[4:40] Hold

[4:56] on.

[5:02] » All right.

[5:09] Good.

[5:13] » Like to call to order the Town of Frasier Board of Trustees meeting

[5:16] Wednesday, August 5th, 2026 at 6 PM. Can I have a roll call, please?

[5:20] » Adam Quickland, >> Peggy Smith, Julie White,

[5:24] » Lewis Gregory, >> Katie Souls,

[5:27] » and Brian Cirven. Um, could I have a motion to approve the agenda, please?

[5:31] » So moved. >> Second.

[5:33] » Any further discussion? All in favor? I I

[5:36] » Any opposed? Okay, motion passes. Could I have a motion to accept the consent

[5:42] agenda which includes the minutes for July 2020, sorry, July 22nd, 2026 and

[5:48] resolution 2026 0801 approving revocable license agreement

[5:53] with Rendev Community Association. >> So moved.

[5:57] » I'll second. >> Further discussion?

[6:00] All in favor? >> I.

[6:02] » Any opposed? Okay. Motion carries. All right, we are

[6:06] moving on to open forum. This is for business not on the agenda. Anyone in

[6:10] the room that would like to approach the board to uh talk about a topic that is

[6:15] not on the agenda, feel free to approach the podium or if you're online, raise

[6:19] your hand.

[6:25] All right, seeing none, we'll move on to discussion and possible action regarding

[6:32] » resolution 2026

[6:35] 0805 accepting the resignation of a trustee

[6:39] and filling the vacancy. Antonette,

[6:55] » mayor, board, and trustees, Antonet McVey, town clerk. Um, so tonight we're

[6:59] entertaining a resolution 2026805 to fill the vacancy from the resignation

[7:05] of Katie Fischer um and the board. So Katie Fischer resigned on July 15th,

[7:11] 2026 and that was effective the same date that she resigned. Um and the

[7:17] statutes do allow the board of trustees to appoint somebody. Colorado uh revised

[7:21] statutes 31 314 3031. Board of trustees has a power by

[7:27] appointment to fill vacancies in the board or any other office and the person

[7:31] so appointed shall hold this office until the next regular election or until

[7:35] his successor is elected. Our next regular election is November 3rd, 2026.

[7:41] The board also has the power to fill the vacancy in the board and any other

[7:44] elective office of the town by ordering an election to fill the vacancy until

[7:49] the next regular election or until the successor has been elected and has

[7:53] complied with the section CRS 3441. Um, so this resolution officially

[8:00] accepts the resignation of Katie Fiser. Um, and in your packet, we only received

[8:04] one application, which was Kenneth Jensen. Um, he is here this evening. If

[8:09] you guys would like to ask him any questions um before considering um who

[8:14] you would like to appoint to the board this evening,

[8:19] » I guess I'm not going to sneeze. All right. Um All right. Um well, great. I I

[8:25] think it would be great to hear from Ken a little bit if you want to

[8:29] » tell about yourself, introduce yourself to the community.

[8:34] Good evening. Uh, I'm excited to be on board and uh, I think I can bring a lot

[8:39] of experience. Um, I grew up in a small town in Montana, so I'm used to the, uh,

[8:47] small town atmosphere and, uh, helping out communities and, um, former business

[8:54] owner, former banker, um, kind of a finance guy.

[9:00] So, um, think I can, uh, be a good addition. You guys like,

[9:07] » great. You guys have questions? >> Tell us about and everyone who's

[9:11] listening, your current involvement within the Fraser Valley community.

[9:16] » So, I am the vice chair in the Fraser River Housing Partnership. Fraser River

[9:22] Valley Partnership. It's always a mouthful. Um, been with them since its

[9:29] inception. and uh been working on obviously

[9:34] supporting St. Louis Landing, New Village, um you know, Habitat for

[9:39] Humanity development that's going to take place up in Grandi. um you know

[9:44] very interested in making sure that we do have what I call attainable housing

[9:51] in this county and uh we are currently undergoing a housing assessment for the

[9:58] whole county and uh we're going to try to get more data on what is really

[10:04] needed in this county and so I've been involved in that. I'm also

[10:10] involved in an impact fund with Graham Foundation. Um and uh I've enjoyed being

[10:17] involved in that. And then uh outside of that um just been currently retired

[10:25] working on my house. >> I just finished a huge project mitigated

[10:29] my whole yard which is about acre and a half. So um I just finished that

[10:35] yesterday. So this is time. >> [laughter]

[10:37] » Congratulations. >> That's great.

[10:41] » Okay. Thank you. >> You bet.

[10:43] » Any other questions? >> No. Thanks, Ken.

[10:52] » I'd like to make a motion to appoint uh Ken to the board.

[10:56] » Well, we have an official resolution on the table.

[10:59] » 20 26805 accepting. That was the resol. No.

[11:05] » Yeah. So, it both accepts the resignation of Katie Fischer and then

[11:09] there's a blank that says the board of points.

[11:11] » Okay. And filling the vacancy with Ken Jensen.

[11:17] » Second. >> Any further discussion? All in favor?

[11:21] » I opposed. Right. Welcome, Ken. >> Hey.

[11:25] » All right. Thank you. >> We're scar you in right now.

[11:28] Ken, if you want to sit down >> official.

[11:36] » Um, would you like to raise your hand or pajar?

[11:39] » Um, and just repeat after me. I Kenneth Jensen

[11:41] » I Kenneth Jensen >> do solemnly affirm

[11:44] » do solemnly affirm >> that I will support the Constitution of

[11:46] the United States >> that I'll support Constitution of the

[11:49] United States >> and the state of Colorado

[11:51] » and the state of Colorado >> the Frasier Town Code

[11:54] » the Frasier Town Code >> and faithfully perform the duties of the

[11:57] office >> and faithfully perform the duties of the

[12:00] office >> of town Frasier Town Trustee upon which

[12:04] I am about to enter >> of Frasier Town Trusted of which I am

[12:08] about Congratulations. >> Thank you.

[12:15] » Welcome aboard. >> Awesome.

[12:17] » Thank you. >> Yeah.

[12:21] » Yeah. Oh, I think it's I think it's Matt Ginsburg. It's just

[12:25] » kind of freaking out. >> I'm sorry. Annie Ginsburg, could you

[12:28] please stop raising your hand and putting it down? Thank you.

[12:33] » It's probably a cat on the keyboard.

[12:39] Um, okay. Moving on to resolution 2026802

[12:44] approving Grand Kids Learning Center lease for St. Louis Early Childhood

[12:48] Education Center. >> Sarah,

[12:53] » uh, good evening board. Uh, Sarah Katanite, town manager. So, before we

[12:57] jump into the lease, we do have grandkids with us um to give just kind

[13:01] of an update on what's been going on with their organization. Um, they've

[13:05] also put uh together their budget with their actuals and kind of their

[13:08] projected budget for the buildout of St. Louis. So, we're going to walk through

[13:13] that. The board's welcome to ask them any questions and then we can go through

[13:16] the terms of the lease. Um, if the board is comfortable with the lease as is or

[13:21] there's kind of minor revisions, we can make those and approve them. If we need

[13:24] to bring the lease back after further discussion, we can do that as well. Um,

[13:29] but I would like to invite Anya Cliss, who is the new executive director of

[13:34] Grandids and her team to go ahead and kind of let you know what's been going

[13:37] on with Grandids. >> All right. Yeah,

[13:43] » thanks. Yeah, come on up. >> And I'll just throw in as well before

[13:46] any gets started that we also have Megan Liddine with us this evening um who's

[13:50] been working with grandkids and has come to just kind of answer any questions she

[13:54] might be able to. >> Well, hi everybody. Thanks for having us

[13:58] here today. My name is Ana Kliss. I'm the executive director of Grand Kids

[14:02] Learning Center as of February this year. Um, a little history about myself

[14:06] with the organization. I've been with Grand Kids since 2020. Um, sort of as an

[14:12] assistant teacher, stepped um into the site director role um not too long after

[14:17] that. Worked in that role for about five and a half years or so. um and then am

[14:23] now the executive director and excited to be sharing um where we're at within

[14:28] the organization and where we hope to go. Um I won't read you our our little

[14:34] one pager. It was in your your packet. Hopefully you had a chance to to review

[14:38] that. Um but a little bit about where we are at right now. We operate out of

[14:43] three locations. Um the red building, which you're familiar with. I'm sure you

[14:47] hear the kids running and screaming each and every day. Um, we operate out of a

[14:53] Witi Meadows complex building that houses three classrooms. Um, and then

[14:57] our most recent addition is our Graanby location which opened in February of

[15:01] 2024. Um, across the board, we currently have capacity for 96 licensed child care

[15:08] spots. Um, we are currently serving 64 local families. Um, our capacity can

[15:15] serve 16 infants, 16 toddlers, 19 um, older toddlers, we call them junior

[15:21] preschoolers, that's that two-year-old um, age group. And then 42 preschool age

[15:25] children. Um, our board of directors, which I have two of them here with me

[15:30] today, Bethany Lashley, our treasurer, and Rebecca Redell, our board president.

[15:35] Um, our board has really prioritized staff retention. Um, several years ago,

[15:39] that was a huge detriment to the organization. we were having to close

[15:43] classrooms. Um really struggling to stay afloat. At one point we weren't sure if

[15:47] we were going to have to close a whole building. Um so the board realized that

[15:51] was going to be their ultimate priority. Shifted the focus there to

[15:54] sustainability and since then have um kind of made it through each school year

[15:58] with an 85% staff retention rate. Um which in the early childhood field

[16:02] that's pretty huge. Um I would say that retention rate is a little bit higher

[16:06] with um those in leadership roles as well. Um, and right now we're averaging

[16:11] at about 30 to 35 full-time employees. Um, right now we hold on Eastern Graham

[16:17] County um, 100% of community based infant slots. 35% of our families

[16:22] qualify for income based tuition assistance, but 51% of our families are

[16:26] receiving tuition discounts um, from state programs and then internal

[16:30] scholarships, too. That's a little bit about where our

[16:35] organization is at. Um, and we are hoping that we can move into St. Louis

[16:42] to continue to serve the greater Grand County community. Um, especially in the

[16:47] Frasier, Winter Park, Tavern area. We think that's going to be where child

[16:52] care is currently really needed. uh that would not only double our license

[16:58] capacity in our Frraasier educational campus, but it would also um bring about

[17:04] 15 new teaching positions um available in the community um and gives us

[17:09] opportunities for school age um summer programs, opportunities for after school

[17:13] care for local families. It really opens the door for grandkids.

[17:20] It's >> great. Thank you.

[17:27] Bethany, did you want to walk through some of the numbers?

[17:36] So, Bethany Lashley, treasurer. Um, been on the board for two years now, heading

[17:42] into three. Um, we have worked a ton on our budget recently. So for those of

[17:50] you, it was about a year ago that saw what we were looking at. Um, lot of

[17:54] negative numbers. Um, some questioning of grants and how we were presenting

[18:00] those revenues and those income streams. So if you looked at this packet, you may

[18:05] have been surprised to see our positive numbers that were coming up. And a big

[18:11] part of that was thanks to Anya and our staff as she came on board going through

[18:17] our expenses, really tightening some things up for us, renegotiating some

[18:21] contracts with some of the members in the community. Um, great great things

[18:25] that have happened. Um, including a new roof on our red building. If you guys

[18:29] have seen that, that has been amazing. Um, who roofing company, right? Roofing

[18:34] company donated that to us. And so our team has really been strong at reaching

[18:39] out more >> now and getting that community

[18:42] involvement which has been great. Um the other part of that was going through and

[18:47] really looking at what our grants looked like over the last three years and

[18:51] trying to put that commitment to paper. So we were always very conservative

[18:56] before worried about will that money really come in being that it's a grant

[19:01] and now we've really taken that focus of yes here's what we have gotten here's

[19:05] what's been committed to us and then also realizing that that could fluctuate

[19:10] within the county over the next year and us being able to keep a better finger on

[19:13] where those pools of money are and shift if we need to. So, we're starting at a

[19:19] base of 350,000 of that we are willing as an

[19:23] organization to work on getting for grants to help offset that tuition is

[19:29] that's coming in. And with that, we're looking at starting a positive cash

[19:34] flow. And we also think that's realistic. This is a lot of time and

[19:37] effort we put into this and we think that's great. So, um, if you looked at

[19:42] our budget to actuals, you can see that starting to happen already and see that

[19:47] we're up at 200, I know that one, pardon me, 250,000,

[19:51] a little more that we have already secured this year, which has been

[19:54] wonderful. So, part of that town of Frasier as well. So, thank you guys. Um,

[19:59] going into our budget, so this is in your packet. Um, so our projections for

[20:04] 2027 when we would enter St. Louising um up through 2032. Um you can see overall

[20:12] for our facilities we have been able to get into a positive role with those. Um

[20:19] this includes our teachers being at a salary that we are comfortable with that

[20:26] it's actually getting them to that livable wage. I know we have a teacher

[20:30] extension, but I don't remember that that exact name um that's coming in that

[20:34] will actually help us get there as well, but we are able to calculate those

[20:38] payroll and those benefits. Um still coming in at about 85% of our total

[20:44] expenses. Um but our teachers will be where we want them. So again, if you

[20:50] remember our previous budgets, we had where we were at and also where we

[20:54] wanted to be and there was a huge disconnect in getting our teachers where

[20:58] they wanted to be. And now we are there which is

[21:01] » great >> very exciting.

[21:03] » Um I also did a breakout here for St. Louis itself because I know that was

[21:09] really important for you guys to see the impact of just that building on

[21:13] grandkids as a whole. Um some of the numbers like our tuition um are solid

[21:18] numbers that would be coming in. Some of them are a percentage base of um income

[21:24] that's coming in. So some of our expenses, how we have them broken out is

[21:28] based on the income that St. Louis Landing would be bringing in versus the

[21:33] whole organization. So those were our assumptions there to try and get us to

[21:38] the correct um number. Um you can see obviously 2027 and 2028 is a little bit

[21:46] lower, but that's as we're transitioning, as we're getting into the

[21:48] building. um that accounts for us having a lease still over in Wedi that we're

[21:53] then going to have to get out of and we will do our best to minimize that cost

[21:56] once we know exactly when we're in that building. Um but all of that is

[22:00] accounted for and actually under this budget for St. Louis. So you can see

[22:04] that effect um scaling as we scale up through the kids um you can see that we

[22:10] are actually doing better. I know that was another big question previously is

[22:14] as we scale up and get more kids are we financially doing better or worse and

[22:19] reflected in here we are doing significantly better which is great as

[22:23] well. Um another assumption under there was the rent for

[22:30] the building which I know this will come up with you guys. So that first three

[22:33] years we did account for that $1,000 a year rent um but then I scaled it up to

[22:40] $24,000 a year. starting in 2020. So, we are looking at being able to accommodate

[22:45] more rent and looking at that expense and still doing well.

[22:50] Um, all right. Anything else [laughter] at the moment?

[22:57] » Yeah. Hey, I was just curious, what do what do you pay for rent currently?

[23:02] » Hold on. You might have top of your head. If not, I can.

[23:04] » Monthly, we have been paying about 3,200.

[23:09] » This is just that are >> Yeah. Treasure, right?

[23:13] » Yeah. However, it did increase or it will increase um for August.

[23:20] » Oh, is this at over at WP? >> That is correct.

[23:22] » Yeah. >> But it um it averages about 36,000

[23:27] annually. >> 36,000.

[23:30] And your expenses, I don't see a separate line item for rent. You just

[23:34] have it all bunched together under operating expenses.

[23:41] um just for the summary. I think that's how that's presented, but we definitely

[23:45] have it broken out within our expenses and financials.

[23:51] So, if we need to do further breakdowns, have to.

[23:54] » Yeah.

[23:57] » Um and I guess that's another point we haven't made too is um financial

[24:01] transparency across all of this. Um, we're working on getting reviewed

[24:06] statements, you know, for 2025 and being able to produce these for you as needed.

[24:13] Um, right out of our QuickBooks program, like here's our actual, here's our

[24:17] budget, and being able to give you guys that transparency that you need on an

[24:21] ongoing basis. And so whether that review is quarterly,

[24:25] annually, what whatever it is that we decide within the lease and the

[24:29] perspective, >> no, this is much better than last year.

[24:31] And appreciate you filling in some of the blanks. We obviously want you to be

[24:36] successful. So, um, do the numbers and making sure that you're financially

[24:43] viable, right? >> Absolutely.

