NDDA Discusses Covered Bridge Repair Funding

The Nederland Downtown Development Authority (NDDA) met on Wednesday, November 9, 2022 at 6 p.m. to discuss funding for the paving of the visitor center car park, as well as funding for repairs to the Netherlands Pedestrian Bridge.

Executive Director Kate Masingale presented the NDDA with the need to access $139,000 to fund the paving of North Jefferson Street and the visitor center parking lot. The paving project was approved by the NDDA in February 2019 and funds for the project are required for the 2023 budget.

Council members were in favor of the project, although concerns were raised that the original site plan for the project showed a loss of parking spaces due to paving and construction of sidewalks. City Administrator Miranda Fisher and the NDDA agreed to revisit the issue of the paving project as a topic of discussion at an upcoming meeting for city staff to provide more information on the project.

Masingale also presented the board members with information regarding the funds provided by the NDDA to the organizers of the Frozen Dead Guy Days (FDGD) festival. The funds for the 2022 festival have been spent on the costs requested in their grant application.

It has been confirmed that the unpaid invoices from the FDGD 2022 event do not impede either the City of Nederland or the NDDA’s ability to hire traffic signaling services for other such events. Although FDGD organizers have confirmed that there will be no festival this year, the NDDA’s Official Agenda Information Memorandum (AIM) said they are open to future conversations.

Parks Manager Nicki Dunn presented the NDDA with a discussion regarding funding for much-needed repairs to the roof, entrances and overall structure of the Nederland Pedestrian Bridge. The covered bridge has not had any maintenance repairs since its construction in 1988 and requires an assessment by a structural engineer.

Dunn had obtained contractor quotes for roof repairs ranging from $6,000 to $14,950, and for repairs to the cladding structure (which also includes ten new custom planters) at $15,333. Dunn also hopes to hire a general contractor who could complete both projects at once.

The NDDA discussed the scope of the project and the challenges of building above the creek, such as falling debris resulting from the removal of the current roof shingles. The NDDA has already approved $20,000 to be allocated for this project in its 2023 budget, and Dunn is requesting an additional $10,000 for repairs to the covered bridge.

The NDDA was generally in favor of funding the project, although some council members expressed a desire for the city of Nederland to help the project financially. A motion to make the issue of funding for the covered bridge rehabilitation project an action item was moved, seconded and approved. Council members then voted unanimously to approve funding for the project totaling $30,000, with an amendment that the City of Nederland pledge to maintain the covered bridge for at least 30 years.

Masingale led the NDDA in a discussion regarding updates to their grant funding application. Updates include ensuring the inclusion of the NDDA logo on all sponsor communications, requiring a final report on the expenditure of applicant funds, all grants being awarded on a reimbursement basis, encouraging applicants to seek funding for two weeks prior to the event, accepting requests for direct supplier payments, and providing invoices and copies of checks before funding is awarded.

The NDDA discussed liability issues, with reference to insurance coverage of third-party vendors hired through the grant applicant, and how to include such City disclaimer language in the grant application.

A motion was made to turn the issue of updating the grant application into an action item and the motion was seconded and passed. A motion was made to approve the grant application updates with an amendment that dual payee checks may be requested by the NDDA for vendors. The motion was seconded and passed unanimously.

NDDA Treasurer Ron Mitchell presented a proposal to increase the city’s certificate of deposit by $250,000, increasing the line of credit to $500,000. The interest rate on the CD received would be 0.75% and the interest rate paid on the line of credit would be 6.5%, depending on the the wall street journal prime rate published daily. The proposal was approved by the Board of Directors (BOT) on October 18, 2022, as recommended by the NDDA; the issue of the CD increase has been drafted into a resolution that must be approved by the NDDA before starting the process with Sunflower Bank.

Board member Scott Papich was not in favor of passing the resolution due to the fact that the wording of the resolution was unclear as to whether or not there is a cost to the city to raise the CD. The resolution states that “the cost of the line of credit will be 1% of the total line or $1,500”.

Mitchell moved a motion to approve the resolution with an amendment to add language that the cost should not exceed the $1,500 that has already been paid for opening the initial line of credit. However, board members were not comfortable with approving the resolution as written, as the resolution’s “ambiguous” language gave no assurance that an additional cost would not would not be charged to the city.

It was clarified that there would be a cost for the opening of the second line of credit, which was not clear by either NDDA or BOT until discussed on November 9, 2022 It was still unclear if the cost would be $1,500 or if it would be 1% of the final line, which totals $5,000.

Vice President Andrew Dewart moved a motion to approve the resolution provided the unavoidable cost to the City of opening the second line of credit does not exceed $1,500. The motion was seconded and passed, with Mitchell pledging to get clear information from Sunflower Bank regarding the actual cost to the city of opening the second line of credit and sharing that information with the NDDA.

Masingale submitted a request to the NDDA for $200 for drinks and sweets to be served at this year’s annual Christmas lighting event, which the NDDA unanimously approved.

The Nederland Downtown Development Authority meets on the second Wednesday of each month. The next meeting will take place on Wednesday, December 14, 2022, starting at 6 p.m., and will be held online as well as in person at the Nederland Community Center. For more information, visit: townofnederland.colorado.gov/ government/boards-and-commissions/downtown-development-authority