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Volunteers reporting on community issues in Monument, Palmer Lake, and the surrounding Tri-Lakes area

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Articles from Vol. 25 No. 1 - January 4, 2025

Buc-ee’s community meeting elicits strong response

By Jackie Burhans

On Dec. 3, Buc-ee’s hosted a public meeting at Palmer Lake Elementary School’s cafeteria to provide information about its development plan for a Buc-ee’s travel center at the southwest corner of I-25 and County Line Road. The meeting, moderated by Mark Waller, former El Paso County commissioner and current development consultant, was attended by over 250 people crowding into the small cafeteria and was covered by multiple print and TV news outlets. Attendees included outgoing Palmer Lake Trustee Nick Ehrhardt and Monument Mayor pro-tem Steve King.

Waller, who did not introduce himself, warned attendees that he would not allow shouting and interruptions, noting this would cut down on speaking time. Craig Dossey, former county planning director and now president of Vertex Consulting Services, presented information about the development process and current property zoning. Also in attendance was Stan Beard, Buc-ee’s head of development, who presented an overview of the store’s plans and operations. The presentations, which generated a lot of negative feedback, were followed by a question-and-answer period.

Dossey laid out the types of businesses allowed by the current zoning, noting that both Monument and Palmer Lake included the property in their respective three-mile plans as commercial zoning. He noted that Buc-ee’s is at the beginning of the process and had Senior Executive Consultant Nina Ruiz detail the steps remaining before development could begin.

Attendees were instructed to sign up to speak. Speakers expressed concern with the weather and traffic issues on Monument Hill, disagreement over the desirability of having freeway drivers stop in the area, the willingness of the community to fight this development, the impact of light pollution on nearby residents, the high density of wildlife migration, and the low level of preparation of presenters to address these issues.

One attendee asserted that this is a bedroom community with people making $100,000 a year whose kids are headed to college for whom working at Buc-ee’s would be beneath them. Buc-ee’s representatives attempted to address the issues by saying they would comply with every regulation imposed on any developer of this property, including funding improvements of the I-25 interchange if need be.

Attendees added that they didn’t understand why Buc-ee’s chose this location, that they had issues with people from Texas coming into the state and with suggestions that Buc-ee’s consider locating in Fountain or Pueblo. They also raised water availability issues, noted the increase in electric vehicles, and expressed concerns about groundwater pollution and human trafficking.

Some attendees appreciated Buc-ee’s coming to a hostile environment, thanked them for hosting the meeting but disapproved of the development. One local developer, Matt Dunston, who owns a vacation rental property in Palmer Lake, said people naturally feared change. He said he had asked many questions, was satisfied with Buc-ee’s answers, and expressed disappointment in being loudly heckled.

Beard noted that Buc-ee’s came to get feedback and tried to address everything they could. Waller directed people to visit www.buceespalmerlake.com for more information. Attendees asked that community members bring this level of energy to the annexation eligibility hearing scheduled for Dec. 12 in Palmer Lake.

Above: Buc-ee’s hosted a community meeting on Dec. 3 at the Palmer Lake Elementary School cafeteria. A crowd of over 250 attendees, including local town officials and print and TV press members, stretched the room’s capacity. Consultants Mark Waller of Waller Consulting Ltd., Craig Dossey and Nina Ruiz of Vertex Consulting Services, and Stan Beard from Buc-ee’s conducted the meeting. After brief presentations by the consultants on the development process and the property’s history, Beard gave an overview of Buc-ee’s business model. During the question-and-answer period, attendees brought up concerns about traffic, weather, lighting, pollution, and wildlife. Most speakers opposed the development, with very few bringing up positive points. Buc-ee’s directed the public to www.buceespalmerlake.com for more information while attendees asked the public to attend the annexation eligibility hearing on Dec. 12 at Palmer Lake Town Hall.
Above: Palmer Lake resident and federal biologist Dailee Fagnant pointed out Monument Hill’s unique geographical location and meteorological patterns. She noted there are major wildlife crossings in the area and an increase in animal strikes during the post-rut migration season. She expressed concerns that folks from out of state would be hitting wildlife they are not used to. She asked if Buc-ee’s had done its job of researching species movement and planning to mitigate the danger. Fagnant said that Buc-ee’s seemed ill-prepared, showing only a generic traffic slide and wasting time describing what it sells, and asked if Buc-ee’s had worked in an urban area with a high-density wildlife corridor. Stan Beard, head of Buc-ee’s development, responded that Buc-ee’s would follow every rule that is required by federal, state, and local government. From left, Fagnant addressing Beard, and Craig Dossey, president of Vertex Consulting Services. Photos by Jackie Burhans.