[24:46] » Yay. >> Yeah,

[24:47] » you can you can see the jump from 2029 to 2030 um uh in that operating expenses

[24:53] for the St. Louis dining specifically. So, yeah, it's not broken out in this,

[24:58] but it's obviously accounted for. Well, the other issue is around the the

[25:03] buildout. So, you're spending a lot of money in 2027 on building out the

[25:08] facility and then in 2028

[25:13] there are no revenues coming. I assume you're going to still get grants and be

[25:18] able to supplement that. >> Absolutely.

[25:21] » Okay.

[25:25] » And Lewis, they do correct me if I mistake this. They do have their

[25:28] buildout right now separated out from their larger budget. So if you scroll

[25:32] down to the last page, that's a budget specific to their their buildout.

[25:37] » Yeah. No, that's what I'm looking at. >> Okay, great.

[25:39] » But it's a negative number. [clears throat] They have a gap there

[25:43] that they need to fill. >> Yes.

[25:46] » Yep. >> And we'll be talking about that in a

[25:51] minute here. Yeah. Okay. Thank you. Thanks.

[26:01] So, also in your packet is a staff briefing and then a draft lease um that

[26:06] we've worked on with grandkids. Uh and then a resolution if you wanted to move

[26:10] forward with approving that lease. Um as we [clears throat] previously talked

[26:14] about the way it's currently presented, uh it would be starting out at $1,000

[26:20] per year. Um we've written it as a 15-year term. Um but there is the option

[26:26] to exit that lease early if need be. Uh it is written such that the rent would

[26:32] not remain fixed and every 3 years could be revisited by the board and could be

[26:37] raised or decreased at the discretion of the board. Obviously grandkids would

[26:42] have the opportunity to you know negotiate that and decide if they wanted

[26:45] to stay with the lease or not. We wanted to have some guard rails in there. Um,

[26:51] not knowing what the future holds, but wanting some protections for grandkids.

[26:56] Um, and so right now it is listed that that maximum rent rate would not exceed

[27:01] 24,000 per year. Um, both that starting lease and that maximum lease rate is

[27:06] something that the board can discuss. Um, but those are the starting points

[27:10] that are included in the current draft. Um, I looked at a number of leases by

[27:18] other communities and tried to build in some of the safeguards that they had

[27:21] when they had leases with early childhood education facilities. Um, so

[27:26] there is some reporting requirements and just kind of ground rules around

[27:30] communication to make sure that town staff and the board are not

[27:34] micromanaging their operations and allowing them to to do their daily

[27:37] operations, but that we are in the loop and making sure that they are keeping up

[27:41] with all of their licensing standards, quality care. Um, if there is any

[27:45] incidences where the state would need to be involved that they would have to

[27:48] notify us so we'd have that heads up. um it does require them to pay kind of

[27:53] their general utility cost, insurance costs, things like that. Um we'll talk

[27:58] in a minute here about that buildout and if the board wants to support that

[28:02] through the new market tax credits and some of those funds that are coming in,

[28:06] but they are ultimately responsible for that buildout and ongoing maintenance.

[28:10] Um, I think those are a lot of kind of the

[28:16] key terms, but I'm happy to talk through any other aspects of the lease or any

[28:22] questions that the board might have. >> Did you get the insurance requirements

[28:27] kind of from these other leases? Yeah, we kind of started with a standard

[28:32] commercial lease and then uh the pieces that I pulled from other town leases

[28:37] have more to do with the specifics of a child care center operating there. Um

[28:43] the other piece we talked about as well is if grandkids did want to allow

[28:48] somebody else to use that space um for something outside of standard kind of

[28:53] grandkids operations that they would request permission from the town for

[28:57] that and we could look at that if that was anything where somebody was being

[29:00] you know charged to provide additional child care services outside of grandkids

[29:04] daily operations. >> So we allow them to subleasase the uh

[29:09] space. they would have to request our permission.

[29:15] » So relative to the lease, basically grandkids has a 60 day out of the lease

[29:25] any any time. >> The way it is currently written,

[29:30] um it is that both grandkids and the town may terminate the lease before

[29:34] expiration by providing the required notice.

[29:38] And so yeah, it is 60 days. But again, that is something that we could we could

[29:42] change if we wanted to.

[29:49] » What is their current current out? They have they have to pay what is it through

[29:54] 2027? Are they stuck in their lease for

[29:58] another year? >> 15 years. Atwood PD

[30:03] until the end of July of >> So you're on the hook for $36,000 for

[30:09] next year. >> Yeah, it's built into our budget.

[30:15] Well, and they the hope is that they can get some early access once we have a

[30:19] temporary co for that space and hopefully get in there roughly by the

[30:24] end of the year to start doing some of that grandkids buildout and working on

[30:28] licensing requirements because that will take a while. Um, the earliest we're

[30:32] anticipating them moving in to actually operate would be March. Um, and so

[30:37] really it's the months of March through July or August that that they'd have

[30:43] that overlap.

[30:49] I mean, the only other question I have, and we we've talked about this before,

[30:53] is, you know, I don't think the town of Faser could be subsidizing

[30:59] the bulk of child care in the community or in the valley without other people,

[31:06] you know, paying their fair share. And I don't know how you aortion that. You

[31:11] know, Winter Park's kicking in $40,000, right? Graanby eight, Grand Lake six,

[31:17] but I don't know. You know, we're providing space for $1,000 a year, which

[31:21] is a real that's a lot. I mean, that's almost probably 40,000 there, and we're

[31:26] kicking in another 30,000. are we subsidizing child care for the rest of

[31:32] the valley? You know, and I don't know how you

[31:37] discern that, but that that would be the only other thing I would want us to

[31:42] think through is like should we be charging these other, you know,

[31:46] municipalities or the county or um subsidizing child care?

[31:54] » So, um I'm going to let Megan jump up because I see her jumping up. Um, I was

[31:58] going to add uh this childc care stipened program um that Winter Park has

[32:04] worked with Megan to put together. Winter Park and the county are putting

[32:08] in larger amounts and we are putting in a smaller amount in part in recognition

[32:12] of the fact that we are contributing so much through that building and that

[32:16] lease. But I think that is a fair a fair question.

[32:18] » Absolutely. Uh Megan Liddine, a director of the Grand Foundation, thank you for

[32:22] letting me I guess give input context. um multiple funding areas in child care

[32:30] right now. The 1A community priorities fund, our priority, every pun intended,

[32:36] um last year and this year is child care. And so that is an eligible grant

[32:42] opportunity for grandkids to apply to as well. uh the first round fall of 2025

[32:48] they received a $87,000 grant and this last uh spring cycle they received

[32:53] $45,110 I think is what you have and that was

[32:56] for a new van because they don't have a van over at the Graanby location. Um

[33:00] with that being said the Grand County Childare Strategic Investment Fund

[33:05] that's a mouthful let me talk about that. Um

[33:08] » that's going to be a for teacher retention. So it's start actually

[33:12] starting right now. I'm just waiting need a signature um on theou from all

[33:17] the funding partners but um just waiting for that and then we'll be looking at

[33:22] the second quarter. So we're going to go retroactively look at the second quarter

[33:25] of all the staff that has spent more than 60% of their time in the classroom

[33:31] and give a grant to grandkids and other childcare entities that are nonprofits

[33:36] only. That money is going to be coming from the county. Town of Winter uh

[33:42] County is $100,000. Town of Winter Park is $100,000. Grand Foundation's put in

[33:48] $50,000. And um you guys voted last month to put in $25,000. So, but with

[33:54] that being said, as you alluded to, you're doing your your share and then

[33:59] some. So there are other opportunities along with all the block grants that the

[34:04] towns do provide as well as grant foundation dollars that um grandkids can

[34:09] apply to and childcare is one of those very um myopic priorities not only with

[34:15] the grant foundation but with all the municipalities and the county. So there

[34:19] are other dollars that will be coming in to grandkids as an entity. And then I

[34:24] just want to add that they have done a tremendous job with their financials.

[34:28] You guys, I've my background is finance and I can tell you all the things

[34:32] they've done is just amazing and I really want you to know that.

[34:36] » How girls I can see I can see this. This is much better than what we saw before.

[34:42] But you were all very supportive of child

[34:45] care. At least I am. Um it's it's a central priority for us. But again, I

[34:52] don't think we want to subsidize the county necessarily. And I don't know if

[34:57] you can break down um you know where people live the the

[35:02] ones that you're you know that are in child care now where they're coming from

[35:07] are the bulk of them from Frasier or you know uh county or where I mean what

[35:13] are we >> you know I could not stand up here and

[35:16] give you those numbers honestly I know I could look at Grand Beginnings and the

[35:20] data that they've put together and come back to you with that. um they've been

[35:24] instrumental throughout all the processes of the funding mechanisms as

[35:28] well as with um grandkids as well. Um I do know that people travel from all over

[35:33] to bring their kids to the open slots that the waiting lists are quite large

[35:39] and so there are kids or children, excuse me, I'm not supposed to kids uh

[35:44] children from Grand Lake Graanby that are attending grandkids as well. So I I

[35:50] can come back to with those numbers, but I would say that, you know, Winter Park

[35:55] and Frasier and Tavern have a lot of children and the EEC right now is just

[36:01] for Winter Park employees. And so majority between the um red building, I

[36:06] guess you call it the learning center, >> red school. And uh over at Wedi, you

[36:12] know, that's going to be holding a majority of a lot of the kids around

[36:15] here. Nate, it's a little bit akin to our

[36:18] discussion around the bus service. No, and I think we feel like everybody

[36:24] should pay their fair share. We don't want to, you know, be on the hook to

[36:28] subsidize anyway.

[36:32] » Well, when you look at when you look at that buildout and you look at the

[36:35] projected loss, I 198,000 I think is what I saw. And you know, that's where

[36:41] there are other granting opportunities that other entities can kick in, right,

[36:45] to help with the buildouts and those type of things. Or if there's other

[36:48] opportunities there, there's additional grant dollars that grandkids can apply

[36:52] for. So, I think monies are going to come from other avenues for other things

[36:56] to keep sustainable. And over time, you know, whatever the

[37:00] town decides to do, it's it's a worthwhile investment. Not that you

[37:04] don't know this. I know you all know this. um for your residents, for your

[37:08] employees and everything. And I do think we need to also be

[37:14] cognizant that there's a lot of employees that are at this end of the

[37:16] valley that would love to live in Frasier but can't afford it, but they

[37:19] work here. They spend their money here and so it's all part of the community.

[37:25] I'll add as well, I know Graanby Playdates is in a building that's owned

[37:29] by the town of Frraasier and I believe they pay a minuscule amount in rent.

[37:35] » I do believe they pay about $10 a year. I don't know if it changed for 2026, but

[37:41] I know that was 2025's number. Nice. >> Yeah. And that's serving a much smaller

[37:45] number of kids than St. Louis is. Um the early childhood education center at the

[37:50] resort is obviously subsidized heavily by the resort. Um, Eternal Hills

[37:55] preschool program is subsidized by the church. So, most of the buildings in the

[37:59] county, and I don't think this is uncommon, are receiving some level of

[38:02] subsidy from either the municipality or another another entity.

[38:07] » The West Grand School District subsidizes the space for the West Grand

[38:10] Early Childhood Center as well as Crumbling Preschool, too. They're

[38:13] located in their schools.

[38:17] » There are free winter parking that occupy

[38:23] that their children are in the grandkid center space because there's no

[38:30] space. >> They have so we also have people go the

[38:34] other way just to get that child care. >> I'm a little less concerned about the

[38:42] residency of the child and more concerned about the income and the

[38:46] subsidy of the parents. And it sounds like you guys have uh turned a corner on

[38:51] that where and correct me if I'm wrong, but it used

[38:56] to be a fully subsidized program across the board or and now it's income based

[39:01] or >> are you talking tuition?

[39:03] » Tuition. Yes. Yes. >> That that speak to that. But the tuition

[39:06] assistance program is run out of grand beginnings and then it's based on

[39:11] enrollment I believe per location and then each entity looks at applications

[39:16] based on the spreadsheet formulas based on that income level because some will

[39:22] apply or be eligible for UPK dollars, universal prek dollars. Some will be

[39:28] eligible for CCAP dollar it goes up to 500 of federal poverty level 500%. Yeah.

[39:35] So >> that's great.

[39:39] I do know that that's that's a going to be a focus in the future for the grand

[39:44] county childcare strategic investment fund

[39:48] topic in there >> that that

[39:50] » we left it uh pretty ambiguous right now we're just focusing on teacher retention

[39:55] but know that tuition assistance but again Grand Beginnings has this program

[39:59] so we would just be helping and supplementing

[40:02] » yeah that strategic plan I thought that was the the one of the four that you

[40:06] guys were going to leave to the side, but it sounded like you were almost

[40:10] implementing some things already. >> So,

[40:12] » it it's going to be a need and as you add child care spots, tuition assistance

[40:16] [clears throat] is only going to go up. So, that's again uh community priorities

[40:20] fund and the other funding mechanisms will definitely be up.

[40:26] I also see a benefit of um having that daycare in our buildings and our our

[40:34] workforce housing and helping us fill those units

[40:39] because there'll be people that probably would love to live there where they can

[40:42] just walk their kids downstairs and then catch the bus to work or walk to work.

[40:50] And that's a big benefit. We got to fill it up. can start paying for it now.

[40:59] » That will help us attract employees as well.

[41:02] » Yeah, absolutely. >> Hey, if

[41:06] » okay, >> if Fraser ends up paying a little bit

[41:09] more for the first few years, so be it. You know, it's kind of like when you go

[41:13] to an auction and they just do the paddle raise. You know, we're the ones

[41:17] that said we'll drop a million bucks. Who else is going to join us? Maybe

[41:21] somebody else will follow.

[41:27] Sarah, what did the 60-day notice before termination

[41:33] play? >> I mean, it just seems like not a long

[41:36] time frame for us to find a new tenant. >> Yeah.

[41:44] [laughter]

[41:46] » Um, so I I worked with Kent's office to put

[41:50] this lease together. Um, that said, I think the 60 days was really added in

[41:55] more as an out for the town, wanting the board to feel more comfortable signing

[42:00] on to a longer lease that uh, you know, if for whatever reason the

[42:07] leadership at Grandid was to change, we didn't feel like they were offering

[42:10] quality child care, whatever it may be, that there would be some options. Um,

[42:15] but I agree it's not very long. I think we could definitely change that and

[42:18] provide more notice to be required. >> Get a tenant in there in 60 days.

[42:23] » Right. And for >> it's a bit empty for

[42:26] » I mean that's a big space. What? 8,000 square feet.

[42:29] » Yeah. >> And there's already a ton of

[42:32] » commercial real estate that's sitting empty.

[42:34] » Yep. >> Well, so keep in mind it's a $1,000

[42:36] lease. I don't know if they're paying monthly for that $1,000 or not, but it

[42:41] doesn't really matter. It I I agree with Sarah. The 60 days is more for us. If

[42:46] something drastic occurred with grandkids and we just said we we can't

[42:50] be part of this anymore, then we give them 60 days to move out

[42:54] » and we find another child care provider to move in.

[42:57] » Yeah. Well, you guys that would that's crazy though. Let's say 6 months

[43:02] » on 60 days >> and do 180 days

[43:05] » something. Yeah. I mean, and I doubt that we'll even use it, but to make it

[43:10] even the least bit realistic, 60 days is not realistic. If we did say you're out

[43:16] of there, it's like, oh, yeah, right. Okay.

[43:19] » Well, you'll probably we'll leave them and leave it as is. So,

[43:22] » well, if they default and they go through three defaults and they don't

[43:25] pay their rent, which would be hard for them not to do, but

[43:29] » yeah, >> there's a provision in there where we

[43:32] would give them 30 days at that point where they didn't pay. And so, everybody

[43:36] out. >> As quickly,

[43:38] » can you bring mic a little closer for me?

[43:41] » You don't know this. >> There's a provision there how that all

[43:45] works out. If we wanted to get them out, it's like a 30-day, you know, after some

[43:50] steps, there's a 30-day out. So, >> okay. So, that's

[43:53] » But I do agree. I think I think 180 days makes more sense from a lease

[43:59] perspective. Okay. Yeah. >> I mean, if we kick them out in 30 days,

[44:02] where are they going to go? I mean, they're not going to be able to find a

[44:05] spot. for their operations. I think I think

[44:08] six months sounds all reasonable. >> Okay.

[44:12] » I mean, I don't think we're going to want to kick them out, but you know,

[44:15] » say 180 days. >> Okay. Can I make a motion?

