May 14, 2019 DIstrict No. 2 Meeting Minutes

MINUTES Of the MEETING OF THE COMMISSIONERS Of the BUFFALO RAPIDS IRRIGATION DISTRICT NO. 2 Terry, Montana MAY 14, 2019 Before the meeting could be called to order, the following nominations, elections and appointments needed to be made: The meeting was then turned over to Scott Sackman who declared nominations or appointments open for Commissioner of Fallon Division of the Buffalo Rapids Irrigation District No.2 with Barry Rakes being nominated and appointed by Scott Sackman. Lance Kalfell made a motion that all nominations cease, seconded Scott Sackman, and a unanimous ballot be cast for Barry Rakes. Mr. Barry Rakes commission was uncontested by any other opponent for the three-year term. A unanimous ballot was cast for Barry Rakes, and it was, RESOLVED, that Barry Rakes be and he is hereby elected and appointed to the position of Commissioner of Fallon Division of the Buffalo Rapids Irrigation District No. 2, to hold office until the twelfth regular meeting to be held in May of 2020 and/or until his successor is elected and qualified. Barry Rakes holds the title as Commissioner of Buffalo Rapids Irrigation District No. 2, Fallon division. Mr. Rakes accepts his position. Scott Sackman declared nominations open for President of the Buffalo Rapids Irrigation District No. 2. Barry Rakes was nominated by Lance Kalfell. Lance Kalfell made a motion, seconded by Scott Sackman, that all nominations cease, and a unanimous ballot be cast for Barry Rakes. A unanimous ballot was cast for Barry Rakes, and it was, RESOLVED, that Barry Rakes be and he hereby is elected and appointed to the position of President of the Buffalo Rapids Irrigation District No. 2, to hold office until the twelfth regular meeting to be held in May of 2020 and/or until his successor is elected and qualified. Mr. Rakes accepts his position. The meeting was turned back to President Barry Rakes. President Barry Rakes declared nominations open for Vice President of the Buffalo Rapids Irrigation District No. 2 with Scott Sackman being nominated by Lance Kalfell. Lance Kalfell made a motion, seconded by Barry Rakes, that all nominations cease, and a unanimous ballot be cast for Scott Sackman. A unanimous ballot was cast for Scott Sackman, and it was, RESOLVED, that Scott Sackman be and he is hereby elected to the position of Vice President of the Buffalo Rapids Irrigation District No. 2, to hold office until the twelfth regular meeting to be held in May of 2020 and/or until his successor is elected and qualified. Mr. Sackman accepts his position. Nominations were open for Secretary of the Buffalo Rapids Irrigation District No. 2 with Tim Kortum being nominated by Barry Rakes. Lance Kalfell made a motion, seconded by Scott Sackman, that all nominations cease, and a unanimous ballot be cast for Tim Kortum. A unanimous ballot was cast for Tim Kortum, and it was, RESOLVED, that Tim Kortum be and he is hereby elected to the position of Secretary of the Buffalo Rapids Irrigation District No. 2, to hold office until the twelfth regular meeting to be held in May of 2020 and/or until his successor is elected and qualified. Mr. Kortum accepts his position. Nominations were open for Treasurer of the Buffalo Rapids Irrigation District No.2 with Pat Davis being nominated by Lance Kalfell. Lance Kalfell made a motion, seconded by Scott Sackman, that all nominations cease, and a unanimous ballot be cast for Pat Davis. A unanimous ballot was cast for Pat Davis, and it was, RESOLVED, that Pat Davis be and she is hereby elected to the position of Treasurer of the Buffalo Rapids Irrigation District No. 2, to hold office until the twelfth regular meeting to be held in May of 2020 and/or until her successor is elected and qualified. Mrs. Davis accepts her position. All nominations being made and accepted, the First Regular Meeting of the Members of the Buffalo Rapids Irrigation District No.2, at Terry, Prairie County, Montana, was called to order, held on the 14th day of May, 2019, at 7:00 p.m. MINUTES Of the MEETING OF THE COMMISSIONERS Of the BUFFALO RAPIDS IRRIGATION DISTRICT NO. 2 Terry, Montana MAY 14, 2019 The First Regular Meeting of the members of the Buffalo Rapids Irrigation District No. 2 at Terry, Prairie County, Montana, was held on the Fourteenth day of May, 2019 at 7:00 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 April 11 and April 15, 2019 Board Meetings were approved without corrections and, or additions, by Lance Kalfell seconded by Barry Rakes. All in Favor. Motion Carried FINANCIAL REPORT: Pat Davis presented current budget figures which included payroll and expenditures through May 