Either yes or no on that one to just end this community amendments amenity community amenities section um at the at the sentence where it says are accessible to residents of the development and the public and then just period stop it there um not allow a piece of artwork to be used to increase the density of a zone or increase the intensity of use or or relax the setbacks so that things aren't had don't have to be set back.

I don't I think uh artwork is too uh uh subjective and it's it's too easy of a way out, I I would say, for someone who's developing property to put one piece of artwork out there and now they can they can increase density.

I I would want council to really think about what we're doing there if we're gonna allow a small piece of artwork to be used to uh circumvent our zoning, which is what it would be used for.

I don't agree with that.

Yeah.

Um and as uh Kevin Walker planning director noted, I think it's important in that uh recommendation for further amendment or modification of the the ordinance language is that this uh the establishment of a PDZ is a decision of this body.

So whether that language is in there or not, you as the city councils, members of city council have the discretion to vote no because you feel that community amenity that has been put forth by the developer is either too subjective to whatever it might be.

Um hopefully you're still following the criterion code, but um it's just I think I see where you're coming from to eliminate all reference to to public art throughout the unified development code.

Um but I think ultimately the criteria that are in place and the opportunities that this provision of code provides, it just affords greater flexibility or opportunity for you as the decision makers to custom tailor that kind of contract zone to be a benefit for the larger community.

Okay.

Well, first I'd like to offer the well, if you're ready, madam president, I'll offer the amendment to remove public art as a replacement for articulation.

But if there's still more discussion before that, happy to wait and then offer it.

Because then I would say that look maybe we sort that one out and then move on to the broader uh no public art for uh PDZ designation or PUD.

Councilman Bailey.

Thank you, Mr.

Thank you, Madam President.

Um I agree with Councilman Donaldson that I personally think that substituting public art for the articulation is a is a bad idea, but I don't know that future councils will share that view.

So I'm I'm content with leaving the language here with the understanding that the process allows for the manager who gets to make that decision to learn from and reflect the sense of the council that uh that he or she is working for.

Uh so I I'm not convinced that striking it completely is the right way to go.

I would have preferred to see that with the rest of the packet as an alternative, so then I could chew on a little bit and think about it and talk to some people about it, having it dropped on me here.

I'm my instinct would be to say, let's just go with the ordinance that we've been presented because we have talked about it and have worked through this process in um uh in working uh a working session before.

So um let me leave you with a question.

Are are you satisfied that that process of the the manager taking the lead from the council as it exists at the time for an individual project would kind of alleviate the concern that I have about or and the concern that I think I understand Councilman Donaldson having about yeah, some little statue does not change a solid concrete wall um as far as the impact on the community?

Yes, I think certainly it it does not change that discretionary authority because again, as I said, council, you it rests with you on that decision.

But you know, if I if I may use one of uh Pro Tem Risley's statements from earlier today of having tools in a toolbox when we're looking at a PDZ and we're trying to really thread that needle of a project to make it work within a set parcel of land, um you know, having more available tools for us to have those negotiations before you ultimately see it as a decision-making body gives us a greater opportunity to to have that that uh to get a benefit or or a quality product for the broader community.

Uh I will also just note I mean, uh, again, with similar to the articulation provision of code, which we've uh made that uh recommended change for, or to accommodate that change is that we have not to this date since the adoption of the UDC seen a developer seek to utilize this provision in a requested PDZ zone, because again, usually when those PDZs are coming into us, they are very specific in what the vision is for the developer.

Um and when you start talking about works of art, that's even though they may get some or maybe seeking some adjustment to a regulatory standard.

Works of art are not cheap, especially when you're talking about at a bigger development scale of a sculpture or some type of fountain feature or something like that, those are really expensive components of that most developers tend to shy away from.

Uh and they also then pose a greater challenge from a maintenance perspective moving forward for that community, uh, which most of the new PDZs are being supported by uh a district.

So long answer to your short question there.

Councilman Hingem.

Uh thank you, Madam President.

So I by the way, just as a point of order, there is a motion and a second for the um the ordinance as presented to us already on the floor.

Um but in terms of this question, I I too don't know why we would take away the option for something that could actually um which hasn't been used yet, clearly isn't used very often, but why would we want to take away something that um through the lens of what's possible?

I mean, I'd like to think that, man, some really cool things could be proposed that add incredible value to the development and to therefore to the city and to the public for art that is quite uplifting and supports uh a sense of beauty in our community and attraction to our community.

People love to go see public art.

Um I just my daughter was just in Chicago for work, and what did she send me but a picture of herself in front of the bean, right?

I mean, it it's those kinds of things that um that people really enjoy and create connection and um really improve our community.

So I don't know why we would want to take that away, um, especially given that ultimately council still would have the authority um to approve or disapprove something if it if it felt that the piece of art was um in some way inappropriate.

So I I'm I stand by and thank you for your work on this very much, Dan, and uh uh remind us that we have a motion and a second on the floor for the ordinance as is.

Thanks.

Councilman Williams.

Thank you, President Kerr Iverson.

I just wanted to repeat and ask the question of something I heard something about increasing density.

And I don't think there's anything in front of us today that has anything to do with increasing density.

Is that correct?

No, the only reference that I was making uh council member Williams to density is with respect to the community many's provision uh of the code that we're suggesting changes to, that is uh nested within the establishment uh regulations for PDZ zone districts.

So in those zone districts, we oftentimes see developers seeking to do uh a higher density or modified development standards than what are otherwise uh applicable in a base zone district.

So it's a contract zone, but we're not proposing increased density.

Nothing to do with public art is going to affect the density.

They will go through that process to have that conversation about density.

But the public art is not going to increase or decrease the density.

Correct.

There's not an apple's like, hey, you give us this piece of art, we're gonna increase your density by 10 DUs per acre.

No.

Okay, thank you.

Councilman Risley.

Thank you, Madam President.

I just want to underscore the topic that we're discussing here, which is that this is a PDZ, right?

Planned zone district.

This is not base zoning.

This is not uh sort of a straight zone situation.

And so, as such, the whole idea with PDZ is that the developer essentially gets to write the rules of the zone district.

And so for that reason, I think the more latitude and the more flexibility that we build into the rules and the more discretionary decision making that goes into that process, the better the outcome to Councilmember Henjam's point.

Um that to me is really the whole goal of PDZ zoning.

That's what we're looking for here is to create this very flexible, adaptable mode of operating for a developer so that they're not locked into just a straight zone requirement.

And and so for all those reasons, I really do think that uh the modifications as written to the code are are what we ought to be uh really focused on.

Thanks.

Councilman Bailey Yeah, thank you.

And and just to just to clarify that point, that flexibility comes with the obligation to come before this body for a final decision.

So it's it's by no means a blank check for anyone to design just whatever they want.

It's a it's a you know, it's a contract with the developer that says we'll give you the possibility of some this flexibility with the understanding that it's going to come to the highest elected body in the city for final authority.

It's not just going to be decided at a staff level.

Councilman Donaldson.

Yeah, thanks, Madam President.

And I can see I made a huge error by bringing up two things at once.

The the first amendment I was going to offer and still will simply has to do with using art to remove the requirement for an articulation in a building, not in a in a PDZ or PUD, but in all of our zoning.

So this is what we talked about in the past.

That the thing about PDZs and PUDs was something that I just brought up today, but let's put that aside.

All we're talking about is articulation, should that be removed as a requirement because uh a builder has a piece of art.

That will not come to council.

That is something that uh our planning department uh director will make, I believe that's who we said would make that decision that yep, that's okay.

It won't come to council.

We don't have a say in that unless we say, you know what, that that we don't want to do that.

We want to have the articulations in the building.

As far as PUDs and PDZs, that's a whole separate thing.

Um we're not this amendment, which I'm gonna offer right now, and it's the one that was passed out, simply to strike that one sentence.

Public art may be used as a substitute for facade articulation subject to neighborhood and public art commission review.

Um that's all I'm offering as an amendment, uh, that one change doesn't have anything to do with the PUDs and PDZs.

So, Madam President, I I uh I offer the uh amendment, which we I think everyone has it in your hand to strike that one sentence, does not have anything to do with PUDs.

Yeah, and I've put up a copy of that strike through, which is a reflection of the paper copy in front of you today.

Um, just so you understand that uh as uh councilmember Donaldson has proposed is instead of adding in to the mixed use and non-residential section uh sorry, striking the language regarding the public art commission and then adding criteria for the manager to review those requests, uh we simply at at the request for the proposed motion have proposed uh striking that language entirely.

So for clarity, um I already have a motion and a second to adopt an ordinance amending chapter seven uh the code of city of Car Springs as amended pertaining to public art.

Is that what we vote on first?

And then we go to the second motion.

No, you vote on an amendment first.

Amendment supersedes the main motion to be technical.

Okay.

So the motion to amend, I have a motion from Councilman Donaldson, and I have I don't have a second.

That's correct.

There's no second in the system.

Okay.

Okay.

So I'll just with your permission, Madam President, what we're saying is that the planning department uh director can waive the requirement for an articulation which is which is our standard now, which is what's in the code now.

And uh it'll be strictly up to him.

Uh that that's not part of a PUD or anything like that.

I know that might have gotten confusing.

Um I thought I had spoken with individual members of council, and and there had been widespread agreement that uh you know that doesn't really make sense to do that, that we would want to have uh that kind of we wouldn't want the long concrete wall.

So this is our chance to make sure that doesn't happen.

Thank you.

Councilman Rainey.

Thank you, Madam President.

Uh question for clarification.

So by striking this comment, and as my colleague just mentioned, when it comes to making a decision, is that decision, and I guess uh I'll kind of double fold this and bring it back to the dies to you also, Madam President.

Is that decision, and I guess uh I'll kind of double fold this and bring it back to the dies to you also, madam president.

Does that decision rest solely with one person or does it come back to city council?

So I think the answer to your question is that it is uh in the planning department, the reviews and administration of entitlements are a broad effort of staff.

So while there may be one case planner that is assigned to a project and may be evaluating that project with any requested exception that is proposed underneath it, there is a broad conversation of that throughout the entire department, which does include the the director of the planning department in the final direction and answer.

But yes, one case planner in their administrative action signs their name on that approval and stamps that plan, approving it.

Uh, and the only manner of recourse to object to that, the application of that exception would be to appeal to planning commission and then ultimately further appeal to city council if sought.

So if I understand you correctly, and uh this goes back to back step two comments that was made from the dies here.

It will not come to City Council as not a part of the process unless someone files an appeal.

Is that accurate?

For the mixed use and non-residential provision of code, the exception, correct.

That is accurate.

For the PDZ section, it is the body, this body, city council is the decision making body for those requests.

And we are not this amendment has nothing to do with the I just wanted to clarify the different orders.

Thank you.

Councilman Bailey.

Thank you, Madam President.

Uh what other can you tell us what other um or what the standards for articulation are for buildings in this type of zone?

So this is not in reference to a zone specific uh standard.

This is in reference to a use uh specific standard.

So sorry, whatever what for this use, what are the criteria that that are currently used in addition to the option of public art, or before we did away with the public arts uh commission, what other alternatives are available to people who build buildings for this use?

Okay, so what I'll kind of just lay out just very quickly is that in this mixed-use non-residential section of code, the uh it is largely applicable to the the multifamily or commercial types of uses, industrial institutional types of uses.

We're looking at facade treatments that include a mixture of materials.

We're looking for multiple materials, brick, eFIS, stucco, glass, uh metal.

So we're looking at material specific.

Um we do have, even with the elimination of the public art provision under D2, which is proposed under the amendment, there still is the opportunity for a developer to seek an exception to that articulation requirement.

Um as long as they're they're providing certain uh parameters where we have like wall plane projections uh that have a minimum depth of two feet.

Uh, we're looking at mix of building material treatments, which we kind of had mentioned uh or just mentioned previously.

We're talking about uh window placements that provide visual interruption of the wall plane.

So even with the removal of the the art component, there still is um additional kind of regulatory standards or measures that staff can apply articulation um standards to a project.

But the decision on which of those, you know, which different mix of building materials, um the the wall the two feet or whatever, that never comes to city council.

Correct.

Yeah, it's a it's a decision that is made, an administrative decision at the staff level, whether or not the architectural features of the proposed building in a mixed-use non-residential for a mixed use non-residential use is appropriate or not.

Correct.

And I will say I will say in in with regards to the section specifically, is most development that we're seeing, even you know, uh kind of our our standard block uh type structure that you see for many of the mini uh storage facilities facilities that are internal uh uh units.

We're seeing um mixtures of facade materials or building articulation that far exceed what code even uh requires.

So they're already from a market perspective, they know to be marketable in the in the community, they need to provide those those benefits or our amenities to their users.

So they're already doing it in most cases.

Right.

And and those decisions are already being made at the administrative level, and I haven't seen anything go up with plain concrete walls that are just total eye sores because I would think that the people that we hire as our planning director or the people who make those decisions are professionals who have a better eye than somebody like me.

So thanks.

Council McDonaldson.

Thanks, uh, Madam President.

The reason you don't see those plane walls is because they are required to use those different materials.

They are required to have articulation.

What we're allowing, if we don't go with this amendment, is for them not to have articulation.

They simply put a little statue out in front.

Uh this amendment would prevent that.

I don't have a second.

Correct.

There is no second.

So that motion fails so the motion would fail for lack of a second.

So then we move back to the motion accepted in the second correct.

The main motion on the floor is now to approve the ordinance as proposed, unless someone else wants to make an amendment or something.

So I have a motion from Councilman Henjam and a second from Councilman Gold.

No other comments will vote.

And the motion passes on a non-to-zero vote.

Moving on to, we don't have a public hearing.

We have nothing added to the agenda.

So we're moving on to one hour of citizens discussion for items not on today's agenda per city council rules.

The citizens will have three minutes to share your comments.

I have a list that we will go through when your name is called.

Please come forward.

Please introduce yourself and please limit your topics that are irrelevant and germane to city business.

And limit them to three minutes.

I will now call the names on the list.

The first one up is Mr.

Charles Barber.

Good morning.

Good morning, Madam President.

My name is Charles Barber.

Let me back up.

Honorable President Crow Iverson, President Pro Tim Grizzly, City Council members and staff.

My name is Charles Barber.

I have lived here for many moons.

Listen with great interest today as I want to talk to teenagers about analytical geometry.

You may question my premise, but my mechanics are pristine.

This is a public notice to deprive big corporations or individuals from profiting about this dynamic earth condition.

The last 100 years magnetic north longitude has moved minus 133 degrees.999926.

The year latitude and longitude plane shown in the Z1 axis from 1930 to 2030 is minus 133 degrees.

The angular polar unit vector 1930 to 2030 has a change of 130 degree units.

This presentation, this presents a two-dimensional representation, a nephroid curve of Earth magnetic flux of our spherical globe.

We know this to be true because our directional compass always point to magnetic north.

This slide is one possible explanation for the exaggerated longitude values expanding the Taurus magnetic flux at some northern position encircling our earth.

Perhaps climate change is being caused by an unknown activity or force as you follow your nose.

This author has knocked gently upon the doors of five astrophysicists to no avail.

Thank you for your time.

Keep smiling if you please.

Mr.

Barber, we have a question from Councilman Rainey.

Thank you, Madam President.

And uh thank you for those comments.

Um I know oftentimes when it gets to the deep science of geomagnetic fields, uh, it can be sometimes boring for for a lot of folks, but uh I I appreciate your comments.

Uh so I don't have necessarily a question.

As a space operator uh and a satellite uh operator, I definitely appreciate it because what you're pointing out is as these fixed points in the medic field are moving, uh, it actually has a direct effect on space weather, and space weather has a direct effect on satellite operations.

So thank you for that, because as iron is moving, but then the Earth's out of core, it definitely has a correlation to the magnetic field.

So thank you for that science lesson.

Greatly appreciate it.

Yes, the ethereal concept of dynamics that we cannot see, feel, touch, or smell is somewhat elusive to a large number of people.

Jessica Lever.

Okay.

City counselors, my name is Jessica Leavers, and I'm a Rock Roman resident.

I want to thank each one of you for your service to Colorado Springs and for taking on a position that comes with what I can only assume are quite a few challenges.

In the past year, my neighborhood lost a beloved library.

This may sound like a small inconvenience to some, but this was the community hub for Northwest Colorado Springs.

I know that many of you did not support the closure of this library, and for that, I thank you.

Additionally, I know that some of you are still involved in the interview and nomination process to replace the vacancy on the Pikes Peak Library District Board of Trustees.

And I know that all of you will vote in the future to confirm a nominee.

Thank you for your grit in this process.

Thank you for digging into not only the qualifications of the candidates, but for finding out their character, their why, their reason for wanting to be on that board.

Because although it may seem like an insignificant appointment, for me, for my family, for the Rock Riman mountain shadows and peregrine communities, we are holding our breath and hoping for change.

I share your frustrations.

But I also want to see the right candidate appointed, one who will uphold the mission of our library system, which reads to cultivate spaces for belonging, personal growth, and strong communities.

Isn't that why we're all here?

To build strong communities.

Yes.

Unfortunately, time and again we have seen the PPLD Board of Trustees work in seeming opposition to their very own mission.

Since the decision to close the Rockerman library, public scrutiny of PPLD's business practices has been at an all-time high.

The numbers simply do not add up.

Not only are there questions regarding the financial ground upon which decisions are being made, but meetings are consistently being canceled.

Meetings that would give clarity to these questions from the larger community.

This highlights the lack of transparency with which this organization is operating.

And this leads me back to thank you.

Thank you for your persistence in this process.

Thank you for taking your time and not rushing to a conclusion that would continue to erode our libraries and the communities they serve.

Thank you for thoughtfully making this decision that could change the landscape of our community and our city for years to come.

Thank you for your compassion to this cause, for seeing why a library could be so important to an entire community.

Your dedication to and patience for this decision are so greatly appreciated.

Thank you.

Lawrence Clark Hello.

So you all know that I come here and I talk about duty, honor, integrity.

And it's just kind of funny because I'm not directing any of this towards any of you guys.

This is towards Natalie over there about what was spoken about at the Monday's meeting.

When you accepted the city auditor's job, did you agree that you would get your CPA?

That's a yes or no question.

I mean, your silence is deafening, but you know, you you most likely said yes because you wanted the job.

Now, you know, you realize that it's a little hard or it's inconvenient, or you know, you just don't see the fit for that.

Now, when you were a cosmetologist in Texas, did you get your cosmetology license?

Or did you not think of a need for that either?

When you worked for the MLB, did you have your c um CPA then?

No, you you you you did not.

You worked for multiple companies, multiple accounting, multiple industries.

Did you ever tell them that you didn't need to follow their rules?

Did you ever tell them that uh, you know, I don't like your rules.

Your rules don't apply to me.

I think I'm better than your rules.

I think that since yeah, you might have your MBA, you know, which is great, grand, awesome.

You know, but then there's certain requirements where you have to have a CPA.

You know, it's just kind of funny to me that you want to be an auditor, that you want to look at numbers, watch numbers, report numbers, do do all this without a CPA.

Like the example was can I just go practice law without a without passing the bar?

You know, can anyone do architecture and just draw blueprints and not be certified in anything of it?

You know, because there's kind of integrity to systems.

And when you want to break integrity because you don't feel uh because you feel like there's no need for it.

That kind of debases really any reasoning for anything.

I mean, when you could debase a license, a driver's license.

I mean, who needs a driver's license?

I mean, who who needs car insurance when I know I'm a good driver?

Should we not have car insurance?

Should we deem that uh, you know, we don't need to do that.

That's kind of outdated.

Yeah.

It's just sad.

It just really is sad because I'm here for honor and integrity.

I'm here to make sure that everyone's following the rules that are set by.

You know, and when those rules are not being focused on or they're being broken and they're being trashed on.

That's unacceptable.

Especially if I'm a city auditor or a city council member or anybody in a in a an elected office.

I don't know.

Uh listen, that's kind of fishy.

There's a lot of fishy things going on around here, but you know, that's for for another day.

Thank you very much.

Good morning.

My name's M.

Reese.

Uh, thanks for taking my comment.

I'm a little earlier than expected.

Um, so yes.

I I also do not have uh any union members with me today.

Um, so I look forward to when we do get the public comment uh time set so that I can be a little less lonely because you know that is above all else.

Um yeah.

So I wanted to talk about there are there are a lot of misconceptions, there are uh myths um around homelessness, and on an individual level that often uh roots in ignorance, roots in a disconnect from your neighbors on an individual level, often roots back to that that disconnecting experience.

And uh that can be mitigated and demystified and dispelled uh through one-on-one interaction, through storytelling.

Um that's a beautiful thing that has been a constant effort around service providers and otherwise.

Uh that said, not all misconceptions are innocent.

Not all misconceptions are rooted in ignorance.

When our city, when city officials say things like there are plenty of services for people to get out of homelessness, and there are always plenty of beds at SRM.

When our city officials say that our homeless response is fully uh set on data and is data-driven, and then uses data misleadingly.

That's not an innocent misconception.

I think that's something that we've got to address and continue to bring awareness of because our taxpayers, our voters, the public deserves to have the ability to confront you know their own innocent ignorance and not be stopped from that through non-innocent misconceptions.

The uh homeless union got to participate in initiative um to help out with the with the point in time count.

Um for those who don't know, the point in time count is a uh federal federally required data collection um in order to get housing and urban development fund.

And you know, the the burden of that goes on a nonprofit and volunteers to go out and and count people by foot.

Anyone who's who's doing that, that point in time count could tell you uh that it's going to be a gross misundercount, just also just logically, but also if we listen to people on the ground.

Um but we have had city officials use that number um as a definitive data point for how many folks we have in this community when it's not meant to be used that way.

