget and district mill levy

Ferguson said the property tax reduction and backfill structure (some special districts will be eligible for state funding to make up for lost revenue from the property tax assessment reduction) put in place by Senate Bill 2022-238 will remain in effect for 2023, and in addition for 2024, as a result of the special state Legislature session held after Proposition HH failed, the residential assessment rate will drop to 6.7% and the amount of redemption on property tax value increased from $15,000 to $55,000 for 2024. The district will see a slight drop in revenue, but it can adjust the mill levy to recoup lost revenue through the de-Gallagher measure that was voter approved. The certificate of assessed valuation from the El Paso County Assessor that the district usually receives on Dec. 10 is extended to Jan. 3. The district must adopt the budget and certify the mill levy before filing with the state by Jan. 10. The board has three options:

  • Proceed with the budget hearing and know that if the certificate of assessed evaluation results in a change to the budget, an amendment can be made one time without penalty.
  • Open the public hearing and have as much discussion as needed, and vote to continue the hearing until the board is ready to adopt the budget in early January.
  • Postpone the entire hearing until early January.
  • The board cannot certify the mill levy before receiving the certificate of assessed evaluation, because the mill levy cannot be adjusted after it is filed with the state, and the district could lose revenue. See www.ocn.me/v23n12.htm#mfd and the MFD article on page < 11 >.

Fire Chief Andy Kovacs said he had spoken to the El Paso County Assessor’s Office that morning and it is scrambling to provide the new property value assessments for 2024. Fire districts will receive 100% backfill according to HB23B-1005 Sections 6 and 7. The district should not have to adjust the mill levy, because the backfill will take care of the loss in revenue. Not all special districts will see backfill, but fire districts will, he said.

Ferguson said the backfill will happen, but some districts do not trust the state with regard to the backfill and the process is unclear.

Kovacs said the state imposed the decision, and the district does not want to look like the bad guys and raise the mill levy; it is upon the state to backfill the lost revenue.

Director Charles Fleece agreed the board should move ahead and approve the 2024 budget minus certifying the mill levy.

President Mark Gunderman opened the public hearing on the 2024 budget, heard no comments and confirmed that the district received no comments prior to the meeting and an announcement had been made in the Gazette. He closed the public meeting and requested the board approve the 2024 budget, Resolution 2023-08 with the exception of section 4 (the adoption and certification of the mill levy).

The board approved the 2024 budget, 3-0.

The board expects to hold a “special meeting” in early January via Zoom to certify the mill levy for 2024.

Subdistrict dissolution and merger completion process

Gunderman said the board will have a large amount of administrative work for the attorneys of both districts, and he suggested the board meet monthly in 2024 through May and then revert to every other month in July through November if necessary.

The board approved the amended schedule, 3-0.

Staff and public recognition

Gunderman said the DWFPD ballot measure 6A and 6B passed as the final hurdle before formalizing the unification between the two districts and completing the merger process. He thanked the Local 4319 for the unanimous decision to pledge $10,000 in funding for banners and mailings that allowed the district to get the important message out in an effective manner. It was a team effort led by Lt. Roger Lance Jr., with Corey Trottier, Justin Myers, Justin Chavez, and Rachel Peters canvassing neighborhoods, even on days off shift to engage in the successful education campaign. Gunderman thanked Kovacs for arranging meetings with all of the firefighters on every shift, and he thanked the firefighters for getting the word out in a team effort. District Administrator Jennifer Martin was the unsung hero, completing many extra tasks toward completing the merger. He also thanked the MFD Board of Directors for taking a leap of faith and allowing the Wescott board to wait an extra year to show the residents how well the merger was working, allowing for the education campaign to pass the ballot measures.

Martin thanked Gunderman and his mother, Mary Gunderman, for their hard work campaigning in the community.

Gunderman said his mother really did promulgate the cause and there was no one she ran into that did not receive a flyer.

Lance said it was easy to think about the campaign in the short term over the past two months, but the discussions began as early as 2010 around the coffee table. He thanked the boards and the executive staff for all the heavy lifting and making the merger happen. Achieving the merger will be the highpoint of his career, he said.

