RECORD OF PROCEEDINGS

MINUTES OF A REGULAR MEETING OF THE BOARD OF DIRECTORS OF

ST. MARY’S GLACIER WATER AND SANITATION DISTRICT

Held: Thursday, the 11^th of October 2001 at 6:30 pm, at the Alice School House, Silver Creek Road, Idaho Springs, CO.

ATTENDANCE: A regular meeting of the Board of Directors of the St. Mary’s Glacier Water and Sanitation District, Clear Creek County, CO, was called and held as shown above and in accordance with the applicable statutes of the State of Colorado, with the following directors present and acting:

Paul Johnson

Craig Lagerman

John Pacetta

C.J. Galbraith

Kevin Zegan

Also in attendance: Fred Huff, Counsel for the District, Mike Lutz, District Engineer, Ann Rendon, bookkeeper for the District, and Cathy Harper, Information Liason for the District.

CALL TO ORDER: John Pacetta called the meeting to order at approximately 6:45 pm.

FINANCIAL REPORT: The Board unanimously approved payment of outstanding invoices in the amount of $87,361.69 for the month of September, with $56,323.50 to Glacier Construction.

APPROVAL OF MINUTES: Minutes for September meeting were unanimously approved.

MANAGER’S REPORT: Coliform testing continues to be within allowed parameters.

ENGINEER’S REPORT: Special Use Permit has been approved for Well #5, now the Building Permit Process will be pursued. A motion was passed to authorize expenditures for submitting permits necessary for Well # 5 in the amount of $355 plus fees for the permit itself, and to authorize Kevin Zegan to sign such applications on behalf of the Board. The Board questioned the high engineering costs of $25,000 for the water storage tank(s), and Mr. Lutz will continue to explore alternatives for reducing this cost. The final CO on the WWTP is delayed pending revegetation. Kevin Zegan will do research on natural grasses and report back to the Board; the Board is confident that volunteers can be obtained to do the actual planting.

CORRESPONDENCE & PUBLIC INPUT: Mr. Reza Dargahi (Lot 39, Winterland Subdivision Unit 2) appeared before the Board to confirm that as long as he continues to pay his annual service fee, he will exempt from further system development fees. The Board concurred that was the case and passed a motion for the record to that effect.

Jason and Patricia Boling, on 8/6/2001 requested abatement of water fees due to repairs they made to the main system. This request will be taken under advisement by the Board.

Rod Moser informed the Board via Craig Lagerman that prior Metro employee Marion Sharp informed him that the main in the road in front of his property is only 3-4 feet below the road surface. Craig Lagerman said he would explore this with Triple AAA.

Scott Karto, Chief of Volunteer Fire Dept, reiterated possibility of funds available from Fire Authority for storage tanks. C.J. Galbraith and John Pacetta will meet with the Authority to discuss the feasibility of agreeing on a site, type of tank, etc.

The Board discussed David Hill’s earlier request regarding exchanging water taps for extending water lines. A motion was passed, to the effect that the District is not prepared at this time to enter into a partnership of the type that he suggested.

FINAL MATTERS: A motion was passed and carried that Cathy Harper’s compensation as independent contractor for the District would be $20/hour, and Ann Rendon’s services as independent contractor would be compensated at $30/hour.

A motion was passed unanimously changing the bank signature cards to include Ann Rendon signature and signatures of all Board members.

Meeting adjourned at 9:05 pm.

Approved at District meeting on November 8, 2001.

C.J. Galbraith, Secretary

St. Mary’s Glacier Water and Sanitation District