So that's just one example of a way that uh bears very misleading and non-innocent misconception that needs to be addressed.

Thank you.

Thank you.

Next up we have Lee Brooks.

Thank you.

Hi.

Hi, my name is Lee Brooks, and I'm currently homeless, and thank you, Reese.

And um, but what I wanted to I need my eyeball, sorry.

What I wanted to speak on today was um implementing martial arts into our Colorado elementary, middle, and high schools curriculums, separate instructors, probably for uh autistic children because it may take a different way of communicating with autistic children, empowering these children with confidence.

Benefits to offering or implementing um martial arts to our schools would be there are there are approximately 856,000 children missing every year, according to the FBI organization of missing children.

It would give a child a way of escaping or blocking being taken for child enslavement and human trafficking.

Um, it would teach children respect for each other, it teaches them focus, concentration, confidence, and the power of a positive mental attitude and mental exercise.

There's something else that I wanted to discuss too, is homelessness.

Um I put some diagrams last two weeks, two weeks ago at the meeting, or it may have been four weeks ago.

Sorry.

I'm not sure when I put place those diagrams for the council to um look at of pallet homes and shipping container homes.

But in Denver in Atlanta, it has been done with temporary um shelters for homeless with pallet or shipping containers, have been transferred, it's transformed into small homes for dozens of previously unsheltered people who now call a former parking lot home.

Artificial turf is laid down across the asphalt.

There are even a dog park there.

So we just I just wanted to confirm that there were there's also churches that are donating in Castle Rock.

There was the article in Gazette that Castle Rock churches were offering their um RVs and um campers in the community where they had um reserved right to do that.

So it just would be so nice if the council could look at some temporary shelters that it has even been done in Denver.

Just wanted to say that.

Thank you.

Thank you.

Next up we have Gavin Rainey.

Thank you.

Look sure the green button is on, so we can hear you.

Thank you.

Okay.

Good morning, City Council.

My name is Gavin Rainey.

I'm a lifelong resident of this city and hope to be a lifelong community activist as my days go on.

I sit on a commission for the city, and I also serve as the secretary of my local youth chapter of my political party, although I don't speak for either of these bodies.

I am firmly opposed to the opening of such a detestable facility.

Not just because of the impact it would have on Colorado's economy, but because of the humanitarian concerns it poses.

Now I doubt any of us would take a cup, go to the bathroom, and take a swig of the water inside the stalls.

So why would we force anyone else to?

And why would we want to replicate those conditions here and be complicit in human rights abuses?

I know that the decision to open such a facility would be a federal decision, but if the majority conservative local government spoke out early and with volume, I believe it will lessen the chances of said facility being built.

I'm sure you would all agree it is your duty to maintain and better our community.

And the opening of said facility would do the exact opposite.

Don't get me wrong.

When they start using undocumented people's tax records, it was never about them not paying taxes.

When they start showing up at courthouses, it was never about immigrating the legal way.

And when they detain and deport children, it was never about protecting our citizens.

Thank you.

Carl Ripple.

Hello.

Good morning.

Good morning, City Council members.

My name is Carl Ripple.

I'm I'm uh a resident of Carlos Springs.

Uh I support the bus system, and I was just requiring uh when is the uh South Academy going to get done.

That was supposed to be a two-year um deal on fixed academy.

And uh I also brought up some time ago the uh mallard and fountain slash streets, they need to be repaved.

And uh I also suggest that maybe the South Academy or South uh Nevada would be repaid by cement because there's always a lot of uh semi trucks and stuff.

So I don't know what you guys think about that.

Councilman Donaldson.

Yeah, um thanks, Madam President.

Sir, if you will give your your questions to that gentleman standing right there, Sam Friedman.

Yeah, with uh with a like to uh get the direct uh uh uh response from you all.

Well, I what I'm gonna do is ask our city engineer and our roads uh supervisor when like when is South Academy going to be completed.

I don't know off the top of my head.

Uh what's the possibility of using concrete?

That's not something that city council can can tell you from the dais, like why we wouldn't have a lot of people.

Yes, that that by uh uh gales online uh Burger King is like uh roller coaster there, it's just terrible bad.

And then uh um uh fountain to uh um shelter, that's all bad rules too.

So well it looks like we may have uh someone who can speak to some of this.

So I'll look over there at Mr.

Friedman.

I think we have our council member Donaldson Gail Sturder is online and she can answer that.

Uh yes, thank you, Council uh Gail Student.

My apologies for not being able to be there in person.

Um to answer this gentleman's question.

The last segment of South Academy that's the city's responsibility between Fountain and Milton Proby Parkway is out for can uh bid for construction right now.

We anticipate uh them starting in the fourth quarter of this year, and that construction will last approximately two years.

Well, this is the second year.

Uh we started last year.

That's what I was wondering when is the second year is going to finish up here.

I would be happy to have um uh Sam Friedman give me my information.

I'd be happy to give you more details and have a further discussion if that's gonna be helpful to you because like we have not had construction, at least city construction going on for some time out there, but there are a lot of different things going on with the state and the county in that same general area, and I want to make sure that I'm completely understanding your question and be able to provide information on the project.

Okay, what about the other uh areas that uh it's critical and where the bus goes and stuff or like mallard and fountain that needs to be paved.

Some of these rules haven't been repaid for quite a while.

Yeah, I would again I'd be happy to get those specific names and look them up when they are are scheduled or if they're scheduled in the plan and be able to share that information with you.

Okay.

That's about it.

Thank you, Mr.

Um Ripple.

If you want to give Sam your direct comfort, okay, he will put you in touch with our city engineer Gill, and she will have more of the specifics in the weeds for you.

Thank you.

Thank you.

You're welcome.

And that concludes our citizens discussion that is now closed.

Um, and that finishes our council meeting for today, and we are adjourned.

Greetings, friends, Mary Emmy here, and thank you for tuning in to Springs TV in Colorado Springs Olympic City USA.

Stay connected with us on social media or visit Colorado Springs.gov for the latest city news and events.

Together, we are Colorado Springs.

I'm Michael Allen, fourth judicial district attorney.

I want to share information about how you can help reduce crime in our area.

If you know the location of a wanted individual, or if you have information about a crime, please contact Pikes Peak Area Crime Stoppers at 719-634 stop or Crimestop.net.

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Help keep our community safe for everyone.

When morning breaks over Memorial Park, the sky comes alive with color and the air fills with wonder.

Join us for the Colorado Springs Labor Day lift off August 30th to September 1st.

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Good morning.

We're gonna get started this Monday, July 21st, 2025, with our city council work session.

Will the clerk please call the role?

Councilmember Bailey.

Here council member Crow Iverson.

Here council member Donaldson.

Here council member Gold.

Here Councilmember Hendron present.

Councilmember Williams.

Here councilmember Lineweather here.

Councilmember Lineweather.

Here.

Councilmember Rainey.

Here.

Councilmember Risley.

Here.

Everybody's present.

Do we have any changes to the agenda this morning?

Seeing none.

Regular meeting comments.

Are there any changes to the regular meeting for tomorrow?

Review of previous minutes.

Will the clerk please read item 4A into the record?

City Council Works session meeting minutes, July 7, 2025.

So for the record, are there any changes to those minutes?

Seeing none.

We'll start this morning.

Oh Kevin.

Good morning.

Good morning, Kevin Walker, uh City Planning Director.

There was a request to postpone from tomorrow's meeting the MW retail BID review.

Um so the applicant has requested a two-week delay.

I think Commissioner or Councillor Donaldson agreed with that.

So we would like to um support that if you wanted to uh delay that for two weeks for from tomorrow's meeting.

And we'll do that tomorrow.

Yep, we'll do that in tomorrow's agenda.

But thank you for the heads up.

Moving on to 5A.

Will the clerk please read item 5A into the record?

Salvation Army Family Hope Center.

Good morning.

Good morning.

Major Steve Ball.

Yes.

Yeah, I'm Major Steve Ball with the Salvation Army.

I serve as the uh county coordinator for the work of the Army in El Paso County.

And I just want to say right off the bat, thank you for allowing us to come and speak to the whole council at one time.

We were trying to start a little tour around, and it was proving to be very uh slow at the moment.

So uh I just want to say uh good morning to all the guests as well.

I'm here with uh some representatives of our leadership team at the Salvation Army.

We've got Sandra Haley, who will speak for uh just a brief few minutes, and then we have Summer Tungseth, our director of social services, and our operations director, Jesse Thompson, and Dennis Clip is our finance manager.

And so again, thank you for allowing us to speak this morning.

We're facing a budget shortfall that has been growing over the past several years and now has reached a level that without additional resources will necessitate reductions in our services that we can provide, especially after these funding shortages shortages affect our family emergency shelter, which is kind of the key thing here.

Uh the Salvation Army delivers aid to individuals with more than nine and a half million dollars in services each year, and these services are available to all persons in need uh throughout the call Colorado Springs and the County.

Our services include transitional veterans housing with case management.

We have 24 apartments.

We also have 16 beds of low low barrier veterans housing.

We have all year-round child care in our after school and summer day camp programs for low-income families, and we have two family services offices, both in Colorado Springs and Fountain Valley with food bank uh, you know, services, distribution of the utility funds, and other emergency uh services.

In addition, we serve struggling families experiencing homelessness at the Family Hope Center.

Uh that's an emergency shelter, um, 31 rooms, and here here to speak about that today is our family hope center, one of our case managers, uh Sandra Haley, who's just gonna give us a brief perspective from and inside the operation over there.

Sandra, hello, and good morning, members of the council.

My name is Sandra Haley, and I am the lead case manager at the Salvation Army Family Hope Center.

Um do I I'm sorry, do I change the slides or yeah?

Okay, so um I'm gonna click through a couple of these slides with us and then I have a brief speech to share with you all.

Um in 2024, we served 277 families that included 434 adults and 528 children and provided over 4,000 referrals to local partnerships.

I have a question from Council Dumbledore.

Yeah, right out of the gate, Sandra.

When you say you serve 43 277 families, does that mean 277 families stayed at your facility?

Is that what that is?

Yes, that is what that means, yes, sir.

And on an average for about how long is that that they would day program.

Um, some of our families are staying that full 90 days.

Some of them are needing a little bit of an extension, which we can often advocate for, and then others are maybe just needing a place to rest their head as they're traveling through for a family emergency in another state.

Um typically the average I would say is the almost the full 90 days.

Yeah, and so without your facility, is there anywhere else in Colorado Springs that does something like this?

There is nothing else in the entire Pikes Peak region that does what we do at the Family Hope Center.

Okay, thank you.

Okay.

Um the annual totals, we had over 33,000 bed nights, and we served over 34,000 meals in from June 31st to July 1st, uh, June 31st of 2024 to July 1st of 2025.

Um we do have strong outcomes.

So the families we served, we discussed 277, and we have successfully housed 176 with a 64% success rate.

And in my um speech, I will talk about more recent successes since I joined the team in February as well.

Sorry.

There we go.

And then um the last slide that I'll be discussing is we we have worked very hard to establish really great strong community partnerships.

Um we currently have uh at this point it is over 58 community partnerships, and we host a resource fair for our families on a monthly basis where over 18 of those partners come and um help serve our families with the resources that they offer.

That can be things like the Pikes Peak Library, um DHS, El Paso County DHS comes to those to assist families applying with benefits.

They the managers and supervisors come and address issues that the families might be having in that moment, which is a huge blessing to us because often our families have no transportation and it can be quite difficult for them to get to the DHS office with all of their kiddos.

Um the lead case manager at the Family Hope Center, and we are the only low barrier shelter in the entire Pikes Peak region.

And when I when we say low barrier, what we mean is we have no application process, no wait list, no background check, and no drug testing.

It is a if a family has nowhere else to go, they can come to us and they are welcome with dignity and compassion, no questions asked.

We can shelter up to 31 families at a time, families who are facing the unimaginable.

These are hardworking parents, often fleeing domestic violence, job loss, medical emergencies, or housing discrimination.

Many arrive at our doors with nothing more than the clothes on their backs and the hope that someone, anyone will help them.

At the Family Hope Center, we offer more than shelter.

We offer a launch pad, a place where families can take a breath, regain their footing, and start to rebuild.

We help them obtain vital documents, find employment, secure transportation, access hygiene supplies, and much more.

In my role, I've built partnerships with agencies throughout Colorado Springs.

As a participant in the Family Solutions Collaborative, we work closely with transitional housing programs such as partners in housing, um, private landlords, property managers, El Paso County DHS, and many more to ensure our families have a real pathway forward.

These relationships are more than referrals, they are personal connections built to break through the barriers and make housing attainable for our families.

Since February, we've averaged a successful exit rate of 83%.

That means the majority of the families who come through our doors leave with safe and stable housing.

But our work goes deeper.

We collaborate with DHS to reignite reunite families whose only barrier to keeping their children was safe housing.

Imagine the relief of a parent finally able to hold their child again simply because they found refuge at FHC.

We've welcomed newborn babies fresh from the hospital and great grandparents raising their great grandchildren.

Our work truly spans generations.

When El Paso County CCAP program froze child care funding earlier this year, the Salvation Army stepped in and we offered full scholarships for every child at FHC to attend the Red Shield Summer Day Camp.

These hope kids, as we call them, have had a summer filled with joy, field trips to Skate City, Bricks and Minifigs, Museum, hikes, memories that they'll never forget.

Meanwhile, their parents have been able to find steady employment knowing their children are safe, loved, and thriving.

The Family Hope Center is not just a shelter, it's a lifeline, a community, and a family.

I want to close by sharing the words of one of our recent clients, a single father who came to us in crisis.

And he wrote, The overwhelming stress of losing a home is only amplified by the feelings of failure as a parent.

But the Salvation Army was there for us and had prepared a place for my son and I well before I ever imagined being in this situation.

He has thrived because of the heart and soul each staff member pours into this place.

The Salvation Army FHC isn't just a roof over our heads, it's a loving place, a lot like family.

That is what we do at the Family Hope Center.

We meet people in their darkest hour and we walk with them toward light, healing, and hope.

And with that, I will turn it over to Major Steve.

Thank you.

I have a question from Councilman Raimi.

Thank you, Madam President.

Thank you, Madam President, and good morning.

Thank you for being here.

In your presentation here, it says uh 58 community partners with 18 agencies, and in the uh booklet that you provided on the backside with financials.

Um there's a good breakdown of income.

Uh what a lot of these different partnerships, um, what percentage makes up, you know, whether they're coming in from donations or in kind.

Can you give me a perspective on that?

Yeah.

Uh the donations is uh, well, the total of in-kind and donations is about 61%.

The rest is grants and government funding, and then some uh small other, but most of it 61% is in kind and donations from the public.

And based on the numbers, the community partnerships are at least the 18 agencies, uh is some of that funding coming in from those agencies.

Um of it, I would say no.

Actually, I look at this.

This is more about the actual program uh agency uh partnerships that that was addressed there.

Okay, thank you.

Okay, thank you.

So I just want to conclude the presentation here uh with just a little bit of the dollars amounts, and let's see if I can get to the next one here.

Yes, okay.

So in 2024, the the shelter was a one and a half million dollar project.

Uh we had 30, 33,000 bed nights, and that that translates to 46 dollars uh per night.

And I want to just say to kind of echo what was said there, um the Family Hope Center is a uh a ministry of dignity.

The people that come in are treated with the utmost respect, and we provide a kind of a holistic thing is safe and clean lodging, meals, case management, showers and hygiene and laundry, as well as other things, transportation to some things and so forth.

So it's a beautiful program.

Um the next slide here.

Oops.

Wait a second, school.

Okay.

Sorry about that.

So this is kind of what got us into the situation a little bit.

Um you can see here that the government funding in 2020 actually was up.

Every there was a lot of resources coming towards uh these kind of services in in the in the county and and across the nation, actually, but it's steadily declined.

It was during that time that we really expanded our services.

Uh 2022, 23 is when we started the family shelter, but it was at the time when when these resources and supplemental resources were declining.

Uh to even uh this year, we're still waiting for the 150 that the city has planned to give us, and it's being delayed because of all the stuff we know is going on.

Um, our current need is between 800 and a million for the fiscal year starting October 1st.

And um the one grant that is uh still actually gonna contribute a little bit in the next year, um, and that is the transformational homelessness response grant from uh Department of Local Affairs.

This was a three-year grant that started in 24 and was supposed to provide funding through 26, and it is actually, but we've been so short on the funds we had to it it it got exhausted faster than than it should have.

So we only have a small portion remaining for the next year.

I just want to tell the council that our team is committed to providing the highest level of service to the community.

Uh the Salvation has served Colorado since 1889 for 136 years.

We're gonna figure this out, we're gonna move forward and continue the good services that we are uh giving.

Um and so that's important, and we want the city council to help us identify supplemental resources if possible.

That's what we're looking for.

We have a very short time window here, and if the resources can be identified and figured out, we can continue on at the levels we've been providing.

But if not, we're already making you know, plan A, B, and C to try to figure out how we can land.

Um I want you to know the Family Hope Center is one of our um, along with veteran housing and so forth, I and youth services is all important.

But the Family Hope Center, we're really trying to figure out how to maintain that service.

It's it's a it's a vital public safety uh work within the within the city and the county.

And so we're hoping that we can uh find some solutions together.

And I just want to say thank you for your time this morning.

And if there's any other questions, glad to try to answer them.

We have a question from Councilman Hingem.

Uh thank you, Madam President.

Hi, good morning.

Thank you so much for being here.

I really appreciate it.

And uh this is a sobering need that you're um uh uh presenting to us, and uh really appreciate the services you provide to our community and to these families.

Um I'm curious to know, first of all, just what would happen to these families if you are unable to meet this gap.

Well, um that's a hard one to answer because each situation is so unique, but um uh a lot of them would just be outside.

There's there are those folks living in cars.

There's those folks that are bouncing into homes and out of homes and stuff just to for a temporary stay because they made an acquaintance or something.

Um I don't know if I can definitively answer that, but it would be a lot more people moving around the city in unstable situations.

Yeah, and more families, more children and and intact families.

Yes.

Um not ideal.

Um have you ever received any funding from the county, El Paso County?

During as on the well, and the chart that I had showed previously that showed the hundreds of thousands that was on its decline.

Some of that money was uh county money for two three.

COVID money or the COVID money.

CD just the COVID money.

As far as I understand, yes.

Have you approached them?

Are you presenting to the county?

We're in we haven't presented to the county, no, not yet.

Um we're really getting started on trying to figure out how to do that.

So one recommendation I would have is how can we help you connect with the county commissioners because um that would be very helpful.

They would be an important body to be um, and I would assume would have a real vested interest in ensuring families are not um put out on the street.

Um and I'm just curious as to what other um avenues you you all have identified yourself.

Well, we're always uh looking for the increased donations from the from the community, private donations and individuals and so forth.

So we are tightening up that working a little sharper on those things.

Uh we have some relationships with uh some private um family foundations.

Uh we are going to be uh approaching different foundations within the community and asking to see what they might be able to help us with at this time.

What's happening with the Salvation Army nationally?

I'm assuming it's not just in Colorado Springs that the Salvation Army is having this challenge.

Well, I I don't think I could speak to the national situation uh, but I do know within our territory there's a a lot of evidence of of shortages of funding.

We're we're kind of in a mode of uh re regrouping and uh streamlining things and seeing how we can continue forward.

But as always, we are committed to maintaining good services.

Yeah.

Okay.

Well, and uh I just you've asked for ideas.

I mean, uh other one.

I'm I'm imagining you have gone to the churches in our community as well.

We are uh scheduled to meet with uh COS I love you and and and we will be making more contacts in the days ahead.

We have a new campaign we're getting ready to launch right at the first of August.

Yeah, thank you.

Well, um I will support you however I can and appreciate you being here and and bringing this to our attention.

It's very, very sobering and important, and yet we need to uh remain hopeful and and and um continue to make sure that that the need is addressed.

Thank you.

Thank you very much.

Councilman Donaldson.

Yeah, thanks, Madam President.

And uh Major Ball, uh I want to thank you too for uh presenting today.

It's better to hear from you and and for you to make your uh needs known than for us to be reading about this in the Gazette in six months that you have to close um the Family Hope Center or reduce it by 50 percent or 75 percent.

Um and and I did get the opportunity to meet with you, and one of the problems I think we discussed this is you still have to have that staff there in the facility, so reducing it doesn't really uh make a big impact on your costs.

Um so I think this is very important because what you do, there's no one else doing it.

And this is something that is at the top of what citizens want council and the city to address is homelessness.

We don't want to make the situation worse.

And I have some questions here, but I think I think Amy Cox is gonna speak for a few minutes and then I can ask my questions after that.

But I think it's imperative for the city to support the Salvation Army and what you're doing here.

Um and my reading of of the funding is in 2025, there's zero dollars from the general fund, which is the first time in six years that we've had and and actually it does that TBD to be determined.

There is money that's been uh earmarked for us as as has been the case over the years, but it's just kind of being held up is the way it I understand at the moment.

Yeah, but that's not from the general fund, that's from the CDB G grants, which is a pass-through from the federal and state, my understanding.

But we've zeroed out our contribution from the general fund.

But I'll I'll let her speak first.

Maybe there's uh something she would like to say about that.

But I think this is uh critical.

I I don't think the city should just you know cross our fingers and hope someone else comes through to save the day here.

I I think we need to realize the importance of this, and that's uh that's why I'm glad you're speaking to all of us and doing it early and not later on in the process.

When is it you need uh kind of a commitment uh to help fill that gap of 800 to a million?

You know, uh our budget process is down the line a few months, so maybe we're not as early as we should be, but uh but we have we have to have our budget final budget submitted by uh July 30 31st.