[44:19] » Sure. I want to make a motion to approve resolution 20206082

[44:25] approving Grand Kids Grand Kids Learning Center lease with the change of um

[44:34] notice for termination to be 180 days from 60 days.

[44:42] » I'll second. >> Further discussion? All in favor? Hi.

[44:47] » Hi. >> All right.

[44:48] » Opposed. All right. Motion passes.

[44:51] » Okay. Congrats. >> Point that I wanted to make. It really

[44:54] it wasn't financial, but uh we as a group

[44:59] several months ago talked about possibly naming the playground after Eileen

[45:03] Waldo. And uh I don't know if you were even part of that or even knew that we

[45:07] had that discussion, but it was kind of a concept of where's Waldo, which was

[45:12] her tagline when she ran for the board. So, I thought I'd mention that. And if

[45:17] you guys the mural festival's coming up and you might find some cute artist that

[45:22] does where where's Walder. So, >> Waldo's on tucked away.

[45:27] » That is that's a cute idea. All right.

[45:33] » So, I will say the next item up is related in part to a discussion around

[45:38] grandkids buildout and some funding uh around that. So we will circle back to

[45:43] that. >> Okay. So that is St. Louis landing

[45:48] financing update and new market tax credit overview. Matt NSB clerk.

[45:58] » Matt, I don't see you online, but Monica, we've made you a co-host.

[46:03] » Hi everyone. Can you see me and hear me? Okay.

[46:07] » You're a little quiet. >> I'm a little quiet. Okay, you can up

[46:13] your volume. >> Um,

[46:17] » and while you're working on that, Monica, just to give a little bit of

[46:20] context. Um, so new market tax credits have been part of the overall kind of

[46:26] financial capital stack for St. Louis Landing for a while now. Um, we wanted

[46:30] to close on the bonds before, uh, diving full on into the complexities

[46:35] of both the new market tax credits and the middle- inome housing tax credits

[46:38] that we talked about at the last board meeting. Um, there also is kind of less

[46:42] risk to investors as they come in kind of later. Um, but I don't think we've

[46:48] actually really given an overview of what the new market tax credits are to

[46:52] the board and how they work. Um, I find them mind-bogglingly

[46:57] complex and convoluted. So, we're going to try not to get into too much of the

[47:01] weeds, but though maybe that's just me. Um, but Monica and her group have been

[47:06] lovely to work with. And we invited them to kind of come and try to give an

[47:10] overview of what they look like. And then, as I kind of referenced earlier,

[47:15] um, this money, as Monica will talk about, is specific to building E. Um,

[47:20] and so the money has to kind of go into building E and there is some opportunity

[47:24] to potentially use those funds towards help with the grandkids buildout space.

[47:30] Um, so Monica can walk through that and then I wanted Matt to kind of share uh

[47:35] again just how this fits into that overall capital stack and what that

[47:38] looks like looks like in terms of potential buildout dollars.

[47:44] » Okay, can you all hear me better? >> Yes.

[47:47] » Y >> Okay. Um, please let me know if that

[47:50] changes. Um, and thank you Sarah for that lovely introduction. Um, I love new

[47:55] market tax credit financing and I am thrilled to share it with you all today,

[47:59] but it is complex [laughter] and Sarah is not wrong to to recognize

[48:05] that. I live in this world every day. So, I'm going to screen share the

[48:09] presentation and then I'm going to go into

[48:12] presentation mode. Can everyone see that?

[48:18] Yes. >> Fantastic. And you are all now very tiny

[48:23] on my screen and I really want to make this a conversation so that you all can

[48:28] get what you need out of this presentation. So, please do not um

[48:34] hesitate to interrupt me. Um you know, I try to pay attention if those little

[48:38] like raise hand things go up, but I really am not offended. if you want to

[48:41] kind of break in, I'll try to pause um and and make this a dialogue where you

[48:46] all can get the information that you're looking for. So, uh today, real quickly,

[48:52] my goal is to introduce the New Markets Tax Credit Program, often abbreviated

[48:57] NMTC, how new market tax credit financing

[49:01] works, the opportunity that it represents for the the building E and

[49:05] St. Louising the roles of the sponsor and the financing partners um kind of

[49:11] the key points around the structuring and then a representative timeline.

[49:15] There is more detail in the appendex um but again this is meant to be a highle

[49:21] uh introduction. I am more than happy to geek out with anybody on the details of

[49:25] this financing structure. I think it is very cool and creative public private

[49:29] partnership um at another time if if somebody is really interested in

[49:33] learning more. Um so please um feel free to reach out to me.

[49:40] All right. Shall we dive in? So New Markets Tax Credit Program has been

[49:43] around since 2000. It's administered by a part of the US Treasury's Community

[49:49] Development Financial Institution Fund. It is now a permanent part of the tax

[49:54] code and it was created to stimulate investment in low-income communities and

[49:58] underserved communities and does in fact prioritize what they term non-metro

[50:04] communities such as Frasier. Um a project it is a census trackbased uh

[50:09] program. So the subsidy is ava is available to projects that are located

[50:15] in qualified severely distressed census tracks. You can see here in this map and

[50:19] the purple that your project is in fact in the purple census tract which is um

[50:25] the new market tax credit uh level of um severely distress that um draws the

[50:32] opportunity uh for the project. Um new markets tax credits been used by

[50:37] many organizations. I've been working in this um SPC Clark companies what maybe I

[50:42] should have introduced uh us first. Uh we're consultants out of Denver,

[50:45] Colorado. We work nationally in our new markets tax credit practice. Um I've

[50:50] been uh working in the firm now for about uh 12 no closer to 15 years. And

[50:57] um SB Clark in the name of the firm is actually my dad, Steve Clark. He's

[51:02] mostly retired, walks the dog, hangs out with my mom and we have the privilege of

[51:07] working with both New Markets Tax Credits, which is supporting, you know,

[51:12] high impact commercial projects. >> [clears throat]

[51:14] » You can also fund some housing like we're offering suggesting doing in

[51:18] building E. And then my twin sister on the other side of our firm um works with

[51:23] low-income housing tax credits and middle- inome housing tax credits. And

[51:26] you might have met her, Laura Clark, um during the middle-income housing tax

[51:30] credit conversations. So um that's our firm. These are a number of um

[51:35] organizations I've been honored to work with over my career here. Um and and I

[51:40] do think you can find a lot of excitements in new market tax credits.

[51:44] My appro or suggestion is to think of it as a public private partnership. It's

[51:50] the government's way of bringing private investment into high impact uh community

[51:57] development activities. And in this case um building E which includes both

[52:02] affordable housing for workforce development as well as importantly the

[52:06] daycare. And you do have to have a certain percentage of commercial

[52:09] activity. So the daycare portion or the early childhood education portion is an

[52:14] essential piece. And the idea behind the new markets tax

[52:18] credit program is when there's a market failure such as it's hard to do

[52:21] development in uh small rural communities or lowincome communities,

[52:26] the government offered a tax credit to incentivize private investors. In this

[52:32] case, a group called Capital One, Capital One Bank. you may know them from

[52:35] your credit card. Um, who is going to bring cash or um would bring cash to the

[52:41] St. Louis landing project and the project doesn't have to pay them back

[52:45] because Capital One is going to collect their return in the form of a tax credit

[52:50] on their income taxes over a 7-year compliance period. So the private equity

[52:57] comes in and they're paid back through the government subsidy of a tax credit

[53:01] and you all benefit from that tax credit equity. So the opportunity for building

[53:09] E is to leverage the costs of the new market tax credit uh financing. So new

[53:16] market tax credits I think of it as a funnel. kind of leverage the costs

[53:19] through the public private partnership and that creates, if you will, the

[53:23] matching grant that is the subsidy of the new market tax credit and we call it

[53:28] the net benefit because it is the net of all the fees and costs associated with

[53:33] that public private partnership. The net benefit that's built into the project

[53:38] that you don't have to pay back because the tax credit pays the investor back is

[53:43] approximately $3 million. And that's an approximate number because until we get

[53:47] to closing, there's fees and legal fees and other things that move slightly. But

[53:53] um at this point um based on the being able to have attracted the subsidy from

[54:00] two groups, Colorado Growth and Revitalization Fund, which is a part of

[54:04] Chaffa, which is Colorado Housing and Finance Authority. Um so their uh new

[54:10] markets tax credit entity is a group called Colorado Growth and

[54:13] Revitalization Fund and they've promised to bring a portion of subsidy. And then

[54:18] another group which is enterprise community development. They go by ESSIC

[54:23] or ESIC which stands for um enterprise social impact um corporation but

[54:30] enterprise you may have heard of them. They're also um very active in the

[54:33] affordable housing space. So, two groups that are um groups that have been in new

[54:38] markets tax credit financing for a long time and they're bringing the right to

[54:42] the subsidy. So, we call that new market tax credit allocation. That's the

[54:46] authority from the US government that these groups won and they've decided to

[54:52] bring that portion of the subsidy to this project. So, you have an

[54:56] opportunity to leverage the building e costs and generate this net benefit.

[55:06] It's important I think to call out that um it's a complicated financing

[55:10] structure because of the public private partnership and because there's already

[55:15] a lot of um subsidy and support. You all were just talking about the support that

[55:20] you're bringing um to the uh early childhood education center. Uh we have

[55:25] worked very closely um we've tried to work with Sarah and the legal teams that

[55:29] are involved and of course Matt as developer to really think through how do

[55:34] we structure this in a way so that all subsidies play well in the sandbox

[55:38] together. And one of the ways that does that cleanly is that although building E

[55:44] would be financed with the new market's tax credit financing, um there would be

[55:50] two condo units, if you will, that make up that. And and it's easy to have that

[55:55] be confusing because there's all these units of housing. We're not talking

[55:58] about the individual housing units. We're talking about a residential

[56:03] condo. So this the three floors of the building that are residential focused

[56:08] and a commercial condo, the ground floor that's going to have the early childhood

[56:13] education component. And those will really be operated and you'll kind of

[56:16] look through the layer of leases that make the public private partnership work

[56:22] by um having Frasier Housing Authority of course operate the residential

[56:27] portion of the project. That's what they're good at. That's what they've

[56:30] been established to help do at St. Louis. And then of course the town of

[56:34] Frraasier and your grants that you've gotten from Dola and to try to make the

[56:38] early childhood education an opportunity. That piece of it really

[56:41] kind of looks through to you. So any questions there on on just the this

[56:47] concept of two parts of one full building.

[56:54] Okay. So, so now we're going to smush that that concept [clears throat]

[56:59] together into the layers of the financing partners that make the public

[57:04] private partnership work. And as I mentioned, we have to leverage the costs

[57:09] of new market tax credit um financing, the costs of building E through the

[57:13] structure to generate the benefit. So, there's key financing ro partner roles.

[57:19] So, one I've already talked about, it's the investor, the new markets tax credit

[57:24] investor. The new markets tax credit investor in this case is Capital One.

[57:28] They're going to bring cash to closing and then they will collect their return

[57:33] from the US Treasury in the form of a tax credit.

[57:38] The right to the tax credit, the authority that was parsed out in a

[57:42] competitive competition is coming from the community development entities.

[57:48] another technical term in the program. And in this case, as we've talked about,

[57:53] the community development entities that are bringing the right to the tax credit

[57:57] that Capital One will get to um get, you know, in essence buy by bringing their

[58:03] cash in exchange for the tax credit. The right to that tax credit is coming from

[58:08] Colorado Growth and Revitalization Fund and Enterprise and together CGRF and

[58:15] Enterprise are allowing you to maximize the tax credit benefit

[58:20] in order to make this work. New Markets Tax Credits was originally a lowinterest

[58:24] loan program and so smart lawyers back in 2007 um 2006 2007 figured out how to

[58:31] stack the program on top of itself and turn it into an equity or a grant

[58:35] program. And so to make that happen, we set up a singlepurpose real estate

[58:43] leasing entity. And that entity is structured to be in compliance with the

[58:49] new market's tax credit program. And in this case, that entity is known as a

[58:55] qualb, a qualified active lowincome community business. down here on the

[59:02] bottom of the screen. It's another technical term in the New Markets tax

[59:06] credit program for an entity eligible to receive New Markets proceeds. This is

[59:12] going to be an entity that is going to be a support corporation, probably a

[59:17] Frraasier Housing Authority. Um, we might be able to make it a support

[59:20] corporation of the town. Um it's there's some different structuring

[59:23] considerations there, but in general for you all to think about it, it really is

[59:29] um a a 501c3 nonprofit real estate leasing company.

[59:35] And it is going to own building E for the 7-year compliance period and lease

[59:41] it back to Frasier Housing Authority, who is going to subleasase it to you to

[59:46] operate their early childhood education. and you're actually going to subleasase

[59:49] that on to grandkids and then Fraser Housing Authority is going to operate

[59:55] the the housing piece. So, there's a layer of leases to make this work, but

[59:59] that allows two really um helpful things. It allows the new markets tax

[1:00:05] credit program to um the compliance for the new markets

[1:00:12] program to kind of be locked in place over the 25-y year history of the new

[1:00:16] markets program. Um there is there's no situation in which the tax credit has

[1:00:22] ever had a recapture event and that's because it's really structured to

[1:00:26] succeed. You kind of structure the compliance in on itself. Um and so that

[1:00:31] that one of the pieces to that is this singlepurpose entity that kind of

[1:00:35] receives the new market's benefit and then passes it through to the project.

[1:00:40] And then of course we have the project sponsor as we would call it in new

[1:00:45] markets parliament and that is going to be um Fraser Housing Authority and the

[1:00:50] town of Frraasier. You guys are going to leverage the costs that you've um

[1:00:54] brought together for the St. Louis project. It's going to funnel through

[1:00:58] the new market tax credit public private partnership and generate um the benefit

[1:01:03] where you're going to operate it like we talked about on the slide previously.

[1:01:10] » I have a question. >> Yeah question. So you're talking about

[1:01:13] leases. So this corporation is going to lease it to to the Frasier Housing

[1:01:17] Authority and they're going to lease it to Frasier.

[1:01:20] So what are the is there a termination? You said for seven years. Is there is

[1:01:25] there a clause where they could terminate the lease during that 7-year

[1:01:29] period? >> And who is they

[1:01:32] » incorporation? >> I know, but who who creates the 501c3?

[1:01:36] » This one. >> We do.

[1:01:38] » No. >> So, is that the town that creates the

[1:01:40] 501c3? >> It it can be it can be the town or but I

[1:01:45] think we were thinking it would be [clears throat] technically a support

[1:01:47] corporation of Frasier Housing Authority. Um and that just um really

[1:01:53] helps the the flow of funds through the public private partnership.

[1:01:57] » Okay. >> Um and then as far as lease termination,

[1:02:01] there is flexibility. It's like any commercial lease, but you are

[1:02:05] incentivized to keep those leases in place because of the good work that's

[1:02:09] coming out of the project and also because it allows the project to stay in

[1:02:13] compliance. It kind of keeps the financing structure in place. So, we

[1:02:15] would recommend keeping those lease agreements in place. Um, at the end of

[1:02:20] the seven-year compliance period through a put call option, the investor exits

[1:02:25] the structure and they put the ownership of the financing structure to Frasier

[1:02:30] Housing Authority. And so then Frasier Housing Authority is holds all the

[1:02:35] membership rights of all the parts of the complicated public private

[1:02:38] partnership. And so you can kind of collapse the structure

[1:02:42] and and at that point the leases are almost always terminated. and then any

[1:02:47] of your kind of subleas leases with grandkids or anything would of course is

[1:02:50] kind of outside of that collapsing of the public private partnership at the

[1:02:54] end of the seven-year period when the investor is collecting their return.

[1:03:00] » So I mean I'm not sure you answer my question.

[1:03:03] Is there a risk in this corporation or this entity

[1:03:08] terminating the lease during that seven-year period? Well, they're the

[1:03:13] landlord, so they own it and you're the tenant. Fridge Housing Authority is the

[1:03:17] tenant. So, I I don't know if I'm understanding your um question.

