East Boulder County Water District

Board of Directors Meeting

St. Ambrose Episcopal Church

22 November 1999

The meeting was called to order by Bill Barclay at 4:05 PM. Those in attendance were the board members (Bill Barclay, Mike Deck, Bob Farmer, Bob Ristinen and Bob Champ), Richard Lyons (legal), Alan Matlosz (financing). Approximately 50 people from the district were also present.

Organizational Matters:

Dick Lyons gave an update on the legal documents which would formally decree the formation of the district as a state governmental entity. The court order should be recorded in the next few days and Dick will forward it to the appropriate governmental offices.

The Board of Directors was officially sworn in by Dick Lyons and each signed the oath of office.

The officers of the district were then chosen. The following Officers were elected to serve in these capacities:

President: Mike Deck

Vice President: Bill Barclay

Secretary: Robert Champ

Treasurer: Bob Farmer

The meeting schedule was discussed and it was decided that we would meet on the third Monday of the month at 4 PM. The location will be St. Ambrose Episcopal Church. These meetings are open to the public and notices will be posted prior to the meetings.

A letter of Engagement was presented to the Board for ratification by Dick Lyons. Bill Barclay nominated that we accept the conditions set forth in the letter and retain the firm of Bernard, Lyons and Gaddis as our general legal counsel. The motion was seconded by R. Champ and the motion passed unanimously by a show of hands.

Letters of Agreements with Engineering and Bond Counsel were not available for ratification.

We have 30 days from 18 November 1999 to post a treasurers bond. This must be done through our legal counsel who will file with the court.

Committee Reports:

Water: Bill Barclay, Bob Champ and Terry Kenyon (McLaughlin Water Engineers) met with Doug Short, City of Lafayette Water Dept. to discuss the Inter Governmental Agreement. Bill Barclay gave the details of the meeting. In essence, the City of Lafayette stated that the conditions set forth in a memo to Bill Barclay on 11 Dec. 1998 authored by Peter Johnson (Director of PublicWorks) would remain in effect (tap fee $14,989) and that their attorney (Pat Tisdale) would begin work on drafting the IGA which would be submitted to us by about 15 Dec. 1999.

Finance: The topic was discussed whether we should employ On-Line Ledger Services, Inc. to handle the bookkeeping services of the district. A letter to Mike Deck summarized the cost for using this service.

Engineering: The topic of adding people to the district was discussed and Dick Lyons gave the protocol on how this is to be accomplished. It is financially favorable to "fill holes" in the district, especially on Paragon Drive.

New Business:

The meeting was opened up for discussion of financing alternatives. Alan Matlosz (Bond Counsel) talked to two examples of how we might finance the cost of water and construction. The two scenarios presented were:

1. The Lafayette tap fee paid in full by the homeowner and the district improvements paid via a General Obligation Bond.
2. The Lafayette tap fee is paid partially by the homeowner (1/2 in this instance) and the other half and the district improvements are paid via a General Obligation Bond with a higher mil levy for taxation.

1. Those is support of the higher tap fee and lower mil levy ………10
2. Those in support of the lower tap fee and higher mil levy……….17

1. When do we pay Lafayette?
2. Vacant land tap fees and stand-by charges.
3. Date of completion.
4. Individual owner’s responsibilities for hooking up to the main line.