And uh there will be a period of time that maybe that if we have commitments in August or early September, we can make some adjustments, but that's what we're up against right now.

Okay, I'll I'll wait for uh Amy to speak and then I think we'll have a little more discussion.

Thank you.

Thank you.

Councilman Lineweber, and he's online.

Yes, I I just have a few questions.

Um in terms of the funding that I saw kind of going on, it it it kind of it showed the a reduction over time.

But is that actually what the city has contributed?

Because I think we've consistently funded.

Well, I don't know what that is.

I uh but my my thought is it's it's been a 150,000 dollars a year over the last several years.

Um, but I'm not sure.

So I I guess that's what I want to know.

I want to know what has the city reduced its funding to the Salvation Army, or has other entities and resources been reduced.

Yeah.

That's my question.

I I think the city has stayed the course with the 150 um fairly steadily there.

Um those numbers that were higher were COVID-related resources that just came, and they were came at a good time because there was a lot of uh increasing needs and so forth.

But as we could see, those things came and then they started disappearing.

So we're down back to the 150 with expanded services beyond what we really are able to sustain.

And and that's where you know, right now we're sitting with about a million dollars that we're trying to figure out in the short weeks we have left.

Yeah.

Well, I'm I'm anxious to hear from Amy also because she's really kind of a wizard in some of this stuff.

But I imagine there's some federal grants in that piece that you were unable to secure, and certainly that's an area where we could get involved in trying to petition some of our um federal representatives and um kind of find some solutions to some of these issues, and even at the state level.

Um, and so um that's what I'm kind of curious about it.

Also, is some of the grant programs that you know we we all know that the federal grant programs have are in disarray right at the moment.

And but some are coming through.

I mean, there are some that are, and I just didn't know like how many of those grant programs you were able to get or not get.

Um that that's what I'm curious about.

Well, the federal grant programs that we currently are still receiving would be our veterans housing uh program, which is an excellent program all on its own.

But uh for the shelter, those have we don't have those connections or those types of grants right now.

Yeah.

Okay.

Thank you.

Amy, I see you online.

Is there anything you want to add or answer any of Councilman Lineweber's questions?

You're on mute.

Thank you.

Uh Amy Cox, Chief Housing and Homelessness Response Officer.

Um, yeah, you know, first I want to say that um Salvation Army has been a long-term partner with the city of Colorado Springs going back very, very long.

Um more than a decade ago, they launched uh they tested, they tested a low barrier emergency winter shelter for us.

So we've had a long-term relationship with the uh salvation army.

The the funds we're looking at, um, we look we're looking at a 200,000 dollar contribution, and I'm just trying to determine where that comes from.

The uh we have a pot of money that's made up of we have general fund dollars, we also have federal pass-through dollars through the community development block grant program that councilman Donaldson um was was mentioning, and we're trying to figure out where that where the funding will come from.

Um recognizing that 150,000 was not sufficient, but that we did not have the initial request was for 650.

Uh, we we looked for another $50,000.

It's just a matter of time right now um to figure out which which source of funding that is.

We've been delayed in receiving our federal awards, um, which would be potentially be a fit.

Um, some of it depends on what the future looks like after October 1st and the and the operations.

But we are we're working closely with Major Ball and the Salvation Army to figure this out from our contribution.

It doesn't, it doesn't cover the gap that they're speaking to.

They're showing a gap of $800 to $800,000 to a million dollars.

You know, we're looking at $200,000.

So there's still a fairly significant gap in that math.

Councilman Lineweber.

Amy, could you Amy, um could you speak to how like currently the Salvation Army is just really a piece of the whole pie.

They certainly feed the they they they support the family component, but we have the rescue mission, and then we also have um the place.

Um what what is what what do you how much have you currently been giving to each of those?

It varies um based on sort of year and the need.

Uh it it's approximately we give about $350,000 to the Springs Rescue Mission.

We've given 100 to 150, I believe, to the place.

Again, 150 to the Salvation Army or more depending on what federal funds were available.

We also contribute to winter shelter.

So during those extreme weather situations, we have a little bit of funding that we've contributed to Hope Colorado Springs to help open winter shelter.

I mean, here's the bottom line.

We have a half million dollar contribution from the general fund and about 400,000 that's available through CDBG.

There's a small federal grant called the Emergency Solutions Grant that is very, very um has very specific uses.

So all told we have approximately a million dollars to distribute across a lot of different different organizations in the community.

Could you also speak?

Because I I I mean, we're we're hearing Salvation Army is struggling, but I've heard, and you I know you have that the rescue mission is also, and so is the place.

Um everyone is kind of tight on funds at the moment.

And so there really is a larger need.

Could you just speak to that in general?

Uh yeah, uh I think the Springs Rescue Mission, there was an article recently in the Gazette about the softening of their donations and and their uh cutting back their budget.

Um certainly you've heard directly from the Salvation Army.

The place is also reexamining how they deliver services to youth in our community.

Um I don't think there's a decision there yet, but yes, they are looking at this.

There have been cuts across the board.

Um, you know, in social services, we're hearing a lot more about food insecurity, for example.

Um, child care is a big one.

Um, so there is a lot of need right now in the community.

We've tended to invest in in shelter as sort of is part of, I like to call it as part of our public safety program, right?

Having safe places for people to be.

Years ago, I think in 2018, council approved that $500,000 so that we could provide enough beds so that um some of the enforcement there would be a place for people to be when um camps were being uh you know uh taken down and um and people offered other alternative alternatives to camping.

Um so yeah, it's uh our our funding hasn't changed significantly over time.

The general funds remain the same, and in fact, the federal grants have been reduced.

So that's that's where we sit.

Well, obviously, homelessness is a huge issue in our city, and um our citizens are definitely um sensitive to the issue as you are aware.

How can city council support you and help you address these issues?

Because you're really the point person that we want to work through and be on the same page with.

I mean, should we try to convene a general meeting that maybe all of council understands the larger scope better?

Or what would be some suggestions that you might have that would help us help you?

Thank you for that offer.

Um let's uh yeah, I'd be happy to convene something uh or come to one of your lunches and present on the work that we do and the funding that's available currently, some of the need we're hearing and the challenges in the community.

I think this would be a great um opportunity to coordinate certainly with the mayor's office and um and and make sure everybody's fully apprised of what's happening.

Thank you, Amy.

Councilman Rainey.

Thank you, Madam President.

Uh Amy, this question is uh for you uh and good morning to you.

Uh just for clarity, the grant money that's a pass through that goes to the Salvation Army.

Have we or have we not received that funding at this time?

We have not received that funding.

Excuse me.

We have not received that funding.

We've received the notice of allocation notice of allocation, which is how we do the math to submit the final plan to get the grant agreements.

Um, but those grant agreements have been delayed at the federal level.

Our HUD rep has notified us that the grant agreements are not available yet.

There's some discussion, of course, for fiscal year 2026 and some rescision um uh ideas that I think that they're waiting to see what is going to happen with that before they um issue those agreements, but they've not been we have no agreements without agreements.

We don't have funding.

Without funding, we can't make contributions.

So and based on those adjustments potentially, and knowing that they have they meaning uh Salvation Army currently has a budget deadline of 31 July, which is right around the corner.

Do you foresee any impacts to them submitting uh necessary paperwork for the budget?

Yeah, I what you know.

Some of this we need to just work with um the Salvation Army to determine what their next, you know, what their operations are gonna look like.

I know they have multiple scenarios.

Uh sitting down with Salvation Army and going through their scenarios.

We've talked, we've been in close contact up until now.

Um, but knowing that they have to deliver a budget for their next fiscal year by the end of the month, um, understanding what that will look like also sort of dictates which source of funding we use.

So there's a little bit of a complexity here.

We're moving a lot of um different shells, but it's we are committed to supporting the Salvation Army to the extent that we are able to support the Salvation Army at this time.

The uh, like I said, they've been a long-term partner, their family hope center.

I live next door to the Family Hope Center.

Um, they do a fantastic, a fantastic job there.

I've toured that site.

Um, their housing outcomes are really uh outstanding um and a model, I think, for how other uh shelter programs could operate.

So, yes, we absolutely want to support the Salvation Army.

Uh, it's just determining what the what they're understanding what they believe their future is gonna look like if they're gonna have to have reductions.

Um, there's just there's a number of factors we got to look into.

All right, thank you.

Deeply committed to it.

All right, thank you.

Councilman Hinjam.

Uh thank you, Ms.

Ms.

President.

Um I I want to thank you, Councilmember Lineweber and Rainey, for your your questions.

I think in terms of uh the federal funding that needs to come through.

I I think something that we could do is advocate with our um federal representatives, the the delegation of Colorado, to uh to advocate um at the national level that those funds come through.

But I think uh councilmember lineweber raises a good question, and Amy, uh you might be able to be the best one to help us as a council facilitate a conversation, which I think in some respects is what is government's role in addressing homelessness and providing services and responding to and prevention and all the things, and we know there's many, many, many aspects to it, and and you all are serving one very, very important population that's being impacted.

Um, that's really critical.

But this bigger question about what's our responsibility and how can we actually help as a um as a as a government body, what's our and and I think that's a conversation we we need to have.

Um, because I imagine there's some differing opinions, but nonetheless, what what do we align on and how can we kind of pull together in the service of something that as council member Donaldson said, um he's right.

People come to us and they expect us this is something people in the city care a great deal about, and uh we need to figure out what's our role in um in addressing the problem.

So thank you again for being here.

Really appreciate your services and uh bringing this to our attention.

Councilman Donaldson.

Yeah, thanks, madam president.

Uh major ball, uh, the 800,000 to a million dollar shortfall.

If you receive 200,000 from the city, does that decrease it to 600 to 800, or is that already factored in?

It's already factored in for next year, not the 200, 150 is factored in.

So we would be a part of it, but okay, small part, yeah.

And everything I believe Amy's talking about is in 2025, fiscal year 2025.

The 800 to million dollar shortfall, is that as we come to the end of 25 or is that for 26?

For us, it's October 1st.

We're October to September 30th.

So it's three months out here.

Yeah.

Okay, but and the and the year coming.

The shortfall of 800 to a million, is that for 25 or is that for 26?

It's both it's it's October 1st, 25 into September 30th of 26.

Okay.

For us, yes.

Okay.

And that is the funding uh that was allocated for that that you haven't received yet from that's that's money we're looking for that's not allocated.

Yeah that we're just short.

But that 150, which you haven't received through the city, that would go into that um annual budget.

So that's something Amy Cox and I we've talked around on this because uh the city, I think calendar year for your budget.

Um so it's kind of April to April, if I got that right, Amy can correct me on that for those gifts.

But for us, it's October 1st to September 30th.

So we have been serving this year and and kind of look at that 150 in the fiscal year that we're in, which ends at September 30th.

Okay.

And so another commitment for next year for us would be October too.

But we can, you know, it works as long as we're you know consistent in those resources.

What I notice on this um, it's a document which uh came from I believe it was from uh uh it is from Amy Cox is that every year from 2020 through 24, the city's general fund had contributed 200,000, 200,000, 200,000, 100,000 in 24, it was 150,000.

And in 25, it's zero.

And the two of those years, we had your organization had also received money through this community development block grant of 100,000 in 2020 and 250 in 2023.

But that's the only place that the city is funding the uh uh salvation army in 25.

And I just don't think that's good enough for us.

I think we have to find more money from the city in our budget to uh to fund this because it's too important.

That these are families we're talking about here, and I think we should have another 200,000 out of the general fund, which would be 25 percent of that gap you have.

And then I would call on our our uh county um colleagues to maybe get another 200,000, that would be 400, and then and then hopefully the uh private sector can make up the difference.

But there's one quick way to get to the additional eight hundred thousand, and you know, two hundred thousand for our our city budget is not a tremendous amount of money.

That's uh not a not uh uh undoable lift.

So you know, I would look over at the uh deputy chief of staff to please communicate this to uh to the mayor that I believe city council agrees this is critical for our city not to let this go under, and they they have a real gap, and they provide a service we need as a city, which is uh a homeless uh facility to get families, which I think are you know the most uh needy in a situation like that, uh adults with children.

Um, we have to do something.

We can't just kind of hope that they find the money somewhere.

Thank you.

Councilman Resley.

Thank you, madam president.

I just want to reiterate and maybe support some of the comments that you're hearing from said better.

Yep.

Um just want to reiterate and and maybe support some of the comments that you're hearing from my colleagues.

I you know, for one, I am not in the mode or interested in growing government, but this is uh a way of augmenting what we can do as a city, and I think it's doing it in a way that represents an investment because I I don't know the statistics, but I'm gonna guess that every dollar spent in prevention is worth pick a number of 500,000.

I mean, I'm looking at our deputy chief of staff.

There's a huge benefit in intervening early on and preventing this uh these issues from becoming sort of chronic.

And so uh for that reason I would certainly support uh the investment uh as I view it, an investment in your organization and in the programs that you offer.

So yeah, and I just appreciate all the questions and the comments and so forth.

And I I just want to uh emphasize that um it is our commitment not to close the family hope center.

Um we are looking at scenarios as was said, and and we're if anything, a worst case scenario would be maybe a reduction in the number of rooms available, which is not something we're really hoping we do.

I think there is, I think there we're we're digging in on it as well, but um, but I think there are some avenues that we can keep our doors open.

I mean, obviously that is our our commitment, but there's the broader spectrum as well in order to keep the shelter open.

This 800 to a million is is impacting uh the youth services and and the other things that we're doing in the community as well.

So I appreciate your time.

Thank you very much.

Thank you for coming this morning.

We appreciate it.

We appreciate your work.

Bless you.

Moving on to 5B, will the clerk please read ED item 5B into the record.

Careers and construction, Colorado.

So we'll have a presentation from Curz in the Construction this morning with Glenn Hard, the director of recruitment and retention.

And Renee Zinz, the CEO.

Good morning, thank you.

Um on behalf of Careers in Construction Colorado, more easily termed CICC.

Um, thank you very much for the opportunity to do a quick um update on kind of what we've been up to and also to provide a little bit of uh insight as to what we're all about and and how we go about it.

Um this program was hatched in 2014.

Um primarily uh as a function of the Collard Springs um housing and building association.

And so on behalf of the HBA and CICC, I again I want to thank you for the opportunity to chat and to give you an update.

Um this this program was was uh hatched with the idea of placing construction-based vocational education in high schools, um and it's been very successful, and I'll share some statistics statewide as well as here locally.

In 2015, the HBA um facilit uh developed the program to facilitate and fund vocational education in our local high schools, and it has grown far beyond just our local high schools.

In 2019, CICC became its own nonprofit, um, partnering with the associated general contractors who quickly moved um the program to the Denver metro area and began sponsoring schools in that area.

Um so what does it mean to sponsor schools?

I think real briefly, kind of our credo is to educate, empower, and employ these students, right?

So we we leverage industry partnerships with organizations like HBAs, uh Associated General Contracts and other committees of folks to provide opportunities for students that they may not have had um were it not for the efforts that we uh perform.

Um we educate by facilitating the program in local high schools.

With that, we provide kids the opportunity to earn industry recognized certifications that demonstrate that they are employable at an entry level even after one year, uh only one year of instruction.

Um we empower students by unifying our industry partners to support the program and the educational side and also um on the employment side.

And so we empower kids by not only helping them uh earn these industry recognized certifications, which really translates into knowledge and skills that are applicable on the job site and beyond.

Um, but we empower our uh our students by connecting them with industry partners for work-based learning kinds of experiences.

So we we like to say we like to bring the the industry into the classroom and the classroom out into the industry.

We bring industry partners into the classroom, they do uh guest speaking, they talk to students about their pathway, they talk to students about their their part of the industry.

Um we bring kids out on job site tours, right?

So we facilitate job site tours.

Um, and then for individual students, we provide them opportunities to do job shadows.

So we involve our industry partners in the educational process as well as our kind of our third leg of our program, um, the employment side.

So these students are uh provided the opportunity to learn about the depth and breadth of the construction industry.

They gain a whole bunch of knowledge and skills necessary to uh provide them the um opportunity to be employed again at an entry level.

Once they've acquired the knowledge and skills, because we've been facilitating and nurturing relationships with our industry partners along the way, involving them in the educational process, they're well aware of the uh talent that our high schools are producing uh utilizing our program.

So at the end of this journey for a high school student, whether it's uh well actually could be potentially you know midway through their um their experience in high school, they might be uh entering the this the summer before their senior year as an example.

We have these industry partners that are ready to receive those kids for internship opportunities, again, more job shadows, summertime employment, and and so on.

Um then at the end of the high school journey, um, the old paradigm of the educators, and I can speak to that as a former educator, patting students on their back, shaking their hands, and sending them onto their merry way isn't good enough.

And so we bring that uh full circle in.

We absolutely pat them on the back and shake their hand, and then we connect them to an industry partner who's ready to employ those students.

Um, I didn't even go through.

I've got all kinds of slides.

Sorry.

Um, so this are our brief history.

Um, and I'm really only gotten through this second slide, but our again, our credo is to educate, empower, and employ.

Um with the education, we partner with the home building institute.

Um, it's primarily uh residential construction based, but the skills kids learn are transferable into virtually any of the construction pathways.

Um, and again, we involve industry partners in the educational process.

Thank you.

Um we empower kids with those kinds of opportunities that I mentioned earlier with the ultimate outcome of getting those kids uh employed.

We talk about employment in a variety of ways, right?

Sometimes it's literally go directly into the workforce.

That is amazing.

There are a lot of students uh who are 14 or 15 years old that really don't understand where they're headed when they see themselves in opportunities like this, they see themselves in a guest speaker, they acquire the knowledge and skills to be employable.

You just change the pathway or the paradigm for that individual student.

Um we talk about employment as being going directly into the workforce, accessing apprenticeship programs uh in that kind of same vein, but also exploring two or four-year degree programs that are related to the construction industry as a whole.

Organizationally, we've grown quite a bit since 2015 when this program started in one high school in Colorado Springs with about 20 at-risk kids.

Um, and I'll show you uh, and you've probably seen it, but a map of where all of our schools are located.

Because we've grown so much, um, we've developed this what's called the chapter model.

Um so careers in construction Colorado as the 501c3 based here in Colorado Springs.

Um, we help other chapters around the state facilitate the program, i.e.

the AGC in Denver, uh Northern Colorado Home Builders, Summit County Home Builders, Western Colorado HBA, and so on.

So those chapters emulate the things that we provide in this community in their communities to meet the needs of their their kids and ultimately their employers.

Um those chapters support schools in their geographic area.

As you'll see on the map, there are a lot of schools that are located nowhere near a trade association.

We call those those schools satellite schools.

We support the satellite schools directly from the CICC C3 level, if you will, which is a challenge given the geographic challenges of the state of Colorado.

Cumulatively throughout the state, we're gonna open the doors with at least 91 high schools in the state of Colorado.

We have currently six of those trade associations called chapters.

Um we've had over 15,000 students enrolled in CICC throughout uh the years since inception in 2015.

Almost 10,000 certificates have been earned.

Those are the pre-apprentip certificate uh programs that I mentioned.

Almost 6,000 kids have earned their OSHA 10, and the number I'm most proud of, uh, over 2,000 students have gained employment through the efforts of careers in construction in Colorado statewide.

Locally, you see the schools that we're partnered with uh in the Pikes Peak region to include obviously Colorado Springs.

Statistically, 21 high schools in the region.

Seven of those schools are literally building homes in their parking lot, their modular homes, 1,200 square foot modular homes that are then placed on the market, and the proceeds from those sales go back to the program uh here locally.

Those students are earn are learning and earning um knowledge and skills that are directly applicable, probably as close as you can get to real world application right there on their school campus.

Um here locally, 1,332 students were enrolled in the program just last school year.

Um, hundredsy six local students employed in the construction industry.

All in large part because of the contributions of and the support of the city council, um, El Paso County, Pike Speak Regional Building Department.

Um I can speak to that real quickly, that $940,000 number is money that we receive locally through what's called the Building Futures Fund.

Some of you are probably aware.

Every time a building permit is pulled in the Pikes Peak Regional Building Department or within the uh contractor, the homeowner, whoever it is, has the opportunity to donate to CICC.

And those are the proceeds that we've received to date.

Glenn, we have a question from Councilman Rainey.

Thank you, Madam President.

Uh looking at the numbers of the students employed in the industry and then in a previous slide, some that have received the certifications.

Have you dug a little deeper into the numbers to see how many of those we are retaining here in Colorado Springs or in the Colorado area versus them getting certificates and leaving the state?

That is a really, really good uh question.

Um the difficulty we see, and I think if you think about the true success of our program, what are kids doing one, two, three, four years beyond high school, right?

Um so to answer your question directly, I don't think we have data to support um what you're asking for.

Um but what we're really working um diligently on now is not only tracking where kids land initially as a result of our efforts and the efforts uh around, but what are they doing one, two, three, four years out?

Again, the paradigm with high school kids when they graduate um is they go on their merry way and they they close that chapter of their book and they don't really access supports that were there uh while in high school.

We're working diligently to be not only support, but to collect the data to see where they are two, three, four years down the road.

But also if the student wants to make a change, we want to be seen as a resource long past high school.

So we're working really hard to keep connections, develop and keep connections with kids to be that support system long after.

Thank you.

That's that's an outstanding uh process that you have in place.

So thank you for that uh info.

So Renee is helping me to we we survey our survey our graduates uh and our students throughout.

Yeah, go ahead.

So we're partners on this.

Um Renee Zentz, Careers in Construction Colorado.

We don't have past a year, but we did, we were sponsored by Colorado Succeeds to use our model on and the model that is really most important is and Glenn will get into this is navigators and personal relationships.

