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HomeMy WebLinkAbout2010-03-09 WSB AGENDAWATER& SEWER BOARD AGENDA Tuesday, March 9, 2010 5:00 P.M. COMMUNITY DEVELOPMENT CONF. ROOM ENGLEWOOD CITY HALL 1. MINUTES OF THE FEBRUARY 9, 2010 MEETING. (ATT. 1) 2 . ALUM RESIDUAL DISPOSAL. (ATT. 2) 3. PURCHASE OF FRONT LOADER/BACKHOE. (ATT . 3) 4. WATERMETERPURCHASE. (ATT4) 5. LETTER FROM PAUL HOW ALD -2844 E. NICHOLS CIR. (ATT. 5) 6. CITY DITCH AT OXFORD & HURON. 7. 2009ANNUALREPORTONWATERLAW ACTNITY AND WATER RIGHTS UPDATE DATED FEBRUARY 5, 2010. (A TT . 6) 8. OTHER. WATER AND SEWER BOARD MINUTES February 9, 2010 ATT. I The meeting was called to order at 5 :05 p.m. Members present: Members absent: Also present: Clark, Olson, Cassidy, Wiggins, Woodward, Mc Caslin, Habenicht Bums, Higday Stewart Fonda, Director of Utilities Bill McCormick, Operations Supt. John Bock, Manager of Administration 1. MINUTES OF THE JANUARY 12, 2010 MEETING. The Englewood Water and Sewer Board received the minutes of the January 12, 2010 meeting. Mr. Wiggins moved; Mr. Habenicht seconded: Ayes: Nays: Members absent: Motion carried. To approve the minutes of the January 12, 2010 meeting as written. Clark, Olson, Cassidy, Wiggins, Woodward, Mccaslin, Habenicht None Burns, Higday, 2. GUEST: JOHN GALLAGHER AND KEVIN BURNETT WITH RED OAK CONSUL TING. Mr. Gallagher appeared before the Board to review the proposed changes in water and sewer connection fees. Mr. Gallagher and Mr. Burnett reviewed the methodology used to calculate development fees for Englewood . It appears that these fees would still be comparable to other municipalities in the Denver area. Mr. Gallagher explained how fees are based on the proportionat e share of capacity in the City's water treatment plant and distribution system, sewer collection system and wastewater treatment plant. Fees were calculated using standard valuation approaches to determine original cost, original cost less depreciation, rep lacement cost and replacement cost less depreciation. The Board received this as an informational item only. This item will be discussed at a future meeting. 3 . CITY DITCH -HURON & OXFORD. At the January, 2010 Water Board meeting Tom Brennan, Englewood Utilities Engineer, noted that the City Ditch bank in this area is in failure, putting the house below and the road above in danger. Alisa Osemwengie, Barbara Fout and Kim Kurczewski petitioned the Board to seek alternatives to piping the City Ditch in their area . The Board received a quote from Mueller Engineering in the amount of $5,680 to evaluate open channel alternatives for the City Ditch at West Oxford and Huron Street. Mr. Woodward moved ; Mr. Wiggins seconded: Ayes: Nays: Abstain: That the Director o f Utilities sign the contract with Mueller Engineering to evaluate open channel repair alternatives for the City Ditch at Oxford and Huron. Olson, Cassidy, Wiggins , Woodward, Mccaslin, Habenicht None Clark Absent: Bums, Higday Motion carried. 4. S . PLATTE RIVER/UNION AVE. BOAT CHUTE. The Colorado Water Conservation Board (CWCB) was contacted by the South Suburban Parks Foundation regarding concerns about public safety in the South Platte River. The area is located 250' north of the Un ion Avenue Bridge on th e South Platte River in Englewood, near Englewood's raw water intake and pump stati on . The project will improv e egress from the downstream pool , reduce eddy velociti es , improve line-of-sight to the pool and site signage . The CWCB owns the kayak bo at ch utes. Englewood staff supports these improvements and recommends approving an access and license agreement. The Boat Chute Agreement allows the CWCB to modify the intake structure by cutting an existing wall to reduce the eddies in the river flow. With the Agreement Regarding Design and Construction of Union Av enue Boat Chutes , Englewood allows the CWCB to modify the intake structure per their engineer's recommendation. The Access Agreement allows the CWCB permission to cross Englewood's river pump st ation property to gain access for construction. Mr. Cassidy moved ; Mr. Habenicht seconded: Ayes: Nays: Absent: Motion carried. To recommend Council approval of the Grant of Access Easement and the Agreement Regarding Design and Construction of Uni on A venue Boat Chutes Safety Improvemen ts Including a Part of the City of Englewood's Water Intake Structure, subject to the City Attorney's final approval. Clark, Olson, Cassidy, Wiggins , Woodward, McCaslin, Habenicht None Bums, Higday 5. WORK TRUCK. The Utilities Department Distribution/Collection crew is requesting a work truck replacement for Unit #1315 used for water and sewer main cl eaning and repairs . The purchase is being recommended to replace the existing ten ye ar old unit according to the CERF replacement schedule. The base bid is $122 ,108. An additional option of$8,865.00 is b eing added for a 3,000 lb. telescopic crane and $1,529.00 for removal of the under de ck compressor from the old truck and installation into the new truck. The vehjcle will be purchased from Transwest Trucks under the Colorado State bid in conjunction with Boulder Award Bid #5248-09. Mr. Habenicht moved ; Mr. Wiggins seconded : Ayes: Nays: Absent: Motion carried. To recommend C ouncil approval for the purchase of one Freightliner M2 106 work truck in the amount of$122,108 plus $10,394 for options for a total of $132,645 . Clark, Olson, Cassi dy, Wiggins , Woodward, Mccaslin, Habenicht None Bums, Higday 6. ALLEN PLANT ULTRA VIOLET (UV) SYSTEM DESIGN Stu discussed the Long Term II Enhanced Surface Water Treatm ent Rule that was adopted by Congress on January 5, 2006 that requires water systems to meet additional cryptosporidium ( crypto) removal requirements. The system must be operational by October 1, 2013 . Allen Plant personnel investigated the types of treatment available to comply with the BP A regulations and found UV the most effective for the inactiv ation of crypto while being compatible with future potential regulation requirements. The UV process will reduce sodium hypochlorite (chlorine) use, is an extremely fast process, is proven technology, requires the smallest footprint and is the most cost effective. Utilities Department staff recommends