07.25.01 OSBT Minutes Agenda Item 1 Page 1
Approved.
OPEN SPACE BOARD OF TRUSTEES
Minutes
July 25, 2001
BOARD MEMBERS PRESENT
Chris Mueller Sean Kendall
Linda Andes-Georges Linda Jourgensen
STAFF PRESENT
Jim Crain Mike Patton
Delani Wheeler Dave Kuntz
Ronda Romero Cecil Fenio
Jim Tydings Jim Reeder
Wally Cameron Matt Jones
Marti Hill Michael Sullivan
CALL TO ORDER
The meeting was called to order at 6:00 pm.
AGENDA ITEM 1 – Approval of Minutes
Linda Jourgensen moved that the minutes of July 11, 2001 be approved as amended by Sean
Kendall. Linda Andes-Georges seconded the motion. The motion passed unanimously.
AGENDA ITEM 2 – Co-Director’s Update
Jim Crain shared with the board a copy of an email that he sent to Christine Andersen in
response to a letter written to the city council by Cathy Miller complaining about prairie
dogs and the damage they were causing. Ms. Miller believed that the prairie dog
infestation on her property was the result of activities on or management of the adjacent
Open Space. Jim told the board that prairie dogs were on the property when it was
purchased by Open Space and that staff has not transferred additional prairie dogs to that
location. The department’s intention is to introduce agricultural activities onto the
property and staff is waiting for a water case in court which will, hopefully, enable them to
irrigate. This may provide some environmental checks on the prairie dog population.
Chris Mueller asked if the department intended to relocate prairie dogs there in the future
and Jim assured him that they had no such plans.
Delani Wheeler distributed information about a public meeting that was to be held the
following evening sponsored by Great Outdoors Colorado (GOCO). She told the board
that the Sierra Club has voiced concern that GOCO money initially designated for
acquisitions has been diverted to species protection programs. A representative of the
Sierra Club sent an email urging people to attend the GOCO meeting to express their views
about this change. Delani mentioned that the department has benefited from some of
GOCO’s nonacquisition funds for restoration projects along Coal Creek and at Sombrero
Marsh. Chris Mueller asked how much GOCO money is going to the Coal Creek
restoration project. Dave Kuntz explained that GOCO money is disseminated through the
Colorado Division of Wildlife which has been involved in granting these funds for various
OSMP projects. He thought that the Coal Creek project has received about $50,000 of
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these funds. Linda Andes-Georges clarified that GOCO acquisition money was being used
for the operational costs of state agencies and that was why the Sierra Club was troubled.
Jim Crain told the board about a controversial proposal to build a sewage treatment plant in
the Eldorado Springs area where several homes are on private septic systems. Delani
Wheeler explained that the county is concerned about these aging septic systems and
thinks that either a small treatment plant should be built to service this community or that a
hook-up to the city’s sewage system be provided. Boulder County has received a grant
from the EPA to study the options. If a plant is built it would have to be placed outside
the floodplain. Besides one large private parcel other optimal land is open space. A hook-
up to the city’s system would involve running a line to Highway 93. Delani told the board
that the city’s Comprehensive Plan would support such a project. No specific requests
have been made at this time but there has been conversation between the OSMP
Department and the county. Jim assured the board that there would not be a
recommendation to allow the building of a sewage treament plant on open space but
perhaps there would be an attempt to buy that part of the private parcel not needed by the
county if it was purchased for that purpose. Linda Jourgensen questioned if the Comp Plan
could supersede the Open Space charter. Delani and Jim assured the board that it would
not and Delani explained that the land would have to go through the charter disposal
process in order to be used for such purposes.
Jim Crain gave the board a preview of the city manager’s Budget Reduction Strategic Plan
for the General Fund and described how it will effect OSMP. There are two areas of
concern to the department – the $80,000 reduction for Real Estate services and a decrease
of $100,000 for OSMP. He said that the impact of these cuts will be felt starting in 2004.
