Xcel Energy Utility Thermal Energy Network Project Update and Planned Electricity Outages
Planned Outages and Outages Due to Extreme Weather Events
Blair McGary of Xcel Energy provided an overview of current Xcel Energy impacts and projects in the Frisco area. There was a discussion of Public Safety Power Shutoffs (PSPS), which were described as the “final option” solution during high wind events with elevated risks of wildfire- a red flag warning. During extreme or critical wildfire risk conditions or near active wildfires, Xcel may need to temporarily turn off electric service to customers in targeted areas. This is a risk reduction strategy known as a Public Safety Power Shutoff (PSPS). There would typically be an alert 72 hours prior to a possible PSPS, especially to critical customers such as hospitals, other healthcare facilities, schools, water treatment plants, local officials, and more. PSPS’s are happening most frequently on the Front Range, and communications have become more thorough and timely.
Enhanced Powerline Safety Settings (EPSS) were also discussed, which are in play when power lines are allowed to remain in service during periods of high wildfire risk, with additional protection settings enabled to enhance public safety. Any disruption to those lines shuts down the power grid and requires that a visual inspection of those lines before power is restored. For example, December 2025 saw a high wind event here in the Frisco area, resulting in downed lines in the Lake Hill area due to four downed poles and a power shut off.
Potential Electric and Gas Rate Increases
Xcel has two rate case (increase) requests with the Colorado Public Utilities Commission, as Xcel claims that providing safe and reliable natural gas or electricity exceeds what customers are paying in rates. Xcel is anticipating that the average residential customer will see a $10 increase in their bill each year if these rate increases are approved.
Xcel also discussed the Colorado 2027 PUC reauthorization and that Xcel is recommending that the commission is reduced from five to three members, as well as requiring in person meetings of the PUC.
Thermal Energy Network Pilot Project
There will be two public outreach events on April 29 at Highside Brewing for the community and targeted specifically at businesses and residences who are in the area that is part of the Frisco Thermal Energy Network Pilot Project, which will be centered in the neighborhoods around Main Street and which was presented to Council in October 2025. Participants in this pilot project would receive HVAC/heat pump systems and other upgrades that would accommodate their participation in the pilot project, which is one of two thermal energy pilot projects in the State.
Discussion
Council had questions about the burden of Statewide proposed rate increases and the current profit projections for Xcel. Council also had questions about how to encourage electrification and ways for community members to lower utility bills.
Frisco Backyard Recreation and Fuel Reduction Project Update
At the March 24, 2026 work session, Sam Massman, Acting District Ranger for the White River National Forest and Kat Gray, Fuels Planner for the White River National Forest, along with Town Frisco Nordic Center and Trails Manager Pete Swenson, provided an update to Council regarding the Frisco Backyard Fuels and Recreation Project. On February 18, 2026, the USDA Forest Service officially approved the Environmental Assessment (“EA”) for the Frisco Backyard Fuels and Recreation Project.
Background
This project has been in the planning phase for over three years with the USFS, Denver Water, and Town of Frisco providing funding, and the Town of Frisco has been under contract with SE Group Inc. (Snow Engineer Inc.) who have been preparing the planning documents for the Town and USFS since 2022 at a total cost of $786,745.
The project will occur within a 3,026-acre area adjacent to the Town of Frisco, known by residents as the “Backyard.” The Backyard encompasses the land generally south and east of downtown Frisco, including parts of Mount Royal, Miners Creek, Rainbow Lake, Ophir Mountain, and near Gold Hill. The majority of this 3,026-acre area is composed of National Forest System (NFS) lands, of which 90 acres are private inholdings. In October 2022, the area became a part of the Camp Hale-Continental Divide National Monument via presidential proclamation.
Implementation
The approved activities, as described in the EA, include both fuel treatments and recreation improvements. Implementation partners will include the Town of Frisco, USFS, Summit County, Denver Water, Colorado State Forest Service, the National Forest Foundation, and Friends of the Dillon Ranger District (FDRD). Specifically, the plan includes 1,576 acres of fuels treatments, divided into 63 treatment units with 95% of the project area projected to be treated by hand crews using chainsaws to create piles for future burning. The plan also includes four categories of recreation improvement actions: summer use trail improvements, winter use trail improvements, trailhead access, parking improvements, and a combination of restoration and improvements to Rainbow Lake and Masontown.
In addition, the project authorizes the Forest Service to issue a Special Use Permit to the Town of Frisco to assist with management of the area into the future, including the improvement or building of approximately 30 miles of trails. Winter trails will include some new trails that are free drag groomed, so there is better free winter access to trails from Town. Also, there will be an effort to pull more cyclists south and east with trails that are ideal for biking, and hikers would be encouraged to go further west towards Mount Royal with trails that are more ideal for that use. And there will continue to be a focus on welcoming all user types.
The USFS has also been working with Frisco Historic Park and Museum Manager Blair Miller and other Museum staff around the archeological assets in the Backyard. There is an understanding that the area’s historical assets are a unique part of the Frisco Backyard, and there are opportunities to fund preservation of these assets through grants.
Implementation for this large project will occur in phases. Phase 1 for fuels is about 500 acres (1/3 of the project) in the areas closest to Town between Mount Royal and Ophir Mountain. There will be some cutting and piling this summer, and USFS, Town of Frisco and NFF are working to complete designs for the improved Zach’s Stop TH with the hope of implementing this project late summer 2026 or 2027.