awarding the contract for engineering and construction management services to CDM. CDM's quote for the Allen Treatment Facility UV disinfection System Design is $432, 764 plus $20,500 for investigating a possible softening system for use during low river flow periods for a total of $453,264. Mr. Cassidy moved; Ms. Olson seconded: Ayes: Nays: Absent: Motion carried. To recommend Council approval of the contract for engineering and construction management services to Camp, Dress & McKee for ultravio let system design and softening feasibility study in the amount of $453,264. Clark, Olson, Cassidy, Wiggins, Woodward, Mccaslin, Haben icht None Burns, Higday 7. FRICO/BURLINGTON WATER APPEAL CAST #2009SA133 Stu discussed a Water Court ruling that is being disputed by Englewood, City of Denver, Farmers Reservoir and Irrigation Company and Burlington Ditch (FRICO), East Cherry Creek Valley Water and Sanitation District, Henrylynn Irrigation District, United Water and Sanitation District, City of Thornton, City of Brighton, Town of Lochbuie and South Adams County Water and Sanitation District (applicant). The ruling prevented the applicants from pumping effluent from Metro Sewer District into the Burlington Canal, causing downstream reservoirs to fill slower, therefore affecting Englewood's McLellan rights. Englewood, Denver and the other applicants are jointly appealing the ruling. The Case No. 09SA133 Common Interest Agreement will enable Englewood's legal counsel to share strategies with Denver and other applicants concerning the appeal of the Metro Pump ruling. The agreement grants permission for the parties to work together for this specific litigation to exchange information and share costs and strategy. This agreement does not compromise Englewood's water rights in any manner. Englewood has previously retained David Hill of Berg Hill Greenleaf & Rusciti to represent Englewood in the FRICO litigation to represent Englewood's rights and ensure that historical patterns of lawful diversions are protected and in accordance with past decrees. For the purpose of expediting the agreement, the Board concurred with the staff recommendnation and directed that it be forwarded directly to City Council for their February 16, 2010 meeting. 8. "THE HUB" ARTICLE DATED JANUARY 25, 2010, "FEDS INVESTIGATE ENGLEWOOD WATER THREAT." The Board received an article from "The Hub," reporting that Allen Water Plant employees prevented a potentially hazardous substance from entering the City's water distribution system on December 24 , 2009. Approximately 100 gallons of an unidentified petroleum-based chemical was apparently dumped deliberately into the South Platte River. The incident is under investigation by the EPA and Homeland Security. 9. AWWAPRESENTATION -CANYOUR WATER UTILITY BE FINANCIALLY HEALTHY IN STORMY TIMES? Stu gave the highlights of a presentation that was made, "Can your water utility be financially healthy in stormy times?" that was made at an A WW A luncheon. Stu discussed lessons learned and the importance of updating five year cash flow projections every year. He also noted that decreased revenues may result in lower fund balances, postponement of non-critical capital projects and salary freezes. 10. WATER RIGHTS UPDATE FROM DAVID HILL DATED JANUARY 7, 2010. The Board received from David Hill, Englewood's Water Attorney, a water rights update dated January 7, 2010. Stu noted developments in water litigation cases in which Englewood is involved. 11 . WATER RESEARCH FOUNDATION LETTERS. The Water Research Foundation, as part of the American Water Works Association, requested letters be sent to Senator Mark Udall, Senator Michael Bennet, Representative Diana DeGette, Representative Betsy Markey and Representative John Salazar supporting the Foundation's Fiscal Year 2011 funding request of $5 million for drinking water research. The Board directed Stu to sign and send letters of support to the above mentioned Senators and Representatives supporting the funding from the Interior, Environment and Related Agencies Appropriations Subcommittee. The meeting adjourned at 6:50 p .m. The next meeting will be Tuesday, March 9, 2010. Respectfully submitted, Isl Cathy Burrage Recording Secretary COUNCIL COMMUNICATION Date Agenda Item April 5, 2010 A IT 2 Subject Allen Plant Alum Residuals Removal and Disposal INITIATED BY Utilities Department STAFF SOURCE Stewart H. Fo nda, Director of Utilities COUNCIL GOAL AND PREVIOUS COUNCIL ACTION Council approved on July 19, 2004 the bid for the Allen Water Filtration Plant Residuals Removal and Disposal Service to Waste Management in the amount of $163,260 .00 for disposal of one year of production . Council approved on June 19, 2006 the bid for Allen Water Filtratio n Plant Residuals Removal and Disposal Service to Waste Management, Inc. in the amount of $49 ,768.00 for disposal of approximately 800 cubic yards of production . Council approved, on February 19, 2008, the proposal for the Allen Water Filtration Plant residuals removal and disposal to Allied Waste in the amount of $108,775 for disposal of approximately 2,000 cubic yards of production. RECOMMENDED ACTION The Englewood Water and Sewer Board, at their March 9, 2010 meeting, recommended Council approval, by motion, of the proposal for the Allen Water Filtration Plan t residuals removal and disposal to E.T. Technologies, Inc. in the amount of $83,520.00 for disposal of approximately 1,600 cubic yards of production . BACKGROUND, ANALYSIS, AND ALTERNATIVES IDENTIFIED Alum residuals are produced by the settling process and filter backwashing. Residuals build up in the washwater reservoir and the settled solids are pumped out by the sludge-handling barge. It then goes into the belt press, which dewaters the residuals. This process allows us to stockpile up to 2,000 cubic yards of residuals annually. Residuals are produced year-round, and it is imperative that the resid uals be processed when the weather is amenable and stored until disposal. Storage space has s in ce run out, and the Allen Filter Plant needs to dispose of these residuals in the quickest, most economical and legally compliant method. The dewatering process concentrates a naturally occurring