The Combined Lake Delhi Recreational Facility and Water Quality District

Regular Meeting

March 17, 2016

6:30 PM

Lake Delhi Trustees Building

Delhi, IA

The regular meeting of the Combined Lake Delhi Recreational Facility and Water Quality District was called to order by President Steve Leonard at 6:32 PM.

Trustees present: Leonard, Kramer, Colgan, Gifford, Burger

Trustees absent: Davidson, Herman

Visitors: Marilyn Cook, Tom Cook, Larry Peter, Eve Peter, Pat Dede, Don Dede, Gordon Anderson, Pat Anderson, Chloe Colgan, Nancy Hurt, Dan Recker, Wayne Garvin, Jenny Garvin, Marcheta Cooey-Lux, Bill Lux

Motion to approve the agenda as posted made by Colgan, seconded by Gifford. Motion carried.

Motion to approve the minutes from February 18, 2016 and March 3, 2016 was made by Colgan, seconded by Burger.   Motion carried.

Kramer presented payments for approval. Payments in the amount of $2,436.79 for electricity, printer usage, lobbyist, publication expense, and internet were presented from the General Fund. Payments in the amount of $280,551.06 for dam operations, Phase 2 payment, and engineering services were presented from the Dam/Spillway Project Fund. Motion to approve payments as read was made by Colgan, seconded by Burger. Motion carried.

Kramer read the financial reports through February 29, 2016. The General Fund had revenues of $5,969.54 from the county and interest, and expenditures of $2,577.20. Ending balance for the General Fund was $259,061.52. The Debt Service Fund had revenues of $13,615.98 from the county and interest, and no expenditures, ending February at $193,909.22. The Dam/Spillway Project Fund had revenues of $302,018.95 from county and interest, and expenditures of $423,728.79 for Phase 2, engineering, and contracted services, ending December at

$3,348,961.00.   Motion to receive and file the financial reports made by Burger, seconded by Colgan. Motion carried.

Motion to request reimbursement in the amount of $88,111.23 from Delaware County made by Colgan, seconded by Gifford. Kramer noted that this is the final request for reimbursement from the county for the $2,999,999 that was approved for the dam spillway project.   Motion carried.

Colgan shared with the Trustees that Burrington’s proposed contract amendment defines the needs we will have based on the water flows of the lake. By working with Burrington Group we avoid expenses like payroll tax and workmans’ compensation. Jason Wenger noted there had been discussions of what is classified as an “independent contractor”. Based on conversations with others, it was determined that an independent contractor probably would not apply to someone who is scheduled on a regular basis. Burrington Group is willing to take the administrator role which includes payroll and insurance for those employees that will be doing the observations during specific flow rates as outlined in the amended contract. He also noted that these employee positions will not require heavy maintenance.   Any type of work beyond the scope of the checklist for these employees would go to an experienced contract such as Lunda. Wenger explained that in all probability a high percentage of the work on the dam will be done by volunteers who will be trained to do the daily visits. Burrington Group, under the terms of the original agreement, will be keeping a calendar to make sure there are people to cover the daily needs. If a volunteer in not available, the backup would be one of the paid employees. Colgan noted that he has a least a dozen individuals who have interest in volunteering their time with the daily inspections. He noted that this contract is for a two year period in which time the District will learn more of what their needs are and can make changes accordingly. Burger asked if the list of volunteers will be expanded in the future. Wenger said that is correct and that the expectation is that every volunteer go through a safety inspection training program. Colgan mentioned that the DNR has programs for training. Burger asked if the Board would be kept aware of any additional volunteers that are added. Wenger replied that any new volunteers would have to be approved by Burrington Group and the Trustees.

A motion to approve the proposed contract amendment with Burrington Group was made by Gifford, second by Burger. The motion was to approve Burrington hiring dam operators, adding their costs and submitting invoices to cover paid operators costs. Motion carried.

