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HomeMy WebLinkAbout20110338 • St. Vrain SANITATION DISTRICT November 18, 2010 Board of County Commissioners P.O. Box 758 915 10th Street Greeley, Colorado 80631 Commissioners, Please find attached the Service Plan Amendment for St. Vrain Sanitation District serving southwest Weld County. We are in the midst of long term planning for our current and future residents and will soon embark on the building of a 6 million gallon per day(mgd) plant at our current site located off of Weld County Road 26 between Weld County Road 13 and 15. • Our Board of Directors and staff are pleased to present this document to you for your consideration and acceptance. We appreciate your time and effort and will be available to answer questions and provide additional information. We look forward to hearing from you regarding a date for the review before the Commissioners. Thank you for your time and consideration. Sincerely, Eric E. Doering District Manager Cc: Richard Lyons,Attorney EXHIBIT Board of Directors, SVSD 3 • 11307 Business Park Circle Firestone,Colorado 80504 303.776.9570 Main 303.485.1968 Fax 2011-0338 www.stsan.com • St. Vrain SANITATION DI STRICT November 22, 2010 The current SVSD 208 boundary includes approximately 120 square miles represented in green in Exhibit 1 (Map 6). The area is in South West Weld County, Colorado, by Township, Range and Section, West of the 6th Principal Meridian is as Follows: TN3N, R68W, Sections - E1/2 of 19, 20, 21 (excluding East of the ditch), 24 (portions of the South and East half), 25, 26, 27, 28, 29, 30 (portions of the East half), 32, 33, 34, 35, 36. TN3N, R67W, Sections - 19, 20, 21, 25 (West of the South Platte River), 26, 27, 28, 29, 30, 31, 32, 33, 34, 35, 36 (West of the South Platte River). TN2N, R68W, Sections— 1, 2, 3, 4, 5, 6 (portion of the East half), 7 (portions of the south half), 8 (portion of entire Section), 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28 (the East half and NW quarter), 29 (the North Half), 30 (the • North Half), 33 (East half), 34, 35, 36. TN2N, R67W, Sections— l(West of the South Platte River), 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12(West of the South Platte River), 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 27, 28, 29, 30, 31, 32, 33, 34. TN2N, R66W, Sections— 18 and 19 (West of the South Platte River). TN1N, R68W, Sections— 1, 2, 3, 10 (Portion of the East and South Half), 11, 12, 13, 14, 15, 16 (Portion of the East Half), 21 (portion of the NW quarter), 22 (portion of the north half), 24. TN IN, R67W, Sections—3, 4, 5, 6, 7, 8, 9, 10, 15, 16, 17, 18, 19, 20 (portion of the West and North Half), 21 and 22 (North half's of each). • 11307 Business Park Circle Firestone,Colorado 80504 303.776.9570 Main 303.485.1968 Fax wwwstsan.com • St. Vrain SANITATION DISTRICT To: Board of County Commissioners From: Eric Doering, District Manager Re: Service Plan Amendments Date: November 10,2010 Pursuant to the provisions of §32-1-207(2), C.R.S., the St. Vrain Sanitation District petitions the Weld County Board of County Commissioners for approval of an amendment to the District's previously approved and amended Service Plan to: (a) allow for the expansion of its treatment facilities up to, and including, 15 mg/d to meet the growing needs resulting from the inclusion of territories that formerly were • within the now dissolved Weld County Tri-Area Sanitation District and the Dacono Sanitation District, as well as to meet the projected development within the Firestone, Frederick, and Dacono planning areas; and (b) to amend the proposed service area of the SVSD to reflect municipal and county development trends. TREATMENT PLANT EXPANSION The Board of Directors of St. Vrain Sanitation District (SVSD) has been working with Frachetti Engineering, Denver, Colorado in development of an expansion of the SVSD's current wastewater treatment plant from 3 million gallons a day (mg/d) to 6 mg/d. This project has been discussed for several years and will begin in earnest during 2011 with the letting of bid documents and the selection of a contractor to build the facility. The entire project is anticipated to be an 18-24 month construction schedule. SVSD is a growing district and has reached near capacity limits that trigger the state health department mandated need to (1) begin planning for additional capacity; and (2) begin building additional capacity. With the consolidations and growing customer base these enhancements are critical to the long term needs of the SVSD. 11307 Business Park Circle Firestone,Colorado 80504 • 303.776.9570 Main 303.485.1968 Fax www.stsan.com • The plant will be a deep oxidation ditch with independent aeration and mixing systems. Two new 100 foot diameter clarifiers will be constructed within the current plant site. No additional land outside the current approved plant site is needed for this expansion of capacity. See attached Exhibit A. Additionally, the current plant site is anticipated to be able to meet the demand for additional expansions in the coming years to reach a maximum capacity of 15 mg/d. This is the first phase of that expansion plan and will deal with the current demand of approximately 2.5 mg/d and new capacity that will be needed in the coming 10 to 20 years. Additionally, the plant will be producing a Class A biosolid that will not require land application as currently done by the SVSD. This system, Autothermal ThermoPhilic Aerobic Digestion (ATAD) will allow the SVSD to work with area landscapers, communities and individuals to provide a finished product that can be applied to home or commercial uses. The plant and biosolids system will use the existing plant site to accomplish this expansion without any additional land needed. The total project costs as of this date are in the range of$26-28 million. Through prudent use of existing reserves and bonding done in late 2010, the SVSD is ready to move forward on this project immediately after design is complete. SVSD has a long history of providing sanitary sewer services to the southwest Weld • County region. This proactive effort of the Board of Directors ensures that future growth demand will be able to be met in the region. SVSD will also continue to work with other area communities and districts to provide a regional approach to sanitary sewer needs. We have appreciated and continue to seek the support of Weld County on prior approvals of boundary changes and plant enhancements. FINANCIAL VIABILITY The SVSD has a history of sound conservative fiscal management. Following strong growth in the Southwest Weld County area, specifically in the Carbon Valley region the SVSD accumulated a strong