WORK SESSION ITEM City Council

DATE: STAFF: January 28, 2014 Ken Sampley, Stormwater/Floodplain Program Mgr Jon Haukaas, Water Engr Field Operations Mgr WORK SESSION ITEM City Council SUBJECT FOR DISCUSSION Boxelder Basin Regional Stormwater Authority Update. EXECUTIVE SUMMARY Boxelder Basin Regional Stormwater Authority (BBRSA) was formed by Intergovernmental Agreement (IGA) in 2008 with the purpose of funding and implementing regional stormwater improvements. BBRSA Members include Fort Collins, Larimer County, and Wellington. Timnath is a financial partner by separate IGA with the BBRSA. There are three remaining projects scheduled for completion by July 2015 with an estimated total cost of $11.75 million: (1) Construction of a detention facility on the east side of I-25; (2) a flood control crossing of the Larimer & Weld Canal; and (3) improvements to CR52 to prevent road overtopping. The BBRSA has received low interest loans from the Colorado Water Conservation Board (CWCB) that can be used for property acquisition and regional stormwater project design and construction costs. A new IGA is required between Fort Collins, Larimer County and Timnath to fund a portion of the costs associated with improvements at County Road 52. The three parties have agreed to share equally in splitting the estimated ($1.04 Million). The updated Benefit/Cost Ratio for the BBRSA projects is 3.95. Such a high B/C ratio demonstrates the dramatic benefits of these regional improvements. GENERAL DIRECTION SOUGHT AND SPECIFIC QUESTIONS TO BE ANSWERED This item provides background information and the current status of the Boxelder Basin Regional Stormwater Authority (BBRSA). BACKGROUND / DISCUSSION There is a significant amount of background information applicable to this item. That information is provided in the paragraphs below as follows: 1. History of the originating Boxelder Alliance. 2. The initial Boxelder Creek Regional Stormwater Master Plan. 3. Formation of the Boxelder Basin Regional Stormwater Authority (BBRSA). 4. Progression of the Authority and Master Plan since 2008. 1. BOXELDER ALLIANCE Early in 2005, stormwater planners in northern Larimer County took a holistic approach to addressing flood hazard and stormwater drainage problems in the Boxelder Creek watershed. The current BBRSA members have been working together for over 8 years. This watershed or basin encompasses over 265 square miles and extends from just north of the Wyoming border to the Poudre River on the south. Attachment 1 shows the entire FEMA mapped Boxelder Creek floodplain from the Poudre River on the south to just below the existing NRCS dams to the north. Because the Boxelder Creek floodplain affects many property owners and several local

January 28, 2014 Page 2 governments, intensive efforts were made to develop a regional flood hazard mitigation plan. It should be noted that Coal Creek and Indian Creek both feed into Boxelder Creek near the Town of Wellington. The communities of Fort Collins, Wellington, Timnath, Windsor, and Larimer County all shared a common goal in mitigating the flood hazard posed by Boxelder Creek. The Alliance was formed in early 2005 to develop a regional solution that is more efficient, wide ranging and cost effective than the entities could develop independently. The Alliance members included: Colorado Dept of Transportation (CDOT) Larimer County City of Fort Collins Town of Wellington Town of Timnath Town of Windsor North Poudre Irrigation Company Boxelder Sanitation District New Cache La Poudre Irrigation Company A Private Property Owners Group Colorado Water Conservation Board (CWCB) 2. Boxelder Creek Regional Stormwater Master Plan Representatives of these entities met over a period of two years to consider ways to mitigate flood hazards within the area that is tributary to Boxelder Creek from County Road 70 north of Wellington south to where Boxelder Creek floodwaters join the Cache La Poudre River. The Boxelder Creek 100-Year floodplain impacts approximately 4,900 acres of land within the regional area. While average floodplain velocities and depths are low (depths less than 3 feet and velocities less than 2.5 feet per second), the hazard associated with the flooding is estimated to be high due to the numerous split flows and diversions which occur within the basin. Flow paths are not well defined and the existing channel system and cross culverts are not capable of conveying large quantities of runoff. Numerous roads would overtop during the 100-Year frequency flooding event. Due to the numerous split flows and diversions that occur, the potential for overtopping frequently used roads and the probability of the existing conveyance system to become blocked, there is the potential for loss of life and/or bodily injury during an extreme runoff event. Kevin Houck, Chief of Watershed and Flood Protection for the CWCB have stated that, The Boxelder watershed remains on the Top 10 list of high risk watersheds for the State of Colorado Table ES-1 from the Master Plan summarizes the estimated damages during a 100-year frequency flooding event and is shown below: Boxelder Creek Regional Stormwater Master Plan Table ES-1 Estimated Existing Damages Summary (100-Year Flood) Reach/Entity Est. Present Worth Damages Structures Impacted By Jurisdiction Larimer County/City of Fort Collins $76.9 Million 400 24 Town of Wellington $29.5 Million 220 4 Town of Timnath $3.4 Million 50 5 Total $109.8 Million 670 33 No. of Roads Overtopped It was determined that the best approach to basin wide flood hazard mitigation would be to prepare a common plan for flood mitigation improvements within the Basin. Members of the Alliance pooled funding to prepare a storm water Master Plan for the Boxelder Basin. The resulting Boxelder Creek Regional Stormwater Master Plan (Master Plan) was completed in October 2006. The Master Plan recommended the formation of a Stormwater Authority to fund and implement the regional stormwater improvements.