[1:03:22] » It leasing it to us, right? >> Yes. The concern, Monica, is could the

[1:03:29] town lose the building? >> Well, lose the lease and I guess

[1:03:35] eventually >> if there's this other entity that's

[1:03:37] being entered in with ownership. So the the entity with the ownership um

[1:03:44] is so um okay [snorts] so so there's a layer of

[1:03:50] leases and um so the what we would call the fee interest in the residential

[1:03:56] condo so the the the ownership of the residential condo resides at Frasier

[1:04:01] Housing Authority and the um fee interest or ownership of the

[1:04:09] commercial condo or the early childhood education condo resides at Town of

[1:04:13] Frasier and then you all similar to a ground lease are leasing those units to

[1:04:20] this specialurpose entity. So, um, and they are, this special purpose entity,

[1:04:26] the qualified active low-income community business is a support

[1:04:30] corporation nonprofit whose sole mission is to support Frasier Housing Authority.

[1:04:35] And you all get to with with the Fraser Housing Authority get to determine the

[1:04:40] board members. So for tax purposes, it needs to be different

[1:04:45] than from the board of Frraasier housing authority by having at least a majority

[1:04:50] of board members be independent and but they can be friendly. So, I don't know

[1:04:56] enough about the structure of the Frasier Housing Authority Board and the

[1:05:00] Town of Frasier board, but for example, if there was a town of Frraasier board

[1:05:05] member who is not on the Frasier Housing Authority board, that person could be

[1:05:10] one of the independent board members. And typically, the qualified active

[1:05:15] low-income community businesses have threeperson board members. So you would

[1:05:20] have one that's uh that kind of overlaps with Frasier Housing Authority and then

[1:05:24] you would have two independents. So meaning not currently employed by or not

[1:05:28] currently on the board of Frasier Housing Authority and that generates the

[1:05:33] fed the the separation for federal tax purposes but it's a friendly board that

[1:05:38] you all have elected who is on that board and their full mission is to

[1:05:43] support Fraser Housing Authority. So they're wholly aligned. It is merely a

[1:05:48] pass through entity that makes the financing work and it is leasing the fee

[1:05:53] interest from the two condos and then it's leasing it right back to Frasier

[1:05:57] Housing Authority to operate the housing and right back to Town of Frasier to to

[1:06:03] lease it to grandkids. So it is true that we're kind of sandwiching it in a

[1:06:07] layer of leases, but I think it's a very low risk that those leases would be

[1:06:12] ended because they're wholly mission aligned and only in place is a pass

[1:06:18] through to make the subsidy an opportunity. Is that help?

[1:06:22] » It it helps. I do have a question. Um we are the Frasier Housing Authority,

[1:06:28] the Frasier Town Board. So what you're suggesting is we would have actually

[1:06:33] three appointees and no board members on that panel or that committee.

[1:06:40] » Well, you could have one overlap typically one over.

[1:06:42] » So there's a couple ways to structure it and and the the um New Markets Tax

[1:06:46] Credit Council um who's working with you um we've worked with him for for years

[1:06:50] and he um he could help describe the options to help you all get comfortable.

[1:06:56] One option would be a threeperson board where one person could be one of you all

[1:07:01] sitting here and then two would be independent but identified by you. The

[1:07:06] other is to do a fiveperson board and in that case three could be

[1:07:13] » um you one of you all and two would have to be independent. But then you have to

[1:07:19] write into that structure a requirement that the two independent are always

[1:07:25] present in the case that any um uh any actions are taken that have

[1:07:32] meaningful impact on the financing. So there's just some security measures to

[1:07:36] make sure the independent board members in that approach are um are available

[1:07:40] and both both work and are commonly used. So um we definitely want to

[1:07:44] structure in a way that's going to make you all as comfortable as possible. This

[1:07:47] is sincerely a tool to make the new market's tax credit financing structure

[1:07:52] work. >> And there's only restrictions on place

[1:07:56] in place on the number of trustees that could be on that committee. And I'm

[1:08:02] asking because you're on the Frasier Valley Housing Partnership, right?

[1:08:06] » Um and I wanted to make sure that's not a conf we have a new volunteer.

[1:08:12] » He loves his paycheck. [laughter] Um just making sure there's no other

[1:08:17] conflicts is just our board. >> Yeah. And I think we can definitely try

[1:08:23] to to work in the structure. >> Fraser Valley Partnership whether or not

[1:08:28] » who appoints those other two members to the board.

[1:08:31] » The board does. >> Okay.

[1:08:34] And who owns this 501c3 corporation?

[1:08:40] That's his who? So, it's a it's a brand new nonprofit corporation, but it is

[1:08:45] what we would call a support corporation in that its whole mission is to support

[1:08:50] the activities of Frasier Housing Authority.

[1:08:54] » Who is who are I mean, who wouldn't it >> like does the does the town have to set

[1:08:59] up that 501c3? >> Yes. Yep. That that

[1:09:04] » establishes a 501c3. Okay. Well, it's it's typically a non-member

[1:09:10] 501c3 entity that is a support corporation that is wholly controlled by

[1:09:15] its board that you all would select. We just need to differentiate it from

[1:09:19] Frasier Housing Authority for t federal tax purposes.

[1:09:22] » So that's the reason and and a quality under the new markets tax credit code

[1:09:26] cannot be a government. >> So we have to make it a 501c3.

[1:09:31] And so Denver Housing Authority, for example, used this structure and they

[1:09:35] created a support corporation under that that is a nonprofit in support of Denver

[1:09:40] Housing Authority and that's how they did it. So that's the model we're we're

[1:09:44] using here. Sorry, Sarah, go ahead. Or who who asked the question?

[1:09:47] » Well, and Monica, as part of this process of of putting together the new

[1:09:51] market tax credits, I believe we would work with you and the legal council to

[1:09:55] put this 501c3 together. Correct. >> Absolutely. They do it all the time.

[1:10:01] they have um a lot of experience in that and they're very good at either using

[1:10:05] form you know articles and bylaws that you all prefer or they can bring very

[1:10:10] simplified ones that are used regularly in new markets financing. So yes

[1:10:14] absolutely you'll get a chance to review all of this um and pass resolutions

[1:10:19] before the new markets tax credit financing could close. Those closing

[1:10:22] resolutions are an essential step in the approval process to make this financing

[1:10:27] work. Okay. So, >> so Monica, so this structure is

[1:10:34] actually sheltering us from risk.

[1:10:38] » That's Yes. Set up this way. >> Yes. Yes. And and that's one of the

[1:10:42] reasons most of the um nonprofits that we work with use this structure is

[1:10:46] exactly for that. The singlepurpose entity is literally structured to remain

[1:10:51] in compliance for the seven years and therefore it gives you the most

[1:10:55] flexibility in your operations because it's the tenant if you will the master

[1:10:59] tenant which is really the least back to yourself that's the operator and so it

[1:11:03] it allows you to assure compliance as well as have most flexibility in

[1:11:09] operations. That's I think why it's a popular structure.

[1:11:12] » Yeah. Because the letter from Capital One to Sarah does have clauses in it

[1:11:18] that basically say that we are at risk

[1:11:23] as an entity for a recapture or loss if it all breaks

[1:11:29] down. >> That's right. And in the 25-y year

[1:11:32] history, I am unaware of of any new market still that's ever had a recapture

[1:11:37] event because of these structures. It's it's it's one of the most secure tax

[1:11:44] credit for structures. I mean, we work with a lot of tax credits, historic tax

[1:11:48] credits, LITC low-inccome housing tax credits. There's there's risks with tax

[1:11:52] credit programs. This one is is extremely low risk because of this

[1:11:57] structure. That's exactly right. >> So, yeah, back to my original question,

[1:12:01] it's not no risk. There is a slight risk potentially something can happen, but

[1:12:07] it's a low risk. >> That's right. So the things Oh, sorry.

[1:12:11] Go ahead. >> I was going to say maybe it'd be helpful

[1:12:13] if you could talk through if we were to be your first recapture, what would that

[1:12:17] look like? >> Absolutely. Um, let me first say what

[1:12:22] what you would have to do to be that example. So, one thing you'd have to do

[1:12:26] is is not pay the the the new market. So, new markets tax credits funnels into

[1:12:32] the structure looking and feeling like low interest loans. um there's an

[1:12:36] interest payment that you make kind of at the bottom of that structure and it

[1:12:40] actually comes back to you as interest income on the top. It's kind of going in

[1:12:45] a circle. Um and that so one of the things you could do is not pay your

[1:12:50] lease and therefore not paid the interest. But you were not incentivized

[1:12:55] to make that mistake because that money comes back to you. So that um that is

[1:12:59] one of the few things. The other thing you could do is you could become one of

[1:13:03] the non-qualified businesses. And there's kind of a list of what we call

[1:13:07] the quote unquote sin businesses, a massage parlor, you can't become uh you

[1:13:11] can't um sell alcohol for off- premise consumption. Um a golf course. Um

[1:13:17] there's a few, you know, and I can get you that list. Um and so those are

[1:13:22] really the things that could trigger new market tax credit recapture. So um if

[1:13:27] you were to there are there's a services test but that's when in this structure

[1:13:33] that is they use instead the the property as long as the property is

[1:13:38] owned by this entity or in this case long-term leased and leased back to you

[1:13:42] um then you don't need that services test. So those are the things you could

[1:13:46] do to trigger recapture. Let's say for some unforeseen reason in seven years we

[1:13:51] accidentally trigger recapture um by um bringing one of the sin businesses in as

[1:13:57] a tenant. Um in that case the US Treasury would force Capital One to to

[1:14:04] pay the taxes that it had received the credit for and then Capital One is going

[1:14:09] to turn around and ask you to pay them back. So the that subsidy that they're

[1:14:14] bringing to your project, you would have to pay back. And then all the treasury

[1:14:18] costs and all the legal fees and and any of the, you know, tax filing costs that

[1:14:24] are associated with the years of that tax credit that then are now out of

[1:14:29] compliance would have to be repaid. So that's the that's the meltdown scenario.

[1:14:34] Again, no history of that in the new markets program to date, but that is

[1:14:38] what would happen is is that Capital One would have to pay the tax credit back to

[1:14:42] the US government and they would turn to you to make them whole.

[1:14:47] » But if we keep the daycare in there for seven years, it's a non-issue.

[1:14:51] » Exactly. Well, [laughter] and that is also why we have the random list of sin

[1:14:56] businesses prohibited in grandkids lease that was specifically put [laughter] in

[1:15:01] there for the request of the new market tax credit.

[1:15:05] » We didn't otherwise expect them to start tattooing people tomorrow in their

[1:15:09] classrooms. >> All the kids get numbered. [laughter]

[1:15:15] » Monica, one question, and I apologize. It's been a while since you went through

[1:15:19] that other fancy chart with me. But do I remember correctly, did we land on that

[1:15:24] the town of Frraasier was going to be leasing to the Qualic B as one of those

[1:15:29] layers of leases so that the town of Frraasier retained ownership per our

[1:15:33] grant requirements. >> That's correct. For the for the ECE

[1:15:37] condo, the ground floor condo. That's correct. And then Frasier Housing

[1:15:40] Authority similarly retains ownership of the housing portion and then leases it

[1:15:45] into the structure and then it's leased back to you. That's correct.

[1:15:52] So, just a few more points here and I want to make sure um we can all keep

[1:15:56] moving forward. Again, I am I love this stuff. So, if anybody wants to set up

[1:16:00] another meeting, please um do not hesitate to reach out to me. I'm more

[1:16:03] than happy to dig into it. Some key points we want you all to be aware of.

[1:16:07] Um in this structure to leverage building e costs through the structure

[1:16:12] into the public private partnership, your money enters in the form of a loan.

[1:16:16] That's so that Capital One can own the right to the tax credit. Um, and it

[1:16:21] allows that kind of interest payment to go in a circle and come back to you. So,

[1:16:26] um, we call that the leverage loan. And so, that's that is going to fund the new

[1:16:31] market's financing, um, and generate the tax credit opportunity. So, you're going

[1:16:35] to bring about twothirds of the money to the table and Capital One's going to

[1:16:38] bring about a third and it's going to funnel through and it's going to build

[1:16:41] the project. And that's the purpose for the tax credit opportunity.

[1:16:46] That leverage loan is going to be um made through really the costs you've

[1:16:53] already spent that have helped build building E. So um Sarah to your point,

[1:16:57] some of the grants that you've already received and then um Proposition 123 or

[1:17:02] 123 equity is kind of rounding out the capital stack. So we're going to

[1:17:06] leverage those costs through the structure. Um, and then the New Markets

[1:17:10] benefit uh comes in all upfront all on the day of closing. So, some tax credit

[1:17:16] programs pay in at milestones of construction. New Markets tax credits

[1:17:20] does not. It pays in all upfront all on the day of closing comes in as cash

[1:17:25] flows through the the public private partnership and that cash comes into a

[1:17:30] dispersement account that you use to complete the building. So, New Markets

[1:17:35] is going to look and feel like lowinterest loans for the seven-year

[1:17:40] compliance period, but it is net neutral. You pay that interest, it comes

[1:17:43] back to you at the top. And at the end of the seven-year compliance period,

[1:17:48] we're going to put the ownership of that structure and collapse it in the form of

[1:17:52] debt forgiveness. So, we sometimes refer to those as kind of the fake debt, if

[1:17:55] you will, in the new market structure. And I know I'm zooming over a lot of

[1:18:00] ideas that are very complex there. Monica, can I can I interject for one

[1:18:04] second? Hi. Hi, >> board. Matt Ginsburg, Mountain

[1:18:07] Affordable Housing Development. That that's no new capital required by the

[1:18:12] town. All that money is already in the structure. We're just repurposing it as

[1:18:17] a leveraged loan. >> Thank you, Matt.

[1:18:21] » Yep, very good point. >> Starting to learn after three years what

[1:18:24] might what might concern you. [laughter]

[1:18:30] Um, that's exactly correct. So, the the benefit will create a savings. It's

[1:18:34] really it's really creating a savings in the building of building E. And then at

[1:18:38] the end of the construction period for St. Louis, it's really a savings of of

[1:18:44] bond proceeds that are not going to be used and that allows more money to come

[1:18:48] back to the town on their subordinate loan. So, there's this always this

[1:18:52] complicated question of when is the net benefit achieved. It is achieved upfront

[1:18:56] at closing. It is going to get invested into the building of building E. New

[1:19:00] Markets wants to feel like it's coming into the project that's having community

[1:19:05] impact and then that's going to create a savings to you all at that will really

[1:19:09] be understood at the time that the full project is complete and there is a

[1:19:13] savings on the on the bond proceeds that are not drawn for building E.

[1:19:21] Okay. Again, lots here. Happy to dig in more. This is a highlevel representative

[1:19:26] timeline. I know there's some different discussions in here. Our goal is to um

[1:19:30] try to take advantage of the new markets financing as soon as possible. Uh it is

[1:19:34] a very competitive subsidy. So to have enterprise and Colorado growth and re

[1:19:38] revitalization fund bringing the subsidy to you is a great opportunity. Um

[1:19:44] ideally we would stay on track to leverage this financing opportunity here

[1:19:48] yet this calendar year. And the reason for that is some of the costs that we're

[1:19:53] leveraging to maximize the new markets tax credit benefit are costs that of

[1:19:59] course have been in process and spent in the building that's in process at

[1:20:03] building E. And so um New Markets allows you to to leverage costs as long as

[1:20:08] there's they're within 24 months of look back from the day of closing. So we want

[1:20:12] to we do want to close this calendar year in order to have enough costs that

[1:20:17] are in compliance to be able to leverage the opportunity. So um here of course

[1:20:22] and soon um we as it sounds like we're attached to your board documents there

[1:20:27] are some term sheets and um investor the investor LOI from Capital One. There's

[1:20:34] also um an adjoiner for the legal council that we talked about, a

[1:20:39] gentleman named Kevin Sabry at KCD Legal who would be representing you all uh in

[1:20:45] the new markets tax credit financing. Um he's excellent to work with. We've

[1:20:49] worked with him for a long time. So there's an adjoiner to allow him to be

[1:20:53] um representing you all as a part of his legal um role. And then as those

[1:20:58] financing partners and that comes together, ideally we would kick off the

[1:21:02] new markets financing. Uh kickoff is kind of a technical term for when all

[1:21:07] the financing parties come together and we start to review the closing documents

[1:21:12] and the the due diligence that it's usually about three months from kickoff

[1:21:17] to get to financial closing. In that period, as was mentioned, um,

[1:21:23] KCD legal, our firm as your consultants would work with you to help put together

[1:21:28] and structure the new entity that would be created to make the financing work.