fund balance, currently approximately 23 million dollars. The SVSD has historically carried very little debt. In 2011 the SVSD will be retiring its 2000 series General Obligation bonds by making the final payment of approximately $500,000. Additionally, through the dissolution and inclusion of Weld County Tri-Area Sanitation District (WCTASD), the SVSD assumed the responsibility of administering a loan from the Colorado Water Conservancy Board with a current principal balance of approximately $1.8 million. The current annual installment of$130,259 is offset by a drainage debt fee for those properties located in the former WCTASD service area. These funds were borrowed by WCTASD to fund storm water drainage improvements in the Frederick and Firestone areas. The result of these improvements was to remove a • 2 • large area of residential and commercial properties from the flood plain. This loan has a 30 year amortization and will mature in 2034. In October of 2010 the SVSD sold just over $16 million dollars in revenue bonds to aid in funding the proposed wastewater treatment plant improvements. The total cost of these improvements will require the use of these funds as well as being supplemented by approximately $10 to 11 million dollars from current fund balance. It was determined to finance a portion of the project with revenue bonds so that the SVSD could maintain its strong cash position of approximately $13 million in fund balance (or roughly 1,500 days of operations)on a going forward basis. This strong and stable cash position enabled the SVSD to receive AA and AA- ratings from Fitch and from Standard and Poors rating agencies respectively. The cash management of the SVSD as well as the ratings received from the agencies resulted in an all inclusive cost of financing interest rate of 3.63%. The 2010 Bond series is based on a 25 year maturity basis and maturities are stepped up through the end of the series to allow for growth to aid in the debt payments. Additionally, the Board of Directors of the SVSD passed a resolution allowing for structured increases in the service fees of the SVSD over the next seven years. The increases will take our current $22 per month fee for residential customers to ultimately $30 per month in 2017(see chart below). At the new levels of$30/month,the SVSD will remain an affordable sanitary sewer fee compared to other area providers. • This will be the first changes to the SVSD rate structure since 1999. These increases will ultimately generate an additional $1 million in revenue annually not including any future growth. Growth estimates anticipate that additional service connections to the SVSD system may enable the SVSD to forego some of the rate increases. Year Increase Monthly SFE 2011 $2.00 $24 2013 $2.00 $26 2015 $2.00 $28 2017 $2.00 $30 To ensure the SVSD's ability to make the debt service payments the SVSD has set up a reserve account that will equal the previous years operating expenses. While this will insure that debt payments will be made it also insures that the SVSD will continually have available the resources it needs to operate on a day to day basis. Attached as Exhibit B is a copy of the SVSD's latest audited financial report for fiscal year 2009. • 3 • UPDATED SERVICE AREA SVSD has been serving the southwest Weld County region since the mid 1980's. Over our 25 year history we have continued to provide quality service to a growing population within our 208 boundary. Currently we serve approximately 9,000 customers/taps; our service area boundary covers over 120 square miles (See Map 6) and our population is 23,070. Attached are the maps of our service area from the original boundary(Map 1), early 90's (Map 2) late 90's (Map 3), 2006 boundary (Map 4) and the map that consolidated the previous Weld County Tri Area Sanitation District and Dacono Sanitation District (Map 5)on January 1, 2009 and May 1,2009 respectively. With the proposed expansion of our service area (Map 7) we will have the ability to serve potential new customers from Weld County Road 13 east to Weld County Road 19 and north to Weld County Road 40. We can potentially serve areas currently outlying the towns of Milliken, Johnstown and Platteville as those communities expand and have need for sanitary sewer. This is currently being prepared for discussion and decision by the North Front Range Water Quality Planning Association. We are submitting this updated plan for your review and approval as part of this service plan amendment and ask for your favorable consideration. In the future those customers from north of Colorado Highway 66 to South of Weld County Road 8 and from the Platte River on the east to County Line Road at the • Weld/Boulder County line on the west will either be or have the possibility of being served by the St. Vrain Sanitation SVSD. Article 32 of the Colorado Revised Statutes guides the SVSD's Board's decision related to inclusion of a customer into a service area or 208 boundaries. A landowner must petition to be included in the St. Vrain Sanitation SVSD and, after proper application and notice, a public hearing is held during a regular board meeting of the St. Vrain Sanitation SVSD Board of Directors. The public is invited to comment and then the Board determines the merits of the inclusion. (See Attached Inclusion Packet-ExhibitC) Inclusion in itself does not automatically result in service to a resident(s). However, inclusion results in eligibility for service. It is only after the proper infrastructure is in place and a sewer main or trunk line is within 400 feet of a facility, can service be considered. For many individual property owners inclusion is sought when a septic system fails and infrastructure is located within 400 feet of the property. This is done in consultation with the Weld County Public Health Department. Again, there may be a cost to the property owner to pay for such connection from their home or place of business to the SVSD system. SVSD's sole purpose is to provide sanitary sewer service to our customers. As such we are able to provide that one service at a fair and reasonable cost to our customers. The • 4 • concentration of customers within a fairly defined and narrow area allows the SVSD to keep its costs low and service high. In the future we will have the ability to grow our customer base as new residential and business continues to fill in the SVSD boundaries. This will be important when growth does return to the area and the sanitary sewer needs will be available from a structurally and financially strong SVSD like SVSD. With the addition of our new plant, currently in its final design phase we are doubling our treatment capacity and will be