radioact ive material (NORM), also known as technologically enhanced radioactive material (TERM) that falls under State Health Department requirements with EPA guidelines . For a comparison of relative rad iation exposure -standing next to the residuals pile for 6 months produces 1 -2 mrem/year, watching TV produces 1 mrem/year and living in a brick or stone house produces 7 mrem/year (information provided by Joseph Cattafe of COM). Residuals disposal has been an on-going challenge and debate with EPA for the past several years for Colorado Front Range utilities. The disposal site must be approved by the State Health Department as an allowed site for properly disposing of residuals resulting from normal sludge removal operat ions at the Allen Water Filter Plant. FINANCIAL IMPACT E.T. Technologies, Inc. is the recommended acceptable bidder at $83,520.00 for one year's production (1 ,600 yards). The Utilities Department budgeted $110,000.00 in account #40-1603-55201 in the 2010 Budget for this project. COM reviewed the bids and did a technical evaluation deeming the E.T. Technologies, Inc. bid the lowest, acceptable bid. LIST OF ATTACHMENTS Bid Tabulation Sheet dated March 1, 2010 City of Englewood Bid Tabulation Sheet Bid Opening Date: March 1, 2010 10:00 A.M. MST I Apparent Low Bidder I ITEM BID: IFB-10-105 Allen Water Filtration Plant Residuals Removal & Disposal Service Estimate 1600 Statement of Statement of Cubic Unit Qualifications Delivery Vendor Yards Cost Total Bid YIN Accordance YIN Exceptions: E.T;Technologies, Inc· 10000 s Drari!lh,rdt·Rd s~e 100 Parker; co : 80134 · .. RobertJ<nimber:gl[lr · ., (30~) .·68()~94f ii fax":(3"03) 680~5427 · .. mbert@eftacbldc net .· 1600CY . $ 52.20 $ 83,520.00 · y y Nc!"e Waste Management of Colorado 7780 E 96th Ave WM will require pH analvsls for profile approval, Henderson, CO 80640 & takes exception of the Indemnification clause Geoff Aardsma In the contract (303) 968-5339 fax (303) 280-9848 gaardsma@wm.com 1600 CY $ 70.82 $ 113,312.00 N y Republic Services/Allied Waste Services 8480 Tower Rd Commerce City, CO 80022 Mike Riiey (303) 459-8744 fax (303) 371-5150 mdle~@republicse1Yices.i::om No Bid No Bid No Bid No Bid No Bid No Bid IFB-10-105 Bid Tab Residuals Disposal.xis CDIVI 555 17th St(eet, Suite 1100 Denver, Colorado 80202 March 2, 2010 Bill McCormick Operations Superintendent-Utilities City of Englewood -Utilities Department 1000 Englewood Parkway Englewood, CO 80110 Subject: Dear Bill : IFB-10-105 Allen Water Filtration Plant Residua ls Removal & Disposal Service Bid Evaluation and Recommendation As requested, CDM completed a review of the bids for the abo ve referenced project. This letter lists the actions taken fo complete this review, as follows : • Evaluated the original bid documents submitted to the City on March 1, 2010 . • Verified the estimated quantity arid unit price equals the To tal Base Bid amount. • Verified completeness of bids Based on the evaluation of the bids received, it is our opinio11 tha:t a ll contractors submitted responsive bids. E.T. Technologies, Inc. is the low apparent bidder and did not take any exceptions to the Contract. TI1erefore, CDM recommends that the Ci ty award the contract for the referenced project to E.T. Teclmologies, Inc. Please call with any questions you may have. Very t~uly your) v ames J. riss, P.E . Principal Camp Dresser & McKee Inc. cc: project files P:\0710 ·Englewood\59568 ·Residuals Landfill Disposal Assessmenl\2010 Rel sd ua ls Disposan!FB·10-105 Bi.devaluation leller.doc consul!Jng . engin.eerlng. (.ons.truction ·operations AIT. 3 COUNCIL COMMUNICATION Date April 5, 2010 INITIATED BY Utilities Department Agenda Item Subject Purchase of Loader/Backhoe STAFF SOURCE Stewart H. Fonda, Director of Utilities COUNCIL GOAL AND PREVIOUS COUNCIL ACTION Existing Rubber-Tired Wheel Loader/Back was approved by Council on June 16, 1997 in the amount of $89,089.00. RECOMMENDED ACTION The Englewood Water Board, at their February 9, 2010 meeting, recommended Council approval, by motion, of the purchase of one, new Rubber-Tired Wheel Loader/Backhoe from Wagner Equipment Co. in the amount of $121,450.00. Options for a hydraulic breaker ($23,925.00) and a hydraulic compactor ($7,910.00) were added for a total of $153,285.00. BACKGROUND, ANALYSIS, AND ALTERNATIVES IDENTIFIED The proposed loader/backhoe is the primary piece of equipmen t used for excavating dirt and fill for water, sewer and stormwater projects. The proposed backhoe will have quick- detaching features that will combine two pieces of equipment -hydraulic breaker and a hydraulic compactor. The purchase is being recommended to replace the existing 13-year old Unit #1304 according to CERF replacement schedule. Bids were received from two vendors: Honnen Equipment Wagner Equipment Co. FINANCIAL IMPACT $121,731.00 $121,458.00 Wagner Equipment Co. is the recommended bidder at $121,450.00 for the basic backhoe. The base truck amount will be funded by the CERF Fund. Op tions for a hydraulic breaker ($23,925) and a hydraulic compactor ($7,910.00) were added for $31,835 .00 . These options are 2010 Budget items with the Utilities Department contributing $31,835.00 from #40-1604-61401. LIST OF ATTACHMENTS Bid Proposal Tabulation Sheet dated February 23, 2010 City of Englewood Bid Tabulation Sheet Bid Opening: Tuesday, February 23, 2010 10:00 A.M. ITEM: IFB-10-104 Rubber Tired Wheel Loader-Backh_o_e--------------------------------------' Raaenaum ,,;uooer 11rea upt1on: upuon: upt1on: uptton: 1 Wheel Loader-Parts Shop Extended Mechanical Option: Option : Total Price Acknowled Backhoe Bid Manual Service backhoe Front Wheel Hydraulic Hydraulic with all 6 Vendor ged Y/N? Price X3 ManualX3 boom Drive Breaker Compactor options: Exceptions: Rueter's 10000 Brighton Road Henderson, CO 80640 No Bid Preston Schwisow (Sales Rep) 303-287-1361 fax 303-287-1256 No Bid No Bid No Bid No Bid No Bid No Bi d No Bid Van's Equipment Gave price sheet for following options: 4046 Joe Collier Dr Okada 6500 plate compactor $4221.00 Dacono, CO 80514 Okada 13,500 plate compactor $7750.00 Kevin Moore (President) Okada Hammer $23, 148.00 303-828-9600 fax 303-828-4733 All in f ormation provided has been sent to No Bid No Bid No