January 28, 2014 Page 3 3. BOXELDER BASIN REGIONAL STORMWATER AUTHORITY (BBRSA) On August 20, 2008, the City of Fort Collins (Fort Collins), Larimer County (County) and the Town of Wellington (Wellington) entered into an intergovernmental agreement (IGA) to establish the Boxelder Basin Regional Stormwater Authority (BBRSA). The BBRSA was established to fund and implement the regional stormwater improvements outlined in the Boxelder Regional Stormwater Master Plan. It was anticipated that a CWCB low-interest loan would be obtained for construction of the facilities and would be paid back through monthly fees and charges as well as a system of development fees raised by the Authority from properties located within the Boxelder Creek Drainage Basin. Grants would also be pursued to offset some of the costs associated with the project. Attachment 2 provides a summary description (work to be completed, estimated construction costs, and resulting benefits) of the Boxelder Creek Regional Stormwater Master Plan Phase I regional stormwater projects listed below: Diversion of Coal Creek to Clark Reservoir Edson (East Side) Detention Reservoir Middle Boxelder Creek Stream Improvements Larimer and Weld Crossing Structure. The total funding requirement for the M a s t e r P l a n P h a s e I Regional Stormwater Improvements was $13.7 million (depending on the final design of the Edson Detention Reservoir and available storage). 4. PROGRESSION OF THE BBRSA SINCE 2008 Diversion of Coal Creek to Clark Reservoir The Diversion of Coal Creek to Clark Reservoir (later known as the Coal Creek Flood Mitigation Project) was completed by the BBRSA in cooperation with Larimer County in 2011. The project diverts stormwater flows from Coal Creek (which is tributary to Boxelder Creek) into the Clark Reservoir Inlet Canal and ultimately into Clark Reservoir. North Poudre Irrigation Company (NPIC) owns these facilities, which are north of the Town of Wellington. The Inlet Canal was enlarged to accommodate the 1,700 cfs from Coal Creek, Clark Reservoir was dredged and the emergency spillway was raised to accommodate the decreed storage of NPIC along with the diverted Coal Creek flows. During construction, 186,000 cubic yards of sediment was removed from Clark Reservoir. The dredging combined with raising the emergency spillway provides the 540 acre-feet of flood storage along with the 871 acre-feet of decreed storage for NPIC. This project was funded using a FEMA Pre- Disaster Mitigation Grant (PDM), matching local sponsor funds and BBRSA stormwater fees. Benefits of the Coal Creek project are: Storm flows are diverted from Coal Creek into Clark Reservoir which reduces flooding in Wellington; Over 103 Acres of land was removed from the 100-Year floodplain; There were 145 structures within the Wellington 100-Year Floodplain including a grade school and junior high: o 101 structures were removed from the floodplain with the approved LOMR including the two schools; o 31 structures were removed with approved LOMAs; o 13 structures remain in the floodplain because their lowest opening is below the revised BFE; and The FEMA Floodplain maps have already been revised to reflect this reduction in the 100-Year Floodplain. East Side Detention Facility (ESDF) The Boxelder Creek Regional Stormwater Master Plan refers to the East Side Detention Facility as the "Edson Reservoir" and conceptually located it just north of County Road 60. This location would reduce downstream flows by 40-60% as they crossed the east-west roads between County Road 48 and County Road 60. All of these crossings are currently subject to significant overtopping and flooding during a 100-year flood event. As a result, the 100-Year Floodplain would be reduced as well as the size and cost of bridge/culvert crossings at each of the County Roads. It should be noted the plan did not eliminate overtopping of the County Roads. The construction of bridge/culvert crossings to pass the 100-year flood were identified as local improvements in the

January 28, 2014 Page 4 Master Plan and were to be funded by Larimer County and private developers as development progressed north towards Wellington. As the site investigation continued it became apparent that the original proposed location could not provide the required detention and would result in the condemnation of homes. When the original site became no longer feasible, the BBRSA decided to move forward with an extensive Siting Study in 2010. The goal of this Siting Study was to identify the best location(s) for the proposed ESDF both from a flood reduction perspective and also from a cost and constructability perspective. At least 10 possible sites were evaluated and eliminated based on feasibility. Attachment 3 provides a map and a summary description of the site evaluation process. Once this analysis was completed the BBRSA confirmed the selection of the current site adjacent to the existing Gray Lakes Reservoirs as the best location from flood reduction, cost and constructability perspectives. Timnath Participation Representatives from the BBRSA and the Town of Timnath then began discussions on the possibility of increasing the size of the ESDF to reduce downstream flows. If the outflows from the ESDF can be reduced to approximately 2,500 cfs the City of Fort Collins and the Town of Timnath could consider unplugging two large box culverts at the crossing of Interstate 25 (I-25) and Boxelder Creek. Two of the four box culverts originally constructed at this location have been plugged since they were first built. When FEMA revised the floodplain mapping in this area, the resulting overflow from this blockage extended the floodplain south along the east side of I-25 flooding large sections of Timnath. Opening the two box culverts will eliminate this overflow path. When the BBRSA engineering consultant determined the potential exists to meet this goal, the Town of Timnath expressed interest in participating financially with the BBRSA to achieve this goal. County Roads between CR 48 and CR 60 The relocation of the ESDF downstream to its current proposed location just south of and adjacent to County Road 52 results in a significant reduction in the original benefits of a reduced (narrower) floodplain and shallower overtopping of County roads north of ESDF to County Road 60. In June 2013, an approach was identified to address Larimer County s concerns with regard to County Road 52 which consisted of determining the relative benefits (primarily determined by cost, life safety improvements and transportation corridor access) to Larimer County from proposed stormwater improvements at County Road 52 to those that would have been obtained through implementation of the original Master Plan. The approach determined and compared: the estimated size and cost of improvements at County Road 52 required to convey flood flows under the roadway such that the road overtopping matches what would have occurred had Edson been built at the Master Plan location; the estimated size and cost of improvements needed to convey additional flood flows under County Road 52 in order to meet the County criteria of 6 inches of overtopping; the reduced future costs for Larimer County to address 100-year flood roadway overtopping at County Roads,50 and 48 that would result from the construction of the proposed BBRSA improvements; and, the increased future costs to Larimer County to address 100-year flood roadway overtopping at County Roads 54, 56, 58 and 60 now that the 100-year flood flows are higher than they would have been after construction of a detention facility north of these roadways. On August 10, 2013 a meeting was held with Larimer County Commissioners and representatives of the City of Fort Collins, Town of Wellington, Town of Timnath, and Larimer County staff. The intent of the meeting was to gain consensus on a proposed compromise for addressing the additional costs required to address Larimer County s concerns regarding County Road 52. A solution was reached that results in the need for an additional intergovernmental agreement (IGA) between the City of Fort Collins, Larimer County, and Timnath to share equally (one third each) in providing the approximately $1.04 Million of funds necessary to cover the estimated shortfall once the improvements to County Road 52 are included along with the construction of the ESDF and Larimer/Weld Crossing Structure. BBRSA Master Plan Modifications