able to meet the needs of current and future customers in a seamless way. We are including in our design opportunities to minimize odors and the ability to provide Class A biosolids for distribution to our residents and businesses. This will lessen the impact on landfills and the need to land apply the biosolids as has been the practice in the past. With additional state and federal mandates related to treatment process this will be of great advantage to SVSD to have a state of the art and expanding wastewater treatment plant for the coming 20 years and beyond. In 2005, SVSD developed a Utility Plan and updated that plan in 2010. This is the plan that guides our decisions and needs as we serve our customers and continue to expand our efforts. Our current permit for the plant is now in place and will be updated upon completion of our plant expansion in 18-24 months. • SVSD has been at the forefront of regional partnerships as exhibited by the consolidation of the former Tri Area Sanitation District and Dacono Sanitation District and our current agreement with the East I-25 Sanitation District to provide service assistance to their new district serving areas north of Highway 66 and east of Interstate 25. We continue to work with Mead on providing service to a portion of their community as well as the Town of Erie,both in the area of the Interstate 25 corridor. Through our coordination with North Front Range Water Quality Planning Association (NFRWQPA) we have been approved each time we have expanded our service area. We appreciate the ongoing and continued support of Weld County through their representatives (Commissioners Geile, Mattson,Rademacher and Conway)to support our efforts in the past as we have sought to serve development, residents and commercial ventures in our boundaries. As you are aware, Weld County plays an important role in our Utility Plan document and the changes previously made to our 208 boundary. The efforts toward consolidation of small districts into a larger regional provider are proving to be extremely helpful to communities, small districts and the rate payers. Ultimately, discussion among a variety of stakeholders will be necessary to see how best to provide these sanitary sewer needs as our region continues to grow. • 5 • STATUTORY CRITERIA For service plan modifications, §32-1-207(2), C.R.S., states that this petition should be processed in substantially the same manner as is provided for initial service plan approvals under §32-1-202 through 204, C.R.S. It is submitted that these Service Plan Amendments meet the applicable statutory criteria set forth in §32-1-203, C.R.S., as follows: 1. There continues to be sufficient existing and projected need for organized sanitary sewer service in the areas both currently serviced and to be serviced by the SVSD; 2. The existing sanitary sewer service in the area to be served by the SVSD is inadequate for present and projected needs because no such service exists in such areas; 3. The SVSD is capable of providing economical and sufficient service to the area within its existing and proposed boundaries; 4. The SVSD has and will have the financial ability to discharge the revenue bond obligation indebtedness on a reasonable basis and not requiring excessive new rates and fees; 5. Adequate service is not, and will not be, available to the area to be included in the proposed Service Area either through the County or other existing municipal • or quasi-municipal corporations, including existing special districts, within a reasonable time and on a comparable basis; 6. The facility and service standards of the SVSD are compatible with the facility and service standards of the County and each municipality which is an interested party under Section 32-1-204(1), C.R.S.; 7. The amendment is in substantial compliance the County's Master Plan adopted pursuant to Section 30-28-106, C.R.S.; 8. The amendment is in compliance with the duly adopted County, regional or state long-range water quality management plans for the area; 9. The continuation of the SVSD and these amendments to the Service Plan are in the best interests of the areas that are currently being served and also that which is proposed to be served; and 10. The continuation of the SVSD and these amendments to the Service Plan are in the best interests of the residents of the SVSD and of the future residents of the area proposed to be served. Accordingly,the SVSD requests that the Board of County Commissioners approve these amendments to the SVSD's Service Plan to: (a) allow for the treatment plant expansion; and (b)allow for the expansion of the SVSD's potential service area. • 6 • St. Vralll SANITATION DISTltICF To: Weld County Commissioners From: Eric Doering,District Manager Re: Plant Expansion 2010-2011 Date: October 28,2010 The Board of Directors of St. Vrain Sanitation District(SVSD)has been working with Frachetti Engineering,Denver, Colorado in development of an expansion of our current plant from 3 million gallon a day (mgd)to 6 mgd. This project has been discussed for several years and will begin in earnest during 2011 with the letting of bid documents and • the selection of a contractor to build the facility. The entire project is anticipated to be an 18-24 month construction schedule. St. Vrain Sanitation District is a growing district and has reached near capacity limits that trigger the state mandated need to 1) begin planning for additional capacity and 2)begin building additional capacity. With the consolidations and growing customer base these enhancements are critical to the long term needs of the District. The plant will be a deep oxidation ditch with independent aeration and mixing systems. And two new 100 foot diameter clarifiers will be constructed. The current plant site is anticipated to be able to meet the demand for additional expansions in the coming years to reach a maximum capacity of 15 mgd. This is the first phase of that expansion plan and will deal with the current demand of approximately 2.5 mgd and new capacity that will be needed in the coming 10 to 20 years. Additionally,the plant will be producing a Class A biosolid that will not require land application as currently done by the District. This system,Autothermal ThermoPhilic Aerobic Digestion(ATAD)will allow the District to work with area landscapers, communities and individuals to provide a finished product that can be applied to home or commercial uses. The plant and biosolids system will use the existing plant site to accomplish this expansion without any additional land needed. • 11307 Business Park Circle Firestone,Colorado 80504 303.776.9570 Main 303.485.1968 Fax www.stsan.com • The total project costs