Jackie Burhans can be reached at jackieburhans@ocn.me.

Other Palmer Lake articles

Palmer Lake Board of Trustees, Dec. 12 – Buc-ee’s annexation petition meets requirements

Correction

The Palmer Lake Board of Trustees article in the November issue of OCN incorrectly said the proposed Buc-ee’s travel center would be east of I-25. It is proposed to be west of I-25 and south of County Line Road (see Buc-ee’s location map below – courtesy Buc-ee’s). OCN regrets the error.

By James Howald and Jackie Burhans

In December, the Palmer Lake Board of Trustees held public hearing to determine if a property owned by Maria Larsen and proposed as a site for a large Buc-ee’s travel center is eligible for annexation. Determining eligibility is the first of multiple steps in the annexation process.

Three new board members were sworn in. The 2025 budget, discussed in previous meetings, was adopted. Town Administrator Dawn Collins announced the hiring of a new chief of police.

Eligibility hearing is lengthy and contentious

Trustee Jessica Farr was excused from the meeting, having given birth earlier in the day. Mayor Glant Havenar, who was on vacation, was also excused. Mayor Pro Tem Dennis Stern facilitated the meeting. He said a representative of the applicant for annexation would speak first, then the board members would ask questions. Following the board members, public comments would begin, with Palmer Lake residents and business owners first in line, followed by non-residents. Stern said the Town Hall was full and many were outside listening to the meeting on speakers. He said he would notify speakers in groups of three as it became their turn to speak.

Stern asked speakers to confine their comments to the question of eligibility. He said other concerns would be debated later in the annexation process. He said speakers who addressed issues other than eligibility would be asked to sit down. Stern asked Nina Ruiz, senior executive consultant at Vertex Consulting Services, to speak on behalf of Larsen, the applicant.

Ruiz began by displaying a map of Palmer Lake’s three-mile plan to show that the proposed annexation meets the legal requirement that the property to be annexed be within three miles of the municipal boundary. She said she would only speak to the statutes that cover eligibility for annexation: C.R.S. Sections 31-12-104 and 105. The first statute requires that one-sixth of the perimeter of the area proposed to be annexed is contiguous with the annexing municipality. The second statute has 10 provisions that must be met for the eligibility requirement to be met.

Ruiz showed a series of surveyor’s maps for each of the six annexations that make up the “flagpole” annexation request, which she argued demonstrate that the requirement for contiguity is met.

She addressed the requirements of the second statute one by one:

  • The lands to be annexed are either dedicated rights-of-way or under one ownership.
  • The owner has signed all petitions.
  • There are no other annexation petitions in play.
  • The annexation will not impact school boundaries.
  • The annexation does not extend the municipal boundary more than three miles in any direction.
  • There are no other related annexation requests.
  • Abutting landowners have been notified.
  • Palmer Divide Road (also known as County Line Road) and Beacon Lite Road are not platted streets, so the requirement to annex the entire width of a road does not apply.
  • The annexation will not result in access being denied.
  • No annexation election is required.

Ruiz’s presentation can be found on the town’s website here: www.townofpalmerlake.com/media/16681.

The board had no questions for Ruiz, and Stern began calling residents to the podium to comment.

Note: Some comments not related to eligibility and some arguments made by more than one resident have not been included in this summary.

Roger Moseley argued that the petition should be denied because the entire width of Palmer Divide Road was not annexed. He cited a memo written by Scott Krob, the town’s attorney, to support this position. Moseley said the town’s three-mile plan was out of date and did not meet the requirement for such a plan to be in place. He said he believed two of the annexation petitions included small portions of Douglas County, which had not been formally notified of the annexation.

