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HomeMy WebLinkAbout20101962.tiff Windows Live flotmail Print Message Page 1 of 5 Land Title Delivery (VACANT LAND)(buyer/owner HIGHLAND)(our • 25094408) From: customercare@ltgc.com Sent: Thu 2/25/10 7:29 PM To balmeshomes@msn.com Attachments: 25094408-1-Misc.pdf(49 1 KB), 25094408-2-Tax_Certificate.pdf (7.6 KB) *`y p Lend Title Title • Commitment Commitment Summary - VACANT LAND (25094408) Your Land Title Guarantee Company Contacts: • For Closing Assistance: Cathy A.Grove 916 S MAIN ST#301 LONGMONT,CO 80501 Phone:303-682-4081 Fax:303-393-4939 cgrove@ItgC Com For Title Assistance: Ft.Collins Customer Care Customer Care 772 WHALERS WAY#100 FORT COLLINS,CO 80525 Phone:970-282-3649 Fax:970-282-3652 cu sto mercare @ ItgCco m Wire Instructions: FIRSTBANK OF COLORADO 10403 W COLFAX AVENUE LAKEWOOD,CO 80215 Phone:303-237-5000 Credit LAND TITLE GUARANTEE COMPANY ABA No.:107005047 Account 2160521825 Attention:Cathy A.Grove Commitment Delivery Parties: LAND TITLE GUARANTEE COMPANY BALMES HOMES,LLC DEFINED BENEFIT • 916 5 MAIN ST#301 Attn:GREG BALMES LONGMONT,CO 80501 Phone:303-931-6493 Attn:Cathy A.Grove Copies:1 Phone:303-682-4081 EMail:balmeshomes@msn.com Fax:303-485-9973 Linked Commitment Delivery 2010-1962 http://sn 139w.snt139.mail.live.com/maiUPrintShell.aspx?type=message&epids=l dc5b 1 d8-2... 3/3/2010 Windows Live Hotmail Print Message Page 2 of 5 Copies:1 EMail:cgrove@Rgc.com • Property Address: Vacant Land Erie,CO 80516 County of Weld,State of Colorado Legal Description: NOTE:THE FOLLOWING LEGAL DESCRIPTION IS PRELIMINARY AND IS SUBJECT TO CHANGE UPON COMPLIANCE WITH THE REQUIREMENTS UNDER SCHEDULE B-1,HEREIN. OUTLOT A,HIGHLAND FARMS,COUNTY OF WELD,STATE OF COLORADO. A.P.N.(s):3940505 Tax Certificate(s):3940505 Effective Date & Time: February 19,2010 at 5:00 P.M. Interest: A Fee Simple Seller(s): BALMES HOMES,LLC DEFINED BENEFIT Vesting Deed(s)/(View dates for 24 month Chain of Title). 06-21-2007 04-14-2008 Buyer(s)/Borrowers(s): HIGHLAND FARMS HOMEOWNERS'ASSOCIATION,INC.,A COLORADO NON-PROFIT CORPORATION Proposed Insured & Coverages: "ALTA"Owner's Policy 06-17-06 $7,650.00 HIGHLAND FARMS HOMEOWNERS'ASSOCIATION,INC.,A COLORADO NON-PROFIT CORPORATION Estimated Title Fees: ALTA Owners Policy 06-17-06 $257.00 Tax Report $25.00 Total Estimated Title Fees $282.00 Requirements: Payment to or for the account of the grantors or mortgagors of the full consideration for the estate or interest to be insured. Proper instrument(s)creating the estate or interest to be insured must be executed and duly filed for record,to-wit 1.RECORD REPLAT OF OUTLOT A(CREATING TRACT E).NOTE NEW REQUIREMENTS AND/OR EXCEPTIONS MAY BE ADDED UPON EXAMINATION OF NEW PLAT • STATEMENT OF AUTHORITY FOR BALMES HOMES,LLC DEFINED BENEFIT,RECORDED JUNE 21,2007,AT RECEPTION NO.3485184 SHOWS GREGORY E BALMES AND USA A BALMES AS MANAGERS http://sn 139w.snt139.mail.live.com/mail/PrintShell.aspx?type=message&cpids=l dc5b l d8-2... 3/3/2010 Windows Live Hotmail Print Message Page 3 of 5 2.WARRANTY DEED FROM BALMES HOMES,LLC DEFINED BENEFIT TO HIGHLAND FARMS HOMEOWNERS'ASSOCIATION,INC.,A COLORADO NON-PROFIT CORPORATION CONVEYING SUBJECT PROPERTY. • NOTE:ALL PARTIES WILL BE REQUIRED TO SIGN A SATISFACTORY LIEN AFFIDAVIT AT CLOSING. Exceptions: 1.Rights or claims of parties in possession not shown by the Public Records. 2.Easements,or claims of easements,not shown by the Public Records. 3,Discrepancies,conflicts in boundary lines,shortage in area,encroachments,and any facts which a correct survey or inspection of the Land would disclose and which are not shown by the public records. 4.Any lien,or right to a lien,for services,labor or material heretofore or hereafter furnished,imposed by law and not shown by the Public Records 5.Defects,liens,encumbrances,adverse claims or other matters,if any,created,first appearing in the Public Records or attaching subsequent to the effective date hereof but prior to the date the proposed insured acquires of record for value the estate or interest or mortgage thereon covered by this Commitment 6.Taxes and assessments not yet due or payable and special assessments not yet certified to the Treasurer's office. 7.Any unpaid taxes or assessments against said Land. 8.Liens for unpaid water and sewer charges,if any. 9.ANY WATER RIGHTS OR CLAIMS OR TITLE TO WATER IN,ON OR UNDER THE LAND,WHETHER OF RECORD OR NOT. 10.RIGHT OF WAY THROUGH SUBJECT PROPERTY FOR LOWER BOULDER DITCH, 11.MINERAL RESERVATIONS AND THE RIGHT TO MINE THEREIN AS RESERVED IN DEED RECORDED JULY 17,1900 IN BOOK 178 AT PAGE 401 AND ANY AND ALL INTERESTS THEREIN OR RIGHTS THEREUNDER.QUIT CLAIM DEEDS RECORDED APRIL 14,1971 IN BOOK 644 ARKANSAS 1565712 AND SEPTEMBER 8,2005 AT RECEPTION NO.3321106. 12.RIGHT OF WAY EASEMENT AS GRANTED TO THE ERIE COAL CREEK DITCH AND RESERVOIR COMPANY IN INSTRUMENT RECORDED OCTOBER 27,1900,IN BOOK 181 AT PAGE 273. 13.GENTRY DRAINAGE DITCH,ANY AND ALL RIGHTS OF WAY THEREFOR,AS EVIDENCED BY MAP AND STATEMENT FILED OCTOBER 26,1910 UNDER RECEPTION NO.160177 INSOFAR AS THE SAME MAY AFFECT SUBJECT PROPERTY. 14.TERMS,CONDITIONS AND PROVISIONS OF SURFACE OWNER'S AGREEMENT RECORDED DECEMBER 27,1955 IN BOOK 1438 AT PAGE 227. 15.RIGHT OF WAY EASEMENT AS GRANTED TO NORTHERN COLORADO CONSERVANCY DISTRICT,A QUASI-MUNICIPAL CORPORATION IN INSTRUMENT RECORDED MARCH 22,1956,IN BOOK 1445 AT PAGE 85. 16.COVENANT BY AND BETWEEN SHIRLEY E.KOCH AND KENNETH E.KOCH AND THE CITY OF LAFAYETTE RECORDED JUNE 20,1989 UNDER RECEPTION NO. 2183197 IN BOOK 1236,AND COVENANT RECORDED JUNE 20,1989 UNDER RECEPTION NO.2183198 IN BOOK 1236. 17.TERMS,CONDITIONS AND PROVISIONS OF SURFACE OWNERS AGREEMENT RECORDED OCTOBER 3,1994 UNDER RECEPTION NO.2409395 IN BOOK 1461, NOTE TERMINATION OF SURFACE OWNER'S AGREEMENT WAS RECORDED SEPTEMBER 27 2004 AT RECEPTION NO.3222303 18.RIGHT OF WAY EASEMENT AS GRANTED TO VESSELS GAS PROCESSING,INC.IN INSTRUMENT RECORDED DECEMBER 15,1995,UNDER RECEPTION NO. 2467785 IN BOOK 152. • 19.RIGHT OF WAY EASEMENT AS GRANTED TO UNITED POWER INC IN INSTRUMENT RECORDED JUNE 07,2001,UNDER RECEPTION NO.2855377. http://sn139w.snt139.mail.live.com/mail/PrintShell.aspx?type=message&cpids=ldc5bl d8-2... 3/3/2010 Windows Live Hotmail Print Message Page 4 of 5 20,EASEMENTS,CONDITIONS,COVENANTS,RESTRICTIONS,RESERVATIONS AND NOTES ON THE RECORDED EXEMPTION PLAT RECORDED JANUARY 10,2001 • AT RECEPTION NO.2870658. 21.TERMS,CONDITIONS AND PROVISIONS OF DOMESTIC WATER SERVICE LINE EASEMENT RECORDED NOVEMBER 12,2003 AT RECEPTION NO.3125639. 22.TERMS,CONDITIONS AND PROVISIONS OF SUBDMSION/MULTIPLE TAP PURCHASE AGREEMENT RECORDED NOVEMBER 20,2003 AT RECEPTION NO. 3128518. 23.TERMS,CONDITIONS AND PROVISIONS OF AGREEMENT RECORDED MAY 04,2004 AT RECEPTION NO.3176602. 24.TERMS,CONDITIONS AND PROVISIONS OF SURFACE USE AGREEMENT RECORDED SEPTEMBER 27,2004 AT RECEPTION NO.3223302 AND AMEMDMENT TO SURFACE USE AGREEMENT RECORDED AUGUST 11,2005 AT RECEPTION NO.3312267. 25,TERMS,CONDITIONS AND PROVISIONS OF HIGHLAND FARMS PUD-PZ 1045 CHANGE OF ZONE PLAT RECORDED JANUARY 10,2005 AT RECEPTION NO. 3251615 26.TERMS,CONDITIONS AND PROVISIONS OF MEMORANDUM OF AGREEMENT RECORDED JANUARY 10,2005 AT RECEPTION NO.3251632. 27.TERMS,CONDITIONS AND PROVISIONS OF MEMORANDUM OF AGREEMENT RECORDED JANUARY 18,2005 AT RECEPTION NO.3253636. 28.RESTRICTIVE COVENANTS,WHICH DO NOT CONTAIN A FORFEITURE OR REVERTER CLAUSE,BUT OMITTING ANY COVENANTS OR RESTRICTIONS,IF ANY, BASED UPON RACE,COLOR,RELIGION,SEX,SEXUAL ORIENTATION,FAMILIAL STATUS,MARITAL STATUS,DISABILITY,HANDICAP,NATIONAL ORIGIN, ANCESTRY,OR SOURCE OF INCOME,AS SET FORTH IN APPLICABLE STATE OR FEDERAL LAWS,EXCEPT TO THE EXTENT THAT SAID COVENANTOR RESTRICTION IS PERMITTED BY APPLICABLE LAW,AS CONTAINED IN INSTRUMENT RECORDED AUGUST 24,2005,UNDER RECEPTION NO.3316279. 29.EASEMENTS,CONDITIONS,COVENANTS,RESTRICTIONS,RESERVATIONS AND NOTES ON THE RECORDED FINAL PLAT OF SAID SUBDIVISION RECORDED • AUGUST 24,2005 AT RECEPTION NO.3316277. 30.TERMS,CONDITIONS AND PROVISIONS OF IMPROVEMENTS AGREEMENT RECORDED SEPTEMBER 02,2005 AT RECEPTION NO.3319384. 31.EASEMENTS,CONDITIONS,COVENANTS,RESTRICTIONS,RESERVATIONS AND NOTES ON THE RECORDED PLAT.(TO BE RECORDED) Disclosure Statements LAND TITLE GUARANTEE COMPANY and LAND TITLE GUARANTEE COMPANY-GRAND JUNCTION DISCLOSURE STATEMENTS Note:Pursuant to CR510-11-121,notice is hereby given that: A. The subject real property may be located in a special taxing district B. A Certificate of Taxes Due listing each taxing jurisdiction may be obtained from the County Treasurer's authorized agent C. The information regarding special districts and the boundaries of such districts may be obtained from the Board of County Commissioners,the County Clerk and Recorder,or the County Assessor. Note:Effective September 1,1947,CRS 30'10-006 requires that all documents received for recording or filing in the clerk and recorder's office shall contain a top margin of at least one inch and a left, right and bottom margin of at least one half of an inch.The clerk and recorder may refuse to record or file any document that does not conform,except that,the requirement for the top margin shall not apply to documents using forms on which space is provided for recording or filing information at the top margin of the document Note:Colorado Division of Insurance Regulations 3-5-i,Paragraph C of Article VII requires that'Every title entity shall be responsible for all matters which appear of record prior to the time of recording wherever the title entity conducts the closing and is responsible for recording or filing of legal documents resulting from the tramacdon which was closed-.Provided that land Title Guarantee Company conducts the closing of the insured transaction and is responsible for recording the legal documents from the transaction exception number S will not appear on the Owner's Title Policy and the Lenders Policy when issued. Note:Affirmative mechanic's lien protection for the Owner may be available(typically by deletion of Exception no.4 of Schedule B.Section 2 of the Commitment from the Owner's Policy to be issued) upon compliance with the following conditions: A The lend described in Schedule A of this commitment must be a single family residence which includes a condominium or townhouse unit B, No labor or materials have been furnished by mechanics or material-men for purposes of construction on the land described in Schedule A of this Commitment within the past 6 months. C. The Company must receive an appropriate affidavit indemnifying the Company against un-filed mechanic's and material-men's liens, D. The Company must receive payment of the appropriate premium. E. If there has been construction,improvements or major repairs undertaken on the property to be purchased within six months prior to the Date of the Commitment the requirements to obtain coverage for unrecorded liens will include:disclosure of certain construction information;financial information as to the seller,the builder and or the contractor;payment of the appropriate premium fully executed Indemnity Agreements satisfactory to the company,any any additional requirements as may be necessary after an examination of the aforesaid http://sn139w.snt139.mail.live.com/mail/PrintShell.aspx?type=message&cpids=ldc5bl d8-2... 3/3/2010 Windows Live Hotmail Print Message Page 5 of 5 information by the Company. • No coverage will be given under any circumstances for labor or material for which the insured has contracted for or agreed to pay. Note:Pursuant to CR5 10-11-123,notice is hereby given: This notice applies to owners policy commitments containing a mineral severance instrument exception,or exceptions,in Schedule B.Section 2. A. That there is recorded evidence that a mineral estate has been severed,leased,or otherwise conveyed from the surface estate and that there is a substantial likelihood that a third party holds some or all interest in oil,gas,other minerals,or geothermal energy in the property,and B. That such mineral estate may include the right to enter and use the properly without the surface owner's permission. Nothing herein contained will be deemed to obligate the company to provide any of the coverages referred to herein unless the above conditions are fully satisfied. Open the attached pd.vandal of the co mibnant to view our PRIVACY POLICY. The above Summary is provided for information purposes only.To the extent Mat it conflicts with or otherwise varies from the actual commitment provided,the latter shall govern. The above links and associated images are provided for information purposes only.They are not guaranteed as to accuracy,availability or quality. These images are provided for informational purposes only.They are not guaranteed as to availability or quality. These documents are PDF(Portable Document Format)files and can be viewed or printed with Adobe Acrobat ReaderTM.If you do not have Adobe Acrobat ReaderTM on your system,you can download it for free from Adobe. Some of these documents may be designed to print on LEGAL paper.To print these on LETTER paper,select the"Fit to Page"option from within the Acrobat Reader. If you want to print on LEGAL paper,select legal-size paper from within the"Print Setup"dialog box from within the Acrobat Reader. Content in this email is Copyright LT Systems,L.LC All rights reserved. • http://sn139w.sntl39.mail.live.com/mail/PrintShell.aspx?type=message&cpids=l dc5b 1 d8-2... 3/3/2010 Windows Live Hotmail Print Message rage 1 or Land Title Delivery (buyer/owner BALMES)(our 25094426) . From customercare@Itgc.com Sent: Thu 2/25/10 11:01 PM To: balmeshomes@msn.com Attachments: 25094426-1-Misc.pdt (39.0 KB) Land i Ile Lender Policy Lender Policy Summary - (25094426) Schedule A: Form PIB/ORT • Coverage:$50,000.00 LTGC Policy Number LTAQ25094126 Policy Date:February 22,2010 at 5:00 P.M. Name of Insured:=B Vesting Deed(s)/(View dates for 24 month Chain of Title): 06-21-2007 04-14-2008 Interest A Fee Simple Property Address: OUTLOT A HIGHLAND FARMS,COUNTY OF WELD,STATE OF COLORADO. Erie,CO 80516 County of Weld,State of Colorado Legal Description: OUTLOT A,HIGHLAND FARMS,COUNTY OF WELD,STATE OF COLORADO. Plat Map(s): 15841 3316277 Schedule B-I: • NOTE THE COMMITMENT DOES NOT REFLECT THE STATUS OF TITLE TO WATER RIGHTS OR REPRESENTATION OF SAID RIGHTS. http://sn139w.snt139.mail.live.com/mail/PrintShell.aspx?type=message&epids=b0c0a3bf-... 2/26/2010 Windows Live Hotmail Print Message Page 2 of 3 NOTE:THIS COMMITMENT IS NOT A REPORT OR REPRESENTATION AS TO MINERAL INTERESTS,AND SHOULD NOT BE USED,OR RELIED UPON,IN CONNECTION WITH THE NOTICE REQUIREMENTS THAT ARE SET FORTH IN CRS 24-65.5-103. • NOTE ADDITIONAL UPDATES TO THE EFFECTIVE DATE OF THE BINDER MAY BE REQUESTED BY THE PROPOSED INSURED.ONE UPDATE IS INCLUDED WITH THIS BINDER AT NO ADDITIONAL COST.ANY ADDITIONAL UPDATES WILL BE ISSUED AT THE COST OF$125 PER UPDATE.FOR EACH UPDATE PROVIDED,A REVISED BINDER WILL BE ISSUED SHOWING A NEW EFFECTIVE DATE AND ANY MATTERS RECORDED SINCE THE EFFECTIVE DATE OF THE PREVIOUS BINDER 1.RIGHT OF WAY THROUGH SUBJECT PROPERTY FOR LOWER BOULDER DITCH. 2.MINERAL RESERVATIONS AND THE RIGHT TO MINE THEREIN AS RESERVED IN DEED RECORDED JULY 17,19001N BOOK 178 AT PAGE 401 AND ANY AND ALL INTERESTS THEREIN OR RIGHTS THEREUNDER.QUIT CLAIM DEEDS RECORDED APRIL 14,1971 IN BOOK 644 ARKANSAS 1565712 AND SEPTEMBER a 2005 AT RECEPTION NO.3321106, 3.RIGHT OF WAY EASEMENT AS GRANTED TO THE ERIE COAL CREEK DITCH AND RESERVOIR COMPANY IN INSTRUMENT RECORDED OCTOBER 27,1900,IN BOOK 181 AT PAGE 273. 4.GENTRY DRAINAGE DITCH,ANY AND ALL RIGHTS OF WAY THEREFOR,AS EVIDENCED BY MAP AND STATEMENT FILED OCTOBER 26,1910 UNDER RECEPTION NO.160177 INSOFAR AS THE SAME MAY AFFECT SUBJECT PROPERTY. 5.TERMS,CONDITIONS AND PROVISIONS OF SURFACE OWNER'S AGREEMENT RECORDED DECEMBER 27,1955 IN BOOK 1438 AT PAGE 227. 6.RIGHT OF WAY EASEMENT AS GRANTED TO NORTHERN COLORADO CONSERVANCY DISTRICT,A QUASI-MUNICIPAL CORPORATION IN INSTRUMENT RECORDED MARCH 22,1956,IN BOOK 1445 AT PAGE 85. 7.COVENANT BY AND BETWEEN SHIRLEY E.KOCH AND KENNETH E.KOCH AND THE OW OF LAFAYETTE RECORDED JUNE 20,1989 UNDER RECEPTION NO. 2183197 IN BOOK 1236,AND COVENANT RECORDED JUNE 20,1989 UNDER RECEPTION NO.2183198 IN BOOK 1236. • 8.TERMS,CONDITIONS AND PROVISIONS OF SURFACE OWNERS AGREEMENT RECORDED OCTOBER 3,1994 UNDER RECEPTION NO.2409395 IN BOOK 1461. NOTE:TERMINATION OF SURFACE OWNER'S AGREEMENT WAS RECORDED SEPTEMBER 27 2004 AT RECEPTION NO.3222303 9.RIGHT OF WAY EASEMENT AS GRANTED TO VESSELS GAS PROCESSING,INC.IN INSTRUMENT RECORDED DECEMBER 15,1995,UNDER RECEPTION NO. 2467785 IN BOOK 152. 10.RIGHT OF WAY EASEMENT AS GRANTED TO UNITED POWER INC IN INSTRUMENT RECORDED JUNE 07,2001,UNDER RECEPTION NO.2855377. 11.EASEMENTS,CONDITIONS,COVENANTS,RESTRICTIONS,RESERVATIONS AND NOTES ON THE RECORDED EXEMPTION PLAT RECORDED JANUARY 10,2001 AT RECEPTION NO.2870658. 12.TERMS,CONDITIONS AND PROVISIONS OF DOMESTIC WATER SERVICE LINE EASEMENT RECORDED NOVEMBER 12,2003 AT RECEPTION NO.3125639. 13.TERMS,CONDITIONS AND PROVISIONS OF SUBDIVISION/MULTIPLE TAP PURCHASE AGREEMENT RECORDED NOVEMBER 20,2003 AT RECEPTION NO. 3128518. 14.TERMS,CONDITIONS AND PROVISIONS OF AGREEMENT RECORDED MAY 04,2004 AT RECEPTION NO.3176602. 15.TERMS,CONDITIONS AND PROVISIONS OF SURFACE USE AGREEMENT RECORDED SEPTEMBER 27,2004 AT RECEPTION NO.3222302 AND AMEMDMENT TO SURFACE USE AGREEMENT RECORDED AUGUST 11,2005 AT RECEPTION NO.3312267. 16.TERMS,CONDITIONS AND PROVISIONS OF HIGHLAND FARMS PUD-PZ 1045 CHANGE OF ZONE PLAT RECORDED JANUARY 10,2005 AT RECEPTION NO. 3251615. • 17.TERMS,CONDITIONS AND PROVISIONS OF MEMORANDUM OF AGREEMENT RECORDED JANUARY 10,2005 AT RECEPTION NO.3251632. 18.TERMS,CONDITIONS AND PROVISIONS OF MEMORANDUM OF AGREEMENT RECORDED JANUARY 18,2005 AT RECEPTION NO.3253636. http://sn139w.snt 139.mail.live.com/mail/PrintShell.aspx?type=message&epids=b0c0a3bf-... 2/26/2010 Windows Live Hotmail Print Message Page 3 of 3 19.RESTRICTIVE COVENANTS,WHICH DO NOT CONTAIN A FORFEITURE OR REVERTER CLAUSE,BUT OMITTING ANY COVENANTS OR RESTRICTIONS,IF ANY, BASED UPON RACE,COLOR,RELIGION,SEX,SEXUAL ORIENTATION,FAMILIAL STATUS,MARITAL STATUS,DISABILITY,HANDICAP,NATIONAL ORIGIN, ANCESTRY,OR SOURCE OF INCOME,AS SET FORTH IN APPLICABLE STATE OR FEDERAL LAWS,EXCEPT TO THE EXTENT THAT SAID COVENANT OR RESTRICTION IS PERMITTED BY APPLICABLE LAW,AS CONTAINED IN INSTRUMENT RECORDED AUGUST 24,2005,UNDER RECEPTION NO.3316279. 20.EASEMENTS,CONDITIONS,COVENANTS,RESTRICTIONS,RESERVATIONS AND NOTES ON THE RECORDED FINAL PLAT OF SAID SUBDIVISION RECORDED AUGUST 24,2005 AT RECEPTION NO.3316277. 21.TERMS,CONDITIONS AND PROVISIONS OF IMPROVEMENTS AGREEMENT RECORDED SEPTEMBER 02,2005 AT RECEPTION NO.3319384. 22.EASEMENTS,CONDITIONS,COVENANTS,RESTRICTIONS,RESERVATIONS AND NOTES ON THE RECORDED PLAT.(TO BE RECORDED) Schedule B-II: In addition to the matters set forth in Part I of this Schedule,the title to the estate or interest in the land described or referred to in Schedule A is subject to the following matters,if any be shown,but the Company insures that the lien or charge of the insured mortgage upon said estate or interest is prior to such matters. NONE Special Addendum: NONE These images are provided for informational purposes only.They are not guaranteed as to availability or quality. These documents are PDF(Portable Document Format)files and can be viewed or printed with Adobe Acrobat ReaderTM.If you do not have Adobe Acrobat ReaderTM on your system,you can download it for free from Adobe. Some of these documents may be designed to print on LEGAL paper.To print these on LETTER paper,select the"Fit to Page'option from within the Acrobat Reader. If you want to print on LEGAL paper,select legal-size paper from within the"Print Setup"dialog box from within the Acrobat Reader. • Content in this email is Copyright LT Systems,LLC All rights reserved. • http://sn139w.snt139.mail.live.corn/mail/PrintShell.aspx?type=message&cpids=b0c0a3bf-... 2/26/2010 • Land Title Guarantee Company CUSTOMER DISTRIBUTION Date: 02-25-2010 Our Order Number: FCIF25094426 Property Address: ERIE CO 80516 BALMES HOMES.LLC DEFINED BENEFIT Attn: GREG BALMES Phone: 303-931-6473 Copies: 1 EMail:balmeshomes@msn.com Linked Commitment Delivery • If you have any inquiries or require further assistance, please contact Final Policy Department • Phone: 970-282-3649 Fax: 970-282-3652 Form DELIVERY.LP LTG Policy No. LTAQ25094426 Form PIB/ORT • PROPERTY INFORMATION BINDER Our Order No. FCIF25094426 Liability: $50,000.00 Fee: $500.00 Subject to the exclusions from coverage, the limits of liability and other provisions of the Conditions and Stipulations hereto annexed and made a part of this Binder, OLD REPUBLIC NATIONAL TITLE INSURANCE COMPANY a Corporation, herein called the Company, GUARANTEES BALMES HOMES, LLC DEFINED BENEFIT herein called the Assured, against loss, not exceeding the liability amount stated above, which the assured shall sustain by reason of any incorrectness in the assurance which the Company hereby gives that, according to the public records as of February 22, 2010 at 5:00 P.M. 1. Title to said estate or interest at the date hereof is vested in: BALMES HOMES, LLC DEFINED BENEFIT 2. The estate or interest in the land hereinafter described or referred to covered by this Binder is: A Fee Simple • Land Title Guarantee Company Representing Old Republic National Title Insurance Company LTG Policy No. LTAQ25094426 Form PIB/ORT Our Order No. FCIF25094426 • 3. The land referred to in this Binder is situated in the State of Colorado, County of WELD described as follows: OUTLOT A, HIGHLAND FARMS, COUNTY OF WELD, STATE OF COLORADO. 4. The following documents affect the land: NOTE: THE COMMITMENT DOES NOT REFLECT THE STATUS OF TITLE TO WATER RIGHTS OR REPRESENTATION OF SAID RIGHTS. • NOTE: THIS COMMITMENT IS NOT A REPORT OR REPRESENTATION AS TO MINERAL INTERESTS, AND SHOULD NOT BE USED, OR RELIED UPON, IN CONNECTION WITH THE NOTICE REQUIREMENTS THAT ARE SET FORTH IN CRS 24-65.5-103. NOTE: ADDITIONAL UPDATES TO THE EFFECTIVE DATE OF THE BINDER MAY BE REQUESTED BY THE PROPOSED INSURED. ONE UPDATE IS INCLUDED WITH THIS BINDER AT NO ADDITIONAL COST. ANY ADDITIONAL UPDATES WILL BE ISSUED AT THE COST OF $125 PER UPDATE. FOR EACH UPDATE PROVIDED, A REVISED BINDER WILL BE ISSUED SHOWING A NEW EFFECTIVE DATE AND ANY MATTERS RECORDED SINCE THE EFFECTIVE DATE OF THE PREVIOUS BINDER. 1. RIGHT OF WAY THROUGH SUBJECT PROPERTY FOR LOWER BOULDER DITCH. 2. MINERAL RESERVATIONS AND THE RIGHT TO MINE THEREIN AS RESERVED IN DEED RECORDED JULY 17, 1900 IN BOOK 178 AT PAGE 401, AND ANY AND ALL INTERESTS • Land Tide Guarantee Company Representing Old Republic National Tide Insurance Company LTG Policy No. LTAQ25094426 Form PIB/ORT Our Order No. FCIF25094426 • 4. The following documents affect the land: (continued) THEREIN OR RIGHTS THEREUNDER. QUIT CLAIM DEEDS RECORDED APRIL 14, 1971 IN BOOK 644 ARKANSAS 1565712 AND SEPTEMBER 8, 2005 AT RECEPTION NO. 3321106. 3. RIGHT OF WAY EASEMENT AS GRANTED TO THE ERIE COAL CREEK DITCH AND RESERVOIR COMPANY IN INSTRUMENT RECORDED OCTOBER 27, 1900, IN BOOK 181 AT PAGE 273 4. GENTRY DRAINAGE DITCH, ANY AND ALL RIGHTS OF WAY THEREFOR, AS EVIDENCED BY MAP AND STATEMENT FILED OCTOBER 26, 1910 UNDER RECEPTION NO. 160177, INSOFAR AS THE SAME MAY AFFECT SUBJECT PROPERTY. 5. TERMS, CONDITIONS AND PROVISIONS OF SURFACE OWNER'S AGREEMENT RECORDED DECEMBER 27, 1955 IN BOOK 1438 AT PAGE 227 . • 6. RIGHT OF WAY EASEMENT AS GRANTED TO NORTHERN COLORADO CONSERVANCY DISTRICT, A QUASI-MUNICIPAL CORPORATION IN INSTRUMENT RECORDED MARCH 22, 1956, IN BOOK 1445 AT PAGE 85. 7. COVENANT BY AND BETWEEN SHIRLEY E. KOCH AND KENNETH E. KOCH AND THE CITY OF LAFAYETTE RECORDED JUNE 20, 1989 UNDER RECEPTION NO. 2183197 IN BOOK 1236. AND COVENANT RECORDED JUNE 20, 1989 UNDER RECEPTION NO. 2183198 IN BOOK 1236. 8. TERMS, CONDITIONS AND PROVISIONS OF SURFACE OWNERS AGREEMENT RECORDED OCTOBER 3, 1994 UNDER RECEPTION NO. 2409395 IN BOOK 1461. NOTE: TERMINATION OF SURFACE OWNER'S AGREEMENT WAS RECORDED SEPTEMBER 27 2004 AT RECEPTION NO. 3222303 9. RIGHT OF WAY EASEMENT AS GRANTED TO VESSELS GAS PROCESSING, INC. IN INSTRUMENT RECORDED DECEMBER 15, 1995, UNDER RECEPTION NO. 2467785 IN BOOK 152. 10. RIGHT OF WAY EASEMENT AS GRANTED TO UNITED POWER INC IN INSTRUMENT RECORDED JUNE 07, 2001, UNDER RECEPTION NO. 2855377. • 11. EASEMENTS, CONDITIONS, COVENANTS, RESTRICTIONS, RESERVATIONS AND NOTES ON THE RECORDED EXEMPTION PLAT RECORDED JANUARY 10, 2001 AT RECEPTION NO. LTG Policy No. LTAQ25094426 Form PIB/ORT Our Order No. FCIF25094426 • 4. The following documents affect the land: (continued) 2870658. 12. TERMS, CONDITIONS AND PROVISIONS OF DOMESTIC WATER SERVICE LINE EASEMENT RECORDED NOVEMBER 12, 2003 AT RECEPTION NO. 3125639. 13. TERMS, CONDITIONS AND PROVISIONS OF SUBDIVISION/MULTIPLE TAP PURCHASE AGREEMENT RECORDED NOVEMBER 20, 2003 AT RECEPTION NO. 3128518. 14. TERMS, CONDITIONS AND PROVISIONS OF AGREEMENT RECORDED MAY 04, 2004 AT RECEPTION NO. 3176602. 15. TERMS, CONDITIONS AND PROVISIONS OF SURFACE USE AGREEMENT RECORDED SEPTEMBER 27, 2004 AT RECEPTION NO. 3222302, AND AMEMDMENT TO SURFACE USE AGREEMENT RECORDED AUGUST 11, 2005 AT RECEPTION NO. 3312267. • 16. TERMS, CONDITIONS AND PROVISIONS OF HIGHLAND FARMS PUD-PZ 1045 CHANGE OF ZONE PLAT RECORDED JANUARY 10, 2005 AT RECEPTION NO. 3251615. 17. TERMS, CONDITIONS AND PROVISIONS OF MEMORANDUM OF AGREEMENT RECORDED JANUARY 10, 2005 AT RECEPTION NO. 3251632. 18. TERMS, CONDITIONS AND PROVISIONS OF MEMORANDUM OF AGREEMENT RECORDED JANUARY 18, 2005 AT RECEPTION NO. 3253636. 19. RESTRICTIVE COVENANTS, WHICH DO NOT CONTAIN A FORFEITURE OR REVERTER CLAUSE, BUT OMITTING ANY COVENANTS OR RESTRICTIONS, IF ANY, BASED UPON RACE, COLOR, RELIGION, SEX, SEXUAL ORIENTATION, FAMILIAL STATUS, MARITAL STATUS, DISABILITY, HANDICAP, NATIONAL ORIGIN, ANCESTRY, OR SOURCE OF INCOME, AS SET FORTH IN APPLICABLE STATE OR FEDERAL LAWS, EXCEPT TO THE EXTENT THAT SAID COVENANT OR RESTRICTION IS PERMITTED BY APPLICABLE LAW, AS CONTAINED IN INSTRUMENT RECORDED AUGUST 24, 2005, UNDER RECEPTION NO. 3316279. 20. EASEMENTS, CONDITIONS, COVENANTS, RESTRICTIONS, RESERVATIONS AND NOTES ON THE RECORDED FINAL PLAT OF SAID SUBDIVISION RECORDED AUGUST 24, 2005 AT • RECEPTION NO. 3316277. 21. TERMS, CONDITIONS AND PROVISIONS OF IMPROVEMENTS AGREEMENT RECORDED LTG Policy No. LTAQ25094426 Form PIB/ORT Our Order No. FCIF25094426 • 4. The following documents affect the land: (continued) SEPTEMBER 02, 2005 AT RECEPTION NO. 3319384. 22. EASEMENTS, CONDITIONS, COVENANTS, RESTRICTIONS, RESERVATIONS AND NOTES ON THE RECORDED PLAT. (TO BE RECORDED) • • Property Information Binder CONDITIONS AND STIPULATIONS 1. Definition of Terms The following terms when used in this Binder mean: (a) "Land":The land described,specifically or by reference,in this Binder and improvements affixed thereto which by law constitute real property; (b) "Public Records";those records which impart constructive notice of matters relating to said land; (c) "Date":the effective date; (d) "the Assured":the party or parties named as the Assured in this Binder,or in a supplemental writing executed by the Company; (e) "the Company"means Old Republic National Title Insurance Company,a Minnesota stock company. 