Gunderman said the board was a good team, but unfortunately Secretary Larry Schwarz was moving out of state and would not remain on the board. He appreciated Schwarz’s perspective as a retired battalion chief, and he was a big piece of the merger process. The board came together to make everything seamless, he said.

Recognition award

Gunderman thanked Lance for the special education campaign and said that before he had become a board member, Lance had been part of the committee helping to pass the mill levy increase in 2017, from 7 mills to 21.9 mills. The huge increase was needed to keep the district operational, and it passed by a two-thirds majority vote. Once again, Lance stepped up to educate the community in 2023 to lead an education campaign because the board and executive staff were not legally allowed to campaign. He developed a strategy in a short time to educate the firefighters and the public, disseminate flyers, information and banners (a couple of which were vandalized in the beginning). Lance hit the mark when it was important to let the voters know early, and without his efforts the ballot measures may not have passed. Gunderman presented Lance with a plaque for his efforts; see photo below.

Kovacs said the other L4319 members would be formally recognized at another time.

Above: From left, President Mark Gunderman presents a plaque of recognition from the Donald Wescott Board of Directors to Lt. Roger Lance Jr. for his commitment and dedication to the community, through the passage of ballot measure 6A and 6B and his leadership that facilitated the creation of Monument Fire District. Gunderman said Lance had gone above and beyond in service to the community, even educating HOA members on a day off at 8 p.m. Photo by Natalie Barszcz.

Board vacancy

Gunderman said he appreciated Schwarz as a board member and his retired battalion chief perspective, and everything the board had achieved under the direction of Kovacs, but as of end of November Schwarz would no longer be a resident within the district. He suggested the board appoint a new secretary and asked Director Charles Fleece to step in and take over the duties of board secretary.

Ferguson said that filling the seat would be unnecessary, although the county could fill the position after 60 days, but that does not usually occur. She requested the board take action and request a formal letter of resignation from Schwarz.

Facilities update

Kovacs said the remodel of Station 5 (Highway 105 “Shamrock Station”) was well underway and was expected to be completed in January 2024. The remodel of Station 4 (Gleneagle Drive) will begin after Station 5 is completed. The Station 4 staff will be accommodated at Station 5 during the six-to-seven-month closure of Station 4, he said.

Financial reports

Kovacs said some of the numbers on the January-September profit and loss statement in the September financial report were negative. Those numbers were due to some accounting errors but the CPA made the corrections for the October financial report.

The board approved the financial reports for September and October, 3-0.

For more updates see the MFD article on page < 11 > and visit www.monumentfire.org.

The meeting adjourned at 5:43 p.m.

Volunteer firefighter pension fund Board of Trustees meeting

Trustees Michael Badger and Dennis Feltz attended the volunteer firefighter pension fund meeting via Zoom.

The board approved the financial reports for September and October.

Allocation report and pension fund status

Badger said he had not had the opportunity to get online during his travels to access the spreadsheets for the Board of Trustees’ volunteer pension fund, and he was transferring information to a new computer, but the fund is no longer running in the red. No specific numbers were available for the allocation report, but the third-quarter report for 2023 reveals the fund is not stellar but doing well enough to give him a sigh of relief compared to 2022 and early 2023, he said.

Gunderman said as long as it is in the black and looking solid and the district is no longer adding any more firefighters to the volunteer firefighter pension fund, it should be okay.

2022 actuarial report

Badger said he had not reviewed the 2022 actuarial report, but Martin had along with the trustees and board members. The report was based on no additional funding or changes in the status and is fully funded at 114%, and he was relieved after some of the doom and gloom of the recommended contributions in 2022.

Gunderman said the district is now under no obligation to make any changes.

Martin said it was great news for the district.

Kovacs said district attorney Powell recommended no additional funding going into 2024.

Gunderman said he agreed that no contribution would be added to the volunteer pension fund in 2023, and he agreed to leave the fund as is, in line with Powell’s and Kovacs’ recommendation. At some point in 2024, the management of the fund will be passed to the MFD Board of Directors on completion of the merger and the Wescott district is dissolved, he said.

Treasurer Duane Garrett said the fund should have longevity now that no other volunteers will be added to the fund.

Gunderman said he did not have an exact date, but definitely by the end of 2024, and maybe by November, MFD could be managing the fund.