Martha Brodzik argued that the disconnection of the United Congregational Church’s property from the town meant that the first annexation petition failed the contiguity requirement. She also said Town Administrator Dawn Collins had not properly notified El Paso County and Douglas County of the proposed annexation.

John Sweeney said the town would not be able to provide fire and police service to the property. He said he believed the perimeter of the land to be annexed was 3.6 miles and that would extend the town’s boundary beyond the three-mile limit.

Paul Olivier said he had served on the town’s Board of Trustees and on its Planning Commission and served as mayor for two years. He recalled the town had considered annexing the property in the late 1980s but the annexation did not proceed because of concerns about dividing Palmer Divide Road between Douglas and El Paso Counties and because of anti-growth sentiment.

Jeremy Ferrante said more than the two statutes cited needed to be considered and asked that the board hear everyone who wanted to comment. He argued passing trains could prevent Palmer Lake Police and Fire Departments from responding to emergencies at the property to be annexed.

Developer Matt Dunston spoke in support of the annexation. He said Palmer Divide Road is not a platted right of way, so the requirement to annex the entire width did not apply.

Builder Kurt Ehrhardt said the property would be developed “in a very dense use” whether by Buc-ee’s or by someone else.

Alexandria Olivier said Buc-ee’s signs did not comply with the town’s sign code.

Matt Beverly said the town had not provided an annexation impact report.

Roy Martinez said the project documents prepared by Vertex Consulting misrepresented the water infrastructure that the project would require.

Kim Reer said the town had to consider whether property owners near the property to be annexed would use services provided by the town.

Hank Cotton said an out-of-date three-mile plan that does not include the United Congregational Church disconnect invalidated the annexation petition.

Robin Reich said the annexation would impinge on Palmer Lake’s small-town feel and would open the board to lawsuits.

Bill Normile said the town would not be able to respond to mass casualty events quickly if a train were blocking Palmer Divide Road.

Dustin Bender said we are living in biblical times and objected to the role money is playing in the decision to annex.

Ian Griffith argued the annexation petition was not valid because it was signed by Maria Larsen and not by a limited liability corporation. He denied the legitimacy of flagpole annexations.

Kristy Beverly said the presence of prescriptive easements on Palmer Divide Road and elsewhere in the land to be annexed prevented the contiguity requirement from being met by the first four annexation petitions.

Beth Harris said the annexation contradicted the town’s master plan.

In her responses to residents, Ruiz said she would limit herself to issues directly related to statutes. She said all of Palmer Divide Road did not need to be included in the annexation because it was not a platted right of way. She said Vertex Consulting would like to work with Douglas County to annex the entire width of Palmer Divide Road. She explained that the annexations contiguity was through a right of way that was not affected by the disconnection of the United Congregational Church property from the town. Ruiz said the town had in fact submitted the required annexation impact report.

Krob gave his opinion on points made by residents. He said that although there were more statutes that applied to the entire annexation process, only the two cited by Ruiz applied to the annexation eligibility question. The memo he wrote arguing the entire width of Palmer Divide road had to be included in the annexation was wrong, he said, for the reason given by Ruiz. He cited a court case, Town of Erie v. Town of Frederick, which ruled that a comprehensive plan could meet the requirement for a three-mile plan. He pointed out that the three-mile plan had to be updated before the final decision on annexation, not when eligibility was being decided.

After Krob’s remarks, Stern closed the hearing.

Following the hearing, the board considered Resolution 60-2024, which decides the eligibility of the annexation.

Trustee Shana Ball asked the board to set aside emotions and look at the facts. Trustee Nick Ehrhardt asked the board if its questions had been answered; Trustees Kevin Dreher and Stern said they had been. Regarding the issue of contiguity, Krob said the disconnection of the church property did not include the roadway, and the roadway could be used to establish contiguity. Ruiz confirmed that was her understanding. Ball said she wanted to continue with the annexation process to get a full understanding of all the pertinent information from the studies that have been authorized; doing less than that would create a liability for the town, she said.

After the discussion, the board voted on the resolution. Ball, Dreher, Erhardt, and Stern voted in favor of the resolution; Trustee Samantha Padgett voted no.