2. Exclusions from Coverage of this Binder The company assumes no liability including cost of defense by reason of the following: (a)Taxes or assessments which are not shown as existing liens by the records of any taxing authority that levies taxes or assessments on real property or by the Public Records;taxes and assessments not yet due or payable and special assessments not yet certified to the Treasurer's office. (b)Unpatented mining claims;reservations or exceptions in patents or in Acts authorizing the issuance thereof;water rights,claims or title to water. (c)Title to any property beyond the lines of the Land,or title to streets,roads,avenues,lanes,ways or waterways on which such land abuts,or the right to maintain therein vaults,tunnels,ramps,or any other structure or improvement;or any rights or easements therein unless such property,rights or easements are expressly and specifically set forth in said description. (d)Mechanic's lien(s),judgment(s)or other lien(s). (e)Defects,liens,encumbrances,adverse claims or other matters: (a)created,suffered or agreed to by the Assured; (b)not known to the Company,not recorded in the Public Records as of the Date,but known to the Assured as of the Date;or(c)attaching or creating subsequent to the Date. • 3. Prosecution of Actions (a)The Company shall have the right at its own costs to institute and prosecute any action or proceeding or do any other act which in its opinion may be necessary or desirable to establish or confirm the matters herein assured;and the Company may take any appropriate action under the terms of this Binder,whether or not it shall be liable thereunder and shall not thereby concede liability or waive any provision hereof. (b)In all cases where the Company does not institute and prosecute any action or proceeding,the Assured shall permit the Company to use,at its option,the name of the Assured for this purpose.Whenever requested by the Company,the Assured shall give the Company all reasonable aid in prosecuting such action or proceeding,and the Company shall reimburse the Assured for any expense so incurred. 4. Notice of Loss-Limitation of Action A statement in writing of any loss or damage for which it is claimed the Company is liable under this Binder shall be furnished to the Company within sixty days after such loss or damage shall have been determined,and no right of action shall accrue to the Assured under this Binder until thirty days after such statement shall have been furnished,and no recovery shall be had by the Assured under this Binder unless action shall be commenced thereon with two years after expiration of the thirty day period. Failure to furnish the statement of loss or damage or to commence the action within the time herinbefore specified,shall be conclusive bar against maintenance by the Assured of any action under this Binder. 5. Option to Pay, Settle or Compromise Claims The Company shall have the option to pay,settle or compromise for or in the name of the Assured any claim which could result in loss to the Assured within the coverage of this Binder,or to pay the full amount of this Binder.Such payment or tender of payment of the full amount of the Binder shall terminate all liability of the Company hereunder. • PIB.ORT Cover Page 1 on • 6. Limitation of Liability-Payment of Loss (a)The liability of the Company under this Binder shall be limited to the amount of actual loss sustained by the Assured because of reliance upon the assurances herein set forth,but in no event shall the liabiity exceed the amount of the liability stated on the face page hereof. (b)The Company will pay all costs imposed upon the Assured in litigation carried on by the Company for the Assured,and all costs and attorney's fees in litigation carried on by the Assured with the written authorization of the Company. (c)No claim for loss or damages shall arise or be maintainable under this Binder(I)if the Company after having received notice of any alleged defect,lien or encumbrance not shown as an Exception or excluded herein removes such defect,lien or encumbrance within a reasonable time after receipt of such notice,or(2)for liability voluntarily assumed by the Assured in settling any claim or suit without written consent of the Company. (d)All payments under this Binder,except for attorney's fees as provided for in paragraph 6(b)thereof,shall reduce the amount of the liability hereunder pro tanto,and no payment shall be made without producing this Binder or an acceptable copy thereof for endorsement of the payment unless the Binder be lost or destroyed.in which case proof of the loss or destruction shall be furnished to the satisfaction of the Company. (e)When liability has been definitely fixed in accordance with the conditions of this Binder,the loss or damage shall be payable within thirty days thereafter. 7. Subrogation Upon Payment or Settlement Whenever the Company shall have settled a claim under this Binder,all right of subrogation shall vest in the Company unaffected by any act of the Assured,and it shall be subrogated to and be entitled to all rights and remedies which the Assured would have had against any person or property in respect to the claim had this Binder not been issued.If the payment does not cover the loss of the Assured,the Company shall be subrogated to the rights and remedies in the proportion which the payment bears to the amount of said loss.The Assured,if requested by the Company,shall transfer to the Company all rights and remedies against any person or proprty necesary in order to perfect the right of subrogation,and shall permit the Company to use the name of the Assured in any transaction or litigation involving the rights or remedies. • 8. Binder Entire Contract Any action or actions or rights of action that the Assured may have or may bring against the Company arising out of the subject matter hereof must be based on the provisions of this Binder.No provision or condition of this Binder can be waived or changed except by a writing endorsed or attached hereto signed by the President,a Vice President,the Secretary,an Assistant Secretary or other validating officer of the Company. 9. Notices. Where Sent All notices required to be given the Company and any statement in writing required to be furnished the Company shall be addressed to it at 400 Second Avenue South,Minneapolis,Minnesota 55401, (612)371-1111. 10. Arbitration Unless prohibited by applicable law,either the Company or the insured may demand arbitration pursuant to the Title Insurance Arbitration Rules of the American Arbitration Assnriatlon. Issued through the 010ee of: II bn„i, 772 WFWfRS WADY 41t00� iez,o4c*r*F4-*-0cFORT C0111NS,CO 60525 970-282-3649 -o* * zIf t;7 - ♦ m . r ,, tyre • 4- PIB.0RT Cover Page 2 412 • 183 1111111 IIII!Illlll IIIII IIIII Ill llllllil III IIIII till IIII 3485183 06/21/2007 04:38P Weld County, CO 1 of 1 R 6.00 0 20.00 Steve Moreno Clerk& Recorder (3-) WARRANTY DEED THIS DEED, Made on this day of June 12, 2007 , between HIGHLAND ACQUISITION GROUP, LLC, A COLORADO LIMITED LIABILITY COMPANY of the County of and State of COLORADO , the Grantor(s), and BALMES HOMES LLC DEFINED BENEFIT ��i� � /�11 nn b�. whose Legal address is 611,8°80 j`—''u* /�Cp(A foie, CO Loci& y6� of the County of WELD and State of (LcIo ado , the Grantee(s): WITNESS, That the Grantor(s), for and in consideration of the sum of ( $200,000.00 *** Two Hundred Thousand and 00/100 *wt DOLLARS the receipt and sufficiency of which is hereby acknowledged, has granted, bargained, sold and conveyed, and by these presents does grant, bargain, sell, convey and confirm unto the Grantee(s), his heirs and assigns forever, all the real property, together with improvements, if any, situate, lying and being in the County of WELD - and State of Colorado, described as follows: OUTLOT A, HIGHLAND FARMS, COUNTY OF WELD, STATE OF COLORADO. • also known as street number VACANT LAND ERIE CO 80516 TOGETHER with all and singular and hereditaments and appurtenances thereto belonging, or in anywise appertaining and the reversion and reversions, remainder and remainders, rents, issues and profits thereof; and all the estate, right title interest, claim and demand whatsoever of the Grantor(s), either in law or equity, of, in and to the above bargained premises, with the hereditaments and appurtenances; 'I'O HAVE AND TO HOLD) the said premises above bargained end described with appurtenances, unto the Grantee(s), his heirs and assigns forever. The Grantor(s), for himself, his heirs and personal representatives, does covenant, grant, bargain, and agree to and with the Grantee(s), his heirs and assigns, that at the time of the ensealing and delivery of these presents, he is well seized of the premises above conveyed, has good, sure, perfect, absolute and indefeasible estate of inheritance, in law, in fee simple, and has good right, full power and lawful authority to grant, bargain, sell and convey the same in manner and form as aforesaid, and that the same are free and clear from all former and other grants, bargains, sales, liens, taxes, assessments, encumbrances and restrictions of whatever kind or nature soever, Subject to general taxes for the year 2007 and those specific Exceptions described by reference to recorded documents as refloated in the Title Documents accepted by Grantee(s) in accordance with Section ma (Title Review) of the Contract to buy and Sell Real Estate relating to the above described property; distribution utility easements (including cable TV); those specifically described rights of third parties not shown by the public records of which grantees) has actual knowledge and which were accepted by Qrantee(o) to accordance with section Bb (Natters not shown by the Public Records) and Section Pc (Survey Review) of the Contract to Buy and Sell Real Estate relating to the above described real property; inclusion of the Property within any special tax district; and, the benefit and burdens of any declaration and party wall agreements, if any and other NONE The Grantor(s) shall and will WARRANT AND FOREVER DEFEND the above bargained premises in the quiet and peaceable possession of the Grantee(s), his heirs and assigns, against all and every person or persons lawfully claiming the whole or any part thereof. The singular number shall include the plural, and the plural the singular, and the use of any gender shall be applicable to all genders. IN WITNESS WIIRItEOI the Grantor(s) has executed this deed on the date set forth above. HIGHLAND UISITION !MCP, LLC, A COLORADO LIMITED SitN+J^ .71ant.Litn'Foci LIABILI CD P Date By: $ „Qt. 00 R T BOLT P. MANAGER • STATE OF COLORADO )ss. County of BOULDER The foregoing instrument was acknowledged bef_.e•• •• `� day of Mine 12, 2007 , by ROBERT EQLTRAUP, NAMAGE3:, HIGHLAND ACJUrsIT•Opa6LEj" A.6' ,COLORADO LIMITED LIABILITY COMPANY � i p (41:1\10` yl l I My commission expires 1-09L3-0'( (/ c Witness my hand and official seal. (1 d'�i l/OOf \ jj tl�l4 AV IJ....• 0� Notary Public L—) Ill aF GD`,_ Name and Address of P ng Newly :reateJ �t� t t p��ms ( 38-35-106.5, [.R.5.) my ex Escrow# MT25072827 WhellWtecgl?dgReturn to:BALMES HOMES LLC DEFINED BENEFIT Title# FC25072827 Title .≤410 act n / good' Form 84 08/29/04 w01 WARRANTY DEED (Photographic) �-'(i C. i.O c0 f)-14‘, (5008673) 11!1111 IIlII111!l1f111IIIII III II UI III IIII1itf►II •1T-4- 3547174 04/14/2008 09:58A Weld CoBniv CD 1 0, 2 R 11.00 1) 10.00 Steve Moreno Clerk&Recorder QUIT CLAIM DEED THIS DEED,Made this It day of April 2008,between Balms Homes LLC DEFINED BENEFIT Grantor for the consideration of "'ONE HUNDRED THOUSAND DOLLARS($100,000.00)AND OTHER VALUABLE CONSIDERATION*"in hand paid,hereby sells and quitclaims to Balmer Homes LLC DEFINED BENEFIT Grantee,not in tenancy,but in joint tenancy,whose street address is 6480 CR 5,Town of Erie.County of Weld, State of Colorado,the following real property in the County of Weld,and State of Colorado,to wit: OUTLOT A,HIGHLAND FARMS,COUNTY OF WELD,STATE OF COLORADO. also known as street and number VACANT LAND Together with all its appurtenances. The singular number shall include the plural,the plural the singular and the use of any gender shall be applicable���e to all genders_ Signed as of the day and year first above written. • GREG(LRT E.BA M O EWMAk AG C t� ' _(' 4 a- a. Beal m __.[L,(,).L1A ,Al) LISA A.BALMES,OWNER/MANAGER State of tsloralo) ) ss- County of Weld ) This foregoing instnunent was acknowledged before me this day of V /4/ .d Q By GREGORY E.BALMES AND LISA A.BALMES ritnessnty_hateLvd_offidaidealq ALICIA MARTINEZ _y r�cG`ti, fi( o-4 NOTARY PUBLIC Notary Public STATE OFCOLORADO t 1Vhe111F6dLR816f KthheittOC,REWRN S.BALMES AND LISA A BALMES 6480 CR 5,Erie,CO 80516 • 11111111111111111IIII11111111111111111 II!11111IIII IIII • K47174 04/14/2008 09:58A Weld County, CO 2 of 2 R 11.00 D 10.00 Steve Moreno Clerk&Recorder fills QUIT CLAIM DEED WAS DRAWN UP FOR ACCOUNTING PURPOSES. THE PURCHASE OF THIS LOT WAS PART OF A BULK LAND TRANSACTION AND THE PRICE LISTED REFLECTS THE REAL PURCHASE PRICE OF THE LOT. • • • 1 111111 1111 1111 1111 MIN Hill III 11111 IIII �IIl 184 3485184 06121/2007 04:38P Weld County, CO 1 of 1 A 6.00 0 0.00 Steve Moreno Clerk&Recorder STATEMENT OF AUTHORITY (838-30-172, C.R.S.) 1. This Statement of Authority relates to an entity' named BALMES HOMES, LLC DEFINED BENEFIT 2. The type of entity is a: ❑ corporation 7 registered limited liability partnership ❑ nonprofit corporation ❑ registered limited liability limited partnership E limited liability company ❑ limited partnership association ❑ general partnership ❑ government or governmental subdivision or agency ❑ limited partnership ❑ 3. The entity is formed under the laws of COLORADO r1 4. The mailing address for the entity is (e4/10 (:dttn4y /2on[S' s fkre, Co' 5'Us'/t2 5. The E name g position of each person authorized to execute instruments conveying, • encumbering, or otherwise affecting title to real property on behalf of the entity is GREGORY E. BALMES, MANAGER AND LISA A. BALMES, MANAGER 62. The authority of the foregoing person(s) to bind the entity is [plot limited ❑ limited as follows: 7 . Other matters concerning the manner in which the entity deals with interests in real property: 8J. This statement of Authority is executed on behalf of the entity pursuant to the provisions of 538-30-172, C.R.S. Executed this /,DI/. day o£ (9C3R ORE RY El/HALMS • LISA A. SALMIS • State of (1cloraa 0 )ss. County of ittuIf o _ ) the foregoing instrument was acknowledged before me this i.2 y day of `,IN on 7 by OREGORY E. SALMIS ANDLISA A. BALMES rtN�..„.:.G90 ttt Witness my hand and official seal,. P:..• �:.20T ARiLF II,t M commission expires: �-/ y % ? i /c r 1 ,A 9.. ,c JJI WHEN RECORDED RETURN TO: 11 gr �\ V O 1. T' ea � .= id not be used unless the entity is oapable of BALMES HOMES, LLC DEFINED BENEFIT MMGha1Bjsjq%FYPLTBsreal property. tvsa (14tio4y G '5 2. TheUibeidciDof any limitation shall be prima facie avidenna £4 tr., eh) S o/Cy that no such limitation exists. J. The statement of authority must be recorded to obtain the benefits of the statute. MT25072827 Fe-m 759 02/12/03 SOA •tW� L !per (5008684) N, 12. ` q.a>t • 'filed for record at 9 001ook A,Y.July 17th,1900. i• Sharon Atkinso eltecorder. 1JE WARRANTY DWED. Contract No.9-7.UNION PACInc RAILROAD COMPANY. Deed No ,.'}}} KNOW ALL Nfl SEN 3? THESE PRETS,That UNION PACIFIC RAILROAD CO,RANT,a corporation 0xi ';yf3.2 r. 7 ,under and by virtue of the lase of the state of Oten,1n eoegiegntim of the son of Nine ' 0 :hundred and4hammerd and forty�ts0 98/!00 (9ag.R3) DOllersrto it Dald.the receipt of ehlob IS h� :by acknosledged,doth subject haver to the exoeptions,nservatiana end conditions here i '»1,4,1}E after written.hereby grnt,bargein,sell, and oo=Wl7 unto William Rorley,Of the County Of' i4 7is . ", Weld In the State of Colorado the following described real estate.sitnate,lying and be ' 1%•444, in the County of Weld an in the state of Colorado to-mitt �f:� un and North West quarter (N.V.})of Section No.Five(6)in 'Township No.One(1) North Of Rena* 1"R I p i NO.S1zt7-eltht(Ge) West of the Sixth Principal Yerldin,00ntsiningre000rdIng to the Unit* 7 i *: States Survey thereof One hundred and sixty-two (162)and 76/100 noes more or lass. l e'T t ER,EPTING AND RESERVING to said Union Pacific Railroad Compahy,its successors and ass: lk 4i First: All coal and other minerals within or underlying said lends. }1�. k : Second: The exclusive right to prospect in and upon said land tar coal and other I therein. or which may be aipposed to be thsrein.afd to mine for and remove.frem said len4 t I all coal mod other minerals which may be fend thereon by any anew ThirdsThe right of ingsess.egr^:s end regress upon said lend to Drospeot far,min and ;Cove any and N11 such coal or other min rale.and the right to use to Allah of said land se may be ect,enient or necessary tae' the/ Tight of way to end from snob prospect places or mims,nd for the convenient and proper operation of such prospect plaag,aiaas and :foe• loads end approaches theret, or for removal therefrom of coel.aineralraaChinery or ;other material. rnrthiThe right to said Onion Pacific Railroad Company to maintain and operate lea rei teed in its present foam of oonstruction.pnd tO make any change in the foam of °pretrae ion or method Of operation Of said railroad. TO RAVE AfD TO HOLD,subjeot to the geld sxoeptims,reservstlon-And oomdlttons,the sal I'. premises with all the rights and appurtennoes thereunto belonging unto the said 11111411 Y Hurley grntee,hiI heirs and assigns forayer.and the said Union Pacific Railroad C doth hereby covenant with the said grantee that at the making of this instrument it le *' a l een seared of the said premises as of a good Ind 1ndoMible estate In fN.ne bath mood Irish% to sell end convey the someone that it will arrant end defend the title to aid k 'promises unto the said geentee.his heirs and assigns forever against the lawful slates i of ell persons ehosseever.Nza end as against all tamps d assessments levied upon I said premises for the year.1P98 and subsequent yeeTs.and excepting against any rights. . .. liens or enaemblrgrate.es created or peraitted.by any other person them the said grate. . since the First day of June 1098. - . AND WHIREAS,said Union Pacific Railroad Casper, did,on the 1st day of July,le'fT.eaett and deliver to The YersntlU Trust Company of New Tort • certain esrtgae deed saaswmm F said Railroad Company conveyed to the said The Mercantile Trust ceonany of M Tet1.em , �. . y-1 i 'I( I ...fctaa,fbr the uses srd purposes therein mentione',amongat other things,the lands •I f I hereinsfore deacrlbedsand, I/I ;herons. laid Union Pacific Railroad tompany,slth the consent of the said The Me II; r., pantile Trust Company of New York.,:Trustee under the mortgapt nforesaid,has sold pftq d and convsyed,as above set forth,the real estets,heninbefbrs desnribed.cnto the IIIII,I���'I I said grantee for and In consideration of the sus paid as aforesaid to Buten Peel- �� ,; till fie railroad Company by said grantee.which sum of money has been paid to said The II II III? . Mercantile Trust Company of Mew York in its capacity as Trustee,or has been Other- . i � ,ter,Ii wise'.properly paid or accounted for under said mortga7e,for the uses end purposes it' ' 1 ' a I'I I I I •• mentioned in said mortgage deed: 11I1, I wOW.712REyORE.KNOW ALL YEN BY THESE PRESENTS,Whet said The Mercantile Trust :, ;}11111 Company of Pew York,Tru:tee of Vs aforesaid mortgage deed,in eonsidention of the , 11'!",1 q! I premises end of the payment ns aforesaid of said sum so paid by said Railroad I 'Ft; COnpany to said Trust Company,for the uses and purpose' atbresnd,doth hereby M1 .ri I! II I I i REYISE,RIQZASY AND FOREVER QUITCLAIM,subject to the exceptiana,reaenetions and 111,II conditions above written,tnito the said William Hurley the reel estate described ..!1I`I ?_.i,iIII °foremast:to be held by the said grantee free and exempt free ell llsns,inumbran- L ,I cos and charges of said mortgage deed of the first day of July,1097: ill i 1 t`•II In wItszsS mizasOy.ths said grantor.Union Pacific Railroad Compen.Y.has caused ,,I I 1 those presents to be veal'' with its corporate seal,and to be signed by its Preti EIII dent,ottested by its Secretary,and countersigned by its Lend Commissioner and its I I. Cenral Auditor,and said The Mercantile Trust Company of Mew York.,mder sold wort , gage deed of July 1st.1997,hae caused these presents to be sealed with its corpor- ate sse},signed by its ViorPresident.who is thereunto w duly authorised and 'mp - I• '• and by the by-laws of the Company and by resolution of its bard of Direstore. I 'i 1 : IS.C this Ninth day of May A.D.1900. ✓ u. I+0 II 7rr I Nr J t �1 I I/.e• +r l .b _/' r„ ti f J ii y i . 1 Xr 0! Att'sttAles,Miller.Seoretnry. .4 ''\ 1t.; J' 7 alt 4M I� UNION PACIFIC RAILROAD COOAaT, 1 PY.Horsee a Pee'idant. �yy N, 41 3 ' :r, 4+ ' . "..`j i / 1®?HZ ICARTII.E TRUST COMMIT TRU'JfQ, r.: j'); / 3 '.11 .: �, \.__ By H.C.Deming,F re loe-Ptidest. ' tr"- # ,, ' Attests A.R.Ades. Secretary. , IChecked by .I 1 I :1.1. IOMl� . li ` Appeal pal se-. J AL. It • 1111III 11111 1011 FIRE812005 111111111111111 MOM 1111111 3321106 1 of 4 R 21.00 D 0.00 Steve Moreno Clerk&Recorder RELINQUISHMENT AND QUITCLAIM THIS RELINQUISHMENT AND QUITCLAIM, effective this deli day of #,p7mb4.-- 2004, by and between ANADARKO LAND CORP., formerly known as Union Pacific Land Resources Corporation, with an address of Post Office Box 1330, Houston, Texas 77251-1330 (hereinafter "Anadarko Land"), and HIGHLAND ACQUISITION GROUP, L.L.C. with an address of 6297 South Potomac Way, Centennial,Colorado 8011) (hereinafter"GRANTEE"). WITNESSETH: RECITALS 1. The lands which are the subject of this Relinquishment and Quitclaim are the lands that are described on attached Exhibit A and are hereinafter referred to as the "Subject Lands." 2. By deed dated May 9, 1900 recorded cm July 17, 1900 in the Office of the Clerk and Recorder of Weld County in Book 178, Page 401, Union Pacific Railroad Company conveyed to William Hurley certain real estate in Weld County, Colorado, a portion of which are the Subject Lands. Said deed was made subject to the reservation by the grantor of, among other things, "(a)II coal and other minerals within or underlying said • lands." 3. By quitclaim deed dated April I, 1971 recorded on April 14, 1971 in the Office of the Clerk and Recorder of Weld County in Book 644, Reception number 1565712, Union Pacific Railroad Company quitclaimed to Union Pacific Land Resources Corporation, all of its right, title, and interest in and to certain real estate in Weld County', Colorado, a portion of which was the Subject Lands. 4. This Relinquishment and Quitclaim relates to surface entry only for the minerals exclusive of oil, gas and associated liquid hydrocarbons that Anadarko Land owns in the Subject Lands; the minerals exclusive of oil, gas and associated liquid hydrocarbons are hereinafter referred to as "Minerals" • • AMER 11111IIIIIIIII!1111111111111111111IIII3321105 09/08/2005 03:41P Weld Coun , till 0 2 01 4 R 21.00 D 0.00 Steve Moreno Clerk 8 Recorder RELINQUISHMENT AND QUITCLAIM NOW THEREFORE, Anadarko Land, for and in consideration of the sum of TEN DOLLARS ($10.00)and other good and valuable consideration to it paid, the receipt of which is hereby acknowledged, has RELINQUISHED and forever QUITCLAIMED, and by these presents does RELINQUISH and forever QUITCLAIM unto GRANTEE, its grantees,successors and assigns, with respect to the Subject Lands only, the right to enter upon the surface of the Subject Lands to explore for and remove the Minerals by virtue of the reservation contained in the deed described in Recital 2, it being the intent hereof to relinquish only the right to enter upon the surface of the Subject Lands to explore for and remove the Minerals, and to leave in full force and effect all other rights reserved to Union Pacific Railroad Company in that deed, it being expressly understood that Anadarko Land's title to the Minerals shall be in no way affected and that Anadarko Land and any lessee, licensee, successor or assign of Anadarko Land shall have the right to remove the Minerals from the Subject Lands by subterranean entries,by means of operations conducted on the surface of other lands or otherwise by any means or methods suitable to Anadarko Land, its lessees, licensees, successors and assigns, but without entering upon or using the surface of the Subject Lands, and in such manner as not to damage the surface of the Subject Lands or to interfere with the use thereof by GRANTEE, its grantees, successors and assigns. • This Relinquishment and Quitclaim is made subject to the specific understanding that all of the terms, conditions, provisions and reservations contained in the deed dated May 9, 1900 referenced in Recital 2 and not heretofore relinquished shall continue in full force and effect with respect to all lands conveyed thereby and not covered by this Relinquishment and Quitclaim,and it is further specifically understood that all the terms, conditions, provisions and reservations contained in that deed and not relinquished hereunder shall continue in full force and effect with respect to the Subject Lands. IN WITNESS WHEREOF, Anadarko Land has executed this Relinquishment and Quitclaim on the date set forth in the acknowledgment, to be effective on the date and year first written above. ANADARKO LAND CORP. -134 By: Name: a5t��jn?fcLQs Its: J'; Trc+s: 2 • ! MIME,11111 111111 1111111111111 I I 111111 I I I 11111 3321106 09/06/2005 03:41P County, CO 3 of 4 R 21.00 D 0.00 Steve Moreno Clerk&Recorder STATE OF TEXAS ) ) ss. COUNTY OF MONTGOMERY ) The foregoing instrument was acknowledge before me this 49:__ day of Efr„i 2004, by CAA-7 .e.uas , as c sv.›e.✓+ for ANADARKO LAND CORP. c�5-0.5My Commission expires: c9l c_r,C.- 4 g) Q2 .5".:...,. IIJlrrJlfJll..„. r Witness my hand and official sea. °°." AMY H.BUCKMAN 1 NOTARYCO DI XPIR C.9rATESTEXAS k kl. ">°o.*Ei- µ JUNE 28 2005 ti 4-C4-- _ o iC• 3 0 1111111111111III 11111 1111 111111P 111111 III IN N II11 • 4 oi us l 4 09108/2005. D 0.00 Steve Moreno d Clerk&Recorder EXHIBIT A to Relinquishment and Quitclaim dated A/Qyenzber 2 4 ,2004 between Anadarko Land Corp. and Highland Acquisition Group,L.L.C. Legal Description Lot B of Recorded Exemption No. 1467-05-2-RE3105, being part of the North one-half of the Northwest one-quarter of Section 5,Township 1 North, Range 68 West Weld County, Colorado • 4 • uu.•r ma a..ma-lr wew.aar sou ren.,t Me.•w........ ��wj S I- Cisl •1 S t `4 9/'" :::: 3 .t:.�.. ' 4f�W Mccb, Jlude ism.... .,t t any{ (.. LWN ,e' J41y wAF2!;n. )PPU tv ( 9 iiliY IS bar if a/rd me Mssod El% halm/ _._. 8.1.a L 1 p 9 ,/ bd el, t/.' 1 . 'l{i r...kl O s -i _ . .. i a pry ^. ,I•the Casty{ 46.'id, owl Al 4 Cs.ra!h 4W first aid.mod Mr . x .. sees qL. KtTR d lr.4wctl.,,,, {th.C.wty{ ✓'.0i.4L(W s e e s. ..d Mete{C.w+de.{the.sod Peel. , F .... r`e+ .so n...wan. . M. Rirr.ly/MI e"•AIM f II/TXEIETU. Mel the add pd se es{W/Aett port f ma I. nwdJsrMw{,M sow{. 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EI W a `te=a! ₹ :a ;x .E :d 1{ii : !•₹ ,?t{ ₹dirt i[R':Y 5 •5: :1: Q7:• fa 1!i . ?:,r -t.t:li iii.::: i: t 'Y a. :S" .U- 1111.,.. .,.. r. : :r7.,...I .11; : I;'I,•.;•�I.rr+- .2 ! t111;,..":"1:4• : ithit .