% North Fork Accounting

PO Box 414

Paonia, CO  81428


Fax 970-527-3023


April 10, 2008


The monthly meeting of the board of directors of the Fire Mountain Canal and Reservoir Company was called to order by President Houseweart at 7:30 pm.  Directors present were Dixie Luke, John Stroh, and Wes Spore.  Also present were Merritt Denison, Trey Denison, Paul Schmucker, and John Burgevin.


Before the minutes are read, and the bills were paid, the Ela family of Silver Spruce Orchards was present to speak to the board regarding the Vandenberg/Ela fence issue.  Steve Ela spoke to the board first and provided some background regarding the agreement and boundary adjustment made between the prior owner of the Vandenberg property, Dave Carr, and the Ela family.  The Carr property was sold to Vandenberg in the spring 2005.  Before the property was sold from Carr to Vandenberg, Carr and Ela agreed to a property line boundary adjustment increasing the size of the “neck” between the lower and upper part of the Carr property from 45 feet to 60 feet. The boundary adjustment agreement called for the deer fence to be moved from the old property line to the new property line.  The new property line was subject to the Fire Mountain Canal Extension easement.  The Carr property was sold in the spring 2005 and the deer fence had not been moved to the new property line.  After Vandenberg purchased the Carr property, the fence was moved to the new property line and outside the canal easement, but the fence subsequently torn down by Vandenberg.


Dan Schulz Ela spoke to the board next.  He discussed that after a family split he owns a piece of land next to the “neck”; Dan does not think the series of gates that the FMC board approved in January 2008 will work.  He believes the gates will sag and the sleeved posts will be hard to remove.  Dan thought the approval of the series of gates through the extension easement to be poorly engineered and sets a bad precedent for the canal company.


The Ela family leaves the meeting and 8:00 pm and the regular meeting commences.


The minutes were approved as read.


Wes S. motions the treasurer’s report be accepted, Dixie L. seconds and motion carries.


Dixie L. motions the bills be paid, Wes S. seconds and the motion carries.


Transfers are okay.


Superintendent Report:


Reservoir is empty, Muddy Creek running at 183 cfs.


Hubbard Creek siphon update: hole is covered, caulking partially done, need to pour several loads of concrete.


Replacing 13 parshalls; headgates repaired/rebuilt from Garvin Mesa to Leroux Creek.  Merritt and Trey like the results of the repairs.


Backhoe currently at Bear Creek and will finish cleaning in a couple hours.  Backhoe will be moved to FM Extension tomorrow afternoon.


More rocks in ditch than ever before; Chesnik Construction pushed rocks to Terror Creek.


Water in the canal on approximately April 20th, Leroux Creek on approximately the 21st; Rogers Mesa on Saturday the 26th.  Merritt and Carl Roberts will communicate regarding how much water to turn onto Rogers Mesa.


Trey discusses after water is in the canal maintenance at the dam will start.


General discussion on the tangle between Mick’s backhoe and Merritt’s truck; general discussion on how to approach insurance company.


Dixie L. motions to submit repair bill to Fire Mountain’s insurance company and to not submit to Mick Cotten’s insurance, John S. seconds and the motion carries.


End Superintendent Report


Old Business:


Discussion on shareholders that have not paid assessments and discussion on shutting off water to nonpaying shareholders.


Dixie: General discussion on amended water filings for Horse Ranch Park, Lost Lake, and East Beckwith.  Dixie has prepared a draft of the amended water filings for review; biggest test is the “can and will” test that the courts will apply to the filings.


Dixie motions the FMC board has revisited the Vandenberg/Ela fence issue as it relates to our easement and bylaws; the board has decided that no fence will be built inside the deeded easement of the Fire Mountain Canal, and whatever fence is built in this area, the FMC board will require gated access for maintenance purposes.


Meeting adjourned at 10:00 pm.




Randall W. Fisher, Secretary