Ferguson said the trustees will continue on and sit with the MFD board after the merger is completed.

Note: Board of Trustees meetings are scheduled to be held in May and November 2024 at 4 p.m., before the regular DWFPD Board of Directors meetings on the fourth Wednesday of the month. For details, visit www.monumentfire.org.

The board approved the 2024 Board of Trustees meeting schedule for 2024, 3-0.

The meeting adjourned at 4:19 p.m.

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Meetings are scheduled to be held every month through May 2024 on the fourth Wednesday at Station 1, 18650 Highway 105. The next regular meeting will be held on Wednesday, Jan. 24 at 4:30 p.m. For Zoom meeting instructions, agendas, minutes, and updates, visit www.monumentfire.org or contact Director of Administration Jennifer Martin at 719-484-9011.

Natalie Barszcz can be reached at nataliebarszcz@ocn.me.

Other Donald Wescott Fire Protection District (DWFPD) articles

Monument Fire District, Dec. 6 – Concern over mill levy reduction request; property inclusion petitions accepted

By Natalie Barszcz

Correction

The December edition of OCN should have stated Firefighter Wyatt Benoit left the district on Nov. 26 and joined CSFD. As stated in the October chief’s report, Lt. Chris Keough resigned from the district in October. OCN regrets the error.

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At the Monument Fire District (MFD) meeting on Dec. 6, the board heard about a mill levy reduction request, accepted five petitions for property inclusion with approved publication and the setting of a public hearing for the petitions. The board also received updates on the merger process, the new career fire academy, and a few recently filled staff positions.

Fire Chief Andy Kovacs attended via Zoom.

Property tax concerns

Vice President John Hildebrandt said that at the Nov.15 meeting he mentioned how the MFD directors are good stewards of the district revenue, spending appropriately, and the floating mill levy that was implemented for 2023 was voter approved. Last year, the district set the mill levy at 18.83 mills and this year the district was planning to go back to 18.4 mills and still might, he said. See www.ocn.me/v23n12.htm#mfd. The district did not know the outcome of the “special” state Legislature session at the Nov. 15 board meeting when the board certified the mill levy for 2024.

Hildebrandt made the following personal comments:

  • The citizens defeated Proposition HH by 18% in a 40/60 vote, after being assaulted with political ads, stating how a reduction in taxes would be good, and the TABOR funds be used in part to backfill revenue to special districts.
  • After the “special session” Gov. Jared Polis held in late November to discuss property tax relief, a bill with insufficient relief for property owners was passed in SB 23B001.
  • Polis then sent a letter to the special districts requesting districts reduce mill levies, but Proposition HH was insufficient before it failed, and now it is upon special districts to reduce mill levies.
  • The cost of apparatus over the years has increased from $680,000 to $850,000 to $1 million, and after 2027 new requirements will tack on another $100,000. See www.ocn.me/v23n10.htm#mfd.
  • The district continues to grow, and with growth comes the responsibility to serve more residents, and the need to purchase more equipment that is subject to inflation.
  • The district pays good wages to retain high-caliber staff and cannot “willy nilly” reduce property taxes so homeowners pay less, but he understands that no one wants to pay more taxes, including himself.
  • The residents saw right through proposition HH, but I do not like being thrown under the bus by Polis, and the whole thing just peeves me off.

President Mike Smaldino said he had “duly noted” the personal comments made by Hildebrandt.

Director Roger Lance said he echoed the comments made by Hildebrandt.

Note: Before the meeting, Hildebrandt presented this reporter and each board director with a copy of The Colorado Springs Gazette article: “Polis asks to reduce property tax levy,” dated Dec. 1, 2023 by Marianne Goodland. See DWFPD article on page < 9 >.

Financial report

Smaldino said the November financial report was not available for the board to review due to the board meeting being earlier than usual.

Kovacs said the November and December financial reports would be reviewed in January.

Combined district merger update

President Mark Gunderman of the Donald Wescott Fire Protection District (DWFPD) Board of Directors thanked the district and the board for their patience during the merger of the two districts. He said that now that the completion of the merger is near after the passing of the ballot measure to dissolve the DWFPD subdistrict, the district will have one mill levy. He thanked Kovacs and his “phenomenal” leadership and the entire executive staff for combining the district staff and building a culture—and that is what makes it stick along with the leadership, the timing, and the right people involved, he said. The DWFPD board expects to have the merger wrapped up by mid-summer, he said.

