July 21, 2016 Board of Directors Meeting Minutes
BOARD OF DIRECTORS
July 21, 2016
CALL TO ORDER
President Whitfield called to order the July 21, 2016 regular meeting of the Board of Directors of the Apex Park and Recreation District, held at 6:30 p.m. in the Randall Room at the Apex Center, 13150 W. 72nd Avenue, Arvada, Colorado. Board members in attendance were: Jim Whitfield, Tommy Skul, and Vicki Pyne. District staff members present were: Terry Goldwater, Apex Center Manager; Bob Roby, Deputy Director-District Services; Dawn Fredette, Executive Assistant and Recording Secretary; and Kristin Donald, Finance Manager. Lauri Dannemiller, Executive Director, attended via videoconference. Additional attendees were: Kim Crawford of Butler Snow, Bond Counsel; and David Bell and Amy Canfield of Stifel Nicolaus, Bond Underwriter.
MOTION: Director Skul moved to excuse the absences of Director Glenn and Director Larington due to advance notice to the Board. Director Pyne seconded. Motion passed unanimously.
APPROVAL OF AGENDA AND ADDITION OF AGENDA ITEMS
MOTION: Director Skul moved for approval of the Agenda as posted. Director Pyne seconded. Motion passed unanimously.
APPROVAL OF MINUTES OF JUNE 16, 2016 MEETING
MOTION: Director Skul moved for approval of the Minutes of the June 16, 2016 meeting, as presented. Director Pyne seconded. Motion passed unanimously.
PUBLIC INPUT – None
1. Introduction of Bob Roby, Deputy Director-District Services
Ms. Dannemiller introduced Mr. Roby to the Board and stated that he’s been a great addition to the team. He has jumped right in and is quickly grasping the role of District Services and learning about upcoming projects.
Mr. Roby thanked everyone who has helped him get up to speed so far. People have been very welcoming. Mr. Roby also discussed his background and past employment history, including work with the City. He also talked about growing up in Colorado.
Director Whitfield welcomed Mr. Roby and said the Board is excited to have him aboard.
2. Discussion regarding Bond Resolution and Forms of Financing
Ms. Dannemiller noted this would be a high-level overview of the bond related documents to be approved at the August 4 meeting and an opportunity for the Board to ask questions.
David Bell and Amy Canfield addressed the Board regarding financing decisions the Board will need to make. It was discussed that the timing for the bond issuance is good because of interest rates. Also, given the current market numbers, the District has the ability to obtain more construction dollars and stay within the parameters of the election question, possibly $4 million more. The Board does not need to make a decision right away about taking this premium.
The Board asked about the impact to the mill levy and also inquired about not taking the premium. Mr. Bell discussed various scenarios and noted that taking the premium is a better investment for the investors while also taking advantage of current interest rates. Discussion ensued regarding the 1998 bonds.
Mr. Bell emphasized that the Board is not being encouraged to do anything wrong in the eyes of the voters and discussed options for using the additional $4 million. Ms. Dannemiller noted the advantages of taking the premium, which could cover higher construction costs and additions to the base projects. Ms. Canfield added that the additional proceeds have to comply with the projects.
Ms. Dannemiller provided a status on the $3.1 million forthcoming from the City and the IGA in progress to obtain the funding.
Mr. Bell also discussed the investor mix and possibly offering the opportunity to local residents. He noted that the low interest rates might not appeal to local investors though. Ms. Canfield discussed the process if members of the community want to participate. Mr. Bell further discussed and reviewed his handout regarding buyer yield.
Ms. Crawford briefly spoke about her involvement with the District’s 1998 bonds when she was with Sherman & Howard and then proceeded to discuss and review the draft bond resolution that was distributed to the Board and the parameters it sets forth. She noted the resolution is good for one year after being adopted which provides flexibility if the economy were to tank, for example. The bonds don’t have to be sold right away. Mr. Bell could monitor the situation. Ms. Crawford also discussed information that needs to be available to investors pursuant to the SEC.
Ms. Crawford noted that the resolution provides information regarding the bonds, principal payments, and technical items. General Obligation Bonds require a mill levy each year which can go up and down but the annual dollar amount to the voters can’t go over the revenue amount for annual bond payments.
Also, the expectation is to spend the bond proceeds within three years. Additional SEC requirements include continuing disclosure and posting of the CAFR.
3. Discussion regarding Proposed Fiscal Policies
Prior to turning the discussion over to Ms. Donald, Ms. Dannemiller noted that staff will continue to work on the policies prior to adoption at the August 4 meeting. It is important that the policies be in place for the bond investors as it gives more fiscal credibility to the organization.
Ms. Donald proceeded to review and discuss the Proposed Fiscal Policies that were distributed to the Board. She noted that the proposed policies define financial boundaries, whereas previously, any policies were stated in the Budget or CAFR. Everything will now be centralized.
Ms. Donald continued to discuss policy goals and standards, accounting procedures, and the budget, including reserve policy. These are all items of importance to investors. She also noted the new travel policies, of which there were none in place before.
The Board responded favorably to having good financial practices and noted the potential for a positive impact to the District’s credit rating.
