Friday, November 28, 2008

Ouray Hot Springs Grant?

November 28, 2008

Posted by:

Erin Eddy
www.ourayland.com
www.ridgwayland.com

Written By: Samantha Tisdel Wright

The natural hot springs that bubble to the surface along the Uncompahgre River and Canyon Creek near Ouray are good for more than skinny-dipping.

Ouray Mayor Bob Risch and others involved in a geothermal inventory currently underway envision a day when that free energy can be put to use as a small-scale energy source for the municipality.

A $25,000 grant, awarded to the city by the Governor's Energy Office (GEO) on Oct. 2, is funding the effort to chronicle the many springs that surface within city limits.

"We recognize that we are exceptionally fortunate in our available geothermal and hydroelectric resources and have a responsibility to utilize these assets in the most efficient ways possible," wrote Risch in the grant request. "Our primary interest at this stage in the exploration of our geothermal resources is the complete inventorying of our springs in terms of energy content, options for cost-effective utilization, and legal ownership history and status."

Nobody knows Ouray's hot springs better than hydrologist and geothermal consultant Wayne Goin, who for years has worked for Linda Wright-Minter monitoring the hot springs which feed her Wiesbaden enterprise, and is now consulting with the city in its geothermal surveying efforts. His methodology is pretty simple – put on a pair of sneakers and wade up the river until you feel it getting warmer.

That's how he found "The Minions," a group of hot springs that surfaces along Canyon Creek, for which he filed rights on behalf of Wright-Minter years ago.

The Minions now belong to the city, which got them in a settlement with Wright-Minter following an ugly legal battle stemming from an extensive effort some 20 years ago to drill for and exploit additional sources of hot water in Ouray in the 1980s. The city is still paying off debt servicing for the $550,000 settlement. The lawsuit also had statewide ramifications in the form of Geothermal Rules adopted by the state in the 1980s, followed by strict new requirements for well drilling by the state's Division of Water Resources in 2004.

This time around, a more cautious approach is being taken, by all who are involved. First and foremost, drilling is out of the equation.

"Our approach to the inventorying process is non-invasive," Goin stressed. "We're simply trying to get a snapshot in time of what's going on with the geothermal resources.... It's kind of the hobo approach."

Which basically means, wade up into the canyon, GPS the known springs and take their temperature, measure their outflow, and maybe find some new ones in the process. From the Minions to the fish pond, a lot of geothermal energy is currently going to waste.

Winter is an ideal time to conduct this kind of work, Goin explained, because both the level of groundwater and the river are at their lowest levels of the year. In spring and summer, many of the hot springs which surface along Canyon Creek are obscured by spring run-off.

A report from the city to the GEO regarding the endeavor is due by mid-May, and may be followed by a county-wide hot-springs inventory. The immediate goal is to have monitoring of all known hot springs in place by the end of the year, Risch said.

A logical succeeding step outlined in the GEO grant will be the preparation of a plan to update the heating plants of appropriate public buildings and facilities in Ouray. As stated in the grant request, "The second phase will involve the identification of appropriate projects and requisite funding perhaps including carbon-offset sources, to begin replacing fossil fuel space heating plants with geothermal options."

The Colorado Geothermal Development Strategic Plan has identified Ouray County as one of several areas in the state with the potential to develop geothermal energy. The new energy standard spelled out by Gov. Bill Ritter mandates that 20% of all energy produced in Colo. must be renewable by the year 2020. Toward that end, the GEO is currently supporting efforts to inventory the state's considerable geothermal resources.

The Bureau of Land Management, too, has launched ambitious plans to assess the geothermal potential.

Electricity generation is beyond the scope of what the city is trying to do with its current inventorying project, but Risch, who has made energy efficiency the cornerstone of his mayoral role since he took office nearly a year ago, wouldn't mind harnessing some of the tail-water and overflow that currently goes to waste, and using it to heat a municipal building or two.

As he prepared to pull on some waders and head up into Canyon Creek with Goin earlier this week, the mayor paused, grinning. "Every day is another revelation."

Friday, November 21, 2008

Water call in Ouray County

Posted by Erin Eddy

www.ourayland.com
www.ridgwayland.com

November 21, 2008

Written by:

Samantha Tisdel Wright

Thirsty desert cities like Phoenix, Las Vegas, and Los Angeles could conceivably leave Ouray County high and dry, if proper action is not taken to protect water rights, attorney Andy Mueller warned the Ouray City Council this week.

"All kinds of rights are subject to being cut off," Mueller said, "even municipal rights."

