Minutes of Regular Meeting of Southern Black Hills Water System Board (Provisional)
Crazy Horse Monument
Monday, December 23, 2024
The Regular Meeting of the Board of Directors of the Southern Black Hills Water System was held at the Crazy Horse Monument on Monday, December 23, 2024.
Chairman Wick called the meeting to order at approximately 1:00 p.m.
[Note: The Paramount Point / Spring Creek Acres project is herein abbreviated as PP/SCA].
ROLL CALL – Board Members present were Wick, Beard, Nase, Smith (by phone), and Zolnowsky; Baird and Krump were absent. Others in attendance were manager Don Peterson, and members/observers Doug and Nancy Musser.
AGENDA – Motion by Nase, 2nd by Beard to approve the updated agenda; motion passed unanimously.
PUBLIC QUESTIONS AND COMMENTS - None at this meeting. At the November meeting, one member emailed his list of comments/questions to [email protected], a response was distributed at the meeting and will be emailed to the member.
MINUTES - Motion by Nase, 2nd by Zolnowsky to approve the minutes of the November 21, 2024 meeting. Motion passed unanimously.
TREASURER’S REPORT – Don Peterson presented the treasurer’s report for November 2024. The report was reviewed by the board members. The check sequence ending November 30 was check #4560 and beginning December 1 was check #4561 Motion by Beard, 2nd by Nase to approve the treasurer’s report, transfer $15,000 from the regular checking into the RD account, and approve the payment for completed work for the PP/SCA Project B by Flatland in the amount of $609,801.57. Motion passed unanimously.
OLD BUSINESS –
Managers’ Report
The November water sales report was distributed.
The engineer for Quinn Construction, developer of the Westward Pines subdivision along Argyle Road, provided a proposed water main easement plan. This proposal places the easement with the proposed right of way for the subdivision, which is contrary to the specifics of the development review process adopted by the Board in October, 2024. The Board does not find that proposal provides sufficient motivation to accept the proposed water main placement, and management pointed out that the storage needs for service to the subdivision was also not addressed. Motion by Beard, 2nd by Zolnowsky to reject the proposal; motion passed unanimously.
Flatland responded to allegations of alcohol consumption at the Spring Creek Acres worksite, stating their policy forbids job site alcohol consumption and noting that communications with both the on-site foreman and officers called to investigate indicate that the allegation was based on a misunderstanding.
To address an issue with right of way use for the PP/SCA Project B, Flatland requested Change Order #1 to add two six-inch bores and to reroute the main into an easement obtained on private property lying adjacent to the right of way; the cost of the change would be $82,798. Motion by Nase, 2nd by Beard to okay Change Order #1; motion passed unanimously.
For PP/SCA Project A, the site for the 30,000 gallon ground storage has been prepared; the floor, ceiling, and walls have been poured; the site is now closed up for the winter. RCS Engineering submitted an invoice for $379,518.84 for the completed work. Motion by Beard, 2nd by Zolnowsky to pay this from the ARPA grant fund; motion passed unanimously.
For PP/SCA Project B, Flatland submitted a statement for materials and pipe for $415,182.70. Motion by Beard, 2nd by Nase for management to proceed with paying this request; motion passed unanimously.
Action on the Budget Committee report was deferred from the November Board meeting to the December meeting to check that the impact of a new hire would be consistent with the planned budget; management reported that no changes appears necessary at this time. Motion by Zolnowsky, 2nd by Beard to accept the planned budget; motion passed unanimously. The 2025 budget plan included these base fees and water usage rates:
Category Monthly Base Rate for 2025
Phase 1 & 2 Residential $109
Phase 1 & 2 Pasture Tap $91
Paramount Point $80
Spring Creek Acres $80
Rushmore Ranch $91
Usage Level Minimum Up to Usage Level Rate for each additional 1000 gallons
0 gallons 10,000 gallons $5.00
10,000 gallons 20,000 gallons $5.25
20,000 gallons unlimited $5.50
NEW BUSINESS -
None on the agenda.
EXECUTIVE SESSION -
Motion by Beard, 2nd by Smith to enter into Executive Session at 1:41; motion passed unanimously.
Motion by Beard, 2nd by Smith to move out of Executive Session at 2:10; motion passed unanimously.
Motion arising out of Executive Session: motion by Beard, 2nd by Nase to approve the staff pay raises proposed by management; motion passed unanimously.
UPCOMING MEETINGS -
The next meeting of the Southern Black Hills System Board will be Thursday, January 23, 2024 at 1:00 PM at the Crazy Horse Monument in Custer.
Future board meetings will be February 20 and March 27.
ADJOURNMENT - There being no further business, the chair declared the meeting adjourned at 2:16.