So every school here is supported by a navigator that shows up in the schools three uh a minimum of six times a semester.

And so Carel Succeed sponsored us to do a survey of 315 graduates.

Granted, it hasn't been a year, it was six months out of last year's graduates, and the data came back.

We we did a quick survey, just a text.

Hey, what did you do in high school for construction?

10% responded.

We did two weeks later, we did, hey, you went to Joel Castin's class in Coronado, and what are you doing now?

Um another 12% responded.

But then our navigators reached out and texted and said, Hey Glenn, you were at Manitou for 40 years.

No, he was the principal of Mandatou High School.

Um, what are you doing?

And we had a 50 percent response.

So out of those three 300 students that were surveyed, we got 150, and one in three are in the industry.

84 percent are happier than in their job than 64 percent are the ones that are have a job but not in the industry.

So just we're we're working on it, and it's we're just we just don't have the years yet.

And actually, we just sent out the one-year survey this week, and now the same 315 graduates that we surveyed, um, we've had 75 respond already.

So we are keeping that connection, we're just building it.

So thank you for letting me jump in.

Uh recruitment retention at the state level, and I think we wasn't the um the data, just that as far as the years, we haven't had the years, we just have the six months to a year.

Thanks.

Um to piggyback on that, uh, and Renee briefly mentioned it, this the secret sauce, if you will, is the fact that we have these uh relationships with our industry industry partners, right, so that they're ready to employ and be involved in the process.

But on top of that, we have a very personal touch in that Renee mentioned our career navigators, they are staff members, and their job is to be in the schools, getting to know the kids, assisting the instructors as much as possible, um, while nurturing and learning about the relationship uh the industry partners so that we have like a very personalized placement process so we uh provide kids opportunities with the employer that makes the most sense.

The student has to show up, shake hands and and look the employer in the eye and ask for a job, but every student that uh desires a position or an opportunity, they are provided that.

And so getting that long term data is kind of the growth process for CICC as a whole.

Thank you.

Um, which actually covers the next slide, I think.

I can get it to go now.

Uh no, I went like through three.

Must be kind of slow.

Our goals um as a program statewide uh or to offer provide the program, facilitate the program in 100 high schools.

Um and you heard our numbers, we're really close to that.

Our goal and the goals were set forth by our board of directors as a nonprofit.

Um we are accountable to a board, five thousand students uh employed, or excuse me, five thousand students enrolled, 20% of those students be employed in the construction industry.

With that, we're ready for questions or additional questions.

I don't see the additional questions.

It looks like you've covered everybody's questions with questions.

I would like to invite Renee back up.

Uh for some some data I think you'll find interesting um and appreciative of this council and our local um help.

Thank you.

Thank you, council members.

Um, Renee Zance, Careers in Construction.

I think um Councilman Roland Rainey.

I think you'll be interested in our funding.

Our funding is 50% grants and individuals, 25% um government, and then 25% direct from the industry.

So I think that those in our our budget is about 2.2 million dollars this year.

So when we look at a per student cost is about um $700 per student.

So it's very uh very scalable, and that's one the model that is being um looked at nationally because we are um we're in and um going forward with a franchise for good model um to take nationwide because there's been a lot of interest for other states, and we do that for also for other industries.

Um the we're my friend behind me is as has contacted us and we're trying to work with them to find out how we can do this for the tourism department, manufacturing, etc.

So this model really is reputable um for all other we're we're not we're not ball hogs.

We are here to help support.

But it brings me to you guys.

Um we could not have done this during the COVID without the support that came from this council.

And it was a couple hundred thousand dollars at a time that absolutely was needed.

Um so thank you guys very much.

You've been great partners.

We're looking forward to working more with departments as far as our students, um, more engagement and CSU is also a huge partner in the employment um perspective as well.

So do you have any questions on that funding or anything like that?

Love to give you guys a tour in the fall.

Thank you.

Thank you.

I do have a question from Councilman Donaldson.

Yeah, and it's not a question, it's just uh, but thank you, Madam President.

It's just uh a recognition that I think what you're doing is is great, and uh it's really important, and I think it brings a lot of um hope and uh a bright future to a lot of young uh high school students.

Um, you know, when I was in uh when I was a kid, I grew up partly in Germany and in Europe.

I think they have programs like this built right into the school systems so that everybody isn't hammered in well to use a phrase there, hammered into a one size fits all, go get a bachelor's degree and try your best.

And uh so I think this is this is fantastic.

It's bringing back my favorite class in uh in school with shop, and it's bringing back um something that uh is gonna help our country, right?

It's gonna it's gonna make our nation stronger.

So thank you very much for what you're doing.

Like Michael Rose says we're not gonna AI this one.

We're not gonna AI this this industry.

Um I do wanna I do I would be remiss in not again.

Our biggest partner is the HBA, Marla Novak with as far as the the executive officer with HBA and this transition, as you all know, has been fabulous because of the partnership and the friendship.

So very proud.

And then I also have other team, Marlo Zan Asher is our director statewide.

She's a wide field grad.

And um, I just want to let you guys and then Gillian is the newest person with HBA, which she's also a partner because we all have to work together.

So thank you guys.

I have a question from Councilman Lineweber online.

Oh, great.

Thank you.

Um so I I have a couple of questions.

I I have my hand up and Lynn that just didn't see it.

Our technology isn't always that great.

Um can you explain to me like what are the requirements for the students?

I mean, obviously they have to be like enrolled in a high school.

Is that correct?

So the beautiful thing is it's a partnership with education, right?

We decided that, hey, as a taxpayer, what are taxpayers paying for?

They're paying for the building and they're paying for an instructor.

So then we decided, well, what should the industry be paying for?

And the industry pays for the curriculum, we pay for the certifications.

We give our teachers a teacher stipend because they're our coach.

We say, hey, you know what, we need to ask more from you.

We're gonna survey these kids, we're gonna actually bring people into the classroom.

So that is, and then the so the prerequisite is that the schools allow that to happen to come in and make a commitment to teach our our curriculum, which is department of human department of labor um certifications.

Our core value is no barriers, so a school cannot put a barrier up to have our class.

We had one school that they had 120 students, and they decided that you know what, we're gonna co-enroll because there's money in there, and we're gonna they have to have a high um level for their their uh math scores have to be a certain level before they can get into the careers and construction class.

Well, that class went from 120 kids to 17, and we pulled out.

I'm glad to say we're back in four years later, but that is really a core value that there are no barriers to be in this classroom because we want everyone to experience and gain the skills, not only for a career, but when we're talking about um education and and empowering the 80% that don't go into the classroom into the construction have been empowered and they've gotten skills and they have confidence levels, and all our stats show that their senior year, their confidence goes from on a one to four scale, starts about average of 1.6, is at 3.8 when they're graduating that class.

So it's it's about all of them.

Does that help?

So yeah, it it it it does.

I just wanted to kind of help in my mind kind of clarify this because I know that you um I mean, we have a significant population of homeless people that have dropped out of high school and stuff like that.

And so one of the issues that is the obvious is they don't have a house.

But the other issue is that they don't have a job, and and for that point, you know, that that really gets the heart of meaning and purpose in life is to really.

I think this it's a perfect dovetail to the previous to the previous uh presentations.

That's where you're going.

I can see that.

Thank you.

Yeah, that no, that's exactly it.

Now I know that you're working with an organization called Project uh Diaconia.

Yes.

And um, and so um, and and I think that's I should be told to the rest of the council that you guys are partnering with this organization that finds homeless youth and and basically says, hey, let why don't you come into this certification program and training, they're partnering with you to bring some homeless people into uh a life a life that has purpose and meaning and a job, um, which obviously leads to housing, right?

So it's it's go ahead.

We fund them, we fund them as we do any school because they are have taken on the responsibility to teach.

And um Eric Hunter, if you don't know him, you should get to know that gentleman.

He is an amazing leader in our community.

Um brings tears in my eyes every time I think about his story and and his journey and how he's helping.

And he is so committed to helping, very difficult to serve with wraparound services, and we're there for him.

Any chance we can be, we are not instructors, we are not teachers.

That's not what this industry does.

All we can we want to support the system that already exists.

So, and then help those help the teachers, the the education system, and then our students.

I'll add they also work with justice involved youth.

So you can even so helping with the recidivism and getting them on a right track.

I just want to do the Lord's work.

Amen.

They do the Lord's work.

So all right.

That was my point was really to expand to understand that this is limited to high schools, except for your partnering with other organizations to really reach it out to some other groups.

And if an organization wants to commit to our program and and then the navigator program and then the curriculum that we're that is to be taught, like Eric, I mean like Cliff is doing.

Um beyond just the systems, the community colleges.

We're here to be a partner, right?

We're here to unite the industry, and then we are and we're agnostic to where these students go, we just want to help them find their way.

We have another question from Councilman Hinjam.

Thank you, Madam President.

Good morning, Renee.

Um, glad you're here.

Hi, Marla.

Folks, you glad you guys are here.

I just want to affirm actually for my fellow new fellow council members that going on the tour is really worth the time.

Um, I really enjoyed it, learned a lot, and and very much appreciate you know, uh concur with everything that's been said.

Um, and and to that point, you said something interesting in terms of um uh potentially collaborating with uh you you looked back to Doug Price and the tourism industry.

Is that um are you all considering expanding beyond construction as a way to facilitate learning opportunities?

No, okay.

We are we are here to facilitate with our friends, right?

I mean, the chamber and with um with uh Carlos and we we have our lane.

I asked because I I think the concept and what you're doing in this particular industry is fabulous, and um just to bring that awareness to many industries, and I think our educational system is in the process of really transforming to the current needs.

You know, the education system of the last 150, 200 years isn't necessarily working well and providing us the workforce we need.

So I I did want to make sure you knew if you didn't about um another program, the Colorado Springs uh School of Technology, which is a school of innovation that District 11 is sponsoring.

Um, the president of that board is our ch is uh CEO of our chamber of commerce, and they are focusing on um aerospace cybersecurity leadership and entrepreneurship in high school.

They're starting with yeah, uh it would be love to introduce you to their there, we've been at the team.

You know them, okay.

We yeah, thank you.

That's the way we have to think though, right?

And but the industry has to embrace this.

Uh our construction can't go to tourism and say, hey, this is how you do it, right?

Tourism has to go to tourism.

Exactly.

Um has to go to cyber, right?

Just the model is proven.

Exactly.

So just affirming that.

Again, the the relevancy of associations.

It's where everybody comes to the table.

They are their competitors that come to the table for level playing fields.

And if you want me to get on my HBA soapbox about the importance of the housing and building association, I could do that for another 20 minutes.

So that's an important part of the table figuring out how to solve problems.

Absolutely.

And that's a critical part of the broader conversation around homelessness too.

But thank you, Renee, very much appreciate it.

Reales.

That's it.

Thank you.

Thank you.

Moving on to item 5C.

Will the clerk please read item 5C into the record?

Visit COS presentation on resident sentiment survey and destination master plan.

Good morning, Mr.

Price.

Good morning, City Council's.

Uh, Doug Price, president and CEO of Visit COS.

And uh, it was terrific to be on the agenda after careers in construction.

And uh we're we're just looking at that whole model and looking at some of the similarities of the tourism and hospitality industry as it relates to careers and construction, and we applaud what they have accomplished, and uh we're gonna see how we can possibly work together on them as well.

You have uh two handouts that uh Michael has passed out to you.

One is a copy of our destination master plan, and another is a trifold called tourism pays, and we'll we be referring to those in just a few minutes.

I want to uh introduce um our board chair, Michelle Telarico, who is here, and our city council board representative David Leinweber, who is online, and we've got several staff that are here in the room and several board members that are online as well.

And uh briefly before I hand it over to Amy Long this morning.

I just want to give as it relates to background.

Let's see here.

The uh back in 2018, we created the destination master plan for the Pikes Peak region, and our goal uh we have modified and looked at that plan over those 10 years, and we have identified initiatives to help guide our strategy for a healthy visitor economy in the region through the remainder of the final three years of this destination master plan and what we're going to walk you through briefly this morning is the three year strategic roadmap for the years 2025 through 2028.

And what we're going to walk you through briefly this morning is the three-year strategic roadmap for the years 2025 through 2028.

And I'm going to begin by introducing our chief development officer, Amy Long Button.

Good morning, Amy Long visit Colorado Springs.

So I wanted to let you know how this plan was developed.

We hired Kathy Ritter of Better Destinations to guide our project, and we created a 12-person working group made up of board members and community leaders who represent the companies that are listed there on the slide.

The group thoroughly reviewed, analyzed, and rated the 31 initiatives that were in the original destination master plan.

And through discussion, surveys, and analysis, we identified three imperatives and our high priority projects.

What we really discovered is that there is room to grow.

We have not hit the diminishing returns of tourism promotion.

There's especially excess capacity in the off season, which we identify as November through March.

We need to cover more of our markets.

And one thing that's important to remember is that more money from tourism, it not only funds the LART tax, but it also heavily funds the general sales tax fund.

So over 55% of that fund comes from non-residents.

So the three imperatives that came up through all of this process is that we want to secure additional promotional funding for Visit Colorado Springs so that we can build year-round visitation and increase length of stay.

Imperative number two grow overnight visitation in the off season.

That creates a more balanced and sustainable visitor economy, and increase the average length of stay.

We did go up by half a day between 2023 and 2024, but we would love to see people staying for four and five and six days rather than uh three or under.

So the collaboration, however, is key.

As we know, there are five now identified as tourism sector entities in addition to visit COS.

There's the Cultural Office, Chamber and EDC, Sports Corps, and Parks.

Those other entities need to lead in their area of expertise.

We realize that.

And by really studying the initiatives and deciding where we lead versus where others lead, it clarifies where it makes the most sense for visit COS to support and advocate, thus preserving our resources to lead the initiatives where we've identified that we should do so.

And we're also committed to continuous collaboration and communication among the TSEs, because we need to ensure a streamlined and united approach, a synergy and complementary coordination of effort rather than duplication of effort.

So where we are going to lead is in eight different areas.

The first is the funding.

We want to lead the development of a shared strategy to increase LART.

And we hope to have that on the ballot before too long.

That'll be a collaboration throughout the community and with the mayor and city council.

We want to really hone in on year-round and iconic adventures, building our brand on the region's strongest attributes.

As I've mentioned, we want to grow off-peak visitation, and we want to create a winter spring task force to create a shared strategy to make that happen.

And very important is stewardship, advancing a destination stewardship plan to ensure the long-term viability of tourism and protection of our natural assets.

Number five is activity packaging.

We want to collaborate with our partners to develop experiential packaging for targeting certain segments of travelers, really making it easy for them to make the decision to come here.

CTO collaboration is also very important, and we're really homing in on the Hosmer Visitor Center and helping that be named an official Colorado Welcome Center.

Centers of Excellence is a great way that we're keying off of what the chamber and EDC are doing by going after meetings and conventions that align with their target sectors, those seven target sectors that they have.

And coordinated planning, we do want to take the lead in seeking out ways to drive tourism through regional initiatives with the other TSEs as well as other community organizations.

Amy, I have a question from Councilman Donaldson?

Yes.

Yep.

Thanks, Madam President.

And Amy CTO, is that Colorado Travel Office?

Colorado Tourism Office.

Tourism office.

Would there be a financial incentive if the Hosmer Visitor Center was named a Colorado Welcome Center?

Would we get funding or something like that from the State?

I think it's more indirect support and that we get a lot of promotion that would make it easier for people to find that visitor center, and then that increases the likelihood they would stay in Colorado Springs rather than driving through.

Highway signage.

Highway signage as well, as well as the different promotions they do online.

Okay, and is that significant?

Do they do a lot of promotions for uh these visitor centers?

The state does?

Yes, they do.

Okay.

Okay, thanks.

So we also identified the top areas where we will come on.

I don't know how to get to it.

Someone help me get to the next slide.

It's not going.

So the areas where the Colorado where Visit Colorado Springs will support, and that's another entity.

It doesn't make sense for us to take the lead, but it makes sense for us to be involved, supporting them and advocating for them.

And they are increased air service, signature events, especially in the off season, driving overnight stays, arts and culture.

That's a great way to offer experiential packages, supporting parks, trails, and roadways that helps connect visitors to our iconic outdoor experiences, and sports and entertainment.

We really want to support the creation of new venues, which makes us more competitive for these different different events.

And lastly, we obviously have to measure our success, and we will do that by showing growth in LART revenues, growth in local sales tax revenue, and growth in overnight visitors.

And again, we want most of that to that growth to occur November through March to even out the economy.

And now Doug Price will discuss some recent research we have procured as well as the 2024 resident sentiment survey and focus groups that visit COS conducted.

Thank you, Amy.

Again, Doug Price, President CEO of Visit Colorado Springs.

We did uh in the summer of 2024, we talked to 400 likely voters and uh doing uh what we call a residence sentiment survey, and this was done by signal researchers.

Uh 60 percent of residents agreed the positive impacts of tourism outweigh the negatives.

Only 17 percent disagreed with that.

78 percent of the respondents saw increased tourism as a way of enhancing economic opportunity.

Sixty-five percent of respondents showed support for visitors to pay a tourism tax that adequately compensates for the impact they create on our infrastructure and our outdoor recreation areas.

Eighty percent of those respondents support the idea that the tourism industry should educate visitors on how to be responsible and respectful travelers.

After we got these results of these 400, uh, we then followed up and did four focus groups to go a little bit deeper on the key findings from the survey.

Uh Kyle Blakely from Albant Strategies did this uh these focus groups for us.

We had 34 total participants uh who were all again likely voters.

And when asked the question uh would they support a LART increase once we explained to them what LART was?

Um, nine said no, and eight were undecided.

When we more or less framed it as likely to vote yes, three-quarters said yes when they heard the two percent of lodging tax is one of the lowest in the United States, and 60 percent said yes when they heard comparable cities had tourist tax set somewhere between the five and six percent levels.

The one message that resonated the most with the three that we tested with the group was that tourism drives Colorado Springs forward.

That message, 31 of 33 said it was the most persuasive, and it was driven by those two eye-opening stats on how 2% ranked nationally and how low it compared to comparable cities.

So this resident sentiment survey uh that we did uh in the uh summer and fall of 2024 really has driven what we've been working on as it relates to not only our master plan, but as it relates to looking at a LART increase for the ballot in 2025 or 2026, excuse me.

Didn't want to jump one year ahead.

Um maybe before I go on to the next slide, there might, I don't know if there's any questions that we're gonna do.

I have a question from Councilman Hingemps.

I'll stop right there.

Hey, good morning, Doug.

Thank you for being here.

It's always important to uh bring our tourism into on into the chambers here.

So when you all were doing this survey, um I think it overlapped with the time that the LART committee was working with Kathy Ritter.

Is that true?

Yeah, I think that's that's right.

This was summer and fall, yeah, of yes.

Yeah, did you coordinate this survey at all with the city?

Did we coordinate it with the city?

I think the city knew that we were doing it, but what really drove it for us, council member, was that we got a grant from the state of Colorado for 40,000 to do this study.

And what we really knew was that bigger than LART, we really wanted to find out how residents felt about tourism in general.

Because you know, globally you hear uh stories about over tourism, and and one of the things that we know here in Colorado Springs about our parks and arc trails and open spaces is they've actually coined the phrase that we are super users.

And so we know that we share as residents, we share our our parks and trails and open spaces with visitors, and so we really wanted to get a sense of how the people look at tourism as it relates to their quality of life.

So for us, it was not so much that we were doing it in tandem or in conjunction with the city, it was bigger than that for us.

Yeah, well, I very important questions.

Absolutely support the investigation and the need to know and uh and exploring uh a strategy for how we address a very important set of revenue for the city of Colorado Springs.

So thank you for the for doing that.

I I would um I would hope, because I think a concern I have, um, we had been talking about going to the voters in November of 26th.

I I don't think we're ready to do that.

It's become pretty evident that we are not um in a place the city is uh uh we've had this conversation at LARC committee.

I'm not sure that we're ready for that, but we we need to get ready, and I think the city needs to be really collaborating.

Um, the LARC committee, the administration, um visit COS, all the partners to um really fund and prepare for a potential um increase in going to the voters.

And so this is great information.

Thank you for bringing it.

And I honestly have a little bit of concern about I'm not sure that we're collaborating well on this.

Um, and so I'm gonna look to our deputy chief of staff who's here.

I know the chief of staff has been the primary um key person working with LART on this, but um I would like to request that we really sit down and have a meeting and talk with visit COS about the findings that you've had uh work with the industry and and if if there is a desire to go for a LART increase, and I think I've been one of the most vocal on let's get going on it.

But I also um in learning a lot from the president um who has done a lot of work in these kinds of tax initiatives that were were simply not ready to do it as soon as we had um been planning on over this last year and a half.

So I would really just like to lock arms and see if we can't really collaborate carefully on this to go.

I yeah, and I and I respect that, and that's one of the reasons why I'm here and in the back of the destination master plan, Kathy Ritter was able to put into the LART strategy uh roadmap that she had put in.

She included resident sentiment survey that we were filling uh at the at the same time.

And uh Jamie Fabos and I did meet about a week and a half ago in her office where we did go through these results, we did talk about a timeline, and uh uh which is why I'm here.

So I'm I'm hoping that I realize it's not our decision to make, but it's our our decision and uh opportunity to uh provide data that can help the process.

Absolutely, and and we all have a responsibility to keep each other informed and so we're gonna be able to do that.

You know, and the other thing that I would just that's as a reminder is that we tend to get really focused on the 10 million dollars that's generated from the lodging tax.

But we have to remember uh what Amy mentioned earlier about the the nearly 25 million visitors that come to this city, uh not all of which spend the night, but that contribute greatly to our tax base.

