Special Town Board Meeting
January 15, 2018

The Special Town Board meeting of the Town of Cooks Valley was called to order on January 15, 2018 at David Clements’ residence located at 13910 60th Street at 2:30 pm by Chairman Darrel Fehr.  Supervisors present were David Clements and Matt Borofka.  Other town official present was Victoria Trinko-clerk.  See attachment for attendees.
Discussion of a road agreement with representatives from PurFrac, EOG, Dan Fedderly, and board of the Town of Cooks Valley:  There was a review of the road agreement.  Darrel Fehr reported Dan Fedderly has concerns about additional costs for snowplowing and salting.  Dave Bokor, EOG representative:  In response to a question about how much it cost to build the mine road from the Dennis Schindler mine to State Highway 40.  There are four components to the road-135th Avenue east of County Highway DD; 135th Avenue west of County Highway DD; intersection of 135th Avenue, 40th Avenue, and State Highway 40; and 20th Street north of 135th Avenue. The total cost of the project was $2,553,909.58 with a life expectancy of twenty years. A majority of the work was done in 2012 with a spillover into 2013.  
Darrel Fehr stated the easiest way to fund the usage of the road and improvements would be for each company to pay half but would not be fair as EOG has made a majority of the investment. 
In Section 2 E-EOG was okay with it as long as EOG has not further maintenance or upgrades like overlays, ditching, resurfacings, etc.  EOG’s other concern was that whatever upgrade PurFrac determines to do needs to be scheduled as not to interfere or impact productivity of EOG.  The Town of Howard has denied any change in the scheduling of truck hauling, which occurs in the summer and would be the time for road improvements.  Therefore, EOG wants to be included in the matter of scheduling road improvements.  Any alternate routes would have to be approved by the county.  There would be a determination of how much improvement would be needed at the end of twenty years and perhaps the amount of tonnage hauled would determine who would pay for it.
There was discussion of tonnage; length of the road; calculate the cost of the use of the road; calculate the wear of the road with the percentage of the use; and the percentage of 2.5 million that was used to construct the road.
Other proposals were payment of tonnage with the percentage to EOG to regain their investment of the road.  If the road deteriorated and needed to be rebuilt on the shared portion of payment would be based on the amount of the tonnage hauled on the shared portion of the road.
There was discussion of putting money in a town road fund from the tonnage hauled.  An estimation of the amount of tons hauled by EOG thus far is there will be 15 years left in the life of the DS mine.
EOG would be interested in a tonnage; amount the road use, length of the life of the mine; and a time frame for a balloon payment to EOG from PurFrac.
Going forward:  Find a division of the road, take in the billed amount, calculation of wear and usage of the road.
David Clements felt when there has been equal investment; the EOG will place .09 into the tonnage hauled fund.
Dave Bokor will propose to EOG the terms and confer with PurFrac with a cc. to the Town of Cooks Valley, with input from Dan Fedderly; and then come back to the Town of Cooks Valley and PurFrac.
Adjourn: David Clements made a motion to adjourn at 3:56 pm.  Matt Borofka seconded the motion.  The motion carried 3-0. 
Typed:  January 18, 2018                                 Respectfully submitted
Approved: February 12, 2018                         Victoria Trinko -Town Clerk