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HomeMy WebLinkAbout20122374.tiff RESOLUTION RE: APPROVE CONSENT TO ASSIGNMENT AND ASSUMPTION OF AGREEMENT FROM LAFARGE WEST, INC., TO MARTIN MARIETTA MATERIALS, INC., FOR THE GREELEY PIT (USR-247) AND AUTHORIZE CHAIR TO SIGN WHEREAS, the Board of County Commissioners of Weld County, Colorado, pursuant to Colorado statute and the Weld County Home Rule Charter, is vested with the authority of administering the affairs of Weld County, Colorado, and WHEREAS, the Board has been presented with a Consent to Assignment and Assumption of Agreement among the County of Weld, State of Colorado, by and through the Board of County Commissioners of Weld County, on behalf of the Departments of Planning Services and Public Works, and Lafarge West, Inc., and Martin Marietta Materials, Inc., commencing upon full execution, with further terms and conditions being as stated in said agreement, and WHEREAS, after review, the Board deems it advisable to approve said agreement, a copy of which is attached hereto and incorporated herein by reference. NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of Weld County, Colorado, that the Consent to Assignment and Assumption of Agreement among the County of Weld, State of Colorado, by and through the Board of County Commissioners of Weld County, on behalf of the Departments of Planning Services and Public Works, and Lafarge West, Inc., and Martin Marietta Materials, Inc., be, and hereby is, approved. BE IT FURTHER RESOLVED by the Board that the Chair be, and hereby is, authorized to sign said agreement. The above and foregoing Resolution was, on motion duly made and seconded, adopted by the following vote on the 5th day of September, A.D.. 2012. BOARD OF COUNTY COMMISSIONERS WELD COUNTY, COLORADO ATTEST: - • Sean P. C y, Chair Weld County Clerk to the Board - Ham F. Garcia, ro-Tem BY: \J-CQTYLA- --.Deputy CI to th Boa XCUSED 1861 _�..++,, 'ara Kirkmeyer APPROVED AS TO F 'N°` ® avid E. Long un y 'ttorney CY ) e?Lavil9 Dough Radema er Date of signature: q--IT-1 a` /.17/dD/,? 2012-2374 PL0405 Stephanie Arries From: Stephanie Arries Sent: Thursday, August 16, 2O12 4:07 PM To: Sean Conway; William Garcia; Barbara Kirkmeyer; Dave Long; Douglas Rademacher Cc: Bruce Barker; Richard Hastings; David Bauer Subject: Assignment of Right/Obligations from Lafarge West, Inc. to Martin Marietta Materials, Inc. Attachments: MEMORANDUM of Assignments.docx As you are probably aware, Lafarge and Martin Marietta exchanged several gravel mining properties. In Weld County, this exchange resulted in Martin Marietta's acquisition of seven (7) properties formerly held by Lafarge. The attached memorandum describes the properties in more detail. The "Consent to Assignment" forms were prepared by Martin Marietta's counsel and after being executed by representatives of both companies were sent to the County for the Board's approval. The projects and documents were reviewed by Rich Hastings and me.The materials are in order and at this point staff recommends approval, and asks that the Consents be executed. Also,for your information,the only project involving existing collateral is the Colorado Sweetgold project. It is anticipated that the seven (7) assignments will be presented to you for your consent either the week of August 27, or the week of September 3. Please let me know if you would like to have a work session on this matter. Stephanie L. Arries Assistant Weld County Attorney 1150 "O" Street P.O. Box 758 Greeley, Colorado 80632 Tel: 970-356-4000 ext 4394 Fax: 970-352-0242 Email: sarries(aco.weld.co.us 1) r R - ri 49v„-k t`5 STATEMENT OF CONFIDENTIALITY & DISCLAIMER: The information contained in this email message is attorney privileged and confidential, intended only for the use of the individual or entity named above. If the reader of this message is not the intended recipient, you are hereby notified that any dissemination, distribution or copy of this email is strictly prohibited. If you have received this email in error, please notify us immediately by replying and delete the message. Thank you. 2012-2374 1 MEMORANDUM RE:ASSIGNMENTS OF RIGHTS/OBLIGATIONS FROM LAFARGE WEST, INC., TO MARTIN MARIETTA MATERIALS, INC. As the Board may already be aware, Martin Marietta Materials, Inc., (hereinafter "Martin Marietta") acquired