-.II:. :��:f_ °'L' .,,: .:.,r:. ,. 'E ' , . 1::::,±4.1.111,1,1t1;111:I l... toDIN i i u,tk i P5� 7. � I' F- _ •••11 Z i� I FI �' mh xi.: I , l�,' , li ,. II1..i1. 1, II711� I::: H Q a l.- I:-�:II-. I. f ., ,�li;,'J LI p,-,"::ILI l,',, -,,,,....1,it I I m, .:: :.'.•��::: ', J, . .. I_I 7. ,,._.;. ' — W `. ;' -,.II I: , 5 ' I`I, I7•. .. ..:�;,.1--. ''.'::.!4:.;r:- :',.'d..": :;':[..1:4 ❑ o 96o . Ti .1. ? . ?e-4,?: 'b:::i'r',l l';iL'u-.7.i'',T! . _.I::;,'' ',, r,•i,i' „I 81. ,� oa1 =1� f� L Itll'.I'YP 1 � L3 W i '₹ ' � . t_ \ ' . = a 3' 1 �_ ? ) %t • to- CL O _ W VI,' 14. 11 Q p zm� }T >o .. ? It W J _ • .,i > z R : '° I' °S Wm0 , ,';e E :. t a a : I 1 • 11( :;:, ,i):,,,:::, ii,,,.. “ _ 1 -7 I .. 'ate.' y 3r II ' IV • I ,, I F rill - 7 . 'r • L ii -- i- - -- �--- -4 +- - . • {.. • PEC271955. . Cos �^ g .-,--F.2.-.. _ Triplicate 0 nal 5t .w.L- 'ID`)(la G.e<..... R. R. Cole Copy w-. .'. _ % Q •K ���---;--.M.kn...4.�a.6. With L. C. To. DE62-f K' , � i I - ID cn so. -WY37-S Form for Licensing Nev. 5-1-51 ' - ,S,:•.:} SURFACE f/: IA'S AGRE KENT : 724 r 1 THIS AGREE}I-KT, made and entered into this 1p tday , of / 1953 by and hetveen NOR$IN ft, now ant .oanst .1 BOY, ;Wainand rife (hereinafter for 00111.40.• =14 lace called the Land Owner') patty of the first part; TAE EQUITABLE LITE ASSURANCE CITES O/ TAT UNITED STATES, Beneficiary of a Deed • of Trust to the Public Trustee of Veld County, Colorado; . illimcommozdyry and UNION PACIFIC RAILROAD CC;TANi (hereinafter 1501 for convenience called "Union Pacific"), party cf the second part; •1 1, I T N E S 3 E I M • . Land Owner is the owner of the following des-rhed premises, hereinafter referred to ae "lescritei yr"r.ise": • -_ Northwest Quarter INN 1/4) of Section Tire (5), Township One ■ (1) North, Range BSztp.eight (66), West of the Sixth Principal Meridian, Weld County, Colorado, ' • ' . Sl`6LC':, however to ecceptima and reserast lor.a of minerals and —1_ s', ! ,__ u. ' fir r t . • II. • ry •• •:'•.,;:"..:.\91%;•' •fi l ie <^ iy. . : t'bt -ePl.;: , itbi e h ,rk; r�[.• r\�jpy'1ctr �, #1.. 4 ••�", i • sty ..4 t tt.,. v r ] '"-'"4aL'V` „Mr)t�T.r y v.jet k�r •tlC` �,,�1g t . 7 t,y, r, 1� t'�� 1 — 1 _ ..cif L t1 z4. < 4,06... i.•, a. S y • • _ r ltr ' r t .� tor 1438nu228 ph t ' . 1= Form for Licensing IANf/ Rev. 5-1-51 - �\ . rights of entry and of surface use contained In a certain deed or µ.• - nil it deed, of conveyanoe given by Union Pacific or one or more of its ..-_, predecessors in interest. l'.,6 q \t . • Union Pacifle has leased or licensed or proposes to 0 lease or license the described premises under•en oil and gas license - r i for the produotion of oil, gas, And other hydrocarbon autstances, and lessee or licensee, with the consent of Union falsifies may, . ' ' •�_ during the terms of the lease Cr license, ocrsait the described ,SO 'ISO premises to a unit agreement whereby the described rreniees with ether lands will be developed and operated for the production of ) oil end/or gas as a unit. iIt is desired at this time to avoid any future dispute as to what surface uses are permissible with respect to the 1'' lescrlbci premises under said rights of entry and surface use �r expressed or Implied, and as to what uses would or night ha eon- I - - t , :tiered excessive thereunder, and to Provide ' a consideration to tho � ' • Land Owner for tho right to make such uses. AGSFEHERTL 1 , NOW, THEREFORE, it is mutually understood end agreed between the parties hereto as fellows: Section 1. In consideration of the mutual benefits and of the sum of Ten Dollars (310) paid by Union Pacific to the Land Owner, receipt whereof is hereby acknowledged, the Land Owner j , • hereby confirms, extends, and grants to Union Pacific, its 1 I li successors and assigns, thu easements and rights to ' . 2 _ I : � 1 -, i • - t 1 11 ‘;• J . rlr ' r 1 I , der T. i. 41: i:,;.., Na'a 't1. . 0 ,,4IWIISI n. ' •ti Y' �a.)f a a ,• 4a w.w t 1tt '',riafjF1ti14i� + Ie . .a-- ire 4 �' :�y`, :1411:44.: e, 1 r 4 }+ a � w I,J,��✓y�1{ r ) s G 1�..Y . Y 7'..i...,; i i � S'1 • �'���'I t�• A-1•4 "`'•Alts.I. .. re•p• 1'#'ti�irAtt ' :`X' i t .,n..tflAtal, a •►^/a ,.1.� , r r�l r.. Y 1�. t,. ':,-ti i i ey, S t..w�std yei Y,�.. ,�, ' S�a eS7iUt rip ,• /r . , ,.,• i . n1438 izt 9 - - ., , Form for Licensing 1J."�• Hey, 5-1-51 •� a enter upon the described premises and to construct, maintain and A!• use upon, within, and over said premises, all oil wells, gas wells, ';`+y 'u>'t - derricks, machinery, tanks, drips, boilers, engines, pipe, power .?ji l and,telephone linos, water wells, roadways, and, without limitation _ a—7--- by reason of the foregoing enumeration, any and all other structures, equipment, fixtures,' appurtenances, or facilities (all the above - ' being included under the term "facilities") necessary or convenient 14 in prospecting and developing for, producing, storing, transporting . nni marketing oil, gas, and other hydrocarbon substances under or _1 produced from any portion of the described premises, or under or .50 i produced from any participating area In which the described premises to whole sr in part are included ea participating acreage under a •f' unit agreement, together with the right to remove said facilities . nod the right to use such water as nay be needed from the described f raises, not tnelu:arr water from Land Owner's wells. • 3ect1cn 2. Union Pacific agrees, so long as it Is re- ceiving all and/sr ,:as production from or oil and/or gas royalties ■ • „en production from the described premises, to pay or cause to be 1 pntd to the Land Owner the value en the promisee of twe and ono—half per cent (2.:".) or ell the all and gas hereafter produced, saves, nr•I marketed thnrcfrcn, except oil and gas used in operations or, ,7._ the premien:, and except that no to casinghead gaaollre and other products manufactured from gas there shall bo deducted the Cost of manufacture: provided, however, should the licensee at any tiro include the described premises, or any portion thereof, under a unit agreement, to which inclusion Land Cwner hereby consents, wither, • ) ) ) , ! 1 I r - 4111 . J _ t _ _ - r • • 1021138 nU230 Fern for '_leer;:n.. . hey. 5-1-51 2-1-55 the bounior:co of a par:•-c:;c:ln,; eren nr arcae, ^ah Cn:on Poc- _:lc`n rc!nit:eo n: to call lonta no Include', ;rented cn the ,'iv.::t; of proi^c::nn np'crt:cnct t`.cretc wrier euCI: uc:: nen: or ',Inn rr.ticr "--n upon :!•.e 'car:a of ec:::nl :hen the t••-, end one-half ccr cent (2Y) r'n;ve net forth, payable ` O tc the Intl c"•cer ••::n re.nvect to the corn lrr.ln oo trelaci, chnll 1:[c'•:ne b^ einllel to :he nrniue::on co Elroy-rt:onel trier Vie ur.lt - n,:rccner.t. _ 12:ec -ro5ret ten Cr oil frac lame voter revcrnl :•Irface I c•mn rrlri In one central tor.:: sett:n.: for nrnet:crl l50 ' • err-o"-2 r.:.nor;, -er:clie tni:v tivnl "el' tertc may be el lc to . crrTulr the noon:it:ce of er:r!n&lci old 7rencrly olleonble to t • cn •nil, m:1 the t 'o ^.l one half per cent (2l') rc:nity nra- 3, vlirt !'err:n shall :r nnynblc a-en the ganrt'-'ee nnnort'oret to ' r:-c?: "-r:1 on rerrr•et to -n:nn fac:f:e In full oat:r.fnot:rn cf the roynit; obit, n::<rc hrrcunicr. ,;..py..o_i,__..:.:.l.y-t,er..irt-ccr.Min..i .2 , rrSr:r•?_ 1 . • r•.:r-. -: .o ,:.•l: "r.:n- ;mottle. Ito 1CoeCee. 'noreo, er ••rotes •In Ier 1 :n:: n. recent nr nr ..root of ell er. • • heel:;:: ;•. The eact.&r.:s, r1l.hts, oni vreC hereto atoll • be b:r.i:r. firer. :'✓fir.rr:7e.i orrr.:nett not each ant every ^art -.--- - :`erect._r:`l 'Y.r nreecr.• rr.1 future ewnerr thereof, and :'.,all. • er a,:,-for-tit,-benef't.-of U.e-orrr,-, t—at-fnt•je ,-•rcre-of-thr-- - _ t _ 11 • • /.+ ` ! • y . ryt .t i , t "1 r�" .tt yr • •pat•> �I "`r, - 1 _ ,t . a „ unl438 u&231 . • ,. Section 2-1/2. The Equitable Life Aaron se Society of - —J the United States, as the bolter of a promissory sots given by '+t+ Norman H. Johnson and Xargaret I. Johnson, payment or 'Welsh is .- iA secured by that cartel* mortgage or deed of trust dated Marsh � 12, 195k, in favor of This Equitable Life Assures,* Sestet? of the t' United States, recorded on Hatch 15, 195k in Soon 1}S► at Pap c A- • 501 in the ' office of this Clerk and Bsoorder et Held County, i.:.,;, .. Colorado, hereby subjects and subordinates said mortgage or --_•7 f deed of trust to the rights granted to Union Paeans under See- 1 Lion 1 of this agreement. • - 1 7 • Norman R. Johnson and Xargaret I. Johnson do hereby .w assign, transfer, end est over to The Equitable Life Ateuranoe 1501 Society of the United States, all royalties, payrnta and other I rights and benefits which may be paid or become payable to the •i1 Land Owner ender and by virtue of this agreement. The Equitable 0 Life Assurance Society of the United States authoriaes the Union Psolfle to pay any and ell such royalties or other payments to Norman R. Johnson and Hargarst E. Johnson until the Union Pacific is notified in writing by The Equitable Life Assurance Society • of the United Status to Rake all such payments directly to The , 4 -.. Equitable Life Assurance Society of the United States; end the * Union Patel* ogress to pay all such royalties and other Payments hereunder to The Equitable Life Assurance Society of the United - States when notified in writing by The Equitable Lite Assuronee Society of the Un.SAad States to do so. • It is agreed that all money payments which may beeoae i ' due under and by virtue of this agreement shall upon notice as .. aforesaid, be paid by Union Paoltle to Thu Equitable Life Astor- i -- •e f - I .}' 1 I • , v d . , , a . . . . . �L� tp d • • ' v. 1 • • 1 •r r'ik‘4t rT`r yk iit��� lq Yg'-n.'::•) , ti+ 1.:(c 1 ;0d r. •t.#wTr,.*-) •.�., --Es, i •-173 .fat:he at--. d. Yt a.l.i5 r.s./i.tw rct..>.'�i..-L icYa•... ti av t- a"S�{'i,t'r• w7s,)f+t' j+u�lrt75',i.^o R t.lt74,:-•� J P.. • r } If?, % ese 1 1og vl.:tli atktal:ttisi:N,N ypliala. ilwraiie Pat- C' . . ) -sal K radial adial allgitiss 1iedar W Prater*? sett eosin& • - r b Kies itertadtl it sorTisj a deal et trig;•Yet 'Shall i n �y later the due tali et ay.Uitallieat presidia for li sell sort- Nee gage er teed of treat,eatll tub time es sail .►isle- ��s''33.��j .' . ties is pail la fall, sal thornKiir sash parasite shall be sada • 'ire • to gems I. JOSS'S lat'Wd :sane*' . Jea. •f+", .• tf ( •0 Settles 3.. lsthlag berets N a atali shell be eoastreel • as a sneaadt to drill y gales?settle, its 100000t, llseaeeet, `•!- or emit operator eater a malt atrsossat or as a treat of ale sr Ill , Tt'K gas right.. '.12.1 r Isettle k. The eseeseata, rights, eel gems hems &hall be ►1aQieg epos the 4serihet praised end each end retry part thereof, end the present sad Peters oenera thenof, and shall M , - •? 1I ooattave for the Misfit of the present or retire owners of the ` • • • ' _ 1 i.l s i . ra I 1 f t 7:i I' • ` �k.. f 1 +lye 1 ' )i. '+ -i. :141� • •I {•ftk ♦c.144�1r' .C-* 'T:*t .l. ,w-,j'�1+� a.: 1• 4� • �,..i,,3e Ait...;tl IY;4I7„„1 'fit( +.1. 1 : ttt ` r V•1:7.2 F c fr,^1 ,"`I.44' Z' + .fit .�t .+j pp - /.M`r`a ,Il ' •v ty'�"J !`i-1 rt„�n� Pi �' • • , •fit... ••�•111117!P 1 r' 1 ' + Vl ' •�l' .t.,...‘“),,..• ` 3:-" • ' • 9T • 1 1 } ? `- rY� 1.'.4! ; t'�a y1':}v t J✓c .��i�l 31;3'• ,1'�(e_♦I :. 1 1.5� 1 -•t• .Y_.. 1y f 1 M ICIi.;,' Aµ a ! t '. I �H.... 4 „o�..'•°u .i. ..�/�. 9 . rid .. . F • ��yaa,�.�� t� • •t: • :' 4/1�-4: • sigai is ti.ih y,er e.} Ind• I + aarajp ,: ! �LwPyLird`W / t.•/A�Y�Y tyrl i'..,r, ' •�.� • J �i1J•71?��� t V�y�ia.tit(11nZ i..�4. 5.1.Stf1i‘ •1: '...tanAlt_X 'f+•. ;VI. lMi rvt `t ! •r -�TZl yt ! t� ' . .rY+.t� ,�: .�tY):�. ".f,Y71+Y`•.• . / y '„ }.' rY ...J. 316 !i II E:1!•••• I „, t;l ; • wat1438 rlu2'3$ Y ' 'I a wl >.: 4 / Form for LSoonaing 1 r ll�ti . i [ 1 l-$l t r i �'e{ - rl t • h1 011 ani/or gat TSPhte.:n.,::::::::::0:::::::°,::%:::: aM every i �t^ ;; port thereof," aM ahal {,.the•life f.�,,: • 1 of any unit nyrecnent. If the tondo bo oommtttod thereto, for the .,,, • •• 1 r ' acr.eflt.,of the hale within the unit'area, `' � ;.4 U a ..• dec then • I ;i 1 5. Gn1or. Pacific Ogre's (a) Ln nay all dnmara - �1.` t. • to the Land Cvne rlo bu 1111 n,.a and arm•l rh crepe cavooi by the T 'rjL erection or construction of fnctlitiec to bo uood In connection 4 j '. f� M. Sit .: — ' (h with nil or trio onerctiona; (b) that all nine lint( all be ( 1 .' buried below plc'^ •lenth ghcro ouch linen omen cultivate{ lord; It6i '` nn{ (o) thrt —hero there arc fence, to conatrvct I:otco therein ' C' • .mere r•ceencar_ for t':•Inn Pacific, or Ito !lcenicco or tea-ec:, ' ;•_'� to crr.r.a acre, rn{ to ':cc, ouch gatco in rrpntr an: elaocl. rn� = c ectlon 6. Thta a.reencnt and the erococntn, ri:.htn J� ,. nr.1 •.teem Fr-r.tcd herein shall term:note uann the tertinnt:on of the license or t•.n_: agreement, If the Ionic tc enr'lttel thereto, , r •.tichever chell loot terinatc; provided, ho'cvcr, that cueh I } I i !err:nation tr.at!cn cheat not terminate the rights, cf entry rot of car— rote uce e'np:ecre{ cr An1lci In the lee{ oz. {cede of conveyance trod "nicn Pacific nr Ste nrciceerror cr :.rn{cecencrr. :n Irterect. 1 Section 7. :hit agreement rhr.11 be ticitn,• "non the ,. auceeacorc art act:;:rt c: the portico hereto. Sy' ' :cct cr. S v♦An♦vr. ."1 fe of i •! ' the ohove—r.nr.c.% Land Carer, loco F.erc,y Join '•!th her 1,-jc and :n if 1 • s ' 5 I , • n .tp I ' • ' • _ .., Y 1 '` 1 f s4 i ! ' • R•• 1 • 1 ' • • ' ' ' •rr. ¢ • 8• r, y • ) 44.:4111V t t:.' t r • Z 'tej1 i s �� .j) t ,• l•l 1`� ) .l r i ♦'Ik �$lr se • y% I, It ,-,ft /\ 'I."I'1.-,.!. Cl, fit, at ♦ R4 •fir ick Y, a . rt 1.d)..CC }1 ' _fie • ). , ••Y . {yr'• All a Tet 1,JW5 +9 -/Mr,S 11 1 ,:?r, Sir .1- S �; f s .. P ` . c1el�•.1•. _• iS.*jfi,fi' 1 ' GJry '' \1..7 I _ t Tay 4:At f?‘>441•A4•A4 . . -i i•' tw,/ a:. a�.r.T.^.. ::i.liibt..1[vALS t:7�i.d._a..:..al♦ .. ., .r �T 17w '�1KL 1. {1.'a•- �s r+ la J` .t l'' "•..rt ' 4,I yt. q} F`- i, ;i.♦lf UYL a(• �i,fir�ii a:' a ' • P.: r I . , y f+.t� >>,�,�^•�C�v3L �>�. ,7�a r ' t � •�1YtL �{ ri�7.a' � t �fJ ♦��hi,..� '1 i a . r1 ; Y •Toro;fort Lieetfeing s �. qi -I.A.•A• Ren:'5-t 51 ,:r. , the execution ok the Peaketn (s ae anent( u hereby i re le l hit "..1.14 +' 4 -},4• r r 3 vstvingl al 1.,Wilt no f 2Caee3:Had•'and wi do In and-to the ., ,''-fjl. nbo♦ i , e 1. ✓1 y "- tii� .y-„4:. ,-... , - ., , ti 1NGUpy,-tin part lee heretd have ezeout el - ;•:, . fyr 1an4jj_eer first abote'viltten.' : rt • :0 '/l` .. .., t1NIel Pk:IFIC AJSLRO..r CO:YA:Y , '. es. • ''p . tar, President ''I! ✓ •' Land _ .ncr. ' I 1 of Len-1 caner • ftjiIl i LIT= 1/NAJII0i ...- ITS .iii. ., ,ek Atteot: 1LG Sift laasriaiarT, egt�wrat ion se fi a<. r d T. 1 , r 1 1 Grace N• Jerdle Aeet. Sec re tar, H. rM{ nt :Stncaaeal • C.1c.C� n L %):'i• .41 . '• "... .41.10.114‘'`.1t*' ,. f: f f If: y 1 1 •r > y � p r r r• > 'x I f fir. r Y ,. e! M ri(r,1„y'F a > 1 ` kJ- a it! i er t�4+. $d. 1 as >t ♦/Ifir. ♦ t ' I ,let it'r i \' ,r {iC r! 7, t�� , '• � •lii r }/!�a\ .{I �i LI`'Z �.'� `a ♦ {f7<' ,M . cc( I 1.0.t. rt r` , 1k.J,_ , `y i,f •� < �i(a 1.4%,.:•..c,':‘.. 194 �-Y� •er Yql' 'i--f1. apt .y 1Y�„j� r InZ I J ! , Q {q n'Yi6t1 n i �. 1 v ; �,•- I t a..y ro 1 f •Sy 'I �?,{/�mly Nr r''Ir,i� Y'•., . '• -'S AgA• r jj h\j •i a• 1 _e ♦' �1 f'f�.to trt J rt .jjti tp. tom' r •'ti '�' •a �:.{ 1�rj'*CAAw •>t 'i�*-J .i _ ,1 y1 rI � :, .n •y>-.. r r u1438 acc235 • - commit or PUBLIC TRSLCRf o The public bust., of Solt County, Calerado, will • ,e4 4;; please consent to and jolt it the Perugia' a(raetgt. Att.st:l Tn.toOITABLE LUZ LS6MaCf �$ • ``' SOCIlf! r UPLnS sratea ' go I. r• Ity �. }dun �V - f 1 {. :irate M.Jordl - lest,. nn;arf H.Holding - Tice il4•111 •1� `(rPSJ�f 1 As 'obits Trustee in and for the Coaaty of twit, State • of Colorado at the rega.st of the present armor of the Sadebt- ,r' • •loess and bolder of the 'tote snared by deed of trust dated • Marsh 12, 1954 to thi Patella Trustee of the County of 1.l4 and 1 : .•s state of Co orate, r.00rdad 1t Book 15t4 at Pate 501 of the resorts in the offiee of the Clerk and Assorter of Well County, Colorado, i. 1 do h.r.by consent to the above ant foregoing agreea.nt to the . ,fLe- extant that said land is attested by said teed of trust. • Witness: ist eD. Pabila Trustee of the County of • .j Weld, State of Colorado 0, STATE, Of COLORADO ) .e COURTS OP WELD I The forego instrasent vas-actnbtllsdggeed before as I 1 this / day of ly 1955, by .„,.. .„a..,,, ,_ .--2 ,- this as public Trustee of Wald- comity, Colorado. Sltaeee q hand and official seal. '•'••G..••i••x0;••.• My ooa'tiseion expires el ww aspires/+n.INS a ` . ..' ; ; ay:. : N c. • e • 0 err fnblie i . 1 . I { ti I ' :.€. , 1 I • L Y 1 hc • • a tsk r • ♦ f Lh w.e r ' 4 N • . r i t rr ,i i. yj <: . n . r"+,04;&,,.w..:,-, 1. j �• i .��i+ .1, ion-. (x.;l• ;elk!! is �C t'lJr 4y\y o f ll. ' 11' r t . fe a. . • ''^ y�� {,.�j + f*i .7 �l �N, r.r tc { + S� A55. f .44144 s .j sait, kr,, ',.,4- ., ` f , 1J '2'J..elity�s{y.'�(� 'i tte $o"" 1s ref-f.. rrey r . l',1 Y'p.e Srtt , ''Y•I ' ii � t i-.rat 1►'i -0".t,•ittrkr..MtriY • .k., ,-.P.4•,./ �f.. P-- �irtri.1 S'� '.' 'Al h ; Ff fy {t.T'.�1''- j .Si�Jr:;Pit' 1.7_S1 14:1F Ir +� 6- .'t 1-4 . 4:4' r; • 4:111 IYIDIIAt. ACbfM2EMkfENr c.� . I - 9'FA1'f o/>,✓J •'. tr • A) CT.-Jr' 11r •fit 1 . �r , `� . COOIi17 fIP v. • r .-. ` ''.. .'kyle 2 _ f r •. ' :0 i. lb Jr . . on this're7,of+ �` , 19 before �+c r - me personally.appeared y,.�yy���� y' I p 1101YUi l.AiC�/Or and a... !..i rlw n'�.it rl` a j t gain? $+ ''hie Rif!, to ms known to •c Igo be the person; de'siiribidin and who ezeauted the foregoing lnstru- Went, and aclmawledged that they executed the same as their free act and deed, including the,release and waiver of the right of r4L1' ' 1 homestead, the laid wife having been b7 me fully apprised of,her right and the effect of signing end acknowledging the said I >� instrument, •G My commission expires [gyeti/ 7^f/ /fa% I' t.' r. • f �. I tr ., et ."..,.0,•. ota Public I I' ,`i: t rid 1„::.,,a,74. i S 1 .., . Residing a /ter/--a.. I•,' :a ..e.`^(f4tY.�/ . / / f• i . • ' Y/ { 1 - I `,J l f 1 T .j y. r v . x , ` \R+ 4. ' ,3/4.4,..4.4 x 1\ I1 •••'‘i Ipr� a{e+ Ito YYL4 �� ' x I a i t -1' I f� :.1,:;:,' 1•'t • ' l.... r, .`{1.1‘:::::.41.4^T *\`77 s•p t y+,\ tz1.4 i 1;" '; 'b j: • x ♦ ).1. t c{ A :?. •Xai b+ ..4. 4k. !. " r �.• 't ` Irk 1 • 1 t + t'O'119�, q f %� yte-€!) .t . M , 1alar, :Att.. if Y� .1,4 .�AFtlal 21- 1! (•,,n r e:. i. �d.,, e rr P,tR I/4 3rtl'fr •YYF , �114:,;f:J7j �'Y p 1 it�y1{� / .ti,;7; f4�pj r� 't r. y ,S'" r TV Any Iri'2 •• -• a ! 1 t,#,' rS; r}7� {.!‘ ;''''''-' • ;‘f r t :'(..\'-i ,cit. � .ry if Ar' :',14, f t -4ir •d-,,•,41 `i 't`s' 7 ;}k4YV k.,$•,'..� i<, t.-i r . „ i f„t } J l znr ,l ' If F 1 !.+t; off h . r r ;`J j� r+14'''.���M+ yar'i /�J A 1 . �� t ,ti. • t 3' jYM�x. r', i. t t .t,. 1tx 1) iifr. f i + bj /irll � ��(',1 'i.5 r�I' , Vr J 4.. ?.: ”.--4‘%..h �4 y T.ij, II✓'tS `'{7/ry b r�Jti wa0'r art }�✓+v A rl.+ y,`'t�� , + I �(' r rts J 'y T. 4.14 1y2 I k:.�reak lx f'Pl. f~ Sx,74 Y } 'rx • t ,r l I v I, '.A'f1 °�r f r ' 1,'J, rR -a • trtL y 0`'a,(' .....4„; - I r .: Vr . .+r . i•.l.'t', `' f •. r•s • ,.p.:.:((ra,- 1. ,6,: S..c cl2 --.7"!(;". , J .• .. a -.. , • . • a. '� ,S " f al 1 .. - _ .... . . ..cam. .�.. ... •. • •• is 11438 ,. 237 • v.,5-1-51 .`� is CORPORATE ACK OtILEDOE'.E11T ., r , I;, >1•i i' .l State of km. IORX Oil �•.' }JEST ion ss. ,4e� . 1 County of '''y7�, -•,: On this 8th day of dls►$.—.r _, 19_2 ,, before me, "—— — a Notary Public in a,nd for said Count�in the State aforesaid, I1- personally appeared H. Mobil= , to me personally (mown, and to mo personally known to be the Vire• Fresident of WI LITZ AAMTHlia OOOIIfn OT TEL `� uffLp ODUTL - . and to be the same person whose 50I • e ' name is subscribed to the foregoing instrument, end who, being by ^. me duly sworn,did say that he is the Vice President of said company; that the seal affixed to said instrument is the corporate • seal of said corporation, and that said instrument was signed and - , - snaldd or, behalf of said corporation by authority of Its Board of • Directors; and the said H. Holding acknowledged said • • instrument to be his free and voluntary act and deed, and t-.. Frey •e • and voluntary act and deed of said corporation, by it voluntarily I executed, for the uses specified therein. I I I _ IN WITIJES3 WHEREOF, I have hereunto set my hand and• ; I .. - official seal the day and year above written. -- My Commission expires larch 30, 1 57, • I Rotary Public i ' E , ..p,ty C^F+!' : .a •s Residing at Rims Ceun•v r: t . . _ �' y Inn Milt •I ,Y 1•4.27 hw4.Sloe fr.r.n /•r. Qr o_ - l' Qn M-4 I.%..g•fermi ,..L-M3fSO � • fm al.,Sr. f-rl(-err,nut old. • r . ,:1: p.. 4• flurry*pr..sun S.bet l I K. , . .! 1•'. • l , { • I" 2..' • . 1 - t • . - — —.. ._. .-- - I TTY- I ..9 :',1 .,:.',,,:-.4., ..„1-:',1?',.. C04Y41 .�011111 A YSOYt " St4 ' 11 La 1445 ni, 55 i ,�y �t 1Ny ma m1101etr .ode Wa >♦ehdq at b 17lA. YYMr the ?I ; all C0IOMSD ante 0uNe0WOf l2frria. •pai.awetel.al.wl.wtlash P. Y' ova ntW r or W law.f W SUN at C.l.wt, with its priss1M1 pleas of bust- Nose"' at IAIYr hide+, rwlrn.r refereed to es tao crone.., and IOW N.70i0200 bw1MPl..f "'w;.' tollrtna7 ramie"1. r an ^y�4�. tt7OfP k r 1 lit flIJYIOO CAM d the folietag clod Sae y .M Mitres the . WtiMi • V° ? ° L For W • re.ddamda hafwirfea.ywawd .W I.arer greatwee W Orert..r tee.aatfwm ad .nips,, •• p.w pe pt.wl Mfsewt and 1 rtflbdrly s d aa neestrat it... t111f Lover treacle?Irnlpaop Carl l t.eelrsa .pors t. Menem ale asiataie the Smith Platte Se r Self Cal, ilodid the od po to bet Ilea or or fill. r. war end sorties the fell.riaf described Pared land,• of to Mt. ' 7•trmste of lad herela a.i...ted Inst. T.Ina•P: T� ,r leested la the Mat half w the Pots w.t quarter (h4hhe) antis 3, 150 ':. ( y tww.tlf 1 North. lap 6•Nest of tee. DWI Mncipt Mrtdir. Is �l `:' • if My Carts.Gland•, 514 tracts Isobel son prtirl•rlf a•.rlted `.. w r fellows 1°b . Sty 4V panel of lad landed is the Northwest quarter N of W 1.rtan.t 7eartar (Waking) &stlon f. 7.wwMf 1 North, IOW" ° �;y .:. e M Met or the Sinn Principal*Adis., trini On* prtlaW[lf )0 embed as follows. ;4a 2 MdSIM at Mir 1. ►ing ►.0.3.1. station►72.96.0 in W antra Its. .f the pr.pa. Swath Platte Seppis Canal. Mist also a point in the sat line of said IN,';r1f6 Section 5. whence the .1 Northwest censor of aid Settlon 5 beers With 1•i.• rat 1,168.7 W feet distant; there with the %ret line of paid ma(Nwt Smitten 9, ate l Pert!. islet Y..t )6.6 feet to point 2; thence leaving aid aid trot line. �µ Nert1. x•6r Rat 106.7 feet to point. 7; 1.11.4.3. North 54.1} wt 256.7 feet to Mist 6; thence Seth 111•15. Raft 133.2 font to pint 3; No towns*Ninth rive Wt 111.1 feet to point Si then* With 40•% :w... Wt 65.) That to M Winer. Not lo at 7; Winer. Werth 2r2er Rat 143.6 ra ;: point I; them Perth 13.11+ last 09.4 feet to point 91 theme 30071. ' �.{, 67.01+ tut 3.1 dent to'pit 101 then. North 36.678 Rat 300.1 feet to point 11, being•pit in Use north line of rte M.Ir( Seetlon 5; thence with said north lin.. Swath WO* Noot 30.) Net to pint 12. heist nation 689.99.6 in tin.atrel lion* of the pretend teeth •Platte bawls Cal, Nowt+ the Mthwat envier of said leette 1 f •.� r beers Path 89.63+ Mat 1.031.7 feet distant; thence eantlnotne with f 't said north line. Swath 1763+ Rest 72.1 fist to point 13; tins* �y7 I•oit. rid north list. Swath )6.67• Met )3i.t Net to pit 4; items teeth h Wats 1 byte. Wet 669.Mltnt•tpont lsl ttheir Seth WA. ra feat t.pitted 15; tty j ti.t to `:pi 1p point 17; tin.Swath 77•190 that 154.1 feet to pedal 1St three North.1.17 Mat 163.5 feet to point 11; then•teeth 54'178 Net a; feet to point 701 thew Meth 34•47° Mt 1604 feet to Pet .:;. 21; theses*Nth 37'06 Met 63.3 cwt to plat PS, •point is the neat limo of sail Mae*Slat 3; thorn with odd wet ii.., North i•lft Sat 76.2 foot to plat 1, the pit.f begirds*. ad SataSMM 3.56 acme an or loss, paredopts. le•atd Is W Pet eat ... p .1arlor ts, .w.t Tartar 49i@7.10) tootles S. tawalNp 1 teith. awn.M Sat of the Sixth Mosipel Notdlr. b.im son p.rttalarlf l,• minted as fellows 'mi+T�s bg1atM at pit 1. beim the Nat p.ftor Meat.f sold No.tdon 11 thee*with the wee% lira at aid 7.4006 intim So North `+ 1a1N toot 11.7 fet to point 2; themes Isles said wet nee. Meth soy= . )1a5M Noat 21.6 feet lo pit ). • pint M W lath lin of said y s•yy _ 3 O 30(014 No•tta 3; heron with nil math its. Swath 1.•1.t Mt 11.7 i het eo pit 1. the pat of Moment. r..iet•latwt 0.007 at me I J N sere.non or lea, . x i mid?nets •a•r e.•.ai.lnles•aid of ). )ant... = se.. or len. 1 )y M Mown en the*swine attached heet. .and sees•pert + . i� . 4 hem f. M( • R. . yf1 r tn.g`.+ 'f'it r , t xLh, i5 ,' :,.,,,,,e."- • 't t -.1*;‘V 2 4 '41:',,': JL iG6 rM 4 tJ `:.. I . 1 t t : litt ' loat445 B7 88 a. ?la great at tact area mntelat tail IN iS/1 1 Y akar w.w.said ets.s be thaw. de a.fr•i�t .ea►.epode W i.e . PlatesiiCathytlf C , tso to l.tly -sou - M l•tt�dte. • ite tea. . . 1 ye UYW W, Woolly ware aid Moe she se es so t tatti/Y e.tttsd!.us onontr,stews at trwlri of to at, I ..•,.<. talAty the right to rat myna ittnr•Af Itheatill. as Mil .A _ the..err pat thereof, Atli. when it ass W b n y•. 't gltgor le saga to to to L S.a rlga.tt. IS.are. Is son of ` '.: •1 t.s sa s t.-.sari said w.t i of rig - w title a Salon a heads prated QNte .tall a, then a at -des. �{ 3. le.Orator rearm ttr right to W M envoy sold gtad•a iM M Paton nNt•tat via tta rights a pralLpt ha a CAS a , Mich till wt interfere with oredam.q of the aA of W ...i @ t.t its eenstnmtlw er iertu.a + r i. . ...: • ' ' 1i i l • � a _. c T � cl t at tr•i. ` i s e A'. 6' K 'M,! 4}s R ,. '•t + . -r 'S so . A i;;;;Ip _ t r 7 yT'' aex t �,- ‘ f Y: b N1'f A t' Y ,I yi 1 `' A yy yry • i'Y A S W^�,, I- •.'4,, •J t;i r t•filii1 I y Y 4 re'7n ,,..`` ie^'t', 't ..�— tor WI'' G` t qb, } •I,+i 5. ha agglsta�rWnsttw for W^ Jana grant K.a.art. the tOnlgS 1550. ru} cugERm n am nnct sumac, es t.Pn the Orator w a.f - to 119111131 runAt No--- -..----myton,(S l50.as ). shish anrfdwetan Is full odirstia for all damps which mold be •irk, .aantderW ea anse.eed in as word or realist to a proctioding to OS aeon sold eagran. 0 •c 6. IMO twat . tt ls roe to (5) an tool or stiel FIStS soaves nr q;a to a eetrtadty es to third parti of the data or this d.Mract, Me (t) aye.nt.ttnt rtg.ts-et-vq in favor of the paella or tiled parties per nods. r.tiwsov, te►pini liner, tranantedien lines,ditches. coealta or pipe lions at, ewer or screen sett land, tnl'dtnt ell rt5e.e.or-r f onnt.fees grated the unites States. N.ii,'.