EL RANCHO FLORIDA HOMEOWNERS ASSOCIATION

****REGULAR MEETING ****

The El Rancho Florida Metropolitan District Board of Directors held their regular monthly meeting on July 18, 2012 at 6:00 PM at 755 E. Second Avenue, Suite 2A, Durango, Colorado.  Board members present were:

Steve Swisher – President
Jack Wasserbach – Vice President
Tony Rocha – Secretary
Robin Boucher – Director

Also present at the meeting were: Rick Johnson – San Juan Engineering, Robert Ludwig –  Water Operator and Marsha Moreland – Administrator to the Board.  Robet Ludwig – Water Operator was out of town. The meeting was called to order at 6:00 PM by the President.

MINUTES:
A motion was made, moved and passed to approve the minutes for June 6, 2012 as submitted.

WATER REPORT: (Monthly system update)
Robert Ludwig, Water Operator, was out of town and no report was given.

SYSTEM IMPROVEMENTS:
Rick Johnson, Engineer, reported that the electrical, control components and design of the EFI pump station has taken a lot of time.  Rick is trying to blend the Timberline Electric system the District currently has with the EFI pump station design to utilize as much of the controls as possible and have them serve the system for many years out.  There is a much larger load factor than before in the design.  He stated that the amperage went from 150 to 200 and that he and his staff are still working to keep it within the 150 amps.  The new cost estimate with EFI is now $182,915.  The Timberline costs are to build a new control system that will include extras like the auxiliary well, blower and bridge light.  The Filtration equipment is Item #12 on the sheet provided by Rick.  Those costs are $58,500 for the filtration equipment, install the new infiltration gallery and to connect it.  Rick presented contracts for EFI (Pump House) and Timberline (Electrical Controls) for the BOD to sign.  EFI is 95% upon delivery (prior to start up) and 5% down with the contract.

There is an additional 404 Wetlands Permit required for the new infiltration gallery.  This could be a serious delay in the project if not received.  Rick is still waiting on the Western Fly Catcher survey that is being completed as a condition of the 404 Permit.

Rick went into great detail on the schedule for compliance.  If the State does not approve the plans then the Board would have approve a manufactured station that may not be up to the State’s requirements.
After a lengthy discussion it was the consensus of the BOD to proceed with the pump station.  The following BOD agreed with moving forward:  Robin – yes; David – yes; Tony – Yes; Steve – Yes and Jack – was undecided.  Jack wanted to think about the outcome and discuss with the other BOD just what obstacles could come about if State approval is not received and how that would affect the Compliance Schedule given to the District by the State.

A motion was made, moved and approved for making a Resolution allowing Rick Johnson to sign the contracts with EFI and Timberline Electrical, with Board approval, when the decision had been made on the amperage required to run the system designed by Rick, EFI and Timberline.  The BOD will discuss further their concerns about the contracts and will have Marsha call Rick with their decision.

After a brief discussion on the additional time required to meet the State’s review process for the project and their requirements to be met has caused unforeseen time for San Juan Engineering on the project causing additional $10,000 in costs for the District.  Rick was asking for a motion increasing his engineering contract to cover those unforeseen expenses.

A motion was made, moved and passed allowing for an increase in San Juan Engineering’s costs on the required Reports and Design criteria from $54,400 to $64,400.

WATER RIGHTS:   No update at this time – nothing to report.

ACCOUNTS RECEIVABLE:
Marsha reviewed the report on delinquent accounts and all agreed that it is time to take to task the two delinquent accounts that have Liens filed on them.  Marsha will get with Bud Smith to discuss legal action.

ACCOUNTS PAYABLE:
A motion was made, moved and passed approving the Payables for the month of July as reviewed and listed.

There followed a discussion on the approval of the EFI and Timberline Electrical Contracts and the Board’s concerns over State approval if denied.  Due to the tight time schedule and in order to move ahead with the construction of the project, it was agreed unanimously by the BOD to move ahead while waiting for approval of the project.  The BOD and Rick are hopeful that the State will approve the plans and specs and therefore the District can meet the compliance schedule. The following motion was made.

A motion was made, moved and passed to enter into contract with EFI at $182,915 and Timberline Electrical at $10,000 and continue to move ahead with the project as planned.

ELIGIBILITY SURVEY FOR 2013:
Jack reported that he completed the Eligibility Survey for 2013 in the amount of $1,998,723.  That would cover future needs of the District on the Distribution system improvements to transmission lines, pump stations, water storage facilities, and new water meters throughout the system.

ROADS:
The BOD was given a copy of the road report received from Rex Emenegger.  The Board discussed the mag chloride application and how there is some loose gravel in areas but that grading will have to wait until some rain is received or the water truck is repaired.  The weeds have been sprayed and are showing signs of dying.

COMMON AREAS:
There have been some residents that are concerned about cars parking in the common areas where there is tall dry grass.  It could cause the grass to catch on fire.  The BOD discussed the issue and feel it is really important to keep the tall grass cut down in the common areas where people park.

The aerators are running in the pond again.  Tony explained that a kit needs to be purchased to rebuild the pumps that run the aerators.  The cost would be approximately $100.

A motion was made, moved and passed approving the purchase of a kit to rebuild the pumps for the common area pond aerators.

There being no further business, the meeting was adjourned at 8:15 PM.
_________________________________
Secretary