the gravel mining operations—or rights thereto—which had been owned by Lafarge West, Inc., (hereinafter "Lafarge"), in December of 2011. As a part of this acquisition, Martin Marietta is assuming all of the responsibilities held by Lafarge under the various Improvements Agreements previously executed by Lafarge. Attached please find seven (7) documents titled "Consent to Assignment and Assumption of Agreement" which accomplish this assignment of responsibilities. These documents were prepared by the attorney for Martin Marietta. They were executed some time ago by the officers of Martin Marietta and Lafarge, and several months later were forwarded to this office for review and for acceptance by the Weld County Board of County Commissioners. The Lafarge properties which have USR or SPR permits were carefully researched to determine the status of improvements and to determine whether gravel mining operations are active on the sites. The status of any collateral which Lafarge may have posted to secure compliance with its improvements obligations was also examined. Below is a brief summary of the status of each of the Improvements Agreements,the assignment of which you are being asked to approve. 1. Assignment of "Long Term Maintenance and Improvements Agreement with Western Mobile Northern..." This Agreement (Doc. #961859) was originally executed October 16, 1996. The Agreement was written to cover maintenance and improvements on 35th Avenue (WCR 35), between "F" Street and "O" Street. There is currently no collateral being held by Weld County for these maintenance and improvements obligations.This agreement relates to USR-247 "Greeley Pit. 2. Assignment of "Amended Road Maintenance and Improvements Agreement" with Western Mobile. Inc This Agreement (Doc. #982493) was originally executed December 23, 1998.The Agreement was written to cover maintenance and improvements on WCR 7, between the Hamm Pit entrance and State Highway 119. There is currently no collateral being held by Weld County for these maintenance and improvements obligations.This agreement relates to USR-1199 "Hamm Pit". 3. Assignment of "Long-Term Road Maintenance and Improvements Agreement" with Mobile Premix. Inc This Agreement (Doc. #2001-3182) was originally executed November 14, 2001. The Agreement was written to cover maintenance and improvements on WCR 6, between the Riverbend Pit entrance and US Highway 85. This Agreement was amended in 2009 as Doc. #2009-0802. There is currently no collateral being held by Weld County for these maintenance and improvements obligations. Collateral will be required in the future as development of the facility progresses. This agreement relates to USR-1259 "Riverbend Pit". 4. Assignment of"Road Maintenance and Improvements Agreement" with LAFARGE WEST, INC. This Agreement (Doc. #2003-0019) was originally executed January 6, 2003. The Agreement was written to cover maintenance and improvements on the following roads: a. WCR 7 between Colorado State Highway 119 and Colorado State Highway b. 52WCR 20.5 between WCR 7 and the entrance to the Cottonwood Pit, (a distance of 7,700 feet) c. WCR 18 between WCR 7 and WCR 5 d. WCR 5 between WCR 18 and WCR 7 There is currently no collateral being held by Weld County for these maintenance and improvements obligations.This agreement relates to USR-1360 "Del Camino or Heaton Concrete Plant". 5. Assignment of"Road Maintenance and Improvements Agreement" with LAFARGE WEST, INC. This Agreement (Doc. #2003-0550) was originally executed February 26, 2003. The Agreement was written to cover maintenance and improvements on WCR 7 between State Highways 119 and 52, and WCR 20.5 between WCR 7 and WCR 1, and maintenance and improvements on the following intersections: a. Intersection of WCR 20.5 and WCR 1, including installation of a traffic light b. Intersection of WCR 20.5 and WCR 7 c. Intersection of WCR 7 and State Highway 52 There is currently no collateral being held by Weld County for these maintenance and improvements obligations.This agreement relates to USR-488 "Cottonwood Pit". 