Minutes of Regular Meeting of Southern Black Hills Water System Board (Provisional)
Crazy Horse Monument
Thursday, September 24, 2026
The Regular Meeting of the Board of Directors of the Southern Black Hills Water System was held at the Crazy Horse Monument on Thursday, September 24, 2026.
Chairman Wick called the meeting to order at approximately 1:00 p.m.
ROLL CALL – Board Members present were Wick, Baird, Fillinger, Kowalski, Krump, Nase, and Zolnowsky; Smith was absent. Others in attendance were manager Don Peterson, and observer/user Tim Donner.
AGENDA – Zolnowsky proposed two additional items under New Business: creation of a governance model drafting committee and nomination of SBHWS to the SDRWS board. Motion by Zolnowsky, 2nd by Fillinger to approve the augmented agenda; motion passed unanimously.
MINUTES - Motion by Krump, 2nd by Nase to approve the minutes of the August 27, 2026 meeting. Motion passed unanimously.
TREASURER’S REPORT – Peterson presented the treasurer’s report for August 2026. The report was reviewed by the board members. The check sequence ending August 31 was check #5014 and beginning September 1 was check #5015. Fuller Construction submitted claims for partial work completion, requesting payment of $69,715.50. Motion by Krump, 2nd by Nase to approve the treasurer’s report, transfer $15,000 from the regular checking account into the RD savings account, and authorize payment of the $69,715.50; motion passed unanimously.
OLD BUSINESS –
Managers’ Report
Due to failures of flowmeters at the Argyle Booster Pump Station and Spring Creek Acres, both lines indicated negative leakage for the monthly water usage report (!). Both meter failures, involving different hardware, are being addressed.
Filling of the Hwy 79 water tower was interrupted by discovery of a leaking valve at the tower. Maguire, who subcontracted the tower, has been notified to fix the failure.
Wind Cave National Park is installing new fence between the south Hwy 385 entrance gate and 7-11 Rd. The was some confusion on the part of Wind Cave staff over the ownership and control of the gate in the fence between Wind Cave and the SBHWS property on Hwy 385.
Preston brothers have engaged Talbot Wieczorek to do the legal work in obtaining suitable easements so that SBHWS can provide water service to the nine lots north of Hermosa. They are also using Longbranch Engineering to finalize the design of the distribution system. To ensure the results meet SBHWS requirements, both agents are being paid by SBHWS and those costs will be reimbursed by Preston brothers.
Five homes along Murphy Ranch Rd west of Hwy 79 north of Hermosa are interested in getting water service from SBHWS; a ranch running 600 head of cattle is included in the request. Management has asked Longbranch to scope out a project cost so the requesters can evaluate the option.
Management will convene a meeting of the budget committee to develop the 2027 budget.
NEW BUSINESS -
In an conversion with counsel Wicezorek about a future governance and board representation model, he asked that the board sketch a proposed model that he could form into a formal resolution. While the issue is not pressing, it is hoped that this can be formalized before the election of board members for 2028. Zolnowsky, Wick, Krump, Fillinger, and Kowalski all expressed interest in drafting an appropriate document. Peterson offered to seek similar governance documents from other appropriate South Dakota water systems.
The agenda for the WDRWS annual meeting indicates there is an open director slot with no current nominee. Given the effort to develop a southern hills regional water distribution system as a pilot project for WDRWS in which SBHWS would play a key role, it was suggested that SBHWS should nominate someone to represent SBHWS on the WDRWS board. There was general consensus that a SBHWS representative should step forward for the open position.
EXECUTIVE SESSION -
Motion by Krump, 2nd by Nase to enter into Executive Session at 1:40; motion passed unanimously.
Motion by Krump, 2nd by Nase to exit Executive Session at 2:17; motion passed unanimously. The were no motions arising our of executive session.
UPCOMING MEETINGS -
The annual members meeting will be held September 15, 6:30 at the Pringle Community Center.
The next meeting of the Southern Black Hills System Board will be Tuesday, October 20, 2026 at 1:00 PM at the Crazy Horse Monument in Custer (on a Tuesday due to conflict with the WDRWS annual meeting). Future board meetings will be November 19 and December 17.
ADJOURNMENT - There being no further business, the chair declared the meeting adjourned at 2:22.
