Castle Rock Water Commission

David Hammelman, Chair Bill Leung, Vice Chair Castle Rock Water Commission Brian Gaddie Meeting Minutes - Draft KiKi Miller Melanie Penoyar-Perez Tony Rathbun Cortland Wolfe Wednesday, August 23, 2023 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 Electronic Participation, Connected, and Hybrid Meeting Policy. The in-person meeting will be held at 175 Kellogg Ct. Bldg. 171 Castle Rock CO 80104 or this meeting can be accessed online at: https://crgov.webex.com/crgov/j.php? MTID=m4f06aa17f745739ef511bdec9e31dcca the Meeting password: CRWCommMtg82323 (27926666 from video systems) or phone in by calling (720) 650-7664, meeting code #24922235841#. One or more Council members may also attend this meeting, during which the items listed herein will be discussed. CALL TO ORDER / ROLL CALL Present 5 - Chair David Hammelman, Vice Chair Bill Leung, KiKi Miller, Melanie Penoyar-Perez, and Cortland Wolfe Not Present 2 - Brian Gaddie, and Tony Rathbun Attendance 7 - Jason Gray, Mark Marlowe, David Van Dellen, Nichol Bussey , Paul Rementer, MaryJo Woodrick, and Laura Kindt COUNCIL UPDATE Time was allowed for Mayor Jason Gray to share a council update. COMMISSION COMMENTS Time was allowed for Commissioner Comments. ADMINISTRATIVE BUSINESS WC 2023-074 Approval of the July 26, 2023 Meeting Minutes Town Council Agenda Date: NA It was moved by Melanie Penoyar-Perez and seconded by Cortland Wolfe to approve the July 26, 2023 meeting minutes as presented. The motion passed 5-0. Yes: 5 - Chair Hammelman, Vice Chair Leung, Miller, Penoyar-Perez, and Wolfe Not Present: 2 - Gaddie, and Rathbun ACTION ITEMS (HIGH PRIORITY / TIME CRITICAL) WC 2023-075 2024 Rates and Fees Castle Rock Water Commission Meeting Minutes - Draft August 23, 2023 Town Council Agenda Date: October 3rd & 17th Mr. Marlowe reported that this will be a presentation only as staff is continuing to finalize the 2024 Rates & Fees packet. Mr. Rementer and Ms. Bussey than shared a preview of what the staff recommendation may be: · Reduce the Catastrophic Failure Reserve in Water and Stormwater from 2% to 1% · Maintain 2% in the Catastrophic Failure Reserve in Water Resources and Wastewater · Existing customers rate increase in the water fund 4.5% · System development fee (SDF) rate increase in the water fund 10% · Existing customers rate increase in the wastewater fund 0% · SDF rate increase in wastewater 3% · Existing customers rate increase in stormwater 4.5% · SDF rate increase in stormwater 3% for the Cherry Creek basin and 10% for Plum Creek · Existing customers rate increase for water resources 7.5% · SDF rate increase for water resources 3% Ms. Bussey explained that the higher increase in the Stormwater SDF for Plum Creek is due to the increase in building that affects Plum Creek. Building in the Cherry Creek basin has slowed slightly. Ms. Bussey shared graphs that show CRW will still be very competitive with surrounding water providers. Commissioner Hammelman asked if the changes in the Catastrophic Failure Reserve will be enough if something happens? Ms. Bussey explained that in addition to the catastrophic failure reserve funds CRW also has insurance that would also come into play if a failure occurs. The reserve account was created to assist at the on-set of a failure. Mayor Gray asked what the peak water consumption was in 2022 versus what it has been in 2023? Mr. Marlowe noted that the peak amount in 2023 has been about 18 million gallons per day. We were expecting the peak to be between 20 and 21 million gallons per day. Commissioner Hammelman asked if waiting until 2029 to build the Southern Area Water Treatment Plant was realistic? Staff answered that this is currently the plan from a water demand and supply standpoint. Commissioner Leung asked if the SDF “rebates” are working or should the percentage be re-evaluated? Mr. Marlowe explained that roughly 60% of the new home permits were receiving the discount meaning they were installing both the front and backyard landscaping. Castle Rock Water Commission Meeting Minutes - Draft August 23, 2023 WC 2023-076 An Ordinance Amending the Castle Rock Municipal Code by the Addition of a New Chapter 4.06 Regarding Plumbing Fixtures (1st Reading) [The entire Castle Rock Service Area] Town Council Agenda Date: September 5, 2023 Mr. Marlowe requested that this item be tabled for a future meeting. He shared that staff met with the plumbing manufacturing community who shared some concerns about using 0.8 gallon per flush (gpf) toilets, and how they affect water flow in the rest of the plumbing. Staff would like to read the research that was shared and do some additional studies of their own. Melanie Penoyar-Perez moved to table this item until further research can be done. Cortland Wolfe seconded the