as of this date are in the range of$26-28 million. Through prudent use of existing reserves and bonding done in late 2010,the District is ready to move forward on this project immediately after design is complete. SVSD has a long history of providing sanitary sewer services to the southwest Weld County region. This proactive effort of the Board of Directors ensures that future growth demand will be able to be met in the region. SVSD will also continue to work with other area communities and districts to provide a regional approach to sanitary sewer needs. We have appreciated and continue to seek the support of Weld County on prior approvals of boundary changes and plant enhancements. Cc: Richard Lyons,Legal Counsel for St. Vrain Sanitation District • • 11307 Business Park Circle Firestone,Colorado 80504 303.776.9570 303.485.1968 Fax www.sisan.com St. Vrain SANITATION DISTRICT Date: 10/25/2010 To: Weld County Commissioners From: Jon Peterson, Account Manager Re.: Financial Outlook St. Vrain Sanitation District(SVSD) has a history of sound conservative fiscal management. Following strong growth in the Southwest Weld County area, specifically in the Carbon Valley region the District accumulated a strong fund balance, currently approximately 23 million dollars. The District has historically carried very little debt. In 2011 the District will be retiring their 2000 series GO bonds by making the final payment of approximately $500,000. Additionally,through the dissolution and inclusion of Weld County Tri-Area Sanitation • District(WCTASD),the District assumed the responsibility of administering a loan from the Colorado Water Conservancy Board with a current principal balance of approximately$1.8 million. The current annual installment of$130,259 is offset by a drainage debt fee for those properties located in the former WCTASD service area. These funds were borrowed by WCTASD to fund storm water drainage improvements in the Frederick and Firestone areas. The result of these improvements was to remove a large area of residential and commercial properties from the flood plain. This loan has a 30 year amortization and will mature in 2034. In October of 2010 the District sold just over$16 million dollars in revenue bonds to aide in funding wastewater treatment plant improvements. The total cost of these improvements will require the use of these funds as well as being supplemented by approximately $10 to 11 million dollars from current fund balance. It was determined to finance a portion of the project with revenue bonds so that the District could maintain its strong cash position of approximately$13 million in fund balance (or roughly 1,500 days of operations) on a going forward basis. This cash position enabled the District to receive AA and AA- ratings from Fitch and Standard and Poors rating agencies respectively. The cash management of the District as well as the ratings received from the agencies resulted in an all in cost for the financing of 3.63%. • 11307 Business Park Circle Firestone,Colorado 80504 303.776.9570 Main 303.485.1968 Fax www.stsan.com • The Bond series is based on a 25 year basis and maturities are stepped up through the end of the series to allow for growth to aid in the debt payments. Additionally, the Board of Directors of the District passed a resolution allowing for structured increases in the service fees of the District over the next seven years. The increases will take our current $22 per month fee for residential customers to ultimately$30 per month in 2017 (see chart below). At the new levels of$30 the District will remain an affordable sanitary sewer fee compared to other area providers. This will be the first changes to the District rate structure since 1999. These increases will ultimately generate an additional $1 million in revenue annually not including any future growth. Growth estimates anticipate that additional service connections to the District system may enable the District to forego some of the rate increases. Year Increase Monthly SFE 2011 $2.00 $24 2013 $2.00 $26 2015 $2.00 $28 2017 $2.00 $30 To ensure the District's ability to make the debt service payments the District has set up a reserve account that will equal the previous years operating expenses. While this will insure that debt payments will be made it also insures that the District will continually have available the resources it needs to operate on a day to day basis. • Cc: Richard Lyons, Legal Counsel for St. Vrain Sanitation District • 11307 Business Park Circle Firestone,Colorado 80504 303.776.9570 303.485.1968 Fax www.stsan.coin St. Vrain SANITATION DISTRICT To: Board of Commissioners From: Eric Doering, District Manager Re: Updated Service Area Date: October 28, 2010 St. Vrain Sanitation District(SVSD)has been serving the southwest Weld County region since the mid 1980's. Over our 25 year history we have continued to provide quality service to a growing population within our 208 boundary. Currently we serve approximately 9,000 customers/taps;our service area boundary covers over 120 square miles(See Map 6) and our population is 23,070. • Attached are the maps of our service area from the original boundary(Map 1), early 90's (Map 2) late 90's(Map 3),2006 boundary(Map 4)and the map that consolidated the previous Weld County Tri Area Sanitation District and Dacono Sanitation District(Map 5) on January 1,2009 and May 1, 2009 respectively. With a pending expansion of our service area(Map 7)we will have the ability to serve potential new customers from Weld County Road 13 east to Weld County Road 19 and north to Weld County Road 40. We can potentially serve areas currently outlying the towns of Milliken, Johnstown and Platteville as those communities expand and have need for sanitary sewer. This is currently being prepared for discussion and decision by the North Front Range Water Quality Planning Association. We are submitting this updated plan for your review and approval as part of this service plan amendment and ask for your favorable consideration. In the future those customers from north of Colorado Highway 66 to South of Weld County Road 8 and from the Platte River on the east to County Line Road at the Weld/Boulder County line on the west will either be or have the possibility of being served by the St. Vrain Sanitation District. 