Mueller is Ouray County's representative on the Colorado River Water Conservation District (CRWCD) Board, which since 1937 has been protecting Western Colorado water on behalf of the more than 500,000 Coloradoans who live on the western side of the Continental Divide.

The Colorado River, the vena cava of the American West into which much of the snowpack and springwater of the San Juan Mountains eventually drains, meanders its way through seven states before (just barely) making it across the border into Mexico and the Gulf of California.

It's water is divvied up according to two "Colorado River Compacts" dating back to 1922 and 1948.

In 2007, the Colorado State Legislature commissioned a study to determine just how much of our namesake river's water is left to develop.

"The study goes to the heart of a Colorado River District concern that the Colorado River basin not fall under a compact call," wrote board president Peter Kasper in the district's annual report, "whereby Colorado might have to cut back on its water use in order to meet water delivery obligations to other states downstream."

Thus far, the Colorado River Basin, to which the Uncompaghre River is a tributary, has remained free from a dread compact call.

"And we want to keep it that way through good planning that acknowledges that there is a finite water supply," Kasper emphasized.

Downstream Colorado River states would like nothing better than to open up the compacts for renegotiation, but Utah, Wyoming, Colorado and New Mexico, with their much smaller populations and political clout, are "afraid we would get run over," if that ever happened, Mueller said.

Even with good planning, climate change and urban sprawl are growing threats to upstream water users in the Colorado River Basin.

The affects of climate change are already beginning to manifest in a shorter run-off season, which impacts the flow of the river and the people who depend upon it downstream. The Colorado River Water Conservation District Board has been actively generating innovative ideas, such as water banking and planned fallowing to help up-stream water users get through dry years without triggering a compact curtailment.

"We can't turn fire hydrants off," Mueller said. "Cities will be looking at alternative ways to augment their water rights. They could, for example, buy up ranch land with pre-1922 rights and then let that water flow to Lake Powell, to make up for the water they take at the headwaters."

It's not just the cities downstream in the Colorado River watershed that have cast a larcenous eye upon the pristine water of the San Juans. Sprawling Front Range Colorado communities are equally thirsty and greedy, often exhibiting what Mueller called a "buy it and dry it" mentality when it come to water rights.

This spectre could loom for Western Slope communities like Ouray and Ridgway if protective action is not taken, Mueller warned. "It's a huge issue that will take years for a solution. And it has the potential to impact the county."

Only once in the recent past has Ouray's water been subject to call. That was during the drought of 2002. If the letter of the law had been explicitely followed at that time, Mueller said, the city should have stopped the diversion of Weehawken Spring, its sole municipal water source.

City Council and staff have been actively addressing the issue of water rights in recent months and have hired Wright Water Engineering to conduct an inventory of the city's water rights and options for augmentation.

Saturday, November 15, 2008

Swimming Upstream?

Posted by:

Erin Eddy

www.ourayland.com
www.ridgwayland.com

November 14, 2008

Written By:

Samantha Tisdel Wright

Everyone knows that the Ouray Hot Springs Pool is the biggest cash cow the city has going, generating revenue of almost a cool million, annually.

But that money, which is used to prop up the city's whole "parks" infrastructure (from the North Ouray Corridor to the Community Center to Box Cañon Park and everything in between) has been stretched too thin. The 2008 ending fund balance for the Parks Fund is projected to be $793,464 in the red.

That's a pretty big number. Big enough to have caught the attention of auditors who scrutinize the city's books. And the word has come down: "You'd better fix it."

The city's draft 2009 budget proposes to start doing this by taking the community center (an annual $70,652 expenditure) and the dredging of the North Ouray Corridor (for which $20,000 is budgeted every spring) out of the Parks Fund and parking them in the General Fund, instead. But the city still has a long hard slog to get its parks budget back in the black. Administrator Patrick Rondinelli said if the current pattern holds, the Parks Fund is projected to remain in a deficit until "at least 2023."

How did this come to be? Quite simply, the cash cow is being multi-tasked dry. Or in the words of Rondinelli, "operating expenses are outpacing revenues." Of a projected $950,000 in pool revenues in 2009, the pool itself will rack up $822,000 in operating expenses. That doesn't leave a whole lot of leftovers to spread around to the city's considerable parks infrastructure.

"Per capita, Ouray probably has more park lands per resident than any other town in Colorado, with the possible exception of Boulder," Rondinelli said. "And we're trying to acquire the Ice Park, which will add even more."