And at a time when we need it, uh, you know, just just think about the last month between the Pikes Peak Hill Climb, the uh U.S.

Senior Open, the Olympic and Paralympic Hall of Fame Festival, uh, the Pikes Peak or Bust Rodeo, and this week the Department of Defense Wounded Warriors that are here.

We are welcoming visitors internationally as well as domestically that are absolutely making an impact on this city and the taxes that we collect.

I know I cannot wait to see the June 25 results because in June of 2018, the U.S.

Senior Open that particular week that was our highest month of city tax collections for the year.

Absolutely.

You took the words right out of my mouth.

Can't wait to see those June tax revenues because the last report looks pretty bad.

Yep.

And uh we need those revenues very, very much and appreciate your support and helping bring them in.

Thank you, Doug.

Doug, I have another question from Councilman Lineweber who's online.

Okay.

Hey, um, I just have to reiterate that I I don't feel like we've come to the voters soon enough because we're just skittish about a tax initiative.

I if this is explained well that this is a visitor's tax, that visitors are getting a free ride.

I mean, literally, they are getting a free ride.

Garden of the gods, no fees, guard of the gods, one of the I mean, it's it's like second largest park in the country that's visited, and it's free.

And so visitors are getting a free ride.

We need to be going to our voter, voting going to our citizens and explaining clearly to them, which you're doing a great job here, Doug.

This is great leadership right here.

I love this.

And um, because I believe the way we're gonna get out of the financial crisis that we're in is not by cutting government, it's by finding better resources and better revenue creation and tourism is at the heart of it.

This is this is the path out for us is to really grow and develop tourism.

I can't wait until the Air Force Academy um uh visitor center is open.

Um I think that's gonna be a generator also.

So um anyway, I'm I'm really optimistic about all this.

And um, I think the sooner we can get voters to understand that visitors need to be paying their fair share, and we and we need to be using that money to draw more tourists and to get them put in the right places, not all in one area, you know, or you know, how we can't like there's some places like Garden of the Gods, I don't know how many more people can actually fit, you know.

So we have to we have to come up with these strategic plans, and I think this is just an excellent um uh I just really like all this.

And I just wanted to kind of counter the idea that we need to wait for this.

We don't need to wait.

We need it now.

We need the revenue now.

We need to get going on this sooner than later.

And have a question from Councilman Um Williams, who's also online.

Yes.

Good morning.

I just wanted to echo real quick what Councilman Lineweber just said.

He's absolutely right.

We're not gonna cut our way out of this.

We need to grow our way out of this.

And I think that's the mindset and the mentality that we need to have, um, not only with this, but with every single sector of what makes our economy what it is.

So thank you for saying that.

And I'm 100% behind that.

Um we're gonna work every day to uh to really change the the way that we look at this and the lens that we're having these conversations through because we've we've got to expand our economy.

We can't simply cut until there's nothing left to cut.

So thanks.

Okay, thank you.

The uh the next uh slide is uh the Longwoods study uh 2024 and the the little trifold that you have on tourism pays, there are some key points in here that you'll see up here on the slide.

This is obviously just a small part of the big numbers.

But in 2024, uh 25.5 million visitors brought in 3.1 billion dollars to the region.

Visitation increased 2.7% in spending by 5.7%, indicating that our efforts to bring more economic impact through increasing length of stay rather than just bringing more visitors is is effective because what you'll see, and Amy touched on this earlier, the length of stay in 2024 increased from 2.2 nights to 2.7 nights throughout the Pikes Peak region.

That's half a day.

So we're we're getting there.

The longer you stay, the more that you spend.

And the percentage of visitation among the seasons, you can see the spring is at 26%, the summer is 30%, fall is 24%, and the winter is at 20%.

So we continue to kind of flatten that visitation curve, uh, which is which is great for all of us for for small businesses, for employers uh who want to be able to keep employees longer than just summer help.

So this Longwoods report was was very affirming for us that directionally we are going uh we're going in the right direction.

And before I go ahead, I'll stop there and see if anybody has any questions about the Longwoods data.

I don't see any.

Thank you.

So here are some things that are already in action.

You've heard it mentioned this morning a couple times.

Uh uh the Hosmer Visitor Center uh is tentatively scheduled to open in Q2 of 2026.

And that particular welcome center is going to be for those who will remember, uh it's part of the City for Champions project that the state has uh contributed tax incentive financing towards and uh will be a spot for us to uh be able to not only be able to have people stop in and see uh the amazing Air Force Academy and the history thereof, but also a chance to get information on all the things there are to do in the Pikes Peak region and not just go flying by uh and and you know, Councilman Donaldson, your question was a great one about what will the state provide.

I've always said that as you're coming south on I-25, you you're next to the academy, you don't even know there's signage there for it.

There will be signs on I-25, plus that iconic building directing people to come in and and get information on our on our region and all the things there are to do.

Uh community initiatives.

Uh oh, you did I let's see.

You know what I did?

Oh, I'm sorry, I started talking.

Uh I I turned my paper the wrong way.

Um, let's start with the locals corner.

As a result of the resident sentiment survey, visit COS uh has a page on our website that encourages and gives offers to buy-in from locals, just for locals.

So that's already in the move.

Uh winter leisure campaign.

You heard Amy mention that we're gonna be doing our first ever winter campaign to showcase our mild sunny winters and enjoyable snowy experiences.

Uh just last week we launched our Pikes Peak Neighborhoods project again from a CTO grant that uh helped fund this project, which showcases 25 communities and neighborhoods all throughout the Pikes Peak region.

So many times you hear people say, um, I want to see it like a local.

And so for our neighborhoods, what we have some really great rich experiences.

We're gonna make it easier for for visitors to be able to find out what's going on in these neighborhoods, but also uh we think our quality of life for our locals will there's gonna be a lot of pride in that, and we're hoping that it will show people there are more things to do that will require require longer stays and spreading out.

And Doug, I have a question from Councilman Hitchin.

From actually just uh a comment and an appreciation for for that getting that grant and that project.

I think it's a really fantastic one because I think that it does lift up the entire city and the different um neighborhoods that are very proud of of what they offer.

And and so I just really appreciate that.

Well, thank you.

And Alexia's right here.

She and her team have been putting that together and job well done.

Yeah, thank you.

Um and our board volunteers, our visits U.S.

board members are volunteering to participate in these various work groups uh around the strategic roadmap initiative.

I have mentioned the State Welcome Center uh community initiatives partnering with the Chamber EDC on source COS, what around regional storytelling and working with downtown partnership on the Clean and Safe Program is something that we are already contributing to.

The Pikes Peak Communications Group brings together regional PR professionals quarterly to talk about campaigns and outreach, and then finally the Pikes Peak Destination Stewardship Group brings together entities around the region quarterly to align on stewardships and messaging.

And then finally the Pikes Peak Destination Stewardship Group brings together entities around the region quarterly to align on stewardshipes and messaging.

And Doug, I have another question from Councilman Lineweber online.

Yes.

Hey Doug.

You know, in the Longwood study, one of the things that kind of highlighted was one of the, you know.

Well, of course, I'll push that a lot of people come here for outdoor recreation.

But but a big thing that they come here for is friends and family.

And um I really think I really love this idea of this community initiative, and I want to know how you work this in because the more our citizens know how to be good hosts, possibly the longer the stay will be.

Like, hey, Aunt Jim and Ima, you know, hey, you're coming.

While you're here, I've got some ideas of where you can go and do, right?

I mean, in a sense, we have to educate our citizens on how to how to be ambassadors for us, right?

Is that what some of this community initiative might be doing?

It is.

And it also builds on the amount of civic pride that we know is out there.

People do take great pride in living in Olympic City USA.

And we we do take it as our responsibility to to use your term to make ambassadors out of those that invite their friends and family to come.

And we want to make it easier for them to know all the things there are to do.

So, yes, that that's exactly what it builds on.

Thank you.

Yes.

So check on councilwoman Williams.

Yes.

I can't see their hands, so I just want to make sure she's finished with her questions.

I am hopefully my hand is down, but thanks for checking.

Okay, thank you.

Okay, go ahead.

So the it to wrap it, the uh next steps are for us to get our our board and our committees and staff aligned on these next three years of projects, along with our five tourism sector entities, and for us to just move forward, execute and report on this.

And so with that, um, I will stop and see if there are any additional questions.

I don't see any additional ones.

It looks like they answered them throughout.

So yes, we do have one more for councilman lineweber online.

Okay.

Help me understand alignment of the board and committees and and can you expand on that a little bit?

I I don't I mean, that's kind of a simple statement to make, but I it's it's got to be more detailed than just that.

What is that meaning?

Yeah, I'll be happy to take a swing at that.

I think you know, sometimes we we forget that these plans are three years.

I mean, this is the tail end, the the last three years of a 10-year plan.

And you tend to want to sometimes jump in and just start trying to get everything done right away.

And you you really cannot do that, which is why we feel that as long as our board and our staff, along with our tourism sector partners, are aligned and that we can prioritize how these next three big pillars get get put in implemented.

We think that over the next three years, this will serve our community very, very well, and we'll be in a position to then do an additional uh 10-year plan, but we don't need to get all these done in the next 12 to 18 months.

So thank you for that question.

So, Doug, uh I also understand that this plan really is focused on visit COS.

This is what Visius COS is working on.

Um, how um can you, because it's kind of come up, how can you bring bring the city into understanding more of your direction and and and then also the other partners that you have that are all leaders in tourism.

Um, you know, because they were the ones that help uh they all got together with you in 2018 and came up with this plan.

And this is this is of course focused in on just this.

I get that, but but explain like tourism is a bigger thing than just visit COS.

So um can you explain like how you might incorporate those other people real quick?

Well, I think I begin by saying thank you for those of you who agreed to have us on the agenda today.

I know it took you know some of you to say we we requested to come, and enough of you said, yes, we would like to hear from visit COS.

And uh, you know, we we will come, we always come and report on our key performance indicators as it relates to our contract.

And and I do think that we are between the the LART committee and working with our tourism sector entities, uh, working with city council.

We we go and we talk to the county.

We want to make sure that everybody understands this industry that at times can be invisible.

You you can be in a restaurant and you may not know that the people that are nearby uh are in fact visiting.

And yeah, it's one thing if you're in Guard of the Gods Park and you see all those license plates from different states, but we also, as I like to point out, have uh five military installations here that have people living here that are from different states as well.

And so I will take it upon myself to make sure that uh we overcommunicate.

We will communicate and come before city council as often as you'll have us to get not only give updates, but to get hear from you all things that you think we should be doing to make this sector uh as robust as as need be.

Doug, my my my last question is really um as Colorado Springs.

I want to compete.

We are competing with a number of different uh cities and stuff like that.

And we are making a substantial investment in business C US, five billion, whatever it is.

And um and and we we we always feel like we want to make sure we're getting a good return on that.

But more importantly, I think what we feel as council is are we really competing well against the Austin's, the uh um Charlotte, you know, or you you know, I can go down the list of all the different uh communities that we compete with.

I I would really be interested in some kind of future um report or maybe it's um maybe some two on you know, two on ones that you can you know set up to kind of explain how does Colorado Springs compete in this?

Is that five million dollars too much?

Is it enough?

Are we woefully underfunding you?

Uh I don't, you know, you I think you have to give us a sense of how are we competing against these other tourism economies and what how can we support and help you the most?

So noted.

And I will I will follow up on that.

Thank you.

Thank you.

Okay.

If there's no other questions, thank you.

I don't see any.

Thank you so much for your presentation.

Thank you all for your time this morning.

He clapped for you.

I just wanted you to know we saw it, you didn't hear it.

Moving on to item 6A.

Will the clerk pre- please read item six A into the record?

Agenda planner review.

Does anyone have any questions on the agenda planner?

I don't see any.

For the record, there are no questions for the agenda planner.

Um please read item 7A into the record.

An ordinance amending ordinance 25-31, section five, appointing Natalie Level, City Auditor and prescribing her duties, compensation and tenure in office, and superseding and repealing all prior ordinances and consistent with the provisions of this ordinance and removing the requirement of certification as a Colorado Certified Public Accountant for the position of auditor.

Good morning, Myra.

Good morning, everyone.

Uh Council President, President Pro Tem, and Council members.

My name is Myra Romero, Chief Human Resources and Risk Officer.

I'm here today to introduce an ordinance removing the requirement for a Colorado certified public accountant or CPA for the position of city auditor.

On March 11th of this year, 2025, Natalie Lovell was appointed as city auditor with passage of ordinance 25-31.

Miss Level's appointment was expressly conditioned upon her attaining certification as a Colorado certified public accountant or CPA within two years of the date of her appointment.

After further study by City Human Resources, it was determined that neither the duties of city auditor nor industry standard require a CPA.

The CPA credential is primarily designed for external auditors who issue financial statements and provide audit opinions in accordance with the U.S.

generally accepted audit standards or GAAS.

In contrast, the role of an internal auditor, such as the city auditor, particularly in the public sector, centers on evaluating risk, governance, internal control, compliance, and performance is and is not governed by GAAS, but by the Institute for Internal Auditors or IIA's global internal audit standards.

The IIA's standards do not require CPA licensure, and the internal audit function can be effectively and by design led without it.

Other major U.S.

cities have successfully appointed or elected city auditors without CPA licenses, reflecting a broader broader emphasis on independence, objectivity, leadership, internal control knowledge, and operational and governmental acumen.

As a result, City Human Resources recommends removing the CPA requirement from the city auditor classification and including it as a preferred qualification.

Additionally, during our research, we did still find that the city auditor classification is placed appropriately on the salary schedule.

And at this time, we would not recommend any changes to pay.

Do we have any questions?

Councilman Hintum.

Yes, thank you.

Thank you, Myra, for coming and presenting.

How many um CPAs do you do you know are on staff in the city auditor's office who have their CPA?

I mean, I would just I don't know that we have that stat off the top of our head, but we can definitely get that for you.

Okay.

And are there any positions in the in the auditor's office that where the requirement there is a requirement for having a CPA, specific positions or roles?

We can get those to you.

Okay.

Thank you.

Councilman Risley.

Thank you, Madam President.

I just want to go on record and say that I was not part of the selection process uh to select the current auditor.

I had other commitments at the time, but I want to commend my colleagues for making what I believe to be a very good selection in Natalie.

Um I also want to say that I've had the opportunity to work with Natalie fairly closely on a number of issues here recently, and uh I find her work to be uh uh excellent and quite commendable, and I think she's doing a tremendous job.

So um based on the information that you just provided, I'll certainly support this.

Great.

Thank you.

Councilman Lineweber online.

Yeah, I just want to also make a statement, and just um I think my my selection of uh Natalie was that um I felt like she was gonna be a good manager.

And really our city auditor, that's that's kind of their role.

It's more of I mean it's certainly they need uh understanding of numbers, and I think there needs to be some um some piece of that.

But I think we'd always would look at that per se.

But actually having the certification, I don't know if it's really um um uh uh a deal.

It wasn't a deal killer.

Matter of fact, we made the exception because we felt like we needed someone who could be more of a leader than someone that can count well.

And and um although count well count you know, counting well is important for a city auditor.

But um, I think we felt like that we still got that.

And we got um a better um a better leader in the choices that we made.

And so I I definitely support this initiative.

Councilman Donaldson.

Yeah, thank you, um, Madam President.

And uh council did receive uh an email last night from a former city auditor with concerns about this, and that auditor raised some questions that uh just about if this is the right course.

So um I Natalie has done uh a good job of being responsive to requests, you know, that that I and others on council have had.

But um I think council should be very uh cautious in in what we do if we're going to remove a standard, which I believe the last five city auditors have had uh CPAs, you know, he raised the analogy of would we would we have a uh uh the senior attorney in the city attorney's office not uh have a law degree.

Um and so you know, I I'll think more about this over the next uh couple of weeks.

Uh there was also a question you address specifically uh compensation.

Do you feel that the compensation is set appropriately?

A lot of times compensation is set based on, hey, are our city auditor will be required to have a CPA?

CPAs are generally paid in these uh band of pay.

Now we've removed that requirement, but you feel the pay should stay the same.

Is that correct?

So I can have Jack, our senior analyst get into more of the details, but I can tell you that the research is showing that the minimum qualification for a city auditor per industry standard is not there.

It's actually in the preferred.

So that's why when you remove it and put it in a preferred, not in the minimum, that's why it doesn't change the pay because the industry standard is not have it in the minimum qualification.

So it's already not in the minimum.

But it was for us.

Correct.

Um and then another concern I I've heard, which uh makes me just slow down on this decision.

And again, it's it's nothing about uh the individual we're considering, it's just the the processes.

When we did open this up for applications and we did our search, we had that as a minimum requirement.

And so were there people who didn't apply or uh we did not select that we ruled out based on their not having a CPA.

And then we've we've made an we made an exception with the condition of require of uh achieving uh the CPA certification within two years.

Now the others have been basically eliminated from the process, and we're gonna remove that requirement for the one who was selected.

So um, you know, wish I had more time to come to a conclusion on every issue before we even get to the work session.

But uh on this one, I'm still uh working my way through this.

And uh, you know, I'll I'll gather gather more information and talk with my colleagues.

Thank you.

Councilman Hinjam.

Uh thank you, Madam President.

So um Myra, I just want to uh what is the name of the organization that says um it's you know typically in in auditors' offices, CPA is not needed as a requirement.

Pay factors.

Pay factors.

Okay.

Um I think it's important for us to know that there are CPAs on staff and that we get that information.

Um I don't believe a leader has to necessarily have that certification in order to be a good leader and to lead the efforts of the office.

And I think we did make a really outstanding selection.

Um so I I just want to go on record as saying that, and I I'm I'm fine with the policy or moving the policy to making a CPA be a preferred and not a required.

Um, and I do think it's really important that for the public's um awareness that we have members on the city auditor staff, which I think is like 22 FTEs, something like that.

I can't remember the number of FT.

It's in the auditor's department, but that um but that we do have uh staff who have that qualification of CPA.

Um, I think I do think that that's important.

Thank you.

I just want to go on the record also.

Um I was in the interviews, and out of all of the individuals that we did interviewed, Natalie was the top of the list for us in we did have the debate.

Um I do believe there were others that applied that didn't have a CPA.

I we can go back and look at that, but I I understand what Councilman Donaldson is saying, but I believe others still were bold enough to apply without it.

If you could just get that information for us, I would greatly appreciate that.

Um, and I did review all of the work that uh Myra did in the HR and Tracy um has set forth, and there is a lot of evidence out there that even elected auditors don't have a CPA.

Um, it's changed a lot how we do this work.

We have a lot more technology today, where we're not climbing going through it with a pen and pencil, and I think that's to her advantage as well.

Um, that we're looking for a leader in the department, knowing that we already have the expertise doing the work, and then again, with the technology we have, I also support removing this from her job description, and I think we need to hear from the auditor.

Thank you.

Natalie Lovell, City Auditor.

I think um, in the interest of full transparency, I think it's best to go on record with the recommendation and explain the reason why I'm putting this forward to city council and for the rest of the citizens of Colorado Springs who I serve to hear that reason.

Um it is true there is benchmarking.

Um I think we generally as a city measure ourselves against the top 50 cities in the U.S.

They might have other credentials, they might have higher learning, higher education, some don't even have any of that.

And those cities that I found were Atlanta, Oakland, Minneapolis, and a few others.

The role has evolved behind or beyond the technical accounting.

And I think the question was asked of me through this process as I was socializing.

Why might it have changed or how long has the city auditor had a CPA?

And I don't know that answer, but I can imagine that it's been for quite some time, and it probably has to do with the fact that the city auditor was created when the city was created, and back then the city auditor was issuing the city's financial statements.

So I'm making an assumption and a guess, but I believe that that's where this requirement has come from.

I don't have the information.

I think it's important to look at the auditor role from a perspective of that it needs to be strategic in nature, that it needs to be focused on risk.

An individual must prove that they have knowledge and accounting principles and the laws and regulations subject to those that they review.

And I believe that this can be accomplished in a lot of ways, not just with a certification, but with relevant background experience.

And I am certain that I brought the experience to the role of city auditor to meet the demands of this job.

I bring executive leadership, organizational change management, 20 years in government, this local government, including management of an accounting of 1.5 billion in revenue, and that demonstrates real world experience in applying the accounting standards that this job would require for my review.

Leadership in audit requires also integrity, and that's not defined simply by a certification.

It's about transparent reporting and being accountable to the citizens of the city.

It's timely and relevant audit work, unwavering independence, and active relationship building.

And there is no way that I could do my job effectively if I wasn't actively out there building relationships with each of the department directors, with city council, with leaders in our community.

And I believe that that's going to result in better, more fair, more reasonable, transparent government for our community.

Some might state the word skepticism, and to this I would offer that the CPA is not a proxy for skepticism.

It's a competency that is a requirement, frankly, in my office for any and all auditors.

And to answer Ms.

Henjam's question, we I believe we have about three CPAs, at least two, both of my managers are CPAs.

And then we have a staff of 16 in our office for the FTE.

I also want to offer an alternative opinion to what the CPA represents in terms of attracting and retaining top talent.

Not only is the CPA not uniformly a requirement for city auditor positions around the top 50 cities in our country, but by keeping this certification, it could likely be an outdated requirement, assuming it is again that requirement that comes from stamping the city's financial statements many years ago, but it could otherwise disqualify public servants and those who come from a diverse background, such as public policy, operational backgrounds that provide the diversity, frankly, that the city auditor's office needs to be relevant in today's environment.

It could potentially reduce reduce the diversity of thought through disincentivizing other talented individuals from pursuing the critical leadership position in our community.

And while I cannot speak to my hiring process, I guess I can tell you what was said and what I offered when I stood in front of City Council for my 45-minute interview.