� D 11111119a. Mn p.rtfoo hereto has cased this ,aeeaant to be 4.' `: ♦sleeted the der sad roar first.bon written. y II ONTERER COIOM m OO WATER OSMAN= CiaCT 9 W; N t�rp(�� Eat'A.ldsFs. AY , Grunter j t ri (+ -R - Y ` wlrlrwn Q•1C)OIOUuomdt j j ar saaaue ) I ,., j COUNTS Or 1A493 1 • I 1 d tMs.gptry i ,WI, biters no p.san ,amoral ` { LINO loupe to stabs tat person ascribed to W So seseetd the teeealot sari t r ' pt t and salsenLMd is r tat he acutOd the IS • e t,0..:K 4 Mans or hied sod sal the der awl roar last above 1 Y F j dtgd... • OS i; t `_t /J- Hein. 11 11 i n 1 I 1 • B 1236 REC 02183197 06/20/89 11:25 $15.00 1/005 AR2183L97 F 0074 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO THIS COVENANT, made this i6 --day caf J a ri- , 1989, between SHIRLEY E. KOCH and KENNETH E. KOCH of the County of Weld, the parties of the first part, and the CITY OF LAFAYETTE, a Colorado municipal corporation, which address is 1290 South Public Road, Lafayette, Colorado 80026, County of Boulder, the party of the second part; WITNESSETH: That the said parties of the first part, for good and valuable consideration, have sold to the said party of the second part the following described water rights, to wit: 7.0 shares of the preferred capital stock of the Consolidated Lower Boulder Reservoir and Ditch Company and 15.0 shares of the capital stock of the Base Line • Land and Reservoir Company. The parties of the first part acknowledge that. the above- described water rights will be utilized by the City of Lafayette in its municipal water system, and that in order to effect such usage, the water associated with said rights will need to be transferred in an appropriate Water Court proceeding from agricul- tural to municipal purposes. The lands which the parties of the first part presently own, and upon which the water associated with the above-described rights has historically been used for irrigation purposes, can be described as follows: The W 1/2 of Section 5 and the SE 1/4 and the E 1/2 of the NE 1/4 of Section 6, Township 1 North, Range 68 West, 6th P.M. Weld County, Colorado. As an aid to the transfer of the above described water rights to municipal purposes and as an inducement to the party of the second part to purchase the water rights associated with said shares, the parties of the first part hereby agree and covenant that, subject to the following conditions, the portion of the historically irrigated lands described as follows shall not henceforth be irrigated with any surface or subsurface water which is tributary to Boulder Creek, St. Vrain Creek, the South Platte River or any tributaries thereof. • • B 1236 REC 02183197 06/20/89 11:25 $15.00 2/005 F 0075 MARY ANN FEUERSTEIN CLERE 5 RECORDER WELD CO, CO Parcel A All land which lies between the Lower Boulder Ditch as said Ditch presently exists on the ground and the North property boundary of the lands owned by the party of the first part, as more particularly described in a Deed filed in the Office of the Weld County Clerk and Recorder at Book 621, Reception No. 1543109, recording date of February 26, 1970. Parcel B Parcel 8-1 Commencing at the Southwest Corner of the SE 1/4, Section 6, Township 1 North, Range 68 West, 6th P.M. ; thence East on the South Boundary of said Section 1,150 feet to the true point of beginning; thence North 1,400 feet; thence East 1,450 feet to the East Boundary of said Section; thence South on the East Boundary of said Section 1,400 feet to the southwest Corner of said Section; thence west on the South Boundary of said Section 1,450 feet to the true point of beginning. Parcel B-2 • Commencing at a point of beginning on the Southwest Corner of Section 5, Township 1 North, Range 683 West, 6th P.M. ; thence North along the West Boundary of said Section 1,400 feet; thence East 680 feet; thence South 1,400 feet to the South Boundary of said Section; thence West on the South Boundary of said Section 680 feet to the point of beginning. Parcel 8-3 Commencing at a point of beginning on the Southeast Corner of the SW 1/4, Section 5, Township 1 North, Range 68 West, 6th P.M. ; thence North along the East Boundary of said Quarter Section 1,050 feet; thence West 2,070 feet to to the East Boundary of Parcel B-2; thence South 1,050 feet to South Boundary of said Section; thence East on the South Boundary of said Section 2,070 feet to the point of beginning. A plan view of Parcels A, 8-1, B-2 and 8-3 is attached as Figure "1." The parties of the first part further agree that the lands subject to this covenant will not be planted with crops which are capable of extending roots into the underlying groundwater, including, but not necessarily limited to the growing of alfalfa. 2 • • B 1236 REC 02183197 06/20/89 11:25 $15.00 3/005 F 0076 MARY ANN FEUERSTEIN CLERK S RECORDER WELD CO, CO This covenant shall not prohibit the parties of the first part, their heirs, successors and assigns, from irrigating the lands with water rights which have been transferred to the subject property through an appropriate Water Court proceeding, irrigating the lands with water from a well or wells covered by a Court approved Plan for Augmentation, irrigating the lands with water which is not tributary to the South Platte River Basin, or irrigating the lands with treated water supplied by a municipality or a water district. It is expressly understood and agreed by the parties of the first part that the restrictive Dry-Up Covenant set forth herein shall attach to and run with the land and shall be binding not only upon the parties of the first part, but also upon their heirs, successors, assigns and any other persons or entities which acquire an ownership or leasehold interest in all or a portion of the subject property in the future. The benefits of this Covenant shall inure to the party of the second part, its successors and assigns, as well as any vested water right owner or user which is materially injured as a result of a violation of the within described restrictions. Such persons or entities are specifically given the right to enforce these restrictions through any proceeding, at law or in equity, against any persons or entities violating or threatening to violate this Dry-up Covenant. IN WITNESS WHEREOF, the said parties of the first part have hereunto set their hand and seal on the day and year first above written. Shir .ey E. R 9 d' •Ply Kenneth E. Koch 3 • • B 1236 REC 02183197 06/20/89 11:25 515.00 4/005 F 0077 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO STATE OF COLORADO ) ) 5S COUNTY OF BOULDER ) l lithe f ing instrument was acknowledged before me this 6�day or`----?-: , 1989, by Shirley E. Koch and Kenneth E. Koch. WETNESS my hand and offici j11 /seal./ My commission expires: 4 wig' lb(b t llppAf r Notary Public 1 . :•�`�,,.�No=ARC :�': 4 : o.a ••, US\ .UB1.3): O` CO�p, • 4 • B 1236 REC 02183197 06/20/89 11:25 $15.00 5/005 -.,.. • I i•H 1 F 0078 MARY ANN FEO££RSTEIN•C143RE •&••RECORDEEE WBLD CO, CO., W —1 31 32. ) vI 3.3 o ' I f I .,03 )/ l r i J LJ }' / "dam .%, a c�� ���� f _ • • . .;�. � \I ' _ _ T. 2 N. III . Flambe w •9fa ` � .h�wM'a f: , f • )) 1 T. 1 N. BOULDER AND WELD DITCH C n, ( A -f�.�d s \ ; I--: _�{ ..1: , \Y.e.•—... f' r-�'- t / 't ', . J ‘ LOWER BOULDER DITCH •• ! S , - ,- j. ' • A i B-1 I i I. ( r , . P. I .1 : li 0 1 (i( • II f . /1 ,,'�•' I '., ;ERIE AND COAL 74 r-'-.`�.�'(f i I .wee+ 1 (1Et' (/) � . I I h f`I f (//..// ° li °,1 1- J V :1 II: I. 7I. 4L• .., r ' I d : n LEGEND FIGURE 1' it a KOCH FARM BOUNDARIES GENERAL LOCATION MAP N i it NC AFFECTED LANDS KOCH FARM DRY-UP APPROXIMATE SCALE: 1 IN. = 1950 FT. SPRONK WATER ENGINEERS, INC. 15.01.LAF JUNE, 1989 • • •1 Asa .v : • • B 1236 REC 02183198 05/20/89 11 :25 $15.00 1/005 F 0079 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO AR218314B cOVENANT THIS COVENANT, made this /6?-day of .TCtAe.E. , 1989, between SHIRLEY E. KOCH and KENNETH E. K0CH of the County of Weld, the parties of the first part, and the CITY OF LAFAYETPE, a Colorado municipal corporation, which address is 1290 South Public Road, Lafayette, Colorado 80026, County of Boulder, the party of the second part; WITNESSETH: That the said parties of the first part, for good and valuable consideration, have sold to the said party of the second part the following described water rights, to wit: 7.0 shares of the preferred capital stock of the Consolidated Lower Boulder Reservoir and Ditch Company and 15.0 shares of the capital stock of the Base Line • Land and Reservoir Company. Immediately prior to the sale, Sellers owned the following water rights which were used to irrigate portions of the following described lands: 190 shares of the capital stock of the Leyner-Cottonwood Consolidated Ditch Company 25 shares of the capital stock of the Erie and Coal Creek Ditch Company. 9.99 shares of the preferred capital stock of the Lower Boulder Consolidated Ditch Company. 15.0 shares of the capital stock of the Base Line Land and Reservoir Company. The W 1/2 of Section 5 and the SE 1/4 and the E 1/2 of the NE 1/4 of Section 6, Township 1 :North, Range 68 West, 6th P.M. , Weld County, Colorado. The parties of the first part acknowledge that the water - associated with the 7.0 shares of the preferred capital stock of the Consolidated Lower Boulder Reservoir and Ditch Company and the 15.0 shares of the capital stock of the Base Line Land and Reservoir Company purchased by the party of the second part will be utilized by the City of Lafayette in its municipal water system, and that in order to effect such usage, the water associated with • • B 1236 REC 02183198 06/20/89 11 :24 $15.00 2/005 F 0080 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO said rights will need to be transferred in an appropriate Water Court proceeding from agricultural to municipal purposes. As an aid to the transfer of the above described water rights to municipal purposes and as an inducement to the party of the second part to purchase the water rights associated with said shares, the parties of the first part hereby agree and covenant that, subject to the following conditions, future irrigation of the above- described lands will be limited as follows: (a) The portion of the lands owned by the party of the first part described as follows shall not henceforth be irrigated with any surface or subsurface water which is tributary to Boulder Creek, St. Vrain Creek, the South Platte River or any tributaries thereof. Neither shall such lands be planted with crops which are capable of extending roots into the underlying groundwater, including but not necessarily limited to the growing of alfalfa. All land which lies between the Lower Boulder Ditch as said Ditch presently exists on the ground and the North property boundary of the lands owned by the party of the first part, as more particularly described in a Deed filed in the Office of the weld County Clerk and • Recorder at Book 621, Reception No. 1543109, recording date of February 26, 1970. A plan view of the property is attached as Figure "1." (b) Any irrigation of the portion of property owned by the party of the first part which lies South and East of the Lower Boulder Ditch, as said Ditch presently exists on the ground, shall be strictly limited to those water rights above described which were not sold to the party of the first part. A plan view of the property affected by this restriction is attached as Figure "2." This covenant shall not prohibit the parties of the first part, their heirs, successors and assigns, from irrigating the lands with water rights which have been transferred to the subject property through an appropriate Water Court proceeding, irrigating the lands with water from a well or wells covered by a Court approved Plan for Augmentation, irrigating the lands with water which is not tributary to the South Platte River Basin, or irrigating the lands with treated water supplied by a municipality or a water district. It is expressly understood and agreed by the parties of the first part that The restrictive Dry-Up Covenant set forth herein shall attach to and run with the land and shall be binding not only upon the parties of the first part, but also upon their 2 • • 1; 1236 REC 02183198 06/20/89 11:25 $15.00 3/005 F 0081 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO heirs, successors, assigns and any other persons or entities which acquire an ownership or leasehold interest in all or a portion of the subject property in the future. The benefits of this Covenant shall inure to the party of the second part, its successors and assigns, as well as any vested water right owner or user which is materially injured as a result of a violation of the within described restrictions. Such persons or entities are specifically given the right to enforce these restrictions through any proceeding, at law or in equity, against any persons or entities violating or threatening to violate this Dry-up Covenant. IN WITNESS WHEREOF, the said parties of the first part have hereunto set their hand and seal on the day and year first above written. `'`RE��S/pry'•. Shirley E. Roc X14. r d y% ."•••' BIOTA R y`'C • °��,9f=. ... .. 4t Kenneth E. Koch • -FQfi C0.. .° • STATE OF COLORADO ) SS COUNTY OF BOULDER c ) The 'r ig instrument was acknowledged before me this `co day of , 1989, by Shirley E. Koch and Kenneth E. Koch. WITNESS my hand and official seal. My commission expires:�l7�f'j� N t public 3 • w -- _ ' :a, y ,,,Eci, ....._ cc , . P Phyla •• ` T. 91 N. �1 • BOULDER AND WELD DITCH t••••• / I I I i 'ti t1 LOWER BOULDER DITCH 1 % �d' r' ) l4 I, ( Q':1•.,1. �TY]iity7 \I1 � .9 I s�oN / r WO' I /I.r' ry , �/�` �� �•!.• ✓ � ..�• �� ter . a4 ( } 1I; . j 1 Jy �`</•a`�ERtE AND COAL CREEK DITCH I\ �' ''• 4� k,:\ 71 r + ) \ ;\\ ( 5%O� ,`-�.,�lM .. pACIF/C -.e,.. ."9:, y 1 LEGEND FIGURE 1 il um. KOCH FARM BOUNDARIES GENERAL LOCATION MAP N i k I AFFECTED LANDS KOCH FARM DRY-UP APPROXIMATE SCALE: 1 IN. = 1950 FT. SPRONK WATER ENGINEERS, INC. 15.01.LAF JUNE, 1989 B 1236 REC 02183198 06/20/89 $1:2'.5 $15.00+ , .6/005 ; .;, F 0082 MARY ANN FEOERSTEIN CLERK 6 RECORDER WELD CO, C / u .' 31 1,2—k is , 3.3 CD 1 1 r• • r.. \, . ` i 1 >a • T. 2 N. .1 .9l1--1PT.CY.'¢Ya •` , •\_.r M1•NLY,s[ii 40. T. 1 N. a / I BOULDER AND WELD DITCH r. ;' \ •�•,� / . . I �, S , ;,I \ ' LOWER BOULDER DITCH;Lc.9. �`rj� v � i :.s j2y \ ,y, r' ' +, ,ERIE AND COAL CREEK DITCH I , ` \ ( `• / r , .., ..., (i - `/` I • IaI % i 1 _. . i \•\ ?- \ \ . ' ' re-),----- -._422-:"I \ if( 7 .. II • :.1181 1.. LEGEND • FIGURE 2 r KocH FARM BOUNDARIES GENERAL LOCATION MAP N AFFECTED LANDS KOCH FARM DRY-UP . APPROXIMATE SCALE: 1 IN. = 1950 FT. SPRONK WATER ENGINEERS, INC. • 15.01.LAF JUNE, 1989 ip B 1236 REC 02183198 06/20/89 11425 $15:.00 9/0.05:::y F 0083 MARY ANN FEUERSTEIN CLERK 6 RECORDER WELD CO, CO . Ai224U9315 • 2409395 B-1461 P-891 10/03/94 05:11P PG 1 OF 4 2O 00 Doe Mary Ann Feuerstein Weld Co., Clerk & Recorder DOCUMENT NO. 94-289 SURFACE OWNER'S AGREEMENT THIS AGREEMENT, made and entered into this 3rd day of AUGUST, 1994, by and between EUGENE E. GODINHO AND DIANA E.GODINHO,JOINT TENANTS(hereinafter for convenience called the "Landowner") and UNION PACIFIC RESOURCES COMPANY (hereinafter for convenience called "UPRC"); WITNESSUTH• RECITALS: Landowner is the owner of the following-described premises, hereinafter referred to as "described premise?: Township 1 North. Range 68 West Section 5: S/2NW/4, N/2NW/4, being Lot B of Corrected Recorded Exemption No. 1467-05-2-RE 1517 Weld County, Colorado SUBJECT, however, to exceptions and reservations of minerals and rights of entry and of surfa40 use contained in a certain deed or deeds of conveyance,as follows: Warranty Deed No. 393 dated May 9, 1900 from the Union Pacific Railroad Company to William Hurley,recorded • July 17,1900 in Book 178 at Page 401 in the office of the County Clerk and Recorder of Weld County, Colorado. UPRC is successor in interest to all the right, title and interest of Union Pacific Railroad Company in and to the oil, gas and associated liquid hydrocarbons in said premf{es for a term or period equal to or exceeding the term of this Surface Owner's Agrebinent. UPRC proposes for UPRC or its agents,lessees, licensees,successors or assigns to prospect upon and explore the described premises for the development and production of oil, gas and associated liquid hydrocarbon substances either on UPRC's behalf or under or pursuant to an oil and gas lease or license,or under or pursuant to a"unitization agreement", meaning here and wherever that term is used herein any operating agreement,or any other agreement covering the exploration or development for or the production of oil, gas or associated liquid hydrocarbons, or ant pooling,communitization,unit or other agreement whereby the described premises may be included with other lands in proximity thereto as a unit area under a plan of unit or joint exploration, development and operation. Besides confirming the surface uses expressly set forth below, this agreement is intended to avoid and resolve any and all disputes of whatever nature in connection with the ownership of gas and aswiated liquid hydrocarbon substances in the described premises, including righ0 to extract, remove or market such minerals,and including any such dispute that may arise hereafter, whether or not the basis for such dispute is now known or has been identified in disputes involving exceptions and reservations of minerals in other deeds from Union Pacific Railroad Company or its predecessors. AGREEMENT: NOW, THEREFORE, it is agreed as follows: Section 1. In consideration of the mutual benefits and other good and valuable • consideration, Landowner hereby confirms, extends and grants to UPRC, its agents, lesseesi licensees, successors and assigns, including any operator or unit operator from time to time in charge of operations under a unitization agreement, and their respective successors and assigns, ciejAi 1 D E flOra o 2409395 8-1461 P-891 10/03/94 05:1W PG 2 OF 4 • the easements and rights to enter upon the described premises and any lands adjacent or contiguous thereto owned or claimed by the Landowner and to extract, remove, store, transport, and market for its or their account oil, gas and associated liquid hydrocarbon substances in or from said described premises, and to drill, construct, maintain and use upon, within, and over said described premises all oil wells, gas wells, derricks, machinery, tanks, drips, boilers, engines, pipelines, power and telephone lines, roadways, water wells, and, without limitation by reason of the foregoing enumeration, any and all other structures, equipment, fixtures, 11� appurtenancesi or facilities(all of the above being included under the term"facilities")necessary p n prospecting and developing for,producing,storing,transporting,and marketing oil,gas and associated liquid hydrocarbon substances under or produced from any portion of the described premises or under or produced from any portion of the unit area created under a unitization agreement, together with the right to remove said facilities and the right to use such water as may be needed from the described premises, not including water from landowner's wells. Section 2. UPRC agrees, so long as it is receiving oil and/or gas production from or oil and/or gas royalties upon production from the described premises or allocated thereto under the provisions of a unitization agreement, to pay or cause to be paid to the landowner in cash the value (which shall never be greater than the amount realized by UPRC from the sale of such production) on the premises of two and one-half percent (2-1/2%) of all the oil and gas and associated liquid hydrocarbons hereafter produced, saved, and marketed therefrom or allocated thereto as aforesaid, except oil and gas and associated liquid hydrocarbons used in operations on the premises or used under the unitization agreement, and except that as to casinghead gasoline and other products manufactured from gas there shall be deducted the cost of manufacture; provided, however, that during any time the described premises or any portion thereof are included within the boundaries of a participating,pooled,or communitized area,and there is no provision for the payment of royalties to UPRC but it participates in the production from the pooled,communitized,or unit area as a working interest owner, then the two and one- half percent(2-1/2%)above set forth shall be applied to that percentage of the total production A from such area which is allocated to the described premises. Any payment made to the Landowner pursuant to this Section 2 for production which is sold or which is used off the premises shall be calculated after deducting all taxes, now or hereafter levied against, paid on, or measured by production or the value thereof, and after deducting all costs incurred or borne by UPRC for treating the production to make it merchantable, and for gathering, transporting and compressing the production prior to delivery to the purchaser at the point of sale or use. When production of oil from lands under several surface ownerships is commingled in one central tank setting for practical operating reasons, periodic individual well tests may be made to compute the quantities of commingled oil properly allocable to each well, and the two and one-half percent (2-1/2%) payment provided herein shall be payable upon the quantities apportioned to each well as reported to UPRC in full satisfaction of the obligations of UPRC under this Section 2. Section 3. Nothing herein contained shall be construed as a covenant to drill by UPRC, its agents, lessees, licensees, successors, or assigns, or by any operator or unit operator, or as a grant to Landowner of oil or gas rights or rights in other associated liquid hydrocarbons. Section 4. UPRC, its agents, lessees, licensees, successors and assigns, including the operator or unit operator under a unitization agreement, shall be required: (a) to pay for all damage to Landowner's lands, buildings, and growing crops caused by the erection or construction of facilities to be used in connection with oil or gas or associated liquid hydrocarbon operations; (b) to bury all pipelines below plow depth where such lines cross cultivated land;and(c)to construct gates or, at its option,install cattle guards where necessary for crossing fenced land in connection with exploration,development, or producing operations and, where an election has been made to construct gates in lieu of cattle guards, to keep such gates in repair and closed. In no event shall the amount of damages exceed the value (as determined by the use of the land at the time the damages are sustained) of that portion of the Landowner's lands actually used by UPRC,its agents,lessees,licensees, successors or assigns, �— • for the location of its facilities. D )et 2 S m Section 5. Other than the payments to be made as aforesaid, the Landowner shall not • be entitled to any other or additional payments as a result of the conduct of the operations described in Section 1 hereof, and Landowner will claim no right, title or interest in or to the oil, gas and associated liquid hydrocarbon substances in the described premises. Section 6. Subject to the provisions of Section 8 hereof, it is agreed that the covenants to pay the sums provided in Sections 2 and 4 hereof shall be covenants running with the surface ownership of the described premises and shall not be held or transferred separately therefrom, and any sums payable under this agreement shall be paid to the person or persons owning the surface of the described premises as of the date the oil or gas or associated liquid hydrocarbon production is marketed. UPRC shall not, however, become obligated to make such payments to any subsequent purchaser of the described premises and shall continue to make such payments to the Landowner until the first day of the month following the receipt by UPRC of notice of change of ownership, consisting of the original or certified copies of the instrument or instruments constituting a complete chain of title from the Landowner to the party claiming such ownership, and then only as to payments thereafter made. Section 7. The easements, rights, and uses herein shall be binding upon the described premises and each and every part thereof,and the present and future owners thereof, and shall continue for the benefit of UPRC and its successors and assigns, as owners of the oil and/or gas and/or associated liquid hydrocarbon rights in the described premises and each and every part thereof, and their agents, lessees, licensees, successors, and assigns, including any operator or unit operator,and for the benefit of other lands within any unit area within which the described premises, or any portion thereof may be included, and each and every part thereof. Section 8. This agreement shall be in full force and effect from and after execution and delivery and shall continue in full force and effect for a period of one (1) year and so long thereafter as the oil and gas rights in the described premises are committed to an oil and gas lease or license or to a unitization agreement, or so long as a well capable of producing oil or gas or associated liquid hydrocarbons is located upon the described premises, or drilling or • reworking operations are being conducted thereon,and,upon termination of such lease,license, or unitization agreement, or upon abandonment of such well,or upon cessation of such drilling or reworking operations, whichever last occurs, this agreement shall terminate; provided, however,that such termination shall neither affect nor terminate the rights,expressed or implied, in the deed or deeds referred to in the Recitals hereof. Section 9. Subject to the provisions of Sections 6 and 8 hereof, this agreement shall inure to the benefit of and be binding upon the parties hereto and their respective heirs, executors, administrators, successors, and assigns. IN WITNESS WHEREOF, the parties hereto have executed this agreement this 3 ! day of A,..5 u st" , 1994, to be effective as of the day and year first above written. UNIONPPAAA/CIIFIC RESOURCES COMPANY By: '' AyI�i l/� ((// Attorney-in-Fact U �^ > 1, 0�CV)...a_i pi oat E ENE E. GODINHO DIANA E. GODINHO 561--R3 -?362 S.93- Csi 9130 Social Security Number Social Security Number 2409395 B-1461 P-891 10/03/94 05:11P PG 3 OF 4 • • State q(COLORADO ) ss.{ Countt of aftitlibe ) 4G�amf Oh this /I/ day of Jp( /en.71. v , 1994, before me personally appeared EUGENE E. GODINHO and DIA A E. GODINHO,his wife, to me known to be the persons described in and who executed the foregoing instrument, and ac wledged that they executed the same as their free act and deed. qa� � Sok LC,Yn(//C/l ,,9n4/tai Gal Notary Public My Commission Expires: 4261/197 State of Texas ) ss. County of Tarrant ) The foregoing instrument was acknowledged before me this )j�day of 1994, by ELLY BARNES as an Attorney-in-Fact of UNION PACIFIC OURCES COMPANY, a Delaware corporation, on behalf the corporation. 1 ((yy��yy' ONI2y Public • '°, CATHY J.MAYO Newsy Fa* STATE OF TOGS • 1M Comm tamales 2409395 B-1461 P-891 10/03/94 05:11P PG 4 OF 4 • 4 IIII 1111111!11111111111111111111111 III 11111 IIII I11! 