April 11, 2018 District No. 2 Meeting Minutes

MINUTES Of the MEETING OF THE COMMISSIONERS Of the BUFFALO RAPIDS IRRIGATION DISTRICT NO. 2 Terry, Montana April 11, 2018 The twelfth Regular Meeting of the members of the Buffalo Rapids Irrigation District No. 2 at Terry, Prairie County, Montana, was held on the eleventh day of April, 2018 at 1:30 p.m. There were present and participating at the meeting: Barry Rakes Lance Kalfell Scott Sackman Also present and participating were: Tim Kortum, Manager, and Pat Davis, Treasurer. President Barry Rakes called the meeting to order, stating that all necessary and advisable business be conducted during this time and that notice had been received by each Board Member. Thereupon, President Barry Rakes announced that legal notice had been given and a quorum was present so that the meeting was legally and lawfully ready to transact business. The Minutes from the March 14, 2018 Board Meetings were approved without corrections and, or additions, by Lance Kalfell seconded by Scott Sackman. All in Favor. Motion Carried FINANCIAL REPORT: Pat Davis presented current budget figures which included payroll and expenditures through April to all Board members for their review. A list of invoices to be paid was submitted and forms for the Prairie County Treasurer to transfer funds in the amount of $50,733.57, to cover payroll and invoices were signed. April 15th estimated payroll: $11,867.73; April estimated invoices $21,980.34; April 30th estimated payroll: $16,885.50. Investment transfer was also signed to invest the remaining monthly District No. 2 cash balances in the amount of $450,692.88 with Prairie County Pool. Warrant numbers from March 16, 2018 to April 12, 2018 range from 24420 to 24460, with voided warrant numbers 24435, 24436, 24437, & 24438 that printed incorrectly. On a motion made by Scott Sackman and seconded by Lance Kalfell the treasurer’s report was approved. All in Favor. Motion Carried. MANAGER’S REPORT: Mr. Tim informed the members of the Board that they had received a letter from Kim Wilson, attorney for Mr. John McAulay Ranch, concerning the excavation of U.S. Drain 49-10-I in Unit 219-1. The Board and Mr. Wilson, along with McAulay Ranch representatives, will meet at the Buffalo Rapids Irrigation District No. 2 office on April 26, 2018 at 10:30 a.m. to discuss the issue further. Mr. Tim Kortum relayed to the District No. 2 members of the Board that they were busy in the field installing internal seals at the Shirley Pumping Plant discharge lines. The crew is beginning to put the pumps back in that were taken out for routine maintenance and or repair. Tim Kortum and Pat Davis reported to the members of the Board that Abigail Brown, Farve & Brown Law Firm, has filed with the Department of Natural Resources to correct (18) eighteen of the water rights for Buffalo Rapids Irrigation District No. 2 that also had District No. 1 listed as ownership. Mr. Tim Kortum informed the Board that he had spoken to Mr. Steve Davies, Bureau of Reclamation, and he informed Tim that there will be a power increase of 20% per year until it reaches 13.5 mills for the District for the supply of Pick Sloan Power. The current rate is 2.5 mills. Mr. Davies stated that a letter will be forthcoming stating as such and explaining everything in detail. The Board and Mr. Kortum discussed at length about what the Board will need to do to combat the increase to the District. Tim has spoken to several different entities including lobbyists that are available to contest the substantial increase and therefore cost that will impact the District and their operating budgets for the foreseeable future. Tim Kortum also spoke to Mr. Mark Beatty, Bureau of Reclamation about supplying water to the District with Conservation District reserve water rights through the Bureau of Reclamation canals in Buffalo Rapids Irrigation District No. 2. Mr. Beatty confirmed with Mr. Kortum that water rights from the Conservation District can be transported in the project facilities, but should be acquired in the name of the District so that they can consider it project water and therefore is not required to pay contract costs as it would on an individual landowner basis. Tim and the Board discussed the possibility of the addition of acre to any of the Divisions that had the capacity to supply irrigation water to additional lands without surpassing pumping capacity for that Division. Tim will continue to speak to individuals about the subject and report back to the Board. The meeting was adjourned on a motion by Lance Kalfell, seconded by Scott Sackman. All in Favor. Motion Carried. ATTESTED: ________________________________ ____________________________________ Tim Kortum, Secretary Barry Rakes, President