A request from the Turtle Creek Road Association for lakebed improvements was read by Kramer. The work was done in August, 2015 after their proposal was approved by the Trustees. The pay request was delayed until this time per a request from the contractor that did the work. Kramer read the request form the Turtle Creek Road Association. The amount of the request was $19,321.00 which was the amount charged by the contractor to do the work. She noted that that an additional item was added to the original proposal and that was for a culvert that was determined to be necessary during the course of the project. The request is for 80% of the completed project. Gifford asked what the amount of the original project was. Kramer said she thought around $18,700 but wasn’t sure as she didn’t have a copy of that proposal. After reviewing the minutes from that board meeting where the original proposal was approved, it was determined that the original proposal was for $18,680. Colgan expressed an interest in seeing the exact area and knowing the amount of what was taken out. Gifford said Bill Havertape has that information and that the area is documented. A motion was made by Kramer, second by Colgan to pay Turtle Creek Road Association request for reimbursement. After some discussion there was a request to revise the motion by Gifford, second by Burger to approve 80% of the original contract or $14,944. Motion carried.

The Board considered the donation request from the LDRA for the dredge debt. The LDRA requested $48,553.50 for the principal interest for the Bank Iowa loan due June 1^st. Burger motioned to approve the donation to the LDRA, Colgan seconded. Motion carried.

Consideration for action on the final agreement with the Rocky Nook Association for septic/water lines was presented by Leonard. He explained that in order to rebuild the dam and spillway it was necessary for the District to negotiate an agreement with the Rocky Nook Association to purchase the necessary property needed for the spillway. The agreement included payment for the land plus a new water/septic system. Jason Wenger from Burrington Group, who supervised the water/septic project said that the area had historically had problems but now that the work is complete he had Dennis Lyons from the County Sanitation Department inspect and he was satisfied with the work that was done. Leonard reminded the trustees that we have already paid Roger Groth for part of the work that was completed. The District is now being presented with his final two pay requests in the amount of $24,038.38. Wenger advised that the completed project by Groth came in under bid by $13,500. An additional component of the project was the electrical work needed for the pumps to operate. That work was done by Pfeiler and included a new service panel. The work is complete and they are asking for payment of $1,655.   Leonard stated that there is still a couple of areas yet to be completed. The first is a reimbursable invoice from Groth for the remaining hookups in the amount of $22,760 that will be paid once the Rocky Nook Association meets code. The second is that there are still 3-5 tanks that need to be pumped and filled in. The Rocky Nook Association will also be required to sign off on the project before that final payment is made.   Motion by Gifford, second by Kramer to pay Groth and Pfeiler for the invoices presented. Motion carried.

Gifford gave an update on the Lake Bed Cleanup. He noted that no projects have been planned at this time but because we will not be filling the lake in the next 30 days or so there’s work that could be done at North beach. Leonard reminded those in attendance that if they know of areas where there’s hazardous debris they should notify the trustees so we can address the issue.

Leonard gave an update on dredging. He said a lot of work has been done evaluating siltation traps. He has asked Bill Holman from Stanley Engineering to quantify the recommended siltation trap located near the Cedars. Some of the questions raised are: How much siltation can we stop? What information can we gather to understand our return on investment? What’s the cost if we do nothing? Will it cost more if we wait? Would the siltation trap help with water quality initiatives? Burger asked if there are companies that provide services to answer these questions. Leonard said he believes so and with Stanley’s help we will be able to locate them. Alternatives such as Iowa State University could assist. Leonard informed the board that the District should endorse a future plan in order to get any type of funding from the state, federal or other funding sources.

A dam construction update was presented by Colgan.   He told those in attendance that the D1 slab which is one of the two major horizontal concrete slabs supporting the labyrinth spillway was completed today. He estimated there were about 75 truckloads of concrete that was poured in a six hour time span. He noted the biggest frustration of getting to this point was that the dam was built on a glacial tilt and get the correct compaction of material during the months of January and February was very difficult. Now that the weather is starting to cooperate, General Constructors has been very active. Iron workers worked over the weekend to get all of the rebar in place so the pour could be done. Several other major pours will be done next week which will allow the spillway to be poured around the 2^nd or 3^rd week in April.   Once the spillway is completed there will still be work to do including removing the cofferdam, backfill work, removing the sheet pile and the earthen dike. He noted that the average flow for this time of year is 400 cfs. Right now it’s 700 cfs. At the flow rate, the lake could be full in two days. A question was raised about debris coming down river once the lake fills. Colgan said debris in the river is a concern due to the lake being empty for almost six years and is somewhat on an unknown at this time but should be manageable. He noted that Lunda was down last week and set up the stop logs. Steve Gehl, who was the Phase 1 construction superintendent from Lunda, said this stop log system is the smoothest he’s ever seen in his experience.

