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Home My WebLink About20123447.tiff RESOLUTION RE: APPROVE ENERGY AND MINERAL IMPACT ASSISTANCE PROGRAM APPLICATION FOR COUNTY ROAD 49 EXTENSION PROJECT AND AUTHORIZE ELECTRONIC SUBMITTAL 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 an Energy and Mineral Impact Assistance Program Application for the County Road 49 Extension Project from the County of Weld, State of Colorado, by and through the Board of County Commissioners of Weld County, on behalf of the Department of Finance and Administration,to the Colorado Department of Local Affairs,with terms and conditions being as stated in said application and WHEREAS, after review,the Board deems it advisable to approve said application, 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 Energy and Mineral Impact Assistance Program Application for the County Road 49 Extension Project from the County of Weld, State of Colorado, by and through the Board of County Commissioners of Weld County, on behalf of the Department of Finance and Administration, to the Colorado Department of Local Affairs be, and hereby is, approved. BE IT FURTHER RESOLVED by the Board that the electronic submittal of the application be, and hereby is, authorized. The above and foregoing Resolution was, on motion duly made and seconded, adopted by the following vote on the 3rd day of December, A.D., 2012. {�' N BOARD OF COUNTY COMMISSIONERS N WELD COUNTY, COLORADO • ATTEST: nW ae 1 w can P. Co , Chair Weld County Clerk to the B it ' 4 William F. Garcia, Pro-TSm BY: � Deputy Cler the Board �rDara Kirkrryes j APP D ORM: cx, avid E. Long ounty Attorney t‘ vna dit•cr 1 ->A4 4 � DouglasiRademacher Date of signature: d 1 C VVV6VC‘CLL-22 VVl. 2012-3447 r°9- " a?O/4' FI0055 Rev.7/12 STATE OF COLORADO (For Use by State) Department of Local Affairs ENERGY AND MINERAL IMPACT ASSISTANCE PROGRAM APPLICATION Tier I or Tier II Applications Must Be Submitted Electronically -Directions on Last Page A. GENERAL AND SUMMARY INFORMATION 1. Name/Title of Proposed Project: Weld County Road 49 Extension Project 2. Applicant: Weld County Government (In the case of a multi-jurisdictional application, name of the"lead"municipality,county,special district or other political subdivision). In the case of a multi-jurisdictional application, provide the names of other directly participating political subdivisions: 3. Chief Elected Official (In the case of a multi-jurisdictional application, chief elected official of the"lead" political subdivision): Name: Sean P. Conway Title: Chair Mailing Address: 1150 O Street Phone: City/Zip: Greeley, CO 80550 Phone: 970-356-4000 E-Mail Address: sconway@co.weld.co.us 4. Designated Contact Person (will receive all mailings)for the Application: Name: Monica Mika Title: Director of Finance&Administration Mailing Address: 1150 O Street Phone: City/Zip: Greeley, CO 80550 Phone: 970-356-4000 E-Mail Address: mmika@co.weld.co.us 5. Amount of Energy/Mineral Impact Funds requested: (Tier I; Up to $200,000 or Tier II; Greater than $200,000 to $1,000,000) $9,000,000 6. Brief Description of the Project: (The reason for this project application in 100 words or less) Weld County is requesting funding to assist in extending Weld County Road 49 for 3.5 miles, north from US 34 to SH 263 (WCR 60.5). County Road 49 is the most significant arterial oil and gas truck route county-wide. This roadway does not currently exist, but if built would provide less out of direction travel from the Niobrara natural gas play in the north to the Wattenberg energy field in south county. The extension of CR 49 will be a new four lane concrete roadway,which is needed to accommodate the 7% annual increase in traffic over the past 10 years. The County is in the process of securing the 140' right-of-way for the entire CR 49/47 corridor from 1-76 to SH 14. 7. Local priority if more than one application from the same local government(1 of 2,2 of 2,etc.) 1 of 1 2012-3447 Page 1 of 8 B. DEMOGRAPHIC AND FINANCIAL INFORMATION. 1. Population a. What was the 2010 population of the applicant jurisdiction? 252,825 b. What is the current population? 258,472 (Current/most recent conservation trust fund/lottery distribution estimate is acceptable.)What is the SOUrce of the estimate? c. What is the population projection for the applicant in 5 years? 