Above: At its regular Board of Trustees meeting on Dec. 12, the Town of Palmer Lake held a hearing on the annexation eligibility of the property on the southwest corner of I-25 and County Line which is slated for a Buc-ee’s travel center. To manage the crowd size inside the Town Hall, the board limited seating and had people outside listen on external speakers and sign in to speak. The Palmer Lake Police Department provided staffing. Print and TV press members were allowed inside, and the remaining seats were available to the public until they were filled. Palmer Lake Mayor Pro Tem Dennis Stern chaired the meeting in the absence of Mayor Glant Havenar, who was on vacation. Stern opened the public hearing and allowed Nina Ruiz of Vertex Consulting Services to present how the project met the eligibility requirements. He then invited three speakers at a time, reminding them to stick to the eligibility issues. Ruiz responded, and the board voted 4 to 1 that the project met the annexation eligibility criteria. Photos by Jackie Burhans.
Above: Proposed Buc-ee’s Travel Center location – courtesy Buc-ee’s

New board members sworn in

Collins administered the oath of office to three newly elected board members: Tim Caves, Amy Hutson, and Atis Jurka. The new members replace Ehrhardt, Farr, and Padgett.

Above: Newly elected board members Atis Jurka, Amy Hutson, and Tim Caves are sworn in by town administrator Dawn Collins at the Dec. 12 Palmer Lake Board of Trustees meeting. Each of the new board members will serve a four-year term and began their terms by passing the town’s 2025 budget. From left are Jurka, Hutson, Caves, and Collins. Photo by Jackie Burhans.

Collins presented certificates of appreciation to outgoing board members Erhardt, Farr, and Padgett.

Above: Palmer Lake Town Clerk Dawn Collins recognized outgoing board members Nick Ehrhart, Sam Padgett, and Jessica Farr with certificates at the Dec. 12 board meeting. All three had terms that ended at the meeting, which saw new board members sworn in. Farr was unable to attend, having given birth that morning. From left are Ehrhardt, Padgett, and Mayor Pro-Tem Dennis Stern. Photo by Jackie Burhans.

2025 budget adopted

The first vote taken by the new board was to pass Ordinance 19-2024, which adopts the budget for 2025 and appropriates the necessary funds. Collins noted that the new board members had attended the budget workshop and reviewed the budget before their terms began. The board voted unanimously for the ordinance.

The board also passed Resolution 61-2024, which certifies the town’s mill levies.

New chief of police introduced

Collins announced that Glen Smith (pictured below) had accepted the position of chief of police. Smith has 30 years of police experience, Collins said, adding he had recently moved from Florida to Colorado.

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The next regular board meeting is scheduled for Jan. 9, 2025. Meetings are held at the Town Hall. See the town’s website at www.townofpalmerlake.com to confirm times and dates of board meetings and workshops. Meetings are typically held on the second and fourth Thursdays of the month at the Town Hall. Information: 719-481-2953.

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

Other Palmer Lake Board of Trustees articles

Monument Town Council, Dec. 2 and 16 – Council faces $3.9 million budget shortfall, hears call for fiscal sustainability

By Chris Jeub

The Monument Town Council grappled with a $3.9 million potential budget shortfall during its December meetings, emphasizing the need for fiscal sustainability in 2025. Other discussions included development projects, natural medicine regulations, and energy improvements.

Budget resolutions and fiscal challenges

The council reviewed and approved several budget-related resolutions across both meetings:

  • Resolution No. 56-2024: Adoption of the amended and restated 2024 budget.
  • Resolution No. 57-2024: Appropriation of funds for 2024.
  • Resolution No. 58-2024: Adoption of the 2025 budget, projecting $11.6 million in revenue against $15.4 million in expenditures. Staff highlighted the need for mid-2025 adjustments to address sustainability concerns.
  • Resolution No. 59-2024: Appropriation of funds for 2025.
  • Resolution No. 60-2024: Certification of the 2025 property tax mill levy.

Jennifer Phillips, Monument’s newly appointed finance director, provided a detailed analysis titled “Final Proposed 2025 Budget,” highlighting the need for fiscal restraint. While the 2025 budget anticipates $11.6 million in revenue, projected expenditures total $15.4 million, leaving a nearly $3.9 million gap.