Jim explained that the budget reductions in several city departments could provide funds
for the police and fire departments or a possible downturn in revenues. He was distressed
that the budget plan used the term “subsidy” when describing the allocations of general
fund money to OSMP. This plan will be presented to city council at its August 7 meeting.
Jim told the board that Wally Cameron is in the process of preparing a conservation
easement buyer program that will address the potential of people buying property or an
easement and then donating it. Staff thought that this program would be ready to bring to
the board in September.
Jim wanted the board to be aware of an article in the Denver Post regarding the possibility
of using Jefferson County open space as a potential site for a sex-offender facility. He said
that the Jefferson county manager had discussed with OSMP the possibility to share
conservation easements on some open space owned by each program which implied the
intention of keeping it as open space for perpetuity. The article, however, indicates some
reconsideration of that intention on the part of Jefferson County.
Jim introduced Matt Jones who presented some highlights from the most recent citizen
survey. Matt clarified that the city’s Division of Audit and Evaluation administers this
survey about every two years. He pointed out that OSMP received the highest rating
among city services although it has trended slightly downward over the past several years.
The top priorities of land management issues, particularly protection of habitat and
preserving scenic views, reflect the major goals of OSMP. Matt also emphasized the fact
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that over 60% of those surveyed favored increased taxes for the acquisition of open space.
Jim told the board that Matt will return at a later time with a more in-depth look at the
survey.
Mike Patton told board members that staff will be returning to them with more information
regarding the amphitheater project. This is in response to the board’s wishes that the
department step back and take a broader view of the facility and its possiblilites. Staff will
also return with trail alignment suggestions for the Coalton to Greenbelt Plateau
connection using the input from Linda Andes-Georges and Sean Kendall who
accompanied some staff members to the site. Mike also told the board that they are
crafting a letter, with Don Glen, regarding gliders and their disruption of nesting raptors
but they may not get the support from the government agencies they had previously hoped.
Mike said that they received a discouraging response from a representative of the FAA but
they were proceeding anyway. The airport manager, Ray Grundy, continues to be
supportive of the attempt to establish some restrictions for gliders and tow planes to protect
the raptors. Sean Kendall asked if there has been any attempt to look at the lease
arrangements with the airport as a way to leverage restrictions and Mike told him that he
would work with the City Attorney on this approach.
Dave Kuntz reminded staff and the board that there will be a Transamerica Walk event that
would be using a segment of the OSMP trail system. This is a group of Japanese youth
that is walking across America in celebration of the signing of the peace treaty.
Lottery Update
Delani Wheeler referred board members to a rather large packet of documents which they
received with their agenda packets addressing the questions they had regarding the use of
lottery funds. The focus for this information centered around the $304,000 debt service for
Area III and if the allocation for this need followed appropriate discussion, understanding
and agreement among the involved departments. The Parks and Recreation Department
responded with copies of various correspondence, agenda item memos, council
proceedings, etc. which they believed addressed the questions. It was established that
funding the debt service does extend until 2008. Linda Andes-Georges pointed out that
after careful review she wasn’t satisfied that the questions had really been answered. She
expressed her concern that not one person noticed that the decision was made by council
(about extending the debt service beyond the agreed time frame) without discussion
between the two boards of the departments involved. She also questioned the lack of
reference to the debt service and the meaning of the phrase “Total Use of 1996 Lottery
Funds”. Sean Kendall said that he assumed that council knew how much money was
available and therefore would know how long a time it would last. Delani added that there
were many complexities surrounding this issue and that conversations about this extended
from about 1996 to 1999. Chris Mueller thought that there was no indication in this
information that the city council was aware that there was an agreement between the two
departments regarding how the lottery money would be shared. Jim agreed and stated that
this came before council and was voted on without staff’s knowledge or input. Linda
Jourgensen commented that she thought it strange that there was discussion about buying
property without discussion about where they would get the revenues. Jim said that the
city manager made a recommendation to council based upon a request by the Parks and
Recreation staff and it was approved. Delani added that they probably looked at projected
lottery revenues and decided this would be a good source of funds for this purpose. Linda
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Andes-Georges recalled a Parks meeting that she attended when this funding was being
discussed (1998) and she voiced her belief that this was a decision that was supposed to be
agreed upon by both boards (PRAB and OSBT) and the response was that their department
(Parks and Recreation) needed this money… that they could not function without it. She
also commented on a document titled “Lottery Fund 1998 Capital Improvement Program”
and the fact that there seemed to be many assumptions made that were probably
inappropriate. Chris Mueller remarked that it was approved without any reference to the
agreement between the two departments and that council may not have known that they
were overriding a previously made decision.