Bi d Fleet Mgr for review Honnen Equipment Co. 5055 E 72nd Ave None Listed Commerce City, CO 80022 Steve Stotz (Territory Mgr) 303-286-4819 fax 303-287-0086 stevestotz@honnen.com y $ 121 ,731 .00 $ 650 .00 $ 365 .00 $ 10,230.00 $ 6,750.00 $ 20,938.00 $ 9,291.00 $ 169,955.00 Wagner Equipment Co. 18000 Smith Rd None Listed Aurora, CO 80011 Andy Kratt (Sales Rep) 303-739-3299 fax 303-739-3191 akratt@waanereauioment.com Included y $ 121,450.00 $ 135.00 $ 1,554.00 $ 4,495 .00 No Charge $ 23,925 .00 $ 7,910.00 $ 159,469 .00 STATE AWARD# SERVICENTER GARAGE SUMMARY SPECIFICATION SHEET FOR NEW VEHCICLES -------------------- ENGLEWOODBID# __ ~IF=B~-~1 ~0-~1~04-'------------~- MANUFACTURER OF VEHICLE __ C=A'-"-T=----------- MODEL OF VEHICLE 450E Backhoe Loader ------------------- AIR CONDITIONING YES NO AUTOMATIC TRANSMISSION YES NO POWER WINDOWS YES NO POWER DOOR LOCKS YES NO 4 WHEEL DRIVE YES NO FLEX FUEL OPTION YES NO CERF REPLACEMENT YES NO NEW ADDITION TO FLEET YES NO DEPARTMENT VEHICLE ASSIGNED TO Utilities 4016 04 ---~--------- COMMENTS: This unit replaces Unit 1304, a 1997 John Deere 71 OB backhoe. This unit has met the replacement crit eria both in hours of use and age. This is the lowest bidder; funds are available through the CERF fund. The cost of the unit is $121,450.00. Date April 5, 2010 INITIATED BY Utilities Department A TT. '-/- COUNCIL COMMUNICATION Agenda Item Subject Water Meter and ERT Purchase STAFF SOURCE Stewart H. Fonda, Director of Utilities COUNCIL GOAL AND PREVIOUS COUNCIL ACTION Council approved the 2005 meter purchase in the amount of $76, 785.10 at their March 21, 2005 meeting. · Council approved the 2006 meter purchase in the amount of $51,331.40 at their May 15, 2006 meeting . Council approved the 2009 meter purchase in the amount of $1 14, 140 at their February 2, 2009 meeting. RECOMMENDED ACTION The Water and Sewer Board, at their March 9, 2010 meeting , recommended approval by motion for the purchase of water meters and electronic remo t e t ransmitters (ERTs) from National Meter and Automation, Inc. in the amount of $46,60 1.10. BACKGROUND, ANALYSIS, AND ALTERNATIVES IDENTIFIED The Utilities Department purchases water meters needed for a n entire year by requesting one large bid proposal for additional cost saving~. The Utilities Department is converting the metering system to the ITRON Automatic Meter Reading System . All meters and registers purchased will be compatible with the ITRON System. A portion of these meters will be resold to Englewood customers for new installations as part of the flat-rate-to-meter conversion process. Some of the meter stock will be used to replace inactive or poorly functioning meters and to convert existing meters to the ITRON system. A portion of the 2010 order is electronic remote transmitters (ERT's) for updating existing residential meters, enabling meter reade rs to obtain meter readings using radio frequencies. This improves accuracy, and at the same time, is a labor saving device. FINANCIAL IMPACT Englewood's meter and ERT order is being placed in conj u nct ion with Denver Water Board 's Purchase Order #104918 for the best quantity price. Meters and ERTs will be purchased from National Meter & Automation for the amount of $46,601 .10 for meters. Of this amount, approximately $20,000 will be resold t o Englewood customers for flat-rate to meter conversions. There is money budgeted for these meters in the 2010 Budget. LIST OF ATTACHMENTS Quote from National Meter and Automation, Inc. {:.~<r~ A. Tl'£> NA L METER AND AUTOMA T ION, INC. 9800 E. Easter Ave, Ste. 130, Centennial, CO 80112 Tel: (303) 339-9100 Fax : (303) 649-1017 Mr. Randy Pierce City of Englewood Water Department Englewood, CO 80110 Dear Randy: Per your request please find the following quotation: 70 -5/8x3/4 Badger LP meter with Encoder register for Pit ERT: $64.00 ea 100 -3/4" Badger Meter with Encoder Register for Remote ERT: $70. 73 ea 40-3/4" Badger Meter with Encoder Register for Pit ERT: $70.73 ea 10 -l" Badger Meter with Encoder Register for Remote ERT: $101.17 ea 20 -l" Badger Meter with Encoder Register for Pit ERT: $101.17 ea 130-60W ERT with in-line connector for Remote Series: $89.62 ea 110 -60W ERT with in-line connector for Pit Series: $89.62 ea 50-5/8x/3/4" Badger RTR Register with potted wire: $76.75 ea 50-3/4" Badger RTR Register with potted wire: $76.75 ea Full Freight Allowed Delivery: 30-45 Days ARO Terms: Net 30 Days Thank you, Noel Frakes President February 23, 2010 Meter and Itron 2010 -National Meter and Automation, INC. Quanitv Discriprion 70 5/8" x 3/4 Badger Meter LP with Encoder Register for Pit ERT 5' Wire with in-line connector for Itron ERT 100 3/4" Badger Meter with Encoder Register for Remote ERT 5' Wire with in -line connector for Itron ERT 40 3/4" Badger Meter with Encoder Register for Pit ERT 5' Wire with in-line connector for Itron ERT 10 1" Badger Meter with Encoder Register for Remote ERT 5' W ire w ith in -line connecto r for Itron E RT 20 1" Badger Meter with En coder Reg ister for Pit ERT 5' Wire with in-line connector for Itron ERT 130 60W ERT with in-line conncetor for Remote Series 110 60W ERT with in-line conncetor for Pit Series 50 5/8" x 3/4" Badger RTR with Potted wire for Pit ERT 50 3/4" Badger RTR with Potted wire for Pit ERT Cost per Unit $ 64.00 $ 70.73 $ 70 .73 $ 101 .17 $ 101.17 $ 89.62 $ 89.62 $ 76.75 $ 76.75 total Total Idem $4,480.00 $7,073.00 $2 ,829 .20 $1 ,011 .70 $2,023.40 $11 ,650.60 $9,858.20 $3,837 .50 $3 ,837 .50 $46,601.10 National Meter & Automation, Inc 9800 E Easter Ave. Suite 130 Centennial, CO 80112 303-981-9330 Phone 303-649-1017 Attention Noel Frakes c ATT. s T y March 1, 20 IO Paul Rowald 2844 E. Nichols Cir. Centennial , CO 80122 0 F E N G L E RE: Account Number: 36939028440 Sanitary Sewage Treatment Billing Dear Mr. Rowald, Thank you for your letter of February 22 , 2010. w 0 0 At your request, we have reviewed the charges on your account. The present balance of $306.31 is correct and is the minimum charge for a single family residence. This charge is made up of three parts: $199.56 ($187.14 + $12.42) is what Englewood collects for sanitary sewage treatment. The approved rate increase over 2008 was 8%. $13.18 is for maintenance of