Hildebrandt said he appreciated the DWFPD board for the tremendous level of trust it placed on the district and the board to combine the districts.

Gunderman said for the most part the process was painless, with just a few obstacles to overcome, and it goes to show that it was time to merge the districts.

Smaldino thanked Gunderman and the Wescott board and said the right pieces and players created a seamless transition up to and including the election. The MFD board will not forget that DWFPD existed, and this board is proud to serve the combined district, he said.

Wescott resident Gary Nelson congratulated both boards and the district staff, and said although the merger appeared seamless, he knows there were a lot of feet paddling under the water, but it appeared as smooth as ducks gliding across the surface. The level of service, quality, and care has increased in DWFPD, and he appreciates the dedication to complete the merger that has been 20 years in the making, he said.

Petitions for property inclusion

Bradley said the district received a list of properties from the El Paso County Sheriff’s Office (EPCSO) that were within the greater district boundaries, but not officially within the district. Letters were sent to property owners and the following five properties were the first to petition for inclusion:

  • 774 Forest View Way – Baker Property
  • 3954 Roberts Ridge Place – Meisinger Property
  • 4330 Green Mountain Drive – Parr Property
  • 4075 Deer Valley Court – Sperando Property
  • 4320 Green Mountain Drive – Swenson Property

Bradley requested the board make a motion to accept the five petitions for inclusion as presented, set a public hearing on Jan. 24, 2024 at the regularly scheduled board meeting, and ordered the fire chief or his delegee to publish a notice of the hearing as required by state law.

The board unanimously approved the motion.

Kovacs said the district had received a few more petitions for inclusion of property into the district in addition to the five proposed. He expects several more will petition for inclusion over the next couple of months.

Director Tom Tharnish, Monument Public Works Department, asked if the new water tank in Forest View Acres was included in the list since it is right in the middle of some of the properties.

Kovacs said the address was included in the audit provided by EPCSO and not currently included in the district.

Tharnish said he would discuss a petition for inclusion with Town Manager Mike Foreman.

Note: The properties listed were built at various times from 1982 to 2017 and are located in Wildland Urban Interface areas within unincorporated El Paso County. See www.ocn.me/v23n12.htm#mfd. The district is unable to collect impact fees for properties built in unincorporated areas.

Career Fire Academy update

Bradley said the following:

  • The development of a combined Career Fire Academy began in September between himself, Kovacs, and Fire Chief PJ Langmaid and Deputy Chief of Operations Chris Piepenburg of Black Forest Fire Rescue Protection District (BFFRPD).
  • The district realized there would be no access to the Colorado Springs Fire Department (CSFD) for outside agencies in early 2024.
  • The CSFD Fire Academy leadership did not want to exclude outside agencies in early 2024, but the district could not forgo training new firefighters until the second half of 2024.
  • The districts are partnering with Pikes Peak State College (PPSC), and their Fire Academy Cadre interviewed five self-paying students to make up the numbers of the Career Fire Academy.
  • Two students were accepted by PPSC to complete a full academy of about 16 to 18 students, with nine from the district and four or five students from BFFRPD. See www.ocn.me/v23n12.htm#tmd.
  • Lt. Steve Buckner will be the district’s new training officer and assist at the academy that is set to begin on Jan. 15.
  • The district has been invited to assist with the fire science program for PPSC, and the goal is for the combined Career Fire Academy to become the El Paso County Fire Academy.

Fire academies are expensive to run, but PPSC is bearing much of the cost and it will be a cost-effective project for the district. The district is aiming high, and we will see what happens, said Bradley.

Smaldino said it will be neat to see, and he hopes other districts will watch, jump in and send recruits.

Chief’s report

Kovacs apologized for being unable to attend the meeting and thanked the board for its support throughout the year and said Lt. Curt Leonhardt had accepted the logistics position. The Wildland Fire (Type 3) engine ordered in 2021 was expected to be delivered to Front Range Apparatus mid-December, then delivered to the district before Dec. 25. It is a Christmas miracle, he said.