Leonard gave an update regarding water quality. He said he’s been proactively working with the Maquoketa River Watershed Authority, the state legislature and our lobbyists to get a law approved by the Iowa House and Senate that would allow Lake Delhi to be voting member and give us opportunities in the future for state and federal funding. Our lobbyists play an important role in this endeavor and will continue to assist with funding for water quality and siltation programs. There are currently only seven watersheds in the state and by taking the lead now we are years ahead of others before formed. Gifford said this is a hot topic in the State and watersheds will carry a lot of weight to get in getting funding dollars. Gifford also mentioned that he submitted a grant from the Green Community through Rockwell Collins that could potentially cover water-testing expenses.

Leonard informed those in attendance that the next Lake Delhi Voice will be coming out this weekend. He reminded everyone that the next month or so will be your last opportunity to do shore wall work and debris removal. All lake residents need to get their permits for docks and lifts along with making sure their septic systems have been permitted.

Leonard expressed thanks to the board for the plant that was sent to his family at the time of his mother-in-law’s death. He said it was greatly appreciated.

There being no public comments, a motion was made by Burger, second by Gifford to adjourn.

The Combined Lake Delhi Recreational Facility and Water Quality District

Board of Trustees Meeting

Thursday, March 3, 2016 – 6:30 p.m.

Lake Delhi Trustees Administration Office

The meeting of the Combined Lake Delhi Recreational Facility and Water Quality District Board of Trustees was called to order by President Steve Leonard at 6:30 PM at Lake Delhi Trustees Administration Office.

Trustees present: Kramer, Davidson, Leonard by phone, Burger by phone

Trustees absent: Colgan, Gifford, Herman

Visitors: Larry Aschenbrenner, Nancy Hurt, Wanda Davidson

Agenda reviewed by Leonard. Motion was made to approve agenda by Davidson, second by Kramer. Motion carried.

The public hearing for the FY 2016/2017 budget was opened. Kramer gave a short overview of the proposed budget noting that our taxable valuation increased by $11,287,112 from last year. Kramer stated that due to the increased valuation, the tax rate for the lake debt service for FY will decrease from $9.10329 to $7.4775. It was also noted that property tax levied from the $4.00/$1000 will increase from $207,926 for FY16 to $253,065 for FY17 due to the increased valuation. With regard to estimated revenues and expenditures, Kramer stated that as the dam project nears completion we will see a drop in our ending balance in FY17. It was also noted that those numbers are estimates.

Kramer asked for any comments from the board or public. Davidson asked a question regarding the LDRA dredge loan. He wondered why the numbers went from $89,455 in FY15 to $72,107 in FY16 and then back up to $81,292 for FY17. Kramer answered that those numbers came from the dredge debt schedule which had been renegotiated in FYY16. Burger said he reviewed the budget and thought it looked good. Kramer noted that the last two pages of the budget were for the District’s debt service schedule. Those numbers are actual numbers and not estimates. Burger noted that the line item expenditures are estimates and the District could over-expend in one area and under-expend in another. What we can’t do is over-expend the total expenditures without amending the budget. Leonard asked for a motion to close the public hearing. Davidson made the motion, Burger second. Motion catrried.

Burger made motion to adopt a resolution to approve the Fiscal Year budget for 2016/2017, Davidson second. Motion carried.