[1:21:33] You would identify the board members that you want for that entity. And of

[1:21:37] co, of course, before we close, you all would have to approve the closing

[1:21:43] resolutions that authorize that financing. So, um the the kickoff starts

[1:21:47] the process, but there is formal approval needed to to make the financing

[1:21:52] possible. Um and and that newly formed board also has to pass closing

[1:21:57] resolutions to allow the financing to close. We anticipate those to be

[1:22:01] somewhere in October with a financing in November. Definitely trying to close

[1:22:05] before year end and and the sooner the better to maximize that benefit with the

[1:22:09] costs. So, um, please reach out to me with any

[1:22:14] questions. There is a more complicated diagram at the end of this presentation.

[1:22:19] Um, if you have questions on that or if there's more discussion needed, I'm more

[1:22:23] than happy to to answer questions or or schedule another time.

[1:22:28] » Going to say she didn't show you the chart that hurts my brain.

[1:22:31] » I can. [laughter] >> You explain it very nicely, Monica.

[1:22:34] Thank you. >> Thank you.

[1:22:39] » Yeah, it does. Um there is a method to the madness but

[1:22:43] it is complicated. Yes. >> Yes. So there are a number of documents

[1:22:47] um some of which are included here that are going to be coming to the board. So

[1:22:51] if there are any questions at this time about some of those documents if you had

[1:22:54] the opportunity to review them but um I believe correct me if I misstate this uh

[1:23:00] we are waiting for Prop 123 for Chaffa to kind of give the final sign off. they

[1:23:05] know this is coming um but they need to approve this before before we move

[1:23:11] forward. Um and so at that point we will be bringing those documents for board

[1:23:15] approval but wanted to not have to try to explain everything that Monica just

[1:23:19] explained um when those documents are brought forward.

[1:23:24] » We've got kind of a tight timeline. We're waiting on chat on

[1:23:28] » your mouth. >> I think we may

[1:23:32] we may be bringing things a little bit before we have sort of final approval

[1:23:36] because you know they give you a a pretty firm view about where they are

[1:23:39] at. And it also helps that that the one and a half of the new markets funding

[1:23:47] the the the CDs that bring the credit is Chaffa also. Um, and so they should

[1:23:52] probably hopefully, if they can hear us, we'll be working behind the scenes to

[1:23:57] make it move smoothly.

[1:24:04] I would be interested in seeing the list of items that would trigger recapture of

[1:24:09] of the tax credits. I mean, I'm just thinking I

[1:24:15] I have no idea. You mentioned a few, right? What if there was some

[1:24:21] nefarious issue, criminal something happened with

[1:24:27] the daycare? Would that trigger a recapture? I mean, would that

[1:24:32] you know what what are the risks there in terms of recapturing

[1:24:36] those tax credits? Does that make sense? >> Great question. Just at a high level,

[1:24:42] I'm more than happy. We have some presentations that are specific to the

[1:24:45] compliance. Um the daycare is a tenant and so their activities um really cannot

[1:24:51] trigger it. It's really actions of the qualified active low-income community

[1:24:56] business entity that are going to trigger the the the recapture situation.

[1:25:01] So it is true you can lease to a non-qualified business. Um, I suppose

[1:25:06] they could, um, ignore the businesses, the non-qualified businesses

[1:25:14] that are a part of their lease, as Sarah mentioned, that were already put in. Um,

[1:25:17] but if that happens, then there's a cure period. You would be able to replace

[1:25:22] them with a with a qualified tenant and and and so that should not trigger

[1:25:27] recapture if if taken care of. Um it's there there's a lot of cures built in to

[1:25:33] make sure the solves are um worked out, but I'd be more than happy to put

[1:25:38] together kind of a summary presentation of what triggers recapture.

[1:25:41] » I think that'd be helpful. How long will we have to get rid of a tenant? Would it

[1:25:45] be 60 days or six months? >> Well, we just had a change it to 180

[1:25:50] days. >> Yeah, we did. But

[1:25:52] » we're going to keep this dayare because they won't

[1:25:54] » for a short period of time >> or we tell them to close down whatever

[1:25:58] operation they have >> that we're it's not allowed.

[1:26:02] » Yeah. Yeah. I think we're good. >> Yeah. Typically the new markets

[1:26:06] compliance period uh or the new markets compliance certificate is executed

[1:26:10] bianually. So you would do it twice a year. So you'd have a sixmonth period

[1:26:15] where you're reporting on any of the compliance. um now how that ties to the

[1:26:21] actual um >> period that would then trigger

[1:26:25] recapture. I think you probably have longer for that. But I think that that

[1:26:29] the um community development entities who manage the compliance, they have you

[1:26:35] fill out the compliance certificate on a bianual cadence so that they have time

[1:26:40] to work with you for any cures in a period that would trigger a concern

[1:26:43] which might be annually that they report to the treasury.

[1:26:47] » Okay. Thank you. >> Yeah, good questions.

[1:26:53] » Okay. No such thing as free money. [laughter]

[1:26:59] » So Matt, do you want to um pull up or I can pull up your sources and uses and

[1:27:06] just kind of show how this fits into that overall capital

[1:27:09] » sources and uses deck. >> I can pull it up.

[1:27:39] that good for everybody.

[1:27:43] » Cool. Good evening board. Matt Ginsburg,

[1:27:47] nonaffordable housing development again.

[1:27:52] Um, I'm going to walk through the the the sources and uses page which we've

[1:27:57] looked at for three years. Um, if you have questions, let me know about any

[1:28:01] particular line item, but I'm I'm going to review it holistically with a focus

[1:28:06] on on the effects of the new market tax credit.

[1:28:10] Uh what's on this page is the final underwriting

[1:28:15] um sources and uses that that was approved and in the in the uh bond

[1:28:22] documents and and in the um Prop 123 documents etc and their underwriting

[1:28:28] materials. Um so all the final numbers from the from the bond offering um you

[1:28:35] know over time the cost of the project of course go up because that's the only

[1:28:39] direction costs really ever go um and a portion of the 5.335

[1:28:47] or 5.4 $4 million of uh bridge loan, the first interim bridge loan that y'all put

[1:28:53] in um was going to get consumed and probably not fully paid back by the myc

[1:29:01] funding. Um which is something that's been out here for quite a while, but but

[1:29:07] want to make sure that that it's clear because it's relevant to why make the

[1:29:10] effort to do the new market tax credit. Um

[1:29:15] so th this is the uh this is the final source and uses. If you don't do

[1:29:20] anything about the new market tax credit um and we you know come in like right at

[1:29:25] budget, spend the contingency, etc. Uh then there will be about $2.9

[1:29:30] million of outstanding first interim loan obligation. Remember at closing we

[1:29:36] paid back all of the um $5.3 million of second interim loan obligation. Um, so

[1:29:44] that that's that's back. Um, but the a portion of that first interim

[1:29:50] loan obligation would be outstanding at the end. You would get that back over

[1:29:55] time through the cash flows of the uh of the project.

[1:30:03] Questions? Okay.

[1:30:10] we have money left over. >> Yeah. Here we go. So, if we add to the

[1:30:15] lefth hand side $3 million, um, which is a net amount. So, there's

[1:30:20] some cost to doing the issuance. Um, and I think we think that 3 million is a

[1:30:24] fairly conservative amount. I I missed the first couple minutes of Monica's

[1:30:27] presentation, so hopefully she told you the same thing. Um,

[1:30:32] then then all of the initial $5.4 4 million will will come back assuming

[1:30:37] that the budget is is observed and performed upon. Um and you'll have an

[1:30:44] excess $70,000 or just about $71,000.

[1:30:49] Um which I think might be 79. Maybe I did

[1:30:53] my math wrong on there. uh the the uh that you can use that for you sort of

[1:31:00] need to use that if it's coming directly from the the new markets tax credit to

[1:31:05] um invest in the the grandkids learning center the the which

[1:31:12] isn't specifically for grandkids in this case it's just the the childhood

[1:31:15] education center uh which could be you know internal buildout um or

[1:31:21] um playground structure things like that.

[1:31:25] The various different costs to to fully outfit the the space as uh as is

[1:31:32] necessary for a particular uh childcare operator. Um so sort of the the the

[1:31:40] other end of the spectrum from not doing it is doing it and and

[1:31:45] not increasing the budget at all for the buildout. and you you end up uh with all

[1:31:50] of your first interim loan back and a little bit extra that would be allocated

[1:31:54] towards uh towards some portion of of buildout costs. As I understand it,

[1:31:58] grandkids put forth a budget to y'all of of something like $600,000, but I don't

[1:32:04] quote me on that because I haven't seen it. I could be wrong about that.

[1:32:10] question. So Matt on this sheet on uses it doesn't mention

[1:32:15] » on this particular sheet >> um build out at all or any cost going

[1:32:21] towards the grandkids. >> Correct. I'm just showing you that that

[1:32:25] you have excess I haven't done anything to the right hand side. That's why

[1:32:28] there's a third sheet. >> Great.

[1:32:31] Um, >> yeah, I see that

[1:32:34] » the buildout I mean the building e cost is in the vertical buildout and that

[1:32:38] includes a good amount of the internals. Um, just maybe not the more highly

[1:32:43] custom stuff like like some um appliances and uh other special

[1:32:50] installations that are that are specifically for how how grandkids would

[1:32:54] like it set up. It's it is pretty well set up how grandkids would like it set

[1:32:59] up. It's not 100% set up how grandkids like it set up. So,

[1:33:02] » right.

[1:33:06] » Third scenario. Um,

[1:33:11] now, uh, Trusty Souls, we add $600,000, which is, like I said, the the the

[1:33:17] budget that I the high level budget number that I heard floated, um, to the

[1:33:21] right hand side. We still bring in the $3 million on the lefth hand side. Uh,

[1:33:26] you end up with, you know, almost all of your first interim loan of

[1:33:31] 5.4 back, you get 4.8 almost $4.9 million back. And that again is assuming

[1:33:37] that we deliver the project exactly on budget and expend all the contingency,

[1:33:42] etc. Um th this something like this would be my

[1:33:48] recommendation if I'm supposed to give a recommendation, but um but that I think

[1:33:53] it's up to the board what they want to do. It's up to I think a conversation

[1:33:56] with grandkids about how how building out will assist with uh the goals here.

[1:34:03] I think of course the the faster they can get students into the seats, the

[1:34:08] more uh adults who work in the town and pay taxes and generate uh um sales tax

[1:34:16] from sales to visitors can be there. So, it's probably a an altruistic upward

[1:34:22] spiral by making sure you can fill out the seats there sooner.

[1:34:28] » Mhm. >> Yeah.

[1:34:34] » So, the question is, grandkids, could you fill all the seats if we did this

[1:34:41] that that fast? You know, getting teachers, everything like that,

[1:34:44] » they're going to need to take a few years. Um, someone needs to use the

[1:34:48] microphone to answer your question. >> Yeah. Could Do you think you could find

[1:34:52] teachers?

[1:34:55] » Do you want to pop up to the microphone? Yeah. Thanks.

[1:34:58] » Thank you. >> No.

[1:35:00] » Sorry, Katie. >> Um, yes, I think that we could find

[1:35:03] teachers. Since um our board of directors raised our bottom line pay

[1:35:09] about a month ago, we have seen a substantial increase in applicants. And

[1:35:13] I would expect that that would increase once the stipen program is able to be

[1:35:19] advertised as well. >> Okay.

[1:35:23] » And Grant's current budget for their buildout that they provided here is a

[1:35:27] bit less than that 600,000. Um it's looks like it's $418,545.

[1:35:34] Um, so as Matt was explaining, if we help

[1:35:40] them either with all of that or the difference between what they believe

[1:35:43] they have money to put towards it and that amount, um, the town would

[1:35:47] potentially have some of its balance of that loan paid back through time over

[1:35:52] cash flows versus right at closing. Um the other piece of it though, and again

[1:35:57] correct me if I misstate this Matt, um if not all of that contingency is used

[1:36:02] for the project, then we'd have that going back to the town as well um to pay

[1:36:07] back the rest of that loan. >> Yeah, there's still opportunity to to

[1:36:11] bring it all home. Um but I I I don't want to uh

[1:36:17] I'm not not changing >> to wipe out the system in uses yet.

[1:36:22] Let's finish a building, you know. I was going to ask about the contingencies and

[1:36:26] that's that's just kind of a fudge factor just in case their cost ever

[1:36:31] runs. What about reserve accounts? >> The reserve accounts are specifically

[1:36:36] for the bonds. One they're uh about 3 million and then two and a quarter and

[1:36:41] one is to pay interest during the construction period and that just gets

[1:36:46] consumed like right you raise the money from the bond holders and you write

[1:36:49] checks back to the bond holders. Um >> maybe money left over from that too.

[1:36:54] No, I I the that that like bond cash flows are very specific. Um and also

[1:37:02] it's very easy to predict what the interest uh service will be during that

[1:37:06] period of time because you know what you raised, you know the amount of time and

[1:37:10] you know your revenue is zero. So that that's that will probably be

[1:37:14] consumed almost to the dollar. And then the other $3 millionish dollars, I think

[1:37:18] it's 2.9 something, is a is a long-term reserve account and that's part of the

[1:37:25] security package that the bond holders require. That will I guess good point,

[1:37:31] Le, that that will come back at the end either to advertise bonds or or to you

[1:37:37] all. um that'll come back probably after you've already uh gotten that $529,000

[1:37:43] in this case out of the uh out of the project in cash flows.

[1:37:49] » Okay. Well, that's good. And then the water sewer tap fees, that come to the

[1:37:53] town and building permit fees, is that paid directly to the town?

[1:37:58] » No. To our >> It's probably part of the waved fees on

[1:38:00] the left. Yeah, the the building permit fees and the wave fees are were were

[1:38:07] um >> they did they you either I don't

[1:38:10] remember if we took cash in and cash out or or or if we just didn't didn't move

[1:38:14] the cash around there [clears throat] >> that that's a wash

[1:38:19] » that's the same as building permit. I believe the building permit were

[1:38:25] waved, if I'm remembering correctly, the water and sewer top fees and the fire

[1:38:29] and school fees. Um, we are paying those into the appropriate accounts, but we

[1:38:34] have um grant money that's covering most of that,

[1:38:37] » right? As it should be. >> And did that get paid to the town? Well,

[1:38:42] water and sewer fees get paid to the town.

[1:38:45] » They'll get paid to those enterprise funds, but again, we have grant dollars.

[1:38:49] we have to pay our match portion, but the rest of that is being paid with

[1:38:51] grant dollars. >> Great. Good work.

[1:38:55] » Okay.

[1:38:58] » So, if the direction of the board um is that we would like to help cover some of

[1:39:05] those buildout expenses with this new market tax credit money, that is

[1:39:09] something that would come back to the board ultimately for for final approval

[1:39:13] as we're working through this new market tax credit process. Um, I know for

[1:39:18] grandkids, the sooner they kind of have information to work with that helps them

[1:39:22] plan accordingly so that they can make sure they are set up to to do their

[1:39:26] buildout. >> Well, we need to make sure we're getting

[1:39:30] this money first of all, right? >> Yeah. And I think we're we feel pretty

[1:39:35] pretty confident that >> um I can let Monica speak to that as

[1:39:39] well um and her history with us, but we we should be able to close on that money

[1:39:42] and anything we offered would be contingent on closing on that money.

[1:39:47] » Yeah. >> So, can you can you clarify um the order

[1:39:53] that this would go in? I'm thinking about our bridge loan and uh if it gets

[1:39:58] paid back or partially paid back, but I think we told the community that this

[1:40:02] was not we were not paying for this that we would get that money back. So I I

[1:40:07] mean I'm kind of in I'm in support of helping the

[1:40:13] child with education, but I I think we have to be upfront with our community

[1:40:18] and and pay ourselves back first and then if there's something left over, we

[1:40:23] can consider. But these are things we said in public uh micro.

[1:40:27] » Well, and one thing to consider with these this $3 million is we wouldn't be

[1:40:32] eligible if we weren't supporting this daycare to begin with.

[1:40:36] » So if we were to s, you know, sacrifice 500,000 now and get paid back over time.

[1:40:44] It's just something to consider. >> I just want to make sure it's clear to

[1:40:48] the our constituents and our community that

[1:40:54] you know that our arrangements are are we're sticking to our word. I mean we we

[1:40:58] loaned that money and it was said over and over and we had people in the

[1:41:01] audience saying hey is this going to be Frasier paying for this and we said no

[1:41:06] multiple times. I I just uh think we need to be cognizant of that.

[1:41:16] » All righty. >> Okay. But we don't need to decide that

[1:41:20] right now. Right. >> We just need to

[1:41:22] » We don't No action. >> No, we're not looking for any action.

