Castle Rock Water Commission

Todd Warnke, Chair John Wright, Vice Chair Castle Rock Water Commission Commissioner Wyn Barrett Meeting Minutes - Final Commissioner Kathryn Gienger Commissioner Ben Johnson Commissioner Bill Leung Commissioner Katherine Redmond Wednesday, September 22, 2021 6:00 PM Castle Rock Water 175 Kellogg Ct., Bldg. 171 Castle Rock, CO 80109 This meeting is open to the public and will be held in a hybrid format in accordance with Town Council Meeting Special Procedures During Declared Disasters. The in-person meeting will be held at 175 Kellogg Ct. Bldg. 171 Castle Rock CO 80109 or this meeting can be accessed online at: https://crgov.webex.com/crgov/j.php? MTID=m8dc1cb72e6600ce26f0fd437e1a3e53d the meeting password is: 96WMz49PRXW (96969497 from video systems) or phone in by calling (720) 650-7664, meeting code 24977465413##. Three or more Council members may also attend this meeting, during which the items listed herein will be discussed. CALL TO ORDER / ROLL CALL Present 6 - Chair Todd Warnke, Commissioner Bill Leung, Commissioner Katherine Redmond, Commissioner Kathryn Gienger, Commissioner Ben Johnson, and Commissioner Wyn Barrett Not Present 1 - Vice Chair John Wright Attendance 7 - Caryn Johnson, Mark Marlowe, Tim Friday, David Van Dellen, Matt Hayes, MaryJo Woodrick, and Matt Benak COUNCIL UPDATE Time was allowed for Councilmember Johnson to share an update on Town Council items. COMMISSION COMMENTS Time was allowed for Commissioner Comments. ADMINISTRATIVE BUSINESS WC 2021-082 Approval of the August 25, 2021 Meeting Minutes Town Council Agenda Date: NA It was moved by Ben Johnson and seconded by Bill Leung to approve the meeting minutes for the August 25, 2021 meeting as written. Yes: 6 - Chair Warnke, Commissioner Leung, Commissioner Redmond, Commissioner Gienger, Commissioner Johnson, and Commissioner Barrett Not Present: 1 - Vice Chair Wright ACTION ITEMS (HIGH PRIORITY / TIME CRITICAL) Castle Rock Water Commission Meeting Minutes - Final September 22, 2021 WC 2021-083 Resolution Approving a Construction Contract with RME Ltd., LLC dba Elite Surface Infrastructure for the Terrain Control Valve Project [Founders Parkway just north of Crimson Sky Drive] Town Council Agenda Date: October 5th Mr. Hayes shared that this project will add a new control valve vault along Founders Parkway, just north of Crimson Sky Drive. The project will also include the installation of a new automated pressure reducing valve (PRV) at the Milestone Pump Station. The purpose for this project is to work with the existing Castle Oaks Control Valve to direct the water produced at the Ray Waterman Raw Water Treatment Facility (RWRWTF) between Tank 14 and Tank 16 and balance the system demand on both tanks. Bids were received from four contractors with RME being the selected bid. The contract amount for the project is $275,875 plus a 10% contingency in the amount of $27,587 for a total of $303,462. Commissioner Warnke asked if CRW has worked with RME previously? Mr. Hayes shared a couple of projects that RME has worked on recently. Bill Leung moved to recommend Town Council approval of the Resolution as presented. Ben Johnson seconded the motion. Yes: 6 - Chair Warnke, Commissioner Leung, Commissioner Redmond, Commissioner Gienger, Commissioner Johnson, and Commissioner Barrett Not Present: 1 - Vice Chair Wright WC 2021-084 AN ORDINANCE AMENDING TITLES 3, 4 AND 13 OF THE CASTLE ROCK MUNICIPAL CODE BY CHANGING STORMWATER DEVELOPMENT IMPACT FEES, WATER RESOURCES SYSTEM DEVELOPMENT FEES, WATER SYSTEM DEVELOPMENT FEES, WASTEWATER SYSTEM DEVELOPMENT FEES, WATER RESOURCES, STORMWATER AND WASTEWATER RATES, METER SET FEES; AND MAKING CERTAIN EDITORIAL UPDATES TO SUCH TITLES (1st Reading) [Entire Town of Castle Rock and extraterritorial service areas] Town Council Agenda Date: September 21, 2021 ___________________________________________________________ _____________________ Executive Summary Attached is the Town Council Memo and Packet for your information. Castle Rock Water Commission Meeting Minutes - Final September 22, 2021 Proposed Motion “I move to recommend to Town Council approval of the Ordinance as presented” Attachments Attachment A: TC Memo & Packet for 2022 CRW Rates & Fees Mr. Marlowe shared the 2022 rates and fees recommendations. Water Fund · No change in Water Rates · 7% increase in Water System Development Fee Water Resources Fund · 3% increase in the Water Resources Rate · 15% increase in the Renewable Water Resources System Development Fee Stormwater Fund · 2.5% increase in the Stormwater Rate · 8% increase in Stormwater Development Impact Fees in Plum Creek · 4% increase in Stormwater Development Impact Fees in Cherry Creek Wastewater Fund · 5% decrease in Wastewater Rates · 4% increase in Wastewater System Development Fees Mr. Marlowe also explained that with these increases, Castle Rock Water (CRW) rates and fees are still competitive with other like Water Providers. Commissioner Leung asked where the dividing line is for the Plum Creek basin versus the Cherry Creek basin? Mr. Marlowe explained that highway 86 is a good guide for the division. Commissioner Leung asked what type of projects are planned for next year? Mr. Marlowe provided a brief summary of the capital projects planned for 2022. Commissioner Barrett asked if with the current increases will CRW be able to be more competitive with future bids on Water Rights? Mr. Marlowe explained that the increased system development fees will provide additional financial resources that will allow CRW to be more competitive. Ben Johnson moved to recommend Town Council approval of the Ordinance as presented. Kathy Redmond seconded the motion. DIRECTOR FOLLOW-UP AND INFORMATIONAL / UPDATE ITEMS Castle Rock Water Commission Meeting Minutes - Final September 22, 2021 WC 2021-085 Update 1041 Regulations Town Council Agenda Date: September 21, 2021 Mr. Marlowe explained what 1041 