Field Trip Updates & Scheduling
Jim Crain told the Board that the next field trip will focus on the south end of the “donut”
behind the Mountain Parks system and that Wally Cameron would lead the trip and discuss
potential purchases in that area. Staff and the board agreed that August 6 or 13 would be
two possible dates and they felt that the morning schedule (7:30 – 11 or 12) worked out
well. The group will meet at Chautauqua Cottage.
AGENDA ITEM 3 – Matters from the Board
Sean Kendall told the board that he and Linda Andes-Georges went to see the Coalton –
Greenbelt Trail alignment that has been discussed at previous board meetings. He said that
they were pleased with what staff has worked out but questioned the true need for the trail
other than it serves as a connector. Linda agreed that the planned alignment seemed to
provide a positive trail experience with good views and minimal traffic noise.
Linda Andes-Georges asked if staff and the board would be willing to do more issue
oriented field trips because she gained so much from the last trip that focused on climbing
issues. She suggested themes such as dog issues, mountain bike issues – anything that
would be connected to the Visitor Use Plan.
Linda also wanted to update staff and the board on the discussion the county commis-
sioners had about the Betasso Loop trail and the decision they made to close it to bikers for
two days a week. She attended that meeting in hopes of getting an idea of how the
situation regarding mountain bike use will eventually effect OSMP. She passed around an
editorial by Dirk Vinlove and the rebuttal by Tim Hogan for the board to read and she
advised staff and the board to be prepared because this issue will soon be presented to
them. Linda requested from staff a summary of the number of miles of trails in the system,
the number of trails open to bikes, staff opinion about trail connectors and some type of
bike memo. Matt Jones told the board that he has been compiling this type of information
for the citizen forum that is being scheduled to address the Visitor Plan. The open space
part of the system has about 80 miles of trails and the mountain parks system has about 60
miles of trails (actually, this amount is probably closer to 40). The inclusion of social trails
more than doubles that amount. As far as bikes go – about 38 miles of trails are open to
bikes. Matt named several new trails – Cottontail, Coalton, and Lefthand, noting that they
all have been designated for multiple use. Sean Kendall asked if the survey addresses the
needs of the different types of mountain bike riders. Matt said that that there were no
questions about the needs of a hard core rider and a dirt road rider but the issue of conflict
was presented. Some citizens mentioned feeling some degree of discomfort sharing the
trail with dogs and bikers. Linda Jourgensen shared her experience of hiking in California
on a trail that was open to bikes on certain days and believes this is the result of a greater
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number of people using the trail. She agreed that hiking and biking are not compatible
activities and that this is something that the department will have to face. Matt Jones said
that it was very difficult to develop a management plan that will be effective 20 years into
the future. He and Jim agreed that the use of OSMP will probably double in the next 10 –
20 years. Dave Kuntz questioned how much responsibility the department has to provide
every possible recreational experience for every type of recreational activity. He
mentioned other places where a technical mountain bike rider could find challenging trails
to ride. Dave verified Chris Mueller’s suggestion that the Visitor Plan will provide a set of
principles that will be used as a guideline rather than assign specific uses for specific trails.