[1:41:25] Yeah, this isformational. >> Okay, it's a lot of information.

[1:41:29] » That's a lot of information, but I appreciate you guys. Thank you for

[1:41:32] coming. >> Thank you.

[1:41:34] » And we have just a >> short leg stretch before we start the

[1:41:39] next one.

[1:41:44] » We have three >> not going to be short.

[1:41:45] » We have three things to go. Um, we have a request for a leg stretch. Let's uh

[1:41:51] let's do three minutes. >> Yeah, just short. Then y'all could stand

[1:41:55] up.

[1:46:18] Okay, next up

[1:46:23] » we we get Oh, yeah. Oh, plenty. Um, pole yard development community wish list

[1:46:30] discussion. Uh, Ron Jones is here with us.

[1:46:41] Do I need to talk fairly closely into this for you to hear me?

[1:46:45] » Yeah, that's that would be helpful. Yeah.

[1:46:46] » Can you hear me now? >> Yeah. Yeah.

[1:46:48] » Okay. I'm Ron Jones. I know most of you. Um, I've had conversations with some of

[1:46:55] you individually and I'll keep this fairly

[1:46:59] brief and I just wanted to give you the courtesy of telling you what we're doing

[1:47:04] and what we've done. Um, as many of you know, I've been in the valley 51 years

[1:47:11] and did Cooper Creek Square. I did a lot of self storage. I'm out of all that now

[1:47:16] and I'm at a place in my life where I'd like to pay back to the community. And

[1:47:21] so my family and I, my my kids and myself, we looked around and we felt the

[1:47:28] best way to do this would be to buy the Susan Jones Trust property, the 128

[1:47:35] acres, which is part of what is sort of called the pole yard. I guess it's

[1:47:41] everything from uh the Sarah, did you want to put a map up or

[1:47:47] » Yeah, it's everything from the ball fields to the elementary school up to

[1:47:51] Grandma Miller's and up to Betsy Dere's uh my kid's mom's house. It's a very

[1:48:00] critical parcel that I think needs to be developed properly. And so we didn't do

[1:48:08] the traditional developer thing of let's get a development plan and let's draw a

[1:48:14] bunch of pretty pictures and come to the city and say this is what we want to do.

[1:48:19] I felt the property became available at a price that was high but still

[1:48:26] we could justify and we just simply bought it. And our goal is to take a

[1:48:33] substantial portion of this property and put it to use for the things that will

[1:48:38] help make the Frasier Valley a more sustainable place for people to live. Uh

[1:48:44] it's not about what kind of a IR can get off the property. It's what we can do to

[1:48:52] to make things work. And so I want to work with Frasier. I want to work with

[1:48:56] Winter Park. I want to work with Grand County. I want to work with everybody

[1:49:01] that's involved to listen to what we need in order so that young families

[1:49:08] don't say we can't make it here. We can't afford to live here. We have to

[1:49:11] leave. Um obviously work for you. You just had a whole huge presentation on

[1:49:17] workforce housing. That's on the top of the list with 150 acres. And and by the

[1:49:23] way, we're working with Matt Girky who owns Polyard. Uh we're united in in

[1:49:31] pause as far as doing the right thing for the community.

[1:49:34] » Wonderful. >> With that amount of land, there's

[1:49:37] absolutely no reason if we can find the developers to do it that we can't build

[1:49:41] as much workforce housing, single family housing for people who live and work

[1:49:46] here. There'll be some market things. Yes.

[1:49:50] » How much does Matt Kirk? >> He has 10 acres.

[1:49:54] » He he has 10. We already had five and we just bought 128. So it's close to 150

[1:50:00] total. >> And then my family and Graham and Louise

[1:50:05] Powers own the 43 acres between uh

[1:50:11] let's say the rodeo grounds and and the west side of Frasier.

[1:50:15] » Most of that is wetlands, but not all of it. And when County Road 522 gets built,

[1:50:20] which we just had meetings with the county uh this last week, and they're

[1:50:26] very very close to having that all put together, and if that happens, I think

[1:50:31] their intention is to build it relatively soon. So anyway, the the

[1:50:38] there isn't a plan to talk about. There's there's a dream. There's an

[1:50:41] idea. There's a hey, we've got the land now, and we're not on a short time

[1:50:47] frame. I didn't borrow a whole bunch of money and now I have to go make money.

[1:50:51] We paid cash for it and we can hold it and we can protect it. It's it's not

[1:50:57] going to be open space. It's a it's an industrial site. I mean, it's not not a

[1:51:01] pretty meadow, but it's a place where the things child care, workforce

[1:51:08] housing, uh, schools, uh, recreation, nonprofits, uh, Riverwalk. There's a lot

[1:51:17] of things we can do. So, the the first step that I I want to do is hold some

[1:51:23] public meetings and and just listen, just hear what people in the community

[1:51:27] say. We'd like to see this. we feel we need this. And we've had people coming

[1:51:32] out of the woodwork saying, "Gosh, listen to us. This is what we need. You

[1:51:37] guys are going to be important because we can't do this without the

[1:51:40] infrastructure of Frasier." We all know that water is a big issue. Uh we've been

[1:51:46] talking to your town leaders about solving that. The sooner that we solve

[1:51:51] the water problem, the sooner we can get going with trying to put land

[1:51:55] underneath. I want to be very, very clear. We will donate some land. We will

[1:52:01] make some land affordable and then we'll have some market land. We we we'd like

[1:52:06] to at least recapture what we paid for the land, maybe make a small profit, but

[1:52:10] that's not our main motivation. The main motivation is to is to actually have a a

[1:52:17] resort community that works for everybody, not just the people who come

[1:52:22] here as the second homeowners. And that's a big broad picture. That's a

[1:52:27] huge tent, but you're dealing with somebody who's lived here 51 years.

[1:52:34] Katie Souls and I played pool. We both came to town the same night in 1975,

[1:52:40] Halloween night, and we we've done it together, you know, all this time. And

[1:52:45] so, >> that's that's what we're trying to do.

[1:52:48] » Yeah, it's wonderful. >> I'll answer I'll answer questions, but

[1:52:51] there's not a lot more detail. We we banned bannered around some names and I

[1:52:56] think for the time being I just like to refer to it as a community project at

[1:53:01] the poleard. That won't be the end name but that's kind of the everybody knows

[1:53:06] the poleard and that's what we're trying to do is do a community project.

[1:53:10] » Wonderful. So yeah I [laughter]

[1:53:16] » I was thrilled when you found that you bought it. So the old pond the mill

[1:53:20] pond. >> Yes. that's back there that hardly holds

[1:53:23] water. That's in your property now. >> Yes.

[1:53:26] » Um and we're always looking for a place for water storage,

[1:53:31] I believe. And it's a good opportunity for potential recreation and park. I

[1:53:36] know our kids played there growing up. It was just fabulous. So anyway, that's

[1:53:42] something to for us to kind of tuck away as a possibility for a another little

[1:53:47] park in there and also to be able to use that water for water storage and water

[1:53:52] mitigation because that's kind of big for the town. We need more of that. We

[1:53:58] have been discussing those exact concepts with

[1:54:03] with our team and your team. Okay. >> And as I understand it,

[1:54:10] doing treatment of surface water is very expensive and probably outside of the

[1:54:16] budget of Frasier. Yeah. >> However, drilling wells and releasing uh

[1:54:22] water to augment wells from a storage pond is

[1:54:27] very efficient in in comparison to surface. So, that is definitely

[1:54:33] something we're talking about. One thing that probably isn't that well known in

[1:54:38] the community, it's not a secret, but uh those of you who know where I live, I've

[1:54:43] got about a 7 acre lake that Dwight Miller dug as a um

[1:54:49] it was a rock quarry or a gravel pit way back when. And that water's just been

[1:54:54] sitting there. I don't have any water rights, but I've got the right to have

[1:54:58] the lake. So, I have made an agreement with the Middle Park Water Conservancy

[1:55:04] District to convert that into a community purpose reservoir.

[1:55:08] That gives us the possibility of releasing

[1:55:13] uh augmentation water. And there's not that many users between Frasier and

[1:55:18] where I live in Tabernac. I'm not saying that it'll work, but it's certainly

[1:55:23] something that it makes sense that Frasier would want to cooperate with

[1:55:28] Middle Park Water Conservancy because they're certainly here for the their

[1:55:32] whole district. So, I think we're going to have to get creative to solve that

[1:55:36] problem. But as soon as we do, then we can start talking to the various

[1:55:41] individuals. We can do a land plan. We can start coming to you to talk about

[1:55:46] annexation. we can start talking to groups who who need land. I've had

[1:55:51] several nonprofits come to me and say, "Gosh, we'd like to have our own place.

[1:55:55] You know, we'd like to have land underneath us." I've had a lot of people

[1:55:58] say, "Gosh, I' I'd really want to stay in the valley, but I don't necessarily

[1:56:03] want to live in an apartment. You know, workass housing is not where I want to

[1:56:07] raise a family. I'd like to have a small piece of land. I mean,

[1:56:12] » a neighborhood. >> A neighborhood." and and Andy Miller was

[1:56:15] talking to me last night about when you and I moved up here, people bought a

[1:56:20] little piece of land and they built their own house because that's the only

[1:56:24] way they could afford to do it. You know, one year they'd put up this wall,

[1:56:28] the next year they put up the other wall. And I hope people could build it

[1:56:30] sooner than that, but it'd be nice to have small lots that are affordable that

[1:56:35] people can figure out a way to actually own a house. Now, I can't do all the

[1:56:41] vertical, but I can help solve the land. And and land cost is, as you know from

[1:56:48] the project you're doing on on the housing, land cost is a huge portion of

[1:56:52] it. And if we can bring that under control, there's a whole lot of good we

[1:56:59] can do. And I wish I had more details, but I can't have more details until we

[1:57:05] collectively work through this and and and solve some of the issues. So, you

[1:57:10] know, what we're dealing with is was is a spirit right now. And I want to invite

[1:57:15] everybody in the community to participate in this, not a secret. It's

[1:57:18] like, how can we do this together? And I've had an incredibly positive

[1:57:24] response. Uh I've been talking to a lot of people. uh everybody from you know

[1:57:30] the ski areas to governments to nonprofits and I think this is an

[1:57:35] opportunity for us to really come together and say what do we need to

[1:57:40] create a community that's more livable and not just for the second homeowners.

[1:57:45] So any other questions? >> We're very excited.

[1:57:50] » I'm excited. I hope you guys are. >> We are.

[1:57:54] » That's great. >> What other thoughts do you guys have for

[1:57:56] you? Thank you. >> Yeah. Thank you, Ron.

[1:57:59] » Thanks so much. >> Yeah, absolutely.

[1:58:09] » Um Andy Miller, Planning Commission, Frasier. Uh you know, I've I've been

[1:58:14] doing this land development review game as a town board member, as a journalist,

[1:58:19] as as a naysayer out in the community a long time. 50 50 three years, I believe.

[1:58:28] Um, and last night after talking to Ron over dinner last night, um, I lost a

[1:58:34] little sleep for the first time. It wasn't because I was worried about

[1:58:38] something. It was because I was excited about something. So, this is this is

[1:58:42] really cool. Um, I think the the key words that I got from Ron that I heard

[1:58:47] again tonight is a community built project and get the young people

[1:58:52] involved. women. Uh we've got so many pe so many my both of my sons are in their

[1:58:57] mid-30s and and doing good things, but basically pretty convinced the

[1:59:02] government doesn't do anything to help them out. And um and here's here's some

[1:59:07] property. Here's a possible project we might put together. When we were talking

[1:59:10] about the pole yard, we came pretty close to buying that. I know we talked

[1:59:14] about a make it space. The make it movement is you don't hear a lot about

[1:59:18] it lately, but it's out there. A lot of people want to know how to work with

[1:59:22] their hands, you know. And you think about these these tiny lots and small

[1:59:26] houses, not tiny houses, but houses that could have all the facilities in them.

[1:59:30] And the owner that wants to build them, but is working by himself. And maybe we

[1:59:34] don't do one wall at a time. That would that would uh could create a blight on

[1:59:38] the landscape. And but maybe we bring in like Breenriidge does with art

[1:59:42] vacations. Maybe we have make it type vacations. And we have a community shop

[1:59:46] out there with the facilities and the tools and the things that a person needs

[1:59:50] to build a house and learn trades. Um, and then tourist uh visitors come in for

[1:59:57] a little hawk fin vacation. I got the brush. Um, I got the paint and there's

[2:00:03] the fence. Let's see. You know, it's going to be a little more elaborate than

[2:00:06] that, but that's the spirit of it. So there just so many great ideas that that

[2:00:11] that that the young folks in town will come up with and and those amongst us

[2:00:16] who've made those mistakes in the past can hopefully at least offer a path past

[2:00:20] those. So Ron, I'm super excited about this and it's just really nice to hear

[2:00:24] somebody get up here and say, "I want to give back." So

[2:00:28] » indeed. >> Thanks.

[2:00:30] » Okay. All right.

[2:00:33] » Well, I've had a number of conversations with Ron. It's It's always been fun to

[2:00:38] kind of dream of what we want to put in this space. Um, have you guys

[2:00:43] heard anything else or do you have you thought of anything else that hasn't

[2:00:46] already been already been brought up?

[2:00:52] » I was interested. And I know I brought up um I mentioned to a gal who's a

[2:00:56] teacher, you know, about school and then but she was really worried about

[2:01:01] stretching the resources and funding that we have for our school district

[2:01:05] already. So that was interesting, you know, in terms of a middle school high

[2:01:10] school combo, but >> I think it needs to be considered,

[2:01:14] » you know, and we need we're going to need a new location for Safeway

[2:01:20] eventually. It is busting at the seams and we're

[2:01:24] probably gonna have another thousand people as permanent population

[2:01:30] over the next 10 years, maybe more. And it just can't accommodate it. You think

[2:01:36] about the number of people. But this particular property, it doesn't really

[2:01:39] work for because of the railroad. You can only access off of County Road 5,

[2:01:45] right? Or coming through the town of Frraasier. Um, now across the street,

[2:01:49] you know what's going on with the rest of that Jones the Susan Jones trust

[2:01:53] property right there up at 8 the corner of 8 and 40?

[2:01:56] » It's listed. >> Okay.

[2:01:58] » And they're trying to sell it. >> Yeah.

[2:02:01] » That's all >> all I know. I've heard rumors. Okay. But

[2:02:05] that's all I know. >> Yeah. But you you bring up the

[2:02:08] transportation issue and this is something I should have included in my

[2:02:11] presentation because this is this is an action item you guys need to be aware of

[2:02:16] now and I'm sure you're going to be hearing about it.

[2:02:19] » Scott Ladine brought up uh and and then several people after him brought up the

[2:02:24] need to be able to connect the elementary school to the ball fields so

[2:02:29] that kids can safely walk from the elementary school to the ball fields.

[2:02:34] This can happen very, very soon because County Road 522,

[2:02:39] now that it looks like it's for sure going to happen, has a bike path, a

[2:02:45] separated bike path from the roadway as you know that goes over the uh gas line

[2:02:50] easement and it goes all the way from well from County Road 73 to the ball

[2:02:57] fields. If we can simply connect the elementary school to 522,

[2:03:04] that connection is here very soon. I mean, it could happen in the next year

[2:03:10] or two. The other thing that the county said in in our meetings, and I don't

[2:03:16] think I'm saying anything out of school, when when 522 was first designed, this

[2:03:22] was 20 years ago, and the Susan Jones property, there was no hint that any

[2:03:28] development was going to happen. So, there was nothing urban. The road was

[2:03:32] designed to be, you know, 40, 45 miles an hour moving traffic. when the county

[2:03:40] understood what our vision is and you know in some of the discussions we've

[2:03:44] had were the potential of maybe as many as 2,000 F sfes out there and that type

[2:03:50] of density that traffic has to slow down now and

[2:03:55] the the county engineer and the county manager completely understood that this

[2:04:00] is going to become an urban corridor. I mean, as urban as we can call it

[2:04:06] anything in Grand County and that's a good thing because you don't want people

[2:04:12] zipping by all of the existing homes that you've got on the west side of

[2:04:15] Frasier, you know, at 45 50 miles an hour and creating noise and and and

[2:04:21] safety issues. So if that road slows down,

[2:04:25] you all need to really seriously think about how Eisenhower

[2:04:29] needs to connect to 522 >> because it's the only way to get from

[2:04:35] Frasier to the ball fields and the kids to get there without going across the

[2:04:41] railroad tracks and going back out on Highway 40. So if Eisenhower connects to

[2:04:46] 522 now you've got a way that the citizens of Frraasier can get to the

[2:04:50] ball fields and in talking to the you know the school district as they look 20

[2:04:57] 15 20 25 years down the road ultimately there's probably going to be a high

[2:05:02] school and a middle school in in this end of the county. And when that happens

[2:05:07] it's it's either probably going to happen on our property. There's some

[2:05:11] other ideas that are being floated around, but it's going to be right in

[2:05:14] that neighborhood. So, if we have all of this school thing, we have all of the

[2:05:18] workforce housing, we got the library, the elementary school, and Oldtown

[2:05:23] Frasier, we've got to have that transportation connection. And it's not

[2:05:28] just that intersection. We need to be looking right now at a road plan. I

[2:05:33] mean, how is this all going to tie together? Yeah.