the Big Dry Creek Interceptor (IBA) which serves five sanitation districts. Everyone in this drainage basin contributes to the upkeep of this conduit. $93.57 is collected by Englewood for the South Arapahoe Sanitation District. Englewood does not own the sewage collection pipes in your area , South Arapahoe does . There is no question that wastewater treatment is getting increasingly expensive. The reason for the marked increase since 2002 is the recently completed, major construction project at the Littleton I Englewood Wastewater Treatment Plant. This $114,000,000 project increased the capacity of the plant and kept the plant in compliance with State and Federal clean water regulations. If you have internet access, complete information about the project can be seen at http://englewoodgov.org/Index.aspx?page=420. If you do not have int ernet access and would still like the information, call me and I will have it mailed to you. I would be more than happy to discuss our rates with you either in person or over the phone. Please feel free to contact me. ~c.ergr, BuJ..- \~k Utilities Manager of Administration 303-762-2643 Fax 303-783-6894 jbock@englewoodgov.org 1000 Englewood Parkway Englewood, Colorado 80110 Phone 303-762-2300 D . February 22, 20 I 0 City Manager City of Englewood 1000 Englewood Parkway Englewood, CO 80110 Paul E. Howald 2844 E. Nichols Circle Centennial, CO 80122 RE: Sewer Account 00036060 36939028440 Dear City Manager: :·::'-' 2010 I hereby formally protest the amount you have billed me for sewer services for year 2009. The total amount is $586.97 ........ THIS IS MORE THAN A 100% INCREASE OVER LAST YEAR. Can't you people run a tighter ship? Sticking the publi c for incompetent management and the inability to stay within a budget is not acceptable. Let's get all new bureaucrats to run this department ...... they can't do any worse. Also the letter sent in December (unsigned and no date supplied) was about as poorly written as it could have been. It made very little sense w ith all the fancy word labels and misnomers. What does a "concrete utility charge" hav e to do with sewer service in , the first place? And what the hell does "Cycle Billing fo r 2009 Rates Recover" mean. Come on ......... use simple common words to communicate. I'm not going to pay this balance due. One would think that Englewood could exercise a little more restraint and take a little more proactive ro l e in helping its customers, especially in such a severe economic time as this. But n o, instead you ask for more than a 100% budget increase. This is what is wrong with govertunent today. Spend .... spend ...... spend. Tax .... tax ... tax. I say get rid of every bureaucrat who is not fiscally responsible and hire business people who know how t o trim fat and get rid of waste (pun intended). Before you assess me further with the county, I would suggest you look at this invoice, just to be sure it is correct. p tax payer" CITY OF ENGLEWOOD ENGLEWOOD CIVIC CENTER' 1000 Enalewood Pkwv. *Enalewood CO 8 ACCOUNT NUMBER BILLING DATE 00036060 12/01/2009 36939028440 11 •• 1.11 ...... 11 .. 1.1 .. 1.11 ... 11 PAUL HOWALD KATHRYN HOWALD 2844 E NICHOLS CIR CENTENNIAL CO 80122-3476 DUE DATE 01/11/2010 .. 0110 BILL NUMBER 893216 MAKE CHECK. OR MONEY ORDER PAYABLE TO: CITY OF ENGLEWOOD. THERE WILL BE A $25 .00 CHARGE ON ALL RETURNED CHECKS. $306.31 SERVICE LOCATION 2844 E NICHOLS CIR I~~ 111 1 ~ 11111 ~I I~ 11~1I~11111111~ ~~I I~~ 11~1 ~11~~111~111111~ II~ 11~11~1111111~ l~l 11~1111 0 0 0 3 6 0 6 0 3 6 9 3 9 0 2 8 4 4 0 0 0 0 0 3 0 6 3 1 WHEN PAYING BY MAIL INCLUDE TOP PORTION OF BILL WITH FULL PAYMENT. ACCOUNT NUMBER SERVICE LOCATION 00036060-36939028440 2844 E NICHOLS CIR BILLING DATE DUE DATE PREVIOUS READING PRESENT 12/01/2009 01/11/2010 0 0 TYPE OF SERVICE FROM SERVICE DATES TO PREVIOUS BILLING SEWER CYCLE BILLING FOR 2009 R TES RECOVER PAYMENT-THANKYOU WATER CHARGE SEWER CYCLE BILLING IBA CYCLE BILLING SOUTH ARAPAHOE SANITATION BIL ING 12/01/2009 12/01/2009 12/01/2009 12/01/2009 12/01/2010 11/30 /2010 11/30/2010 11/30/2010 . . . '. TOTAL AMOUNT DUE . . . . . CONSUMPTION 0 AMOUNTS 280 .66 12.42 -280.66 0.00 187.14 13.18 93 .57 $306.31 COMMENTS WATER CONSUMPTION HISTORY . PLEASE WRITE THE ACCOUNT NUMBER ON THE PAYMENT CHECK. PLEASE ENCLOSE THE TOP PORTION OF THE BILL WITH THE FULL PAYMENT. DATE DAYS USAGE PAY YOUR BILL ON LINE@ WWW.ENGLEWOODUTILITIES .ORG OR ON THE PHONE'@ 303-783-6930 WITH CHECK OR CREDIT CARD . ,,,,.,~ PAYMENTS DUE IN FULL. IF PAYMENT ARRANGEMENTS ARE NECESSARY, PLEASE CALL (303) 762-2635 ~~ PLEASE SEND PAYMENTS AND ANY INQUIRIES TO: .... ~ ~ ENGLEWOOD UTILITIES DEPT., 1000 Englewood Parkway, Englewood, CO 80110. ~ ,, UTILITIES DEPARTMENT SOUTH ARAPAHOE WEBSITE FOR QUESTIONS WWW .SOUTHARAPAHOE .ORG CONCRETE QUESTIONS BILL NUMBER 303-762-2635 303-762-2360 Notice to Englewood's Water, Sewer and Concrete Utility Customers Dear Englewood Utilities Customer: On your most recent bill , the line item "Cycle Billing for 2 009 Rates Recover" may appear for the water, sewer and/or concrete utility charges along with a dollar amount. This charge reflects the change in the rates from 2008 to 20 09. In late 2008, the Englewood City Council approved rate increases recommended by the Water and Sewer Board and the Englewood Public Works Department (for concrete charges only). When the new rates were approved and enacted, many customers had already been billed and paid for 2009 services at the 2008 r ates. Other customers had been billed and paid for all 2009 services at the new 2009 rates. The Rate Recovery charge is intended to equitably and fairly apply all the 2009 rates among all of our customers. Not all of our customers will see all o_f these recovery charg es . You will see only those that apply to your account. If you have questions or concerns regarding the water and s ewer charges, feel free to call us at 303-762-2635. For questions related to the concrete charges, call 303-762-2360. Also, our customers may now pay their Englewood Utility bil1s either online or over the telephone using a credit card or checking account. To pay online, visit the Englewood Utilities Depaiiment web site at www.englewoodutilities.org and follow the instructions, or