January 28, 2014 Page 5 As a result of the above, the improvements as envisioned in the original Boxelder Creek Regional Stormwater Master Plan were modified based on design constraints, construction feasibility and impacts and costs. It is important to note that the original Master Plan was a conceptual document. As is the case with all such efforts, the final design frequently necessitates changes to the original concept as design efforts and site investigations become more refined. It is important to note that the current proposed regional stormwater improvements maintain the original focus of increasing life safety and reducing floodplain extents. The BBRSA Master plan now consists of the remaining regional stormwater projects: East Side Detention Facility (Located adjacent to Gray Lakes Reservoirs); Larimer and Weld Crossing Structure of Boxelder Creek; and, County Road 52 Improvements. FINANCIAL AND SOCIAL IMPACTS The BBRSA stormwater improvements benefit citizens and residents within our region. This section identifies the benefits that the City of Fort Collins will receive as a result of the construction of the remaining BBRSA regional stormwater projects (the East Side Detention Facility, Larimer/Weld Canal Crossing Structure, and County Road 52 Improvements). Updated Benefit / Cost Ratio In light of the BBRSA Master Plan revisions, an update of the estimated Benefit/Cost Ratio of the regional stormwater projects was completed to confirm the financial benefits. The table below uses information on damage losses from the 2006 Boxelder Creek Regional Stormwater Master Plan and compares the losses with the current estimated construction costs for the remaining BBRSA projects (ESDF, LWCCS, and CR52 Improvements). 1 Present Worth Damage Losses Estimated in 2006 Master Plan 10/30/2013 Boxelder Creek Reach Potential Damages at Existing Conditions Potential Damages after construction of ESDF and LWCCS Resulting Benefit (Damage Reduction) Middle Boxelder Creek (CR54 to I25) $ 9,990,993 $ 5,000,000 $ 4,990,993 Boxelder Overflow $ 9,007,028 $ - $ 9,007,028 Lower Boxelder Creek (I25 to Poudre) $ 2,015,535 $ 811,806 $ 1,203,729 Boxelder I 25 Split $ 10,224,807 $ - $ 10,224,807 Cooper Slough $ 27,344,409 $ 8,623,624 $ 18,720,785 Cache La Poudre Overflow $ 2,311,180 $ 220,493 $ 2,090,687 Totals $ 60,893,952 $ 14,655,923 $ 46,238,029 2 Current Construction Cost Estimate (ESDF, LWCCS& CR 52 Imprvmts) $ 11,700,000 Estimated Benefit/Cost Ratio 3.95 1 Source: Table C-3 Appendices BOXELDER CREEK REGIONAL STORMWATER MASTER PLAN October 2006 2 Initial Total Costs to be offset by Authority Revenue & TDA contributions & Additional Funding from New IGA Review of the table shows an updated Benefit/Cost Ratio of 3.95. In most instances, a B/C ratio of 1.5 or 2 is considered very good. Such a high B/C ratio is very unusual and demonstrates the dramatic benefits that construction of the BBRSA projects has with regard to the reduction in damages from a 100-Year flood event. Summary Fort Collins Benefits There are significant financial benefits and reductions in flood damage to properties located with the City of Fort Collins and its GMA as shown in the summary table below.

January 28, 2014 Page 6 Cooper Slough The BBRSA regional stormwater projects will eliminate the westerly Boxelder Creek overflow on that extends south along the east side of Interstate Highway 25. The Cooper Slough will benefit by a dramatic reduction in 100-Year flood flows that currently cross beneath Interstate Highway 25 (I-25) in the Larimer and Weld Irrigation Canal and spill down the Cooper Slough Drainageway. There are significant benefits to Fort Collins as outlined below: Fort Collins saves $11.3 Million in reduced stormwater infrastructure costs on the Cooper Slough area alone; Approx. 130 acres of land will be removed from the 100-year floodplain; Reductions in flood damages for approximately 90 existing commercial and residential structures (northwest corner of Mulberry and I-25); The commercial buildings at the southwest corner of Mulberry and I-25 will also see reductions in flood damage; Significantly reduces the size and quantity of the proposed stormwater infrastructure in the area of Cooper Slough and Mulberry; and, 100-Year flows in Cooper Slough will be reduced from approx. 2500 cfs to 780 cfs. Boxelder Creek The BBRSA regional stormwater projects will eliminate the westerly Boxelder Creek overflow that extends south along the east side of Interstate Highway 25. The ESDF facility will reduce the 100-Year Flood flows to approximately 2,500 cfs. With Fort Collins and Timnath agreeing to jointly fund and construct improvements near and upstream of the Boxelder Creek crossing of Prospect Road, the two large box culverts at the crossing of Interstate 25 (I-25) and Boxelder Creek can be unplugged. When FEMA revised the floodplain mapping in this area, the resulting overflow from this blockage extended the floodplain south along the east side of I-25 flooding large sections of Timnath. Opening the two box culverts will eliminate the current Boxelder Creek overflow floodplain that extends south along the east side of I-25 and floods large sections of Timnath. There are significant benefits to Fort Collins as outlined below: A $6 million savings for roads within the Fort Collins GMA (County Roads 54, 52, 50, 48 and State Highway 14); A $2.1 million savings for stormwater improvements at Boxelder Creek and Prospect Road. Approx. 650 acres of land with the Fort Collins GMA will be removed from the 100-Year floodplain; Approx. 1,630 acres of land for the reach of Boxelder Creek below County Road 52 will be removed from the 100-Year Floodplain. Upon completion of all projects, the Boxelder overflow 100-Year floodplain through Timnath will be eliminated. There is a reduction of flood damages for existing properties.