Note: The chief’s report for November will include December activity and was not available for the meeting.

The meeting adjourned at 7:02 p.m.

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Meetings are usually held on the fourth Wednesday of the month. The next regular meeting is scheduled for Wednesday, Jan. 24 at 6:30 p.m. at Station 1, 18650 Highway 105. For Zoom meeting instructions, agendas, minutes, and updates, visit www.monumentfire.org or contact Director of Administration Jennifer Martin at 719-484-9011.

Natalie Barszcz can be reached at nataliebarszcz@ocn.me.

Other Monument Fire District (MFD) articles

Black Forest Fire/Rescue Protection District, Dec. 28 – Exclusion process progressing; 2024 budget approved

By Janet Sellers

At the Black Forest Fire Rescue Protection District (BFFRPD) meeting on Dec. 28, the board approved the exclusion process for 952 properties, approved a revised 2024 budget, and four probationary firefighters were sworn into the district, with families pinning on the badges. The district also announced a new volunteer, search-and-rescue dog Koda.

All five board directors were present.

Dual service area discussed

A discussion addressed budgeting issues related to the loss of property tax revenue that will occur when Colorado Springs residents in a dual service area, are excluded from the district. The residents in the dual service area (near Woodmen Road) are subject to dual taxation by the City of Colorado Springs and BFFRPD, but will be assessed fire and emergency services taxes only by the city when excluded from the district.

Background: Until August 2013, the properties in the exclusion areas received fire and emergency services from BFFRPD, and those residents were assessed taxes for fire and emergency services by the district. In August 2013, Colorado Springs Fire Department (CSFD) opened a fire station to provide services in the dual service area and those residents then became subject to dual taxation. About 2,200 homes were subject to dual taxation when the board requested the exclusion process begin in 2018. The process has been slow and only about 700 homes have been excluded to date. See www.ocn.me/v21n9.htm#bffrpd and www.ocn.me/21n10.htm#bffrpd and www.ocn.me/v22n2.htm#bffrpd.

The board unanimously approved a resolution for the City of Colorado Springs to take action to exclude 952 addresses from the BFFRPD area of responsibility. The property addresses will be checked for accuracy. The property exclusion is still under consideration.

Homeowners petition for inclusion

The board unanimously approved 12 homeowner petitions for property inclusion into the BFFRPD service area.

Financial report

The directors discussed financial information, and Treasurer Jack Hinton reported $1.89 million in the bank with no funds from property taxes received in November. BFFRPD has $2.655 million in total assets with expenditures at 89% of the total budget. The financial report was accepted.

Repairs needed

The concrete floor for the training program has been finished, and repairs to the bay doors regarding the motors and heaviness of the doors due to the glass included are out for bids.

Department updates

The district has hired three people to attend the January 2024 Career Fire Academy. Fire training in 2023 included structure training with Falcon Fire District, heavy vehicle extrication training with Monument and Falcon fire districts, and live fire training with CSFD. The new tender that is being built will be inspected by Gavin Smith, fleet manager, in the first week of January.

2024 budget revised

A revised 2024 budget with wage and leave schedules, was unanimously adopted. The budget was originally built on a premise that proposition HH would pass. Since it failed, the budget needed revisions which included a 4.7% cost of living adjustment. However, this is not enough to remain competitive with other departments. The district will increase the operations staff from eight to 10 people with an unexpected increase of 8.75% in health insurance.

BFFRPD intends to close 2024 debt-free. The total revenues proposed for 2024 are about $7 million, to include a $373,301 reimbursement from the state under the SB23B-001.

Investment strategies discussed

A discussion was led by Hinton concerning the need for revamped financial policies and procedures that should be available to all department members and the public. These procedures would also cover investment strategies. Considerations for optimizing investment strategies were discussed. The changes incorporated into a document will be reviewed by the attorney for the fire district before being adopted, and this may need a work session. The subject was tabled until the January meeting.

The meeting adjourned at 8:45 p.m.

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The January 2024 meeting was changed from Jan. 10 to Jan. 17. Meetings are usually held on the third Wednesday of the month at Station 1, 11445 Teachout Road, Colorado Springs. Meetings are open to the public in person or via Zoom. The next regular meeting is scheduled for Jan. 17 at 7 p.m. For joining instructions, updates, agendas, minutes, and reports, visit www.bffire.org or contact Director of Public Relations Brooke Reid at Admin@bffire.org or call 719-495-4300.