4. Consider Jeffco Open Space Grant Application, Peaks to Plains Trail
Ms. Dannemiller discussed a recent Jeffco Open Space team meeting attended by Ms. Goldwater, noting that they are looking for financial contributions for the next section of trail. Ms. Dannemiller also discussed the prior section of trail that’s been completed, for which the District contributed $10,000. The District recently received that invoice
Ms. Goldwater reiterated that Jeffco Open Space is now seeking financial support for the next 1.75 miles of trail at the mouth of Clear Creek Canyon. She reviewed and discussed the information provided by Jeffco Open Space, noting there are a lot of obstacles and barriers on this section of trail. They are requesting an increased contribution of $20,000 this time. They are also asking the District to provide letters of support for GOCO and CDOT TAP grants. The grant application deadlines are at the beginning of August.
Ms. Dannemiller asked the Board members to consider the benefits and also their responsibilities to the District. She brought up active and passive forms of recreation. She further noted the District is financially in a position to contribute the requested $20,000, while at the same time the historical contribution of $10,000 also seems reasonable. It’s ultimately up to the Board’s discretion.
The Board discussed the requested amount, the amount contributed in the past and possible future contributions, as well as the grants the District has received for the Pickleball courts and Community Heroes Park at the Simms Street Center. They also discussed the number of Arvada residents who will use the trail, the District’s working relationship with the City and other governmental entities, and the amounts of the contributions being requested from other districts and municipalities.
MOTION: Following discussion, Director Pyne moved for the District to contribute $20,000 to Jeffco Open Space for the next section of the Peaks to Plains Trail. Director Skul seconded. Motion passed unanimously.
Ms. Dannemiller left the meeting.
5. Consider Sponsorship of the Arvada Food Bank’s Top Hats & Ball Caps Annual Fundraiser
Director Whitfield discussed this annual event and the Board’s past support. He noted that the Board verbally committed again this year to a sponsorship level of $1000, as in the past.
Director Whitfield further discussed the Food Bank’s upcoming golf tournament fundraiser. He noted that participation in the tournament and obtaining golfer sponsors is an effective, physical show of support.
MOTION: Following discussion, Director Skul moved to ratify the Board’s approval of sponsoring the Food Bank’s 2016 Top Hats & Ball Caps Annual Fundraiser at the $1000 level. Director Pyne seconded. Motion passed unanimously.
OLD BUSINESS – None
EXECUTIVE DIRECTOR’S REPORT
In lieu of a report from Ms. Dannemiller, the Board asked Ms. Goldwater to report on any items of interest. She discussed Apex Center maintenance issues, noting that the HVAC system is an ongoing challenge. Also, there have been some big ticket items in the ice arena this year, which are age related. She further noted that she is excited to have Mr. Roby and Mr. Howe in District Services working on capital projects.
Ms. Goldwater also discussed a recent near drowning incident involving a young girl at Secrest. All reports indicate that staff responses to the incident were great and the girl is fine. The recent lightning death at Indian Tree Golf Course was also discussed.
Ms. Goldwater and the Board discussed the Columbine Figure Skating Club and current issues they are experiencing with their board of directors. Terry will discuss the matter further with Brian Bott, Ice Arena Manager, and get back to the Board if needed.
Mr. Roby also addressed the Board and spoke about how he’s been making the rounds of the District and getting familiarized with projects. He attended a recent meeting regarding the Apex Center projects. The Board and Ms. Goldwater discussed showers and restrooms for the Apex Center splash pad project and how the project was presented during the election. The splash pad at Ralston Central Park was also discussed.
The new activity guide and non-resident fees for next year were briefly discussed.
BOARD MEMBER REPORTS
Director Pyne reported that July’s coordinating committee meeting with the City was not held but that she is planning to attend the September meeting. She is also planning to attend the upcoming Healthy Jeffco Innovation Summit.
Director Pyne also reported that she’s had conversations with residents who are asking if professionals from the community will have input on decisions regarding the bond projects. Ms. Goldwater stated it is important that the community have trust and satisfaction and that community meetings will be held for the purpose of receiving community input.
Mr. Roby stated that he plans to go through the process of getting input for each facility and then see what makes sense. Mr. Roby plans to report to the Board regularly regarding timetables for the projects. There was also discussion regarding District Services addressing short-term and long-term needs.
Director Skul discussed Chamber events he’s recently attended. He was a judge at the Sand in the City event. He also did a presentation on goal setting at a recent Arvada Young Professionals meeting. Director Skul also talked about the State of Transportation that was presented at a recent 3rd Friday Breakfast.
Director Whitfield discussed a recent SDA meeting and the SDA’s stance against Constitutional Amendment 69 (which would create a single-payer health care system, ColoradoCare, for all people residing in the state).
He also talked about the upcoming SDA and CPRA conferences, as well as the differences between SDA, CPRA, and NRPA. The SDA conference is not park and rec specific but is geared toward all special districts. CPRA is mostly park and rec related; passive with an active element. Apex PRD has received awards from both organizations. NRPA provides insight into the world of park and rec bureaucracy. All three offer credits similar to the legal credits offered at the SDA conference.
Ms. Fredette and the Board talked about the handout provided regarding attendance at the upcoming conferences of SDA, CPRA, and NPRA.
The upcoming Apex Foundation Golf Tournament was discussed. Director Skul already has a team together and perhaps another team could be put together with the remaining Board members.
Also discussed was the Foundation’s recent Car Show. It went very well and had a record turnout. The Foundation seems to be doing well.
MOTION: Director Skul moved that the meeting be adjourned. Director Pyne seconded. Motion passed unanimously.
Director Whitfield adjourned the meeting at 8:05 p.m.
Dawn Fredette, Recording Secretary
Kristen Larington, Secretary/Treasurer