RECORD OF PROCEEDINGS

MINUTES OF A REGULAR MEETING OF THE BOARD OF DIRECTORS OF

ST. MARY’S GLACIER WATER AND SANITATION DISTRICT

Held: Monday, October 8, 2007 at 6:00 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

John Wood

C.J. Galbraith

John Pacetta

Heather Ulrich

Also in attendance: Fred Huff, District Counsel, Carmen Barker, District Bookkeeper, and Jack Barker of AAA, District Manager, and members of the public.

CALL TO ORDER: John Pacetta called the meeting to order at 6:10 pm.

APPROVAL OF MINUTES: Minutes for September 2007 meeting were approved by motion and unanimous vote.

FINANCIALS: Carmen Barker, Bookkeeper for the District, presented the financials. Unpaid invoices in the amount of $17,720.58 were approved by motion and unanimous vote. Ms. Barker informed the Board that 78 letters indicating intent to lien were mailed to District customers, with an 11/30/07 due date. Certified letters to customers Pederson and Rightsell, notifying them that payment contract was being voided due to non-compliance on their part, were returned when neither customer picked them up.

MANAGER’S REPORT As there were no local ‘taker’ to do the re-roofing of the Alice Booster Station, Carmen Barker said she would follow up with some contacts of her own and will coordinate the project with Paul Johnson. The PRV project for 2007 has now been completed; cleaning of the aeration basins at WWTP, already approved, will be completed shortly. Part of the main line on Beaver Rd needs to be replaced, this work is also in progress. Re fire hydrants, there has been a long delay in their shipment; they will be stored at the WWTP when they finally arrive and installed in the spring.

The invoice for $17,587 for 115 Pine Way was reviewed by the District. Jack gave a brief synopsis of what happened during this unauthorized dig by Rod Moser. A motion was made and unanimously approved to allocate to the District those expenses that would have had to have been done anyway, with the balance being billed to the property owner.

By motion and unanimous vote the District accepted the proposal from AAA for the position of District Manager. For the record it should be noted: (1) AAA was the only applicant for the position and (2) all Board members concur that AAA has done an excellent job in their capacity as District Manager since they were hired several years ago.

By motion and unanimous vote the District agreed to enter into the service contract with AAA, final contract to be prepared by the offices of Fred Huff.

PUBLIC HEARING At 6:55 pm the Public Hearing on the Proposed 2008 Budget was opened. Mr. Huff gave a brief synopsis of the budget process in general, as well as various line items in the proposed budget. There were several questions from the Directors but none from the audience. By motion and unanimous vote the Public Hearing was continued to the November 12, 2007 meeting.

There being no further business, meeting was adjourned at 7:30 pm.

Approved at District meeting on December 3, 2007.

C.J. Galbraith, Secretary

St. Mary’s Glacier Water and Sanitation District