Janet Sellers may be reached at JanetSellers@ocn.me.

Natalie Barszcz also contributed to this article.

Other Black Forest Fire Rescue Protection District (BFFRPD) articles

Forest Lakes Metropolitan District, Pinon Pines 1, 2, and 3, Dec. 4 and 13 – District participates in Northern Delivery System; rates increase for 2024; budgets approved

By Natalie Barszcz

At the Forest Lakes Metropolitan District (FLMD) and Pinon Pines Metropolitan District (PPMD) 2 and 3 meeting on Dec. 4, the board approved participation in the Northern Delivery System (NDS), approved the 2024 budgets and mill levies subject to receiving the Jan. 3 revised property tax assessment, and approved rate increases and an updated contract for services with Triview Metropolitan District (TMD). The board received budget-related updates on the Northern Monument Creek Interceptor (NMCI) pipeline project and the Pikes Peak Regional Water Authority/Colorado Springs Utilities (CSU) Indirect Potable Reuse Study.

A town hall meeting preceded the regular board meetings via teleconference at 3 p.m. District Manager Ann Nichols confirmed that no residents attended the six-minute meeting to receive updates on the FLMD public infrastructure project status, and the PPMD 1 and 2 outstanding debt and financial statement reviews. The PPMD 1 all-resident board members did not attend any of the scheduled meetings on Dec. 4. A rescheduled special meeting was held on Wednesday, Dec. 13 at 4 p.m. At the PPMD 1 special meeting, the board approved a reduction in the debt service mill levy for PPMD 1, adopted the 2024 budget, certified the mill levy (pending the Jan. 3 revised property tax assessments), and approved the annual administrative and board member election resolutions.

Note: The meetings were held via teleconference.

FLMD and PPMD 2 and 3

Treasurer/Assistant Secretary Douglas Stimple, chief executive officer of Classic Homes, was excused.

Northern Delivery System participation agreement

District Attorney Russell Dykstra of Spencer Fane LLP requested the board approve a proposal for the district to buy into the capacity of the NDS.

Nichols said:

  • The district proposes a participation agreement in the NDS to connect the district to the CSU water storage tank (Highway 83) and deliver return flows back to the district.
  • TMD upfronted the cost of the NDS that is awaiting completion of the pump station at the Highway 83 tank before water can be delivered. See www.ocn.me/v23n12.htm#tmd.
  • The district will own 3.7% of the total share capacity of the pipeline.
  • CSU will charge a convey, treat and deliver fee annually to TMD for 25 years. The district will pay 3.7% of the total annual cost billed to TMD (subject to CSU rate increases).
  • The delivery fee will also increase incrementally for FLMD if TMD needs to increase the meter size in the future.
  • The district budgeted $200,000 in 2023 and $800,000 in 2024 (split into five payments of about $199,506).

Tom Blunk of CP Real Estate Capital, representing Forest Lakes LLC and Forest Lakes Residential Development, said it was important to protect water rights with TMD and complete the loop for the district.

Nichols said even though the district is not quite ready to exercise control of its return flows, the water supply including surface water is virtually all 100% reusable to extinction, and all the first use water supplied to customers can be recaptured and legally reused. It is essential in this environment to retain water rights and get the water back to the district when needed, and the TMD agreement will allow this to happen (via an existing interconnect) when the Beaver Creek flows into Bristlecone Lake are not very high, she said.

The board approved the NDS Participation Agreement with TMD, 4-0.

Future water reuse possibilities

Nichols said the district is considering moving its wastewater treatment to CSU in the future through the NMCI pipeline. The NMCI pipeline project request for proposal design is in process, and CSU is close to choosing a consultant. The NCMI will move ahead only if after 30% of the design phase reveals the pipeline is the most efficient way to provide service to customers, instead of making the costly regulatory requirements to the Upper Monument Creek Waste Water Regional Treatment Facility. The 2024 budget includes $90,000 for the district’s share of the design cost. The Pikes Peak Regional Water Authority/Colorado Springs Utilities Indirect Potable Reuse Study would cost about $350,000, and a grant for $250,000 had been requested from the Colorado Water Authority. If the grant is successful, the remaining cost of $100,000 will be split between the participants, she said.