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 $83,185.76, to cover payroll and invoices were signed. May 15th estimated payroll: $19,255.70; May estimated invoices $47,006.36, May 31 st estimated payroll: $16,923.70. Investment transfer was signed to invest the remaining monthly District No. 2 cash balances in the amount of $402,914.08 with Prairie County Pool. Warrant numbers from April 12, 2019 to May 15, 2019 range from 25027 to 25090. On a motion made by Lance Kalfell and seconded by Scott Sackman the treasurer’s report was approved. All in Favor. Motion Carried. MANAGER’S REPORT: Tim presented to the members of the Board documents for signature and/or approval, from the water rights attorney Abigail Brown. Presented was a draft resolution 2019-03-01, the revision to resolution 2019-03, that would replace and supersede the March 13, 2019 resolution. The proposed draft of the petition to extend the Buffalo Rapids Irrigation District No. 2 boundaries and the landowner consent that was signed and notarized to include the approximate 16.6 acres that was located outside of the District boundaries. Included also was the proposed order re setting hearing on petition to change District boundaries and requiring notice of the same. The Board also signed a resolution that was drafted by their attorney in the matter of Buffalo Rapids Irrigation District No. 2 to amend District Boundary. On a motion made by Scott Sackman, and seconded by Lance Kalfell it was Resolved to: RESOLUTION OF THE BOARD OF COMMISSIONERS OF BUFFALO RAPIDS IRRIGATION DISTRICT NO. 2 TO AMEND DISTRICT BOUNDARY Resolution Number 2019-03-01 Relating to the Lands Falling Within the Buffalo Rapids Irrigation District No. 2 Boundary but Not Included in Previous District Court Decrees WHEREAS the Buffalo Rapids Irrigation District No. 2 ("District") was formed in cooperation with the United States of America, Bureau of Reclamation ("BOR") under Federal Reclamation laws and irrigates certain lands with water made available through this cooperative agreement. WHEREAS the District Court of the Sixteenth Judicial District of the State of Montana, in and for the County of Prairie issued an Order in the Matter of Organization of Buffalo Rapids Irrigation District No. 2 Establishing the District boundaries on February 10, 1941 and filed with the Clerk of District Court on February 20, 1941 as Civil Case No. 1574. WHEREAS the following lands, containing approximately 60 acres, more or less, of which 16.6 are irrigated, and were not part of any court decree to date, but have been assessed by the District for irrigation, are susceptible of irrigation works of the District canals and water supply, and should be included as part of the District’s boundary: Diamond Ring Ranch, LLC: Township 10N, Range 49E, Custer County Section 15: SENE, N2NESE (Hereinafter, “Irrigator.”) WHEREAS the lands owned by the Irrigator can be, or have previously been, served with a supply of water for irrigation from the District. The Irrigator has already consented in writing to include its land within the District Boundaries; this consent is attached hereto as Attachment 1. WHEREAS the Irrigator has no other feasible way to irrigate the above described lands except by the irrigation system and works that serve the District. WHEREAS it is beneficial to the District and the Irrigator to include the above described lands within the boundaries of the District. WHEREAS the extension of the District boundaries shall not deprive the lands already in the district of an adequate supply of water for irrigation purposes. WHEREAS extending the boundaries of the District as petitioned, does not impair or affect the District's organization or its rights in or to property or any of its rights or privileges of whatsoever kind or nature, nor does it affect, impair or discharge and contract, obligation, lien, or charge for 1 Prairie County is now part of the Seventh Judicial District. or upon which it was or might become liable or chargeable had such change of its boundaries not been made. WHEREAS the District is comprised of 3 divisions: Shirley, Fallon, and Terry Districts. The total irrigated acres being petitioned to include in the Shirley Division are approximately 60 acres, 16.6 of which are irrigated. No acres are being petitioned to be added to the Fallon or Terry Divisions. WHEREAS aerial photograph showing the current District boundaries and proposed expanded District boundaries of the Shirley Division are attached hereto as Attachment 2. WHEREAS this Resolution replaces and supersedes Resolution 2019-03, adopted March 13, 2019, in order to correct minor errors in legal