Mountain Water & Sanitation District March 2012 Community Meeting

Agenda Introductions Water Treatment Plant Report Water Distribution System Report Water System Financing Report Wastewater Treatment Plant Report Wastewater System Financing Options Summary Questions & Answers

Board, Staff, Consultants Ken PfohlTerry Miers Greg CarmanDon Staal Lynn Kleinvehn Launa Rae Warinner Marilyn SaltzmanBill Mueller Mary Chan Dave Lindholm Adam Sommers

Water Treatment Plant Report

2003 – New EPA Radionuclide Regulations – Contracted RTW for Engineering – Received CDPHE Enforcement Order – Received Voter Approval for Tax Revenue – Joined CORADS Program – Contracted AquaWorks for Engineering – Construction Plans Submitted to CDPHE – Treatment Plant Construction – Treatment Plant In-Service.

Water Distribution Report 2009 – Production 40% Higher than Sales – Replaced ¼ Mile of Water Main – Replaced PRV & Repair Main Leaks – Production 10% Higher than Sales. $240,000 Planned Repairs.

Water System Financing Voters Approved $1,000,000 at 6% for 30 Yrs. – Repayment Cost per Home = $192 per year – Repayment Cost per Home = $5,760 Total District Received $75,000 Grants. CWPDA Loan $1,000,000 at 0% for 20 Years. – Repayment Cost per Home = $133 per year – Repayment Cost per Home = $2,666 Total Total Grant & Loan Savings per Home = $3,294

Wastewater Plant Report

2005 – New Permit with Ammonia & Chlorine Limits – Contract with GEI for Site Specific Limits – Installed Chlorine Removal Process – New Stream Segments Established – Ended GEI Site Specific Limits Contract – Contracted with AquaWorks for New Plant Preliminary Engineering. Funded by $54,000 Grants.

Wastewater Plant Report

Why a New Wastewater Treatment Plant? Plant Can’t Meet Ammonia Regulations. Plant is Over 30 Years Old – High Operating and Repair Costs. Favorable Financing Available in 2012.

Wastewater Financing Options Projected Cost = $2,000,000. Normal Financing = 3% for 30 Years. – Repayment Cost per Home = $8,080 Total Potential 2012 Financing – $2,000,000 Loan at 0% for 20 Years. – Repayment Cost per Home = $5,333 Potential Saving per Home = $2,747

Wastewater Financing Options Increase Usage Fees – $34 per Month per Home for 3% Loan. – $19 per Month per Home for 0% Loan. – Voter Approval Not Required Increase Property Tax Revenue. – Same Monthly Amounts. – Voter Approval Required. – Potential Income Tax Deduction.

Summary New Water Treatment Plant In-Service. Water Loss Reduced from 40% to 10%. More Water Distribution Work in Water System Cost $3,294 per Home Less than 2006 Estimate. Wastewater Plant Can’t Meet Ammonia Limit. Plant is 30 Years Old with High Costs. Potential Favorable Financing in Save $2,747 per Home. Raise Rates or Voter Approved Tax Revenue.

May Election Two Directors Positions. Tax Increase Ballot Question. Revenue Limit Ballot Question.

Q & A Water Treatment Plant? Water Distribution System? Waster System Financing? Wastewater Treatment Plant? Wastewater Plant Financing? Usage Fees vs. Property Taxes? May Election?