January 28, 2014 Page 7 Road Crossings of Boxelder Creek - County Road 52 Intergovernmental Agreement (IGA) The current estimated cost of the ESDF, LWCCS and CR 52 Improvements is $11,748,274. After subtracting loan origination fees, the total amount of available funding for the three CWCB loans is $8,910,000. The BBRSA and TDA will contribute revenue and participating funds, respectively, during the design and construction of ESDF and LWCCS in the amount of $1,800,000. That leaves an estimated shortfall of $1,038,274. Fort Collins, Larimer County and Timnath agreed to share equally in providing the necessary funds to the BBRSA to cover this estimated shortfall. The legal counsel for the BBRSA discussed the proposed County Road 52 IGA with attorneys from each of the member entities. The draft County Road 52 IGA has been distributed to the attorneys for review and final changes. Larimer County will need to adopt the ordinances for both the First Amendment to the IGA and this new cost sharing IGA while Fort Collins and Timnath will need to adopt the ordinance establishing the new cost sharing IGA. Approval of the new County Road 52 IGA is scheduled for the February 18, 2014 City Council Meeting. FUNDING STATUS Timnath and BBRSA Intergovernmental Agreement (IGA) Timnath has executed an intergovernmental agreement with the BBRSA to initially provide $500,000 and then fund 25% (approximately $2.5 Million) of the costs to design and construct the ESDF and LWCCS. First Amendment to Boxelder Basin Regional Stormwater Authority (BBRSA) IGA With an agreement in place with Timnath, the BBRSA moved forward with the First Amendment to the original IGA which formed BBRSA. According to Section 2.05 (f) of the IGA, all member entities must agree to the issuance of debt by the BBRSA. The Amendment approved the issuance of debt based on the CWCB loan applications for ESDF and LWCCS which were submitted on April 1, 2013. This amendment has been approved by the City of Fort Collins and the Town of Wellington and awaits approval by Larimer County. CWCB Loan Status The two original CWCB loan application and feasibility studies for ESDF and LWCCS were applied for on April 1, 2013. These loans were approved by the CWCB Board at its meeting on May 14, 2013. The final loan contracts were received on July 11, 2013. The review and execution of these contracts are currently on hold pending execution of the First IGA Amendment by Larimer County and the execution of the New IGA between the City of Fort Collins, Larimer County, the Timnath Development Authority and the BBRSA. The third CWCB loan application and feasibility study for a portion of the County Road 52 Improvements was submitted to CWCB on November 1, 2013. This package is scheduled to appear before the CWCB Board on January 27, 2014. Staff from the CWCB has confirmed that the CWCB funds are available for land acquisition but cannot be used for the legal costs associated with the condemnation process. Eminent Domain The power of eminent domain for the BBRSA stems from two independent sources: The BBRSA is created pursuant to C.R.S. 29-1-203 and C.R.S. 29-1-204.2, which allows any combination of municipalities, special districts and other political subdivisions of the states, which includes counties, to form a water resources or drainage authority through contract between the parties for the purpose of developing water resources or drainage facilities. The BBRSA Intergovernmental Agreement is also the type of agreement authorized by C.R.S. 29-1-203. One of the powers granted by the signatories is the power to condemn property for public use (IGA Article III, Section 3.01(f). Since the power to condemn property for water and drainage purposes is common to all of

January 28, 2014 Page 8 the signatories to the IGA, the BBRSA may exercise the power to condemn any interest in property, including a fee interest. Real Estate (Land Acquisition) Status The BBRSA is in the process of negotiating the acquisition of land from impacted properties. Letters of Intent to Acquire have been issued to property owners. If negotiations fail, the BBRSA Board of Directors may need to exercise its condemnation powers. The BBRSA Board of Directors must vote in order to exercise the use of eminent domain. SCHEDULE The latest updated schedule for completion of the BBRSA regional stormwater improvements is: SPECIFIC ISSUES AND INQUIRIES Over the last couple of months, there have been specific inquiries pertaining to the purpose of the BBRSA and its ability and legal authority to proceed with the steps necessary to design and construct the regional stormwater improvements. Legal authorities and funding considerations of the BBRSA include: Article V of the IGA authorizes the BBRSA to establish rates and collect stormwater fees and charges on property within the BBRSA service area. Article V of the IGA specifically states that the BBRSA members have the option to pay the BBRSA directly in lieu of having the BBRSA collect stormwater fees. Fort Collins has properly budgeted for the payment of these fees as part of its normal budgeting cycle. The BBRSA has the legal authority to acquire real estate by eminent domain through the process of condemnation (C.R.S. 29-1-203 and C.R.S. 29-1-204.2). The BBRSA has received low interest loans from the Colorado Water Conservation Board (CWCB) that can be used for property acquisition and regional stormwater project design and construction costs.

January 28, 2014 Page 9 The BBRSA has received low interest loans from the Colorado Water Conservation Board (CWCB) that can be used for property acquisition and regional stormwater project design and construction costs. A detailed listing of the issues and responses is provided in Attachment 4. Previous sections of this report addressed issues regarding: the purpose and benefits of the BBRSA; the rationale for the East Side Detention Pond Siting; Approval of CWCB Loans; Legal authority to issue debt; and BBRSA s authority to use eminent domain. ATTACHMENTS 1. FEMA Mapped Boxelder Creek Floodplain (PDF) 2. Boxelder Creek Regional Stormwater Master Plan -- Phase I Project Summaries (PDF) 3. Boxelder Basin Regional Stormwater Authority -- ESDF Siting Study Summary (PDF) 4. BBRSA -- Specific Issues and Responses (PDF) 5. BBRSA Resolutions 2008-1 and 2008-2 (Stormwater Service and System Development Fees) (PDF) 6. 2013-14 City of Fort Collins Budget Excerpt (Boxelder Basin Regional Stormwater Authority Funding) (PDF) 7. Powerpoint presentation (PDF)

FEMA Mapped Boxelder Floodplain ATTACHMENT 1

BOXELDER CREEK REGIONAL STORMWATER MASTER PLAN PHASE I REGIONAL PROJECTS Project Summaries ATTACHMENT 2 DIVERSION OF COAL CREEK TO CLARK RESERVOIR Description: Improvement of the North Poudre Canal to capture and convey Coal Creek flood flows easterly into Clark Reservoir, dredging of Clark Reservoir to provide for flood storage volume, agreement with North Poudre Irrigation Company to preserve flood storage capacity with the reservoir, spillway and outlet works improvements, and associated land acquisition. Estimated Construction Costs: $6.2 Million Benefits: Reduces peak discharges downstream (approximately 90% in n Coal Creek; 5-10% in Boxelder Creek) via attenuation in Clark Reservoir, reduces floodplain ex tents by approximately 150-215 acres; minimizes flooding potential and damages for approximately 180 structures (including 2 schools, community center, residential and commercial structures) EDSON (EAST SIDE) DETENTION RESERVOIR Description: Construction of an earthen embankment and un-gated outlet to impound 660 to 990 acre-feet of storage on Indian Creek just upstream of County Road 60; potential diversion of storm flows at the Boxelder/I-25 split flow location, and associated land acquisition. Estimated Construction Costs: $4.1 to $6.1 Million (Used $5.1 for cost estimates) Benefits: Significantly reduces peak discharges downstream (approximately 40-60%) via attenuation of flood flows in the new Edson Detention Reservoir, minimizes sizes of required downstream conveyance improvements, reduces floodplain extents and potential for downstream split flood flows, minimizes flooding potential and damages to approximately 165 existing structures within Larimer County and Fort Collins. MIDDLE BOXELDER CREEK STREAM IMPROVEMENTS Description: Improved stormwater conveyance and associated stream improvements to the Middle Boxelder Creek section from County Road 52 to County Road 52; construction of two storm drainage channels to direct flow to Boxelder Creek. Estimated Construction Costs: $1.1 Million Benefits: Reduces potential for overflow and split flood flows adjacent to I-25, reduces impacts to Cooper Slough, removes approximately 535 acres of the Boxelder Overflow flood plain (in conjunction with Edson Detention Reservoir); provides potential trail and recreational opportunities. LARIMER AND WELD CROSSING STRUCTURE Description: Construct a siphon or spill structure at the Boxelder Creek/Larimer and Weld crossing to protect the irrigation canal and allow flood flows to continue south in Boxelder Creek. Estimated Construction Costs: $1.3 Million Benefits: Reduces potential overtopping of the Larimer and Weld irrigation canal and diversion of flood flows west beneath I-25 to the Cooper Slough drainageway. The total funding requirement for the M a s t e r P l a n P h a s e I Regional Stormwater Improvements was $13.7 million (depending on the final design of the Edson Detention Reservoir and available storage). 1 of 1