“This is not sustainable,” Phillips cautioned, urging the council to consider mid-2025 adjustments to balance the budget. Measures already in place include freezing four employment positions, with further changes anticipated by May or June of the coming year “to get a better handle of our finances,” as stated by Phillips.

Key points from the budget discussions included:

  • A $1.4 million increase in police funding since 2022, raising the total to $6.3 million in 2025.
  • Clarifications regarding a $15 million depreciation in the Water Fund, representing long-term depreciation rather than liquid cash.
  • Sales tax revenue assumptions of a 2% increase, despite challenges with large businesses not paying the full 3.5% tax rate.

The council unanimously approved several budget-related resolutions, including the amended and restated 2024 budget, the 2025 budget and property tax mill levy certification, and appropriations for both years. Recognizing the need for further adjustments, the council committed to revisiting the budget mid-year.

Jackson Creek North

A resolution concerning the preliminary and final plat subdivision for Jackson Creek North PMD Filing No. 1 failed to move forward at both meetings. The 25.63-acre property at the intersection of Higby and Bowstring Roads was proposed by CSI Development Inc. for sale preparation and included a 30-foot public right-of-way dedication to accommodate Higby Road improvements. The plat would dedicate two tracts of land for open space and a detention pond to the Triview Metropolitan District (TMD).

During the Dec. 2 meeting, Planning Director Dan Ungerleider assured the council that the right-of-way dedication would accommodate road improvements, as verified by town engineers. However, the TMD was not present to confirm the application, raising concerns among councilmembers. Mayor Pro Tem Steve King questioned the absence of a finalized road design, while Mayor Mitch LaKind and Councilmember Kenneth Kimple emphasized the need for additional clarity before moving forward. The lawyer representing CSI stressed that significant time and money had been invested in the project and suggested that Triview’s absence should be interpreted as implicit approval. Despite this, a motion to table the resolution was passed, with further discussions scheduled for Dec. 16.

At the Dec. 16 meeting, the council postponed a decision once again to Jan. 6, 2025, to allow the TMD to present a formal response addressing concerns about road design and additional clarity.

Natural medicine business regulations

The regulation of natural medicine businesses, commonly referred to as “mushrooms,” was discussed extensively during both meetings. Ordinance No. 24-2024, formally titled “An Ordinance Amending Section 18.03.380 and Adding Article 5 to Chapter 18.04 of the Monument Municipal Code Concerning the Regulation of Natural Medicine Businesses,” was introduced to align with the Natural Medicine Health Act of 2022. This act, approved by Colorado voters, decriminalizes the personal possession and supervised use of specific psychedelic substances, including psilocybin mushrooms, for individuals aged 21 and older, while allowing local governments to regulate the time, place, and manner of operation of licensed facilities.

The ordinance establishes zoning districts for these facilities and imposes distance restrictions from childcare centers, schools, and residential areas. Town Attorney Bob Cole clarified that while outright prohibition was not legally permissible under Colorado state law, zoning regulations could provide structured oversight. A draft zoning map received positive feedback from the council during the Dec. 2 meeting.

On Dec. 15, public comments included support from Monument resident Vincent Bruno, a licensed professional who highlighted the benefits of natural medicine in treating PTSD. Bruno urged the council to adopt regulated frameworks to prevent unregulated activity. Without further discussion, the council approved Ordinance No. 24-2024.

Energy performance improvements

The council approved Ordinance No. 25-2024, authorizing a lease/purchase agreement to fund energy performance upgrades for town facilities. Interim Town Manager Madeline VanDenHoek explained the project, which follows an energy audit conducted in partnership with the Colorado Energy Office and Veregy. The audit identified several areas where the town’s buildings could benefit from efficiency upgrades, both to reduce energy costs and to replace aging mechanical systems.

Key upgrades in Phase 1 of the project include:

  • Installation of LED lighting in all town buildings.
  • Solar energy systems at Town Hall and the Public Works Building.
  • Exterior sealing and door sweeps to improve energy efficiency.
  • HVAC upgrades, including a VVT system at Town Hall and new units at the Public Works Building.
  • Advanced energy monitoring and control systems for all buildings.

