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OCN > 2501 > Monument Town Council, Dec. 2 and 16 – Council faces $3.9 million budget shortfall, hears call for fiscal sustainability

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.

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