Crazy Horse Monument
Thursday, September 24, 2026
The Regular Meeting of the Board of Directors of the Southern Black Hills Water System was held at the Crazy Horse Monument on Thursday, September 24, 2026.
Chairman Wick called the meeting to order at approximately 1:00 p.m.
ROLL CALL – Board Members present were Wick, Baird, Fillinger, Kowalski, Krump, Nase, and Zolnowsky; Smith was absent. Others in attendance were manager Don Peterson, and observer/user Tim Donner.
AGENDA – Zolnowsky proposed two additional items under New Business: creation of a governance model drafting committee and nomination of SBHWS to the SDRWS board. Motion by Zolnowsky, 2nd by Fillinger to approve the augmented agenda; motion passed unanimously.
MINUTES - Motion by Krump, 2nd by Nase to approve the minutes of the August 27, 2026 meeting. Motion passed unanimously.
TREASURER’S REPORT – Peterson presented the treasurer’s report for August 2026. The report was reviewed by the board members. The check sequence ending August 31 was check #5014 and beginning September 1 was check #5015. Fuller Construction submitted claims for partial work completion, requesting payment of $69,715.50. Motion by Krump, 2nd by Nase to approve the treasurer’s report, transfer $15,000 from the regular checking account into the RD savings account, and authorize payment of the $69,715.50; motion passed unanimously.
OLD BUSINESS –
Managers’ Report
Due to failures of flowmeters at the Argyle Booster Pump Station and Spring Creek Acres, both lines indicated negative leakage for the monthly water usage report (!). Both meter failures, involving different hardware, are being addressed.
Filling of the Hwy 79 water tower was interrupted by discovery of a leaking valve at the tower. Maguire, who subcontracted the tower, has been notified to fix the failure.
Wind Cave National Park is installing new fence between the south Hwy 385 entrance gate and 7-11 Rd. The was some confusion on the part of Wind Cave staff over the ownership and control of the gate in the fence between Wind Cave and the SBHWS property on Hwy 385.
Preston brothers have engaged Talbot Wieczorek to do the legal work in obtaining suitable easements so that SBHWS can provide water service to the nine lots north of Hermosa. They are also using Longbranch Engineering to finalize the design of the distribution system. To ensure the results meet SBHWS requirements, both agents are being paid by SBHWS and those costs will be reimbursed by Preston brothers.
Five homes along Murphy Ranch Rd west of Hwy 79 north of Hermosa are interested in getting water service from SBHWS; a ranch running 600 head of cattle is included in the request. Management has asked Longbranch to scope out a project cost so the requesters can evaluate the option.
Management will convene a meeting of the budget committee to develop the 2027 budget.
NEW BUSINESS -
In an conversion with counsel Wicezorek about a future governance and board representation model, he asked that the board sketch a proposed model that he could form into a formal resolution. While the issue is not pressing, it is hoped that this can be formalized before the election of board members for 2028. Zolnowsky, Wick, Krump, Fillinger, and Kowalski all expressed interest in drafting an appropriate document. Peterson offered to seek similar governance documents from other appropriate South Dakota water systems.
The agenda for the WDRWS annual meeting indicates there is an open director slot with no current nominee. Given the effort to develop a southern hills regional water distribution system as a pilot project for WDRWS in which SBHWS would play a key role, it was suggested that SBHWS should nominate someone to represent SBHWS on the WDRWS board. There was general consensus that a SBHWS representative should step forward for the open position.
EXECUTIVE SESSION -
Motion by Krump, 2nd by Nase to enter into Executive Session at 1:40; motion passed unanimously.
Motion by Krump, 2nd by Nase to exit Executive Session at 2:17; motion passed unanimously. The were no motions arising our of executive session.
UPCOMING MEETINGS -
The annual members meeting will be held September 15, 6:30 at the Pringle Community Center.
The next meeting of the Southern Black Hills System Board will be Tuesday, October 20, 2026 at 1:00 PM at the Crazy Horse Monument in Custer (on a Tuesday due to conflict with the WDRWS annual meeting). Future board meetings will be November 19 and December 17.
ADJOURNMENT - There being no further business, the chair declared the meeting adjourned at 2:22.