Chris Mueller asked Jim to share what he knew was happening with the budget ordinance
and charter change proposals. Jim replied that the charter proposal has been forwarded to
the charter committee and the ordinance has gone to the budget committee. At this time it
is not known when each of these will come out of the committees and go to council.
Delani Wheeler told the board that an ordinance to place the charter change on the ballot
would have to be read and approved by September 4 in order to get on the ballot this year.
Jim clarified that the committees would eventually return some kind of recommendation to
the council. Although it looks doubtful at this time it is possible that something could be
ready for the August 7th council meeting. Jim told the board that they would be notified
when these proposals were slated for council. In reference to the city manager’s budget
reduction plan Chris thought that the ordinance proposal was very timely.
Chris Mueller wished to express his appreciation for the field trip on the 23rd and thanked
staff, particularly Matt Jones and Rick Hatfield.
AGENDA ITEM 4 – Public Participation/Items Not on the Agenda
Ricky Weiser, 4020 North 75th Street, suggested placing the wheelchair ramp under the
trees as a possible solution to the amphitheater project. She thought that this would not
destroy the unique quality of the structure. She invited staff and the board to see the rare
prairie gentian that was currently blooming on her property. Ricky also suggested that
there should be some research conducted on hot air balloons and their conflict with
powerlines. Having attended the county meeting regarding bikes she expressed her
appreciation of how the commissioners handled the sensitive issue and supported
preservation rather than use.
Bruce Bland, 1340 Lehigh, acknowledged his appreciation for the minutes and
commended Cecil on her work. He read a passage from the same article that Jim Crain
referred to earlier in the meeting regarding Jefferson County open space. He thought that
since the owner of the mining quarry (Keller) was not interested in dealing with Jeffco
Open Space that this might be a good opportunity for OSMP to pursue that acquisition.
Jim Crain informed Bruce that the city manager and council have already authorized this
pursuit. Bruce mentioned the Abbott parcel that is east of Rocky Flats and the fact that the
owners were also disappointed in how Jefferson County was handling their open space.
He thought that they might be willing to deal with OSMP and suggested the possibility of
working with Westminster to acquire that property. Bruce advised the board that building
a sewage treatment plant on Open Space was not appropriate and noted the current
example of disgruntled potential sellers having second thoughts in Jefferson County.
Regarding the GOCO funding issue, Bruce clarified that the GOCO funds are divided into
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4 portions (roughly equal over time) one of which is for wildlife. Much of this wildlife
money has been used to purchase habitat. Last fall a sudden decision was made to shift
most of the habitat money to pay for programs and personnel in the Division of Wildlife
(DOW). He was concerned because he believed the state General Fund should be covering
these costs sparing GOCO funds for other uses. Finally Bruce told the Board that the
visitor plan committee unanimously agreed that paintball games would not be an
appropriate activity on Open Space land.
AGENDA ITEM 5 – Continued consideration of a lease management program for
certain structures on Open Space and Mountain Parks lands and recommendation to
apply revenue from such leases directly to building maintenance, refurbishment,
restoration and stabilization for Open Space and Mountain Parks purposes and to
review the success and applicability of this program within 5 years*
Jim Reeder reviewed this agenda item that was thoroughly discussed at the previous OSBT
meeting. He reminded the board that engaging a lease manager to handle the properties
frees staff to pursue other tasks. He told them that by keeping the structures repaired and
in good condition options for future use are maximized. Some of the houses have no better
use at this time but staff will continually look for other and better uses. Staff will evaluate
the program and bring it back to the board in about 5 years. Sean Kendall asked about the
modular home and if it could be moved and/or sold but Jim told him that it is not on
wheels and appeared to be firmly attached to the ground. Sean also wondered about
leasing structures for agricultural uses – storage, seasonal workers, etc. Jim Reeder told
him that some structures are already being used in this way. Jim Crain thought that
another possible use would be to recruit students from agricultural schools to come out and
do some kind of work and learn program on open space. Delani Wheeler stressed that the
department prefers to lease these for agricultural purposes but there doesn’t seem to be a
need right now. Linda Jourgensen questioned if there will be a way to compare the values
of the different possible uses for these structures and thought that would be an important
part of the review process.
