Day: December 15, 2023

For the first time in recent memory — and perhaps ever — increased revenues in the county’s Lodging Tax Fund allowed all six organizations seeking tourism promotion funds to receive full funding.The decision to dispense $131,056 to the six applicants came during last Friday morning’s meeting of the Hinsdale County Lodging Tax Board chaired by Michael Murphy and with six board members attending.Murphy was complimentary of each of the applicant organization’s marketing efforts and following the unanimous board decision extended his hearty congratulations “for all that you do… and you do a hell of a job.”Joining Murphy in the favorable vote awarding funds to Lake City Arts, Lake City Downtown Improvement & Revitalization Team, Lake Fork Valley Conservancy, Hinsdale County Historical Society, Lake City/Hinsdale County Chamber of Commerce, and the Hinsdale County MarketingVol. 46, No. 37 Friday, December 15, 2023 Lake City, Hinsdale County, Colorado 81235 U.S.P.S. No. 436-63075¢Committee were Sandra Wagner, Linda Payne, Jacqui Wonnacott, Mary Nettleton, and Greg Collins.Money dispensed by the Lodging Tab Board is the result of a two percent tax on all lodging facilities which was paid by accommodations businesses both within Town of Lake City and Hinsdale County over the past year.Murphy in opening last Friday’s workshop discussion noted that thanks to a banner accommodations business season in 2023, a total of $135,153.44 was added to the lodging tax coffers, of which $131,056 was ultimately dispensed, leaving $4,097.44 in the board coffers as a “rainy day fund” to aid in next year’s disbursements.Based on this past season’s revenues, the lodging tax board chairman reflected, “it’s easy to see that marketing is doing its job.” Compared to $135,153.44 inflow from the accommodations tax, revenues from the two percent tax — which must be used for tourism marketing — has been less auspicious in past years, applicants for the funds typically being awarded only a portion of the money for which they apply.This time last year, the lodging tax board had revenues totalling $114,000 to dispense. In 2021 lodging tax revenues were $125,000, in 2020 $98,000, and in 2019, $73,000.Referring to the steady increase in funds which are available for marketing, Murphy recalled that early on in the process only a relatively miniscule amount was available to applicant organizations — in 2015, for instance, the grand total of marketing disbursement was $57,000.Murphy was cautious in his outlook for marketing revenues from the upcoming tourism season, noting a predictable slowing in the economy may occur next year. “And that,” he added, “is just part of the cycle.”Representatives from each of the applicant organizations attended last Friday’s lodging tax board meeting whether in person or remotely via the zoom platform. Each of the representatives was allowed time to briefly explain how their organizations would utilize the marketing funding.For Hinsdale County Historical Society, Grant Houston expressed gratitude to the lodging board for its continual support of historical society marketing efforts. The historical society applied and was allowed $6,000 for promotion of events and general marketing next year, up from $4,500 which was awarded to the organization last year.Houston referred to advertising efforts which resulted in 2,160 paid admissions to Hinsdale County Museum in 2023, as well as what he termed a “significant increase” for the historical society from its walking tours — among the best attended were the evening ghost walking tours led by Jesse Kendall which drew a record 409 attendees over the past summer — as well as other society-sponsored events ranging from lectures and book signings to the 6th Annual Pub Crawl, a benefit Chuckwagon dinner, and play presentationes hosted by the museum.Lake City Arts received $2,000 in 2022 and successfully applied for $4,500 from 2023 lodging revenues. Represented by Executive Director Katie Maas Briggs on Zoom, Briggs referred to a “hell of a year” at Lake City Arts which experienced 64 percent growth as the result of marketing, noting in particular marketing efforts in SILVER WORLD and on social media. Sighing, Briggs reflecting on the 64 percent surge in 2023, and “hopefully next year we’ll keep the same trajectory.”Briggs is new to the Executive Director position, telling marking directors “this is a new saddle I’ve never sat in before.” Murphy said he had also noticed a definite “uptick” in Lake City Arts activities, crediting Briggs “for the new persona which you have brought.”Lake City DIRT’s application for $12,100 in lodging funds is divided into two components, $6,000 (same in 2022) which is considered as general marketing and $6,100 ($5,000 marketing funds last year) for event marketing to again be used for events such as Uncorked Wine & Music Festival, Constant Contact, and the Wednesday markets in Veterans’ Park.Zach Dutra of Lake Fork Conservancy explained that the $1,500 to be received from lodging tax funds is earmarked to assist with the second annual StarFest which will be held June 7 and 8, 2024. Funds will be used for social networking and promotional items, according to Dutra, in the footsteps of last June’s highly successful inaugural StarFest which received high marks from both the public and members of the astronomy network, he said. From an economy perspective, Dutra said the early June StarFest is intended to extend the tourist season.Kate Hopson for Lake City/Hinsdale County Chamber of Commerce detailed that the lodging taxLodging Tax,continued from page 1Lodging tax board met last Friday and awarded full funding to a total of six non-profit applicant organizations totaling $131,056. Lodging Tax board members, left to right, Linda Payne, Michael Murphy, Jacqui Wonnacott, and Greg Collins were joined on Zoom by Sandy Wagner and Mary Nettleton.board’s largest monetary request, the chamber’s $58,256, includes $39,006 for general marketing and $19,250 which is budgeted toward event marketing. In terms of general marketing, the chamber distributed 9,950 copies of its expanded vacation guide. The chamber’s visitors’ center witnessed an 85 percent increase over 2022 with in excess of 75,000 in-person contacts at the center. Part of the visitor center’s increase in attendance, according to Hopson, may be attributed in part to the new