The next agenda item was consideration and possible action on amending the District’s credit card policy. Kramer explained that the policy had been approved at the February meeting but after giving it to Carla Becker, the County Auditor, she felt we needed to change some of the language. Her concern was the language that gave some leeway to purchases made that would allow for payment of sales tax. She suggested removing that language and adding language that if a purchase was made that included sales tax, the Board of Trustees would need to review and approve before payment could be made. Kramer noted that she had had discussions with Burger and Davidson regarding other aspects of the policy but for the sake of getting the credit card application processed in a timely manner she would like a motion to approved the policy as amended. If we need to add or remove individuals currently named on the credit card policy, we can always amend at a later date. Kramer noted that Davidson felt we should use a purchase order system that isn’t addressed in the policy. Kramer said she agreed that we should look at that but also stressed that the credit card is going to be used minimally and that it was needed most to allow Burrington Group to make purchases for items not available locally that will be used for the start-up and maintenance of the dam. Kramer stated that in order to get the credit card application processed it needed to through the County Supervisors. Davidson asked why that was necessary. Kramer explained that because our finances are held by the County, any credit card application would require their approval. Motion was made by Burger, second by Davidson to approve the amended policy and open for further discussion. Burger said he wanted to make sure that since an important part of the credit card is to buy supplies & equipment for the dam we should have the ability to expand the number of credit card holders to Pat Colgan or those who may either work or volunteer at the dam at a later date. He also said we need to make sure we have control over the credit cards and that is the responsibility of the Treasurer. He said he would support approving the amended policy at this time but we should review to make sure we the right people approved to carry the card and would like to review the policy again at another time. Leonard said he agreed that this policy would probably always need to be looked at and reviewed as our needs continue to evolve but that we do need to get the application processed. Davidson commented that there should be a purchase order for anything ordered using the credit card and that it should be attached with the invoice when it’s presented for approval. With no further discussion, Leonard asked for a vote. Motion carried.

Leonard opened the meeting to public comment. Larry Aschbrenner noted that Sunday, March 13^th would the the 4^th Annual St. Patty’s Day Guest Bartender Event at the Pizza Place. He said he hoped to see as many people from the lake attend and asked that the Trustees send out an email to make people aware that the event was coming up. All tips go to the rebuilding of the dam. The Trustees thanked Larry for his continued support of the Lake.

Motion to adjourn by Davidson, second by Kramer. Motion carried. Meeting adjourned at 7:10 pm.

The Combined Lake Delhi Recreational Facility and Water Quality District

Regular Meeting

February 18, 2016

6:30 PM

Lake Delhi Trustees Building

Delhi, IA

The regular meeting of the Combined Lake Delhi Recreational Facility and Water Quality District was called to order by President Steve Leonard at 6:28 PM.

Trustees present: Leonard, Kramer, Davidson, Herman, Colgan (Skype), Gifford (phone), Burger (phone)

Trustees absent: None

Visitors: Larry Peter, Eve Peter, Ed Schmidt, Dan Recker, Pat Dede, Don Dede, Chris Stender, Ron Cook, Marcheta Cooey-Lux, Bill Lux, Nancy Hurt, Dan Reyner, Wayne Garvin, Jenny Garvin, Larry Aschbrenner, Bruce Schneider, Margie Schneider

Recording Secretary: Shelley Kallenbach

Herman motioned to approve the agenda as posted and read, seconded by Davidson. Gifford motioned to move Agenda Item 11 to earlier in the meeting to accommodate his schedule. Herman modified his motion to approve the agenda with Agenda Item 11 to the fourth slot and move the remaining agenda items down accordingly, Davidson seconded, Motion approved.

Davidson motioned to approve the January 21, 2016 meeting minutes, Herman seconded, motion approved.

Davidson motioned to reopen the tabled motion regarding Bruce Schneider’s request for reimbursement for sediment removal from the lakebed, Burger seconded.

Individual trustee opinions regarding the motion were heard.

Davidson stated that he has had the opportunity to look at the sites and documentation. He says that ideally this work would have been approached in a different manner, but the sediment removal was still beneficial to everyone on the lake.

Burger seconded Davidson’s opinion and added that sediment removal improves the safety and recreational value of the lake.

Schneider stated that since the last meeting, he has removed another 50 dump truck loads for about another $3,000 worth of work. Most of the work had been done through the summer and fall and he plans on doing more.