22303 09127/2004 11:668 Weld County, CO of 6 R 31.00 D 0.00 Steve Moreno Clerk 8 Recorder 9j TERMINATION OF SURFACE OWNER'S AGREEMENT THIS TERMINATION OF SURFACE OWNER'S AGREEMENT ("Agreement") is made and entered into this 31st day of August, 2004, by and among ANADARKO E&P COMPANY LP, formerly known as Union Pacific Resources Company ("Anadarko E&P"), ANADARKO LAND CORP., formerly known as Union Pacific Land Resources Corporation ("Anadarko Land"), and HIGHLAND ACQUISITION GROUP, L.L.C. ("Surface Owner"). A. Surface Owner owns or has the option to purchase the surface estate for approximately 54 acres of property located in Weld County, Colorado, in the N/2NW/4 of Section 5, Township 1 North, Range 68 West, which is hereinafter referred to as the "Property" and specifically described in Exhibit A. B. Union Pacific Resources Company and Eugene E. and Diana E. Godinho entered into a Surface Owner's Agreement dated August 3, 1994 and recorded October 3, 1994 in Book 1461, Page 891 in the Office of the Clerk and Recorder of Weld County (the"Surface Owner's Agreement"). C. Pursuant to that certain Surface Use Agreement (so called herein) dated • August 31,2004, among Anadarko F&P, Anadarko Land,and Surface Owner and others, Anadarko E&P, Anadarko Land and Surface Owner have agreed to terminate the Surface Owner's Agreement. D. This Agreement may be executed in counterparts, each of which shall be deemed an original. NOW THEREFORE, in consideration of the covenants and mutual promises set forth in this Agreement and the Surface Use Agreement, including in the recitals, the parties agree that the Surface Owner's Agreement is terminated and of no further force and effect, effective as of the earlier date of either i)November 30, 2004; or ii) the date that Surface Owner sells,assigns or otherwise transfers all or any portion of the Property. • 1111MMM 111111111111111M ItMM 11111111 EEE 11111 UUNN NIII -"303 09/27/2004 11:66A Weld County, CO of 6 R 31.00 D 0.00 Steve Moreno Clerk&Recorder HIGHLAND ACQUISITION GROUP, ANADARKO E&P COMPANY LP L.L.C. By: By: Name: Name: Its: Its: ANADARKO LAND CORP. By: Name: Its: ACKNOWLEDGMENTS • STATE OF TEXAS ) ss. COUNTY OF MONTGOMERY ) The foregoing instrument was acknowledged before me this day of , 2004,by as for ANADARKO FR'P COMPANY LP. My Commission expires: Witness my hand and official seal. Notary Public • 2 IIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIII 3 11:66A Weld County, CO of 6 1163/12.7002":11.011 Steve Moreno Clerk 8 Recorder HIGHLAND ACQUISITION GROUP, ANADARKO E&P COMPANY LP L.L.C. By: By: Name: Name: Its: Its: ant and Attomey in-Fact ANADARKO LAND CORP. By: 4Name: Its: Anent and Attomey-M-Fad • ACKNOWLEDGMENTS STATE OF TEXAS ) ) ss. COUNTY OF MONTGOMERY ) The foregoing instrument was acknowledged before me this / day of 3 p mbu- ,2004,by_Tango L nuoror✓tb _as uti-r A+hi nu1-,n•End- for ANADARKO E&P COMPANY LP. My Commission expires: Tgnuaru 1,d Witness my!hand and official seal. 4_team .0 "'° - Public ANGELA MICHELLE GILBREATH y� - Janu:' -MY CO7SSIONE%P1RES \;?yary].P006 • 2 41111 HIM"1111111111111111111111111 IIIII IIII IIII 2303 09!27!2004 11:6511 Weld County, CO f 6 R 31.00 0 0.00 Steve Moreno Clerk a Recorder STATE OF TEXAS ) ss. COUNTY OF MONTGOMERY ) The foregoing instrument was acknowledged before me this j day of ryl(yr,r- , 2004,by turn L /l one emb as k rnl" r Allvrnrr Pad- for ANADARKO LAND CORP. My Commission expires: f nnunnl 1 d�b Witness my hand and official seal. 7r/i1n $2clltt)g.16ic4P Notz y Public (p,�-'�'' ANGELA MICHELLE 04BfEATH MY COMMISSION EXPIRES ,p, January 7.2006 • STATE OF COLORADO ) ss. COUNTY OF _ ) The foregoing instrument was acknowledged before me this day of ,2004 by as for HIGHLAND ACQUISITION GROUP, L.L.C. My Commission expires: Witness my hand and official seal. Notary Public • 3 VIII 11111VIII11110�11111U11111111IIIVIII101III 22303 09/27/2004 11:56A Weld County, CO of 6 R 31.00 D 0.00 Steve Moreno Clerk&Recorder STATE OF TEXAS ) ss. COUNTY OF MONTGOMERY ) The foregoing instrument was acknowledged before me this day of ,2004,by_ as for ANADARKO LAND CORP. My Commission expires: Witness my hand and official seal. Notary Public • STATE OF COLORADO ) ss. COUNTY OF Deny.,,- t The foregoing instrument was acknowledged before me this 27i day of H u ,5{' _. 2004 by Roboci M• eu l>lcu _as rfor HIGHLAND ACQUISITION GROUP,L.L.C. My Commission expires: f-2-to -as— Witness my hand and official seal. LAUREL ZABEL / NOTARY PUBLIC dli�µ.P [ STATE OF COLORADO Notary Public 1�R_ 28.NUJ • 3 j111111111111111111111111111111111111!1 III OHM IIII 303 09127/2004 11:56A Weld County, CO f 5 R 31.00 0 0.00 Steve Moreno Clerk&Recorder EXHIBIT A to Termination of Surface Owner's Agreement dated August 31,2004 between and among Anadarko E&P Company LP,Anadarko Land Corp. and Highland Acquisition Group,L.I,.C. Legal Description Lot B of Recorded Exemption No. 1467-05-2-RE3105, being part of the North one-half of the Northwest one-quarter of Section 5,Township 1 North,Range 68 West Weld County,Colorado 411 • 4 2467785 B-1522 P-743 12/15/95 04:31P PG 1 OP 2 FRC DOC Weld County CO Clerk & Recorder • RIGHT-OP-WAY AGREEMENT 11.00 ARZ77A5 FOR AND IN CONSIDERATION of the sum of Ten Dollars and other valuable consideration,($10.00 and more)to the undersigned in hand paid,the receipt whereof is hereby acknowledged, Eueene E.Godinho and Diana E.Godinho having an address al 13750 Huron Street:Broomfield.CO 80020 hereinafter called "Grantors does hereby grant to VESSELS GAS PROCESSING,INC.,a Colorado Corporation of 1050 Seventeenth Street,Suite 2000,Denver,Colorado 80265,its successors and assigns,hereinafter called'Grantee', the right and easement to lay,construct,reconstruct,replace,repair,maintain,operate,change the size of,add and remove pipelines and appurtenances thereof,for the transportation of oil,petroleum,gas,other hydrocarbon substances,.or any thereof,as Grantee from time to time may elect,with the continuing tight of ingress and egress to and from the same,over,through,under or along that certain parcel.of land which Grantor warrants that Grantor is the surface owner of,situated in Weld County,State of Colorado and described as follows,to- wit: Township 1 North.Ranee 68 West,6th F.M Section 5: A thirty-foot wide strip of land,the centerline of which is described as follows: Beginning at a point in the NW/4 of Section 5, said point bearing South 37°50'East. 1125.0'from the Northwest corner of said Section 5,thence North 26°28'East,96.0 feet to a point, thence South 81'35'East 326..9'to a point,thence South 80°3'East, 886.9'to■point,thence South 77°48'East 750.4 feet,more or less to the north-south centerline of said Section S.The length of said pipeline being approximately 124.86 rods. Grantor reserves the right to use and enjoy said premises,provided that Grantor shall not construct or maintain the whole or any part of any structure on said strip of land,or in any manner impair or interfere with the present or prospective exercise of any of the rights herein granted. Where said land is under cultivation,said pipelines shall be laid so that the tops thereof are at least thirty-six inches(36')beneath the surface of the ground. • The Grantee and its employees and agents,at any and all present times when necessary,shall have free access to the facilities constructed hereunder,over such reasonable route as Grantor may designate or approve,for the purpose of exercising the rights hereby granted. Grantee shall have the right at any time to terminate any portion or all of the rights hereby granted by giving Grantor fifteen(15)days'notice in writing of its intention to do so. In the event of termination of this Contract,Grantee shall,at its own risk and expense,remove all property placed by or for Grantee upon said lands,and restore said premises as nearly as possible to the same state and condition they were in prior to any construction hereunder,all within sixty(60)days after such termination. Unless the surface owner agrees, Grantee shall have no right to remove the pipeline upon abandonment. The consideration paid to Grantor by Grantee shall be deemed to include,as liquidated damages,all injury or damage to Grantor's crops,fences or other installations which may be caused by Grantee in connection with all operations herein contemplated upon the identified strip of land. If Grantee re-eaters the above described property at a later date,for repair or replacement of pipeline,reasonable and just damages will be negotiated at that time. Grantee hereby agrees to hold the Grantor(.)harmless for any damages to other parties'buried installations incurred by Grantee's operations subject hereto. This contract shall be effective upon execution. The provisions hereof shall to the assigns.b�t of and be binding upon the parties hereto,their respective heirs,executors,administrators,administrators, a and , 199±. IN WITNESS WHEREOF,this Agreement is executed this 94.1 day of bi,. P Au Eu H.Godinho £ f r> 2 • Diana E.Godinho 2467785 8-1522 P-743 12/15/95 04:31P PG 2 OF 2 • STATE OP l,�/JJ 0%ra lll n ) )ss. COUNTY OF ,(ia run e r ) n t4 The foregoing instrument was acknowledged before me this y - day of , 199 5,6y �izma e. 9` & y11Q [.ck (Yod1//AP . 044 Witness my hand and seal this 7 ' day of ,I99-g . Notary Public:_ My commission expires: /tiff 97 '+ 4 %4O14 ) 0 LlC in • • 0 Received: 4/ 3/01 11 :25AM; 623 545 7447 -> SWISS RE DENVER; Page ts Sent by: DEL WEBB SUN CITY GRAND 623 546 7447; 04/03/01 10:19AM;Jaari_#307;Page 8/6 7 RIGHT-OF-WAY GRANT HIGHLAND ACQUISTFION GROUP, LLC, GRANTOR (whether one or more), whose address is 6177 South Carson St, Englewood, Colorado,80111, in consideration of One thousand Six hundred and Seventy-Five Dollars($1675.00) and other valuable consideration,receipt of which is hereby acknowledged,grant and convey unto UNITED POWER,INC.,GRANTEE. whose address is 18551 East 160th Avenue,Brighton,Colorado 80601,its successors and assigns,a right-of-way and easement to construct operate, maintain. replace, enlarge, reconstruct, improve, inspect, repair and remove electric facilities for the purpose of distribution of electricity and appurtenances thereto,as may from tune to time be useful to,or required by Grantee, on,under,and across the following-described property in the County of Weld,Stale of Colorado.to-wit; The east 10 feet of the west 50 feet of the south 1673.94 fret of the Northwest quarter(NW Y.)of Section 5, TIN,R68W,of the 6a PM,Weld County,Colorado. Those facilities will be above ground and/or underground and may include,but not be limited to,poles,cables,conduits,wire, conductors,transformers,manholes and supports of whatever materials,including braces,guides,and other Entries or devices used or useful in connection therewith. The right and authority of grantee hereunder may be exercised by its successors,assigns,licensees, contractors, and permittees. Grantor reserves the right to occupy,use,and landscape said easement for all purposes not inconsistent with the rights granted to Granite so long as said use does not damage or interfere with the Grantee's facilities or due maintenance,repair and replacement thereof. Grantor shall install no structures or facilities of any kind on,over,under,or across said easement without the written approval of Grantee. Grantee shall pay Grantor for any damages to fences, crops, landscaping and personal property caused by the commute*and maintenance of Grantee's facilities. Upon completion-of coretmction, Grantee shall restore the surface of Grantor's property in the same condition as practicable thatexisted prior ro construction. • . SIGNED AND SEALED SY.ORANTOR.this 3 day of Abe ti. ,,20 0/ . O TOR I111111111111111111111NEIIilll111111111lull1111III1 HIG ANDA«U13 GROUP,LL �`� 2855377 06/0712001 01:32P JA Sukt Tlsulmmoro n 1 of 1 R 5.00 0 0.00 Weld County CO T1T 2—Ck1111-- AA,-re— STATE OF COLORADO ) ��►/�s nn )ss /'v COUNTY OF vyrH-s--) ++++jjjj /^ n The foregoing instrument was acknowledged be, re Rte this.. day,of C6�14L , 20 CI , by ..a9lia•+ak�ntQba3rr,a/rvux$UI.r.w. /If. i-rWkP wITNESS my hand and official seal � J • Notarybhc e n n eapiree, ,r/r)-41.4.1 Address: iZ? Il bens-, 10 ` • RAMS '/ W1O Location_. County %,Section Section ,Township= ,Range •6"P.M. A2 tO w !NI 1,5 < .bbiy .ti a 3 i _ --g$21 a l' a' II Q wF [ iRf vs.gil 6 ` - ' Y '. og. Q';ate Yi rli _ t. 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S a IN 3,a., E l E-l$ @e15$ �40 E 3 o:W I g_ t `�:Cet *� �"` ,- .s vi :E8Ra8 I ti Eill I 1 ; 48 I I� x;wEu �! tj : Y !fit; .ga Y IT 4 ii :a I. o K.- gin l • Z �� ie=- :p">�3. ,bits - € e * >! s ' P 3 3 r tlbt a 4w qc d Z a g vg &2 � 3 LOL (a)L6'L9cI--3-K.OL.OON r b W c l i g e, 14- v 13 J� man (0)L6's9a 14442-2 67G T o (/ r`,- VS1EK �W Egp EE 41 ` e .. g, x Y 21NY�i"`, g • ors e3e YN3 Q W5E 'ES � w h '^ F ill b ¢₹Eg{ME�}ipl Y!: Ili z ill 0 U^ - o. g EE yyyy �We� F Lu ..y1Y!sYiv EEl$�.j 3 H o CC v + ci.b!.`b':WY«;!Dien V ! n (��ct m cam♦l,rw PM ♦Z a O• o ' (lraflYll0llr O N ,r 47'Mu7us3 • 'Qf } SSIi�Y Z-• 11 < alsca _ r. r € �-}rE p � a,--. 4� zW s' v� U $ \vii c U4 O • m Z Z I >V = : 5.11 WW o LA H, '<2 J2 \W I n F-^4 I I !C xWmr P Nb e <id ,'II S EfZRc, is l aW F- o S��a 7 <,,3 y' Ili eY 0 y I r 2SE � 1 ��� a I of L ';�--- �``c ill � E�3���$�W� rEa`pW�R- ��.�.tW�~3��le�;i,g,�b ! i i � ° r.iqiig5y i9r f l l ; 4 {.i !�pilll o O I v bp 7{ : f Lcl�� �gE YYg $W 1; @�J it es W4. -]Y,�Q_kp���ll �1_ftrY4ys U ' wR T I t I,' Pk-MOMS iiie ! L;r` 3 6 =k.L M.Iii sw '3 ll <4. .4ii ig gt.i!ii.!44 flg!e lig-hiii ON figglitf,- i C 13,i c o i % a YQ I bqqq ; aa _ 6q#r ----------------- - 68r58-{�-s 4.1 ��ttf8 fib 3 t' d bi iii ili Eki .� - -- - - W, 0i 88 r4' 06.09►1--M.194ZJ05 M.1►.02.105 8 i :4 8 _ YI :;fel EWg4 ..yyiS _, £ C4 b6 V �' $ c odoa A1Nf00 013M ii #i%;14sig a g" �vi I i f:4 Itil i4 till $t W4YYt o�S o ,,Q ��`n wak"-Y 14.1124rEQ nk ! br i 1 It n g : a 0 Vii# „O. 1 rya m$ r NW a r _ Wig! _ #� = WwWR3i451 b •=p� _ T S 1 s .. FF —: ₹ a'�` ,�� g— - • I______ N. -- 3 e e e hC.xit $110I 1 i 'i 4 b o K.XBRW VIgi #W ..n 45213 acts e :. 0.sans, bf n. 11111111111 IIII 1011111111111111111111111 11 i11 21111 3125639 11/12/2003 02:12P Weld County, CO 1 of 3 R 16.00 D 0.00 Steve Moreno Clerk&Recorder Ilronrincr'g MEMORANDUM DOMESTIC WATER SERVICE T' ': DOCUMENT was FOUND 70 f3E IN,1DHIUATE FOR LINE EASEMENT(the "Easement") SCANNING PURPOSES. 639 KNOW ALL MEN BY THESE PRESENTS, that Highland Acquisition Group, LLC (referred to in this Easement as Grantor), in consideration of$1.00 and other good and valuable consideration paid by Wendell Wilts (referred to in this Easement as Grantee), the receipt and sufficiency of which is hereby acknowledged,does hereby grant,bargain, sell,transfer, and convey to Grantee,his successors, agents and assigns, a non-exclusive and perpetual easement with the right to erect, construct, install, and lay and thereafter use, operate, inspect, repair, maintain, enlarge, replace, and remove a water service pipeline in, over, and across the following described real property owned by Grantor in part of the north one-half of the northwest one-quarter of Section 5, Township 1 North, Range 68 West of the 6f°P.M.,Weld County,State of Colorado: Lot B,Recorded Exemption No. 1467-05-2-RE3105; together with the right of ingress and egress over Grantor's adjacent real property for the purposes for which the above mentioned rights are granted. The easement hereby granted shall be 20.00 feet in width,the centerline of which shall be the centerline of the pipeline which shall be installed. • NOTE: The centerline of the pipeline runs generally in a southwesterly direction from the south right-of-way line of Highway 52, approximately 12 feet east of the access road to the ENCANA Energy Resources, Inc. Brown C#2, 5-3, 5-5 facilities, until it reaches the south side of said facilities. From there, it runs approximately due south to the property line of said parcel. Attached is Exhibit#1 which provides a general location map of the easement. Grantee agrees to maintain such Easement in a state of good repair and efficiency so that no unreasonable damages to Grantor's premises will result from its use. Grantor reserves the right to utilize its property in any lawful manner provided that such usage does not interfere with the rights and privileges conferred herein. The consideration recited in this Easement shall constitute payment in full for all damages sustained by Grantor by reason of the installation of the facilities and structures referred to in this Easement. Page 1 of 2 • 1111111111111111 111111111111 I 11111111111111111111111111 3125839 11/12/2003 02:12P Weld County, CO •2 or 3 R 16.00 D 0.00 Steve Moreno Clerk 8 Recorder The foregoing agreement, together with other provisions of this Easement, shall constitute a covenant running with the land for the benefit of the Grantee,his successors, agents and assigns. The Grantor covenants that Grantor is the owner of the above described real property and that said real property is free and clear of all encumbrances and liens. IN WITNESS WHERE% Grantor has ex ed this Domestic Water Service Line Easement this M — day of /2C ,2003. Highland Acquisition Group,LLC Robert M. B thaup, :na_ r STATE OF COLORADO ) )SS COUNTY OF• ) The foregoing Domesti Water Service Line Easement was acknowledged before me this J9G day of , 2003 by Robert M. Bulthaup as Manager of Highland Acquisition Group,LLC. Witness my hand and official seal. / My commission expires: 2/214 7 Notary Public r DONNA 8. \ REED _cs r �.... .Co`.. Va tiktMlps Page 2 of 2 • +T20M : RgERO ENV Sxs FAX NO. : 9Midtytr,.i May. 30 2003 10:53Y1 P2 • N l r. ROAD S �`. /.a..,:::---------1) C.f�11.1/'T1 4 p AGM} at' 1 P49. 3iNv ' < 11:I >,� F41 3 9 1. Pala sea 4 p sR 0 z:4a , nog i ali) lal g I It-twatS is pplia ;_ — TIVer� 1� `� Egli. I _ „one _: ' ��_ S- $ 1 Iif,a{J �\ VC ,1 1 1 II \II,1\\„‘"Vs.m. -Atti..„. • - ••%..,,. %,- '----....,........ ii._... - p . I 1 1 \ \ \ ` " \ \ \ \ \ \ \` _,.\ • .1\ �1�_, I e •\t` \ \\ \• \ ` \ • ��!`_�_-_ 1.' iCR 9 1 4 `\� .-fir 1.. - t•,,\ %"` ` ` 1 . _7, _ _ ;.-ay:. NI iiii . ....,,,, , ,,-5.. , 1\ .,r ;- .- C tag ____ii •�_ %jam \ II ilk�'i I R AS It —,—, O,..irt 4' ill I .....:_-_„..,-:.- eft, :- .O __fa—, iir. _ - - ` r - _" _. t %O 1- I °+ • �� Nei-,[!.' i - --_,! _ -E a S . i t... I � t I - W� T AMnbnlri -- - IIIlllll1IliHiltIIIIIIII 111111 VIII It 1111111 VIII II 3125639 11/1212003 02:12P Weld County, CO 3 of 3 R 16.00 D 0.00 Steve Moreno Clerk& Recorder • 1I11111IIl8 llii11111111111DII�i1111111III1111111111111 1 of 9 R 46.00 0,00 Steve Moreno Clerk 5 Recorder SUBDIVISION/MULTH'LE TAP PURCHASE AGREEMENT 1. PARTIES. The parties to this Agreement are the LEFT HAND WATER DISTRICT,a title 32 Special 518 District, ("District")and Highland Acquisition Group,LLC("Applicant"). 2. RECITALS AND PURPOSE. The Applicant is the owner of certain property to be developed,as described herein. The District is a special district organized under Colorado law which provides treated water service to its customers for which monthly service charges are made. The Applicant desires to purchase water taps for the development project.The purpose of this Agreement is to set forth the terms and conditions concerning the District's supplying such domestic water service to the proposed project. Accordingly, the parties agree to the following provisions in consideration of the mutual covenants set forth herein. 3. TERM OF AGREEMENT. This Agreement shall become effective upon execution by the parties and shall continue in full force and effect thereafter until terminated either as provided herein or in paragraph 6.3 In the event that the Applicant fails to obtain all applicable and required land use approvals of the Project within 180 days of execution of the Subdivision Agreement,the Agreement shall expire and all obligations herein including,without limitation,the District's commitment to sell such single family equivalencies as indicated in the Agreement shall automatically terminate. 4. LEGAL DESCRIPTION OF PROJECT.For purposes of this Agreement,the term"Project"shall mean the property described on Exhibit A which is attached and incorporated herein,and which is known as the Highland Farms Subdivision, Weld County,Colorado. The Applicant agrees to furnish a reproducible copy of the preliminary plat to the District and said plat is expressly incorporated in this Agreement. Any change or alteration • in the area, size, shape, density, usages, requirements, tap equivalents needed, or timing of development of the subdivision which may affect the number of tap equivalents required for the project or the method or manner of the provision of water to or within the project shall first require the written approval of the District. 5. TAPS NEEDED FOR PROJECT COMPLETION. For purposes of this Agreement,the term"tap"shall mean that size of a connection to one of the District's treated water distribution lines and which is utilized and designed for a single family or its equivalency pursuant to the District's rules and regulations. The total number of single family equivalent("SFE")taps for the project will be 9 . Applicant requests and agrees to purchase,and District commits to sell, 9 SFE taps pursuant to this Agreement. 6. TAP PURCHASE. 6.1 Within 10 days of final plat approval,the Applicant will tender to the District a check in the amount of $51,636.00 representing: a.. $24,336.00 for pre-payment of 40%of the current plant investment fee component of the total SFE tap fee charged by the District for 9 SFE taps,with a deferral of the other components of the tap fees,including transfer of the raw water units required by this Agreement,until anticipated activation of the tap. b. $4,800.00 for 100%of the Fire Hydrant Fund Fee of$ 1,200.00 per fire hydrant for each of the 4 hydrants to be installed,as shown on the approved plans. c. $22,500.00 for 100%of the line participation fee of$2.500.00 per tap for the reimbursement to the District and/or third party or parties which paid for the construction costs of the main line(s) extension(s)which will service the project. • I EI 11111 illl 111111 IIII III!!1111111 III 11111 IIII IIII • 3128518 11/20/2003 02:49P Weld County,CO 2 of 9 R 46.00 D 0.00 Steve Moreno Clerk&Recorder 6.2 Applicant agrees to complete the purchase of the 9 committed taps by payment of the remaining components of the then applicable tap fee,excluding the raw water component,in accordance with the following schedule,provided that any taps purchased in full in any given year in excess of the minimum specified below shall be credited to the following year's minimum: 2 taps in year 1 2 taps in year 2 2 taps in year 3 2 taps in year 4 ] taps in year 5 6.3 In the event that the Applicant fails to complete the purchase of the minimum number of taps in each year specified above,or fails to complete the purchase of all 9 taps within 5 years of payment of fee in accordance with 116.,6., the District shall retain the 40%deposit and the raw water shares/units transferred hereunder as liquidated damages and the obligation of the District to provide further taps shall be terminated. The undersigned acknowledges that by extending this Agreement, the District has agreed to commit a definite portion of the total capacity of its system to the Applicant and therefore must look to the Applicant for performance of its obligations to purchase the committed taps in order for the District to meet its financial • obligations. 6.4 In the event of an intended increase in the tap fee charges(excluding the raw water component) District agrees to give notice of the proposed increase to the Applicant at least 30 days in advance of the effective date of such increase. 6.5 Upon completion of the improvements,the Applicant shall give District 90 days advance notice of its intention to physically connect the development to the District's lines and facilities to effectuate the raw water transfers. Applicant shall,before any such connection is made,transfer the raw water and pay the balance of any amounts due and owing for such tap fees, including without limitation, the raw water component (if water is not transferred to District)and other components of the tap fee,in accordance with the District's then applicable fee schedule. 7. RAW WATER TRANSFER 7.1 As a condition of activation of the purchased taps,Applicant shall transfer 1325 units/shares of C-BT water for each tap purchased. The cash value of any excess units transferred to meet this requirement shall be applied or credited to the balance of the remaining tap fees due and owing. The raw water to be transferred shall consist of 11.925 units/shares as may be adjusted pursuant to District regulations. In the event that raw water is not transferred to the District upon execution of this Agreement,Applicant must obtain said units and effectuate the transfer of the raw water prior to r:XIL1SUBOIVlSSUBOVAG 021389wnun.Bu:haW WPD • 2 111111 III IIII1111111 MI IIIII11!1111 III 11111IIII II II • 3128618 11/20/2003 02:49P Weld County, CO 3 of 9 R 4.00 D 0.00 Steve Moreno Clerk b Recorder activation of the taps. In the event that Applicant can not obtain the required raw water on the open market,the Applicant may,at the discretion of the District's Board and for good cause shown,make a cash payment in lieu of the transfer of raw water,in such an amount as the District may determine to be necessary to obtain raw water including administrative costs, transfer fees and other related costs,or in accordance with its then existing policies,rules and regulations. 7.2 Applicant shall give District 90 days advance notice of its intention to physically connect such taps to the District's lines and facilities to provide the District with sufficient time to effectuate the raw water transfers,if needed. Applicant shall,before any such connection is made,transfer the raw water and pay the balance of any amounts due and owing for such tap fees, including without limitation,the fee in lieu of raw water component(if water is not transferred to District)and all other components of the tap fee,in accordance with the District's then applicable fee schedule. 7.3 The failure of Applicant to complete the raw water transfer,or to pay the cash amount in lieu thereof as set forth in paragraphs 7.1 and 7.2,or to pay the remaining components of the tap fees for the total number of taps specified in paragraph 5, on or before the fifth anniversary of the initial payment to the District of the plant investment fee component of the tap fee,shall constitute a default. Upon such default any sums paid hereunder by Applicant shall be retained by District as liquidated damages for such default. It is understood and agreed by Applicant that the purpose of this requirement for completion of the purchase of all taps within a five year period is based upon the financial requirements of the District to fund its capital construction needs. The District, by this Agreement,has committed a definite portion of the total capacity of its system to the Applicant and, • therefore,must look to the Applicant for performance of its obligations in order that the District may meet its capital construction and operating expenses. If there is a default by Applicant,District may recommit such taps to other applicants without further notice to Applicant. 8. DESIGN SPECIFICATIONS. It is agreed,as a condition precedent to service,that all water lines and appurtenant facilities required to provide water service within the boundaries of Applicant's project as described on Exhibit A and all necessary transmission lines, connecting lines and appurtenant facilities necessary to connect with the lines of the District as presently engineered and installed,shall be installed at Applicant's sole cost and expense and shall be in accordance with the current edition of the District's Standards and Specifications.. Applicant agrees that the actual installation and construction shall be subject to the general,as opposed to specific, supervision of,and inspection by,the District and all related costs of the District's engineering study,review,approval and inspection(including the District's cost and expenses of obtaining necessary easements if public rights-of-way are not available or if available, not feasible to utilize)shall be at the cost of Applicant. Applicant further agrees to give the District,through the District's Engineer,adequate notice,prior to commencement of construction,of the date when such construction shall begin. 