The total cost of Phase 1 is $1,337,181. The improvements are projected to save the town about $1.15 million over the lifespan of the upgrades through energy savings, rebates, and reduced maintenance costs.

Mayor Pro Tem King questioned the costs and necessity of some upgrades, but VanDenHoek highlighted the need to modernize the town’s infrastructure and the long-term financial benefits of the project. The ordinance passed unanimously.

Property transfer agreement

The council unanimously approved an ordinance authorizing the transfer of real property related to the town’s water tank on Beacon Lite Road. Ordinance No. 26-2024 formalizes a property exchange agreement between the Town of Monument, Comcast of Colorado/Pennsylvania/West Virginia LLC, and I-25 Properties Ltd. The agreement resolves title and boundary issues discovered during due diligence for a 2021 property purchase intended for the construction of a new municipal water tank.

Key provisions of the ordinance include:

  • Resolution of legal descriptions and title defects on both the old and new water tank sites.
  • Dedication of portions of land for rights-of-way and easements along Beacon Lite Road to El Paso County.
  • Reimbursement of Comcast’s legal fees and closing costs up to $34,000 as part of the agreement.

This property transfer ensures the town can proceed with constructing a new water tank, a critical infrastructure project for Monument’s water system.

The council will revisit several key issues, including the Jackson Creek North PMD plat and potential amendments to natural medicine zoning regulations, during the next scheduled meeting on Jan. 6, 2025.

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The Monument Town Council usually meets at 6:30 p.m. on the first and third Mondays of each month at Monument Town Hall, 645 Beacon Lite Road. The next meetings are scheduled for Monday, Jan. 6 and Tuesday, Jan. 21 (Monday, Jan. 20 is MLK Day). For more information, call 719-884-8014 or visit www.townofmonument.org. To view upcoming agendas, complete board packets, or download audio recordings of past meetings, visit http://monumenttownco.minutesondemand.com and click on “Town Council.”

Chris Jeub can be reached at chrisjeub@ocn.me.

Other Monument Town Council articles

Monument Planning Commission, Dec. 11 – Planning Commission recommends approval of Panda Express and Falcon Commerce Center

By Janet Sellers

At the Monument Planning Commission meeting on Dec. 11, key land use decisions were made, including approval of the final Planned Unit Development (PUD) for a Panda Express restaurant and progress on the Falcon Commerce Center development.

Panda Express

Planned for Lot 5A of Monument Marketplace North, the new Panda Express would feature a drive-thru, landscaping, parking, and pedestrian access. While the commissioners expressed concerns about the building’s design, particularly its blank wall facing Jackson Creek Parkway, no public objections were raised, and the project was recommended for approval pending design refinements.

Falcon Commerce Center

The Falcon Commerce Center development was also reviewed, focusing on its environmental and infrastructure impacts. The development includes industrial warehouses and distribution facilities with substantial investments in water, sewer, and road infrastructure. The commissioners discussed efforts to address concerns from the Air Force Academy about Jackson Creek’s downstream conditions, including the installation of a buried wall to prevent erosion. The project’s shift from less restrictive PID zoning to a more controlled PUD ensures it aligns with the town’s comprehensive plan.

While the development has made significant strides, commissioners raised concerns about truck parking, traffic impacts, and the facility’s visual compatibility with the community. They also sought assurances about hazardous material handling and fire safety. No public comments were submitted during the hearings, and the project is now awaiting Town Council approval.

In addition to these discussions, the commission approved the sketch plan for the Woodmoor Placer Replat B, a commercial subdivision along Jackson Creek Parkway. This development, aimed at accommodating growing community needs, includes six lots and will focus on shared access roads, pedestrian pathways, and utility easements.

The commission’s ongoing dialogue with developers aims to balance growth with sustainability and community needs. As 2024 concluded, the Planning Commission was preparing for a busy January, which will include discussions on impact fees and leadership appointments. The meeting wrapped up with holiday well-wishes and appreciation for the year’s work.

**********

The Planning Commission usually meets on the second Wednesday of each month. It will revisit the discussion on the Jackson Creek North plat and Panda Express at the next meeting on Jan. 8. For further information on Planning Commission meetings, please visit www.townofmonument.org/263/planning-commission-board-of-adjustment or contact 719-884-8028.

