The meeting was called to order by Mike Deck at 4:05 PM. Those in attendance were board members (Mark Johns, Nick Bennett and Bob Champ) and Water System Operators Dick Winters and Frank Hauke. Mary Wagner (Bookkeeper) and Dick Lyons (legal) were present. Rick Moeller (boardmember) was absent (excused). No members of the public were present.

The minutes of the 12 July 2004 minutes were discussed. It was noted that the cost of importing existing data to the new program was $200 not $20. Also noted was that Nick Bennett was to engage a tree removal company to remove trees from lot #4 providing the cost remain below $700. This, in fact, was done and the tree removal has taken place. The cost was $200. Mark Johns made the motion that we approve the minutes of the 14 June 2004 meeting, as amended. Nick Bennett seconded the motion, which passed unanimously.

Mark Johns had the agreement for a CD with Heritage Bank. He had some reservations as to the rules in the agreement. After discussing the agreement it was decided to go ahead with the investment in

CDs with Heritage Bank.

It was noted that the tap fee for lot #60 was paid. The customer code 118 was assigned.

The financial statements were discussed as to how and when we pay Lafayette for water.

Frank e-mailed his report to the board. It is summarized below.

• We put in 3.5 hrs monitoring and 4.5 hrs maintaining the system from July 6 thru August 2, 2004.

• Took water sample for E-Coli lab test from fire hydrant at 7560 Panorama Drive. We also flushed and maintained the fire hydrant per procedure. Chlorine measured 1.02 mg/l. Sample passed.

• Read meters on 7-31-2004.

• Haven’t been able to meet up with Mike’s Backhoe yet. Still trying.

• Had a power outage on July 9. System operated correctly.

• Meter pits at 11 & 12 Bench Mark are sill full of water. Earlier we drained water out of pit at 11 Bench Mark. Checked but did not hear a leak sound at 11 or 12 Bench Mark. There is a septic and an abandoned well line in this area. We don’t think the water is caused by our system.

• Christoff at 7527 Skyway Ct. used 99,000 gallons and Rusk at 738 Skyway Dr. used 119,000 gallons of water last period.

Prior to the meeting, Frank met with Mikes Backhoe. He received an estimate of $320 to cap the well on Lot #6 and also an estimate of $320 to redo the meter pit in the road on Spring Court. Because of the amount of traffic on this meter pit it was recommended that a cast iron cover be installed for an additional $120. Mark Johns made the motion that we contract with Mikes Backhoe to do the above work. Nick Bennett seconded the motion, which passed unanimously. Frank will contact Mikes Backhoe to get on his schedule. Mike Deck will contact Mr. Dugan to get permission to do the work on Lot #6.

Mike will also contact Laura Paquin (Benchmark) regarding the seepage of water on Benchmark Lots #11 and 12. The owners of the concerned lots will also be made aware of the problem. We will also keep an eye on the problem. We do not feel the cause is on EBCWD side of the meter.

Frank and Dick will do the meter assessment next time the meters are read.

Dick reviewed the procedure for renewal of the Operator and Distribution license. Every three years a refresher course must be taken. The cost is $350 and it is offered on 1/10/05 to 1/14/05. New Operators must take a test to receive a license. Licensed operators do not have to take the test. It was noted that we would pay the operators for attendance and also the cost of the course. The courses for each license are independent of each other.

Unfinished Business:

Banking Resolution (Heritage Bank):

Previously discussed under finance. The investment in CDs will be made.

Water Storage:

Engineering discussion is deferred to the next meeting.

New Business:

Benchmark water leak:

This matter was discussed under the operator’s report.

Boulder County Concerns re: Water Storage:

In order to get legal advice on this concern the board decided to go into executive session to discuss this matter with our attorney. Dick Lyons had an addendum to these minutes certifying that the executive session regarded legal advice to the board. The addendum was signed by Dick Lyons and Mike Deck. (Document is attached to the original minutes.)

Executive Session:

Nick Bennett made the motion that we enter into an executive session pursuant to Section. 24-6-402(4)(b) for purposes of consulting with our attorney on the concerns with Boulder County on the placement of the Water Storage Tank. Mark Johns seconded the motion, which passed unanimously.

Nick Bennett made the motion that we come out of executive session. Mark Johns seconded the motion, which passed unanimously.

Director’s Comments:

Mike noted the web site would move to a different host so the site will be down some time this Sunday.

A motion was made to adjourn by Nick Bennett, seconded by Mark Johns and unanimously approved. The meeting was adjourned at 5:49 PM.

The above is respectfully submitted by the secretary…Bob Champ, August 10, 2004.