6. Assignment of "Improvements Agreement According to Policy Regarding Collateral of Improvements" with LAFARGE WEST, INC. This Agreement (Doc. #2009-3068) was originally executed November 23, 2009. The Agreement was written to cover maintenance and improvements primarily on State Highway 60. However, possible future improvements included the following intersections: a. WCR 19 and State Highway 60 b. WCR 17 and State Highway 60 c. WCR 19 and WCR 46.5 d. WCR 17 and WCR 46.5 There are on-site improvements which must be undertaken when a grading permit is requested. AT that time, collateral must be posted.There is currently collateral being held by Weld County in the amount of $180,000 for any maintenance and improvements obligations. This agreement relates to SPR-427 "Colorado Sweet Gold/Lafarge Asphaltic Cement Storage Tanks". 7. Assignment of "Improvements Agreement According to Policy Regarding Collateral of Improvements" with LAFARGE WEST, INC. This Agreement (Doc. #2011-2929) was originally executed November 7, 2011. The Agreement was written to cover maintenance and improvements on WCR 64. Additional improvements could be required in the event of a change in the haul route, including improvements to the following intersections: a. WCR 64.5 and WCR 25.75 b. WCR 64 and WCR 27 In addition, Lafarge agreed to provide $85,846 for the anticipated future modification of the curves in the road on WCR 23.75 between WCR 64.5 and WCR 64.75.There is currently no collateral being held by Weld County for these maintenance and improvements obligations. Collateral will be required in the future as development of the facility progresses.This agreement relates to USR-1657 "Parsons Pit". CONSENT TO ASSIGNMENT AND ASSUMPTION OF AGREEMENT This Consent to Assignment and Assumption of Agreement("Consent to Assignment"), dated as of the_day of , 2011 ("Effective Date"), is by and among Lafarge West, Inc. ("Assignor"), Martin Marietta Materials, Inc., a North Carolina corporation ("Assignee"), and Weld County, Colorado ("County"). RECITALS A. Assignor and County are parties to that certain Long Term Road Maintenance and Improvements Agreement dated October 16, 1996 (Greeley 35th)(the"Agreement"). B. In connection with a larger transaction involving an exchange of various assets between the parties, Assignor has assigned or will assign all of Assignor's right, title and interest in the Agreement to Assignee, subject to the consent of the County as provided for herein. NOW, THEREFORE, in consideration of the mutual covenants set forth herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereby agree as follows: 1. Assignment. Assignor has or will assign the Agreement to Assignee, with Assignee assuming all of the obligations of Assignor thereunder arising from and after the effective date of such assignment,which the Parties anticipate will be December 9, 2011. 2. County's Consent. County hereby consents to this Assignment. In connection with such consent, County hereby confirms that (i) the Agreement is in full force and effect, (ii) the list of documents set forth on Schedule 1 represents the full agreement between the parties with regard to the matters described therein, and (iii) except as set forth on Schedule 1, there are no other amendments or other agreements modifying the terms of the Agreement. To County's knowledge, Assignor is not in default under the Agreement and has performed all duties and obligations required under the term of the Agreement as of the date of this Consent to Assignment(including, without limitation, the payment of all rent and royalties). County has not assigned, transferred or hypothecated the Agreement or any interest therein. 3. Release and Replacement of Collateral. Pursuant to the Agreement, Assignor has posted with the County collateral in the amount of$ . Upon Assignee posting replacement collateral in like amount with the County, Assignor's collateral shall be promptly released to Assignor by County. 4. Successors. The provisions of this Consent to Assignment shall bind and the benefits shall inure to the heirs, representative, successors, and assigns of the parties hereto. 