motion. Motion passed unanimously 5-0. Yes: 5 - Chair Hammelman, Vice Chair Leung, Miller, Penoyar-Perez, and Wolfe Not Present: 2 - Gaddie, and Rathbun WC 2023-077 A Resolution Approving the 2024 Water Conservation Rebate Program Budget Increase Town Council Agenda Date: September 19, 2023 Mr. Marlowe explained that the purpose of this item is to increase the turf removal rebate from $1.50 per square foot to $2.50 per square foot. This increase came from the results of the 2023 Community Survey, which showed a positive response for this change from the community. As part of this amendment, staff have requested an increase in the rebate budget from $200,000 to $300,000. Commissioner Leung asked if the increase in budget from $200,000 to $300,000 was enough to cover? Mr. Marlowe indicated that if additional budget is needed and warranted, staff will recommend a budget amendment during 2024 to provide additional funding. Bill Leung moved to recommend Town Council approval of the Resolution as presented. Melanie Penoyar-Perez seconded the motion. Motion passed unanimously 5-0. Yes: 5 - Chair Hammelman, Vice Chair Leung, Miller, Penoyar-Perez, and Wolfe Not Present: 2 - Gaddie, and Rathbun WC 2023-078 Resolution Approving the First Amendment to the Colorado Option and Structure Lease Agreement between the Town of Castle Rock and Cellco Partnership d/b/a Verizon Wireless [472 Ridge Road, Castle Rock CO 80104] Castle Rock Water Commission Meeting Minutes - Draft August 23, 2023 Town Council Agenda Date: September 5, 2023 Mr. Marlowe reported that CRW has several cell tower lease agreements on water tanks at several locations. This item is to make changes to the agreement that is already in place with Verizon. The vendor requested a longer option to continue the lease agreement. Mr. Marlowe explained that CRW is willing to make this change with the addition that the vendor’s lease payments would increase 3% each year for the lease. Melanie Penoyar-Perez moved to recommend Town Council approval of the Resolution as presented. Bill Leung seconded the motion. Motion passed unanimously 5-0. Yes: 5 - Chair Hammelman, Vice Chair Leung, Miller, Penoyar-Perez, and Wolfe Not Present: 2 - Gaddie, and Rathbun WC 2023-079 An Ordinance Adopting Landmarking for Existing Civilian Conservation Corps drop structures within McMurdo Gulch [East Castle Rock along McMurdo Gulch and generally east of Castle Oaks Drive] Town Council Agenda Date: September 5, 2023 Ms. Kindt explained that CRW is currently in the design phase for the next section of the McMurdo Gulch Priority 3 project. As part of this rehab project CRW staff discovered three drop structures that are of historical significance. The structures are in fairly good condition so staff would like to rehab and bring them back to their original purpose. As part of the project staff would like to have the structures marked as historical landmarks. This will help staff to get additional funding for the rehab of the structures as well as protect them from future destruction or removal. Staff has applied for a grant in the amount of $250,000 to help with this project. Once the project is completed, they hope to place signage explaining the drop structures and their historical importance. Commissioner Wolfe asked what the purpose of drop structures are? Staff explained that the structures help reduce erosion in and along the stream. Commissioner Wolfe asked if there are vendors/contractors that specialize in refurbishing this type of structure? Staff indicated that yes there are companies that specialize in these types of endeavors. Commissioner Hammelman asked if staff are working with the Historical Society? Staff indicated that they were not currently working with the society, but in the future, Staff could. David Hammelman moved to recommend Town Council approval of the Ordinance Castle Rock Water Commission Meeting Minutes - Draft August 23, 2023 as presented. Cortland Wolfe seconded the motion. Motion passed unanimously 5-0. Yes: 5 - Chair Hammelman, Vice Chair Leung, Miller, Penoyar-Perez, and Wolfe Not Present: 2 - Gaddie, and Rathbun DIRECTOR FOLLOW-UP AND INFORMATIONAL / UPDATE ITEMS WC 2023-080 Update on the Regional Wastewater Project Town Council Agenda Date: NA Mr. Marlowe shared an update on the Hwy 86 Regional Wastewater Project. WC 2023-081 Per - and polyfluoroalkyl Substances (PFAS) Litigation Town Council Agenda Date: NA Mr. Marlowe explained that the Town of Castle Rock has decided to join multi-district litigation against, manufacturers who use Per - polyfluoroalkyl Substances (PFAS) in their products WC 2023-082 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. The potential items are: There were no items to share COMMISSIONER MEETING COMMENTS Time was allowed for Commissioner Comments.