299,795 What is the source of the projection? DOLA 2. Financial Information (Current Year): In the column below labeled"Applicant"provide the financial information for the municipality,county,school district or special district directly benefiting from the application. In the columns below labeled"Entity",provide the financial information for any public entities on whose behalf the application is being submitted(if applicable). Complete items "a through i"for ALL project types: Applicant Entity Entity a. Assessed Valuation (AV) Year: 2012 $6,416,128,090 b. Mill Levy 16.804 c. Property Tax Revenue (mill levy x AV) $71,116,616 d. Sales Tax 0%/$0 %/$ %/$ (Rate/Estimated Annual Revenue) e. Total General Fund Budget $93,865,203 f. Total Applicant Budget (Sum of General Fund and all Special or Enterprise $226,820,758 Funds) g. Total Multi-year Debt Obligations for all Fund $0 Types* h. Total Lease-Purchase and Certificates of $0 Participation obligations* i. General Fund Balance (Reserves)as of (11/12) $9,000,000 January 1 of this current calendar year. For projects to be managed through a Special Fund other than the General Fund (e.g. County Road and Bridge Fund)or managed through an Enterprise Fund (e.g.water, sewer, county airport), complete items "j through n": Identify the relevant Special Fund or Enterprise Fund: Road & Bridge Fund j. Special or Enterprise Fund Budget Amount $41,793,329 k. Special or Enterprise Fund Multi-Year Debt $0 Obligations* I. Special or Enterprise Fund Balance (Reserves) $23,564,296 on January 1 of this calendar year m.Special or Enterprise Fund Lease-Purchase $0 and Certificate of Participation Obligations* n. Special Fund Mill Levy (if applicable) 1.403 For Water and Sewer Project Only complete items "o through q": o. Tap Fee p. Average Monthly User Charge (Divide sum of annual residential revenues by 12 and then divide by the number of residential taps served.) q. Number of Taps Served by Applicant *Include the sum of the year-end principal amounts remaining for all multi-year debt obligations, lease purchase agreements or certificate of participation notes Page 2 of 8 A =Pz 7 v E -- Z Z } d N LL O 1' N U 7 E a) -o � 6 c _ry o Y m o 7 a) u) aN r m o p a) co co -0 C N 'd0 a) o a) r V N y a) w o v v i m .c U 0 o N N co 0 � CO m a U QQC (C ui a d O C IA O m m o m N o a c N 0 :° c C � 0 J Em O w w 3 C7 J a) O ++ a) aA.c C .C j` J N L O _cC > = N N N l— Nmc4 LL i-t co ,-. U 2Yi ♦i C 0 -0 0 a 6 C as d o L E C D C aa)) > m `o " E `� E o 'O m U 5 m m a c ,n d w `-° od dm d 1° aa)) m p o 0 a a) c_ > L N o O O o =a � �- p J ' 'o n ` w o o ;7. >.w Q N CO a) a) '-a) m y otwg caa) ca�i O tJ o@ a 7 (q �J -o WCC . K J I— .7"' C a) > N w o O U N 2 dto i- c - a o o 7 o 0) (- in a a) 0 u 4 r N W m o a) 7 o N C Wc a0 a7 N N N e- I() N co) G M w f9 to 1,9a) m 7 a) Y CU C N N 0 N L a) 2 d m E rn �. in d in ^ o I noi a a = Je v« d 5 ate) Fto W w d K 0I e- as a O 0` .s LU oE � a w i d m d a) C O •t CO 0 M eo v) E c E O co d m C) ` Ja? y D W V u Q 9 of N W r• N M J t N re N N en I— N C '5f � 0. o. m a v m co m x w 0- K .C .C .C O CI) U w J () 0 O a 0- H IT. D. PROJECT INFORMATION. The statutory purpose of the Energy and Mineral Impact Assistance program is to provide financial assistance to "political subdivisions socially or economically impacted by the development, processing or energy conversion of minerals and mineral fuels." 1. Demonstration of Need: a. Why is the project needed at this time? This project is needed to improve safety. Weld County is one of the most active oil and gas counties in the State. As a result,the impact to county roads is significant. By connecting this arterial roadway, it will reduce traffic congestion impacting adjacent roadways constantly under reconstruction by Public Works. For example, one of these parallel routes is Old State Highway 37 (CR 55, 60.5& 53),which was exchanged with CDOT for CR 392. The truck traffic on this road can reach in excess of 60%. This project is needed to improve the safety of this corridor by offsetting the amount of truck traffic on this disjointed connection to US 34. b. How does the implementation of this project address the need? Implementation of this project will have immediate safety results. A less congested, safer roadway will provide a more direct truck route for the traveling public, especially, the oil and gas industry. c. Does this project, as identified in this application, completely address the stated need? If not, please describe additional work or phases and the estimated time frame. Do you anticipate requesting Energy and Mineral Impact Assistance funds for future phases? Yes,this project completely addresses the need in this section of CR 49. This project improves safety, mobility, and connectivity to the Wattenberg Energy Field,which will continue to experience increased traffic. Therefore, Weld County may need assistance on widening other sections of CR 49 in future requests. d. What other implementation options have been considered? The County is using a significant amount of oil and gas property taxes and direct distribution severance funds to help off-set oil and gas impacts to all areas of the County. In addition, by constructing the four-lane extension now will help save money in the long-range construction efforts of the corridor. e. What are the consequences if the project is not awarded funds? The County will not be able to implement this long range transportation planning effort identified since 2004. 