At the regular Town of Lake City Board of Trustees meeting December 6, Trustees Woods, Whinnery, Horn, Kendall, Mayor Pro-Tem Bruce and Mayor Roberts selected CEO and Brewmaster of Lake City Brewing Company, Justin Hill, as new trustee to replace outgoing trustee and former Mayor Pro-Tem Doug Hamel.In a letter addressing the Board of Trustees, Hill stated that it was his belief that he is uniquely qualified to bring a distinct voice to the Board given his previous experience in corporate oil, his substantial involvement in small business, and his strong passion for the local community of Lake City.Hill went on in his letter to give details of his personal and professional background, detailing what life decisions brought him to Lake City; namely, that the corporate environment of Houston felt hopeless, and that what he craved was small business, tight-knit communities and a mountain lifestyle.Hill says in his letter that he instantly fell in love with Lake City’s natural beauty, people and community. The first weekend he was introduced to Lake City, the Lake City Brewing Company was for sale, and with the approval of his parents, Hill knew his future was here in Lake City.The motion to appoint Hill as Trustee until the next regular election in April, 2024, came from Trustee Trip Horn, and was seconded by Trustee Whinnery; the motion passed unanimously.Also in workshop, Lake City property and business owners Steve and Beth Ryals and Chillin’s Jeff Heaton addressed the trustees regarding a recurring sewer service issue occurring at 311 North Silver Street. Heaton wished to be a part of the conversation, as he has had similar trouble at his business location on Gunnison Avenue. Heaton and the Ryals explained to the Board that several business and homeowners throughout town are beginning to experience problems at the location of their sewer tap where it ties into the main service line.According to Heaton and Ryals, when the sewerline was replaced several years ago in 2016, everything worked properly for a number of years, but that each year, as the soil around the connection from the sewerline at the tap continues to settle, and when the ground gets extremely cold in the winter months, the taps back up and overflow.Ryals stated that the issue has plagued his property for the past three years. Beth Ryals reported that while everything is fine in the warmer weather, this is not the case come winter, and the problem is costing people a lot of money. “Last year it took us three days to thaw it,” she said, “and it cost us $3,000, $2,500 the year before that, $1,500 the year before that.”Public Works Director Jameson Johnston explained that the town staff have just begun to understand why the backups are happening because they now have a camera system they can use to run down into the service line to see what’s happening.Mayor Dave Roberts asked the Board for recommendations; Trustee Landon Whinnery offered to do his homework regarding the Town’s liability in the matter, Mayor Roberts said he would consult with attorney Dan Krob, who was atended the meeting via zoom, Krob replying that he would reach out Colorado Intergovernmental Risk Sharing Agency (CIRSA) and see what their recommendations are moving forward.During the employee reports segment of the meeting, Town Manager Lex Mulhall explained that water and sewer rates will be increased for 2024, and he ran through the reasons why.His report states, “Staff is recommending water and sewer rates be increased in 2024 for the following reasons: to be able to pay for the additional annual debt service of $131,162 (20 yrs) from the $2,116,500 Water Pollution Control Revolving Fund (WPCRF) loan that we received from the Colorado Water Resources and Power Development Authority (CWRPDA) to help pay for the required expansion and upgrades to the Wastewater Treatment Plant (WWTP). The total WWTP renovations project is estimated to cost over $4.5 million. The Environmental Protection Agency (EPA) and the CWRPDA are requiring the WWTP expansion and upgrades because we have reached and even exceeded the treatment capacity of the plant during the peak summer season and likely will not be able to consistently meet the more stringent ammonia limits that go into place in 2025. The upgrades are not optional, and are required for us to continue the operation of the WWTP.”His full report can be viewed in the meeting packet or at town offices, and goes on to give a further breakdown of the financial reasons for the rate increases. Water rates will increase 6 percent from the in- town base rate — $42.50 to $45 per month — and this is to help cover the cost of inflation. There will be a 20 percent increase in the out-of-town base rate over in- town base rate — $45 to $54 per month. Sewer rates will increase 11.65 percent in town — $51.50 to $57.50 per month — with out-of-town base rates increasing 20 percent over the in-town base rate $57.50 to $69 per month. With these increases, the Water and Sewer budget will have around a $17,000 surplus which puts the Town of Lake City into compliance with the 110 percent rate covenant for the WPCRF Loan.Further in his report, Mulhall detailed the amended budget schedule for adoption of the 2024 Town budget. The former deadline for the County Assessor to certify final valuation of property to local governments was December 10, 2023, but it has been now been moved to January 3, 2024. The former deadline to certify the mill levy after approval of the 2024 budget by the governing body of the local government was December 15, 2023, but has now been moved to January 10, 2024, and the deadline to adopt the 2024 budget was December 31, 2023, but is now changed to January 10, 2024.Mulhall proposes that the 2024 budget be adopted at the January 6 regular Town of Lake City Board of Trustees meeting, to give staff more time to receive feedback from the