BOXELDER BASIN REGIONAL STORMWATER AUTHORITY EAST SIDE DETENTION FACILITY (ESDF) Siting Study Summary ATTACHMENT 3 BACKGROUND The Boxelder Creek Regional Stormwater Master Plan refers to the East Side Detention Facility as the "Edson Reservoir" and conceptually located it just north of County Road 60. This location would reduce downstream flows by 40-60% as they crossed the east-west roads between County Road 48 and County Road 60. All of these crossings are currently subject to significant overtopping and flooding during a 100-year flood event. As a result, the 100-Year Floodplain would be reduced as well as the size and cost of bridge/culvert crossings at each of the County Roads. It should be noted the plan did not eliminate overtopping of the County Roads. The construction of bridge/culvert crossings to pass the 100-year flood were identified as local improvements in the Master Plan and were to be funded by Larimer County and private developers as development progressed north towards Wellington. EAST SIDE DETENTION FACILITY SITING STUDY As the site investigation continued, it became apparent that the original proposed Edson Reservoir location could not provide the required detention and would result in the condemnation of homes. When the original site became no longer feasible, the BBRSA decided to move forward with an extensive Siting Study in 2010. The goal of this Siting Study was to identify the best location(s) for the proposed ESDF both from a flood reduction perspective and also from a cost and constructability perspective. At least 10 possible sites shown on the attached map were evaluated and eliminated based on feasibility. A detailed description of the process and outcome is included in the BBRSA s applications to the Colorado Water Conservation Board (CWCB) dated April 1, 2013 requesting loans to construct the regional stormwater improvements (ESDF and LWCCS). The relocation of the ESDF downstream to its current proposed location just south of and adjacent to County Road 52 results in a significant reduction in the original benefits of a reduced (narrower) floodplain and shallower overtopping of County roads north of ESDF. Each site was evaluated based on the available floodwater storage, hydrologic benefits to downstream flow rates, and impacts to existing homes/structures. A principal goal was to keep the 100 year flows within the main channel of Boxelder Creek which would eliminate the split flow or westerly floodplain of Boxelder Creek (shown on Exhibit A adjacent to I-25 between CR52 and Mulberry Street), which greatly reduces the flood damage risk to people and property. The main channel of Boxelder Creek can convey approximately 2,900 cfs. Using the 2,900 cfs as a target for downstream flows, six of the alternatives were eliminated from further consideration due to their inability to reduce flood flows to the target discharge within the Middle Basin (County Road 50 to Mulberry Street). Additional factors contributing to the elimination of these six alternatives included the inundation of homes, site constraints that limited potential storage volume, and/or the reservoirs location relative to Boxelder Creek. One alternative site was located on the existing CSU Agricultural Research and Development Center or ARDEC. After the publication of the 2010 Siting Study for Edson Reservoir, the Authority manager and Ayres engineers met with staff from ARDEC to determine their willingness to allow the construction of a flood mitigation dam just north of County Road 56 on their property. Ayres prepared a preliminary grading plan for the dam, along with several cross sections through the dam, so they could see the impact to their existing center pivot and grazing area for their cattle which they keep on-site. The proposed facility has significant impacts on ARDEC s day to 1 of 3

BOXELDER BASIN REGIONAL STORMWATER AUTHORITY EAST SIDE DETENTION FACILITY (ESDF) Siting Study Summary day operations both during construction of the dam and afterwards. A suggestion was made to investigate the site south of ARDEC between CR 54 and CR 56 which is currently owned by the City of Thornton. BBRSA representatives and Larimer County Staff met with the City of Thornton to investigate the potential siting of the ESDF on land it owns north of County Road 54. The BBRSA engineer prepared a preliminary grading plan and cross sections for a dam which achieved the downstream residual flow targets. The City of Thornton stated its objection to a proposed detention facility due to its plans to construct a water storage facility and/or potential pumping station on the site. The BBRSA then contacted the Larimer Canal Reservoir Company (the owners of the Gray Lakes Reservoirs) and looked again at using the Gray Lakes site for the proposed ESDF. The site design for this site was modified from the Siting Study alternative to provide a dam just north of CR 50 on the west side of the existing Gray Lakes dams. The difference between this alternative and a previous alternative is there would be no storage of water in the existing Gray Lakes on top of their normal pool elevation. Prior to beginning the final design for the current ESDF option, Ayres Associates, met with Michael-Baker (as representatives of FEMA) to confirm that the proposed portion of the dam which is located just south of CR 52 and runs parallel to CR 52 would not be considered a levee by FEMA. This was a significant cost savings to the project. As part of the preliminary design process Ayres has also completed a fatal flaw analysis of the proposed design. Once this analysis was completed the BBRSA confirmed that this site provided the best location from a flood reduction perspective and also from a cost and constructability perspective. 2 of 3

