January 11, 2006 Minutes-Board Meeting

The regular monthly meeting of the Lower Arkansas Valley Water Conservancy District Board of Directors was held on Wednesday, January 11, 2006 at 10:00AM, at 801 Swink Avenue, Rocky Ford, CO 81067.

Chairman Singletary announced a quorum was present.

DIRECTORS PRESENT:
John Singletary-Chairman
Pete Moore-Vice Chairman
Wayne Whittaker-Treasurer
Melissa Esquibel-Secretary
Loretta Kennedy
Lynden Gill
Leroy Mauch

DISTRICT STAFF:
Jay Winner-General Manager
Bart Mendenhall-Attorney
Kim Chavez-Financial Coordinator
Randa Morlan-Administrative Assistant
Peter Nichols-Water Attorney

MOTION TO ENTER INTO WATER ACTIVITY ENTERPRISE:
Director Whittaker moved that the Board convene into the Water Activity Enterprise, seconded by Director Mauch. Motion unanimously carried.

At the conclusion of the Water Activity Enterprise meeting Director Whittaker moved to reconvene the District Meeting at 10:06 A.M., seconded by Director Esquibel. Motion unanimously carried.

INTRODUCTION OF VISITORS:
Chairman Singletary welcomed each of the visitors to the meeting, asked them to introduce themselves and identify the organization which they represent. He then introduced Lynden Gill from Bent County and announced that he will be replacing former Director Ollie Ridley.

VISITORS PRESENT:
Wayne Snider, La Junta Development; Virgil Cochran, Southeast Land & Environment; Chris Woodka, Pueblo Chieftain; Brian Taylor, Arkansas Valley Range Project; John Merson, John Martin Reservoir State Park; Harrell & Ollie Ridley, Las Animas; Julie Worley, Rocky Ford GAP; Gilbert Werdel, Larkspur Inc.; Doris Morgan, Senator Allard's office-Pueblo; Brenda Fillmore, AGUA; Bill Yohey, Kiowa County Commissioners office; Kelly Roesch, High Plains A & M and Darlene Scott, OEDIT.

OFFICIAL DISTRICT BUSINESS:
Oath of Office: Notary Kim Chavez swore in the newly appointed Directors and notarized each Oath of Office Statement.

Elections:
General Manager Winner announced a re-organization meeting of the Board is needed to elect Board Officers. General Manager Winner heard nominations for Chairman of the Board. Director Moore nominated John Singletary for the Chairman position, seconded by Director Kennedy. Director Singletary was elected as Chairman. General Manager Winner opened the floor for nominations of Vice-Chairman. Director Whittaker nominated Pete Moore for the Vice-Chairman position, seconded by Director Kennedy. Director Moore was elected as Vice-Chairman. General Manager Winner opened the floor for nominations of Secretary. Director Mauch nominated Melissa Esquibel for the Secretary position, seconded by Director Kennedy. Director Esquibel was elected as Secretary. General Manager Winner opened the floor for nominations of Treasurer. Director Kennedy nominated Wayne Whittaker for the Treasurer position, seconded by Director Esquibel. Director Whittaker was elected as Treasurer.

Office Hours:
General Manager Winner suggested to the Board a four-day work week for the District staff, which includes Financial Coordinator, Chavez and Administrative Assistant Morlan. He explained that the District office will continue to be open five days per week, but that one of the staff members will have Monday's off and the other will have Friday's off working 10 hours per day. He suggested office hours of operation to be from 7:00 AM to 5:00 PM. This will keep the District office open an extra 10 hours per week, but adding no extra hours to the staff members. Director Kennedy moved to have the District staff work on a four-day work week, seconded by Director Whittaker. Motion unanimously carried.

Legal Postings:
Pursuant to C.R.S. 32-1-903(1), the Board must designate and post the time and place for all Board meetings. General Manager Winner suggested that the Regular Board meeting dates change to the third Wednesday of the month. Director Esquibel suggested starting the change of date of the meetings in March 2006. Director Esquibel moved to change the date of the Regular Board meetings to the third Wednesday of the month starting on March 15, 2006, seconded by Director Whittaker. Motion unanimously carried.

Posting of the Board meetings will be in three different areas, Otero Count Courthouse, 801 Swink Avenue, and Rocky Ford City Hall. Director Kennedy suggested additional postings in each of the five counties represented by the District. Director Whittaker moved to post the meetings at the Otero County Courthouse, Rocky Ford City Hall, 801 Swink Avenue and send copies to each of the five county courthouses suggesting they post the meetings, seconded by Director Moore. Motion unanimously carried.

APPROVAL OF MINUTES:

TREASURER'S REPORT:
Director Whittaker reported that the financial report for the month of December was included in the Board's Monthly Meeting Packet. He reported that December total revenues of $24,486.30 and total expenditures of $187,316.75. Director Whittaker moved to accept the December Financial Statement, seconded by Director Moore and carried unanimously.

GM REPORT & PRESENTATIONS:
Richard Sandquist. Richard Sandquist a hydroponics farmer from Vineland, CO gave a speech on the history of hydroponics farming. He talked about the price in investing in a hydroponics farm, the different types of crops that can be grown and which crops would be best for the valley. Additionally, he talked about the cost of greenhouses and noted that hydroponics farming uses about 90% less water than average farming. After his brief history of hydroponics farming Mr. Sandquist displayed to the Board and visitors a few items of lettuce, which he had grown.

Steve Witte. Steve Witte, Division 2 Water Engineer gave a brief PowerPoint presentation on the snowpack update and water supply situation and how the weather is affecting our water supply in Colorado. He then gave a precipitation update. Mr. Witte reported on last year's deficit to Kansas and said that this year's irrigation season looks good so far.

COMMITTEE REPORTS:
Acquisition: Chairman Singletary noted that the Board had received a resolution on the Bureau of Reclamation contracts in their January Board packet and that he would like them to review the resolution and get back with General Manager Winner on their thoughts.

Chairman Singletary briefly commented on a water quality bill that Representative Buffie McFadyen is carrying and noted that he may need to visit with her on the bill.

It was suggested that Director Kennedy and General Manager Winner meet with Representative McFadyen concerning the water quality bill.

Attorney Nichols briefly reviewed the PSOP negotiations and what the District plans to achieve from the negotiations. He then commented on the IGA with the PSOP legislation.

Chairman Singletary briefly commented on the filings between Colorado Springs and Aurora.

LEGAL REPORT:
Attorney Mendenhall commended the Board on their patience with the PSOP negotiations and Conservation Easements.

He added that the IRS has come up with new instructions for conservation easements. They are requiring more information, such as identification of the conservation easement purpose, the FMV of the underlying property before and after the gift, and whether the gift was to get a permit or other approval from a local government and if the donation was required by a contract, and a description of any interest in nearby property held by the donor or any related party. The instructions require assurance of the donor's resources to monitor and enforce the easement.

GM REPORT:
It was suggested that the staff check into a retreat time and place for the Board of Directors.

General Manager Winner briefly commented on the Arkansas Basin Roundtables meetings held on the second Wednesday of the month.

ADJOURNED:
Chairman Singletary asked if there were any other matters to come before the Board. Hearing none, motion was made by Director Esquibel, seconded by Director Mauch to adjourn the meeting. Motion unanimously carried. Meeting was adjourned at 11:56 A.M.