11307 Business Park Circle • Firestone,Colorado 80504 303.776.9570 Main 303.485.1968 Fax www.stsan.com • State Statute Article 32 guides the decision related to be included as a customer in a service area or 208 boundaries. A landowner or resident must petition to be included in the St. Vrain Sanitation District and after proper application and notice a public hearing is held during a regular board meeting of the St. Vrain Sanitation District board of directors. The public is invited to comment and then the board determines the merits of the inclusion. (See Attached Inclusion Packet-Exhibit A) Inclusion in itself does not result in service to a resident(s). It is only after the proper infrastructure is in place and a main or trunk line is within 400 feet of a facility, can service be considered. For many property owners it is when a septic system fails and infrastructure is located within 400 feet would SVSD be able to provide service. This is done in consultation with the Weld County Public Health Department. Again,there may be a cost to the property owner to pay for such connection from their home or place of business to the SVSD system. St.Vrain Sanitation District's sole purpose is to provide sanitary sewer service to our customers. As such we are able to provide that one service at a fair and reasonable cost to our customers. The concentration of customers within a fairly defined and narrow area allows the District to keep its costs low and service high. In the future we will have the ability to grow our customer base as new residential and business continues to fill in the District boundaries. This will be important when growth does return to the area and the sanitary sewer needs will be available from a structurally and financially strong district like SVSD. With the addition of our new plant, currently in its final design phase we are doubling our treatment capacity and will be able to meet the needs of current and future customers in a seamless way. We are including in our design opportunities to minimize odors and the ability to provide Class A biosolids for distribution to our residents and businesses. This will lessen the impact on landfills and the need to land apply the biosolids as has been the practice in the past. With additional state and federal mandates related to treatment process this will be of great advantage to SVSD to have a state of the art and expanding wastewater treatment plant for the coming 20 years and beyond. In 2005 St. Vrain Sanitation District developed a Utility Plan and updated that plan in 2010. This is the plan that guides our decisions and needs as we serve our customers and continue to expand our efforts. Our current permit for the plant is now in place and will be updated upon completion of our plant expansion in 18-24 months. Please see next memo on Plant expansion. • 11307 Business Park Circle Firestone,Colorado 80504 303.776.9570 303.485.1968 Fax www.stsan.com • SVSD has been at the forefront of regional partnerships as exhibited by the consolidation of the former Tri Area and Dacono Sanitation District and our current agreement with the East I-25 Sanitation District to provide service assistance to their new district serving areas north of Highway 66 and east of Interstate 25. We continue to work with Mead on providing service to a portion of their community as well as the Town of Erie, both in the area of the Interstate 25 corridor. Through our coordination with North Front Range Water Quality Planning Association (NFRWQPA)we have been approved each time we have expanded our service area. We appreciate the ongoing and continued support of Weld County through their representatives(Commission members Geile, Mattson, Rademacher and Conway)to support our efforts in the past as we have sought to serve development, residents and commercial ventures in our boundaries. As you are aware Weld County plays an important role in our Utility Plan document and the changes previously made to our 208 boundary. The efforts toward consolidation of small Districts into a larger regional provider are proving to be extremely helpful to communities,small Districts and the rate payers. Ultimately, discussion among a variety of stakeholders will be necessary to see how best to provide these sanitary sewer needs as our region continues to grow. Cc: Richard Lyons, Legal Counsel for St. Vrain Sanitation District 41 • 11307 Business Park Circle Firestone,Colorado 80504 303.776.9570 303.485.1968 Fax www.stsan.com Status (Exhibit A) Review new Petition for Inclusion/Hearing date set Inclusion Hearing&Inclusion signing • St.Vrain Sanitation District Petition for Inclusion Checklist Date Property Owner/Applicant Development(if applicable) Address Major Crossroads Legal Description Acreage Present Zoning Current Assessed Value Present Land Usage Number of Units Single Family Multi-Family Commercial/Industrial Other(Description) Name and Distance to Closest District Sewer Line Within 208 Boundary Yes/No Distance from Treatment Plant Capacity Study Fee Required Yes/No Treatment/Pretreatment Issues Comments Assessed valuation upon completion of development plan • DATE Certificate of Good Standings received &reviewed by Corporate Resolution received&reviewed by Copy of Deed&Map of property received& reviewed by Completed Petition received and reviewed by Inclusion Fee received by Amount Petition sent to Dick Lyons Hearing Date scheduled for Staff recommendation After review,staff has determined that inclusion of said properly does/does not serve the best interests of the District and motion to include should be()Approved O Denied. Board action Following discussion,the board has concluded that the motion to include should be O Approved ()Denied. Comments Sent for Recording - Final recorded Order of Inclusion received District maps adjusted accordingly (Note: County Assessor's Office must be supplied updated boundary maps-Jan 15) • &VA St. Vrain • SANITATION DISTRICT Property Owner: Development (If applicable) Date: RE: Petition for Inclusion Pursuant to your request,a Petition for Inclusion into the St.Vrain Sanitation District is enclosed. Please complete this form,including your notarized signature and attach the following: 1. Check for Fees Residential Taxable Fee=(A x B x C)/ 1000=D DxE=FandFxl0=G A-Fair Market Value of Land A= B-Current Residential Assessment Rate B= C-Current Mill Levy C D-Cost per acre D= E-#of acres E_ F-Tax for one year F= G-An incentive fee that is calculated on the past 10 years G= of taxes that would have been paid to the District. • Nonresidential Taxable Fee=(A x B x C)/ 1000=D DxE=FandFx10=G A-Fair Market Value of Land A= B-Current nonresidential Assessment Rate B= C-Current Mill Levy C= D-Cost per acre D E-#of acres E_ F-Tax for one year F= G-An incentive fee that is calculated on the past 10 years G= of taxes that would have been paid to the District. Base Fee=A+(B x$20) A- Administration Fee ($1,200.00) A= $ 1,200.00 B- #of acres x$20 B=$ Base Fee+Taxable Fee=Inclusion Fee Base Fee$ +Taxable Fee$ = $ TOTAL OF FEES DUE WITH THIS PETITION $ Should engineering and administrative time exceed above value,additional charges may be levied. *Valid for 60 days from form date. • 1 • 2. Signed copy of the Inclusion Agreement(attached). 