I can tell you that I am certain it was a competitive national search, and I can't speak to what was discussed in the executive session.

One of my required responsibilities under my new role is to implement new standards, those 2024 global standards that were mentioned.

Um city council is required through those standards to understand the qualifications and competencies that are necessary to lead a modern internal audit office.

And that should include revisiting historical assumptions about technical certifications, such as the CPA.

The board, council today, has the responsibility then to collaborate with senior management, which we're doing in a very public open forum to determine whether or not uh the CPA or any certification or any education or relevant uh competencies are needed.

Nowhere in the standards is the CPA licensure required to lead the function.

Instead, they focus on demonstrated ability to deliver independent risk-based assurance and added value to the city of Clark Springs.

I am currently working to align these new standards, and this is the appropriate time to ask whether those expectations, like the CPA certification, still serve the city's long-term needs.

With the standards, it's my duty to reevaluate whether the requirement still serves the mission.

This is not about retroactively changing the process or going back and reevaluating the hiring.

It is about ensuring that our future leadership pipeline is aligned with best practices and industry standards.

Many top organizations revisit minimum qualifications as roles evolve, and this should be seen and should not be seen as an unfair um advantage to prior applicants, but as a natural unexpected part of succession planning, aligning modern practices and governance needs to the office.

I can take any questions if you have any.

Councilman Hinchum.

Yes, uh, thank you, Natalie, for that really well-expressed uh perspective and position from from you as the um as the city auditor, appointed city auditor by the city council.

Um I I just want to affirm, and I was a part of the um interview process, and uh Natalie was very clearly the the best candidate uh for for the role.

Um I I think what I one of the many things I just heard Natalie underscore, and I think is important, and we had we had the um careers in construction here earlier talking about different ways to get um uh people into construction, and that being a result of an education system that is changing and evolving.

And and I think she points to the fact that um likely city auditors used to be strictly about numbers and financials, and it really has changed.

And one of the things that um is very important are the different processes that the auditor's office really helps our city government to look at and be as efficient as possible.

I think one of the things I've appreciated about what Natalie has brought thus far in her very short tenure is sort of that just greater visibility and connecting um uh uh the city council members uh looking for collaboration and ways that we can actually bring the work of the auditor's office to a little bit greater public visibility.

A lot of people don't know why we have, you know, they don't really understand what a city auditor does, and they do think it's just about crunching numbers.

And I we've talked about um potentially you know, quarterly reports and work session where we have a greater visibility where people can see the work of the auditor's office, and I I really support that.

And there are other things that um she's brought, just um, I think that create greater visibility and collaboration on behalf of the city and on behalf of city council.

So I am not opposed to this.

I I do think, and and Natalie and I have also talked about maybe some inconsistencies that have um over time uh developed in terms of processes that she's really aware of and wanting to uh correct in terms of hiring, and so um really looking at what positions on in the auditor's office do need a CPA because I would assume some of them that would be a really important qualification to figure that out and to be very clear.

When is it preferred and when is it required?

So I am very supportive of this.

I do need to be reminded is this coming in two weeks uh on on for a vote, or is it it's not tomorrow, it's not back to back, correct?

Yeah, it's in two weeks.

Okay, great.

Thank you.

Councilman Donaldson.

Yeah, thanks, Madam President.

And uh this would be a question um for the city auditor.

And I think we need to separate out like excellent leadership, and then does a requirement make sense?

Should we change your requirement?

Because they can both be true, can have an excellent leader, could be the best leader we've ever had in the city auditor uh office, but we also need to make a smart decision on whether removing the CPA requirement is the right thing to do for the city of Colorado Springs and our citizens.

And um, we did receive uh an email from a former city auditor saying this is not the right thing to do.

Natalie, have any of the former ones supported this that you know of?

If any of them contacted you and said we support this.

They haven't directly contacted me.

Um, to the best of my knowledge, I'm not sure that any of the prior city auditors are supporting it.

Okay.

So again, I don't know what else I can do here today.

I I need to uh talk with some other folks.

Um but that is that is my concern, and my colleagues may find Natalie to be uh excellent, and I do.

Uh very responsive, willing to to kind of do things we haven't done before, that's all good.

But it's a separate question.

Is it in the best interest of our city and that office, the city auditor's office, uh, to requ to remove this uh minimum requirement?

Again, when when uh the current city auditor was hired, it was under the condition to achieve the the CPA license.

And it's just a question of is it in our best interest to remove that?

Thanks.

Councilman Bailey.

Thank you, Madam President.

Yeah, at the uh risk of extending this much longer than it needs to be.

I I just think that this for me is very much a question of reviewing and looking at uh what we have done and how we have done things as a city for years.

The I I came into this expressing a goal of of trying to make sure that we don't just keep doing things because we've always done them.

And this is a very simple uh uh example of and a requirement that's been in place for a long time.

Does it still make sense today and does it still make sense going into the future?

It's uh it's certainly not a question about the choice of the last council to uh uh hire this city auditor, but for me it's much more of a a process and a very necessary review of how the city does business.

And uh so I I think that uh in the week or two that we've had to uh think about this question.

Uh it's it's become clear to me that uh this is an outdated requirement and that's something that uh it's it's time to move on from it.

And uh so I just wanted to make sure that uh had a chance to express that here for the rest of my colleagues and for the public.

Natalie.

Uh Mr.

Donaldson or uh Chairmember Donaldson, I believe you had asked the question also about um the analogy of the city attorney having to pass the bar versus this the city auditor.

And I I would like to take some time and maybe even come back to you and address that.

I think there's um and if I could, I'll just point out that that was uh an analogy brought up by a former city auditor.

It's not my analogy.

Go ahead.

Fair enough.

Um I think that deserves a little thought and explanation to all of you.

Um I think there's a key difference.

The city attorney is actually practicing in front, um, I guess, in front of you know, a uh in a judge in a chambers, versus as the city auditor, and I think this is the distinction.

Um, the CPA requirement is for somebody who's issuing the financials.

So I think that's the the clear line that I have um kind of pointed out.

The distinction for the CPA is is crucial.

The CPA credential is primarily designed for external auditors who issue financial statements and provide audit opinions in accordance with generally accepted auditing standards, gas.

Um, in contrast, the role of an internal auditor, particularly in the public sector centers on evaluating risk, governance, internal controls, compliance, and performance.

And I could go into more detail, but I think that's really the crux of why I've requested that this be changed to a preferred qualification because you're not leaning on your city auditor to issue those uh stamped financials.

That's why we have an external um auditor.

In fact, that contract is overseen through my role and through um through my my team.

I think that's really a critical distinction to make between requiring an attorney who's passed the bar versus the CPA for a city auditor.

Thanks.

That looks like that's it.

Thank you so much.

Will the clerk please read item 7B into the record?

An ordinance amending chapter 7 the Unified Development Code.

Uh the Colorado Code of the City of Colorado Springs 2001 is amended as related to battery charge and electric fencing and security detection fencing systems.

Good morning, Johnny.

There we go.

All right.

I was like, I can't even hear myself.

Good morning, Council members.

I am Johnny Malpica for the record with the city's comprehensive planning special projects division.

This is item 7B.

Battery charge electric fencing and security detection fencing systems.

And if that confuses you, hopefully, my presentation will help to elucidate those terms.

Okay.

So this UDC amendment is based on House Legislation 251060.

It does impact the city, the entire city.

The initiating entity is the city's administrative is the city administration.

And the UDC text provision is specific to Section 74910, fences and walls of City Code.

So in short, the battery charge electric fence ordinance revises the UDC to permit a previously allowed accessory accessory structure in association with certain uses which are industrial and commercial only, while also complying with that legislation concerning the use of electric fence detection systems.

So before June 5th of 2023, the retool project, many of you here now were there then.

Both fencing typologies that are referenced here were permitted within the UDC when in association with commercial and industrial uses.

And I'm going to go into some of the details as to how that occurred.

So under Chapter 7, there was the language regarding fencing throughout the code was void of language specific to electric fencing systems.

And so it was implicit that certain types of electric fencing systems were allowed or were presumed to be permitted in association with industrial and commercial uses.

Between 09 and 2024, we tracked approximately 16 of these that were permitted.

Some of the ones that occurred in 2024, so following the new UDC updates, those would have been permitted with the security detection fencing only component and not the electric shock fence piece.

So following the UDC update, electric shock fencing, which is uh direct current, by the way, and that's an important distinction to make, were permitted when in association with agricultural uses only.

And so under the new UDC, it's implied that uh these particular uh battery-only electric fencing systems are not permitted.

Um in 2024, the Uh the industry industry representatives who who do this type who work in this industry and provide this service to clients have requested that the city adopt the code to basically write that back in.

Uh in 25, a piece of state legislation was passed.

Um that legislation doesn't have mandates, rather, it has uh what what the jurisdiction could do uh in order to regulate security detection, uh alarm-only security detection fencing systems.

And so in 2025, we began drafting an ordinance to essentially capture the best practices in that state legislation.

We looked at surrounding jurisdictions.

We also looked at to our industry uh representative to figure out how we wanted to permit this in a way that worked for Colorado Springs.

So uh what did we change?

Um well, before I jump into what did we change?

I do want to define these uh two uh different things.

So battery charge electric fence, what is that exactly?

A battery charge electric fence includes electrified fencing and electric fence detection system.

So it includes both uh pieces.

It has an energizer that is driven by a commercial storage battery that's not more than 12 volts of direct current.

So before I talked about how the UDC permits direct current fencing in association with agricultural uses, that's a very important distinction that this has 12 volts of direct current energy and is a battery charge thing.

It's not authorized on residential property and it may produce an electric charge on contact, but it doesn't exceed energizer characteristics at fork for electric fence energizers.

Um and and what that looks like is if you can think of like a little you know dog shock or something like that.

Um, you know, minor and safe for humans with a with a pacemaker, actually.

The second piece of it is security detection fencing system.

Now, this may exist as a component of a battery charge electric fence that uh provides a shock, um, or it may exist independent of that.

Um and that interfaces with an alarm system.

So upon contact, law enforcement would be contacted or the andor the property owner as well.

So within the UDC, we've again we've updated uh the section specific to fencing and walls only, and the intent is to clearly define and permit battery charge electric fencing detection, uh battery charge electric fencing and security detection systems when in association with commercial and industrial land uses only.

And so the proposed code language reflects stakeholder suggestions, state legislative guidance as well as considers uh exemplary jurisdictions in Colorado who've also permitted these and how they've done so.

Um so we define battery charge electric fence and security monitor fencing systems.

We provide regulatory allowance and permits them when in association with commercial industrial uses.

Uh a little bit more specific language as to what this looks like.

There's a photo at the bottom of one that currently exists.

Um it must be surrounded by a non-electrified perimeter fence, uh, and that fence can't be less than five feet in height.

Um and cannot be more than the height of the following.

So 10 feet or two feet higher than the height of the non-electric perimeter fence or wall, and it has to comply with all their UDC requirements.

Uh there needs to be a minimum of four inches that separates that perimeter fence from the electrified fence internal.

So the electric fence would be internal, the perimeter fence would be external, and it needs to be marked by warning signs every 30 feet.

Um these are typically approved via either a minor modification to a development plan application, or they would go straight to building permit, depending on uh if it triggers the minor mod or not.

Uh this is just the project timeline.

Uh, this is our review criteria.

And then I'm going to pause and see if there's any questions.

I don't see any.

All right.

Thank you.

Thank you.

Oh, do you have a question?

Just up just if we have a question.

I guess is my question.

I don't think it's on consent at this point.

Well, just making the suggestion.

Do you want it on consent?

I'd be fine to put it on consent.

Councilman Rainey.

Okay, thank you.

Since we've gone a little longer than we thought, do you all want to take a five-minute break or do you just want to power through?

We just have a few more things.

Oh.

Okay, we're gonna take a five-minute break.

Okay.

Looks like we're all back.

Yeah.

It was more than five minutes, but I'm gonna give you grace.

You're way over there on the island.

So we the last two um items that we have are with the city attorney's office, and the very last one is actually a closed section.

So I'm gonna actually jump to um council member reports and open discussion.

So are there any council members with reports this morning?

Seeing none, we will move on to item 10A.

Will the clerk please read item 10a into the record?

Uh Kenneth Kohler versus Christopher Sasowski, number 25-CV 01589 in by WMDB United State District Court.

Chief of Staff, do you know where our attorney is?

I'm just thank you.

Otherwise, you get to present it.

Yeah, and I apologize, Council President.

Mark Smith Acting City Attorney, are we on the open session at this point?

We are on the open session.

Okay, this is one of your standard um open session memos that you see in your packet.

Um this is merely a request for authorization for defense of the officer in this particular name matter.

Um all I need at this point are a thumbs up saying that you authorize defense as required by law.

Okay, hearing no objections, thank you very much.

We got it.

Um will the record please read item 10 B into the record.

Okay, we have a closed session here today.

And I'm gonna read this in, and we'll be asking for a two-thirds affirmative vote today.

So in accord with City Charter Article Three, Section Three-60 D and its incorporated Colorado Open Meetings Act.

The City Council in open session is to determine whether it will hold a closed executive session.

The issue to be discussed involves instruction instruction to negotiators in consultation with the city attorney for the purpose of receiving legal advice regarding an intergovernmental agreement for facilities acquisition and payment related to the peak innovation park.

The president of council shall poll the city council members and upon consent of two-thirds of the members present may conduct a closed executive session in the event any city council members participating electronically or telephonically in the closed executive session.

Each city council member participating in the closed executive session shall affirmatively state for the record that no other member of the public not authorized to participate in the closed executive session is present or able to hear the matters discussed as part of the closed executive session.

If consent to the closed executive session is not given, the item may be discussed in open session or withdrawn from consideration.

Council President.

Clerk, will you please do a roll call?

Councilmember Crow Iverson.

Hi.

Councilmember Donaldson.

Councilmember Gold.

Hi.

Councilmember Henjam.

Hi.

Councilmember Williams.

Councilmember Lion Weber.

I think I have to say I.

Councilmember Rainey.

Aye.

Councilmember Resley.

Aye.

Okay, it appears we have two-thirds, actually a majority, or I apologize, unanimous.

Um, so we're ready to go into closed session.

Yeah, we just didn't know.

I I think you're you're okay to start.

Councilmember Williams hasn't rejoined us yet.

No.

And she might not, because I did say.

And there's that puppy.

He's got it figured out.

Are we kidding?

Council Member Hatch has joined us online with a bell.

So that concludes our city council work session for today.

We are adjourned.

I'm Jen Schrader, and this is Behind the Springs.

Conversations with the people working for you in Colorado Springs, Olympic City, USA.

Hello, everyone.

I realize it's summertime, but we also call this budget season and city government, and it's when our mayor and our leaders across the city team are discussing and creating the budget proposal for the following year.

So by charter, we have to have a balanced budget, just like I'm sure all of you do.

Maybe, maybe not.

But we have to have a balanced budget.

So our elected leaders, our budget team, many others, they're strategically planning how to spend taxpayer dollars in a way that maximizes our critical services to residents.

So I'm fortunate to have two guests today.

Thank you for being here, and our chief financial officer, Share McDaniel.

Thanks for being here.

Thank you.

Both of you.

We really appreciate it.

You two are sort of the leaders in this charge of getting this budget proposal together.

And um I want to talk about the 2026 budget, which I know you're planning for right now.

But I also want to address address the budget this year, because we still have a few months left of 2025.

And this is sort of uh one of those years where we've experienced a plateau when it comes to our tax revenue.

And in other words, we have less money coming in.

So can you talk a little bit about what does that mean for residents?

First of all, it's good to see you again.

I know, you too.

She and her and her team uh do a lot of heavy lift on on this.

So we work in great partnership.

So in terms of um our city's um sales tax revenue.

When I came into office, when you talk about that plateau, that's when we started seeing the early signs of that of our revenues plateau.

And before that, for 15 straight years, we've been seeing a steady growth.

And somehow came into office and it plateaued, but I welcome that challenge.

I have a great team.

We took it head on.

And um, so for three straight years, 2023, 24, and including this year, we've had to implement some careful cuts to keep that budget balance.

As you said, it's a it's a matter of the city charter, but it's also just a matter of good responsible stewardship of our public resources.

So we've been doing measure cuts while minimizing the impact on our core city services.

So this year I believe we're forecasting about a 11 and a half million shortfall in the general fund.

That's about um 3.6% of our budget.

Um is it 3.6 or 2.6?

It's 2.6.6 of the total fund.

Okay.

Um early, so I got it right at our press conference.

And um it may not sound like much, but in a um in a city like ours where we don't have uh that much revenues to work with to begin with, that is that's huge.

Um but we're up to the challenge, and we've been doing those measure cuts.

We'll likely do the same in 2026.

Um I just want to end uh the segment by just saying that these decisions are never easy.

They're hard.

I'm gonna take a impact on our team.

But we also understand like many American households and businesses, we're also navigating the economic headwinds that many people are facing.

And so um, but we are committed to making wise data-informed decisions so that we can preserve and ensure that we're still prioritizing the services that residents rely on.

And at the same time that we're experiencing the shortfall, I should mention prices continue to go up.

Yeah.

In this country, just like we're all experiencing, right?

At the gas pump, at the grocery store.

So prices for all of our materials that write our different departments.

Right.

Consumer sentiment is low.

So that's why it's such a challenge.

Right.

So we really have to be fiscally responsible.

So Shari, let me ask you a little bit about um, you know, quick budget 101 for us.

Can you give us a quick lesson to help people understand or remind them?

They may say they understand, but a little reminder on how our tax dollars are collected and then spent.

What is the process and and some people don't understand with the tax revenue coming in?

Sure.

So for the general fund, the majority of the revenue for the general fund comes from sales and use tax.

About 60% of the general fund comes from those tax revenues.

And the way that that is collected, when you and I go to the store and we purchase something, that vendor collects the sales tax.

So you'll see that on your receipt.

There's a sales tax line.

The city gets a portion of that, and in the next month, that vendor remits those that funding to the city for that sales tax revenue.

And then it comes in and we receive it through our sales tax office.

And because it makes up such a large portion of the general fund, when we see what we've been talking about, this leveling off of that sales tax revenue, that has a pretty big impact because it's such a large revenue source for the general fund.

And so when we go through our budgeting process, the first thing we do is how much revenue do we have to work with.

And we start trying to estimate that and calculate that probably mid at least midway through the year so that we can start getting a sense for what does this year look like?

What's next year going to be?

I was gonna say, how do you project that?

Yep.

We we um have actually um forecasting software, relevant forecasting software that we use and a lot of contextual information as well.

What is the consumer sentiment?

What are those interest rates?

Because we know that that creates hesitancy for the consumer to make big purchases that are typically financed.

So a car, a house, um, a l a large appliance, those are all impacted by that high interest rate because it makes the cost of the good higher.

And then it's just, you know, worth maybe waiting on or you know, deferring it until another time.

And right now that's what people are doing.

That's what people are doing.

And having that um uncertainty about when will those interest rates come down, it just uh makes people not want to spend because it just becomes too expensive.

Right.

And so we have to take the revenue that we do have and that we are seeing for this year and that we're gonna forecast for next year, and then we have to size our budget to live within that amount of revenue.

And that's largely what we do through the budget process.

Um we collaborate with council, with the mayor, with the department directors to say, you know, what are our strategic priorities?

What are our core services, and how do we make sure that our residents are um receiving the public safety services that we need in our community, the public work services.

And so we prioritize that through the process, and that's how we generate the budget for each year, looking at those core services, our strategic priorities, the revenue we have, and then we size our expenditures to that's the same no matter what's coming in.

That's correct.

That's the process.

Yes.

And so it's just a matter of um, is that revenue growing?

Is it flat?

Is it going down?

And then we have to accommodate those changes.

Okay.

And then as we're looking at 2026, what's important for residents to keep in mind?

I mean, this year and for next year's budget.

What do you think is most important for residents to know, Mayor?

Well, you have uh disciplined city government.

Uh our priority, and and Shore said it, we have to, I think you said you have to size our budget to live within our means.

Yes.

So I'm paraphrasing.

Yes.

But we're not like the feds.

We we don't put extra money, we don't raise the debt ceiling.

Um we're like many businesses, American household.

So that's really important.

We are trying to figure out what that looks like for 2025.

We do have some levers we need to pull we will pull when if needed.

Um, Lord willing, we don't need many of them.

And then we're also um anticipating um uh a budget budget priorities and also um what that's gonna look like for 2026.

It's too early for us to pinpoint um the shortfall 2026, um, but we do know that we need to identify some cost-saving measures.

We we have a sense of what next year is gonna be.

We we look back and we know that you know we've had to save um I think um nine million dollars in twenty twenty-three, five million in twenty twenty-four.

This year is almost twelve million.

So we kind of have a sense that we'll probably need to do the same in 2026.

I think the signals are clear.

We must remain cautious, smart, um, disciplined uh and strategic in how we allocate every single dollar.

As uh Sharey mentioned, we're working closely, not only with the department heads and our team members, working closer with council.

That's really important.

And probably one of the most important constituents is the residents.

Right.

We're also listening to our residents saying, and they've said made it loud and c made it the message loud and clear that public safety is still top priority.

Um and our infrastructure investment is still trying to priority.

So we we hear them and we have to make sure we're minimizing the budget impact on some of our top priority.

And sure, I also mentioned our core priorities.

I just want to remind our viewers and listeners um uh according to city charter and law, it's public safety, uh public infrastructure and public parks, the three Ps, the three public, and then we're so that sort of guides you.

That guides you know those are top of the I I often say think about those as the core deliverables from city government in exchange for people's tax dollars.