[2:05:36] » We don't want to be reacting to it afterwards. So if 522 gets built now, I

[2:05:41] mean the one of the main purposes of that is so that locals can avoid some of

[2:05:46] the traffic that gets congested on the Highway 40. I mean, we're going to know

[2:05:50] about it. So you can start in Tavern and get to Safeway and avoid Highway 40. So,

[2:05:56] I I urge you all to coordinate with the county and us to figure out how all of

[2:06:03] those in intersections and and how the traffic's going to flow and and that's

[2:06:09] long before we ever solve the water problem. That's like right now. So,

[2:06:14] thank you for letting me add to that. thinking about use too. The end that's

[2:06:18] closest to County Road 5 fieldhouse because we don't want it in the meadow

[2:06:24] and right here in town, but to have it right across from the the ball fields,

[2:06:29] that's the place for a fieldhouse. interesting because Scott mentioned

[2:06:32] tonight about a master plan thing that visioning and

[2:06:35] » y >> I think that's been one of the things

[2:06:37] that I keep hoping for is that we can work with Denver water band in the north

[2:06:43] create this ball fields long so that we can attract tournaments and be in the

[2:06:49] same business that steamboats in >> Yeah.

[2:06:51] » and bring them in to stay in our new hotels

[2:06:55] » and people will come and spend money in the summer and be here. I'll throw

[2:06:59] something out that a lot of people were surprised by and my friend Mike Ruuchi

[2:07:05] noticed this and brought it up. The conservation ement that's on all the

[2:07:12] land that Peggy's talking about north of the ball fields has been given by the

[2:07:16] Denver Water Board. The holder of the conservation easement is the Grand

[2:07:22] County Board of Trustees. >> It's not a land trust. It's our county.

[2:07:28] that gives us a huge amount of flexibility in working with that

[2:07:33] particular conservation easement. There's also an exception written right

[2:07:38] in the conservation easement for educational purposes.

[2:07:42] So right now there's no prohibition on anything that would be of course middle

[2:07:49] school, high school, it would certainly be educational purposes. What we have is

[2:07:53] a lot of flexibility here as as as a community to think about how everything

[2:07:59] from the elementary school to the other side of the ball field should come

[2:08:03] together from a planning perspective. Now, no promises. We have to work with

[2:08:08] the Denver Water Board. We all know how easy they are to work with. But, uh, you

[2:08:13] know, I think if we as a community come up with a plan that really works for the

[2:08:18] community, as long as we're not taking any of Denver Waters water, I think that

[2:08:22] there's a chance that we could work with them and some of these uses we're

[2:08:27] talking about like a fieldhouse school could actually expand in that in in that

[2:08:33] direction. And it wouldn't take up that whole meadow. I mean, it would probably

[2:08:36] take up I don't I don't even want to guess, but not not that big. and all the

[2:08:42] discussions we've been having, everybody points out the same thing. If if you're

[2:08:46] going to have future schools, taking advantage of the existing

[2:08:51] recreation facility of the ball fields cuts down on the amount of land you need

[2:08:55] for all of the high school activities. So, we've got just an incredible

[2:08:59] opportunity to get ahead of the game. Uh, one of the things that I've heard

[2:09:05] I've been saying for years and other people are starting to say the same

[2:09:09] thing. We're the last frontier. All the other ski areas have already done it.

[2:09:13] They've either did it right or they made their mistakes. And we can learn from

[2:09:18] what's happened in the other ski areas and hopefully avoid some of the

[2:09:22] mistakes. We still have the ability to figure out how our community as a whole

[2:09:28] works. Got a worldclass ski area, got all kinds of second homes. We got tons

[2:09:34] of town houses and golf course houses and everything else. Now we have to

[2:09:40] figure out how the Grand County is not going to become Aspen, Basalt, Rifle,

[2:09:48] you know, we don't want all our employees to have to drive to Kremling.

[2:09:52] We want to be able to let people live and work in this community. And that's

[2:09:55] my goal is do everything I possibly can to pay back to a achieve that. And it's

[2:10:02] it's a big big project and we're going to need a lot of help. So, it's an open

[2:10:06] tent. But right now, let's focus on that transportation item because that's going

[2:10:11] to happen sooner than later. And the last thing you want to do is build a

[2:10:15] road and then a year later come back and say, "Oh, we didn't think about this."

[2:10:19] So, we need to think about how this is going to work in the overall planning

[2:10:22] process. >> Anything else?

[2:10:25] » Have they Have they mapped out exactly where the road's going to go at this

[2:10:29] point? >> Yes, sir. Yeah, there's you did the 404.

[2:10:33] » Okay. >> Um, Adam, use your mic, please. Thank

[2:10:36] you. >> It it essentially goes from the loop

[2:10:40] road that goes through Clark's property and and starts at County Road 7 and

[2:10:44] three and sort of curves around through our 43 acres and comes out at the

[2:10:49] intersection of uh County Road 50 there by the gas meters or gas, whatever you

[2:10:55] want to call that, substation. And then it there's a little jog where it hits

[2:10:59] County Road five to line up with the road that goes next to the ball fields.

[2:11:05] » So the other thing that I'm a strong proponent of and I think the county is

[2:11:11] listening is is to is to get some roundabouts in there, you know, early on

[2:11:16] rather rather than just having stop signs and all that type of stuff because

[2:11:21] that that slows down traffic. It's it's a safe way to to to get around. So, I

[2:11:27] really encourage Frraasier to get involved in that planning process

[2:11:30] because even though it's a county road, it's really impacting the town of

[2:11:35] Frraasier at least as much as it is the county.

[2:11:41] » I I was just saying that the road layout is determined at this point. Um whether

[2:11:46] there's roundabouts or not, I I do not know. Um I last December, I I renewed

[2:11:52] the 404 permit with the state. I work for the county as a water resource guy.

[2:11:57] So, um yeah, that's moving forward. >> Yeah, great.

[2:12:01] » It's really close. I think one more step.

[2:12:03] » Yeah. I I don't know if we have final Army Corps

[2:12:08] uh yet, but that's in play and and they say it's expected to come through

[2:12:12] because it's a removal. This has been going for 20 years, and it's just an

[2:12:15] updated process basically. >> And the and the county staff and and the

[2:12:20] county is really supporting this and they're doing it right. And you know, Ed

[2:12:25] Moyer's been working on this for for years, and I think they're circling back

[2:12:32] after some community input that came in. And I think they're really close to to

[2:12:36] to having it done. And we're going to be fairly significant in terms of land

[2:12:43] acquisition because of this latest property we bought. And we're going to

[2:12:47] cooperate. you know, we don't we're not going to try to hold it up at all

[2:12:50] because the sooner we get that connection, the sooner our kids can get

[2:12:54] from the school to the ball fields. And to me, that's a that's a huge benefit.

[2:12:58] » Yeah. >> To our community.

[2:13:01] » So, isn't the expense for a roundabout mostly just the land? I mean, you save a

[2:13:06] lot of money on not having stop lights, which are really expensive.

[2:13:10] » I haven't looked at their budget, so I you're going to have to ask the county

[2:13:15] the cost. Yes, Jack. >> You know,

[2:13:19] » I know from from our standpoint as public record for processes is they went

[2:13:23] and got an appraisal and they said, "This is what it's worth and this is

[2:13:26] what we'll give you." And we said, "Sure." You know, we're not going to

[2:13:31] fight them. You know, whatever. We're we're just like everybody else. You

[2:13:34] know, if they if the land's needed for a public purpose, that's part of the cost.

[2:13:39] And they'll they'll buy the rightway. But uh a lot of the rightway they

[2:13:44] already have because they've got County Road 50. So and and that I don't know

[2:13:49] who actually owns the land behind the ball fields whether that's whether they

[2:13:52] already own that or not. But there there is some people in Tabernac who are not

[2:13:58] very happy about this but I'm I'm not going to get involved in that.

[2:14:02] » The tabernac >> any other questions?

[2:14:05] I'd be happy to talk to any of you individually. I'd love your ideas. uh

[2:14:10] you know, we just want to listen and and it's a big open tent. Uh I've had a lot

[2:14:15] of people in the community that have development experience who've come

[2:14:20] forward and said, "We'd like to get involved in this one way or the other,

[2:14:23] either from a you know, well, I'll just say we've got a lot of help." That's

[2:14:28] good. >> All right.

[2:14:30] » Thank you. That's great. Thanks. >> Thank you. Thank you.

[2:14:34] » Oh, here comes the train. About to close the door. Um, resolution 2026 0803

[2:14:41] on-site distribution extension Excel public works facility. Paul,

[2:14:52] good evening, mayor, board of trustees. Paul Johnson, public works director for

[2:14:55] Frasier. Uh, the matter before you is the on-site distribution extension

[2:14:59] agreement with Excel Energy. So very similar to what we did with not parks

[2:15:04] electric to get electric run. Uh this is the um agreement for Excel to bring gas

[2:15:10] to the public works facility. They would be coming from their line currently in

[2:15:14] Alderbrook and they'd be doing a railroad bar bringing it down the

[2:15:18] southern property line and then up the western property line to the uh

[2:15:23] cemetery. Part of their agreement is they have to run gas all the way across

[2:15:26] the property. So they've uh finally got that all worked out to us and sent that

[2:15:30] over to us. Um that comes at a cost of $188,617.

[2:15:36] So the idea is to handle it the same way we did with Mountain Parks, get the

[2:15:40] infrastructure run, and then once the coops are issued, we have we can go back

[2:15:44] up to three years to recoup costs. So um basing this on keeping this project

[2:15:49] moving forward, all the work we've done over the last two years is just to keep

[2:15:52] this moving forward. So wanted to bring that to the board for uh managers

[2:15:56] authorizing the manager to be able to sign that agreement with Excel.

[2:16:00] » So I'm curious on the the bore is that's part of this 188,617.

[2:16:08] » Yeah. So in the packet where it shows um the gas man was the title of this.

[2:16:13] » I got the map. I printed out the little map thing which is cool.

[2:16:16] » So on that one right there it includes a boar in green, right?

[2:16:20] » Yep. So, I was talking about they're going to do a boar and then they're

[2:16:23] going to run the they would bury the the rest of it there, but a boore under the

[2:16:28] railroad at 12 feet deep and they require their own bore. So, they

[2:16:32] wouldn't uh be able to use any of the five that were existing

[2:16:35] » in the same easement though. >> Are they going to get their own new

[2:16:38] easement apart from Grand Park? Um, back when those boards were put in in

[2:16:44] the early 2000s, Grand Park approached Excel and Excel says they do their own

[2:16:47] BS so they >> they put one in right next to the

[2:16:51] existing five that are there that bring water, sewer, raw water, comms. Um,

[2:16:58] it's another one blanket.

[2:17:04] » Any other questions?

[2:17:09] I'd like to make a motion to approve resolution 2026803

[2:17:14] on-site distribution extension for Excel public works.

[2:17:18] » I'll second. >> Any further discussion? All in favor?

[2:17:23] » Any opposed? Okay. Passes.

[2:17:26] » Thank you. >> Thanks, Paul.

[2:17:29] » Quick one. All right. Resolution 2026804 IGA with Gran County Clerk for November

[2:17:36] 2026 election. Antonet.

[2:17:42] » Hello board and trustees again. Antinet McVey town clerk.

[2:17:46] So I wanted to bring the IGA back with the county to coordinate the election. I

[2:17:50] have done further research um on the election. Um so the background is the

[2:17:55] voters approved ballot question 2A November 5th 2024 to move the regular

[2:17:59] municipal election from April to November and even numbered years. 2026

[2:18:03] will be the first municipal election to be held in November of this year. Um at

[2:18:08] the last meeting I raised concerns regarding the Grand County clerks clerk

[2:18:12] and recorder's ability to protect the integrity of the voters and the clerk's

[2:18:16] ability to understand and follow the uniform election code of 1992 and the

[2:18:20] Colorado municipal election code of 1965. title one of the Colorado by

[2:18:24] statutes. Um the board discussed um my ability to administer the 2026 election

[2:18:30] as a standalone election and not coordinate with Grand County. In further

[2:18:34] researching the option, I spoke with the county clerk's office regarding the use

[2:18:37] of the ballot box at the Frasier Municipal or the Frasier Metropolitan

[2:18:41] Recreation Center. I inquired if it would be possible to simultaneously use

[2:18:45] the ballot box for the county's administer general election and the

[2:18:48] Frasier municipal election each having separate ballots. Um they told me they

[2:18:54] spoke with the secretary of state and it was determined that it was not possible.

[2:18:57] This would raise security issues with the ballots. One entity receives another

[2:19:01] entity's ballots and I concur with that concern. I'll be honest, I don't know

[2:19:05] that that's totally accurate the information that they told me from the

[2:19:08] secretary of state but that's what they've told me. Um, so it leaves

[2:19:12] Frasier with no ability to use a ballot box um outside of the available 24 hours

[2:19:18] and and be outside and be available for people to be able to drop ballots 24

[2:19:22] hours a day. >> Um, if the board would have a mail

[2:19:24] ballot election, the only place to drop off a ballot would be here at town hall

[2:19:28] and people could only do it Monday through Friday during business hours.

[2:19:32] Um, I I would be concerned the limited days and times to return a ballot. um

[2:19:37] the voters could be disenfranchised or confused about what to do with their

[2:19:42] ballot. Um the residents of Frasier have used the ballot box at the recreation

[2:19:46] recreation center for many years and I know that they're used to dropping

[2:19:49] ballots there. Um and I'm concerned that Fraser standalone ballot could get the

[2:19:54] ballots could get returned to the recreation center and they potentially

[2:19:57] don't make their way back to Frasier and maybe don't even get counted. I would

[2:20:00] hope that wouldn't be the case, but I just don't know. Um the and another

[2:20:05] option the board could consider would be to have a polling place election. Um

[2:20:11] this would require residents to vote in person the day of the election. No

[2:20:15] ballots would be mailed. Um the town of Frasier hasn't conducted a polling place

[2:20:20] in election in at least 20 years. Um a polling place election could also

[2:20:24] confuse voters why they receive a general election ballot with no Fraser

[2:20:27] trustees. and a polling place election I think could result in lower v voter

[2:20:32] turnout and again additional confusion with the voters. Yeah, that is what I

[2:20:36] absolutely want to avoid. >> So I'm recommending that we go ahead and

[2:20:40] coordinate the election with Grand County and approve resolution 2026804

[2:20:46] um the IGA regarding the conduct and the administration of the November 3rd um

[2:20:50] 2026 election. Um by coordinating the election the voters would receive one

[2:20:55] ballot with a clear instruction of where to return it. This could could eliminate

[2:20:58] any confusion for the 20 26 November election. Would also recommend that

[2:21:04] Frraasier, the town of Frasier research installing an exterior ballot box here

[2:21:07] at town hall. Um that could be used in future elections. At this time, there's

[2:21:12] no way to get one in before the November 2026 election of this year, but I think

[2:21:16] that we could potentially do that before the 2028 election in two years. So, the

[2:21:22] board really has, in my opinion, the two options. we coordinate with the county

[2:21:26] or we do a polling place election. I think that those are really the only two

[2:21:29] options that the board has. >> I'd like to make a motion to approve

[2:21:34] resolution 20260 804 IGA with Grand County Clerk

[2:21:39] for the November 26th election. >> Second. Is there further discussion on

[2:21:45] this? All in favor? I

[2:21:48] » thank any opposed. I >> appreciate your concern. Yeah. Motion

[2:21:52] passes. All right,

[2:21:57] we're on to updates. Comm uh we got committee minutes listed. Any updates

[2:22:02] from staff? >> Uh Paul's got a few for us.

