Upper Thompson board hears appeal over $18,700 fee, welcomes new director

The Upper Thompson Sanitation District Board of Directors welcomed its newest member Tuesday and spent much of its July meeting hearing an appeal from a homeowner challenging an $18,700 system development fee tied to the creation of an accessory dwelling unit.

Jeffrey Page took his seat for his first board meeting after being appointed in June to fill the vacancy created by the resignation of former director Chris Eshelman. Because he was appointed to complete the remainder of Eshelman’s term, Page will stand for election in 2027. If elected, his term will expire in 2029.

The board also approved a special meeting for Oct. 13 to present the district’s proposed 2027 budget, meeting a state deadline that falls before the board’s regular October meeting.

Homeowner appeals development fee

The board held a public hearing on an appeal filed by Estes Park property owner Mitzi Klancir, who challenged the district’s assessment of an $18,700 system development fee after remodeling work created what district staff determined to be an accessory dwelling unit.

District staff said the renovation added a shower and a kitchenette sink to a basement studio space, creating an independent living area that meets the district’s definition of an ADU and therefore requires payment of a system development fee.

Klancir told the board the space was originally intended for family use before she considered renting it after finding that Larimer County’s waiting list for short-term rental permits was moving slowly.

She argued the fee was disproportionate to the size of the space and said she was willing to pay fees for the additional plumbing fixtures but objected to the ADU assessment.

District officials said the fee is based on the future potential impact the unit could have on the wastewater system rather than its current occupancy. They noted the district applies the same standards to all qualifying accessory dwelling units.

During the discussion, staff said Klancir could avoid the ADU classification by removing the kitchenette sink, capping the plumbing connection, and allowing the district to verify the work.

Without the sink, the space could no longer function as an independent living unit under district rules, although fees associated with the added shower fixture would still apply. If the sink were reinstalled in the future to create a rental unit, the system development fee would again be required.

Rather than rule immediately on the appeal, the board directed staff to provide Klancir with a written explanation of the costs associated with removing the sink and retaining only the shower fixture.

Klancir said she would discuss the options with her sister, who co-owns the property, before deciding how to proceed.

Reclamation facility project advances

Steve Ravel, a senior project manager with the engineering firm AE2S, reported that the district’s water reclamation facility and lift station improvements project remains on schedule. It has been previously reported that the new facility is expected to cost more than $90 million.

Construction documents have been released to contractors, with bids due Aug. 14. Ravel said the engineering team expects to issue additional bid addenda over the coming weeks while coordinating reviews with the Colorado Department of Public Health and Environment, Larimer County, and other permitting agencies.

Ravel said the project remains on track for potential board consideration of a construction contract as early as the August meeting.

The board also unanimously approved payment of a $320,422.46 invoice to Ravel’s firm, AE2S, for final design services performed between May 16 and June 12 on the reclamation facility project.

“This does represent close to 1,500 hours of professional services across the disciplines, including some subcontract disciplines. It’s a lot of money, but it’s part of the plan,” said Sue Doylan, board chair.

June open house draws strong turnout

During staff reports, District Manager Suzanne Jurgens said approximately 90 people attended the district’s June open house at the water reclamation facility.

Board members and staff praised the event as an opportunity to educate residents about the district’s operations and infrastructure, noting that attendees ranged from industry professionals to families and children interested in learning how the wastewater treatment system works.