Pueblo West growing pains: metro board mulls budget, possible water rate increases

Pueblo West staff hope to beef up customer service next year as the metro district board begins to mull the 2022 budget and a possible water and sewer rate increase. 

Finance Director Roni Kimbrell informed the board Monday that $1.3 million is needed for capital improvements next year. The district leadership team selected the top priority of an estimated $177,000 for fleet pit improvements. 

“We don’t know how much we will have in capital dollars to fund those things. After (allowing for) personnel and operating budgets, we hope to get through all of the capital improvement needs,” Kimbrell said. 

Kimbrell also told the board the district has made “really good progress” to bring employee salaries up to the mid-range when compared with area government agencies. This year, a salary comparison is measuring Pueblo West pay with other special districts and taking into consideration Southern Colorado economic conditions.  

Some of the employees remain below the mid-range when compared to special districts, so work to bring pay up to a competitive wage will continue in 2022, Kimbrell said. 

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“I don’t want you to get the budget in October and be surprised,” said Brian Caserta, interim district manager and fire chief. “We want to work aggressively on the district personnel budget.

"As interim district manager, even though I may be a short-timer, I want to see how we can improve our customer service."

Caserta said the board has seen examples of how district employees don't have time to get things done. He said one of the complaints about the fire department is there is no one answering the phone when citizens call about things like burn permits. 

“The staff we may be asking for in 2022 are all going to be directed to that customer service our citizens deserve,” Caserta said. 

The fire department will take advantage of the 1% sales tax revenue approved by voters last November and will hire six firefighters in three-to-four weeks and another six firefighters after the first of the year, Caserta said. The sales tax revenue also will fund the construction of Station 2 set to open later next year.

Caserta said staff is reviewing the first set of design plans for that fire station which will be located on West McCulloch near Katmando’s general store in order to serve the southwest region of Pueblo West.

Pueblo West water and sewer rates likely to increase 

The board also heard an update on a water and sewer rate study. 

Jason Mumm of FCS group in Boulder said the district has a little bit of water reserve to meet growth but “there is not much there to grow on.” 

Mumm said when considering dry, hot years when less water is available, the district could be as much as 1,800 acre-feet short on its 5,100 acre-foot use which would force the district to put water restrictions in place. He said the district also has some work to do to meet the capital needs of both the water and wastewater utility departments. 

The district likely will have to seek a combination of financing and raise rates for users, he said.

“We think there will be a recommendation for some rate increase and we are going to make it as little as it can possibly be for your users,” Mumm said. “We will spend a lot of time on number-crunching and come back to you with a draft for feedback.” 

The board likely will host public hearings on proposed rate increases next month, Jim Blasing, utilities director, said. 

Black Hills substation easement approved

In other business, the board approved a permanent easement for a Black Hills Energy electric substation to be located on the west end of the old airport property which runs parallel to East Industrial Boulevard. Of the 329 acres that make up the old airport property, a roughly 5-acre site will be used north and east behind the Armor Storage facility at 517 E. Industrial Blvd. 

The site was selected because it is located near the company’s existing transmission line, is easy to access (via an access road that will be used off East McCulloch Boulevard) and is not close to private residences. Black Hills will pay $300,000 for the easement. 

The substation is needed, “to help facilitate future growth and the needs for the community,” said Tyler Purvis, economic development specialist. 

The board also agreed to revise a contract for the sale of district property to Saint Aubyn Homes, LLC. Instead of purchasing 19 lots, the home-building company decided to purchase just 11 lots along Hazelcrest Drive for $275,000 because road improvement costs to access the other eight lots would be cost-prohibitive. 

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The board also approved a contract for the sale of two commercial lots for $24,000 to Ha Toan Dung for the intended construction of an Asian cuisine restaurant at 321 and 325 S. Angus Ave. 

The board approved a $249,600 bid from RJ Gleeson Construction of Colorado Springs for the replacement of a water main along the north side of Platteville Boulevard between North Limon Drive and Winona Drive. 

The water main, “broke two or three times last December. It will serve as a very important water main for the industrial growth in the States Avenue area,” Blasing said. 

Chieftain reporter Tracy Harmon covers business news. She can be reached by email at tharmon@chieftain.com or via Twitter at twitter.com/tracywumps.