Yes.

And so that's how we owe them.

Yes.

Yes.

So I see those as our direct services.

And then we have our strategic plan that addresses some of the more indirect strategic priorities, including housing and homelessness, community activation, and other things like that.

So we have to approach the budget from a prioritization process, which we're starting tomorrow with our department heads.

So that's what our residents should expect.

Again, I can't state this enough that we are in the same boat like many American businesses and households are in.

And many local governments.

That's well said.

Right.

I think this morning we mentioned some other Colorado cities like Aurora, Boulder.

We're all facing larger shortfalls than we are, correct?

Exactly.

Yes.

So well said.

Could be worse, could be better.

Exactly.

But yes, being really fiscally responsible.

So as you said, you're starting this prioritization.

So Share, talk to me about the process.

Where are we a little bit early in the process in terms of there's a lot more to come in terms of specifics and also some meetings coming up and can you talk about it?

The prioritization process is all part of the budget process.

Is that correct?

Okay.

Yes, absolutely.

We've been working with the departments internally for a number of months now.

And we're getting to a point where we're starting to get in some firmer revenue estimates, what our must-do costs are going into 2026, sort of contractual increases, um health increases, workers' comp increases, those type of things, so that we have an idea of how much we have to spend on certain things and then what is or is not available uh for the rest of our priorities.

So we are um starting into the where we're getting together, starting to focus down on how much exactly we have, where does that have to go, where can it go, and making those decisions and talking through what are those priorities and how do we uh best use those funds to serve our residents.

And then what we'll be doing is getting together with the mayor and staff and really getting down to the detail of exactly how we balance that budget.

And then at the beginning of October, on October 6th, the mayor will release the budget.

And then what happens is we on October 15th, we have our city council budget work session for the 2026 budget.

And that's a really good place for people to tune in and learn about what is and is not in the budget.

We make a presentation to council, many directors are there, and talk about what's included in the budget.

And it's a really great um meeting to listen in on to get a good understanding of what's in the 2026 budget.

And then we have is that when we get um resident input at the same time, not a separate one for that, right?

I probably should just let you think about the.

That's okay.

And then um we have our on October 29th, we have what we call our budget markup session with city council, which is their opportunity to provide input and if they have um make proposed changes to the budget.

And then um we have the first and second reading with our city council, they have to vote on the budget twice, and that second vote is on November 25th.

And I'm sorry, I missed a date.

I'm gonna go back.

On October 27th, this is the important one.

This is the public hearing on the 2026 budget.

So I apologize to left that out.

So you can sign up to the and they can um email comments, they can come physically to the meeting and speak to city council.

And that's really any um input that a resident might want to make on the proposed 2026 budget.

And I know oftentimes sometimes residents will go to their to their specific council member and express their concerns that way, and that's completely fine too.

That's completely fine.

So there's all different avenues for them to either provide input or just like you said, learn about the budget process, which is interesting.

Colorado Springs.gov slash budget is another great place to go because it gives you kind of this overview of our budget, and it will have all those documents on there if it's something that people want to dig a little deeper.

And those dates too.

Yes, and the 2026 budget will go live on that website that you stated, Jen on October 6th.

So that's the that's the proposed budget.

And that's when it will be available on the website as well.

Okay.

You can go and look around.

Okay.

That sounds good.

Anything else, Mayor?

Um, I'd be remiss if I didn't um do a shout out to Share's team.

As you know, um, it takes a village and um our budget manager, Jennifer Vance and an incredible team in the team's finance office who are working on this and getting up every morning and going to sleep at night.

Well, with numbers in their head.

Yeah, and carrying the burden of uh it's a it's a it's a big task.

Yes.

So I want to give a shout out to our incredible team who take on this task um every year with our CFO.

That is awesome.

Thank you.

So Colorado Springs.gov is a great place.

Also, our social media, we will be posting those dates and posting information about the budget if you're interested in hearing more.

So thank you all for being here and giving us a lesson and giving us kind of the latest and greatest on what's happening with our tax dollars.

We appreciate it.

Thanks for watching behind the springs.

So this is my summer job.

My winter job was being an elementary school teacher.

So we uh put this together for you.

I was with the District 11 for what, 31 years.

This is your badge.

Oh, thank you.

My family was ranchers, and they still are in Wyoming.

And so this gave me an opportunity to be outdoors and uh to learn.

That is the badge he's had for, I believe, all 50 years.

And normally that is something that uh Rangers can purchase, you know, after a certain number of years.

But in this case, we wanted to give that to John.

And so that is his badge that he wore with distinction for that many decades.

Um in addition, we have a core sample from the summit of Pikes Peak.

When we built the new Summit Visitor Center, they took those core samples.

And so that is what that badge is placed atop.

Uh, there's also a coin that is issued by the US Forest Service.

People ask what the typical day in the life of a ranger is like, and I laugh because uh I'll let you know when I have one.

And in the case of the Pikes Peak Rangers, our duties are incredibly varied.

So the typical day for John might entail just patrolling and talking to folks.

In one case, I know he helped a uh uh scouting group that were having difficulty hiking up Pikes Peak.

Another day you might be assisting with landing a helicopter for a medical event, and then the next day you might be leading a guided hike for some of our guests.

So the the life of a ranger is quite varied, but that's what makes the job fun, and I think that's one of the reasons why some of us stick around for for decades.

I really appreciate being honored uh and recognized that we do have an important job here being ambassadors to people from all over the world.

I look up to people like John who have given again, given so much, learned so much, and have invested so much in these places because they truly become ambassadors and experts in the places that they serve.

Thanks for 50 years of dedication and service.

In Colorado Springs, you'll find four vibrant community centers.

They're hubs for diverse programming and services, and they offer versatile and customizable spaces at an affordable price for your next event or gathering.

Central locations, easy parking, and an atmosphere that encourages connection.

Whether it's a birthday party, business meeting, or community gathering.gov slash community centers, and make your next events unforgettable.

Okay, good afternoon, everybody.

I'd like to call the meeting of the uh Colorado Springs Utilities Board of Directors to order.

And uh again, good afternoon, and I'll ask Gail to uh call the roll call.

Here.

Board member Crow Iverson here.

Chair Donaldson.

Here.

Board member Gold.

Here.

Board member Henjam.

Present.

Board Member Lion Weber.

Board Member Rainey?

Here.

Board Member Risley.

Here.

And Vice Chair Williams.

Here.

Okay.

Thank you, Gail.

Um, we'll now have the invocation and uh Pledge of Allegiance.

Pastor Ross Frisbee's joining us today to lead us.

Uh he's from the Pikes Peak Christian Church.

He's here to offer the the uh I almost said insurrection, but what I mean.

All right.

Let's pray.

Father, we just come before you and uh we're thankful for this great state, uh that we get the privilege to live in and uh we thank you for uh the cooler weather that we've had, a little bit more rain than normal.

And so we appreciate that.

We also recognize there's still some areas of drought in the state, and so we just ask that you would bring rain to uh to those areas and especially would you watch over um our first responders and our firefighters who are uh the South Rim fire.

Um just protect them and allow them to begin to get those fires uh under control.

Uh but Lord, I just want to lift up uh this board to you today as they uh need wisdom and discernment in all sorts of different matters involving energy and and water and so we just ask that uh you give them that wisdom uh that they need to make the decisions that are best for this the city uh so that we can have uh the energy that we need to uh to continue to to live and thrive and survive.

And so in that, Lord, we uh just ask a special blessing on them.

Thank you for their uh willingness to serve in this way, and uh know that they love the city, and we just ask you continue to bless us uh as a city uh completely.

And so, Lord, we pray this all in Jesus' name.

Amen.

Amen.

Thank you, uh, Pastor Frisbee and uh Tom.

And too, all right.

Thank you, board member Bailey.

Okay, that brings us to item number three, which is executive session, and uh, we have one item we'll need to discuss an executive session.

I'll ask Renee Conden, Utilities Division Chief with the attorney's office to read the closed executive session notice and poll the board members.

Renee, can you please lead us or read us into executive session?

In accordance with City Charter, Article Three, Section 360 D, and it's incorporated Colorado Open Meetings Law, CRS section 246, 4024 B, and Utilities Board bylaws rules 10 C two.

The utilities board in open session is to determine whether it will hold a closed executive session on one issue.

The issue to be discussed involves conferences with the city attorney's office to receive legal advice on a potential settlement agreement involving overlook mutual water company.

The city attorney's office on behalf of the chair of the utilities board shall pull the utilities board members, and upon consent of two-thirds of the members present may conduct a closed executive session.

In the event any utilities board member is participating electronically or telephonically in the closed executive session, each utilities board member participating electronically or telephonically in the closed executive session shall affirmative affirmatively state for the record that no other member of the public not authorized to participate in the electronic closed executive session is present or able to hear the matters discussed as part of the closed executive session.

If consent to the closed executive session is not given, the item may be discussed in open session or withdrawn for consideration.

So I'm now I'm gonna pull the board, and since we only have one item, I just need one yes or no as far as going into closed session.

So board member Bailey.

Yes.

Board Member Crow Iverson.

Chair Donaldson?

Aye.

Board Member Gold.

Yes.

Board Member Henjo.

I and board member Lineweber, I'm gonna need two um answers from you.

Um if it's yes, you want to go into closed session.

Um then I also need you to say yes that there um and affirmatively state for the record that no other member of the public not authorized to participate in the uh closed session is present or able to hear the matter.

Um no one else can hear it because I have headphones up.

Sounds good, thank you.

Uh board member Rainey.

Yes.

Board member Risley.

Yes.

And uh Vice Chair Williams.

Yes.

Okay, that is um consent from all, so we can move forward with the closed session.

Okay, thank you, Renee.

So we're now going to go into closed executive session, and it should take about 30 minutes for the closed executive session.

After this session concludes, we'll come back into the regular meeting at about we'll go in at about quarter after, so we'll say 145.

We should roughly we should be back out of closed executive session.

So we're gonna take a five-minute break uh right now to prepare the room.

Let's return at 115 p.m.

And uh staff could please prepare the room.

Five minutes.

Okay, it's now one forty-five, so we'll go back into open session, and we're gonna move on to our next item, which is uh the consent agenda.

And on today's consent agenda, we have the approval of the June eighteenth, twenty twenty-five utility board meeting minutes, and that's the only thing that's on consent.

Um, if there are no objections, may I have a motion for approval?

Second.

Okay, and a second, were there any corrections that anyone needed to add to it?

Okay.

So we have a motion and a second to approve uh the the consent agenda.

All those in favor, please say I.

Any opposed.

And okay, there's an eye from Wyoming.

And that was uh board member Line Weber.

So it's unanimous.

And with that, we'll move on to item five, which is customer comments.

And during the customer comment period, comments are accepted for any item, not any topic not on the agenda today.

So for things that aren't aren't on the agenda.

Comments for specific agenda items will be taken following the presentation of the item in the board's discussion.

Comments will be limited to three minutes per speaker per item.

And following the comments from customers who have signed up to speak, I'll ask if there's anyone else in the audience or online that wishes to speak.

Those who wish to comment may submit their name and topic or agenda item on the sign-up sheet or via the email address, board submissions at CSU.org.

Gail, do we have any customer comment requests that do not pertain to an agenda item?

We do not have any online, but there is someone here in the audience that would like to speak.

Okay.

And then with that uh gentleman or lady, please come on up to the uh chairs there and we'll we'll let you know how to turn the microphone on once you get up there if you're not familiar with it.

Okay, Natalie's gonna help you out.

I'm just gonna turn just speaking to the microphone.

Okay, and sir, if the if the just the first thing is please introduce yourself and then you go right ahead with your comments.

Okay.

Uh good afternoon.

My name is Harold Franson and I live at 1930 Dennison Court.

I am here to request your reconsideration of the demo denial of my damage claim for the driveway that serves 1930, 1940, and 1950 Denison Court.

While the response to my claim has from utilities people has been prompt, I don't agree with the conclusion.

And thank you for consideration of my appeal.

I'm going to give you a quick summary, but I also have more details, a copy of which I would be happy to leave with you if you are interested.

Please do.

Recently, CSU installed fiber optic cable in our street.

Uh when I returned from vacation in late May, I noticed significant subsidence in our driveway near the street.

After filing a complaint with CSU and having several on-site meetings and phone calls, my claim was denied.

CSGU claimed that it and the city both have video showing that the subsidence was pre-existing.

When I asked if I could view the video, I was told that Massada would not release it and CSU could not.

Masado is the subcontractor installing the fiber optic.

In addition to the three and a quarter inch subsidence in the driveway, there has been subsidence in the borehole repairs done by the contractor, the landscape repairs done by the contractor, and the street in general.

I have photos verifying that subsidence.

I also have a photo showing the ponding that occurs in the street at the bottom of our driveway now during any rain event.

I have a detailed summary of the meetings and subsidence issues that I can present to CSU in the appropriate forum if you would be willing to do that.

Based on the above summary, I request that utilities board direct its staff to provide the video or photos that they claim that they reviewed showing the existing subsidence of the driveway.

If they don't exist or they don't show existing subsidence, I request that you direct them to professionally repair all damage to the driveway, gutter, surrounding pavement, and landscaping.

I will any answer any questions you may have.

Okay, and I want to thank you for coming in today and uh providing that information to us directly.

I don't personally it's difficult for me to uh really make any kind of assessment here, but I do give you my word that we will uh look into it.

And uh as long as we have your as long as Gail has your contact information, I will personally contact you once I've been able to look into it.

Are there questions from board members for this gentleman?

My my phone number is on the sheet that I will leave leave with you.

And I do appreciate getting back to me and let me know what this board decides.

Okay.

And it and I don't want to get into too much detail, but I I do believe it's useful for uh citizens to understand that it is the city attorney's office that makes the determination of on a uh oh what's it called?

You filed a I'm gonna interject it's the city claims department.

City claims.

City claims.

So they have a process, you submit a claim and you go through the city claims process.

So they make the determination, oftentimes with the support of legal, depending on what it is.

I I had multiple meeting multiple meetings with CSU personnel, and none of them ever mentioned that or suggested that.

File a claim with city claims.

Yes.

And I received an email from utilities denying my claim.

Okay.

So I just actually learned today about this claims process.

While I was waiting for the meeting to begin.

Then I I give you my word, we'll have staff look into it and we'll get uh through our through with guidance from people who keep me out of jail.

Yes we will uh I will respond to you.

Okay.

I I would really like to see the the video or the that they claim that they have both the city and utilities both have it, and yet they've been very they've been completely reluctant.

They have been denied me the ability to even look at that.

And um uh makes me as you might suspect, it makes me suspicious that it either doesn't exist or that it does not show the pre-existing conditions.

Okay, sir.

Okay, thank you.

Thank you very much.

And now, Gail, are there any others who have signed up?

There is no one else.

Okay, is there anyone else here in the room that uh would like to participate in citizen comment?

And is there anyone online and not seeing or hearing anyone?

We will move on to item number six, which is um I believe it's a couple of recognition.

So, yes, we have two recognition items today.

The first is recognizing Lisa Pace for the Water Leader Award.

Lisa Barbado, Chief System Planning and Projects Officer is here to let us know more about this award.

Thank you, Chair Donaldson, members of the utility board.

I'm Lisa Barbado.

I am the officer of system planning and projects.

And today we have Julie Galuti here today.

She is our supervisor of our water conservation team, as well as Lisa Pace.

She's a lead in our conservation center, and we are here to recognize her for an award she just received by the Water Now Alliance.

And some of the board members may remember Lisa from the tours of the conservation center about a month ago.

And if you recall, Lisa is very passionate about conservation, very innovative, and we're just really proud that she was recognized with this award.

So I'm gonna hand over to Julia.

Thank you.

And the many things that she's done, which is in your board packet.

Um we were she was asked to come to the Ellie Copkins Opera House, and with four other um awardees.

This is a national award from a um Waternow Alliance, and uh it included uh a motivational speaker, a video from each of these leaders about their vision and what they hope to accomplish in the future.

They got to speak to our to the small, beautiful, intimate audience in this lovely place, and then they were honored with this kind of incredible trophy.

So um I'm I'm sharing this with you because it really was appropriate to the type of work that Lisa has accomplished in all that she plans to do at Colorado Springs Utilities for this community.

So thank you for honoring us today.

Yeah, well, thank you, Julie.

Yeah, and Lisa, would you like to uh say anything?

Oh my goodness, no.

Say a few words.

I will just say that um I I feel very grateful um for the team and the people I get to work with.

Um, because if it wasn't for the group of people who's all over there, um it would be hard to accomplish everything that I have and all the ideas that we have to move forward because it's really with um all of our team, the efforts they put in, the knowledge that they have, the experience that they have that we're able to make major strides um for the state and locally for Colorado Springs.

So without the team of people who came with me today, there's no way I'd be able to have achieved these things that we did.

So including Julia and Abby and the whole water um resource management side of the house is just amazing.

That's great.

Well, thank you.

And uh, I want to board members who have any questions or comments.

Go ahead, board member Henchel.

Thank you, Chair Donaldson.

Um I just want to show my appreciation and gratitude, Lisa, for you and everyone at the conservation center and working in this part of our utilities.

The um enthusiasm and uh passion that you bring, um it comes out very strong and clear, and I've been a bit beneficiary of of some of your work in my own yard, and um and I think it's really important for whoever for the public record and for whoever's listening to understand that the work you're doing is really about um planning for a very sustainable future for Colorado Springs, and that there is sufficient water uh for us and in part because of the incredible conservation methods that you help us um use and in a beautiful way, by the way, that garden on top of Mesa, and then there's another one off of the um Cottonwood Trail, I think it is, um, that really help us learn uh what what good good water use and native plants and so forth look like.

So you're doing an incredible service uh for our city, and um thank you.

I just really want to express my appreciation.

Thank you.

Okay, any other board members?

Then Lisa, if you would you be so kind as to take a picture with us.

Yes.

Oh, yeah, right, your trophy.

Got it.

That is great.

Congratulations.

Thank you.

Where do we want to go?

You're right in front.

Let's just say thank you.

All right, on the Gat of Three.

Ready, one, two, three.

Thank you.

Okay.

And now our second recognition is from the American Public Gas Association.

Utilities recently received the SOAR Award.

Crystal Cooley Gas Construction and Management Manager and Bill Sunderland Electric and Gas Systems Operation Manager are here to tell us more about this award.

So uh welcome.

I've always waited.

Yeah, this is you.

Well, thank you so much for that introduction.

Bill and I are sitting here, and we just want to say we're so proud of Colorado Springs Utilities that we've been awarded the bronze award through the American Public Gas Association System Operational Achievement Recognition Program.

So at Utilities, we have they say 220,000 customers that we serve.

We have 220,000 service points, right?

Hundreds of thousands of more customers.

So that's pretty exciting for us.

But in our community, they trust us to deliver clean, affordable natural gas, and really to deliver it safely and reliably.

So the APGA recognizes Colorado Springs utilities as forward thinking and constantly striving to improve our operating capabilities, overcome challenges, and adapt to the changing environment.

So this award for us is really proof of our commitment to the community.

It's our commitment to operational excellence, safety, continuous improvement in the natural gas industry.

This award, I I didn't know that it does have years on it, but it's valid for a three-year period.

Um and it really puts us in a select group of public gas systems nationwide that meet this rigorous standards.

And when I when I say multiple, we have I think over a thousand public, um, publicly owned or municipally owned utilities in the nation.

And the award uh was out of 750 of those, and there were 16 recipients.

That's fantastic.

Yeah.

So this award looks at four different areas.

Uh system integrity, system improvement, uh, employee safety, and uh workforce development.

Uh so on the integrity side of things, we've shown strong commitment to maintaining a safe and reliable system uh through our capital improvement projects, asset integrity management and operations and maintenance activities.

Uh, on the system improvement front, uh our teams have embraced tools and technology, participated in voluntary and industry initiatives, and implemented best practices to drive continuous improvement.

Uh on employee safety, we prioritize the safety of our employees through our training programs and clear and uh clear safety procedures.

Uh workforce development, uh, we are actively investing in our workforce through recret recruitment, retention, and professional development to ensure long-term success and employee satisfaction.

Yeah.

This award for us for Colorado Springs Utilities is an achievement, but one of the things that we want we did want to put out there is that this is this this benefits the organization as a whole.

Um, and we had about five of those benefits listed, and it was utility repu reputation, customer trust.

Um, we're investing in our utility.

Um, you know, we have employees from all of these departments back there that represent um that investment.

Uh employee morale.

So this this is this doesn't happen a lot.

We don't get a whole lot of recognition out in the field in engineering and safety and health.

Um, this is a testament for the hard work and the dedication that these employees have to their community.

Um, and then of course, benchmarking, continuous improvement, and increased school.

So bronze today, I'm guessing in three years it's gold.

So that's what we're working for.

Yeah, and I think uh this this uh recognition reflects the collective effort across the organization from the crews in construction and operations to the teams and work management, support services, safety and health, workforce development, engineering, and beyond.

I think it takes commitment from everyone in the utility to make this achievement possible.

Absolutely.

Thank you.

Well well, thank you.

Do we have questions or comments from board members?

And if if not, you know, we we stood up here as a board, and uh I it is often that we see um different different parts, different units of uh CSE receiving these awards.

So you know, congratulations to you, thank you for what you and and all who worked towards this have done.

And uh, you know, our ratepayers, our citizens are fortunate to have have uh good people like you.

Um working for them here at CSU.

So again, thank you from the board.

We really appreciate it.

Thank you.

Will you take a picture with us?

Yeah, can we get some of the other ways?

Thank you.

Would you like to wear that?

We probably shouldn't.

You're right.

Congratulations.

All right, everyone, look here on the count of three, one, two, three.