9. EASEMENTS. Applicant shall furnish, at Applicant's expense, all easements, rights-of-way, and consents both within the project(if public utility easements are not dedicated by the plat)and without the project,if required. Such easements,rights-of-way and consents shall be provided prior to commencement of construction.Those easements lying outside of the project and which may be required for the construction F.vmmsueaV S\SUAavnc azuos..,.ion Burthaup WPO • 3 1111111111111111Mtnilll1111111111111111111• 1111{III 4 of 9 R 46.00 0 0.00 Steve Moreno Clerk&Rewrdd County. Ca er of any portion of the water lines and appurtenant facilities which may be needed to service the project (excluding public rights of way),and as determined by the District in its sole discretion,shall be obtained by District but at Applicant's expense. All such costs and expenses of easement acquisition shall be paid by Applicant to District as a condition precedent to service to the project. 10. WATER SERVICE. 10.1 The Applicant acknowledges that District is responsible only for making domestic water available to the project's individual taps at such pressure as may be available at the point of delivery as a result of the District's normal operation of its water system. The District may temporarily disconnect the flow of water in the main or at the individual points of delivery in order to repair, maintain, test, improve, or replace the main or other portions of the District's water distribution, storage and or supply system. 10.2 Applicant covenants and agrees that it will not make any warranties or representations to any home builder, contractor, developer, landscaping contractor, home owner, lessee,tenant, property owner,or any other person or entity,regarding the District's water system's capabilities,pressure,or flows. 11. SALE OF LINES. Upon completion,approval and acceptance of the work by the District through the issuance of the District's certificate of acceptance,this Agreement shall operate as a sale,conveyance,transfer and assignment by the Applicant of all Applicant's interest and ownership in said lines to the District,free and • clear of all liens and encumbrances,and shall warrant that the work has been done in accordance with the laws of the State of Colorado,and all other governmental subdivisions,agencies and units and in accordance with the design standards and requirements of the District. Applicant shall guarantee the lines as installed against faulty workmanship and materials to the District for a period of two years from conveyance and shall, during said period,pay all cost and expense of repair or replacement of said lines and,at the request of the District,furnish a bond guaranteeing said repair and replacement. Upon completion,approval,acceptance, conveyance and transfer of lines and facilities to the District, the District shall assume all responsibility thereafter,and all cost and expense for operation and maintenance except as to the above two-year guarantee. Completion of construction,inspection,approval and acceptance by the District,transfer of lines and facilities to the District,payment of all construction costs and expenses required to be done and paid by the Applicant are conditions precedent to the obligation of the District to furnish and provide water service to the project. 12. OVERSIZE LINES. In the event Applicant shall be required to pay for installation of transmission and connecting lines outside the boundaries of Applicant's subdivision,and District requires that such lines and facilities be oversized to permit the use of those lines by the District to serve additional lands and property in addition to the property of the Applicant,District agrees to establish the cost of such over sizing and to reduce this cost to a "cost per tap" based upon the engineered capacity of the lines and the system which such over sizing can serve. District and Applicant shall enter into a Line Participation Agreement which shall provide, as a minimum, that the District will impose a surcharge upon future users of the oversized line,said surcharge to be calculated on a per tap basis utilizing District's engineering estimate as to the line's total capacity. During a period of seven years from and after the date of the Line Participation F VOMNSUBOIV1SSUBDIVAG 02lflewson estew WPD • 4 1 1 1101111111111111!1111111111111111111 I I 11111111111111 • 3128518 11120/2003 02:49P Weld County, CD 5 of 9 R 48.00 D 0.00 Slave Moreno Clerk&Recorder Agreement,but not thereafter,the District will collect and pay to Applicant the collected line surcharges to reimburse Applicant for its additional costs in paying for the over sizing of the line. 13. DISTRICT REGULATIONS. All service provided under this Agreement shall be subject to the monthly service charges and all bylaws,rules and regulations of the District which may be in force from time to time. 14. GOVERNMENTAL REGULATIONS. All provisions of this Agreement to the contrary notwithstanding,the obligation of the District to furnish water service under this Agreement, is limited by, and subject to all orders,requirements and limitations which may be imposed by federal,state,county or any governmental or regulatory body or agency having jurisdiction and control over the District and/or the operation of its domestic water system and treatment facilities. 15. DOCUMENTS TO BE FURNISHED. Upon execution of this Agreement,or at such time or times as may be requested by District,Applicant agrees to furnish District the following: 15.1 A topographical survey of the property described in this Agreement;and 15.2 Final Subdivision plat approved by appropriate regulatory boards, commissions, or agencies, together with requirements and conditions fixed by such entities for development and evidence of the Applicant's compliance or plan for compliance;and 15.3 In the event the initial area to be served under this Agreement is not the entire project to be • developed by Applicant and the remainder is being planned as a phased development,Applicant shall furnish sketch plans,preliminary plats and/or plans as developed by the Applicant with reference to the future total development of the entire property. It is understood and agreed that a request for information as to future plans and developments of the Applicant(and the consideration of such plans by the District in connection with its obligation to service Applicant's above-described land under this Agreement) shall not be construed as an agreement or obligation of District to serve such other lands,additional lands,or areas proposed by the Applicant for such future development beyond that provided in existing written commitments. All information required to be furnished to District by Applicant shall be provided at Applicant's expense. 15.4 Recorded plats and drawings of the development,including a mylarmap and AutoCAD diskette file certified by Applicant's engineer, depicting all lines, valves, fittings and appurtenances as constructed,installed,and transferred pursuant to Paragraph 11 above. 16. DELAYS. Any delays in,or failure of,performance by any party of his or its obligations under this Agreement shall be excused if such delays or failure are a result of acts of God and nature, fires, floods, strikes, labor disputes, accidents, regulations or orders of civil or military authorities, restrictions or limitations contained in any initiative approved by the voters,shortages of labor materials,or other causes, similar or dissimilar, which are beyond the control of such party, including any governmental orders, directives,requirements or limitations described above. F;VOMISUBDMS\SUBDEVAC 021303,ension.BulMup WPO • 5 ID I NMI III►HMI!IIII Weld ►►►In I►►►Intl 6 of 9 ft 46.00 D 0.00 Steve Moreno Clerk 8 Recorder 17. PARAGRAPH CAPTIONS. The captions of the paragraphs are set forth only for convenience and reference,and are not intended in any way to define,limit,or describe the scope or intent of the Agreement. 18. ADDITIONAL DOCUMENTS OR ACTION. The parties agree to execute any additional documents and to take any additional action necessary to carry out this Agreement. 19. INTEGRATION AND AMENDMENT;PRIOR AGREEMENTS.This Agreement represents the entire agreement between the parties and there are no oral or collateral agreements or understandings. This Agreement may be amended only by an instrument in writing signed by the parties. The Applicant shall reimburse the District for any expenses incurred by the District in connection with any amendment of this Agreement requested by the Applicant. If any provision of this Agreement is held invalid or unenforceable, no other provision shall be affected by such holding,and all of the remaining provisions of this Agreement shall continue in full force and effect. 20. ALTERNATIVE DISPUTE RESOLUTION. In the event of any dispute or claim arising under or related to this Agreement,the parties shall use their best efforts to settle such dispute or claim through good faith negotiations with each other. If such dispute or claim is not settled through negotiations within 30 days after the earliest date on which one party notifies the other party in writing of its desire to attempt to resolve such dispute or claim through negotiations, then the parties agree to attempt in good faith to settle such dispute or claim by mediation conducted under the auspices of the Judicial • Arbiter Group (JAG) of Denver, Colorado or, if JAG is no longer in existence, or if the parties agree otherwise, then under the auspices of a recognized established mediation service within the State of Colorado. Such mediation shall be conducted within 60 days following either party's written request therefor. If such dispute or claim is not settled through mediation,then either party may initiate a civil action in the District Court for Boulder County. 21. ASSIGNMENT. If Applicant is not in default hereunder, Applicant may assign this Agreement without the prior consent of the District,provided said assignment is in writing and further provided that the assignment is made in conjunction with a transfer of all or substantially all of the property described herein. No assignment shall,however, be effective upon the District unless and until the District receives written notice or copy of the assignment. 22. BINDING EFFECT. This Agreement shall inure to the benefit of,and be binding upon,the parties, and their respective legal representative, successors, and assigns; provided,however,that nothing in this paragraph shall be construed to permit the assignment of the Agreement except as otherwise specifically authorized herein. ,, DATED: N6V) 13 ,t3 F:IXIMZUBClNS511BONAG 021]Ule,ielon BJNM'o WPD • 6 • 111111111111 I I I 1111111 I I I 111111 NMI III 1111111111111 3128518 11/20/2003 02:49P Weld County,CO 7 of 9 R 48.00 D 0.00 Steve Moreno Clerk&Recorder LEFT HAND WATER DIST B : President P.O. Box 201,Niwot,CO 80544 ATTEST: Secretary • STATE OF COLORADO ) )ss COUNTY OF BOULDER) The foregoing instrument was acknowledged before me this '3291 day of Alateljatt 20Q3, by ?fl O-rz gatralt as President and S,Dii 2.. 00112< as Secretary of the Left Hand Water District. Witness my hand and official seal. 4/20/06 My commission expires: pri ten;; t / Q • Notary Public FIXIMSUBDIV6\SUBDIVAG o'i �b.laupY+T°[Y• / • 7 • 11111111111 IIII 1111111 IIII 111111111111 III 11111 IIII IIII 3128518 11120/2003 02:49P Weld County, CO 8 of 9 R 46.00 0 0.00 Steve Moreno Clerk&Recorder the/8w0 de Qv/4'O-0,J 14," LLG Applicant By: /Wektril, ottinkI -t STATE OF COLORADO ) ) ss COUNTY OF BOULDER ) /�— ` - • The 1�9qrgggoin$in drum t w knowledged before me this d day of €th5L �. 2(103 by Ko6 —t'1 � � Witness my hand and official seal. 4/20/06 My commission expires: 11 ),\ N22e_jeLent • Notary Public F\QMSUBDIVISVSUBDIVAG 03,308/evLscii BueNup wPD • 8 111111111111 III!1111111 Illl 111111111111 III 11111{III liii • 3128518 11/20/2003 02:49P Weld County, CO 9 of 9 R 46.00 0 0.00 Steve Moreno Clerk 8 Recorder • EXHIBIT A Legal Description of Highland Farms PUD Lot B of RE-3105 located in the N }4 of the NW 14, Section 5, TIN, R68W, 6'"P.M., County of Weld, State of Colorado. • Apr 16 04 03:06p 1 r 111111111111111111111111 11111111• ll11011111 j3176602 06/04120M 12:06P Weld County, CO 1 of 3 R 16.00 0 0.00 Steve Moreno Clerk&Recorder AGREEMENT • TIIIS AGREEMENT, made and entered into this (-I/� day of J��` 2004, by and between Highland Acquisition Group, LLC, a Colorado limi liability company, hereinafter referred to as"Highland"and Frank E.Wright and Loretta R.Wright,as joint tenants,hereinafter referred to as"Wrights". In consideration of the sale and purchase of real property by the Wrights front Highland, and the promises and consideration as set forth in this Agreement,the parties hereto agree to as follows: 1. (A) Highland is the owner of that real property described as Lot B of Recorded Exemption No. 14G7-05-2-RE3105#+County of Weld, State of Colorado,herein referred to as"Parcel 2". (B) Wrights arc the owners of that real property described as Amended Recorded Exemption No. 1467-05-2-AMRE-3381, County of Weld, State of Colorado,herein referred to as"Parcel I". 2. (A) Highland shall install an eight inch water line and a four inch gas hoe under and across Parcel 2 owned by highland to the Nora o ndary t the time of line of Parcel t owned by Wrights at the point designated by Wrights utility installation for the proposed subdivision of Parcel 2. Once the water line and gas lines have been installed,Highland shall grant a permanent,non- • exclusive easement sufficient to provide for the existence, maintenance and repair of said water and gas lines across Parcel 2, said easement to be binding upon both properties set forth herein and the owners thereof, their respective heirs,successors and assigns. (B) If the proposed subdivision of Parcel 2 is not approved by the County of Weld,State of Colorado,or if Highland does not, for any reason,complete the proposed subdivision,and the Wrights elect to install the water, sewer and gas lines across Parcel 2, they shall be allowed to do so. In such event, Highland shall pay Wrighis the total cost of the installation of said water,sewer and gas lines across Parcel 2 at such time as Highland sells Parcel 2 to a third party or when Highland further develops or improves Parcel 2, whichever shall first occur. 3. Highland agrees to grant Wrights, or their successors and assigns, upon request by Wrights, an easement for electric and telephone lines to cross Parcel 2 owned by Highland, so long as the location of said easrment for e with electric prop alacurrentld yh in e lines does not processwith the County of Weld. tate of Colorado. subdivision 4. Highland agrees to grant Wrights, or their successors and assigns. a non- exclusive access easement for ingress and egress across Parcel 2 owned by ** North 1/2 of NW 1/4 S5 TIN R6SW ,4,k_ \44.S /Via.k Go N370 gp)Clnw 12a4 141-2°C) Apr 16 04 03: 06p p' c 111111111111111111111111111II11III111111111111111111Ii1 • 3176602 0l 3 R 16.00 D 0.00 Steve Moreno Clerk 8 Recorder Highland,so long as the location of said easement for ingress and egress does not interfere with Highland's subdivision proposal currently in process with the County of Weld,State of Colorado. 5. Highland shall grant a utility easement across the Eastern portion of Parcel 2 in a width as shall be reasonably necessary to accommodate a loop of the Left Hand Water District waterline if required by Left Hand Water District, the County of Weld or the Wrights, or their successors or assigns. In the event the waterline loop is required as a condition of the granting of the subdivision request of Highland for Parcel 2, Highland shall agree to pay its share of the cost of the installation of said waterline to complete the loop for Left Hand Water District. 6. The agreements contained herein shall be binding upon the real properties as set forth and described herein and the owners thereof, their heirs, successors and assigns and the terms,covenants and conditions set forth herein shall run with the land on each parcel of real property herein described, 7. This Agreement may be specifically enforced by the Wrights against Highland,its successors and assigns,and in the event of any action required to be taken by Wrights in order to enforce the terms,covenants and conditions of this Agreement, the Wrights shall be entitled to recover their costs and reasonable attorney's fees against Highland, its successors and assigns as a result of any such enforcement action. • IN WITNESS WHEREOF,the parties hereto have executed this Agreement as of the day and year rust written above. Highland Acquisition Group,LLC, a Colorado limited liability company By: 'lio rt M.Bulthaup,Manag 0 Rpr 16 04 03:06p Coe' ••••.! .T r • 1111111 Iilil 11111 liii{111111111111 IIIII III IIIII li{I Ii11 z 3176602 05/0412004 12:06P Weld County, C s�. 3 of 3 R 16.00 D 0.00 Steve Moreno Clerk&Recorder y ••.,.,,,,M,,..Q �OF coo P STATE OF COLORADO) ErIlr fAnmtissar Expires 11-184y t-18 0� COUNTY OF.WEL-D ) /41--A19,4-1/O The foregoing instrument was acknowledged before me this / er g- day of 2/ L , 2004, by Robert M. Bulthaup as manager of Highland Acquisition Group,LLC,a Colorado limited liability company. Witness my hand and official seat ov Y My commission Expires: I /�/rF CAP! C--- Notary Public ' (dand14 A„,; (74__ Frank E.Wright retta . Wright STATE OF COLORADO) COUNTY OF WELD ) . foregoing instrument was acknowledged before me this a?(a771 day of 2004,by Frank E. Wright and Loretta R. Wright. Witness my hand and official I. My commission Expires: /�0 naµMN%* Notary Public =N• PUBLkO:of OFOOp "%e • 'II�IIIII 1111111111 �'I"II l�Ipl�l III 11111 II I I"I RECORDER'S MEMORANDUM 2302 09/27/2004 11:55A Weld County CO THIS DOCUMENT WAS FOUND of 20 R 101.00 00.00 Steve Moreno C 3E INADEQUATE FOR Clerk& Recorder `:tfdlNG PURPOSES. .. SURFACE USE AGREEMENT THIS SURFACE USE AGREEMENT ("Agreement") is made and entered into this 31g day of August, 2004, by and among ANADARKO E&P COMPANY LP ("Anadarko R&P"), formerly known as Union Pacific Resources Company, and ANADARKO LAND CORP. ("Anadarko Land"), formerly known as Union Pacific Land Resources Corporation (together the "Anadarko Entities"), both with an address of Post Office Box 1330, Houston, Texas 77251-1330; ENCANA ENERGY RESOURCES INC. ("EnCana") with an address of 950 Seventeenth Street, Suite 2600, Denver, Colorado 80202 (the Anadarko Entities and EnCana are sometimes referred to hereinafter together as the "Oil Companies") and HIGHLAND ACQUISITION GROUP, L.L.C. ("Surface Owner") with an address of 6297 South Potomac Way, Centennial, Colorado 80111. A. Surface Owner owns or has the option to purchase the surface estate for approximately 54 acres of property located in Weld County, Colorado, in the N/2NW/4 of Section 5, Township 1 North, Range 68 West, which is hereinafter referred to as the "Property" and specifically described in Exhibit 1. B. Surface Owner proposes to develop the surface estate as a residential • subdivision. C. The Anadarko Entities own all of the minerals that underlie the Property. D. Anadarko Land owns all of the minerals other than the oil, gas and associated liquid hydrocarbons that underlie the Property, as well as a reversionary interest in the oil, gas and associated liquid hydrocarbons, and Anadarko E&P and Anadarko Land together own all of the oil, gas and associated liquid hydrocarbons. E. Anadarko EST or a predecessor company has granted an oil and gas lease for the Property, interests in which have been assigned to EnCana. EnCana operates two producing oil and gas wells on the Property which are generally located in the NE/4NW/4 and identified as the Brown 5-3 and in the NW/4NW/4 and identified as the Brown C Unit#2 (together the"Existing Wells"). F. EnCana and Surface Owner have entered into a surface damages agreement that applies to the SE/4NW/4 of Section 5 and is dated October 2, 2003 ("EnCana Agreement"); this surface use agreement supplements the EnCana Agreement and supercedes it to the extent that it conflicts with the EnCana Agreement and covers additional matters and additional or other lands. G. This Agreement provides for and is limited to the compatible development of the surface estate and the oil and gas estate for the Property; it does not in any respect apply to the minerals other than the oil, gas and associated liquid hydrocarbons that are • I 011,11111111111111111111111111111111111111111111 IIIIIIII 2302 09127/2004 11:56A Weld County, CO of 20 R 101.00 0 0.00 Steve Moreno Clerk A Recorder owned by Anadarko Land and which are the subject of a separate agreement between Surface Owner and Anadarko Land. NOW THEREFORE, in consideration of the covenants and mutual promises set forth in this Agreement,including in the recitals,the panics agree as follows: 1. Oil and Gas Operations Areas. a. The Oil Companies shall drill and operate oil and/or gas wells and locate future oil and/or gas wells only in the two areas depicted on Exhibit 2 as the Oil and Gas Operations Areas where the two Existing Wells are presently located. Uses within the Oil and Gas Operations Areas include, but are not limited to, drilling, completion, and maintenance of wells and equipment, production operations, workovers, well recompletions and deepenings, fracturing,twinning, the drilling of replacement wells and the location of associated oil and gas production and drilling equipment and facilities and also the location and drilling of oil and gas wells that are directionally or horizontally drilled to bottomhole locations outside the Property. b. The Oil and Gas Operations Areas shall include the geographic areas and dimensions that are depicted on Exhibit 2. • c. The Oil Companies shall continue to have the right to drill more than one well with attendant facilities within each of the Oil and Gas Operations Areas and to deepen, recomplete or twin any well that is drilled, as well as to drill directional and horizontal wells that produce from and drain the Property or lands other than the Property. d. The Oil Companies shall locate, build, repair and maintain tanks, separators, dehydrators, compressors and all other associated oil and gas drilling and production equipment and facilities only within the Oil and Gas Operations Areas. The parties all understand and acknowledge that the Oil and Gas Operations Area in the west location is presently the site of associated oil and gas production equipment, including a common tank battery. e. Surface Owner shall not plat any surface property line within the Oil and Gas Operations Areas. No temporary or permanent building, structure, or other improvement shall be constructed or installed by Surface Owner within the Oil and Gas Operations Areas or within the fifty (50) foot setback from the Oil and Gas Operations Area in the east portion of the Property as depicted on Exhibit 2. The Oil and Gas Operations Areas shall be for the exclusive use of oil and gas drilling and production operations. f Except for the pipeline and flowline easements, access and the Oil and Gas Operations Areas identified in this Agreement, the Oil Companies shall not use the surface of the Property except in cases of emergencies. • OIII11110111111111 111111111111111111111111111!IIII 302 09/27/2004 11:56AWeld County, CD 20 R 101.00 D 0.00 Steve Moreno Clerk& Recorder 2. Access to the Oil and Gas Operations Areas. a. Access to each of the Oil and Gas Operations Areas shall be along the routes depicted on Exhibit 2. b. Access to an Oil and Gas Operations Area may be changed by mutual agreement of the Surface Owner and the operator(s) of the well(s) for which the arress is used; provided however, all costs and expenses of such relocations shall be borne by the party which requests the relocation. c. Surface Owner shall keep the portions of access roads jointly used by both Surface Owner and its subdivision occupants and the Oil Companies in good condition and repair until such roads are dedicated to the local jurisdiction; provided, however, if one of the Oil Companies causes damage to a portion of a road that is jointly used by both the Oil Companies and Surface Owner or its subdivision occupants and which is constructed to the specifications in section 2.e.(1), the Oil Companies agree to promptly repair any damage which they cause which is a direct result of their use of the road. d. No party shall unreasonably interfere with the use by the other of an • access road. e. Construction and Width of Access Roads. (1) Access roads or portions of access roads that are jointly used by the Oil Companies and Surface Owner shall be thirty (30) feet or more in width, and Surface Owner shall construct or improve all paved or improved joint access roads so as to withstand the weight of oilfield equipment. Specifically, Surface Owner shall construct the roads so that they can be used to withstand the weight of 104,000 pounds and 26,000 pounds per axle. (2) Access roads or portions of access roads that are used exclusively by the Oil Companies shall be thirty (30) feet or more in width, and the Oil Companies shall install and maintain them to those state and local standards that apply to oil and gas operations. 