Funding
In the capital budget, the Town has $150,000 budgeted annually for the next five years for trail construction and enhancement. There are also County Strong Futures funds, Federal infrastructure funds, and Denver Water funding available for this project. The Town will also be actively pursuing all potential financial opportunities over the next ten years to ensure that work occurs as outlined and approved in the EA. This will include applying to grants as well as local, state, and federal funding that becomes available.
Discussion
Council wanted to know if funding will be used for replanting and maintenance of areas, and the USFS said that there is a maintenance component for this project, which the USFS will be working with the Town to make possible through the special use permit. There were also questions about what the lodgepole cutting for fire mitigation would look like, and USFS indicated that they wanted to maintain more of a “mosaic” pattern where only small areas are cut and where other species such as spruce and aspen will remain standing. There will also be an effort to thin any “mono tree species” landscapes after 10 years by thinning lodgepole pine growth and creating spaces around them to discourage the same issue we currently face in this forest. Friends of the Dillon Ranger District will also be approached to help with outreach and education on this part of the project.
Council also had questions about the types of trails that will be built, improved, and de-commissioned. There was also a concern about de-commissioning trails from the hospital area, and USFS staff stated that they want to continue to provide community connectivity and will consider these suggestions around ease of access from that area. USFS staff also addressed making sure that trails are improved or created in a way to ease user conflict. For example, there will be a new bike-only trail leading to Rainbow Lake to take pressure off the Peaks Trail to Rainbow Lake and to improve the experience for walkers and bikers alike. Also, there is a significant push to improve Zach’s Stop trailhead at the end of this summer by better defining parking and discouraging the continued overparking and organic expansion of that lot.
Recognition of the Lifesaving Efforts of Frisco Police Officers
Frisco Police Chief Tom Wickman and Mayor Rick Ihnken recognized the extraordinary actions of five members of the Frisco Police Department. Mayor Ihnken shared the details of a December 2025 suicide attempt and the exceptional lifesaving response of Frisco Police Officers, which serves as a powerful reminder of the courage, skill, and compassion Frisco Police bring to this community each day. This Frisco community member lost 2 liters of blood but survived their injuries due to the quick action of these officers and the care of Summit Fire & EMS firefighters and Common Spirit emergency staff and is now receiving mental healthcare. Summit Fire & EMS staff and Common Spirit surgeon, Dr. Erika Poulos, were also present to acknowledge to extraordinary lifesaving efforts of these six Frisco Police Officers: Officer Wicklund, Officer Cooper, Officer Hassett, Sergeant Freeman, and Sergeant Smith.
Well 7 PFAS Treatment Construction Contract
In the spring of 2020, the Town of Frisco opted to participate in voluntary water sampling, with the Colorado Department of Public Health and Environment (CDPHE) to study the presence of PFAS in drinking water throughout the state of Colorado. During the first round of sampling and testing, the results of those samples showed low levels of PFAS in Well 7 located at the Frisco Adventure Park. Subsequently, Well 7 was taken offline in 2022, which it remains, and staff began working with Plummer Associates to develop a remediation plan for PFAS removal from Well 7. The goal of the remediation plan was to find the best possible filter media to scrub the well water of PFAS contaminants. Plummer conducted a pilot program that ran through 2024 and concluded that the best filter media is Granular Activated Carbon (GAC).
After the Town selected GAC as a filter media in 2024, the design team was able to clearly define the treatment approach needed to support a viable facility. GAC also offers a significant long-term advantage. While a GAC system can be expanded in the future to incorporate ion-exchange treatment if required by evolving EPA regulations, an ion-exchange system cannot be retrofitted to accommodate GAC. Additionally, GAC does not require hazardous material disposal, which reduces future maintenance costs and eliminates any long-term liability.
Town Council Discussion and Decision
Council approved Resolution 26-11 for a Guaranteed Maximum Price (GMP) Contract with Hensel Phelps Construction in the amount of $8,092,101 to install a polyfluoroalkyl substances (PFAS) treatment facility at Well 7, located at the Peninsula Recreation Area (PRA). Council noted that in June 2024, the Town applied to the State Revolving Fund (SRF) and successfully advanced through the program’s rigorous review process, resulting in the award of an $8,200,000 loan with 100% principal forgiveness; resulting in significant funding for this project. Council requested some educational signage at the construction site, and had questions about the project timeline, which staff responded should go into 2027.
Frisco Bay Marina Moves to the General Fund
Each year, Town Council adopts an annual budget. Periodically, adjustments are required to reflect changing conditions. During the February 24, 2026 Frisco Town Council meeting, Council discussed just such changing conditions at the Dillon Reservoir, which is expected to have significantly lower water levels that will substantially impact operations at the Frisco Bay Marina. At that meeting, Council gave staff direction to return at a future meeting with an ordinance that adjusted the 2026 budget and moved the Frisco Bay Marina from an enterprise fund into the general fund. During the March 24 meeting, Town Council considered Ordinance 26-08, which proposes supplemental appropriations to align the Marina Fund budget with revised 2026 projections, and to transition the Marina from an Enterprise Fund to a Governmental (General Fund-supported) operation. Subsequently, Town Council approved Ordinance 26-08.
Frisco Town Council Meetings: Ways to Participate
Frisco Town Council meetings are available to view via Civic Plus Resident Portal, Zoom, and YouTube, and are also held in person to make Town Council meetings easier to access for everyone.
The public can provide comment during meetings via Zoom or in person (not on YouTube), and a public comment period will be available at 7:00pm; during the consideration of ordinances; and at the discretion of Town Council during work session items, which are discussions that don’t require a formal vote by Town Council and do not require public comment. Again, this hybrid approach is intended to make Town Council meetings more accessible.