BOXELDER BASIN REGIONAL STORMWATER AUTHORITY EAST SIDE DETENTION FACILITY (ESDF) Siting Study Summary 3 of 3

BOXELDER BASIN REGIONAL STORMWATER AUTHORITY SPECIFIC ISSUES AND RESPONSES Specific Issues and Responses Summary Listing ATTACHMENT 4 Issue: The BBRSA was only established to allow more development in the region. Response: Flooding and stormwater drainage problems have long plagued the Boxelder Creek watershed, particularly the developing area from just north of the Town of Wellington, Colorado to just south of Timnath, Colorado. Major floods have occurred in 1909, 1922, 1930, 1937, 1947, 1963, 1967 and 1969. In 1947, the Fort Collins Coloradoan included a headline that read "Violent Rainstorm Floods Large Area; Crop Losses Heavy". As much as five (5) inches of rain fell northwest of Wellington, washing out bridges and flooding crops. Nearly 1,000 acres of grain, alfalfa and corn crops were damaged. Heavy rains caused Boxelder Creek to overflow its banks again in 1967 and resulted in the death of a mother and her three daughters. The woman and her daughters drove into the flooded creek where it passed over a county road southwest of Wellington. Floods that summer destroyed county bridges seven times. The BBRSA was established to protect life safety, reduce 100-Year floodplain extents, protect existing structures (including schools and critical facilities), protect existing residences and businesses, reduce flood overtopping of 33 roads and 4 irrigation canals, reduce the costs to construct new stormwater infrastructure, improve emergency response, and reduce flooding on currently undeveloped areas that will be developed in the future. Issue: The BBRSA does not have the legal authority to collect stormwater service and plant investment fund (PIF) fees. Response: Article V of the BBRSA Intergovernmental Agreement outlines the provisions by which the BBRSA is authorized and required to impose rates, fees and charges on property within the BBRSA Service Area to fund the regional stormwater improvements. Issue: The BBRSA does not have the legal authority to acquire real estate by eminent domain through the process of condemnation. Response: The power of eminent domain for the Authority stems from two independent sources. The Authority is created pursuant to C.R.S. 29-1-203 and C.R.S. 29-1- 204.2, which allows any combination of municipalities, special districts and other political subdivisions of the states, which includes counties, to form a water resources or drainage authority through contract between the parties for the purpose of developing water resources or drainage facilities. See C.R.S. 29-1- 204.2(1). By entering into the Intergovernmental Agreement for Stormwater Cooperation and Management ( Agreement ), the City of Fort Collins, the Town of Wellington and Larimer County formed the Authority in conformance with C.R.S. 29-1-204.2. It should also be noted that the Agreement is also the type of agreement authorized by C.R.S. 29-1-203 for the formation of an intergovernmental authority. The Authority also has an independent power of condemnation as a result of its creation as an intergovernmental entity pursuant to C.R.S. 29-1-203. C.R.S. 29-1-203 allows counties and municipalities to contract with one another to create governmental entities to carry out agreed- upon functions. As pointed out previously, the Agreement is the type of contract contemplated by C.R.S. 29-1-203. One of 1 of 3

BOXELDER BASIN REGIONAL STORMWATER AUTHORITY SPECIFIC ISSUES AND RESPONSES Summary Listing the powers granted by the signatories is the power to condemn property for public use. Agreement, Art. III, Section 3.01(f). This power includes the ability to acquire any interest in property, including a fee interest. As pointed out in Durango Transportation, Inc.v. City of Durango, 824 P.2d 48 (Colo. App. 1991), when an entity is created by governmental agreement, it has all of the powers authorized to each of the participants to the agreement. See Durango Transportation at p. 51. Each of the signatories to the Agreement has the power to condemn property for public purposes including drainage. Wellington is a statutory municipality with the power of condemnation granted by C.R.S. 31-35-402(1)(a). Larimer County is granted the power to condemn for water and drainage facilities by C.R.S. 30-11- 107(1)(w). The City of Fort Collins has the power to condemn for public use as granted by Art. IV, Sec. 14 of its Charter. Since the power to condemn property for water and drainage purposes is common to all of the signatories to the Agreement, the Authority may exercise the power to condemn any interest in property. Issue: The BBRSA Board of Directors does not vote to go into executive session. Response: The executive sessions are listed on the agenda for each Board meeting. The Board has voted whether or not to go into Executive Session every time. This is documented in the meeting minutes for every Board meeting. The BBRSA Manager reads the relevant CRS provisions to the Board of Directors prior to every Executive Session. The Executive Session is recorded in accordance with state law. Issue: The City of Fort Collins is violating its Home Rule Charter by paying the debts and liabilities (i.e. stormwater service and PIF fees) of private parties (property owners within the BBRSA Service Area). The City of Fort Collins has not contracted with the BBRSA. Response: Article V, Section 5.04 of the BBRSA Intergovernmental Agreement specifically outlines and states that the BBRSA members have the option to pay the BBRSA directly in lieu of having the BBRSA collect fees. The Intergovernmental Agreement does not deprive any Member of its inherent power to charge for stormwater services and facilities within its boundaries. Issue: The BBRSA Board of Directors never adopted or approved fee schedules. Response: The BBRSA Board of Directors adopted fee schedules for both stormwater service fees and stormwater system development fees by Resolution 2008-1 and Resolution 2008-2, respectively on December 8, 2008. Photocopies of the resolutions are provided as Attachment E. Issue: The City of Fort Collins has not properly budgeted for or audited the funding provided to pay the stormwater service and PIF fees to the BBRSA. Response: The City has budgeted for the payment of these fees to the BBRSA as part of its normal budgeting cycle. Please reference Attachment F which shows that the BBRSA funds were included in the City s 2013-14 Budgeting for Outcomes process. 2 of 3