Many municipalities have a taxable "Parks and Rec" district to cover the upkeep of their community assets. But the City of Ouray's budget is set up in such a way that the "Parks Fund" gets its revenues exclusively from the pool and Box Cañon Park (a combined $1.3 million in the 2008 budget).

This fund, set up as an "enterprise fund," is separate from the city's "General Fund" which pays for the day-to-day operations of the municipality. All taxes and fees collected by the city flow directly into the General Fund. By law, no more that 10% of moneys in one kind of fund can flow into another.

Thus, the sales taxes and fees collected by the city cannot, under the current structure, go toward the maintenance of the city's park lands.

The Parks Fund currently encompasses the Hot Springs Pool and gym, Box Cañon Park, Rotary Park, Lee's Ski Hill, the North Ouray Corridor, and "general parks and services," including Community Center expenses, which will shift to the General Fund next year. None of these places are cheap to maintain – the city spends $20,000 annually at Rotary Park, alone – and only the pool and Box Canyon Park bring in direct revenues.

Making matters worse is a $550,000 legal settlement pertaining to a 2004 dispute in which the city was accused of disturbing the Wiesbaden's geothermal source, which drains the Parks Fund of $114,000 annually in debt service. The last payment will be made in 2010.

All of this is bad news for the cash cow itself. According to Rondinelli, out of every $10 the Hot Springs Pool brings in, only $4 goes back to the pool. "If it were being run more like a business than a city facility, all of the money the pool brought in would be sunk back into improving the facility."

Pool revenues themselves are in a projected pattern of decline. In '08, actual pool attendance and revenues were down 3-4% from projected levels, and Rondinelli, a stalwart realist, sees no reason to hope economic conditions will change in the next few years.

"We're going to face significant changes, and not just in '09. I lie awake at night thinking about it," he admitted.

Working with City Council members over the coming months, Rondinelli hopes to start exploring some long-term solutions to the parks deficit dilemma. "A rec district is an option worth exploring," he said. "Or, what if the city leased the pool to a private entity? The Parks Fund is complicated. It has its own nuances that make it an interesting thing to work on."

Wednesday, November 12, 2008

New Ouray and Ridgway development fees

Posted by Erin Eddy

www.ourayland.com
www.ridgwayland.com


November 12, 2008
Agreeing with the county staff that it is "long overdue," county commissioners will raise some of the fees charged by the Land Use Department in time for the new year.

Mark Castrodale, interim county planner, said after consensus by the Board of County Commissioners that he will have a comprehensive fee schedule prepared by early December for consideration of adoption by resolution.

Castrodale presented to the BOCC an analysis of current fees charged by the Land Use Department for various processes; not including building permit fees. "My records show … fees have not been reviewed or modified since 2004 … we appear to be grossly undercharging for some of our services," Castrodale wrote in a memo.

Castrodale explained to the BOCC on Monday that he used his salary's hourly rate and calculated the amount of time necessary for him to process various services – ranging from sketch plans to final plats – then reduced the total by one-third to propose a fee's rate.

"The issue, in general, is that it's been long overdue," he said."I tried to be hugely conservative."

For example, Castrodale said current fees for a limited planned unit development (PUD) of three lots or less are $750 for a sketch plan, $750 for a preliminary development plan, and $250 for a final development plan. He proposes raising the preliminary development plan fee to $1,500 and the final development plan to $500 in addition to establishing a $250 fee for the final plat. During the process of estimating new fees for Ouray County, Castrodale said he called Montrose County for a comparison. For these same four services, Montrose County will charge a total of $6,445.

"We are subsidizing development," said Castrodale. "Our current rates do not even cover my time."

BOCC Chairman Keith Meinert agreed that an increase in fees are needed, especially in comparison to Montrose County. but asked if higher fees could be charged at the end of a project when a developer is more certain of a successful outcome. "I agree that it's time consuming," Meinert said, "but I wonder if front-end costs would be so high it might discourage people from trying."

Castrodale said the bulk of work by Land Use staff is "front-end loaded" and requires the same amount of time whether the project is successful or not. He would prefer to deal with those "isolated situations" of projects that are unsuccessful, or withdrawn, on a case-by-case basis.

Commissioner Heidi Albritton backed Castrodale's reasoning. "If they (developers) are working with staff, there is no reason it shouldn't go through," Albritton said. "The hand-holding and direction takes place at the beginning of the process. No outcome is guaranteed. If they choose to go through with a plan despite the advice of staff, it's not Mark's problem. We need to get on a proactive track and keep up with the times."