3. Completed Questionnaire(blank attached). 4. Copy of the Deed whereby you acquired Title of said property 5. Map of property(1:1000 scale or larger)or AutoCAD compatible copy of map file. 6. Copies of the Certificate of Good Standings&Corporation or Limited Partnership Resolutions. Your attention to detail in completing this petition thoroughly will result in prompt processing by the District. Return to: St.Vrain Sanitation District,11307 Business Park Circle,Firestone,CO. 80504 Upon receipt of all the information requested above,this petition will be brought before the St.Vrain Sanitation District Board for review. Petitions are heard quarterly(Jan/Apr/Jul/Oct)by the Board of Directors. Petitions must be turned into District office 60 days prior to the hearing date. For your information,Weld County levies property tax in behalf of the District to address District debt and operations. The mill levy changes each year,but is moving in a downward trend. Please inquire as to specifics. Sincerely, ST.STRAIN SANITATION District Manager • • 11307 Business Park Circle Firestone,CO 80504 Phone:(303)776-9570 Fax:(303)-485-1968 2 STATE OF COLORADO ) BEFORE THE BOARD OF DIRECTORS OF • COUNTY WELD )ss ST.VRAIN SANITATION DISTRICT PETITION FOR INCLUSION 1. is/are the fee owner(s) of one hundred percent of the following-described real property which is capable of being served by the St. Vrain Sanitation District. 2. The legal description of the property sought to be included under this Petition is as follows: (Description,or refer to Exhibit) A COPY OF THE DEED WHEREBY I/WE ACQUIRED TITLE IS ATTACHED HERETO. IF APPROPRIATE ATTACH SKETCH OF PROPERTY. 3. The above-described property is: [Check One] o Presently included in District;or o Not presently included in any district. This Petition is accompanied by an initial deposit in the amount of$ for the costs of • inclusion proceedings incurred by the St.Vrain Sanitation District. 4. The undersigned assent to the inclusion of the above-described property into the St.Vrain Sanitation District and pray that the Board of Directors of said District grant this Petition after public notice and hearing as provided by law. Owner Address Owner Address The foregoing instrument was acknowledged before me this day of ,200_ by Witness my hand and official seal. My commission expires: Notary Public • 3 INCLUSION AGREEMENT • 1. PARTIES.The parties to this Agreement are the ST.VRAIN SANITATION DISTRICT("District")and ("Owner"). 2. RECITALS AND PURPOSE.District is a governmental entity formed pursuant to Section 32-1-101 et seq, C.R.S.,and has established boundaries for various purposes including taxation.District was formed for the purpose of constructing and operating sanitary sewer facilities in the Del Camino area. Owner owns property which was not originally included within the District's boundaries and now desires to have the property included into the District.The purpose of this Agreement is to set forth the terms and conditions of the inclusion. 3. PROPERTY DESCRIPTION. The property forming the basis of this Agreement is described on Exhibit A which is attached and incorporated herein by reference.This Agreement is applicable only to the property described on Exhibit A and is not transferable to other commonly owned property or property which is the subject of other inclusion proceedings. 4. INCLUSION PROCEEDINGS. Owner has filed a petition for inclusion pursuant to Section 32-1-401,C.R.S. After notice and public hearing,the petition was granted by District's Board of Directors ,20 subject to certain conditions, including the execution of this Agreement within sixty days of the approval of the petition.Upon execution by both parties,a motion for entry of an order of inclusion pursuant to Section 32-1-401(1)(c),C.R.S.,will be filed with the Clerk of the Weld County District • Court. 5. AGREEMENT AND ACKNOWLEDGMENT.The parties hereby agree and acknowledge as follows: 5.1 Inclusion into the District is final upon entry of the Court Order of Inclusion. 5.2 Pursuant to Section 4.5 of the District's Rules and Regulations,should this inclusion be completed and recorded after May 1 but prior to December 31,and thereby be exempt from taxation for the year of inclusion,the Owner shall pay an Inclusion Fee equivalent of the amount of taxes the District would have received from the property for the then current year based upon the date of the District's order of inclusion.This Inclusion Fee shall be billed by the District and paid at the same time and under the same conditions as that years property tax.(i.e.paid the following year, one- half February 28 and one-half July 31, or full amount April 30). 5.3 Owner acknowledges that inclusion does not guarantee sewer service to the property.Service is contingent upon compliance with the District's Rules and Regulations,receipt of which Owner hereby acknowledges,and upon District's available capacity.Owner must separately apply for and purchase taps. • 4 5.4 Owner acknowledges that in the event the property is serviced and owner leases the property,in • whole or in part,to a third party the property remains ultimately liable for all fees,assessments, penalties,charges,as well as tax levies,regardless of the terms of the lease or rental agreement. Pursuant to Section 32-1-1001(1)(j),C.R.S.,until paid,all such amounts owed constitute a lien on and against the property served,said lien being superior to all other interests including first deeds of trust. 5.5 Owner acknowledges that upon inclusion,the property becomes subject to all subsequent taxes and charges of the District and shall be liable for its proportionate share of existing bonded indebtedness represented by annual tax levy.In the event of future exclusion from the District,the property shall remain obligated to the same extent as all other property remaining within the District,but only for that proportion of the outstanding indebtedness,and interest thereon,existing on the effective date of the exclusion order. 6. DONATION OF EASEMENTS. Owner agrees to donate to the District such easements as may reasonably be required by the District.The District's engineer shall consult with Owner as to probable locations and dimensions of anticipated easements. Owner agrees to execute any and all additional documents or instruments necessary to officiate the purpose of the Agreement. 