2. Measurable Outcomes: a. Describe measurable outcomes you expect to see when implementation of this project is complete. How will the project enhance the livability*of your region, county, city, town or community (e.g. constructing a new water plant will eliminate an unsafe drinking water system and provide safe and reliable drinking water; the construction of a new community center will provide expanded community services, or projects achieving goals regarding energy conservation, community heritage, economic development/diversification, traffic congestion, etc.)? *(Livability means increasing the value and/or benefit in the areas that are commonly linked in community development such as jobs, housing,transportation, education,emergency mitigation, health and environment) This project will enhance the livability of Weld County. The most significant measureable outcome of this project is economic development. The Greeley-Weld County airport is located at the north end of this connection and will provide a more safe, direct route to DIA. In addition, since this roadway links the communities of Keenesburg, Hudson, Kersey, and Greeley it will provide a safer transportation corridor,which can also help mitigate emergency traffic impacts on US 85. b. How many people will benefit from the project? (i.e., region, county, city, town, community, subdivision, households or specific area or group; or any portion thereof) Not only will the more than 6,500 vehicles per day will benefit from this project, but all the residents who currently travel out-of-direction to get to US 34 from the north, including the Greeley-Weld County Airport users. All Weld County residents will benefit from this project and more specifically,the communities of Keenesburg, Hudson, Kersey and Greeley. c. How will the outcome of the project be measured to determine whether the anticipated benefits to this population actually occur? This project can be easily measured by traffic counts. In addition, use of this corridor should improve safety and reduce the amount of traffic accidents on adjacent roadways due to less congestion. d. Does this project preserve and protect a historic building, facility or structure? If yes, please describe. e. Will this project implement an energy efficiency/strategy that could result in less carbon footprint or conserve energy use or capitalize on renewable energy technology? If yes, please describe. Yes,this project will implement energy efficient strategies by constructing the roadway in concrete. Asphalt pavement life is less than half the expected life of concrete roadways,therefore, asphalt needs repairs more often versus repairs of concrete roads. In addition, asphalt pavement requires burning of fossil fuel to heat the Page 4 of 8 pavement material to 320 degrees (warm mix is typically 280 degrees). In a 2009 study Prepared for the New York State Energy Research and Development Authority, the impact on energy consumption and greenhouse gas emission is largely affected by transport distances and heating of asphalt hot mix as compared with concrete placement. The study found that 60 percent more energy was used to create and place asphalt versus concrete. Also, studies have demonstrated a statistically significant fuel savings for semi-tractor trailers (18 wheelers) on concrete versus asphalt pavements; trucks traveling on concrete pavements burn up to 7% less fuel per mile. According to the USEPA(document 420F, 2005), an average of 22 pounds of Carbon Dioxide and approximately 4 ounces of NOx are emitted per gallon of diesel burned in an semi-truck engine. On a concrete road, CO2 emissions from a typical diesel truck would be expected to be reduced by 1.5 pounds and a quarter ounce per gallon of fuel burned. Trucks travelling over 20 miles would see reductions of 10 pounds of CO2 and 2 pounds of NOx. 3. Relationship to Community Goals a. Is the project identified in the applicant's budget or a jurisdictionally approved plan (e.g. capital improvement plan, equipment replacement plan, comprehensive plan, utility plan, road maintenance and improvement plan or other local or regional strategic management or planning document)? What is its ranking? This project is identified in Weld County's 2035 Transportation Plan and Public Works 2013-2015 CIP. 4. Local Commitment and Ability to Pay a. Why can't this project be funded locally? This project can't be entirely funded locally because the oil and gas impacts to the County are so significant that we cannot use all of our