Minutes of
Annual Meeting for
Thousand Peaks Ranch Association
June 23, 2012

Meeting Opened at 2:05 p.m.
Board members present:  Dennis Kist, Eric Witzak, Ray Lyons, Rusty Evans, Lynn LaFleur-Dragonfly

Quorum:  A quorum was declared to be present.  No challenge was raised to the presence of a quorum.

Minutes of 2011 Annual Meeting.  M/S/C to waive reading of minutes since they have been posted on the internet for
owners to read and review.  M/S/C to accept minutes as posted.

Ranch Improvements: Ray Lyons reported that the cattle guard on the entrance from Highway 9 to Fourmile Creek Rd
was repaired.  The wings on the guard were hinged so that the cattle guard can be graded in the winter.
Ray has been exploring the possibility of installing solar water pumps so that the south side of the ranch can be
utilized for grazing.
M/S/C to accept report.

Treasurers Report:  Presented by Lynn LaFleur-Dragonfly:

January through December 2011
Ordinary Income
   Income
      Annual Dues                26,756.67
      Cattle Lease                     166.50
      Grazing                        42,255.58
      Late Fees                      1,093.33
  Total Income                    70,272.08

  Expense
      Accounting Fees              500.00
      Bank Fees                            5.00
      Cattle Guards                5,300.00
      Contract Labor              8,500.00
      Insurance                         187.00
      Legal Fees                    3,714.58
      Materials                        1,500.00
      Newsletter Expense           114.84
      Office Expense                  153.46
      Postage                               44.00
      Road Maintenance         3,176.14
      Snowblower Maint.             456.77
Total Expense                     46,616.29
Net Ordinary Income             46,616.29
Other Income/Expenses
   Other Income
      Interest Income                     94.27
  Total Other Income                   94.27
Net Other Income                         94.27
Net Income                            46,710.56

M/S/C to accept Treasurer’s report.

President’s Report: President Dennis Kist reported:

1.  Cattle Lease
Since last year’s meeting our situation with the cattle lease has changed dramatically.  Vern Wagner, the prior cattle
lessee, had a hard time keeping TPRA paid current on a timely basis.  Without going into all of the gory details, suffice
it to say that by the fall of 2011, Wagner had not paid TPRA for the past rent due amounting to over $23,000.00.  
Additionally, each month’s payment was late.  Finally, the judge release funds being held by the court in order for
TPRA’s past due amounts to be paid.  Instead of paying the moneys given to him by the court, Wagner attempted to
hold the funds hostage until TPRA agreed to renegotiate the lease.  Specifically, Wagner did not want the Rafael
Esparza to be able to lease the west side of the ranch.  As you may remember, in April 2011, Wagner was not able to
pay the lease payments, and particularly the back rent, so TPRA reached an agreement with Wagner that we would
not terminate the lease if he agreed that Esparza would lease west side of the ranch for 1 year and that Wagner
would keep his monthly rent payments current.  When Wagner had the money from the court he attempted to reneg
on this agreement.  When TPRA refused, Wagner refused to pay the money from the court.  TPRA then sent Wagner
a letter terminating the lease.  The next day Wagner paid the money and his attorney raised some legal issues as to
our ability to immediately terminate the lease.  Since Wagner’s trial with the state was to occur in December, we
decided to wait and see what happened in the court.  Following the trial, Wagner was permanently enjoined from
owning or managing cattle in Park County.  Since Wagner is legally enjoined from fulfilling his obligations under the
lease, TPRA negotiated a new 3 year lease with Rafael Esparza. The new cattle lease was signed with Esparza on
April 4, 2012. It is a 3 year lease that provides for the grazing of 500 yearlings for 5 months each year. The grazing
shall take place for a 5 month period between May 1st and November 1st each year. We will be paid $6.00 per head
per month ($15,000.00) per year. A copy of the lease can be seen on TPRA’s website, tpracolo.com.

2.        Budget.        Based upon our financial situation, the Board budgeted $10,500.00 for snow removal last year.  
We also established a budget of $20,000.00 for summer road maintenance, with about $13,000.00 going to road
materials.
As you will recall, a couple of years ago, the Board purchased a snow blower so that we could attempt to keep the
roads clear in the winter at a lower cost than hiring an outside contractor.

3.         Equipment.          In the past few summers, we had difficulty getting an outside contractor to come and grade
our roads.  So last fall we advanced Ray Lyons $10,000.00 to purchase a road grader.  The advance has been
repaid by the time that Ray has spent grading the roads.  Now we have a road grader on the ranch which will be used
in the spring/summer to try and keep the roads in shape.  

Road Report:   Presented by Eric Witzak:
55 loads of road base (1600 tons) has been distributed on the needed areas of the ranch.
Ray Lyons reported that the grader has lowered the high spots on the west side to avoid snow drifting.  2 culverts
were installed on Santa Maria and Reinecker Rd.

Election of Officers:

The floor was opened for nominations for the five seats on the Board of Directors:
The existing Board of Directors were nominated.
Dennis Kist…………………………………….Accepted
Lynn LaFleur-Dragonfly……………………...Accepted
Rusty Evans…………………………………..Accepted
Ray Lyons……………………………………..Accepted
Erik Witzak……………………………….……Accepted

M/S/C to close nominations.

Motion to instruct Secretary to issue a white ballot in favor of the uncontested nominees and to elect them by
acclamation.  Seconded.  Carried.

Old Business.        A request was made by the landowners on Deadman Rd to grade the road.  The board stated that
they would look into sending the grader to make some improvements so that summer residents can use the road.

New Business.        The Board is looking into putting road markers along different areas of the roads so that the roads
can be found by the snowblower in the winter.

M/S/C to adjourn at 3:20 pm
Respectfully submitted,

Dennis Kist