Rates increase for 2024

Dykstra said the district had not received any public comments before the meeting. He opened a public hearing for the proposed 2024 rate increases for water, wastewater, and landscape services for FLMD and noted the increases had been published over 30 days in advance and posted appropriately on the FLMD website from Oct. 11, 2023.

Nichols recommended the board approve the proposed 7% increase in water and wastewater service rates, with no change in development fees, and a $1 increase for the irrigation/landscaping monthly fee. The increase is necessary to get the rates up to a level that will sustain operations for the future now that development fees cannot be relied on as the residential districts grow closer to buildout, said Nichols.

The board approved the rate increases, 4-0.

2024 budget—FLMD, PPMD 2 and 3

The boards unanimously approved the resolution adopting the 2024 budget and appropriating funds for 2024 for FLMD and PPMD 2 and 3.

Nichols said the mill levies are exactly the same as in 2023 for FLMD and PPMD’s 2 and 3, and she requested the board approve the resolutions to set the mill levies for the districts, subject to any final change after the El Paso County Assessor notifies the district on Jan. 3 with the adjusted property tax assessments.

Blunk said the debt service mill levy for PPMD 3 will be analyzed in 2024, and it’s possible that the mill levy will be lowered in 2025.

The board approved 4-0 the mill levies and transparency notices for FLMD, and PPMD’s 2 and 3, subject to any adjustment in early 2024.

Note: The mill levy for PPMD 2 was approved at 55.664 mills, and PPMD 3 was approved at 50 mills for collection in 2024. The mill levy for FLMD is set at 0.000 mills. The 2024 transparency notices for all four districts (including PPMD 1) will be posted in January 2024 at www.forestlakesmetrodistrict.com.

Amended 2023 budget for FLMD

Dykstra opened a public hearing to consider approval of a resolution adopting the amended 2023 budget for FLMD.

Nichols said the amendment is required at the end of 2023 for the conveyance of the public infrastructure from Filings 5, 6, and 7 development and Phase 2 of the Falcon Commerce Center. Collectively it amounts to just over $24 million ($9 million includes public infrastructure expenditure for roads that will be conveyed to the appropriate jurisdictions—El Paso County and the Town of Monument). The amendment increases the expenditures to sufficiently cover the conveyance, said Nichols.

The board approved the 2023 budget amendment, 4-0.

2023 audit engagement letter

Dykstra requested the board approve an engagement letter with Hoelting & Co. for the 2023 audits for FLMD and PPMD 2 and an audit exemption request for PPMD 3.

Nichols said the fees had not yet been finalized via letter, but the FLMD’s fee was expected to be $17,150, and the Pinon Pines districts’ fees are expected to be $6,250 each, according to the auditor.

The board approved the engagement letter subject to final legal review, 4-0.

The board approved the third amendment to the TMD Contract Operations Agreement to increase the fee by 10% for a total of $18,150 per month (the fee includes water and wastewater operations; customer billing; and the increase adjusted for the landscaping fee). See TMD article on page < 15 >.

The Dec. 4 meetings adjourned at 4:53 p.m.

2024 budget—PPMD 1

Dykstra opened the public hearing for the 2024 budget for PPMD 1.

Nichols said the assessed property values rose significantly on existing homes and the little bit of new construction in PPMD 1. She proposed reducing the existing debt service from 31.5 mills to 20.5 mills beginning Jan. 1, 2024, and said she would not know if the district would have enough mill levy to cover the operating expenses and management for PPMD 1 until the adjusted property tax assessment is received on Jan. 3 from the El Paso County Assessor.

President Mike Hitchcock said he did not want to put too much burden on the taxpayer, just pay the bills.

Nichols said even with the 11 mills reduction to the debt service, the district would still retain a little cushion at the beginning of the year and through to the end of 2024.

The board unanimously approved a resolution to adopt the 2024 budget, appropriate funds, and set the mill levies at 29.133 mills for collection in 2024 (subject to any necessary adjustment after the final evaluation of property tax assessments from the El Paso County Assessor on Jan. 3).