5. Severability. If any provision of this Consent to Assignment shall be held invalid or unenforceable for any reason or to any extent, the remainder of this Consent to Assignment or the application of the term or provision to persons or circumstances other than those as to whom or with respect to which it is held invalid or unenforceable, shall not be affected, and each shall be valid and enforceable to the fullest extent permitted by law. As between Assignor and Assignee, this Consent to Assignment is subject to the terms and conditions of the Asset Exchange Agreement by and among Assignor, certain of its affiliates, Assignee, and certain of its affiliates (the "Transaction Agreement"). In the event of any conflict between this Assignment and the Transaction Agreement, the Transaction Agreement shall control, provided however that the obligations of Assignor and Assignee to the County 1 Greeley 35th DMWEST#8663581 vl under this Assignment or under the Agreement shall not be affected or modified in any respect by the Transaction Agreement or any other agreement between Assignor and Assignee. 6. Governina Law. This Consent to Assignment shall be governed by, and constructed in accordance with,the laws of the State of Colorado. 7. Counterparts. This Consent to Assignment may be executed in several counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same agreement. This Consent to Assignment may be executed by facsimile or other electronic signature and such electronic signature shall constitute an original for all purposes. 8. Notices. All notices, requests, concerns, approvals, payments in connection with this Consent to Assignment, or communications that either party desires or is required or permitted to give or make to the other party under the Agreement shall only be deemed to have been given, made and delivered, when made or given in writing and personally served, or deposited with a reputable overnight courier such as FedEx, postage prepaid, and addressed to the parties as follows: If to Assignor: c/o Lafarge North America Inc. 10170 Church Ranch Way Westminster, CO 80021 Attention: President With a copy to: Legal Department Lafarge North America Inc. 12018 Sunrise Valley Drive, Suite 500 Reston, Virginia 20191 Attention: General Counsel If to Assignee: c/o Martin Marietta Materials, Inc. 2710 Wycliff Road Raleigh,North Carolina 27607 Attention: Chief Executive Officer&President With a copy to: Martin Marietta Materials, Inc. 2710 Wycliff Road Raleigh, North Carolina 27607 Attention: Senior Vice President&General Counsel 9. Recording. Assignee may, at its election and cost, cause this Consent to Assignment to be recorded in the real property records of Weld County,Colorado. Upon such recording,this Consent to Assignment shall constitute record notice of the existence of the Agreement and the assignment thereof to Assignee. Reference should be made to the Agreement for a full description of the rights and duties of the parties thereto. [Remainder of Page Intentionally Left Blank] 2 Greeley 35th DMWEST#8663581 vt IN WITNESS WHEREOF, the parties hereto have executed this Assignment as of the date set forth above. ASSIGNOR: LAFARGE WEST,INC., a Delaware corporation/ By: 92�1,r7,{/f ,�l M1 {4-' Name: ilk, l M ^ ;i u- Title: V J5 v STATE OF a/Or C/0 ) n� ) SS: COUNTY OF Tatar) ) ) dada, �L The foregoing instrument was acknowledged before me this o/3 day of f rz-9t-1",.?e/z by (14arfjA 1. M'{star/c , as V P t1lsiars natfof la W2St mitt, • WITNESS my hand and official seal. � �- /�.+ Notary' e Public My commission expires: ti-3b'Q0l q pNPs1EPfIF 1/4,ii [Signatures Continue on Next Page] ��. . P . 0' E : 0' . O ; U ' ' ? 'NC po%' .:0�\ H Commissiot`e 3 Greeley 35th DMWEST N8663581 vl ASSIGNEE: MARTIN MARIETTA MATERIALS,INC., a North Carolina corporation By: r - Name: Jay M. Moreau Title: e1i�r Cc ident - Clperatinnc STATE OF (cEo4.U( A ) ) SS: COUNTY OF r(LTo n/ ) The foregoing instrument was acknowledged fore me this day of , 2011, Vic-t9reSr�.tyd" by Ca1,.1 M • ( oce8(u� `e, _as e eroa- 'no, of (-1\aCOS?,a f-Ve rEke-f 1\a* • o rcli1. WITNESS my hand and official seal. LILL-1%4 Notary Public My commission eip� '...�...--'II+ i[Siir • k Pusuc Inatures Continue on Next Page] COO.:ree w Fw��r 4 Greeley 35th DMWEST 48663581 vl COUNTY: WELD COUNTY, COLORADO N Name: Sean P. Conway Title: Chair, Board of Weld County Commissioners STATE OF COLORADO ) SEP 0 5 2012 ) SS: COUNTY OF WELD The foregoing instrument was acknowledged before me this 5th day of September, 2012, by Sean P. Conway as Chair of Weld County, Colorado. WITNESS my hand and official seal. o,�pRY.P1/6N 4)iL>�• � �J 'l''• ''••�' Notary Public DONNA J. BECHLER ‘1,`\`OF CO-es MY COMM.EXP.04.10-201e 5 Greeley 35th DMWEST48663581 vl 0X'/&- Q37S Hello