Public Participation
None
Return to Board & Staff
None
MOTION
Linda Jourgensen moved that the Open Space Board of Trustees recommend support for
leasing of these and similarly appropriate residential structures and application of the
additional net revenues (estimated at $37,000 to $44,000) to deferred maintenance,
restoration and stabilization on the farms and ranches on the Open Space and Mountain
Parks system with the understanding that over time staff will seek to phase the use of these
and similar buildings into defined Open Space and Mountain Parks purposes, including the
agricultural management program. In addition, a review of the success and applicability of
this program will be brought to the Board within 5 years. Linda Andes-Georges seconded
the motion.
VOTE
The motion passed unanimously.
Agenda Item 1 Page 7
AGENDA ITEM 6 – Discussion and recommendation of the Preliminary 2001-2002
Open Space and Mountain Parks Departmental Budget and Projected Open Space
Fund Financials 2001-2007*
Michael Sullivan began the budget discussion by enumerating the four basic expectations
that this current budget should address. The first is that by adopting this budget the
department will continue the acquisitions program that has been laid out and that it will
provide the needed funding. This budget meets the allocation needs of the remaining
unspent portion of the $45 million bonding authority, $20 million is planned to be issued in
2003 and another $5 million will be issued in 2006. This is subject to change depending
on how fast Wally Cameron’s group buys land. The second expectation is to increase the
funding for general operating expenses. The department also expects to maintain the
reserve fund balance ($6.3 million) and finally to maintain some form of unrestricted fund
balance. (This is unallocated money that is diminished over time as anticipated.) Michael
reminded the board that this budget is subject to sales tax revenue collection and that the
currently projected growth factor has been included.
Chris Mueller noted that the general fund transfer amount does not reflect the proposed
budget from the city manager. The budget cuts from the city manager will either cover the
public safety needs or insulate city departments from the loss of tax revenue if the
economic down turn is severe. The budget cut would effect the department by about
$180,000. Michael stressed that the department must be prepared in case these budget cuts
are implemented. The city manager will roll out his budget proposal at the August 7th city
council meeting. Michael told the board that staff would be returning to them after
operating costs have been finalized and noted that BMPA notes and debt service will
also change over time.
Michael continued by pointing out that the budget is basically divided into
four categories: general operating costs, cost allocation transfer, capital improvement
program (CIP) and debt service. He described the 65/35 Open Space fund ratio for
management expenses and acquisition costs as coming from these four categories. The
“management expenses” are composed of the operating costs and cost allocation and the
“acquisition costs” are made up of the CIP and debt service. The total 2002 budget breaks
down to be more like a 61/39 split. If the cost allocation, which is somewhat uncon-
trollable, was removed, the ratio would probably be more like 64/36.
In response to a question from Chris, Michael assured the board that he felt confident with
the projections and commented that the city council rarely made adjustments to our budget.
Although we are prepared for a decrease in tax revenue, surprisingly the economy is still
showing slight growth. If this continues Michael said that the department’s budget would
be more secure and additional funds could be used for leverage in the future. Jim Crain
stressed the tenuous condition of the Crossroads Mall that provides the program with 6%
of its income. Michael added that the major concern with a dip in tax revenues would be
how it effects our bonding capacity. He thought it might be OK for the next couple of
years but if the department wants to expand its acquisitions it will need to maximize its
bonding capacity. Jim Crain explained how a shift in responsibility from the general fund
to the department could have negative impact on future bonding capabilities. Sean Kendall
reminded staff and the board that if the community supports the request for the $1.5
million, the department will be in even better shape. Chris Mueller requested that staff run
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the same calculations reflecting the manager’s cut and show how it would effect
acquisitions if the entire reduction came from that area and also if the entire cut was taken
from the operating expenses. He thought this would be a dramatic way to present what
could happen to the department. Jim Crain offered the same type of configuration but this
time removing the $1.212 million general transfer that has currently been referred to as a
“subsidy”.