call 303-783-6930 and follow the verbal prompts. If you have difficulties, give us a call at 303-762-2635. ATT. ~ 2009 ANNUAL REPORT ON WATER LAW ACTIVITY To: Water and Sewer Board and City Council of the City of Englewood THIS IS A CONFIDENTIAL ATTORNEY CLIENT COMMUNICATION. KEEP IT CONFIDENTIAL. The predominant legal work during 2009 related to the changes of the water rights ofFRICO (Farmers Reservoir and Irrigation Company), Burlington (the Burlington Ditch, Reservoir and Land Company), and Henrylyn (Henrylyn Irrigation District). The changes involve Barr Lake, Prospect Reservoir, Horsetooth Reservoir, Milton Reservoir, Lower Latham Reservoir and various direct flow rights. It is the largest change of water rights from agricultural use to municipal use in Colorado history. The rights which ultimately can be changed to municipal use in accordance with the requested decrees probably exceed 90,000 acre feet of annual diversions. As an aid to understanding the magnitude of that change, Denver's average annual diversions from the eastern slope and the western slope are around 345,000 acre feet, and Denver is the state's largest diverter. The dollar value of the rights being changed is enormous; the value per acre foot may be somewhere between $7500 and $10,000 dollars. The changes are being pushed by Robert Lembke, a water investor who formed United Water and Sanitation District, which he controls, as an entity to hold title to the rights being changed. A large block of the shares in the various companies have been bought by United, and then sold by United to East Cherry Creek Water and Sanitation District, which will pump the changed water uphill for some 30 miles or more to serve homes in the Cherry Creek valley. Those homes presently get their water from deep wells, which are being exhausted. The changed rights with which Englewood has been concerned to date are those which divert at the Burlington Canal headgate. Those rights have a long and sad history of major diversions in excess of their decreed amounts, with no proper accounting, and no adequate supervision by the Water Commissioner. Back toward the outset of the proceedings, an engineer for one of the other opponents (i.e. one on our side) made a rough guess that the Burlington Canal diversions exceeded the lawful amounts by perhaps 30,000 to 50,000 acre feet per year. While that amount is unsubstantiated, it gives an idea of the magnitude of the problem. The over-diversions primarily injured Englewood's 1948 McLellan Reservoir priority and Englewood's Bear Creek exchange, which allows Englewood to take its Bear Creek water at the City Ditch outlet from Chatfield Reservoir. Those two rights enable Englewood to take soft water from Chatfield and alleviate Englewood's hardness problem, as well as providing water which is sold to Centennial Water and Sanitation District (Highlands Ranch). However, the over-diversions have been so immense that in times of drought they probably impacted Englewood's core senior rights which divert at Union A venue. Englewood entered the cases to constrain the future Burlington headgate diversions to their lawful historic amounts, and to deal with the 1999 Agreement (see below re the 1999 Agreement). The results so far are as follows: 1. The 1885 Burlington storage right, the most senior on the river, has been reduced from 11,081 acre feet of allowable annual diversions to 5,456 a/f. Essentially its allowable diversions were cut in half. 2 . The 1885 Burlington direct flow right was cut from 350 cubic feet per second to 200 cfs, and its use below Barr Lake was forbidden . 3. The Applicants (FRICO , Burlington, Henrylyn, East Cherry Creek) sought a finding that 69 percent of the historic lawful diversions were "burned up", that is constituted consumptive use through evaporation and transpiration . (East Cherry Creek can pump all of the consumptive use uphill to East Cherry Creek.) Instead, the Water Court determined that only 50 percent of the historic lawful diversions constituted consumptive use and could be pumped uphill. That reduces by 27.5 percent the claimed amount of water which East Cherry Creek could take out of the river. 4 . The average annual amount which could be diverted on the FRICO 1909 Barr Lake right was reduced from 21,930 a/f to 11,616 a/f. 5. As part of the efforts to remove Globeville from the flood plain, the Burlington Canal headgate was recently moved some 900 feet upstream and rebuilt by Denver Public Works and Urban Drainage and Flood Control. As part of the move, FRI CO insisted that the new headgate be able to take the entire flow of the river up tol ,000 cfs, whereas the old headgate could take the entire flow only up to 700 cfs. But the Water Court ruled that diversions at the new headgate could not exceed diversions at the old headgate. 6. For generations the Burlington diverters had captured seepage and return flows and re-used them for irrigation, which is unlawful. The Water Court forbade continuation of that practice. 7. The Burlington Canal intercepts Sand Creek, which has become a perennial stream readily visible from highway I-270. The Burlington Company had a decreed right to divert from Sand Creek. The Water Court declared that right to be abandoned . 8. The Burlington Canal intercepts First, Second and Third Creeks, which were once intermittent prairie streams, and takes their water. Those streams are now perennial, because of development. The Water Court required that the water so taken count against the decrees which divert at the Burlington headgate. 9. The Water Court imposed strict accounting standards . 