Department of Utilities
Reference: Mile High Flood District (MHFD) IGA Amendment- Sable Outfall
To: Mayor Gregory Mills and Members of City Council
Through: Michael P. Martinez, City Manager
Prepared By: Scott Olsen, Director of Utilities
Date Prepared: February 19, 2026
PURPOSE
Requesting City Council’s approval of a resolution authorizing the City Manager, or designee, to execute an Intergovernmental Agreement (IGA) Amendment between the City and MHFD regarding the Sable Outfall.
BACKGROUND
The original IGA was approved by City Council on December 16, 2025.
The Sable Outfall system will serve existing and future development in the City, including the Sable Boulevard improvements, Farmlore Development and approximately 500 acres of the Prairie Center Development.
As previously presented and approved by City Council, the contractor working on behalf of the Farmlore Development is nearing completion of construction on the piped portion of the outfall under the Fulton Ditch per a reimbursement agreement. The City and MHFD have completed design of the Sable Outfall and wish to add additional funding to begin construction of the project in the next several months.
Per the IGA Amendment, the City and MHFD have each already contributed $225,000 in 2025 for the project. Each party will now contribute an additional $1.5 Million. It is anticipated that additional funding will be needed to complete all construction, and staff are awaiting bids from contractors through MHFD’s procurement process. The City does have additional funds budgeted for this work in 2026.
FINANCIAL IMPACT
Sufficient appropriation exists in the 2026 budget for the City’s contribution to the project as defined in the IGA Amendment.
STAFF RECOMMENDATION
City staff recommend approval of the resolution as drafted, authorizing the City Manager, or designee, to execute the IGA Amendment.
OPTIONS FOR COUNCIL CONSIDERATION
• Approve resolution as drafted
• Approve a modified resolution
• Deny resolution
• Provide further direction to staff
ATTACHMENTS
• Resolution
• IGA Amendment
• PowerPoint presentation