Commissioner Don Batchelder likewise agreed the fee review is long overdue, saying he first asked about it six years ago. "Let's say Mark's ideas are good and take them at face value," said Batchelder. "I think your (proposed) fees are low. You took off one-third, you should have added 50% more and it probably still would not have covered the costs."

Meinert said the revised fees are a "step in the right direction." Fellow commissioners, and Castrodale, agreed with his suggestion that Castrodale define his simple review and complex review fees for a development site inspection in line with zones established in 2002 for assigning or verifying addresses and inspecting driveways. Zone 1 is six miles from the Land Use Office in Ridgway while zone 2 is 12 miles and zone 3 is more than 12 miles travel.

Recommended changes in fees are in the categories of limited PUD (three lots or less); regular PUD (more than three lots); a recreation/resort PUD; boundary line adjustment; appeals to the Board of Zoning Adjustment (variance); minor amendments to the Land Use Code; a site development permit; a plat correction; and site inspections for a weed management plan, PUD, special use permit, address verification or driveway inspection. Castrodale did not recommend any increases for a final plat amendment , a special use permit, or exemptions and exceptions allowed within the code.

— By Patrick Davarn, news editor

Friday, November 7, 2008

Ouray Road Tax

Ouray County Road Funding Supported

November 07, 2008

Written By: Patrick Davarn

Posted By: Erin Eddy

www.ourayland.com
www.ridgwayland.com

Ouray County has gained voter approval to supplement its Road & Bridge budget. The proposed one-cent sales tax passed by a slim margin of 66 votes (1,464-1,398), according to unofficial counts from the County Clerk's office.

Keith Meinert, Board of County Commissioners chairman, said he was gratified the public agrees that the county must maintain road infrastructure and preserve its most valuable asset. The additional funds are specifically earmarked to the Road & Bridge Department.

"As we are also seeing at both the state and national levels, the maintenance of our roads and bridges will only get more challenging due to escalating costs of construction, high fuel costs, increased usage and decreasing fuel tax collections," said Meinert. "This additional funding from a sales tax increase will help us meet these challenges and reduce our dependence on trickle-down handouts from Denver. I want to assure the public that the county will use this additional funding wisely. I encourage the public's participation in Road Committee and BOCC meetings to help us develop the county's road maintenance strategy and prioritization."

This year's result counters last November's outcome, when voters decided 901-802 that they did not want a 3% use tax to help pay for road maintenance and improvements. The county has had a 1% sales tax, as allowed by the state, since 1985. Earlier this summer, the state legislature set new rules that allow counties to ask voters for additional sales tax revenues.

County officials told voters that the additional 1% sales tax was necessary due to projected reductions in the Highway Users Tax Fund (HUTF), which annually provides 40% of the monies in the Road & Bridge Department budget. The BOCC has have pledged 60% of these new proceeds toward routine road operations and 40% to improvements and capital purchases.

Total revenue in the 2008 Road & Bridge budget is estimated at $1.5 million. Of this amount, approximately 42% ($601,114) is derived from state sources (primarily HUTF) and 19% is from local property taxes ($315,729). Road & Bridge currently has a dedicated revenue source of 1.5 mils and the BOCC has historically transferred the equivalent amount of 1 mil levy ($194,401) from the General Fund. Other revenue sources include federal sources, reimbursements and impact fees utilized for capital infrastructure.

Saturday, November 1, 2008

Locals get er done!

Locals just get projects done

Written by David Mullings - Ouray Plaindealer

Posted by Erin Eddy

www.ourayland.com
www.ridgwayland.com

October 31, 2008

Can do.

That's probably what I like best about living in Ouray County.

Sixteen years ago, a bunch of good people got together and formed the Mount Sneffels Education Foundation. The organization, which provides innovative programs that give students here fantastic learning opportunities, thrives today. MSEF is on its way to building a self-sustaining trust.

Seven years ago, a group of folks here saw an amazing piece of publicly owned land that was going unused. They jumped through a bunch of hoops, today, we have the Top of the Pines, an outdoor camp on Miller Mesa that serves as a dynamite outdoor education facility.

Five years ago, an emergency services shuffle squeezed the Ouray Mountain Rescue Team into a single garage bay. How did the all-volunteer group respond? With the help of a legion of supporters and some county-donated land, OMRT went out and built a wonderful two-story rescue center at the Ice Park. The team gained a certificate of occupancy last week, and plans an open house to show off the facility in mid November.

Can do.