10 . Very importantly, the D ivision Engineer appointed a special Water Commissioner whose job is to enforce all the rules about diversions at the Burlington headgate. The Division Engineer appears to have been embarrassed at the evidence of widespread decree violations which had gone on for generations . All of the foregoing items are being appealed (except for the accounting standards and the new Water Commissioner and the rulings on Sand Creek and First, Second and Third Creeks). The rulings created great consternation among the shareholders ofFRICO and Burlington and the Henrylyn landowners. Among other results of the consternation, FRICO, Burlington and United have new and separate counsel for the appeal. Previously, John Akolt had represented FRICO, Burlington and United. Opening briefs are due in April. While it does not matter now, before trial, Englewood and Aurora offered the Applicants a settlement which was vastly better than the results of the trial. The Applicants turned it down as too stingy. On the downside, Englewood lost on two issues in the Water Court. The first was the 1999 Agreement, and the second was a ruling on the Metro Pumps. Denver and the Burlington div erters entered into the 1999 Agreement. In brief it provided 1) that the Burlington diverters would cease complaints about the quality of the Denver's reusable effluent which Denver provided to them to enable Denver to take water by exchange upstream; 2) Denver would give the Burlington diverters 5,000 a/f of reusable effluent (which the Burlington diverters sold to South Adams for $60 million); and, 3) the Burlington diverters would no longer place an upstream call to fill the 1885 Burlington storage right. However, 4) the parties agreed that the 1909 Barr Lake call would be used to fill both the 1885 decree and the 1909 decree. Elimination of the 1885 call enabled Denver to take, on average, an additional 7 400 a/f upstream during the 1885 fill period. The additional Denver diversions have two bad effects on Englewood's McLellan right and Englewood 's Bear Creek exchange. The first is that the fill of the 1885 right is greatly delayed, thus delaying the fill of the other reservoirs which divert at the Burlington head gate, which call out McLellan while they are filling. The second is that there is less water in the river for Englewood to divert at Chatfield. Denver and the FRICO diverters cleverly planned to use the 1909 call to fill the 1885 right, because Denver's upstream rights are senior to 1909 (and junior to 1885) and could continue to divert despite the 1909 call. However, the 1909 call would eliminate Englewood's diversions on its 1948 McLellan right. So the Burlington diverters could continue to call out McLellan, but allow Denver to divert. The Water Court ruled that the 1909 call could not be used to fill the 1885 right. That ruling is beneficial to Englewood. However, the Water Court ruled, in essence, that Englewood had no legal right to complain about the elimination of the 1885 call which enabled Denver to take the additional 7400 a/fupstream. Englewood separately appealed that ruling. Englewood essentially asked the Water Court and is asking the Supreme Court to make new law on the issue; there are no definitive cases at this time. Oral argument on Englewood's appeal was held on January 21st. I am discouraged about the probable result at this point. Jon Banashek and Heidi Potter, partners with our firm, attended the oral argument, as did Joe Tom Wood. Jon, Heidi and I felt that Justice Hobbs, who usually sways the Court on water matters, was against us. He expressed a desire to preserve the 1999 Agreement as a settlement, despite the injury it caused, again on a strictly legal basis. On the other hand, Joe Tom Wood felt the Court was generally undecided and hard to predict. The final matter for discussion is the Water Court's ruling on the Metro Pumps. In about 1968 the outfall of the greater Denver sewage treatment plant was moved from above the Burlington headgate to a new plant below the Burlington headgate. To partially compensate the Burlington diverters for the loss of the effluent which they had previously diverted, pumps were built to enable the pumping of Metro Sewer effluent into the Burlington Canal, and that pumping continued from 1968 until the Water Court's ruling. The pumping provided water in addition to that which was in the river at the Burlington headgate. The Water Court ruled that the Metro Pumps could not be used to take any water in excess of that which was already available in the river. The use of the Metro pumps benefits Englewood because it hastens the fill of the reservoirs which divert at the Bulington headgate, and eliminates their calls against McLellan Reservoir. Denver is similarly affected. Denver, Englewood and the Applicants are jointly appealing the Metro Pumps decision. There is a good legal basis for the appeal. Opening briefs are due in April. Finally, and significantly, at Englewood's direction we obtained evidence that Denver and the Corps of Engineers had failed to obtain or require proper 404 permits for facilities which enable Denver to keep the Chatfield Reservoir outlet gates closed for longer periods of time, thus exacerbating Englewood's hardness problem. Negotiations with Denver on the matter have not thus far been productive. Respectfully Submitted, David G. Hill BERG HILL GREENLEAF & RUSCITTI LLP ATTORNEYS & COUNSELORS AT LAW 1712 Pearl Street • Boulder, Colorado 80302 Tel: 303.402.1600 • Fax: 303.402.1601 bhgrlaw.com David G. Hill Partner dgh@bhgrlaw.com Daniel L. Brotzman, Esq. City of Englewood 1000 Englewood Parkway Englewood, CO 80110-0110 Re: January Invoice Dear Dan: February 5, 2010 .. ~. Enclosed please find our invoices for professional services on water matters for January 1, 2010, through January 31, 2009, in the amount of $39,877.27 . The amount for this billing cycle on major cases is listed below: I Name I Amount I No. I FRICO/United 1999 Appeal $ 25,499.58 712 Chatfield Reservoir Reallocation Project 933.00 720 FRICO/United Change and Main Burlington Appeal 7,439.73 722 Stu Fonda has asked us to provide brief descriptions of the reasons for Englewood's involvement in all cases which appear on our bills each month, as well as a brief summary of the work performed by this firm during the month. The following paragraphs contain these descriptions with respect to the matters reflected on the enclosed invoices: Introduction. Please understand that this letter is a confidential attorney-client communication. Please keep it confidential. I have written down my time by $2,500.00 and Pat Gabel's paralegal time by $1,000.00. The two billings which are large enough for discussion are the 1999 Agreement appeal and what we call the Main Burlington appeal. Both billings arise from the