resources on one road. b. Has this project been deferred because of lack of local funding? If so, how long? Yes, this project has been deferred since 2004,when the alignment study was first adopted. c. Explain the origin of your local cash match. (Note: Whenever possible, local government cash match on a dollar for dollar match basis is encouraged.) The local cash match will be from Public Works General Fund. d. What other community entities, organizations, or stakeholders recognize the value of this project and are collaborating with you to achieve increased livability of the community? Please describe how your partners are contributing to achieve the improvement to the livability of the community through this project. If in-kind contributions are included in the project budget, detailed tracking will be required on project monitoring report. The Greeley-Weld County Airport recognizes the economic development opportunities this project creates. The oil and gas industry, including the communities of Greeley, Kersey, Keenesburg and Hudson also recognize the improved safety and connectivity this project affords them and the ancillary users. i. Please describe the level of commitment by each collaborator. (e.g. fee waivers, in-kind services, fundraising, direct monetary contribution, policy changes.) Please refer to the attached letters of support. ii. Please list the value of the resources that each collaborator is bringing to the program. e. Has the applicant dedicated the financial resources in their current budget, reserve funds and/or unused debt capacity that are being used for the local matching funds? Explain if No Weld County Public Works Capital Improvement Plan has budgeted the design and right-of-way purchases for this project in 2013. In 2012, the county has paid $350,000 of Atkins $1.2 million dollar design contract. f. Have the applicant's tax rates, user charges or fees been reviewed recently to address funding for the proposed project? Weld County revised the Road Impact Fees in 2011, but with stagnant development there are little resources available to offset this project. g. If the tax rate, user charges or fees were modified, what was the modification and when did this change occur? In 2011,there was an inflationary increased to the existing fee, but the effect to the fund was nominal. h. Has the applicant contacted representatives from local energy or mineral companies to discuss the project? If yes, when was the contact and what was discussed. Yes,Weld County has been in contact with Anadarko, Noble, and Encana on this long-range transportation effort. i. Has the applicant requested financial support from the industry? If yes, when was the contact, what amount did you request? What were the results? If no, why not? The industry is contributing through oil and gas property tax funds and direct distribution severance funds. 5. Readiness to Go a. Assuming this project is funded as requested, how soon will the project begin? What is the time frame for Page 5 of 8 completion? This project has been identified to be constructed in three phases. Phase 1 extends CR 49 north from US 34 to CR 58. Phase 2 includes a new bridge over the Poudre River and Phase 3 includes an additional bridge over the South Platte River. All phases will be completed by 2015. b. Describe how you determined that the project can be completed within the proposed budget as outlined in this application? Are contingencies considered within the project budget? This project can be completed within the proposed budget and is currently under design. Public Works is including a contingency within the construction budget. c. Has the necessary planning been completed? How? What additional design work or permitting must still be completed, if any? When? How did the applicant develop project cost estimates? Is the project supported by bids, professional estimates or other credible information? Please attach a copy of any supporting documents. Phase 1: Final Design will be completed in April of 2013,with construction finishing in Spring of 2014. Phase 2: Final Design will be completed in April of 2013,with construction in Summer of 2014. Phase 3: Final Design will be completed in Summer of 2013,with construction in Summer of 2015. Right-of-way acquisition is in process now. Through a competitive Qualifications-Based Selection (QBS) process,Weld County contracted Atkins to design the entire project. Atkins developed the cost estimates and preliminary design. Felsburg, Holt, & Ullevig is contracted to provide all the environmental clearances. Please see the attached cost estimates. 