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

Other Monument Planning Commission articles

Forest Lakes Metropolitan District and Pinon Pines Metropolitan District 1, 2, and 3, Dec. 2 – Rates increase for 2025; mill levies certified; high cost revealed for pipeline construction

Correction

The article title shown above is corrected from the newsprint and pdf versions which read “Rates increase for 2024”. OCN regrets the error.

By Natalie Barszcz

At the Forest Lakes Metropolitan District (FLMD) and Pinon Pines Metropolitan District (PPMD) 1, 2, and 3 meeting on Dec. 2, the board approved the 2025 budgets and mill levies subject to receiving the revised property tax assessment, approved rate increases and an updated contract for services with Triview Metropolitan District (TMD). The board received updates on the Northern Monument Creek Interceptor (NMCI) pipeline project and the pursuit of renewable wastewater flows.

Attending via teleconference were FLMD Manager Ann Nichols, Tom Blunk of CP Real Estate Capital, representing Forest Lakes LLC and Forest Lakes Residential Development, district attorney Nicole Peykov of Spencer Fane law firm, and the following board directors: President George Lenz, executive vice president of finance for Classic Homes, Secretary Joe Loidolt, president of Classic Homes, Treasurer/Secretary Douglas Stimple, chief executive officer of Classic Homes, Director/resident James Boulton, vice president/project manager of Classic Homes, and PPMD 1 Board President Mike Hitchcock, Vice President Mike Slavick, and Secretary April Jean Slavick.

Director Steve Schlosser, project manager for Classic Homes, did not attend.

Note: There were no public comments made during the meetings.

Northern Monument Creek Interceptor update

Nichols said the district is considering moving its wastewater treatment process to Colorado Springs Utilities (CSU) via the NMCI pipeline. About 30% of the design phase for the NMCI pipeline project was completed and the detailed cost of the project will need to be split three ways between CSU, TMD, and FLMD at about $92.5 million, with each participant contributing about $32.5 million. CSU believes the project is very important with long-term benefits, and a decision to proceed was expected around mid-December, and the district and TMD are fully committed.

CSU originally offered to finance the project, but with about $3.5 billion in capital projects to complete over the next five years, FLMD and TMD will look at other ways to finance their share of the project. Donala Water and Sanitation District will be required to buy out FLMD and TMD’s portion of the Upper Monument Creek Waste Water Regional Treatment Facility (UMCRWWTF), said Nichols.

Note: The proposed pipeline would transport the district’s wastewater to CSU, avoiding the required but costly pending regulatory upgrades to the UMCRWWTF.

Reusable return wastewater flows pursued

Nichols said the district is still pursuing reusable return wastewater flows through a project with CSU and the Pikes Peak Regional Water Authority. A feasibility study is being partially funded with a $250,000 grant from the Colorado Water Board Council, and additional participants are being solicited. The project has four participants including the district, and all are required to contribute about $2,000-$3,000 for the study ($10,000 is allocated in the budget). The district is committed to take part in the project to discover how the return flows will be treated and delivered back to the district via northern entities, said Nichols.

Rates increase for 2025

Peykov opened a public hearing on the proposed 2025 rate increases for water, wastewater, and landscape services for FLMD.

Nichols noted the proposed rate increases had been published over 30 days in advance and posted appropriately on the FLMD website on Oct. 4, 2024, and recommended the board approve another 7% increase in water and wastewater service rates and a $1 increase for the irrigation/landscaping monthly fee. The development fees will quickly go away as the district grows closer to buildout, and the increase is necessary to get the rates up to a level that will sustain operations. The district is getting closer to maintaining services without development fees, said Nichols.

Hearing no comments, Peykov closed the hearing.

The board approved the rate increases, 4-0.

TMD contract amendment

The board approved the fourth amendment to the TMD Contract Operations Agreement to increase the fee by 3% for a total of $18,150 per month (the fee includes water and wastewater operations, customer billing, and landscaping fees). See https://wp.ocn.me.v24n12tmd/.

2025 budget—FLMD, PPMD 2 and 3

Nichols said she had budgeted $300,000 in the 2025 budget to complete the FLMD design cost share of the NMCI and $150,000 to repair detention pond No. 1, and she requested the board pass the resolutions to approve the budgets and set the mill levies for the districts.