largest water right change in Daniel L. Brotzman February 5, 2010 Page 2 Colorado history, the change of the irrigation rights which divert at the Burlington headgate from agricultural to municipal use. The joint applicants are of course the Burlington Company, FRI CO, United Water and East Cherry Creek Water and Sanitation. Associated with the change is the 1999 Agreement between Denver and the Burlington diverters, which injures Englewood's ability to divert soft water at Chatfield to blend with the hard water in the river at Union A venue, and injures Englewood's ability to sell water to Centennial (Highlands Ranch). The historic over-diversions have on occasion been severe enough to potentially injure Englewood's core Union Avenue diversion rights. A more complete description of these cases and our progress will be included in the annual report, which is due shortly. The 1999 appeal billing results from preparation for oral argument before the Supreme Court which was held on January 21, and presentation of oral argument. I did very extensive preparation, and several members of the firm criticized "practice" oral arguments, asked me "tough questions" simulating those which the Justices might ask, and offered their suggestions about my presentation. We will not get a decision for several months. From the arguments, it appears likely that we won on the question of whether FRICO could use its 1909 storage right call to fill the 1885 Burlington storage right, instead of using the 1885 call. Use of the 1909 caJI would have prevented McLellan from diverting (it has a 1948 right), but would have allowed Denver's rights to Strontia Springs and Cheesman Reservoir to divert, since they have priority dates between 1885 and 1909. The other question was whether Englewood could legally complain about the extended fill and call periods for the Burlington storage rights which are caused by Denver taking a lot of extra water into Cheesman and Strontia Springs. The prolonged call periods injure the McLellan right and the extra water taken at Strontia and Cheesman injures Englewood's Bear Creek to Chatfield exchange. Those two rights provide soft water and provide water to sell to Centennial. One can only speculate on the Court's likely ruling on this issue. From our firm, Jon Banashek, Heidi Potter and I were present; and Joe Tom Wood was an observer as well. Jon and Heidi and I were discouraged by the questions of Justice Hobbs on the Englewood position, although he asked tough questions of the other side. On the other hand, Joe Tom was not so discouraged, saying it was impossible to tell which way the Justices were leaning. No further work is due on this matter until the Court's ruling comes down. The Main Burlington appeal involves the appeals of the Applicants (Burlington, FRICO, United, East Cherry Creek) from massive losses which they suffered, and the appeals of the Applicants and Englewood and Denver from the Water Court's ruling on the use of Metro Pumps to fill the reservoirs which divert at the Burlington headgate. The principal losses suffered by the Applicants were these: 1) the 1885 storage right, the most senior right on the river, was cut from 11,081 a/f of annual allowable diversions to 5,456 a/f; 2) the Burlington direct flow right was cut Daniel L. Brotzman February 5, 2010 Page 3 from 350 cfs to 200 cfs; 3) the consumptive use fraction of the water rights, which will be pumped up hill by East Cherry Creek and others , was cut from 69 percent of diversions as requested by Applicants, to 50 percent as contended for by Englewood and others; and 4) the Division Engineer appointed a special water commissioner just to watch over diversions at the Burlington headgate, because of evidence that substantial unlawful diversions had occurred in the past. There were other cutbacks as well. Those are huge losses for the municipal users, and the cutbacks have been applied to the remaining farmers as well. The decision and the appeals are attended by a high level of emotions on the part of the farmers and the directors of the Applicants, so much so that the farmers have forced a change of counsel upon the Applicants. A flurry of motion practice has resulted, in which Englewood had to participate. The decision, if sustained, will be quite beneficial to Englewood. On the other hand, the Water Court ruled that the Applicants could no longer use additional water gained by pumping Metro Sewer effluent into the Burlington Canal to fill their reservoirs. That practice had been going on since 1968. That ruling is not beneficial to Englewood, in that it slows the fill of the reservoirs; but it is helpful in that it leaves an additional 90 cfs in the river to alleviate or prevent calls from downstream reservoirs senior to the McLellan right. The Applicants, Denver and Englewood are appealing that ruling . The work has involved getting the transcript and evidence properly transmitted to the Supreme Court, and responding to numerous motions by the Applicants seeking extra-long briefs and separation of various issues in the briefs . Opening briefs are now due in April. The remainder of the cases are described below. 1. General (#001 ): This matter is our general file for work not attributable to specific cases. In some instances, the work is not specific to a particular matter. In other instances, the time spent on any individual matter is not large enough to justify a separate bill, but the time on the group of matters is significant. This includes charges related to general calendaring, reviewing various daily incoming pleadings and correspondence, overall case management and other activities that are not case specific. It usually includes preparation of many statements of opposition. 2. McDonald (87CW321) (# 14 7): This case involves an application for direct flow and storage rights on unnamed tributaries of Plum Creek. Englewood's interest is to monitor the case to see that administration of very junior rights is proper. We reviewed motion to dismiss and order granting same. 3 . Colorado Division of Wildlife (90CW123) (#215): Applicant seeks 75 acre-feet of storage in Chatfield Reservoir for fish, wildlife and maintenance of storage reserve. It also seeks