The board unanimously approved the 2023 audit for PPMD1 for a fee of no more than $6,250.

Annual administrative resolution

Dykstra said the state Legislature mandates that special districts must now provide a town hall for residents to attend annually. The district will hold an annual town hall meeting on the first Monday of December 2024 at 3 p.m. Out of the 120 town hall meetings previously held, only two residents had attended, and although there is good intent by the state Legislature, the meetings have not been super effective to date, he said.

All four boards approved the 2024 annual administrative resolution that includes the addition of an annual mandated town hall meeting.

Note: This reporter did not attend the town hall meeting at 3 p.m. on Dec. 4.

Board member election

The board unanimously approved the transparency terms for the board member election scheduled for May 2025.

Note: The all-resident five member PPMD 1 board has two director positions vacant. The three incumbent directors are required to be present to maintain a quorum for voting purposes at each meeting. Board director positions are not term limited.

The meeting adjourned at 4:18 p.m.

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Meetings are usually held quarterly or, when necessary, on the first Monday of the month at 4 p.m., via teleconference. Meeting notices are posted at least 24 hours in advance at forestlakesmetrodistrict.com. For general questions, contact District Manager Ann Nichols at anicholsduffy@aol.com or 719-357-5810.

Natalie Barszcz can be reached at nataliebarszcz@ocn.me.

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Donala Water and Sanitation District, Dec. 7 – Water and sewer rates to increase in 2024

By James Howald and Jackie Burhans

At its December meeting, the Donala Water and Sanitation District (DWSD) board held a public hearing and took a vote on a resolution setting new water and sewer rates that will take effect in 2024. The board briefly reviewed its proposed budget for 2024. It also heard financial and operational reports.

New rates for 2024

Board President Wayne Vanderschuere opened a public hearing on water and sewer rates. Resolution 2023-9 leaves most fees and charges unchanged but raises the district’s tiered water usage rates by 4% for all tiers. It increases the sewer service base fee to $7.14 per month plus $9.95 per thousand gallons of wastewater produced. The minimum wastewater service rate increases to $31.89 from $30.66 per month. Construction water will cost $18.39 per thousand gallons and will not be sold for use outside district boundaries. Residential water and sewer tap fees remain unchanged at $8,500. Commercial water tap fees for both ¾-inch and 1-inch lines will increase to $9,350.

The board voted unanimously in favor of the resolution.

2024 budget review

Christina Hawker, the district’s Accounts Payable specialist, told the board that when Proposition HH failed, the state Legislature held a special session to address property taxes. The special session pushed back the date by which DWSD must submit its budget so that final property assessments, which are needed for DWSD to finalize its 2024 budget, can be calculated. The final assessments are needed when the district calculates its mill levy, she said. The board scheduled a special meeting on Tuesday, Jan. 9 at 1:30 p.m. at the district’s office at 15850 Holbein Drive to approve the new mill levy and submit the proposed budget to the state. Hawker said it would be simple to update the proposed budget once the final mill levy is determined.

Highlights of financial and operational reports

  • General Manager Jeff Hodge told the board that despite lower water sales the district would end the year in the black on water sales.
  • Hodge said interest on the district’s financial reserves would cover the district’s bond payments.
  • Water Operator Ronny Wright told the board that the study of hydrous manganese oxide to reduce radium levels in the district’s water was complete and he expected a response from the Colorado Department of Public Health and Environment by April.
  • Vanderschuere told the board that a water district near Pittsburgh had its program logic controllers (PLCs), which were made by an Israeli company, hacked by Hamas. Vanderschuere and Waste Plant Operator Aaron Tolman told the board that DWSD uses PLCs from other manufacturers that are not vulnerable to the exploit used in Pittsburgh.

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A special meeting on the 2024 budget in scheduled for Jan. 9. The next board meeting is scheduled for Thursday, Jan. 18 at 1:30 p.m. Generally, board meetings are held the third Thursday of the month at 1:30 p.m. and include online access; call (719) 488-3603 or access www.donalawater.org to receive up-to-date meeting information. The district office is located at 15850 Holbein Drive, Colorado Springs.

James Howald can be reached at jameshowald@ocn.me. Jackie Burhans can be reached at jackieburhans@ocn.me

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