3. Pipelines,Flowlines and Pipeline Easements. a. Pipeline easements shall be at the locations identified. on Exhibit 2, and pipelines shall be installed at depths of approximately thirty six (36) inches below the surface of the ground. b. Locations of pipelines and pipeline easements may be changed by mutual • 3 1111 IIIII IIIII 111111111111 II 11111111 III 11111 IIII IIII 2302 09/27/2004 11:56A Weld County, CO of 20 R 101.00 D 0.00 Steve Moreno Clerk A Recorder agreement of the applicable parties; provided, however, all costs and expenses of such relocations shall be borne by the party which requests the relocation. In the event that Surface Owner requests the relocation of a pipeline or flowline, the applicable oil company shall provide Surface Owner with a written estimate of the relocation costs which Surface Owner shall thereafter promptly remit to the oil company. The payment shall be adjusted up or down upon completion of the work and after an itemized statement is provided to Surface Owner. Surface Owner shall, in addition, pay EnCana all costs and expenses that EnCana incurs to encase its pipelines and flowlines to the extent that such pipelines and flowlines underlie Highland Lane or any other road either in advance of or at the time that Surface Owner commences construction of Highland Lane and/or such other road at the place where the EnCana pipelines and flowlines intersect with Highland Lane or such other road. c. Pipeline easements shall be fifty (50) feet in width during construction activities and thirty (30) feet in width for all operations, maintenance and transportation activities. Flowline easements shall be thirty(30)feet in width for all operations. EnCana is currently the grantee or assignee of the grantee of that certain recorded easement dated August 9, 1995 and recorded on December 15, 1995 in the Weld County Clerk and Recorder's Office in Book 1522, Page 743, at Reception No. 2467785 that crosses the Property. • d. Surface Owner shall be entitled to reserve the right to cross the pipeline easements at approximately right angles, and Surface Owner shall also have the right to install and maintain access to such easements for utility lines, including those for water, gas, sewer, electric, telephone, cable, television and fiber optic and other pipelines that travel along, but not within, the pipeline easements provided for herein; provided, however; i) any new underground facilities which travel along a pipeline easement identified herein shall be located a distance horizontally of at least ten (10) feet from parallel existing pipelines; ii) any new underground facilities shall have at least twenty- four(24) inches of vertical clearance between such new facility and a pipeline provided for herein; and iii) any overhead power lines shall be at least twenty (20) feet above the ground. e. Surface Owner shall grant the pipeline easements (for production from the Property and/or other lands) to the applicable oil and gas interest owners at the time the Oil Companies request them and at no cost to them. f. Surface Owner shall maintain a minimum ground cover of 36 inches and not more than 72 inches over pipelines and flowlines in the conduct of its operations and its construction activities on the Property. 4. Subdivision Plat. Surface Owner shall identify the Oil and Gas Operations Areas and all access and pipeline easements on its subdivision plats and in all applications for development that it files with a local jurisdiction, and the plats shall include restrictions • 4 am10111111111111111111111111111111111 I I 1111111111 I I I 2302 09/27/2004 11:66A Weld County, CO of 20 R 101,00 D 0.00 Steve Moreno Clerk& Recorder that no property lines, and no temporary or permanent buildings, structures, or other improvements shall be located,constructed or installed within the Oil and Gas Operations Areas. Surface Owner shall record the subdivision plat in the Office of the Clerk and Recorder of Weld County and provide written evidence to the Oil Companies within fifteen(15)days of recording. 5. Waiver of Surface Damage Payments. Surface Owner hereby waives all surface damage payments pursuant to any Colorado Oil and Gas Conservation Commission ("COGCC") rule or regulation or local regulation, state statute, common law or prior agreement for each and every well and related wellsite that is drilled within an Oil and Gas Operations Area and for each production facility and access and pipeline easement. The Oil Companies or their lessees or their assignees may provide a copy of this Agreement to the COGCC or to any local jurisdiction, person or entity or any court of law as evidence of this waiver. 6. Waiver of Setbacks and Other Requirements. Surface Owner understands and acknowledges that the COGCC has rules and regulations that apply to the distance between a wellhead and public roads, production facilities, building units and surface property lines, among other things. Surface Owner hereby waives all setback requirements in COGCC Rule 603, or any successor rule or amendment to the COGCC setback rules, and to any other state or local setback requirements, or other requirements • or regulations,that are or become inconsistent with this Agreement or that would prohibit or interfere with the rights of the Oil Companies or their lessees and assignees to explore for and produce the oil and gas in accordance with this Agreement. Surface Owner understands, and shall notify parties who purchase all or portions of the Property from Surface Owner, that the Oil Companies may cite the waiver in this section 6 in order to obtain a location requirement exception or variance under COGCC rules or from a local jurisdiction. 7. Governmental Proceedings. a. Surface Owner Will Not Object. Surface Owner agrees that it will not object in any forum to the use by the Oil Companies of the surface of the Property consistent with this Agreement and hereby waives any such right to object. Surface Owner further agrees that it will provide such other written approvals and waivers which are reasonably requested by the Oil Companies and consistent with this Agreement, including, but not limited to, all approvals and waivers to drill a well or to conduct oil and gas operations on the Property because of any law or regulation, including any local ordinance and regulations of the COGCC, and including, for example, waivers to state and local setback requirements and to any setback requirements from a surface property line or for an exception location. b. Oil Companies Will Not Object. The Oil Companies agree that they will not object in any forum to a request by Surface Owner to annex, zone, rezone, plat or • 5 _1111 11111111111111111111111111111111 III 11111 IIH 1111 2302 09127/2004 11:a Weld County, CO 6 of 20 R 101.00 D 0.00 Steve Moreno Clerk a Recorder replat all or any portion of the Property to the extent such request is consistent with this Agreement. 8. Notices of Hearings. Surface Owner shall provide the Oil Companies with written notice not less than thirty(30)days before each hearing for consideration of a plat application or other land use application for the Property or portions of the Property that is to be held before the County or other local jurisdiction. 9. Notice to Homeowners and Builders. Surface Owner shall furnish all builders and developers which purchase all or any portion of the Property and each person or entity who proposes to enter into a contract to purchase a lot which is adjacent to, or any part of which is within, 350 feet from an Oil and Gas Operations Area or a pipeline easement, with a plat that shows the locations of the Oil and Gas Operations Areas, access routes, and pipeline easements. In addition, Surface Owner shall provide written notice to all such purchasers that includes the following: a. they are not purchasing and will not own any rights in the oil, gas and mineral estate in and to the Property; b. there may be ongoing oil and gas operations and production on the surface of the Property within the Oil and Gas Operations Areas, pipeline • easements and access routes; c. there are likely to be wells drilled and oil and gas production facilities constructed and installed within the Oil and Gas Operations Areas and Bowlines and pipelines constructed and maintained on the Property; d. heavy equipment will be used by the Oil Companies from time to time for oil and gas drilling and production operations and such operations may be conducted on a 24-hour basis;and e. homeowner associations and buyers of individual lots or homes will be subject to and burdened by all of the covenants and waivers made by Surface Owner in this Agreement, including, but not limited to those covenants and waivers; i) prohibiting the location of any building, structure, or other improvement within the Oil and Gas Operations Areas; ii) waiving objections to the drilling of wells, the construction of facilities, and the conduct of oil and gas operations on the Property consistent with this Agreement; and iii) waiving objections to the setback requirements under the rules of the COGCC or any local jurisdiction. 10. Notice of Oil and Gas Operations. The Oil Companies shall provide Surface Owner with notice of drilling operations and subsequent well operations in accordance with COGCC rules and regulations. • 6 ,[II11II 1111111111111111111111 1111111111 NI 11011111 Illl 7 of X20 2 R 101000 P o 000 Steve004 11:56A Weld County, Clerk h Recorder 11. Impact Mitigation. a. Oil Company Mitigation. The Oil Companies agree that they shall install and maintain at their sole cost and expense such fences, gates and locks around the wells and production facilities as are required by the COGCC. Surface Owner may upgrade fences, gates and locks at its expense and with the consent of the Oil Companies, such consent not to be unreasonably withheld, and provided that such fences, gates and locks comply with COGCC and local regulations. b. Surface Owner Mitigation. Except as provided in section 11.a., Surface Owner shall bear all costs and expense to install such noise and visual impact mitigation measures it desires or the County or other local jurisdiction requires at or around the Oil and Gas Operations Areas which are in excess of or in addition to those measures which are required by COGCC regulations for areas which are not high density; provided, however,the operator of the well at the particular Oil and Gas Operations Area shall have reasonable discretion to veto or protest the types and locations of impact mitigation measures in order to allow for safe oil and gas operations. 12. Termination of Surface Owner's Agreements. Surface Owner and the Anadarko Entities shall terminate the Surface Owner's Agreement that covers the Property dated • August 3, 1994 between Eugene E. and Diana E. Godinho and Union Pacific Resources Company recorded October 3, 1994 in Book 1461, Page 891, in the Weld County Clerk and Recorder's Office by the execution of the form of Termination of Surface Owner's Agreement attached to this Agreement as Exhibit 3, contemporaneously with the execution of this Agreement. 13. Individual Liability of Oil Companies. Nothing in this Agreement is intended to create a cause of action by any oil company against any other oil company or to enlarge or diminish any right or interest created by any lease or assignment of lease between or among the Anadarko Entities and any other oil company, including any lessee, farmoutee, or assignee of either of them. The liability of the oil companies to perform any obligation or comply with any covenant hereunder or to comply with any state or local rule or regulation is individual and not joint or collective. This Agreement does not create a joint venture or partnership between or among any of the oil companies which now have or which may in the future own oil and gas interests in the Property. The Anadarko entities shall in no event be liable for the acts or omissions of their lessees, assignees of lessees, or the contractors or subcontractors of any of them. 14. Authority to Execute Agreement. Each party represents that it has the full right and authority to enter into this Agreement with respect to the surface rights or oil and gas interests it owns in the Property,as applicable. 15. No Waiver of Rights. The Oil Companies do not waive the rights they have • 7 • IIIII111111111111111111111111111III 111111111IIII 2302 09/27/2004 11:56A Weld County, Co of 20 R 101.00 D 0.00 Steve Moreno Clerk&Recorder pursuant to their respective oil and gas interests to explore for, drill and produce the oil and gas for the Property or for ingress and egress to the Oil and Gas Operations Areas, except as specifically provided in this Agreement. 16. Successors and Assigns. This Agreement and all of the covenants in it shall be binding upon the personal representatives, heirs, successors and assigns of all of the parties, and the benefits of this Agreement shall inure to their personal representatives, heirs, successors and assigns. This Agreement and all of the covenants in it shall be covenants running with the land. 17. Recording. The Oil Companies shall record this Agreement with the Clerk and Recorder of Weld County and provide evidence to Surface Owner of the recording. 18. Governing Law. The validity, interpretation and performance of this Agreement shall be governed and construed in accordance with the laws of the State of Colorado without reference to its conflicts of laws provisions. 19. Severability. If any part of this Agreement is found to be in conflict with applicable laws, such part shall be inoperative, null and void insofar as it conflicts with such laws; however, the remainder of this Agreement shall be in full force and effect. In the event that any part of this Agreement would otherwise be unenforceable or in conflict • with applicable laws due to the term or period for which such part is in effect,the term or period for which such part of this Agreement shall be in effect shall be limited to the longest period allowable which does not cause such part to be unenforceable or in conflict with applicable laws. 20. Notices. Any notice or other communication required or permitted under this Agreement shall be given in writing either by i) personal delivery; ii) expedited delivery service with proof of delivery; iii) United States mail, postage prepaid, and registered or certified mail with return receipt requested; or iv) prepaid telecopy or fax, the receipt of which shall be acknowledged, addressed as follows: Anadarko E&P and: Anadarko E&P Company LP Anadarko Land Attention: Mid-Continent Development Land Manager Post Office Box 1330 Ilouston,Texas 77251-1330 EnCana: EnCana Energy Resources Inc. Attention: DJ Land Department 950 l7`"Street,Suite 2600 Denver,Colorado 80202 Surface Owner: Highland Acquisition Group,L.L.C. 6297 South Potomac Way Centennial,Colorado 80111 • 8 • A111111111111111111111111111111111111111111111111 2 0912712004 11:56A Weld County, Co `` of 20 R 101.00 D 0.00 Steve Moreno Clerk 6 Recorder Notices shall be effective upon receipt and any party may change an address by notice to the other parties. 21. Incorporation of Exhibits. Exhibits 1, 2 and 3 are incorporated into this Agreement by this reference. 22. Entire Agreement. This Agreement sets forth the entire understanding among the parties and supersedes any previous communications, representations or agreements, whether oral or written. No change of any of the terms or conditions herein shall be valid or binding on any party unless in writing and signed by an authorized representative of each party. 23. Counterpart Executions. This Agreement may be executed in counterparts, each of which shall be deemed an original. IN WITNESS WHEREOF, the undersigned parties have caused this Agreement to be executed by a duly authorized representative, to be effective on the date and year first above written. • ENCANA ENERGY RESOURCES ANADARKO E&P COMPANY LP INC. By: !({AF By: Name: gort R. &FIEF Name: Its: ty atiEy- - V,ia— Its: HIGHLAND ACQUISITION GROUP, ANADARKO LAND CORP. L.L.C. By: _ By: Name: Name: Its: Its: • 9 •LIIIII IIIII IIIII 111111 111111 II IIIIIIII III 111111 III III! • • 22302 09127/2004 11:55A Weld County, CO 10 of 20 R 101.00 D 0.00 Steve Moreno Clerk A Recorder Notices shall be effective upon receipt and any party may change an address by notice to the other parties. 21. Incorporation of Exhibits. Exhibits 1, 2 and 3 are incorporated into this Agreement by this reference. 22. Entire Agreement. This Agreement sets forth the entire understanding among the parties and supersedes any previous communications, representations or agreements, whether oral or written. No change of any of the terms or conditions herein shall be valid or binding on any party unless in writing and signed by an authorized representative of each party. 23. Counterpart Executions. This Agreement may be executed in counterparts, each of which shall be deemed an original. IN WITNESS WHEREOF, the undersigned parties have caused this Agreement to be executed by a duly authorized representative, to be effective on the date and year first above written. • ENCANA ENERGY RESOURCES ANADARKO E&P COMPANY LP INC. By: By: Name: Name: Its: Its: _ HIGHLAND ACQUISITION GROUP, ANADARKO LAND CORP. L.L.C. By: By: Name: L Name: Its: (=7C Its: • 9 ailii�ii«��i� iwilettliiilYonui� 11 0l 20 R 101.00 D 0.00 Steve Moreno Clerk d Recorder Notices shall be effective upon receipt and any party may change an address by notice to the other parties. 21. Incorporation of Exhibits. Exhibits I, 2 and 3 are incorporated into this Agreement by this reference. 22. Entire Agreement. This Agreement sets forth the entire understanding among the parties and supersedes any previous communications, representations or agreements, whether oral or written. No change of any of the terms or conditions herein shall be valid or binding on any party unless in writing and signed by an authorized representative of each party. 23. Counterpart Executions. This Agreement may be executed in counterparts, each of which shall be deemed an original. IN WITNESS WHEREOF, the undersigned parties have caused this Agreement to be executed by a duly authorized representative, to be effective on the date and year first above written. ENCANA ENERGY RESOURCES ANADARKO E&P COMPANY LP • INC. By: By: Name: Name: _ Its: Its: Agent and Attorney-In-Fact +, , HIGHLAND ACQUISITION GROUP, ANADARKO LAND CORP. L.L.C. By: By: Name: Name- ZO+ Its: Its: Janwra L N ___ • 9 dill 11111 Milli Milli IIIIII 11!011111 III IMillI III Mill 302 09/2712004 1t55A Weld County, CO 12 of 20 R 101.00 D 0.00 Steve Moreno Clerk& Recorder ACKNOWLEDGMENTS STATE OF TEXAS ) ) ss. COUNTY OF MONTGOMERY ) The foregoing instrument was acknowledged before me this 1 day of J( m pmrfi iur , 2004, by Ta L noVrmb , as kiln+a ftthmnj i Fad-n_ d- for ANADARKO E&P COMPANY LP. My Commission expires:_ ,J nu n r>t7 L, . a Witness my hand and official seaL ril, ANGELA MICHELLE GILBREATH AJ!Ay{ QLoa irichuli (had/_L} I MY COMMISSION EXPIRES Ndtar Public January 1,2006 STATE OF TEXAS ) • ss. COUNTY OF MONTGOMERY ) The foregoing instrument was acknowledged before me this / _day of 6 '?h/er , 2004,by J am(5 1 On igg h ,as }rtt1N + itirnmuit for ANADARKO LAND CORP. My Commission expires: V(d/ILAAn.,t 1,a04, • Witness my hand and official eal. i'"` ANGELA MICHELLE GILBREAtH 4,,,,,„,_,„&,,..„,PUbjic MYCOMMISSIONEXPtPES '••..i lataerya,2185 • 10 II01111111111111101111111111111111III111111III liii 2302 09/2712004 11:56A Weld County, CO 13 at 20 R 101.00 D 0.00 Steve Moreno Clerk A Recorder STATE OF COLORADO ) \ ) ss. County of IS t:WV-LC ) q The foregoing instrument was acknowledged before me this 30+-``day of A os f- ,2004,by t3./,te.p0 R. Q.#4._ as 444-6 hoe/-;nl-rA--ct for ENCANA ENERGY RESOURCES INC. My Commission Expires 09123/20a7 My Co . . •-. ; es: 1615 Celitamllyiio-in2 �,..... Denver,Colorado 80202 g .1.01.AAy Ztm hanand eal. 'i,d'j;,A Gr , Notary Public . of 0W'_- • STATE OF COLORADO ) ) ss. County of ) The foregoing instrument was acknowledged before me this _day of ,2004,by as for HIGHLAND ACQUISITION GROUP,L.L.C. My Commission expires: Witness my hand and official seal. Notary Public • n II111111111111 111111 111111 1111111111111111111 III II II 2302 09/27/2004 11:56A Weld County, CO of 20 R 101.00 0 0.00 Steve Moreno Clerk&Recorder STATE OF COLORADO ) ss. County of ) The foregoing instrument was acknowledged before me this day of ,2004,by as for ENCANA ENERGY RESOURCES INC. My Commission expires: Witness my hand and official seal. Notary Public • STATE OF COLORADO ) ss. County of De44✓ ) > The foregoing instrument was acknowledged before me this 21t* day of v6141- M,2004,by K v614 • 644{y as �{9rt,,o'�f�A for HIGHLAND ACQUISITION GROUP, L.L.C. My Commission expires: 4" 2 6 " S • Witness my hand and official seal. I LAUREL ZABEL La-ti STATETARYPUOC LI w cwmYrb FlWOO April 29.2035 Notary Public • II iii;1111111111111111111111 II 11111111 III 111111 III IIII 302 09/27/2004 11:66A Weld County, CO of 20 R 101.00 D 0.00 Steve Moreno Clerk&Recorder EXHIBIT I to Surface Use Agreement dated August 31,2004 between and among Anadarko E&P Company LP,Anadarko Land Corp. EnCana Energy Resources Inc. and Highland Acquisition Group,L.L.C. Legal Description Lot B of Recorded Exemption No. 1467-05-2-RE3105, being part of the North one-half of the Northwest one-quarter of Section 5, Township 1 North, Range 68 West Weld County, Colorado • • 12 EXHIBIT 2 • m to E Surface Use Agreement —a g dated August 31st,2004 - between and among Anadarko E&P Company LP,Anadarko Land Corp. ad EnCana Energy Resources Inc and Highland Acquisition Group,L.L.C. Y =O 0 Ern CS of aaaM \ , C E I t o o ...\ Weld County Road 3 au� /f .. J 0 el 03 A f ._,.. ( = te ; e , i El NMI 0mat= I a woC��Ipc ry ANN N Z 1� I ��. Z �I' NCtJ I rn p i al 00ill , i z r • ip.... •�.. ..T .._.. •r .-L.._ r 1 ao I; z� II 1 ni $ rig> rIDan . / R� Zr� md� ii _- NA mA r"� NBC �' .._..-... IA 1,1 ' t omu-4 ro IH'1� r1 _ M W I Ctip O mnm JI \ - . • ro d�zzo �..,... 4 / of NI `•V ti �mrl �j E. � � jjl o I oti�~c ' i 0 Oyu_ Aix 1 n� Cra9 m8 t XI r nr.nn aH� i nn z�cj n�i 3g u I noimrn 1 -'oa o ♦ o l cnnu ti • co j do n t a, 4.4 Pn vPn rajrQ t Q•eP�Z ` "�1 �1 D I la �_� D ! •aD No L' t a° 3-, HIGHLAND FARMS 06/25/04 � LANDPROtessionals, LLC _ KK1 r} lf_ OIL AND GAS EXHIBIT Architects-Planners-Engineers 11111111111IIIII111111111111II11111111III111111III/III 022302 09/27/2004 11:658 Weld County, CO of 20 R 101.00 D 0.00 Steve Moreno Clerk& Recorder Exhibit 3 to Surface Use Agreement dated August 31,2004 among Anadarko E& P Company LP,Anadarko Land Corp., EnCana Energy Resources Inc. and Highland Acquisition Group,L.L.C. TERMINATION OF SURFACE OWNER'S AGREEMENT THIS TERMINATION OF SURFACE OWNER'S AGREEMENT ("Agreement")is made and entered into this day of ,2004,by and among ANADARKO E&P COMPANY LP, formerly known as Union Pacific Resources Company ("Anadarko E&P"), ANADARKO LAND CORP., formerly known as Union Pacific Land Resources Corporation ("Anadarko Land"), and IIIGHLAND ACQUISITION GROUP, L.L.C. ("Surface Owner"). A. Surface Owner owns or has the option to purchase the surface estate for approximately 54 acres of property located in Weld County, Colorado, in the N/2NW/4 of Section 5, Township 1 North, Range 68 West, which is hereinafter referred to as the "Property"and specifically described in Exhibit A. • B. Union Pacific Resources Company and Eugene E. and Diana E. Godinho entered into a Surface Owner's Agreement dated August 3, 1994 and recorded October 3, 1994 in Book 1461, Page 891 in the Office of the Clerk and Recorder of Weld County (the"Surface Owner's Agreement"). C. Pursuant to that certain Surface Use Agreement (so called herein) dated , among Anadarko E&P, Anadarko Land, and Surface Owner and others, Anadarko E&P, Anadarko Land and Surface Owner have agreed to terminate the Surface Owner's Agreement. D. This Agreement may be executed in counterparts, each of which shall be deemed an original. NOW THEREFORE, in consideration of the covenants and mutual promises set forth in this Agreement and the Surface Use Agreement, including in the recitals, the parties agree that the Surface Owner's Agreement is terminated and of no further force and effect, effective as of the earlier date of either i)November 30, 2004; or ii) the date that Surface Owner sells,assigns or otherwise transfers all or any portion of the Property. • 111111111111 I I I I I111111111111 1111111111 III 11011 I I I I I I I 02:209!27/2004 Weld County, CD 20 R 101.00 1310105.11 Steve Moreno Clerk&Recorder HIGHLAND ACQUISITION GROUP, ANADARKO E&P COMPANY LP L.L.C. By: By: Name: Name: Its: Its: ANADARKO LAND CORP. By: Name: Its: ACKNOWLEDGMENTS STATE OF TEXAS ) ss. COUNTY OF MONTGOMERY ) The foregoing instrument was acknowledged before me this day of ,2004,by as for ANADARKO E&P COMPANY LP. My Commission expires: Witness my hand and official seaL Notary Public • 2 I Ifni IINIA122 IIIII Illill 111111 II If 11111!f ll 111111 tll Iltl Sof020 R101.00 P 0.00 Steve Moreno Clerk&Recorder STATE OF TEXAS ) ) ss. COUNTY OF MONTGOMERY ) The foregoing instrument was acknowledged before me this day of ,2004,by as for ANADARKO LAND CORP. My Commission expires: Witness my hand and official seal. Notary Public • STATE OF COLORADO ) ss. COUNTY OF The foregoing instrument was acknowledged before me this day of ,2004 by as for IIIGIILAND ACQUISITION GROUP,L.L.C. My Commission expires: Witness my hand and official seal. Notary Public • 3 111111111111111 i 1111111 11111111111111111111111111111111 X92 09R/217X:04 11:55A Weld Coenly, CO 20 D 0.00 Steve Moreno Clerk&Recorder EXHIBIT A to Termination of Surface Owner's Agreement dated ,2004 between and among Anadarko E&P Company LP,Anadarko Land Corp. and Highland Acquisition Group,L.L.C. Legal Description Lot B of Recorded Exemption No. 1467-05-2-RE3105, being part of the North one-half of the Northwest one-quarter of Section 5,Township 1 North,Range 68 West Weld County,Colorado • • 4 11111111111111111A111119,11!Iltl IIII • O1 131111161711112006 1 of 31 R 166.00 D 0.00 Steve Moreno Clerk&Recorder AMENDMENT TO SURFACE USE AGREEMENT THIS AMENDMENT TO SURFACE USE AGREEMENT ("Amendment") is made and entered into this 22nd day of June, 2005, among ANADARKO E&P COMPANY LP, formerly known as Union Pacific Resources Company, and ANADARKO LAND CORP., formerly known as Union Pacific Land Resources Corporation, (together the"Anadarko entities"),both with an address for business of Post Office Box 1330, Houston, Texas 77251-1330; ENCANA OIL & GAS (USA) INC. ("EnCana") with an address of 370 Seventeenth Street, Suite 1700, Denver, Colorado 80202 (the Anadarko Entities and EnCana are sometimes referred to hereinafter together as the "Oil Companies") and HIGHLAND ACQUISITION GROUP, L.L.C. ("Highland")with an address of 6297 South Potomac Way, Centennial, Colorado 80111. RECITALS A. The Oil Companies and Highland entered into that certain Surface Use Agreement dated August 31, 2004 and recorded in the Weld County Clerk and Recorder's Office on September 27, 2004 ("Agreement") covering approximately 54 acres of property located in Weld County, Colorado, in the N!2NW/4 of Section 5, Township 1 North, Range 68 West ("Property"). • B. A copy of the Agreement is attached to this Amendment as Exhibit 1. C. The parties in the Agreement identified two Oil and Gas Operations Areas where oil and gas operations will take place on the Property. D. The Oil Companies intend to enter into a surface use agreement with Frank Wright ("Wright") which will apply to the parcel of land adjacent to the Property in the S/2NW/4 of Section 5,Township I North, Range 68 West("Adjacent Property"). E. Wright and Highland have agreed that an Oil and Gas Operations Area will be located generally in the center of the NW/4 in part on the Property and in part on the Adjacent Property("Future Wellsite Location"). F. The purpose of this Amendment is for the parties to the Agreement to agree to an additional Oil and Gas Operations Arca in part on the Property as hereinafter described. NOW THEREFORE, in consideration of the covenants and mutual promises of the parties set forth herein, and in the Agreement, and for other good and valuable consideration, receipt of which is hereby acknowledged, the parties agree as follows: 1. The Oil Companies and Highland agree that an Oil and Gas Operations Area (in addition to the two Oil and Gas Operations Areas identified in the Agreement) shall be located generally in the center of the NW/4 in part on the Property and in part on • 1 11111 11111 11111 11111 1111111 1111111111111 1111 III1111111111111 Ii11 3312267 08111/2005 04:24P Weld County, CO 2 of 31 R 156.00 D 0.00 Sieve Moreno Clerk&Recorder the Adjacent Property as identified in Exhibit 2. The Future Wellsite Location shall be the size and configuration described in Exhibit 2. 