land descriptions and acreages, and to address questions posed by the BOR regarding legal land descriptions and acreage numbers. NOW, THEREFORE, BE IT RESOLVED that the Board of Commissioners of Buffalo Rapids Irrigation District No. 2 agrees that the current boundary of the District be extended so that the lands owned by the Irrigator as described above may be included in the District; that the expansion of the District boundaries are in the best interest of the District; that BOR issue its approval of this boundary extension in accordance with Mont. Code Ann. § 85-7-1821; and that upon such approval, the BOR shall make an order granting such approval to extend the boundaries of the District to include the Irrigator’s lands. Board of Commissioners of Buffalo Rapids Irrigation District No. 2 Abigail R. Brown ARB Law Group 7 West 6th Avenue, Suite 512 Helena, MT 59601 (406) 457-5494 office@mtwaterlaw.com abby@mtwaterlaw.com Attorney for Buffalo Rapids Irrigation District No. 2 MONTANA SEVENTH JUDICIAL DISTRICT COURT, PRAIRIE COUNTY IN RE THE MATTER OF BUFFALO RAPIDS IRRIGATION DISTRICT NO. 2 Cause No. ___________ CONSENT TO EXTENSION OF DISTRICT BOUNDARIES COMES NOW, Gregory L. Roberts, Managing Member of Diamond Ring Ranch, LLC, and does hereby represent to the Court the following: 1. That Diamond Ring Ranch is the holder of title or evidence of title to the property which is proposed to be included in the expansion of the boundaries of the Buffalo Rapids Irrigation District No. 2 (“District”) and described as follows: Township 10N, Range 49E, Custer County Section 15: SENE, N2NESE 2. The irrigated acreage is approximately 16.6 acres. 3. Diamond Ring Ranch constitutes the majority title holder and owns more than two-thirds of the acreage petitioned to be included in the District’s boundaries. 4. That by executing this document, Diamond Ring Ranch consents to the inclusion of its lands within the boundaries of the District upon the terms to be fixed by the Court. 5. That Diamond Ring Ranch hereby waives personal notification of the Public Hearing on the Petition for addition of lands to the District and acknowledge that the publication of such All attachment aerial photographs will be included in original documents at Buffalo Rapids Irrigation District No. 2. All in Favor, Motion Carried. Tim informed the members of the District No. 2 Board that the crew has completed installing the pumps and motors for the District. The new pump and motor has been started in the Fallon Division, and they will start water in the Terry Division on Wednesday. Bill Fleckenstein along with Ben Benjamin will take on the duties of the Terry Ditch Rider for the water season. Mr. Kortum informed the members of the Board that they had received the funds, in the amount of $157,365.00 to be deposited into the System Rehab Reserve account, from the Montana Department of Transportation, for the compensation and release for the non-replacement of 30"x458' CSP Irrigation Siphon at Station 1979+83 located in Farm Unit 273 in the SE1/4SE1/4 of Section 33, T 13, R 52 E, Prairie County and for land and improvements that would eliminate the siphon in Fallon Division that supplies water to irrigated lands north of I94. The irrigated lands will be delivered water through a constructed pipeline that would be bored, to eliminate the existing siphon, to better ensure water delivery in all future years. Agri Industries has been contracted to complete the project and Montana Dakota Utilities has agreed to supply the three-phase power needed to run the pump for the pipeline. Mr. Tusler has been working on filling in the existing canal in preparation for the upcoming work. Mr. Kortum presented to the Board correspondence concerning the subject of McAuley Ranch and the excavation of US Drain 49-10-I, from District No. 2's attorney Mrs. Abagail Brown. After the members of the Board reviewed and discussed the correspondence, they advised Mr. Tim Kortum of their response to forward on to Mrs. Brown. Tim will also contact the Bureau of Reclamation Regional Direction, Steve Davies, and speak with him on the issues as well. No current updates to report on the grant applications to date. Tim will contact Mr. Aspenlieder and inquire later in the week. Mr. Tim Kortum will be attending the Prairie County local working group meeting to help identify and prioritize local natural resource concerns, to be held May 15, 2019. The meeting was adjourned on a motion by Scott Sackman, seconded by Lance Kalfell. All in Favor. Motion Carried. ATTESTED: ________________________________ ____________________________________ Tim Kortum, Secretary Barry Rakes, President