Gifford stated that he did not consider whether or not the work done had value, as there was clear value, but that as the project was begun without trustee involvement it didn’t qualify for review. He stated the only portion that would qualify for reimbursement review would be future work that the Trustees would be involved in.

Herman stated that since the last meeting work has been done with definite value to the general boating and recreational value of the lake. He stated he shared Gifford’s concerns, and also has had lake residents contact him that are concerned about opening a “can of worms” regarding reimbursement. He is concerned that there was no prior Board approval and no solid way to measure what work had been done.

Colgan stated that he didn’t doubt there was value to the work completed, but had concerns about the reimbursement. He stated that if this was approved, many more would come forward. He believes there are still 6 to 12 weeks left to finish the dam and money may be required for contingencies. He feels he needs to be accountable for funding to be available if things happen in the future.

Leonard stated that the original intention with the 80%/20% match was to have Board involvement upfront evaluating ideas on criteria including public recreational benefit, improvement to safety, and cost effectiveness. He stated that it is difficult to understand the starting point and current point since the Board was not formally involved in the process from the beginning. He commended the Schneider family for their work. However, there’s no way to know if the work fits the Board’s criteria. He also commended all of the many property owners who have removed dirt with no reimbursement from the Lake District after the DNR/Corp of Engineers/County Engineer approval process. He stated he would strongly support future work based on recreational value, safety, and cost effectiveness, and would evaluate the work with the same heavy debate the other larger projects have received.

Clarification was requested regarding Colgan’s comments on funding. Colgan stated he is concerned about risk and the Board’s criteria for budget control for reimbursement when the dam itself is not finished.

The original motion on the table was for $25,000 reimbursement for Schneiders’ work that had already been done and still has yet to be done. Votes were taken as follows:

Burger: Yes

Gifford: No

Herman: No

Davidson: Yes

Leonard: No

Kramer: Abstain

Colgan: No

Motion does not pass.

Kramer presented payments for approval. Payments in the amount of $2,577.00 from the General Fund for electricity, internet, printer maintenance, lobbyist, and miscellaneous equipment were presented. Payments in the amount of $423,728.79 for Burrington Group, GCI payment, and Stanley engineering services were presented. Herman motioned to approve the payments as read, seconded by Kramer. Concerns about the increasing costs of engineering expenses were expressed. Colgan reviewed the four Stanley Engineering invoices for the month and their appropriateness. Leonard stated that as the project nears completion, Stanley’s engagement is critical with a lot of moving parts coming together with problem solving and advice. Leonard expressed confidence in the services received and the amount billed. Additionally, a question about whether GCI should pick up some of the contract extension bills due to their failure to meet the deadline in the contract. It was confirmed that over 2 million dollars was saved from the contract rebid, and even with additional charges, there is still a major net money difference saved. Motion passed.

Gifford dropped from the meeting.

Kramer presented the financial reports. The General Fund had revenues of $943.64 and expenses of $2,502.06 to end January at $255,669.18. The Debt Service Fund had revenues of $2,156.24 and no expenditures, ending January at $180,293.24. The Dam/Spillway Project Fund had revenues of $439,076.17 from reimbursements and the county, and expenditures of $660,463.50, ending January at #3,470,670.84. Davidson motioned to file the financial reports as read, seconded by Herman, motion approved.

Motion to request reimbursement from Delaware County in the amount of $194,601.27 for expenses paid by the District was made by Herman, seconded Davidson, motion approved.

Discussion was opened on the issue of a credit card for the District. A maximum spending limit has been set by the County at $3,000. The credit card application would be processed through Grundy National Bank. A set of procedures on the use of this credit card was presented. Herman motioned to approve the presented procedures, Davidson seconded. Discussion was opened. Herman added an exception for smaller online purchases in which the tax-exempt paperwork would take more time than it is worth. Stamped inventory and a purchasing log was also discussed. Herman amended his motion to allow purchases of less than $50 total online be exempt from the tax-exempt status if it creates a hardship in regards to placing an order, Davidson seconded, motion approved.