Thank you.

Good job, Crystal.

Okay.

Let's get here.

Okay, I will now move on to item number seven, which is uh compliance reports.

And this month the the E2 includes the electric cost adjustment, uh gas cost adjustment update, and the water outlook report.

The ECA and GCA materials were provided to board members in our packets, and there will not be a presentation on that.

However, Nick Harris, Water Resource Planning Engineer is here to present this month's water outlook.

And as I look out the window, it looks like we might get some more that we can get.

We don't want the two in Nick, what can you do about that?

Um lately I've been doing dances, so I can I can do a dance for rain but no hail.

Fantastic.

Uh thank you, Chair Donaldson, Vice Chair Williams, uh, members of the board.

Uh, as as was said, uh my name is Nick Harris, and I'm here to present you with the water outlook.

Um as you will notice, this will be a modified presentation to what you have received in the past.

Um we are looking to be cognizant of of everybody's time with this presentation.

So we uh made a few modifications to it.

Um and with that, we will kind of jump into it.

Um so I'll just kind of run through these key points.

Um obviously local precipitation is is a hundred and seventeen percent of normal this year, hopefully a hundred and eighteen by tomorrow.

Um temperatures are actually a little bit below normal, which has resulted in uh a decrease in overall water use for 2025, which is a kind of a double edged sword there.

Um drought conditions have increased across the U.S.

Uh with some severe conditions developing in western Colorado.

I think everybody has kind of heard of the fires going on over there.

So it is it is hot and dry on the west slope of Colorado.

Um runoff has concluded for this year.

Uh so it at this point demands are really gonna be met through uh storage, um, which we are 89 percent of normal this year, which is which is good.

That is above our uh average.

Um and then uh just real quick on the Colorado River, uh Lake Powell inflows are expected to be 45 percent of average, uh dropping the reservoir to 34 percent of capacity.

Um so with that, we thought we would kind of leave you know diving into the the details of of any one of those particular slides up to you guys if you have you know any specific questions, we would be happy or I would be happy to answer those and and I would ask um I know you're responding to some requests, but we would at least I'd like to at least see one one uh map of the state in this like next month.

Um I'll go through the packet and see if there's other things I think we'll miss if we don't see them.

It doesn't it's it's sort of a it's a nice visual thing when we say uh you know the words on the previous slide.

Can you go back the one slide?

I did have a question for you on one of those bullets.

Can't quite see it's behind board member Risley's head.

Okay.

So uh you know there's a statement Lake Powell inflows are expected to be 45 percent of average, dropping the reservoir to 34 percent of capacity.

What was it a couple years ago before that we had the big what year when it was really in the news?

The percentage.

Um Colorado River inflows in 2023.

We experienced an above, well, it was actually about an average runoff year for Lake Powell.

And so you saw Lake Powell come up a little bit.

Um we did not get into the upper tier that's shown on this chart.

Mainly operations have been maintained in that mid-level tier, showing that we'll release the 7.48 million acre feet annually.

Um 2026 there's some projections that go down below that, which would um start up the drought reservoir operations protocol.

Um this year we're not in that, however, projections continue as as they look.

We expect that we'll be in the the drought reservoir operations next year.

Which um we have planned on.

I know you all asked for a larger Colorado River update, and so we will do that in August work session.

Um had planned for this month, but wanted all the board members to be there to be able to hear that.

So we'll definitely dive into some more of those details next month.

Okay.

Uh any other um comments or questions from board members.

Go ahead, go ahead, board member Rainey.

Uh thank you, Chair Donaldson.

Uh, on the slide, the one slide that you presented, uh, there was this uh bullet that had the asterisk on there you go.

As a result, water has been um lowered and projected.

I mean, is that just kind of a one-off right now?

I mean, that's not expected, of course, uh, from a long-tenued perspective.

Is that just because of the current temperature?

How do you see that like in the next month or two?

I I think it it heavily has to do with the precipitation as as was noted, we're at 117 percent.

Um as you get rain consistently over a few days.

If if you watch the daily numbers, you can absolutely see the the response of the customers of utilities shut their start to shut their systems down.

Um this this current slide right here kind of shows in the the dark blue line there what actual production is over the course of 2025, and then the the average is the kind of yellow line there.

So you can see that as it is it did rain pretty consistently there uh in the early part of June.

There was there was definitely a response uh from the customer base reducing their usage.

We have now kind of picked back up to where we would anticipate you know demand to be.

Um, I don't know that we'll jump real high above it.

We would have to get hot and dry, but we are where we anticipated or would plan to be.

Okay, thank you.

Board member Hangin.

Yeah, I mean, we we shut off our sprinkler system.

I think it didn't run for three weeks in a row, actually, because we had such consistent rain.

Um, and I obviously that hurts our revenues, but I would assume I mean correct me if I'm wrong, but that that would be the appropriate response that you would want from customers is not to use water that isn't needed for your landscaping, even though it hurts our revenues from a water use perspective, or would you rather we use our water and s and bring in the revenues?

No, he would not.

Yeah, no, I I I would not.

I um from from our side, I don't necessarily track the revenues, but we would absolutely recommend to all of utilities customers that it if it's going to rain that you go ahead and shut off and conserve that water for for use at a later time.

You know, we do everything that we can to prepare for the future, and as you saw some of the the conservation folks up here earlier, they are phenomenal at their job at helping us and the customer base conserve wherever we can.

Yeah.

That's what I that's what I would expect.

Yeah, thank you.

Yeah, yeah.

And I might just add to that, Abby Ortega.

Um after 2011, when we saw a lot of major swings, we were seeing about a 20,000 acre foot swing from year to year in our customer demands.

Um utility board at the time created we we call it the rainy day fund, but really it's a it's a reserve fund so that if our revenues are extremely suppressed because of the low water use, which is what we ask our customers to do, um, that we can use some of that revenue to fund the projects in that year to make up that difference.

And so this is not so drastic that we need to tap into that type of a fund, I don't believe, and and Tristan can certainly cover that if we do.

But we have put contingencies in place to be able to accommodate that and are super ecstatic about our customers' response to the conservation efforts over the last 20 years.

Okay, anything else from board members?

Um good job, Nick.

I think personally I probably prefer more of what we used to get uh in the briefing, but we'll discuss that among ourselves.

It looks like maybe there's comment.

Yeah.

Go ahead, uh, Vice Chair Williams.

And at least when you and I met Chair Donaldson, we talked about maybe in the work session in August to go over the slides and collectively have that conversation as to how much is too much or how much is not enough to give them some guidance.

So I appreciate the fact that we now have a balance.

I mean, we've in my opinion we've had too much, but now we've had what some might feel is not enough, and we'll just find a happy medium somewhere in there.

Uh absolutely.

I mean, I'm I am here to provide you with the information that you wish to see.

So I will adjust as necessary.

One thing too, you can see we're you know, Nick fast forward all of the data is still there.

So, you know, there was really no data start based presentation, so none of that was removed.

So a lot of that can also be off a situational you're for you view the data before the meeting.

You have a question, of course.

We can pull it up just like Nick did to speak to it.

So I just want to make everything's still there.

So okay, and we do have a question from or a comment from board member line Weber.

From Wyoming.

Um thank you.

Um Donaldson.

Um the one slide that I I do um I haven't I do like to see though is the conservation slide.

We've been actually talking about that about our water use that um it has the bars and it shows you know how much below, you know, how much we're conserving as a s a city.

And I I I just I like that as a constant reminder.

Um that's not that one.

Um it's the one with the blue bars, yeah.

Lisa has it.

Yeah.

Yeah.

It yeah, Lisa knows the one I like.

Um yeah, that guy, you know, that that um it it's not in Oh, that we went right past it, yeah.

Yeah, we just went past it.

It's like four slides away from this one.

I agree with you, David.

I think it just should be a constant reminder that we're we we we're doing really good.

And uh it looks like for 2025, we're estimating that we're gonna be at 92 percent.

Is that what that is of average?

Pretty good.

So great.

So our citizens are doing a great job in conserving, which is great.

So that's it.

Thanks.

And you we will figure it out at our at our work committee, but I'll just say for uh board members, this is water is is extraordinarily important for CSU for for the Southwest for Colorado Springs.

You know, it takes 10 minutes or whatever to do the whole packet.

Um it's a dedicated time.

A lot of us are always busy.

Uh now we're here.

And so for me, it's not too much to uh to go through this.

And it it's good to compare it.

We only do it in the summertime, but to compare it month to month, we value it, Abby.

Uh so uh with that, I I don't have any other comments or questions.

Does anyone else?

If not, thanks a lot, Nick.

Thank you, Abby.

Thank you.

Okay, our next item will be item number nine.

We will be voting on this one, whether or not to move it uh forward to city council.

Scott Lorenz, the water resources management planning supervisor, and Nathan Endersby, senior water attorney in the city attorney's office are here to present on the restoration of yield establishing agreement.

Um okay, gentlemen, you can uh you can go ahead.

You know how to work those?

Yes.

Okay.

It's been a while, but Chair Donaldson, Vice Chair Williams, rest of the board.

Thank you for taking your time today to talk about what we are pretty excited about in the water resource planning team.

This has been a 20-plus year effort.

Uh so your predecessors and our predecessors have worked on this for a long period of time.

So I don't like to read just directly off of the slides, but I'll give you a little bit of background.

This is a project that has lots of partners.

Um, of course, we're at the center of it.

Board of Waterworks of Pueblo and City of Aurora are major partners.

We each have 30% ownership in any effort we move forward with.

And then City of Fountain, Pueblo West Metro District, and Southeast Colorado Water Activity Enterprise, which is also known as the Southeast Conservancy District.

They all have minor portions in there uh around 3% each.

So the background on restoration of yield or Roy is the acronym for it, is City of Pueblo in the early 2000s wanted to protect flows going through their city.

We the participants of Roy also use the same river to exchange water up into Pueblo Reservoir.

It's a key part of Colorado Springs system to be able to move our water up from Fountain Creek up into Pueblo Reservoir.

And so what ended up being quite a long negotiation amongst all the parties turned into a 2006 intergovernmental agreement that City of Colorado Springs and Springs utilities entered into with these parties, and it basically protects an amount of flow going through the Arkansas River City of Pueblo.

And in exchange for that, there was supposed to be a reservoir built somewhere shortly downstream of the where Fountain Creek meets the Arkansas River, and it was to recapture those flows that we otherwise would have exchanged.

We knew the water was vitally important for the city, the other participants.

Um it's just as vitally important for them.

And so we were supposed to build storage, and there was really a lot of buzz at the time in 2006.

There was a lot of effort put into it.

They identified a potential storage site.

That deal fell through, and then it just sat for a while.

And so shortly after I came to Springs Utilities, we started a new effort that Colorado Springs Utilities staff took the lead in to identify potential storage sites.

That ended up being a planning study that we led, but all the participants also had active roles and and paid into that.

And we identified a site, the first site near Boone, Colorado, where we would like to build a 5,000 acre foot reservoir.

And it's specifically to capture these flows.

It'll be a multi-use reservoir, but primary use has to be to recapture these flows that we're not exchanging up into Pueblo Reservoir.

That property came available.

Or actually put the site under contract, and then we found out how cumbersome it was to actually work through the IGA.

To have all the participants in Roy acquire the property, we're partners in interest.

I forget joint tenants.

And so every time we want to make a decision about the property, if we want to have a tenant farm it, which there is farmland there, when we need to do studies to look at actually building the reservoir, we would have to come back to each of the boards of these organizations.

And that really wasn't a very practical way to move forward.

And so the parties all met again.

Our city attorney's office took again a lead role in that.

I can't stress enough just what a good job they did with this, and they came back with the idea that a joint water authority is the appropriate tool to allow these partners to govern this site, not just the site by Boone, Colorado, but also look at future storage sites.

The ultimate lead need of the Roy Group is up to 40,000 acre feet of storage at a build-out period, so 50 years down the road.

This one will take care of 5,000 acre feet of that need.

But what we're asking you to look at today, and Nathan will work through the details of the ask is to allow this authority to be formed that would not just work on the Boone Reservoir site, which is called Haynes Creek, but also further the goals of the Roy group, which is really for all these entities to work together to recapture those unexchanged flows.

And so with that, I'll hand it over to you and Nathan.

Thank you, Scott.

So my name is Nathan Endersby.

I'm a senior attorney with the City of Colorado Springs City Attorney's Office.

Um I've been working for utilities for roughly five years now.

My colleague Michael Gustafson did the majority of the work on this intergovernmental agreement and in the negotiations with the other six parties.

However, what we're asking for the city and for the utilities board to approve of is to approve of us moving forward with the IGA and approve of the IGA so we can bring it to City Council on the consent calendar in August and approve the IGA, finalize it with the other six parties, and also convey the Haynes Creek property, which was, as Scott said, purchased by the Pueblo Board of Waterworks to the authority created under this Roy Water Authority.

What the water authority does is it creates one single entity that can manage the Roy properties.

They can take on debts, they can manage the property.

And really what it does is it creates a lot more of a simple process.

Like as Scott said, one of the issues with the Royal Authority or with the Roy program in the past has been sort of corralling all six of the members and getting them all on the same page at the same time.

I mean also just the red tape.

So what this would allow us to do is it would allow the authority to acquire a real property for the Roy program to construct and operate the and to plan for the construction of the reservoir on the Haynes Creek property and to move forward with that, as well as in the meantime before that reservoir is created to manage the property, manage farming or grazing weeds and other land-based issues.

Yeah, so with that, uh I know we threw a lot of information and said intergovernmental agreement a lot of times.

I would be happy to answer any background questions you have or questions of what this looks like moving forward.

Well, yeah, but I'm not sure what my question is.

I'm I'm not sure.

Okay, we have one real question, I guess.

Go ahead.

My apologies, I didn't think of this when we were briefed in advance.

But how would the representative for Colorado Springs be determined that sits on this board?

So we would have two board members.

Um we would have initial ones that are listed as part of the IGA.

One of them is myself, and the other is Katie Garrett, who's also in the water resource management team.

But that would always be a utilities board decision to designate board members to serve on that board.

The when I talked about the ownership percentage, um participation percentage, we would have commensurate voting rights for our 30 percent.

And so those smaller entities, it kind of breaks into blocks where Aurora, Colorado Springs, and Pueblo Board of Waterworks have the vast majority, and we really need to agree on something for it to move forward.

The other parties still have a say and they will have a vote in moving forward.

Um but they don't wouldn't necessarily control those decisions.

Is that set by your position or is it set by your specific names?

Or is it just say that we will figure this out and then present our representatives?

It will so for the initial ones it's set just by name, but it's set for utilities board to designate representatives to serve on their when um the attorney group came back.

The problem they were dealing with is you have to have an initial board to actually set up the organization, and so everybody put those designees in there, and those are actual names, but afterwards it it's not always I I hope it's not always gonna be Scott Lorenz.

It's going to be whoever the board would designate, similar to the home stake joint water authority that we're a part of.

Okay, thank you.

Um board member Hendrium.

Yeah, I think I have a cogent question.

Um could you just maybe state another way um for my understanding how this will how this serves our overall water system and and what is the cost?

Great question.

Um the risk that we experience today, the risk that we took on when we allowed um the in-stream flow through City of Pueblo, which obviously is a big deal for them.

They needed to have that flow through there.

The risk we take on is there's times that we cannot exchange our Fountain Creek water up into Pueblo Reservoir.

Today, when that happens, we don't have great choices.

We have to run down to Lake Meredith, which could suffer up to 50 percent transit loss, um, or run down to the Holebrook system, which is even further downstream.

And so today what we've been doing is leasing those flows back to augmentation groups in the lower Arkansas Valley when we're not able to exchange.

Um the reservoir is built.

Our preferred alternative is to take this water into the new reservoir site, store it there until exchange potential comes, and then we would move it back up into Pueblo and into our system.

So it increases um the efficiency of our yield.

It increases the water we currently own.

It allows us to more effectively use that.

On the reservoir itself, the 5,000 acre foot reservoir, um, I could look to Kim.

She has Kim is Kim Gortz um is my boss, and she's a she's a keeper of the budget for us.

So I know we're looking in the 2035 time frame.

And do you want to put up fingers?

$30 million for 5,000 acre feet of storage, and that would be split amongst all the participants.

So 30% of that cost would go to us.

Okay.

And that's currently in our budget.

It's currently in the budget, and back to your question.

Um that's another point that utilities will have input is we would have to approve the budget to spend on any of those projects.

So the Roy Authority gets to manage it, but the funding still comes from the individual participants, and so we still get that say of yes, we think it should happen in this time frame.

This is the budget that we have to do it at that time.

It doesn't the tail doesn't get to wag the dog in that.

Okay.

I I think I I think I understand.

Thank you.

Okay.

Other questions from board members.

Okay.

If uh if there are no further questions, I would ask for a motion and a second to uh to move this item forward to city council on August 12th.

We'll get to that part, but first we're just gonna pass it or not pass it.

Yeah, move to recommend forward.

Uh motion by board member Crow Iverson and a second by board member Bailey to uh move it forward uh on the 12th.

Um all those in favor, please say aye.

Any opposed okay, and that's uh unanimous.

Then we get a thumbs up from uh board member lineweber and then council president uh could we give a good put it on consent.

Any objections to that among board members?

No objections to that.

And there's thumbs up from uh board member lineweber.

Okay, so consent the 12th Unanimous.

Okay, thank you very much, gentlemen.

Yep, thank you.

All right.

And so we'll we'll now move on to item number 10, which is the overlook mutual water company settlement and augmentation agreement.

This will also we'll need to vote on this also to move it forward.

And water resource planning engineer Jenny Bishop joins us again, and the utilities division chief for the city attorney's office sitting directly across from me, Renee Congdon will present this item.

Um go ahead, Jenny.

Good afternoon, Chair Donaldson, Vice Chair Williams, and other members of the board.

My name is Jenny Bishop.

I am a water resources planning engineer with Colorado Springs Utilities, and I will be giving you an overview of the Overlook Mutual Water Company settlement and augmentation agreement.

So the Overlook Mutual Water Company is located in an enclave within El Paso County.

The Enclave is actually located above the Cheyenne Mountain Zoo.

It is a uh company that serves 28 homes that were originally constructed in around 1911.

It was originally a Colorado College professors summer retreat area, hosted artists and so forth, and now most of those residences are full-time.

That district collects groundwater into its system and treats that and serves those 28 homes.

It is under the auspices of the Colorado Department of Public Health and Environment because it's an actual water district.

That district has been using water rights from the McKay Tunnel since its inception and has never actually owned those water rights that it has been using.

Making sure that they were able to divert those water rights.

Um, and they agreed to get out of the Broadmoor certificated area, meaning the Broadmoor would have no obligation to continue serving that district, but for allowing them to continue to use that water.

Since 1973, Colorado Springs has developed water rights that were associated with that 1973 agreement to the benefit of Colorado Springs Utilities uh customers.

However, the water rights associated with that McKay tunnel that has been used by Overlook were never developed by Colorado Springs because they didn't result in substantial water for use for our customers.

And because it is so junior, it is very rarely actually in priority.

And so putting in the infrastructure to divert and use that those water was never part of the prioritization for Colorado Springs water services.

Um with the Colorado State, uh informed the Overlook Water District that an augmentation plan would be needed in order for overlook to continue operating those water rights.

And so because of the exchange of uh those water rights over time and the various agreements, there was some dispute over who was legally obligated in order to get that augmentation plan administered through the water court system.

In order to make it abundantly clear and to make it abundantly clear that Overlook would have that onus going forward of managing those water rights.

Colorado Springs staff recommends that Colorado Springs go ahead and settle with the Overlook Water District.

Deed those water rights over to the overlook water district so that they have that obligation to maintain an augmentation plan.

Colorado Springs Utilities would coordinate with Overlook Water District and communicate and convey up to $35,000 towards that adjudication of an augmentation plan.

And then Colorado Springs Utilities would propose entering into an augmentation service agreement with Overlook so that the water that is being used by the district is appropriately replaced within the Fountain Creek system to meet senior water rights demands downstream of the McKay tunnel.

The settlement then would release all claims to those earlier agreements and again make it very clear who has obligations going forward for maintaining and administrating water rights.

The augmentation services agreement that uh utilities would enter into with the overlook district would be a special contract that we are allowed to do under city code.

It would be for up to three acre feet of water annually.

That agreement could be we would propose a 25-year agreement for that since it is for water that is owned by Colorado Springs.

The costs would be based on our augmentation service tariff and would have a 1.5 multiplier on that because it is an outside city service and would include an administrative fee of 250 dollars per year to for our staff time dedicated to handling the that administration.

What we are asking today is that utilities board vote on sending this uh agreement, the settlement agreement and the uh augmentation service agreement on to city council for approval on consent at the July 22nd City Council meeting.

And I'm happy to answer any questions that you all may have.

Um okay.

I'll look and see if there are any uh well, first I'll just state for for uh citizens watching that this as it says on our agenda, this was uh what was presented to us in closed executive session information about uh overlook mutual water company, so questions were answered there.

Um so but are there any additional questions that board members have?

And if not do you feel like you're you're done with your presentation, Jenny?

Okay.

Then uh I would ask for a motion and a second to uh a motion and a second to move this item forward to city council on July 22nd.

Okay, so we have a motion from board member gold and a second from board member Rainey.

Is that okay?

Uh any further discussion.

If not, all those in favor, please say aye.

Okay.

Everybody said aye, and and board member lineweber signaling is approval.

Um, okay, so that passes unanimously, and I believe this one also uh are we asking we are looking to put this on consent, so madam president, you're good with that.

Any objection to that among board members?

David, you good with that?

Okay.

So everyone signals that's okay.

All right.