The boards approved in a 4-0 vote a resolution adopting the 2025 budget, appropriating funds for FLMD, and PPMD 2 and 3, and certifying the mill levies for each district subject to any final change after the El Paso County Assessor notifies the district by Dec. 12 of the adjusted property tax assessments.

Note: The mill levy for PPMD 2 was approved at 55.664 mills, and PPMD 3 was approved at 42 mills for collection in 2025. The mill levy for FLMD is set at 0 mills.

2024 budget amendment—PPMD 3

Nichols requested the board approve an amendment to the 2024 budget for PPMD 3, increasing the cost for the 2023 audit by $8,500. Additional funds were required for the unanticipated full audit.

The board approved the budget amendment.

2024 audit engagement letter

Peykov requested the board approve an engagement letter with Hoelting & Co. for the 2024 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 was expected to cost $17,150, and the Pinon Pines districts are expected to cost $6,500 each, according to the auditor.

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

Director and TABOR election 2025

Peykov said some of the board director seats are expiring for the FLMD, PPMD 2 and 3 boards, but the board should consider a TABOR election in 2025 to waive the property tax revenue limit that will take effect in 2025.

Stimple asked if property owners would need to vote for a TABOR election.

Peykov said within PPMD 2, the property owners would vote, but it would be a costly endeavor that will likely not pass, and the subject was not presented to the PPMD 1 Board of Directors.

Stimple said, “The election would allow the district to opt out of some restrictions that the state government have put in place to limit how much the mill levy can increase per year. Within all Classic Homes active developments, the board recommendation is against placing a TABOR waiver ballot question to the residents because the district would want the residents to vote no against property taxes increasing no more than 4.5% per year, but it is a tough sell,” and he recommended the TABOR election only for the commercial district PPMD 3 and FLMD.

Peykov said that although FLMD does not certify mill levies, the requirement may change in the future.

The board approved the election as recommended, pending clarification on which director seats would be included in the 2025 election for FLMD, PPMD 2 and 3.

Note: The director seats held by Boulton and Schlosser will expire in May 2025.

Debt authorization special election results

Stephanie Net of Spencer Fane LLP confirmed to this reporter that all five directors/electors voted in the special election held on Nov. 5 to approve a new debt authorization for PPMD 3. A canvass meeting was held on Nov. 18 to confirm no public or electors had questions regarding the election and to confirm the results. No members of the public were present. The meeting was not a board meeting and no minutes were taken. See htpps://wp.ocn.me.v24n9flmd/.

2025 budget—PPMD 1

Peykov opened the public hearing for the 2025 budget for PPMD 1. Hearing no comments, the public hearing closed.

Nichols said there were only minor changes in the budget, but an increase of 2 mills was added to cover the debt service set at 22.500 mills. The general operations will be set at 11.133 mills for 2025.

The board unanimously approved a resolution to adopt the 2025 budget, appropriating funds, and certifying the mill levy at 33.633 mills, for collection in 2025.

The board also unanimously approved/adopted:

  • The 2024 audit engagement letter with Hoelting & Co., for a fee of no more than $6,500.
  • The annual administrative resolution, meeting time, and schedule.
  • The Colorado Open Records Act hourly retrieval rate of $41.37 (the first hour is free).

Board member election

The board unanimously approved a board member election for May 2025 subject to verification of which director positions are up for re-election.

Note: The five-member all-resident PPMD 1 board has three incumbent members and has had two vacant positions for the past few years. All three directors are required to be present at each meeting to maintain a quorum for voting purposes. The director positions are not term limited, and all five director positions will be on the ballot. Self-nomination forms to be a candidate for district board member may be obtained from: Stephanie Net, paralegal, Spencer Fane, 1700 Lincoln St., Suite 3800, Denver, Colorado 80203. Tel: 303-839-3912 Fax: 303-839-3838 or email: snet@spencerfane.com.

The meetings adjourned at 4:48 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 https://forestlakesmetrodistrict.com. For general questions, contact Nichols at 719-327-5810, anicholsduffy@aol.com.

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

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