[2:22:08] » So I want to get to give a quick update on the utility billing. Uh the board had

[2:22:12] requested us to move to monthly building billing. Um, so our billing software,

[2:22:17] Cassell, uh, in communication to Becky today, uh, stated that it'd be possible,

[2:22:22] but it's possibly a three-month process for them to make that switch at a cost

[2:22:26] of4 to $6,000 for that transition. Um, so just wanted to know if the board

[2:22:31] wanted us to move forward with that. So they probably would not be able to go

[2:22:34] billing until fourth quarter, maybe first part of the year, just the way

[2:22:38] that system is set up. It's not extra work on our end, but the system, I

[2:22:42] guess, is not set up to do that. So, um, they had a long list of items that would

[2:22:46] be required that we would need to do. And so, they're say it's 20 to 30 hours,

[2:22:51] they say at $200 an hour. So, don't really know what it's going to look

[2:22:54] like, but we can still pursue moving to monthly. Um, just there would be a cost

[2:22:58] involved now where we didn't think there was one before.

[2:23:02] » That's a one-time cost. >> Onetime cost. Okay.

[2:23:05] » I think we still move forward with >> Yeah. forward.

[2:23:08] » Yeah. I think we already decided we're going to get we're going to have monthly

[2:23:12] billing, right? Yeah. So, okay. >> Even know there's an expense that be

[2:23:16] attached. >> Yeah.

[2:23:17] » Yeah. And we'll update communications with the community to let them know that

[2:23:21] we're moving forward with it, but it will be delayed. So, they can expect to

[2:23:24] see that likely hopefully beginning of 2027.

[2:23:28] So, when we went to notify the community about the our increase in rates for

[2:23:35] people that use more than um

[2:23:40] it might have come through the billing. I didn't look at my usual app that has

[2:23:45] my billing, but I never got a separate email that just told me about it.

[2:23:50] » Yeah. >> Talked about that.

[2:23:51] » Oh, have you? >> No. And we apologize for that. Becky um

[2:23:56] was looking into the the gazelle work that she has to do with our

[2:24:01] updating our our contract. So that mailing has not yet gone out

[2:24:06] » um in terms of because it was supposed to confirm the monthly billing. So she

[2:24:11] will send something out um and we'll let people know that the monthly billing has

[2:24:15] been delayed but that the increased fee structure is in place um based on the

[2:24:20] drought pricing. >> Okay. So, people really didn't get a

[2:24:25] heads up on the increase in fees for our drought pricing.

[2:24:29] » They were supposed to, but yeah, we posted it on social media, but we I

[2:24:33] don't believe it's gone out. So, >> should we charge it if we haven't

[2:24:38] » notified everybody and 20 it's been cut 20%. I don't know.

[2:24:43] I just seems like >> I think notice that

[2:24:50] » you agree with me. Well, I mean, just that was my objection to the last vote

[2:24:55] we had on this because we didn't have people don't have visibility to their

[2:25:00] usage. We didn't move the monthly billing. They weren't notified and now

[2:25:05] we're in a situation again. I didn't think it was ready ready

[2:25:09] for prime time and it's and it's not. So, are we backtracking or I mean, I

[2:25:14] don't know. I do feel like that's a little bit of surprise billing for

[2:25:19] people that >> don't know. And there's just been

[2:25:22] » a lot of confusion and a lot of misinformation or no information about

[2:25:27] the change. So, >> and right now the website just says

[2:25:33] upcoming rate change. It doesn't say. It says bolo for an email watering

[2:25:40] restrictions upcoming rate change. >> But you have to go to the website.

[2:25:45] There's no >> if you got a water scope if I think it's

[2:25:49] already changed to monthly. You can pull up monthly. I mean think

[2:25:54] for August it's sort of changed but people haven't been notified especially

[2:25:59] by the rate change I guess is the other thing.

[2:26:03] » So has that rate change been built into our program yet that Becky uses for

[2:26:10] billing or not? I'm guessing not. And if it hasn't been, I don't think we

[2:26:16] should charge people for that rate change. If the drought sticks, we'll

[2:26:20] make it happen next year and make it part of our policy and make sure

[2:26:23] everybody gets notified and they know that this is how it is when we are in

[2:26:28] drought conditions. >> So Paul, can you update us on usage?

[2:26:33] It'd be interested to know when we made the change

[2:26:37] » for watering how much of an impact. I don't have an update other than what I

[2:26:42] did last board meeting where there was a 20% uh reduction in irrigation use. We

[2:26:47] had a massive decrease once we started the social media campaign.

[2:26:53] So I I would say that I got no notice whatsoever uh in Kremling. It was social

[2:26:59] media only posted on the website and um two day a week watering same as what

[2:27:04] we've done. So, unless I I mean, I'm signed up for the alerts, so I get those

[2:27:09] alerts when they they post something, but um I was not notified via a separate

[2:27:14] um email. And Water Scope's always going to

[2:27:17] give you monthly. It'll give you daily usage. There's no change in Water Scope.

[2:27:20] Now that you have Watercope, you can see your usages. It's

[2:27:24] not uh

[2:27:29] » We'll continue to pursue getting monthly billing.

[2:27:31] » Yeah.

[2:27:35] Next update. >> Can we get something out right away? I

[2:27:37] mean, can we send something out? I mean, it's it's it's only a week into August,

[2:27:42] but if we're not going to change the rate, we're going to continue double on

[2:27:46] the rates. We got to let people know >> and I think we could send something out

[2:27:50] tomorrow. Um, and again, something was supposed to go out. So, I apologize that

[2:27:54] has not happened. It's been We're kind of in a situation now where it's been on

[2:27:57] the website and social media and at picnics. So, some people have seen it,

[2:28:01] but I agree that it should be emailed to everybody

[2:28:05] » given that we're 5 days in. I would think people have not moved into that

[2:28:09] second tier yet where that increased >> rate has happened. Um, I know when I

[2:28:15] talked with Becky today, we wanted to update the board about the monthly

[2:28:19] billing status and then we're going to send out a communication letting people

[2:28:22] know that while this was discussed, this is going to be implemented in 2027.

[2:28:27] Um but that all other drought restrictions were in effect with that

[2:28:31] billing information. >> Yeah. And then spelling out what the

[2:28:35] tiers are and what the costs are. >> Correct. Yeah.

[2:28:38] » I think the Well, you need to get it out this week or don't charge people.

[2:28:46] » That's kind of my opinion. >> Yep.

[2:28:48] » The travel restrictions, did that get mailed out to everybody?

[2:28:52] » I don't remember nothing either. >> No. Oh, and again, I think I think they

[2:28:57] were waiting to sort out the monthly billing and thought that that

[2:29:00] communication had gone out, but it hasn't. So, it's just been through

[2:29:03] social media and picnic and on our website.

[2:29:11] » Okay. Thank you. >> And I guess

[2:29:13] » make it so I'm not 100% sure if the drought restrict the initial drought

[2:29:16] restrictions were supposed to go out if that went out or not. But if you have

[2:29:20] not seen them with your water bills, >> I got I didn't get it mailed, but I got

[2:29:24] it in a text with a link for the travel description,

[2:29:31] » which is a good point. Do you know, Paul, because I know Lucas has put a lot

[2:29:35] of effort into contacting the people that are in tier 2 and tier three or

[2:29:41] that are getting close to tier 2 and tier three. Um my understanding is

[2:29:46] notifying them that they are approaching those levels where that drought pricing

[2:29:50] does take effect. >> Yeah. Lucas is calling anybody that's

[2:29:53] using a lot of water. It doesn't he's as soon as he sees excessive use in a on a

[2:29:58] like he gets if he gets a flag that there's been a he tries to make those

[2:30:02] phone calls. Um, I know he made a phone call just this week um to somebody and

[2:30:08] um he said, "It looks like you're using you have a toilet flapper that is

[2:30:12] leaking constantly." And the property owner said, "Yeah, that toilet is making

[2:30:15] a lot of noise." And but that's that is a significant amount of water if that

[2:30:20] when that toilet runs non-stop for 24 hours a day for weeks at a time. So,

[2:30:23] yes, Lucas makes phone calls to try and make people aware of their water use so

[2:30:27] that nobody ends up in tier 2 without their knowledge of doing it. Okay.

[2:30:32] » You know, >> willingly going into those tears.

[2:30:35] » Thank you, Luka. >> Yeah, he's been super proactive on that

[2:30:38] individual basis, right? Yeah. >> I had a a friend with a rental that he

[2:30:44] got a call from Lucas and our friend went and looked and he's like, "Sure

[2:30:48] enough, toilet's leaking." So, same deal. Like,

[2:30:52] » it's it's impressive. It's working. >> It's working.

[2:30:54] » So, people that are in jeopardy are notified.

[2:30:58] » I mean, it's really more irrigation than it is. Well, it doesn't matter, but it's

[2:31:03] getting notified. >> Every lot in Grand Park and Rendevous

[2:31:07] gets to irrigate 250 square feet. >> That's our water right.

[2:31:12] » Well, Rendezvous doesn't irrigate other than drip systems.

[2:31:16] » Yeah. Nobody has >> But that's just the water that serves

[2:31:18] that system is is those developments. Every EQR gets 250 square feet of

[2:31:24] irrigation and the quantity is not even enough to sustain blueg grass. So, so

[2:31:31] you're kind of in a real interesting situation where everybody wants blueg

[2:31:36] grass, but our water right doesn't support it,

[2:31:37] » right? And it's limited to a very a parking spot basically.

[2:31:43] So, you know, it's one of those things where I I think unfortunately if you're

[2:31:48] putting in an expensive irrigation system and putting it in your entire

[2:31:52] yard, it's a poor investment.

[2:31:57] Well, so back to where we are with notifying people about the drought

[2:32:04] restrictions and now with fees increasing and all that. I mean,

[2:32:11] what do we do with that? >> I think we send out an email tomorrow,

[2:32:14] but it does sound like everybody who is in jeopardy has been notified. So, at

[2:32:18] least, you know, >> nobody's been is hanging out, right? not

[2:32:24] on notice, >> right?

[2:32:26] » I mean, I got a phone call, so I need um >> Okay.

[2:32:30] » I had to lower my my watering, so yeah, that's good. It's fine.

[2:32:36] » All right. Works for me. >> Mhm.

[2:32:40] » I have several more. >> Can get it out.

[2:32:43] » U >> I'll be looking for my email.

[2:32:45] » Um second one, um just let everybody know that the filter plant at the

[2:32:49] wastewater treatment plant is turned back on on Monday. So, they will do uh

[2:32:53] they'll work with Tetrate Tech um and the supplier to make sure everything's

[2:32:58] running perfectly and then we will notify Northern Water that we're back

[2:33:02] online and start uh collecting that revenue stream again. Um Clayton Court

[2:33:07] is scheduled for paving on August 24th. So,

[2:33:10] » with good weather, it's not the end of the project, but um if you drive by

[2:33:14] there, you'll see our nice red sidewalks and our our new rollface curb um with

[2:33:19] the uh JNL property acquisition that that is going in. So, uh right now we've

[2:33:24] got some subgrade problems which was to be expected on Clayton Court on

[2:33:27] everything we've seen with the waterline install, the strong construction.

[2:33:30] There's just a lot of organics in there. Um so, working on that, but the August

[2:33:34] 24th is when paving is scheduled. Um barring any delays with weather.

[2:33:39] And then uh today actually I received the uh 60 to 80% design plans for the

[2:33:45] exterior bathroom access here at town hall. So I'll be reviewing those this

[2:33:49] week and um getting those so we can at least get that out to to bid and

[2:33:53] hopefully try and get somebody lined up to get that work done. And then lastly,

[2:33:57] uh I don't know if anybody noticed the wiring at the bathrooms today, but the

[2:34:00] security cameras are being installed starting today. So hopefully we'll have

[2:34:04] uh cloud-based security cameras out there. And then a motion sensors in

[2:34:10] inside the uh all three rooms to make sure that no there's nobody in there

[2:34:14] after hours. >> What about during the day?

[2:34:18] » Well, they're unlocked during the day, so I can't do anything about that.

[2:34:21] » No, I'm thinking the cameras. >> Well,

[2:34:23] » any any chance of somebody peeping at the cameras during the day?

[2:34:27] » Looking at >> if they're shining in the bathrooms.

[2:34:29] » No, there's no cameras in illegal kind of cameras are outside. Just the

[2:34:36] motion motion detectors inside motion detectors are inside.

[2:34:42] » Yeah, it was pointing towards the doors. >> Good. And

[2:34:48] » I do think that we should not invest into that job until we've addressed our

[2:34:54] budget and see where we're at this year and our sales tax dollars.

[2:35:01] » I >> Which job? Because

[2:35:02] » oh >> the project put

[2:35:04] » doing the bathroom access outside. >> We did set some funds aside in the

[2:35:07] budget for that but got to make sure it's enough.

[2:35:10] » Okay. From for this year >> yes

[2:35:12] » that we have. Okay.

[2:35:16] » That's all my updates. >> Oh, that's it. Okay.

[2:35:18] » Okay. >> Board. Any updates?

[2:35:22] » Sarah? >> We are looking to make an offer to an

[2:35:26] assistant town planner. So hopefully at our next board meeting we can tell you

[2:35:30] that that individual has accepted. Um the assistant town manager position is

[2:35:36] posted. Um we've got started getting some applications in for that. Uh we

[2:35:43] have not yet had anybody pick up petitions to run for board member seats.

[2:35:48] Oh, we did. Oh, good job. All right. We have one one person. So, um, board

[2:35:53] members that are running for their seats, please make sure you pick up your

[2:35:57] petitions. And if there's anyone you would like to encourage to run, uh,

[2:36:01] please send them our way. >> When's the deadline

[2:36:06] » to pick them up? >> Get it back.

[2:36:08] » That's when they're due. Oh, okay. >> They're available now.

[2:36:11] » Okay. >> Yeah. Soon.

[2:36:14] » And I just went back through my emails. There was an email that went out on July

[2:36:18] 6th about the mandatory water restrictions. So that was

[2:36:23] » restrictions just on a rate increase. >> No, the rate. No, no, the rate.

[2:36:26] » It was after the first board meeting. >> So, uh, July 6th,

[2:36:32] our bills, >> our bill came out.

[2:36:36] » Okay. >> So, it did.

[2:36:38] » That did go out. >> Okay, that's good.

[2:36:41] » Thank you for for that. And Lewis, I did figure out or I looked at where that

[2:36:47] confusion around the HOA watering was coming from that you had brought up at

[2:36:52] the last board meeting. So, I know I emailed you about this, but just for

[2:36:56] everybody's clarification, um it had listed commercial buildings, multifamily

[2:37:02] properties, and HOAs as having their own watering days that was meant to be HOA

[2:37:08] common spaces. Um, so like if there's a grassy area that is maintained by an

[2:37:14] HOA. So we've cleaned up that language to specify that. So any single family

[2:37:19] residences should be on odd or even days.

[2:37:21] » So you can do that. That's the flyer that went.

[2:37:24] » Yep. And so that's when we've updated just to say HOA common areas.

[2:37:28] » Right. Thank you.

[2:37:33] » Yeah. >> Just two quick um updates. I'd like to

[2:37:35] give a shout out to Jeff Lundy who made these beautiful staff tables for us.

[2:37:39] Yeah. >> Um he did them here in the workshop. Um

[2:37:42] and then uh Zimmerman, right? >> Christian

[2:37:47] » Christian received his class C water license um at the wastewater treatment

[2:37:52] plant. >> Awesome.

[2:37:53] » Yeah. >> Hey,

[2:37:54] » nice. >> Cool.

[2:37:57] » All right. We need to move into executive session.

[2:38:04] I'd like to make a motion to enter into executive session for the purposes of

[2:38:08] determining positions relative to matters that may be subject to

[2:38:12] negotiations, developing strategy for negotiations, and or instructing NO

[2:38:16] negotiators under CRS section 24-6-424E

[2:38:23] regarding the joint facilities oversight committee agenda review, including town

[2:38:28] manager Sarah Katanzerite and public works director Paul

[2:38:33] Second. >> Any further discussion? All in favor?

[2:38:38] » Any oppose? >> Okay.

[2:38:44] » Um, this will be recorded. >> So, but stop.

[2:38:49] » You don't get

[2:38:53] » It's really weird.

[2:38:57] » Yes.

[2:39:00] The week we approved

Fraser Board of Trustees Regular Meeting August 5, 2026

Transcript