7. INTEGRATION AND AMENDMENT,This Agreement represents the entire agreement between the parties and there are no oral or collateral agreements or understandings.This Agreement may be amended only by an instrument in writing signed by the parties).If any provision of this Agreement is held invalid or unenforceable,no other provision shall be affected by such holding,and all of the remaining provisions of • this Agreement shall continue in full force and effect. 8. BINDING EFFECT.This Agreement shall inure to the benefit of,and be binding upon,the parties,and their respective legal representatives, successors,and assigns;provided,however,that nothing in this paragraph shall be construed to permit the assignment of this Agreement except as otherwise specifically authorized herein. DATED: ,20_ OWNER DATED: ,20 ST.VRAIN SANITATION DISTRICT BY: • 5 St. Vrain Sanitation District Inclusion Questionnaire • (Attachment to Petition for Inclusion) 1. Name: Date: Address: Name of Development(if applicable): Phone Number: 2. Proposed Inclusion Property Description(Legal Description): 3. Acreage: 4. Present Zoning: 5. Present Land Usage 6. Current Assessed Value: 7. Development Plans on Proposed Inclusion, if any: (Attach Proposed Development Plan) 8. Number of Units: Single Family Multi-Family • Commercial/Industrial Other(Description) 9. Schedule of Development SFE's(taps)anticipated: Note: One SEE(single family equivalent)=270 gallons per day 2009: 2010: 2011: 2012: 2013: 2014: 2015: 2016: 2017: Comments: 10. Assessed valuation upon completion of development plan: This data will be used for the analysis of growth,planning, and sewer system capacity within the St. Vrain Sanitation District. • 6 IV- St. Vrain • SANITATION DISTRICT Property Owner: Development(If applicable): Date: RE: Petition for Future Inclusion Pursuant to your request,a Petition for Inclusion into the St.Vrain Sanitation District is enclosed. Please complete this form, including your notarized signature and attach the following: 1. Check for Fees Residential Taxable Fee=(A x B x C)/ 1000=D DxE=F andFx10=G A-Fair Market Value of Land A= B-Current Residential Assessment Rate B= C-3.918Mi1I Levy when inclusion formula was created O= D-Cost per acre D= E-#of acres E_ F-Tax for one year F= G-An incentive fee that is calculated on the past 10 years G= of taxes that would have been paid to the District. • Nonresidential Taxable Fee=(A x B x C)/ 1000=D DxE=FandFx10=G A-Fair Market Value of Land A= B-Current nonresidential Assessment Rate B= C-3.918Mill Levy when inclusion formula was created C= D-Cost per acre D= E-#of acres E_ F-Tax for one year F= G-An incentive fee that is calculated on the past 10 years G= of taxes that would have been paid to the District. Base Fee-A+(B x$20)=Base Fee A- Administration Fee ($1200.00) A= B- #of acres x$20 B= Base Fee+Taxable Fee=Inclusion Fee Base Fee +Taxable Fee = TOTAL OF FEES DUE WITH THIS PETITION $ Should engineering and administrative time exceed above value, additional charges may be levied. *Valid for 60 days from form date. • 1 2. Completed Questionnaire(blank attached). • 3. Copy of the Deed whereby you acquired Title of said property. 4. Map of property(1:1000 scale or larger)or AutoCAD compatible copy of map file. 5. Copies of the Certificate of Good Standings&Corporation or Limited Partnership Resolutions. Your attention to detail in completing this petition thoroughly will result in prompt processing by the District. Return to: St.Vrain Sanitation District,11307 Business Park Circle,Firestone,CO.80504 • 11307 Business Park Circle Firestone,CO 80504 • Phone: (303)776-9570 Fax:(303)-485-1968 2 St. Vrain Sanitation District Inclusion Questionnaire • (Attachment to Petition for Future Inclusion) 1. Name: Date: Address: Name of Development: Phone Number: 2. Property Description(Legal Description): 3. Acreage: 4.Present Zoning: 5. Present Land Usage: 6. Current Assessed Value: 7. Number of Units Single Family Multi-Family Commercial/Industrial Other(Description) • Comments: 8. Assessed valuation upon completion of development plan: • 3 EXHIBIT B STATE OF COLORADO ) BEFORE 1HP.BOARD OF DIRECTORS OF •cOUNTY WELD )ss ST.VRAIN SANITATION DISTRICT PETITION FOR FUTURE INCLUSION 1. is/are the fee owners(s) of one hundred percent of the following-described real property which is capable of being served by the St. Vrain Sanitation District(herein,"District") 2. The legal description of the property sought to be included under this Petition is as follows: (insert legal description,or refer to Exhibit) 3. The above-described property is not presently included in any Sanitation District. 4. This Petition is accompanied by an initial payment in the amount of$ for the inclusion fee as established by the St.Vrain Sanitation District. 5. The undersigned acknowledges that until the termination of the Intergovernmental Agreement between the District and the Town of Mead(dated:August 27,2001),such property will be serviced indirectly by the District providing sanitary sewer service to the Town of Mead,but upon the termination of such Intergovernmental Agreement,service will be provided directly by the District upon final inclusion of the property into the District. • 6. The undersigned,as owners of the property(and on behalf of the owner's successors and assigns)assent to the inclusion of the above-described property into the District upon termination of that certain Intergovernmental Agreement between the District and the Town of Mead,and request that the Board of Directors of said District grant this Petition for Delayed Inclusion after public notice and hearing as provided by law. Owner Address Owner Address The foregoing instrument was acknowledged before me this day of ,20 by Witness my hand and official seal. My commission expires: • Notary Public 4 Richard N. Lyons, II Lyons Gaddis Kahn & Hall Jeffrey J. Kahn Eve I. Canfield John W. Gaddis A Professional Corporation C Attorneys and Counselors Scott E. Holwick Bradley A. Hall Matthew Machado �teven P.Jeffers Madoline Wallace-Gross Anton V. Dworak Chad A. Kupper Adele L. Reester Daniel F. Bernard Catherine A.Tallerico Senior Counsel Special Counsel September 21, 2010 Weld County Planning Department GREELEY OFFICE Bruce Barker Weld County Attorney SEP 2 2?ntn P. O. y, CORECEIVED Greeley, O 8O632 Re: St. Vrain Sanitation District Dear Bruce: Please consider this letter as a request for the Board of County Commissioners to reconsider its decision to require the St. Vrain Sanitation District to proceed through the formal service plan amendment process that is required by state statutes for "material modifications" to previously adopted service plans. By way of history, the District was formed in 1985 to provide sanitary sewer service to the Del Camino and southwestern portions of Weld County along the 1-25 corridor