6. Energy & Mineral Relationship a. Describe how the applicant is, has been, or will be impacted by the development, production, or conversion of energy and mineral resources. Weld County has 19,606 oil and gas wells and is the most producing oil and gas County in the State. Weld County's Wattenberg Energy Field is the Nation's 7th largest Energy Field. This production does have impacts on County roads with more than 700 truck trips needed for a horizontal well and 400 trips for a vertical well. At a minimum, you will have 1 semi-truck trip per well per day. b. To further document the impact in the area, name the company or companies involved, the number of employees associated with the activities impacting the jurisdiction and other relevant, quantitative indicators of energy/mineral impact. There are many oil and gas companies operating in Weld County, but to name a few, Anadarko, Noble Energy, PDC, DCP, and Encana. In 2011, Weld County collected $109 million in property taxes from just two companies (Anadarko & Noble). In 2012,there were 3,546 oil and gas employees residing in Weld County. Weld County's oil and gas assessed property value for 2012 was $565,884,747. 7. Management Capacity a. How will you separate and track expenditures, maintain funds and reserves for the capital expenditures and improvements as described in this project? Weld County's Accounting Department is recognized as a Tier 3 local government by the State and can manage all invoicing information through the Banner Accounting System. In addition, Public Works will use the project management software PubWorks to assist in administering the project. b. Describe the funding plan in place to address the new operating and maintenance expenses generated from the project? This new road will be added to the Highway Users Tax Fund (HUTF)as part of the County's maintenance program. This additional funding will assist in maintenance; however, by using concrete for the road the maintenance life is increased by 30 years. c. Describe the technical and professional experience/expertise of the person(s) and/or professional firms responsible to manage this project. The County Engineer,Wayne Howard, P.E. is the Project Manager and will be in constant contact with Atkins Project Manager. Wayne Howard has been managing DOLA grants for a number of years and has the expertise to manage this grant project. d. Does the project duplicate service capacity already established? Is the service inadequate? Has consolidation of services with another provider been considered? This is a safety project and does not duplicate service capacity but creates it. Current service is inadequate and inefficient to meet current traffic demands. E. HIGH PERFORMANCE CERTIFICATION (HPCP) PROGRAM COMPLIANCE. Colorado Revised Statutes (C.R.S. 24-30-1301 to 1307) require all new facilities, additions, and renovation projects funded with 25%or more of state funds to conform with the High Performance Certification Program(HPCP) policy adopted by the Office of the State Architect(OSA)if: Page 6 of 8 • The new facility, addition, or renovation project contains 5,000 or more building square feet;and • The project includes an HVAC system;and • In the case of a renovation project,the cost of the renovation exceeds 25%of the current value of the property;and • The project has NOT entered the design phase prior to January 1, 2008. The HPCP requires projects achieve the highest possible LEED certification with the goal being LEED Gold. Projects are strongly encouraged to meet the Office of the State Architect's (OSA)Sustainable Priorities in addition to the LEED prerequisites. Projects funded through DOLA are required to participate in the OSA's registration and tracking process. See DOLA's HPCP web page for more information or contact your DOLA regional manager. In instances where achievement of LEED Gold certification is not practicable, an applicant may request a modification of the HPCP policy or a waiver if certain conditions exist. Please answer the following questions: 1. What is the total building square footage of the new facility, addition, or renovation? N/A 2. Does the project include an HVAC system? Yes No 3. Is the project a renovation? (If no, please skip to Question 6 below.) Yes No 4. What is the current property value*? $ 5. What is the total project cost for the renovation? $ 6. Will you need assistance locating resources,third party consultants, or technical assistance for LEED requirements, preparing cost estimates,or otherwise complying with the HPCP? Yes No Explain F. TABOR COMPLIANCE. 