Regulations are as well as why the Town is interested in the adoption of these regulations. These are regulations for areas and activities of state interest. Originally passed in the State legislature in 1974, with the purpose to allow local jurisdictions to have some ability to protect their infrastructure or interest from major projects that may come through their jurisdiction, touching their jurisdiction or involving their infrastructure. Local jurisdictions can create a permitting process so that these types of projects can be reviewed locally for impacts. Currently, Colorado has 32 Counties and 67 municipalities that have adopted 1041 regulations since the adoption of the act. Castle Rock is facing some projects that could have a big impact on the local infrastructure, and it is important to be able to regulate those projects. Commissioner Johnson asked how the process worked so that staff receives the information needed? Mr. Marlowe explained the general process and that more details will be developed once the regulations are in place. Commissioner Johnson questioned how much additional work this will put on staff? Mr. Marlowe explained that these regulations will really only apply to a very small number of projects and so the additional work for staff should be minimal. WC 2021-086 Water Resources Strategic Master Plan Survey and Open House Town Council Agenda Date: NA Mr. Marlowe reported that CRW staff are working on an update to the Water Resources Strategic Master Plan. An open house has been planned for October 21, 2021 from 4:00 p.m. to 6:00 p.m. at Castle Rock Water Administration and Customer Service building. Staff are also currently collecting information through a public survey. WC 2021-087 Regional Wastewater in Northwest Douglas County Town Council Agenda Date: NA Mr. Marlowe explained that Douglas County has American Recovery Plan Act funds available. Douglas County has shown an interest in investing these funds in Regional Wastewater Infrastructure for Northwest Douglas County. Some of the reasons Douglas County is interested in this project are to improve the water quality in Chatfield Reservoir, provide for future economic development along the corridor, as well as provide wastewater service for customers currently in this area. The primary benefits to CRW of this partnership include: 1. Access to purchase reusable wastewater supplies from existing water use in the corridor today that could then be reused in Castle Rock to extinction. Castle Rock Water Commission Meeting Minutes - Final September 22, 2021 2. Option to purchase future reusable wastewater supplies from new development that may occur in the corridor as a result of centralized wastewater that could then be reused in Castle Rock to extinction. 3. Ability to create economies of scale for our operations which will help keep costs competitive for our customers in Castle Rock. 4. Generation of extraterritorial surcharges that could benefit CRW’s operational costs in Castle Rock. 5. Strengthening of regional partnerships for water and wastewater infrastructure which partnerships reduce long term infrastructure costs benefiting our customers. 6. Protection of water quality in Chatfield Reservoir, a key long term drinking water reservoir for CRW. Castle Rock would not put any financial investments into the proposed project. Once the infrastructure is in place it would be dedicated over to CRW to own and operate. CRW would become the retail water provider for the area. Commission members discussed how this could potentially affect the Castle Rock Water staff resources. Commissioner Gienger asked about the ownership of the return flows? Mr. Marlowe explained that CRW would actually own these and be able to use them to extinction. WC 2021-088 Castle Rock Water Treatment Plant Recognized for Outstanding Performance Town Council Agenda Date: NA Mr. Marlowe was excited to announce that CRW was awarded the Outstanding Water Treatment Plant by the Rocky Mountain Section of the American Water Works Association for the excellent operation of the Plum Creek Water Purification Facility. Casey Devol also received the Water Treatment Maintenance Award from the Rocky Mountain Section of the American Water Works Assn. for his design of a new processes to clean pipelines. WC 2021-089 ColoradoScape Contest Results Town Council Agenda Date: NA Mr. Marlowe shared that the third annual ColoradoScape Contest was held this summer with 12 entries submitted. The Water Commission selected the top-five videos which were then placed on the Town’s social media for voting. The winning entry was the Tracewell family (Star Wars video), and they received 191 votes. The renovation project is currently underway and should be completed in early October. Castle Rock Water Commission Meeting Minutes - Final September 22, 2021 WC 2021-090 Walker Reservoir Groundbreaking Ceremony Town Council Agenda Date: NA Mr. Marlowe reminded Water Commission members that they reviewed and approved the Walker Reservoir project earlier this summer. The project is now ready to begin so a groundbreaking ceremony has been scheduled for September 27, 2021 at 9:00 a.m. This event will include stakeholders from each water provider included in the partnership. Project completion is scheduled for June 2023. WC 2021-091 Upcoming Town Council Items Town Council Agenda Date: NA This is a standing item that will be used to share information about projects that are being worked on at the time of the meeting but that staff doesn’t have information ready yet. Mr. Marlowe shared that CRW staff are currently working with the Douglas County School District for MS4 Permit Services. This item is currently planned to go to Town Council in October. (Note: this item has been moved to a December TC meeting and will be shared at a future Water Commission meeting) COMMISSIONER MEETING COMMENTS Time was allowed for Commissioner Comments.