Monument Sanitation District, Sept. 18 – Board reviews rate study

Manager’s report
Three board seats to be vacant

By Jackie Burhans and James Howald

At its September meeting, the Monument Sanitation District (MSD) board heard a report on a rate study performed by GMS Inc. and an operational report from District Manager Mark Parker. The board discussed the three board seats that will be open in the next election cycle.

Dannah Koeniger, a project engineer, and Erica Countryman, a staff engineer, both with GMS, presented to the board their study of the district’s rates. Koeniger said the purpose of the study was to ensure that the district would have adequate revenue to cover planned operational expenditures. Capital projects were not included in the study. Rates should be fair, reasonable and justifiable, she said.

At present, the residential rate is $40 per month and the commercial rate is $40 per month for the first 5,000 gallons of wastewater and $5.10 for each 1,000 gallons thereafter, Koeninger said. The late fee is 5% of the unpaid balance. The district has 1,635 residential accounts and 135 commercial accounts. The study used a five-year review period from 2025 to 2029 and assumed an annual growth of 10 residential accounts per year during that period. Expenditures were projected to increase 4% per year due to inflation, and the study assumed $59,700 per year in revenue from interest, rental of part of the headquarters building, and other sources.

Koeniger said rates should generate $50,000 per year beyond operating costs so the district can build its reserves. The district could consider one large increase during the review period or smaller annual increases to meet this goal, she said. Koeniger noted the district had last raised its rates in 2020.

Countryman noted a big jump in the district’s expenses between 2021 and 2023 and said she expected 2024 “to come in negative.” She said the costs of salaries and benefits have increased in every community between 2021 and 2023 and she wanted to make sure the district could keep qualified staff. The cost of electricity has increased, which affects the cost of operating lift stations, she said.

Koeniger pointed out that newly published standards for wastewater treatment, such as the standards for PFAS chemicals, would also increase the district’s expenses.

Parker said the board would discuss the future of its rates at the November board meeting,

Manager’s report

In his manager’s report, Parker said the lift stations were working well, there were no issues with the tenants renting space in the district’s building, and improvements to the district’s supervisory control and data acquisition system (SCADA) were on budget but taking longer than expected as issues with upgrades to the radios not yet resolved.

Parker asked the board to approve Resolution 09182024-1, which specifies the MSD office is open from 6:30 a.m. to 4:30 p.m. Monday through Thursday and closed on Fridays. The board voted unanimously to approve the resolution.

Parker said MSD’s old website was not automatically forwarding to the new website, but that problem has been fixed.

Three board seats to be vacant

Director John Howe pointed out that three directors would need to be elected in 2025. Parker explained that board President Dan Hamilton and Howe have both served two terms and are term limited, but Director Skip Morgan could run for a second term.

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Monument Sanitation District meetings are held at 9 a.m. on the third Wednesday of the month in the district conference room at 130 Second St., Monument. The next regular meeting is scheduled for Oct. 16. See https://MonumentSanitationDistrict.org. For a district service map, see https://MonumentSanitationDistrict.org/district-map. Information: 719-481-4886.

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

Manager’s report

Three board seats to be vacant

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