Crazy Horse Monument
Monday, December 23, 2024
The Regular Meeting of the Board of Directors of the Southern Black Hills Water System was held at the Crazy Horse Monument on Monday, December 23, 2024.
Chairman Wick called the meeting to order at approximately 1:00 p.m.
[Note: The Paramount Point / Spring Creek Acres project is herein abbreviated as PP/SCA].
ROLL CALL – Board Members present were Wick, Beard, Nase, Smith (by phone), and Zolnowsky; Baird and Krump were absent. Others in attendance were manager Don Peterson, and members/observers Doug and Nancy Musser.
AGENDA – Motion by Nase, 2nd by Beard to approve the updated agenda; motion passed unanimously.
PUBLIC QUESTIONS AND COMMENTS - None at this meeting. At the November meeting, one member emailed his list of comments/questions to [email protected], a response was distributed at the meeting and will be emailed to the member.
MINUTES - Motion by Nase, 2nd by Zolnowsky to approve the minutes of the November 21, 2024 meeting. Motion passed unanimously.
TREASURER’S REPORT – Don Peterson presented the treasurer’s report for November 2024. The report was reviewed by the board members. The check sequence ending November 30 was check #4560 and beginning December 1 was check #4561 Motion by Beard, 2nd by Nase to approve the treasurer’s report, transfer $15,000 from the regular checking into the RD account, and approve the payment for completed work for the PP/SCA Project B by Flatland in the amount of $609,801.57. Motion passed unanimously.
OLD BUSINESS –
Managers’ Report
The November water sales report was distributed.
The engineer for Quinn Construction, developer of the Westward Pines subdivision along Argyle Road, provided a proposed water main easement plan. This proposal places the easement with the proposed right of way for the subdivision, which is contrary to the specifics of the development review process adopted by the Board in October, 2024. The Board does not find that proposal provides sufficient motivation to accept the proposed water main placement, and management pointed out that the storage needs for service to the subdivision was also not addressed. Motion by Beard, 2nd by Zolnowsky to reject the proposal; motion passed unanimously.
Flatland responded to allegations of alcohol consumption at the Spring Creek Acres worksite, stating their policy forbids job site alcohol consumption and noting that communications with both the on-site foreman and officers called to investigate indicate that the allegation was based on a misunderstanding.
To address an issue with right of way use for the PP/SCA Project B, Flatland requested Change Order #1 to add two six-inch bores and to reroute the main into an easement obtained on private property lying adjacent to the right of way; the cost of the change would be $82,798. Motion by Nase, 2nd by Beard to okay Change Order #1; motion passed unanimously.
For PP/SCA Project A, the site for the 30,000 gallon ground storage has been prepared; the floor, ceiling, and walls have been poured; the site is now closed up for the winter. RCS Engineering submitted an invoice for $379,518.84 for the completed work. Motion by Beard, 2nd by Zolnowsky to pay this from the ARPA grant fund; motion passed unanimously.
For PP/SCA Project B, Flatland submitted a statement for materials and pipe for $415,182.70. Motion by Beard, 2nd by Nase for management to proceed with paying this request; motion passed unanimously.
Action on the Budget Committee report was deferred from the November Board meeting to the December meeting to check that the impact of a new hire would be consistent with the planned budget; management reported that no changes appears necessary at this time. Motion by Zolnowsky, 2nd by Beard to accept the planned budget; motion passed unanimously. The 2025 budget plan included these base fees and water usage rates:
Category Monthly Base Rate for 2025
Phase 1 & 2 Residential $109
Phase 1 & 2 Pasture Tap $91
Paramount Point $80
Spring Creek Acres $80
Rushmore Ranch $91
Usage Level Minimum Up to Usage Level Rate for each additional 1000 gallons
0 gallons 10,000 gallons $5.00
10,000 gallons 20,000 gallons $5.25
20,000 gallons unlimited $5.50
NEW BUSINESS -
None on the agenda.
EXECUTIVE SESSION -
Motion by Beard, 2nd by Smith to enter into Executive Session at 1:41; motion passed unanimously.
Motion by Beard, 2nd by Smith to move out of Executive Session at 2:10; motion passed unanimously.
Motion arising out of Executive Session: motion by Beard, 2nd by Nase to approve the staff pay raises proposed by management; motion passed unanimously.
UPCOMING MEETINGS -
The next meeting of the Southern Black Hills System Board will be Thursday, January 23, 2024 at 1:00 PM at the Crazy Horse Monument in Custer.
Future board meetings will be February 20 and March 27.
ADJOURNMENT - There being no further business, the chair declared the meeting adjourned at 2:16.