1. Does the applicant jurisdiction have the ability to receive and spend state grant funds under TABOR spending limitations? Explain: Yes 2. If the applicant jurisdiction receives a grant with Federal Mineral Lease funds, will the local government exceed the TABOR limit and force a citizen property tax rebate? NO 3. Has the applicant jurisdiction been subject to any refund under TABOR or statutory tax limitations? Explain. NO 4. Has the applicant sought voter approval to keep revenues above fiscal spending limits? Explain. Yes 5. Are there any limitations to the voter approved revenues? (e.g., Can revenues only be spent on law enforcement or roads?) All Weld County ad valorem tax levies for county purposes,when applied to the total valuation for assessment of the County, shall be reduced so as to prohibit the levying of a greater amount of tax revenue than was levied from ad valorem taxation in the preceding year plus five percent (5%)except to provide for the payment of bonds and interest thereon. 6. If the applicant jurisdiction is classified as an enterprise under TABOR, will acceptance of a state grant affect this status? Explain. NO G. ENVIRONMENTAL REVIEW. Indicate below whether any of the proposed project activities: 1. Will be undertaken in flood hazard areas. Yes X No List flood plain maps/studies reviewed in reaching this conclusion. Describe alternatives considered and mitigation proposed. This project is within the limits of the following FEMA Map Panels: 080266-0635C; 080266-0645C; 080266-0637C 2. Will affect historical, archeological or cultural resources, or be undertaken in geological hazard area? Yes X No Describe alternatives considered and mitigation proposed. There is no geologic hazard area in the 47-49 Corridor. The consultants (FHU, Atkins) are surveying and documenting for all environmental (404, Floodplain,wetland, habitat, endangered species), and for historical and archaeological artifacts. These will be avoided or catalogued and properly removed (to museum, library, university, or other repository)from any construction area of the project. 3. Address any other related public health or safety concerns? Describe. Yes No X Page 7 of 8 APPLICATION SUBMISSION INSTRUCTIONS AND OFFICIAL BOARD ACTION DATE (REQUIRED) Application and attachments must be submitted electronically in WORD,DOG(Preferred)or.PDF Format(Unsecured)to: IMOaCtGrantEastate.co.us In email subject Ilne Include: Applicant Local Government name and Tier for which you are applying -example-Subject: Springfield County EIAF Grant Request Tier 1 NOTE Please S(Qngj submit a scanned application(scanned attachments ok). (If you are unable to submit electronically please contact your BOLA regional manager) For any questions related to the electronic submittal please call Bret Hlllberry©303.886.4058 Attachments List(Check and submit the following documents.if applicable). ► Preliminary Engineering Reports ► Architectural Drawings I. Cost Estimates ► Detailed Budget ► Map showing location of the project P. Attorneys TABOR decision Official Board Action taken on December 3, 2012 Unto Submission of this form indicates official action by the applicant's governing board authorizing application for these funds. Ie9eS Z al 0 Q Z w Z w Q >< Z w(...) (1.> 1 -\\ L... >"" ono l Li:A�� 3 ` 1. t >I V Z ) U r •fix • ' __` -Ath(s) < D __0 WIllii.. U Z — o W J w . ' f, :Ike. . ,, . _ i .. . . _r . .4. „:r. :2; i . . . ,rt { ^� ': ` ♦' jilI 1l • " . a ' .4.4%," i 'tip` +► _ =ve+ 7�• rti . --‘1\ I j )-� i 'dit !. ^�\ fry i z , \N .1 \ • C ! 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IS M huh adta O^�� I =" J , 1 +��,, J;to�a�-m a II hi era • • • •► 1 Wilts1S Li _ lit 2 I-*r- ig _� 1MN= • VIII,,,r.....,, ,Iiiti • , ... • 1 1 l • � � '-Afr J s I e 4. AS',sic', � - � a1 sO 'M aL �i1. ... _ �• r0 • al • Nig I _ _ .....i Z -NII I • T 1 � - 1 •, • _ I� • _ _ S ,I !_ `I�z ��I u char Y •I •lo o J.• rut lk,2 ■ FJ = i Itistlell- , - ir- -- - 7 QSIM IIIo-�..`;f1.M/� MS= LI WI I .+1 z, �au2 O T 67 LL 1- 2 11 i n' �_ I - .,. marir yr` le ?..• l S !,I arw • . _ " I1 lij 1 8131 IR . 1625 Broadway y� noble Suite 2200 ! l�Denver,CO 80202 energy Tel:303.228.4000 Fax:303.228.4280 www.noeleenergyinc.com November 27, 2012 Ms. Elizabeth Relford Weld County Public Works 1111 H Street Greeley, CO 80632 SUBJECT: Support for Extension of Weld County Road 49 Dear Ms. Relford: This letter expresses the support of Noble Energy, Inc. (Noble) for your proposed project to extend Weld County Road (WCR)49 for 3.5 miles from United States Highway 34 (US 34) northward to State Highway(SH) 263. WCR 49 is a critical north-south arterial roadway in Weld County, as it runs from Interstate Highway 76(I-76)to its current north terminus at US 34, and it the most significant north-south roadway east of US Highway 85. As such, our experience is that the road carries a large amount of traffic, including substantial traffic from the oil and gas industry and our company, and our observation is that traffic along WCR 49 has increased in recent years along with increased activity in our industry. However, as oil and gas activity has especially grown