Issue: BOXELDER BASIN REGIONAL STORMWATER AUTHORITY SPECIFIC ISSUES AND RESPONSES Summary Listing The BBRSA has not followed proper statutes because it has issued Letters of Intent to acquire and is proceeding with condemnation and it has not voted to proceed with condemnation. Response: The BBRSA Board has not started condemnation proceedings. It does not have to vote prior to sending the Notices of Intent to acquire. If negotiations fail, or if it appears that they will, the BBRSA Board would have to vote prior to proceeding with the use of eminent domain. Issue: The BBRSA regional stormwater improvement projects are taking a substantial amount of agricultural land out of production. Response: This is inaccurate. The only project that directly impacts agricultural land is the East Side Detention Facility (now known as the Gray Lakes Detention Facility). The existing Day parcel comprises 205 Acres, of which 192 acres are farmland. Approximately 149 Acres of the parcel is currently in the 100-Year floodplain. Construction of the detention reservoir requires the acquisition of 57 Acres which reduces the amount of land available for agricultural use to 135 Acres. All of the remaining agricultural land will have been removed from the 100-Year floodplain and will not be subject to flood damage during a storm event. It is also important to note that the same land could also be developed on in the future if the property owner so chooses. Issue: The CWCB will not approve the proposed loans to the BBRSA because the BBRSA must already own the property in fee simple. CWCB loans cannot be used for property acquisition. Response: This is inaccurate. The CWCB has confirmed that funds are available for land acquisition but cannot be used for the legal costs associated with the condemnation process. Further discussions are anticipated with CWCB in early January 2014 to clarify and finalize the loan funding approach and process. Issue: The BBRSA is no longer following the original Master Plan and therefore the proposed improvements are not in alignment with the original intent. Response: This is inaccurate. It is important to note that the Original Master Plan was a conceptual document. The potential use of the Gray Lakes site (upstream of County Road 50) is actually included in the original Boxelder Creek Master Plan as Alternative 5. The Selected Alternative (5A) from the Master Plan proposed the regional detention storage be located at the Edson Reservoir location upstream of County Road 60. During the course of design, it was determined that the improvements as originally envisioned in the original Master Plan would need to be modified based on design constraints, construction feasibility and impacts and costs. As is the case with all such efforts, the final design sometimes necessitates changes to the original concept as design efforts and site investigations become more refined. As a result, the final proposed use of the Gray Lakes site for construction of the regional detention facility both meets the physical constraints and is in keeping with the alternative solutions outlined in the original Master Plan. 3 of 3

ATTACHMENT 5

ATTACHMENT 6 Packages and Offers SAFE COMMUNITY Budget Years: 2013-2014 182.1 Boxelder Basin Regional Stormwater Authority - Funded 2013 - $255,000 2014 - $265,000 The Boxelder Basin Regional Stormwater Authority (BBRSA) was established in 2008 by an intergovernmental agreement (IGA) among the City of Fort Collins, Larimer County and the Town of Wellington. The BBRSA is managed by a 5-member Board of Directors. Each government appoints one director, and there are two jointly-appointed directors (Fort Collins/Larimer County and Wellington/Larimer County). Each government provides financial and staff support to the BBRSA, which includes annual stormwater fees. This offer provides funding for the City's 2013 and 2014 annual payment of stormwater service fees and plant investment fees to the BBRSA. The Boxelder Basin Regional Stormwater Master Plan was adopted and an IGA created to design and construct stormwater improvements to address flood mitigation and protection within the Boxelder and Cooper Slough stormwater drainage basins. 190.1 Police Administration - Funded 2013 - $857,551 2014 - $873,561 This offer funds the salary, benefits and associated costs for the seven positions housed in Police Administration, including the Chief of Police, Assistant Chief, and the department's administrative staff. Note: The Northern Colorado Drug Task Force pays 25% of a finance position because Fort Collins Police is the fiscal manager for the Task Force. 190.2 Police Logistics - Funded 2013 - $213,135 2014 - $215,559 This offer funds the shared department logistical expenses for Police Services. Such expenses include: copy machine rental, postage, tuition reimbursement, dry cleaning services, summons forms, and office supplies, which allow Police to provide high-quality, efficient community service. 192.1 Police Hiring and Ongoing Training - Funded 2013 - $843,091 2014 - $861,349 This offer funds personnel and functions of the Training Unit, which includes one sergeant, three officers, a police supply technician, an administrative assistant and a part-time hourly position that is responsible for the maintenance of the indoor firearms range. Associated non-personnel operational costs include: Training Unit, Firearms, Indoor Firearms Range, Defensive Tactics, and Hiring/Promotional. The Training Unit and Internal Affairs (Offer 192.2) comprise the Professional Standards unit that reports to the Professional Standards Lieutenant. This unit coordinates all sworn and non-sworn training, recruitment, selection and hiring, promotional processes, and certification maintenance, and serves as the custodian for all agency training records. The indoor shooting range budget includes the cost of ammunition for the entire agency. 296

Boxelder Basin Regional Stormwater Authority (BBRSA) City Council Work Session January 28, 2014 UPDATE 1

BBRSA Executive Summary Boxelder Basin Regional Stormwater Authority 2008 Intergovernmental Agreement (IGA) Members Fort Collins, Larimer County, and Wellington. Timnath is a financial partner (Separate IGA with the BBRSA) Three remaining projects $11.75 Million 1. East Side Detention Facility (ESDF) 2. Larimer & Weld Canal Crossing Structure (LWCCS) 3. County Road 52 Improvements (CR 52) Colorado Water Conservation Board (CWCB) loans CR 52 IGA Fort Collins/Larimer/Timnath to share equally in splitting additional costs ($1.04 Million) Very high Benefit/Cost Ratio 3.95 2

3 Boxelder Creek Existing 100-Year Floodplain

Boxelder Alliance Since 2005 (8 years) Potential Loss of life Roads overtop Floodplain impacts 4,900 Acres Split flows & diversions Boxelder Creek Regional Stormwater Master Plan The Boxelder watershed remains on the Top 10 list of high risk watersheds in the State of Colorado Kevin Houck, CWCB Chief of Watershed and Flood Protection 4

Boxelder Creek Regional Stormwater Master Plan (October 2006) Boxelder Creek Regional Stormwater Master Plan Table ES-1 Estimated Existing Damages Summary (100-Year Flood) Reach/Entity Est. Present Worth Damages Structures Impacted No. of Roads Overtopped By Jurisdiction Larimer County/City of Fort Collins $76.9 Million 400 24 Town of Wellington $29.5 Million 220 4 Town of Timnath $3.4 Million 50 5 Total $109.8 Million 670 33 5

Boxelder Creek Regional Stormwater Master Plan (October 2006) REGIONAL STORMWATER PROJECTS -- PHASE 1 Diversion of Coal Creek to Clark Reservoir Edson (East Side) Detention Reservoir Middle Boxelder Creek Stream Improvements Larimer and Weld Crossing Structure 6

Boxelder Basin Regional Stormwater Stormwater Authority (BBRSA) v August 20, 2008 (Fort Collins, Larimer County and Wellington) v Purpose fund and implement the regional stormwater improvements. v SW improvements benefit the citizens of Fort Collins 7