Michael told the board that although we were committed to operating the parking fee
system as it was transferred with the mountain parks responsibilities for an entire year, it is
currently under review. The budget office has stated that the money collected is supposed
to be turned over to the general fund. Chris, as well as some staff members, questioned
this practice thinking that the money should be turned back to the OSMP fund as other
lease revenue from OSMP facilities has been. Jim Crain told the board that if the money
is not turned over to the general fund the budget office has suggested that the amount will
be deducted from the $1.2 million that comes to the department from the general fund.
Sean Kendall asked for an explanation of the CIP. Michael explained that the Planning
Board was required to approve any projects over $50,000. These are very general
proposals because specifics about costs are not yet known. The amounts proposed are
projected to be more than what the department anticipates needing.
Public Participation
None
Return to Board & Staff
Jim thanked staff, especially Michael and Ronda, for preparing the budget and memo for
tonight’s meeting.
Chris Mueller asked how the amount of money budgeted for acquisitions this year
compared to the amount budgeted last year. Michael told him it is about the same. Wally
Cameron clarified that the combined total of the debt service and CIP from the budget was
in reality far less than what the department actually encumbers for acquisitions. He
estimated that in fact $10 million - $15 million is being spent (encumbered) for
acquisitions yearly. This money comes from not only the CIP, but also the bond fund and
BMPA notes.
There was discussion about using lottery money for operational costs and whether or not
the $100,000 historically allocated to support the junior ranger program was restricted to
be only used for that program. The general consensus among board members was that it
was transferred to OSMP because they were getting the responsibilities of the junior ranger
program, but that the money could be used for any mountain parks expense. Linda Andes-
Georges thought that we should check the motion to find out about this.
Chris Mueller asked Michael how a loss or reduction of the general fund money would
impact the $20 million and $5 million in bonding that has been built into the projections.
Michael estimated that to be a cash flow of about $24 million over the next 20 years that
the department counts on. He also reminded Chris that since we have to show more net
income than the amount we borrow, it could effect the department’s bonding capacity.
This would have a detrimental effect on the department’s ability to meet its acquisition
goals of 6000 – 8000 acres. Chris suggested that it would be helpful to present this kind of
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information to the city council as it considers the charter and budget proposals from the
board. Jim Crain gave an example of how this could also effect the willingness of
foundations or individuals to loan the department money.
Linda Andes-Georges questioned why biological IPM was eliminated on the updated
department overview. Jim Reeder explained that this is something that staff is very
interested in pursuing but it is not currently being used. He said that it will probably be
included in next year’s budget.
Linda Jourgensen stressed the importance of keeping records to show how much of the
budget is being spent on the mountain parks. Jim Crain agreed and Michael commented
on the difficulty in estimating the amount when, for example, staff may be working on
both the open space and mountain parks parts of the system. Linda added that these
records will help the department when it requests funding.
MOTION
Sean Kendall moved that the OSBT: approve, and recommend that City Council approve,
the appropriation in 2002 of $21,091,272 from the Open Space Fund, General Fund and
other sources, to cover the 2002 expenditures and transfers as outlined in this
memorandum (Attachments A & D); approve and recommend that the Planning Board, at
its July 26, 2001 meeting, approve and recommend to City Council the $2,336,000 from
Open Space Fund for the proposed 2001 Capital Improvements Projects budget
(Attachment C); and approve and recommend that the City Council approve the
appropriation of $164,000 as an Adjustments-to-Base budget request as outlined in this
memorandum and related attachments. Linda Jourgensen seconded the motion.
VOTE
The motion passed unanimously.
ADJOURNMENT – The meeting adjourned at 8:30 pm.
These draft minutes were prepared by Cecil P. Fenio.