in portions of Weld County north of US 34, the termination of WCR 49 at US 34 has become an increasing inconvenience. To go farther north, a driver on WCR 49 must either divert west to WCR 53 or east into Greeley. An extension of WCR 49 up to SH 263 would appear to provide for less diverted oil and gas traffic going north, resulting in fewer turns and fewer miles traveled, thereby improving safety for our employees and contractors. It also appears to create more convenient traffic patterns on the east side of Greeley, and also would facilitate traffic flow near the Greeley airport. As a result, we believe that an extension of WCR 49 would provide significant benefits to all stakeholders in the area. Noble is currently the largest oil producer in the State of Colorado and has approximately 8,000 active oil and gas wells in Weld County. Earlier this year, we paid $57 million in property taxes to Weld County as a result of our activity. We anticipate continuing to be one of the most active producers in the Niobrara play and an important part of the Weld County community for many years to come. Sincerely, Brian K. Lockard, P.E. Manager, Environmental Engineering TEL.720/929-6000 ANADARKO PETROLEUM CORPORATION PO.BOX 173779•DENVER,COLORADO 60217-3779 flnadarlits2 Robin Olsen External Relations Anadarko Petroleum 109918`h Street#1800 Denver CO 80202 Letter of Support for Weld County's DOLA Energy, Mineral & Impact Grant To whom it may concern: I am writing to inform you of Anadarko's support of the project to extend Colorado Road 49 in Weld County. County Road 49 is the most significant arterial oil and gas truck route county-wide. This roadway does not currently exist, but if built would provide less out of direction travel from the Niobrara natural gas play in the north to the Wattenberg energy field in south county. The extension of CR 49 will provide a safer, more direct route and will assist to mitigate any additional traffic. In 2011, Anadarko paid over$52 million in taxes in Weld County in and expects to double that number in 2012. We have increased the low-end of our estimated recoverable resource range in our Wattenberg asset to between 1 billion barrels equivalent(BOE)and 1.5 billion BOE, an effective increase of approximately 500 million barrels. And we are currently running nine horizontal rigs in the Wattenberg,with plans to add another by the end of the year. One of the most exciting things about our program in the core Wattenberg is that, in addition to the strong production we've seen from the subsurface Niobrara layer,the Codell layer has so far been just as successful. Right now, we drill about one horizontal Codell well for every four or so horizontal Niobrara wells. Anadarko is proud to operate in Weld County and of our collaborative community partnership.We look forward to a bright energy future in Colorado. Best regards, Robin M Olsen UPSTATECOLORADO 970.356.4565 phone ECONOMIC DEVELOPMENT 970.352.2436 fax 800.320.8578 toll free 822 Seventh Street,Suite 550 November 30, 2012 Greeley,Colorado 80631 www.upstatecolorado.org Elizabeth Relford Weld County Public Works 1111 H Street Post Office Box 758 Greeley,CO 80632 SUBJECT:SUPPORT FOR THE EXTENSION OF WELD COUNTY ROAD 49 Dear Ms. Relford: Our investments in transportation are putting Coloradoans back to work and getting our economy moving again. Infrastructure is one of the most critical areas for recruiting and retaining companies in economic development. The extension of Weld County Road 49 is a lynchpin for future job creation in both land and air transportation, allowing for expanding access to our bustling general aviation airport and speed to market for our products. Weld County Road 49 is key to the traditional energy and agriculture industries of Weld County. Over the past few years,these two industries alone have invested billions of new dollars and have generated thousands of quality jobs. As a primary linkage between State Highway 14 and Interstate 76,the Weld County Road 49 extension will support the intermodal movement of freight, raw materials and finished goods between rail and roads. The proposed improvements are an integral part of making existing systems work better to meet the infrastructure needs of Weld County and its two largest industries. This extension will increase our opportunities to develop new industrial parks, provide greater access to general aviation,create jobs and ensure our transportation system remains safe and viable for the citizens of Weld County. As an economic development professional, I am happy to endorse this project and see it as a perfect fit for the Energy &Mineral Impact Grant. Very truly yours, Eric E. Berglund President&CEO /.?- y Supporting Job Opportunities in Greeley& Weld County Communities Hello