8 Boxelder Basin Regional Stormwater Stormwater Authority (BBRSA)

COAL CREEK FLOOD MITIGATION PROJECT BENEFITS 103 Acres of land (shown in red) removed from the 100-Year Floodplain 101 structures were removed from the 100-Year Floodplain (includes 2 schools) by Letters of Map Revision (LOMRs) Another 31 structures were removed from the 100-Year Floodplain by approved Letters of Map Amendments (LOMAs) 9

Boxelder Basin Regional Stormwater Stormwater Authority (BBRSA) Jan 17, 2013 BBRSA Government Partners Joint Meeting 10

Boxelder Basin Regional Stormwater Stormwater Authority (BBRSA) Master Plan Revisions Updated Master Plan and Key Considerations include: East Side Detention Facility (ESDF) Introduction Feasibility Studies and Siting of the ESDF Timnath Financial Participation, Related Projects, CWCB Loan, IGA's County Roads between CR48 and CR60 New IGA Between Fort Collins, Larimer County and Timnath (TDA) 11

BBRSA Benefits/Costs 12

Sources * City of Fort Collins Selected Plan for Boxelder creek/cooper Slough, ACE, April 2004 ** Boxelder Creek Regional Stormwater Master Plan, PBS&J, October 2006 *** Boxelder Creek Regional Stormwater Master Plan, PBS&J, October 2006 for County Roads 54, 52, 50, 48 and SH 14 (All are with the GMA) **** Construction cost estimate by Garney, December 2013 13 Location Cooper Slough at Mulberry Boxelder Creek at Prospect Road Road Crossing Improvements on Boxelder creek City of Fort Collins Benefits City of Fort Collins Master Plan Project Costs without ESDF City of Fort Collins Master Plan Project Costs with ESDF Savings with ESDF in place $15,300,000* $4,000,000** $11,300,000 $6,100,000** $4,000,000**** $2,100,000 $6,000,000*** $0 $6,000,000 Total $27,400,000 $8,000,000 $19,400,000

Fort Collins Benefits -- Cooper Slough BENEFITS $11.3 Million Savings Removes approx. 130 Acres from floodplain Reduces floodplain damages 90 structures N. of Mulberry Properties S. of Mulberry 14

Fort Collins Benefits Boxelder Creek BENEFITS $6 Million Savings (CR 54, 52, 50, 48 and S.H. 14) $2.1 Million savings -- Boxelder Creek/Prospect Rd Removes from Floodplain 650 Acres (GMA) 1630 Acres (Boxelder) Eliminates Boxelder Overflow Floodplain 15

Boxelder Basin Regional Stormwater Stormwater Authority (BBRSA) EAST SIDE DETENTION "Edson Reservoir" site Reduction of downstream flows at County Roads Original site insufficient detention volume and would require condemnation of homes East Side Detention Facility (ESDF) 16

Boxelder Basin Regional Stormwater Stormwater Authority (BBRSA) EAST SIDE DETENTION 2010 Siting Study Over 10 sites See Map AIS -- Detailed description Current location is best site 17

Boxelder Basin Regional Stormwater Stormwater Authority (BBRSA) Timnath Participation Existing Blockage of culverts under I-25 Goal Reduce flows such that culverts can be unplugged by increasing size of ESDF Opening the culverts = eliminates Boxelder overflow floodplain through Timnath Timnath IGA with BBRSA $500,000 plus fund 25% (approximately $2.5 Million) of the costs to design and construct the larger ESDF and LWCCS 18

Boxelder Basin Regional Stormwater Stormwater Authority (BBRSA) Boxelder / Prospect Road Improvements Amendment to Fort Collins / Timnath IGA Fort Collins saves approximately $4.1 Million: $2.1 Million savings in total estimated project costs (from $6.1 Million to $4 Million). $2.0 Million savings as a result of 50/50 cost share of project costs $1.75 Million of City s share will be freed-up escrow funds 19

Boxelder Basin Regional Stormwater Stormwater Authority (BBRSA) County Roads Between CR 48 and CR 60 June 2013 Approach Relative benefits and costs between the two pond sites Exhibit shows a deficit of approximately $800,000 County Road 52 IGA 20

Boxelder Basin Regional Stormwater Stormwater Authority (BBRSA) CWCB Loan Status 2 original CWCB loans approved by the CWCB Board on May 14, 2013. The third CWCB loan approval is scheduled for January 27, 2014. CWCB Staff confirmation that funds will be available after acquiring necessary real estate 21

Boxelder Basin Regional Stormwater Stormwater Authority (BBRSA) Issuance of Debt First Amendment to original Boxelder IGA Section 2.05 (f) -- All member entities must agree to the issuance of debt by the BBRSA. Approved issuance of debt based on the CWCB loan applications for ESDF and LWCCS Executed by Fort Collins and Wellington Scheduled for approval by Larimer County 22

Boxelder Basin Regional Stormwater Stormwater Authority (BBRSA) Real Estate (Land) Acquisition - Status Negotiations in progress The BBRSA is in the process of negotiating the acquisition of land from impacted properties. Letters of intent to acquire distributed. Eminent Domain only if negotiations fail BBRSA Board of Directors 23

Boxelder Basin Regional Stormwater Stormwater Authority (BBRSA) Eminent Domain The AIS describes in detail that the power of eminent domain for the BBRSA stems from two independent sources: 1. BBRSA is authorized to condemn (C.R.S. 29-1-204.2) 2. Boxelder IGA Provision (C.R.S. 29-1-203) 24

25 Boxelder Basin Regional Stormwater Stormwater Authority (BBRSA) SCHEDULE

Boxelder Basin Regional Stormwater Stormwater Authority (BBRSA) RESPONSES TO SPECIFIC INQUIRIES Attachment D of the AIS Memo provides detailed responses to specific inquiries regarding the BBRSA. Previous slides addressed many of the issues including: Purpose and benefits East Side Detention Pond Siting CWCB Loan Approvals Legal authority to issue debt Authority to use eminent domain 26

Boxelder Basin Regional Stormwater Stormwater Authority (BBRSA) RESPONSES TO SPECIFIC INQUIRIES Article V -- BBRSA is authorized and required to impose stormwater rates, fees and charges BBRSA Board of Directors Executive Sessions Article V -- Members have the option to pay the stormwater fees directly to BBRSA Fort Collins budgets for these payments BBRSA Stormwater Fee Schedules 27

28 DAY PROPERTY PRE-PROJECT

29 DAY PROPERTY FLOODPLAIN REMOVED