Colgan reviewed GCI Change Order #8 in the amount of $6,683.25. This was presented at the previous meeting but had not yet been adequately reviewed by Stanley Engineering. This change order allows for equipment that would allow the SCADA computer to be located in the LDRA house across the river which has better environment to house this type of equipment computer to the dampness of the concrete powerhouse structure. Burger motioned to approve GCI Change Order #8, Kramer seconded, motion approved.

Colgan presented updates regarding job descriptions for potential future employees of the lake. Colgan states that the District will not be hiring any contractors as direct employees to operate the dam. Personal that will operate the dam that are non-volunteer workers would be hired and managed by Burrington Group. All maintenance work would be a separate contract with Lunda for one to two years.

The potential endorsement of HF2249 by the District was discussed. Leonard stated that a very concerted approach was made regarding getting financial support for Lake Delhi and future watershed management concerns. As this is a growing statewide issue, increased funding is becoming available through the state. However, Iowa requires that only counties and cities are able to be voting members of watershed management authorities.  Our combined District is currently not eligible. HF2249 is a bill currently in place to allow the District to be a voting member of this future watershed management authority. The bill has already passed the committee process. Davidson motioned to formally endorse HF2249 as a District, Kramer seconded. It is unknown at this time what liabilities the District may incur in the future as part of this authority, but each will be reviewed extensively. Motion to endorse HF2249 approved.

The Board heard committee updates.

The Lake Bed Cleanup Committee had no updates.

The Dredge Committee should know the final Lidar mapping from Stanley on the last remaining borings and will forward the data as soon as it is received.

The Dam Construction Committee states that GCI has worked every day except for three or four due to wind chill. Six to eight weeks remain to finish the dam under ideal weather conditions, with parts remaining including a sheet pile wall to prevent water from running around the dam spillway. The downstream side is complete. The weather has been impacting the compaction of clay materials that will be the base for three remaining concrete slabs on grade. Warmer weather, wind, and potentially mixing the clay with lime will allow for drier clay and subsequent slab placement.

The Funding and Finance Committee stated there will be a public hearing March 3^rd to review the next fiscal year budget.

Leonard added that within the last week he met with the Iowa DNR and various state representatives in Des Moines for an update on the lake restoration progress and the request to get on the Iowa Public Lakes list. This could allow for increased funding for the lake. There was good communication and support following the meeting.

Public discussion was opened.

Bruce Schneider stated that he feels he was let down by the Board because he was not told to get a bid. Leonard clarified that there were no details on the work done or the estimated cost until the last meeting. Leonard stated that the Board had taken the time to evaluate the cost effectiveness, safety, and risk management of each project proposal on its individual merits, and would continue to do so for any future work, including work performed by Schneider. He stated that with all proposals, the Board had gone through a yes or no process of voting for each project individually. Leonard stated that he is willing to add future work with the Schneiders on the March 3^rd meeting agenda if the Schneiders are willing to propose new work. Assuming the board is in agreement with new work, he would contact Randy Rattenborg to come out to complete laser lines for work estimation prior to the work starting.

Larry Peter expressed concerns about matching funds required in a watershed authority regarding property tax increases. It was clarified that any situation where matching funds would require a property tax increase would have to go to the voters. If the general operating funds would be used for matching funding, the Board would make the decision to use or not use it.

A question was raised on if the District would be paying rent to the LDRA for use of the LDRA building for the remote computer access. It was clarified that the District owns the LDRA building.

It was clarified that no liaison is required to be a part of the legislative watershed authority, as the request is for the Board to have a single vote.

A question regarding the location of archaeological sites was raised. It was confirmed that the Board is unaware of any archaeological disturbances, but is bound by the Corps of Engineers not to release the archaeological site locations publicly. However, the Board continues to be mindful of them.

With regard to the 80%/20% projects, it was confirmed that each project had been done differently for silt removal along with being reviewed by the Board under its own individual merits. 100% payment by the road associations had been expected prior to Board reimbursement. A laser requirement will be reviewed on March 3^rd as a formal process. Schneider’s future work would be considered but not automatically approved.

Davidson motioned to adjourn, seconded by Herman. Meeting adjourned at 8:25 PM.