to provide for the public • health and general welfare of the inhabitants of that area and of southwestern Weld County. The original plant was sized to gradually increase up to a capacity of 1.5 million gallons per day (mg/d). In 2OOO, the District sought permission through special use review to increase its plant capacity to 3.0 mg/d. By letter dated November 6, 2OOO, your letter to the District's then president stated that the District would have to comply with various land use permitting requirements but that no service plan amendment would be needed to increase the plant's capacity to 3.0 mg/d, but that permission would be needed for the District to operate at a level greater than 1.5 mg/d. In that letter, you referenced not only the BOCC's approval but also the approvals of the various communities in the area. In 2OOO, there were two other sanitation districts along the 1-25 corridor: the Weld County Tri-Area Sanitation District in Frederick, and the Dacono Sanitation District. In 2OO8, both districts dissolved and their respective former territories were included into the St. Vrain Sanitation District after a series of public hearings and an election on the issues. These inclusions immediately doubled St. Vrain Sanitation District's customer base. The Tri-Area treatment plant was decommissioned and closed in 2O1O. Thus, St. Vrain's treatment plant's flow nearly doubled upon connection of the new trunk lines into the Frederick/Dacono area. Pursuant to state health requirements, whenever a treatment plant reaches 8O% of capacity, the operating entity must commence planning for expansion. When treatment reaches 9O% of capacity, the entity must be ready to proceed with construction. Currently, the District's treatment plant is at 86% capacity. • 515 Kimbark Street • Second Floor • P.O. Box 978 • Longmont, CO 80502-0978 Phone: 303-776-9900 • Fax: 303-776-9100 www.lgkhlaw.com Lyons Gaddis Kahn & Hall A Professional Corporation �� Attorneys and Counselors Bruce Barker • September 21, 2010 Page 2 The District's proposed plant expansion will consist of the installation of state of the art oxidation ditches (deep ditches in a racetrack configuration which moves water through the ditches by paddle drums and utilizing pressurized oxygen). This new technology allows for more efficient biodegradation in a smaller footprint. The proposed plant expansion will occur within the existing plant's established and permitted site. Thus no new special use permit is required as determined by Mr. Jiricek. In addition, Mr. Jiricek's staff has determined that no revision to the flood plain map is required. The plant expansion is consistent with the District's Master Utility Plan which was submitted and approved by Weld County in May, 2010 in conjunction with the statutorily required site application permitting process. Thus, all land use requirements are met without the need for service plan amendment. The only action needed would be the approval of the treatment capacity for regional planning purposes. However, with the dissolution and inclusion of the neighboring districts, this regional planning process has already occurred through the voters' approval of dissolution/inclusion with the consent of the affected municipalities. If a formal service plan amendment process is required, Section 32-1-207, C.R.S., explains that the process for such amendment is the same as that required for initial service plan approval. Thus, it • would entail a public hearing before the Planning Commission to be held within 30 days of submittal, and another public hearing before the BOCC. This latter hearing requires the District to mail a letter notice to each property owner in the District informing them of the date/time/place and purpose of the hearing. (Section 32-1-204(1.5),C.R.S.) The District estimates that the cost and expense of mailing, plus the costs of newspaper publications for the two meetings, would be around $10,000.00, not including the County's filing fee of$250. In addition, the District would be required to incur the costs of its consultants preparing for and attending these hearings to explain the capacity issues. All together, these costs and expenses could exceed $15,000.00. On behalf of the District, we request that the BOCC allow the statutory alternative of notice and objection. Section 32-1-207(2), C.R.S., explains that service plan amendment is required "only with regard to changes of a basic or essential nature" and then gives examples such as adding additional services not provided for in the service plan (e.g., a fire district adding ambulance service, or a sanitation district adding storm water drainage services), or decreasing the level of services that were previously authorized, or a decrease in the financial ability of that district to discharge its indebtedness, etc. Section 32-1-207(2), C.R.S., then unequivocally states that "approval for modification shall not be required for changes necessary only for the execution of the original service plan." Because the District's authorized mission is to provide sanitary sewer services in southwest Weld County, it is our position that this increase in capacity of the plant due to growth and the incorporation of the Tri-Town areas is a change that falls squarely within that statutory language of being a change necessary only for the execution of the original service plan. • Lyons Gaddis Kahn 6. Hall A Professional Corporation '� Attorneys and Counselors Bruce Barker • September 21, 2010 Page 3 However, if the County believes that this could be a material modification of the approved service plan, Section 32-1-207(3)(b), C.R.S., provides that the District may publish notice of its intended action (plant expansion) to undertake such activity. Any interested party, any municipality within the District, or the County may seek to enjoin such activity within 45 days of publication of the notice of such intended action. This section also requires the District to specifically give notice to the County and to the Weld County District Court. After 45 days, if no action is filed to enjoin such activity, then the activity is deemed to not be a material modification. Thus, the District would request that the BOCC reconsider the requirement to proceed through service plan amendment process simply to change the plant capacity number "for the record" and instead allow the District to publish the required notice of intended action to see if any objector comes forward. Please give me a call if you have any questions on this request or the proposed procedure. Very truly yours, LY GADD K & HALL, PC By 6 • Richard N ns, II rivons@Ig law.com cc:St. Vrain Sanitation District Trevor Jiricek • Hello