2. The access route and pipeline easement for the Future Wellsite Location shall be at the locations identified in Exhibit 2. 3. The terms of the Agreement shall apply to the Future Wellsite Location. 4. Exhibits 1 and 2 are incorporated into this Amendment by this reference. 5. Except as specifically amended by this Amendment, the terms and conditions included in the Agreement shall continue in full force and effect. 6. The Oil Companies shall record this Amendment to Surface Use Agreement in the office of the Clerk and Recorder of Weld County and provide Highland with a copy of the recorded document. 7. This Amendment is binding upon the parties and their successors and assigns and shall be a covenant running with the land. IN WITNESS WHEREOF, the undersigned parties have caused this Amendment to be executed by a duly authorized representative on the date first above written. • ANAD &P CO LP ANADA AND CO By. idoomo By: Jame • ewcomo Name: enter, n � nrney-in Fact Name Agvid and Aitumey-In-ract Title: Title:Of I 91.11 ENCANA OIL&GAS (USA) INC. HIGHLAND ACQUISITION GROUP, L.L.C. By: By: - Name: Name: Title: Title: • 2 •iligItatrimiur IIt Weld ciiiiwitr1111111 331226 04:24P 3 0l 31 R 156.00 D 0.00 Steve Moreno C1eACKNOWLEDGMENTS STATE OF TEXAS ) ss. COUNTY OF MONTGOMERY ) The foregoing instrument was acknowledged before me this I day of 2005,by 3amt5 L flluicanS as 4hmu • • for ANADARKO E&P LP. My Commission expires: J anuant_1,atiq, Witness my hand and official seat No blic , �ANGELA MICHELLE GILBREATH [• • ,p` MY COMMISSION EXPIRES • el" Jxway) 2006 STATE OF TEXAS ) ss. COUNTY OF MONTGOMERY ) The foregoing instrument was acknowledged before me this_ 1 1 day of lag , 2005,by 'rarnt5 L flrtnttmb as 4 ni h Akktml-i -flack for ANADARKO LAND CORP. My Commission expires: T1anun Z,aw(0 Witness my hand and official seal. MACAW rd-4_2] No ary ublic w't"y�.Ah l:c:' -r^-MEI LE GILBREATH r (`ijk.:;L M1'.Y(?): f%PWES •;9qp RJ! snowy/ [UCe • 3 I1111111111111111111111111111 IIII 111111 10111111111 IIII • 3312267 08/11/2005 04:24P Weld County, CO 4 of 31 R 156.00 D 0.00 Steve Moreno Clerk& Recorder the Adjacent Property as identified in Exhibit 2. The Future Wellsite Location shall be the size and configuration described in Exhibit 2. 2. The access route and pipeline easement for the Future Wellsite Location shall be at the locations identified in Exhibit 2. 3. The terms of the Agreement shall apply to the Future Wellsite Location. 4. Exhibits 1 and 2 are incorporated into this Amendment by this reference. 5. Except as specifically amended by this Amendment, the terms and conditions included in the Agreement shall continue in full force and effect. 6. The Oil Companies shall record this Amendment to Surface Use Agreement in the office of the Clerk and Recorder of Weld County and provide Highland with a copy of the recorded document. 7. This Amendment is binding upon the parties and their successors and assigns and shall be a covenant running with the land. IN WITNESS WHEREOF, the undersigned parties have caused this Amendment to be executed by a duly authorized representative on the date first above written. • ANADARKO E&P COMPANY LP ANADARKO LAND CORP. By: By: Name: Name: Title: Title: ENCANA OIL&GAS (USA)INC. HIGHLAND ACQUISITION GROUP, L.L.C. By: By: Name: Name. Lkf /Title: llotri eE Title: • 2 1111111111 ML 11111 1111III LUI 11111111111unty, 111111 IIII 5 of 31 R 08,1112605. 0 D 0.00 Steve Moreno Clerk& Recorder STATE OF COLORADO ) ss. COUNTY OF The foregoing instrument was acknowledged before me this day of ,2005,by as for ENCANA OIL&GAS(USA) INC. My Commission expires: Witness my hand and official seal. Notary Public STATE OF COLORADO ) ss. COUNTY OF °E ) • The foregoing instrument was knowledged before me this a #-day of _LkN L� , 2005,by Itn4 Lr 7Na4tt f as AwAtE'L for HIGHLAND ACQUISITION GROUP,L.L.C. My Commission expires: /1- hi-- )-roi Witness my hand and official seal. Notary Public CHRISTINE C.OLIVER NOTARY PUBLIC STATE OF COLORADO to Commission ExDlroe N0V 18,2008 • 4 11111111111 llltl 11111!!1il1111111111t1 111 11111 1111 1111 • 3312267 08/11/2005 04:24P Weld County, CO s of 3t R 156.00 D 0.80 Steve Moreno Clerk&Recorder the Adjacent Property as identified in Exhibit 2. The Future Wellsite Location shall be the size and configuration described in Exhibit 2. 2. The access route and pipeline easement for the Future Wellsite Location shall be at the locations identified in Exhibit 2. 3. The terms of the Agreement shall apply to the Future Wellsite Location. 4. Exhibits I and 2 are incorporated into this Amendment by this reference. 5. Except as specifically amended by this Amendment, the terms and conditions included in the Agreement shall continue in full force and effect. 6. The Oil Companies shall record this Amendment to Surface Use Agreement in the office of the Clerk and Recorder of Weld County and provide Highland with a copy of the recorded document. 7. This Amendment is binding upon the parties and their successors and assigns and shall be a covenant running with the land. IN WITNESS WHEREOF, the undersigned parties have caused this Amendment to be executed by a duly authorized representative on the date first above written. • ANADARKO E&P COMPANY LP ANADARKO LAND CORP. By: By: Name: Name: "Title: Title: ENCANA OIL & GAS (USA)INC. HIGHLAND ACQUISITION .JULOUP,L.L.C. By: 0.192 - By: Name: • _ Name: Title: - }rq— Title: i 2 1111111 11111 11111 11111 111111111111 005 04:24P 11111111111111 7 of 31 R 156.00 D 0.00 Steve Moreno Clerk&Recorder STATE OF COLORADO ) ss. COUNTY OF beNotnz. _ ) The foregoing instrument was acknowledged before me this 2 8 esday of S Ly 2005,by 16 vLoN 2. 4r-Le. as A o o ent7-:AI- FiYc for ENJCANA OIL&GAS(USA) INC. C.:nmu.SI3I Expires 09/25/2007 My Commission expires: 16.5C,urm,a,tswelm �vfA it: Wrier.Coloradn$0202 ••.T4. Witness my hand and official seat NO• ' ea >:-0m;G otary Public STATE OF COLORADO ) ss. COUNTY OF• The foregoing instrument was acknowledged before me this day of , 2005,by as for HIGHLAND ACQUISITION GROUP,L.L.C. My Commission expires: Witness my hand and official seal. Notary Public • 4 • I I I I I I I I I 111111111111111111111111 1111111111111111111111 Weld County, CO 8 of 31 R 156.00 0 5 0.00 Steve Moreno Clerk 8 Recorder EXHIBIT 1 to Amendment to Surface Use Agreement dated June 22,2005 among Anadarko E&P Company LP,Anadarko Land Corp., EnCana Oil&Gas (USA)Inc. and Highland Acquisition Group,L.L.C. Surface Use Agreement dated August 31,2004 See attached copy. • • 5 ocaduz 09127/2004 11!111111Il WWeld11llll ill! R£CDRDER•S MEMORANDt1hl� 1 of 20 R 101.00 0 0.00 Cleve Moreno Clerk&Recorder THIS DOCUMENT WAS FOUND TO N INADEQUATE FOR SCANNING PURPOSES,' + 7i SURFACE USE AGREEMENT THIS SURFACE USE AGREEMENT (*Agreement") is made and entered into this 31" day of August, 2004, by and among ANADARKO E&P COMPANY LP ("Anadarko E&P"), formerly known as Union Pacific Resources Company, and ANADARKO LAND CORP. ("Anadarko Land"), formerly known as Union Pacific Land Resources Corporation (together the "Anadarko Entities"), both with an address of Post Office Box 1330, Houston,Texas 77251-1330;ENCANA ENERGY RESOURCES INC. ("EnCana") with an address of 950 Seventeenth Street, Suite 2600, Denver, Colorado 80202(the Anadarko Entities and EnCana are sometimes referred to hereinafter together as the "Oil Companies') and HIGHLAND ACQUISITION GROUP, L.L.C. ("Surface Owner') with an address of 6297 South Potomac Way, Centennial, Colorado 80111. A. Surface Owner owns or has the option to purchase the surface estate for approximately 54 acres of property located in Weld County, Colorado, in the N/2NW/4 of Section 5, Township 1 North, Range 68 West, which is hereinafter referred to as the Properly'and specifically described in Exhibit I. B. Surface Owner proposes to develop the surface estate as a residential subdivision. • C. The Anadarko Entities own all of the minerals that underlie the Property. D. Anadarko Land owns all of the minerals other than the oil, gas and associated liquid hydrocarbons that underlie the Property, as well as a reversionary interest in the oil, gas and associated liquid hydrocarbons, and Anadarko E&P and Anadarko Land together own all of the oil,gas and associated liquid hydrocarbons. E. Anadarko E&P or a predecessor company has granted an oil and gas lease for the Property,interests in which have been assigned to EnCana. EnCana operates two producing oil and gas wells on the Property which are generally located in the NE/4NW/4 and identified as the Brown 5-3 and in the NW/4NW/4 and identified as the Brown C Unit#2(together the"Existing Wells"). F. EnCana and Surface Owner have entered into a surface damages agreement that applies to the SE/4NW/4 of Section 5 and is dated October 2, 2003 ("EnCana Agreement'); this surface use agreement supplements the EnCana Agreement and supercedes it to the extent that it conflicts with the EnCana Agreement and covers additional matters and additional or other lands. G. This Agreement provides for and is limited to the compatible development of the surface estate and the oil and gas estate for the Property; it does not in any respect apply to the minerals other than the oil, gas and associated liquid hydrocarbons that are • I Illill 11111 VIII VIII 1111111 Ili!111111 III VIII I'll IIII I 3312267 08111/2005 04:24P Weld County, CO 9 of 31 R 166.00 0 0.00 Steve Moreno Clerk& Recorder ; JI11I 11111111111111111111111111111III III 111111IIII 3222302 09/27/2004 1113SA Weld County,CO • 2 of 20 R 101.00 D 0.00 Steve Moreno Clerk&Recorder owned by Anadarko Land and which are the subject of a separate agreement between Surface Owner and Anadarko Land. NOW THEREFORE, in consideration of the covenants and mutual promises set forth in this Agreement, including in the recitals,the parties agree as follows: 1. Oil and Gas Operations Areas. a. The Oil Companies shall drill and operate oil and/or gas wells and locate future oil and/or gas wells only in the two areas depicted on Exhibit 2 as the Oil and Gas Operations Areas where the two Existing Wells are presently located.Uses within the Oil and Gas Operations Areas include, but are not limited to, drilling, completion, and maintenance of wells and equipment, production operations, workovers, well recompletions and deepenings,fracturing,twinning,the drilling of replacement wells and the location of associated oil and gas production and drilling equipment and facilities and also the location and drilling of oil and gas wells that are directionally or horizontally drilled to bottomhole locations outside the Property. b. The Oil and Gas Operations Areas shall include the geographic areas and dimensions that are depicted on Exhibit 2. c. The Oil Companies shall continue to have the right to drill more than one • well with attendant facilities within each of the Oil and Gas Operations Areas and to deepen, recomplete or twin any well that is drilled, as well as to drill directional and horizontal wells that produce from and drain the Property or lands other than the Property. d. The Oil Companies shall locate, build, repair and maintain tanks, separators, dehydrators, compressors and all other associated oil and gas drilling and production equipment and facilities only within the Oil and Gas Operations Areas. The parties all understand and acknowledge that the Oil and Gas Operations Area in the west location is presently the site of associated oil and gas production equipment, including a common tank battery. e. Surface Owner shall not plat any surface property line within the Oil and Gas Operations Areas. No temporary or permanent building, structure, or other improvement shall be constructed or installed by Surface Owner within the Oil and Gas Operations Areas or within the fifty (50) foot setback from the Oil and Gas Operations Area in the east portion of the Property as depicted on Exhibit 2. The Oil and Gas Operations Areas shall be for the exclusive use of oil and gas drilling and production operations. f. Except for the pipeline and flowline easements, access and the Oil and Gas Operations Areas identified in this Agreement, the Oil Companies shall not use the surface of the Property except in cases of emergencies. • 1111111111111111111111111 III 111111 III 111111 III IIII 2 3312267 08/11/2005 04:24P Weld County, CO 10 or 31 R 156.00 D 0.00 Steve Moreno Clerk& Recorder �l IIIII1111111111111111111 Mille III 11111IIIIIII 3222302 Ii 01 D 0.00 S7/2004 11:55Atevee Moreneld o Clerk&Recorder 2. Access to the Oil and Gas Operations Areas. a. Access to each of the Oil and Gas Operations Areas shall be along the routes depicted on Exhibit 2. b. Aerrss to an Oil and Gas Operations Area may be changed by mutual agreement of the Surface Owner and the operator(s)of the well(s)for which the access is used;provided however, all costs and expenses of such relocations shall be borne by the party which requests the relocation. c. Surface Owner shall keep the portions of arrrss roads jointly used by both Surface Owner and its subdivision occupants and the Oil Companies in good condition and repair until such roads are dedicated to the local jurisdiction; provided, however,if one of the Oil Companies causes damage to a portion of a road that is jointly used by both the Oil Companies and Surface Owner or its subdivision occupants and which is constructed to the specifications in section 2.e.(1), the Oil Companies agree to promptly repair any damage which they cause which is a direct result of their use of the road. d. No party shall unreasonably interfere with the use by the other of an access road. • e. Ccnstmction and Width of Access Roads, (1) Arms roads or portions of access roads that are jointly used by the Oil Companies and Surface Owner shall be thirty(30)feet or more in width, and Surface Owner shall construct or improve all paved or improved joint access roads so as to withstand the weight of oilfield equipment. Specifically, Surface Owner shall construct the roads so that they can be used to withstand the weight of 104,000 pounds and 26,000 pounds per axle. (2) Access roads or portions of access roads that are used exclusively by the Oil Companies shall be thirty (30) feet or more in width, and the Oil Companies shall install and maintain them to those state and local standards that apply to oil and gas operations. 3. Pipelines,Flowlines and Pipeline Easements. a. Pipeline easements shall be at the locations identified on Exhibit 2, and pipelines shall be installed at depths of approximately thirty six (36) inches below the surface of the ground. b. Locations of pipelines and pipeline easements may be changed by mutual • 111111 11111 11111 11111 1111111 1111 lllltl 1111111111111111 1 31 "3"3111;h1.00 D 0.00 Steve More Clerk 8 Recorder :. #III 111111111111111111111 g 111111111111111111111111 • 3222302 09/2712004 11:55A Weld County,CO 4 of 20 11 101.00 D L0U Steve Moreno Clerk& Recorder agreement of the applicable parties; provided, however, all costs and expenses of such relocations shall be borne by the party which requests the relocation. In the event that Surface Owner requests the relocation of a pipeline or flowline, the applicable oil company shall provide Surface Owner with a written estimate of the relocation costs which Surface Owner shall thereafter promptly remit to the oil company. The payment shall be adjusted up or down upon completion of the work and after an itemized statement is provided to Surface Owner. Surface Owner shall,in addition,pay EnCana all costs and expenses that EnCana incurs to encase its pipelines and flowlines to the extent that such pipelines and flowlines underlie Highland Lane or any other road either in advance of or at the time that Surface Owner commences construction of Highland Lane and/or such other road at the place where the EnCana pipelines and flowlines intersect with Highland Lane or such other road. c. Pipeline easements shall be fifty (50) feet in width during construction activities and thirty (30) feet in width for all operations, maintenance and transportation activities. Flowline easements shall be thirty(30)feet in width for all operations.EnCana is currently the grantee or assignee of the grantee of that certain recorded easement dated August 9, 1995 and recorded on December 15, 1995 in the Weld County Clerk and Recorder's Office in Book 1522, Page 743, at Reception No. 2467785 that crosses the Property. d. Surface Owner shall be entitled to reserve the right to cross the pipeline • easements at approximately right angles, and Surface Owner shall also have the right to install and maintain arress to such easements for utility lines,including those for water, gas, sewer, electric, telephone, cable, television and fiber optic and other pipelines that travel along, but not within, the pipeline easements provided for herein; provided, however; i) any new underground facilities which travel along a pipeline easement identified herein shall be located a distance horizontally of at least ten (10) feet from parallel existing pipelines; ii)any new underground facilities shall have at least twenty- four(24) inches of vertical clearance between such new facility and a pipeline provided for herein; and iii)any overhead power lines shall be at least twenty(20) feet above the ground. e. Surface Owner shall grant the pipeline casements (for production from the Property and/or other lands)to the applicable oil and gas interest owners at the time the Oil Companies request them and at no cost to them. f. Surface Owner shall maintain a minimum ground cover of 36 inches and not more than 72 inches over pipelines and flowlines in the conduct of its operations and its construction activities on the Property. 4. Subdivision Plat. Surface Owner shall identify the Oil and Gas Operations Areas and all access and pipeline easements on its subdivision plats and in all applications for development that it files with a local jurisdiction, and the plats shall include restrictions • 11111111111IIIII 1111111111111111111 I I 11111111111111 3312267 118/11/2005 04:24P Weld County, CO 12 of 31 R 156.00 D 0.00 Steve Moreno Clerk& Recorder i f 11111111111111111111111111111111111 I I 111111 I I I I I i l l • d County, CO 6 of 20 R 101.00 3222302 4 D 0.00 StevveelMoreno Clerk&Recorder that no property lines, and no temporary or permanent buildings, structures, or other improvements shall be located,constructed or installed within the Oil and Gas Operations Areas. Surface Owner shall record the subdivision plat in the Office of the Clerk and Recorder of Weld County and provide written evidence to the Oil Companies within fifteen(15)days of recording. 5. Waiver of Surface Damage Payments. Surface Owner hereby waives all surface damage payments pursuant to any Colorado Oil and Gas Conservation Commission ("COGCC") rule or regulation or local regulation, state statute, common law or prior agreement for each and every well and related wellsite that is drilled within an Oil and Gas Operations Area and for each production facility and access and pipeline easement. The Oil Companies or their lessees or their assignees may provide a copy of this Agreement to the COGCC or to any local jurisdiction, person or entity or any court of law as evidence of this waiver. 6. Waiver of Setbacks and Other Requirements. Surface Owner understands and acknowledges that the COGCC has rules and regulations that apply to the distance between a wellhead and public roads, production facilities, building units and surface property lines, among other things. Surface Owner hereby waives all setback requirements in COGCC Rule 603,or any successor rule or amendment to the COGCC setback rules,and to any other state or local setback requirements, or other requirements or regulations,that are or become inconsistent with this Agreement or that would prohibit • or interfere with the rights of the Oil Companies or their lessees and assignees to explore for and produce the oil and gas in accordance with this Agreement. Surface Owner understands, and shall notify parties who purchase all or portions of the Property from Surface Owner,that the Oil Companies may cite the waiver in this section 6 in order to obtain a location requirement exception or variance under COGCC rules or from a local jurisdiction. 7. Governmental Proceedings. a. Surface Owner Will Not Object. Surface Owner agrees that it will not object in any forum to the use by the Oil Companies of the surface of the Property consistent with this Agreement and hereby waives any such right to object. Surface Owner further agrees that it will provide such other written approvals and waivers which are reasonably requested by the Oil Companies and consistent with this Agreement, including, but not limited to, all approvals and waivers to drill a well or to conduct oil and gas operations on the Property because of any law or regulation, including any local ordinance and regulations of the COGCC, and including, for example, waivers to state and local setback requirements and to any setback requirements from a surface property line or for an exception location. b. Oil Companies Will Not Object. The Oil Companies agree that they will not object in any forum to a request by Surface Owner to annex, zone, rezone, plat or 131311 III 7111111(1111111 I11111I 1111111111 Ili 111111 III I1N 3312267 08111/2005 01140211 4:24P Weld County, Co 13 of 31 R 156.00 D 0.00 Steve Moreno Clerk& Recorder *222302 I III 11111111111 11111111 11311 I I I I • Sot 0 R 101.00 D 0.00 Steve Moreno Clerk Et Recorder replat all or any portion of the Property to the extent such request is consistent with this Agreement 8. Notices of jeannes. Surface Owner shallprovide the Oil Companies written notice not less than thirty e with r consideration of a plat application or other land use application a for theeach g of the Property that is to be held before the County or other local jurisdiction. 9. No ice to Homeowners and Builders. Surface Owner shall furnish all builders and developers which purchase all or any portion of the Property n or entity who proposes to enter into a contract to purchase a lot which is adjacent to,opersr any part of which is within, 350 feet from an Oil and Gas Operations Area or a pipeline easement, with a plat that shows the locations of the Oil and Gas Operations Areas, access routes,and pipeline easements. In addition, Surface Owner shall provide written notice to all such purchasers that includes the following: a. they are not purchasing and will not own any rights in the oil, gas and mineral estate in and to the Property; b. there may be ongoing oil and gas operations and production on the surface of the Property within the Oil and Gas Operations Areas, pipeline easements and access routes; • c. there are likely to be wells drilled and oil and gas production facilities constructed and installed within the Oil and Gas Operations Areas and flowlines and pipelines constructed and maintained on the Property; d. heavy equipment will be used by the Oil Companies from time to time for oil and gas drilling and production operations and such operations may be conducted on a 24-hour basis;and e. homeowner associations and buyers of individual lots or homes will be subject to and burdened by all of the covenants and waivers made by Surface Owner in this Agreement, including, but not limited to those covenants and waivers; i) prohibiting the location of any building, structure, or other improvement within the Oil and Gas Operations Areas; ii) waiving objections to the drilling of wells, the construction of facilities, and the conduct of oil and gas operations on the Property consistent with this Agreement and iii) waiving objections to the setback requirements under the rules of the COGCC or any local jurisdiction, 10. Notice of Oil and Gas O rations. The Oil Companies shall provide Surface Owner with notice of drilling operations and subsequent well operations in accordance with COGCC rules and regulations. I IIIIII 1111111111111111111N11 IlI1 111111 111111111 III IIII 14 of 31 R 156.00 D 0.00 Steve Moreno CO $ Recorder 441111111111111111111111111111101111111111111111111111 • 3222302 09/2712004 11:66A Weld County,CO 7 of 20 R 101.00 D 0.00 Steve Moreno Clerk&Recorder II. Impact Mitigation. a. Oil Company Mitigation. The Oil Companies agree that they shall install and maintain at their sole cost and expense such fences,gates and locks around the wells and production facilities as are required by the COGCC. Surface Owner may upgrade fences, gates and locks at its expense and with the consent of the Oil Companies, such consent not to be unreasonably withheld, and provided that such fences, gates and locks comply with COGCC and local regulations. b. Surface Owner Mitigation. Except as provided in section 11.a., Surface Owner shall bear all costs and expense to install such noise and visual impact mitigation measures it desires or the County or other local jurisdiction requires at or around the Oil and Gas Operations Areas which are in excess of or in addition to those measures which are required by COGCC regulations for areas which are not high density; provided, however,the operator of the well at the particular Oil and Gas Operations Area shall have reasonable discretion to veto or protest the types and locations of impact mitigation measures in order to allow for safe oil and gas operations. 12. Termination of Surface Owner's Agreements. Surface Owner and the Anadarko Entities shall terminate the Surface Owner's Agreement that covers the Property dated • August 3, 1994 between Eugene E. and Diana E. Godinho and Union Pacific Resources Company recorded October 3, 1994 in Book 1461, Page 891, in the Weld County Clerk and Recorder's Office by the execution of the form of Termination of Surface Owner's Agreement attached to this Agreement as Exhibit 3, contemporaneously with the execution of this Agreement. 13. Individual Liability of Oil Companies. Nothing in this Agreement is intended to create a cause of action by any oil company against any other oil company or to enlarge or diminish any right or interest created by any lease or assignment of lease between or among the Anadarko Entities and any other oil company, including any lessee, farmoutee, or assignee of either of them. The liability of the oil companies to perform any obligation or comply with any covenant hereunder or to comply with any state or local rule or regulation is individual and not joint or collective,This Agreement does not create a joint venture or partnership between or among any of the oil companies which now have or which may in the future own oil and gas interests in the Property. The Anadarko entities shall in no event be liable for the acts or omissions of their lessees, assignees of lessees,or the contractors or subcontractors of any of them. 14. Authority to Execute Agreement. Each party represents that it has the full right and authority to enter into this Agreement with respect to the surface rights or oil and gas interests it owns in the Property,as applicable. 15. No Waiver of Rights. The Oil Companies do not waive the rights they have • 11111111111111111111111111111111111111111111111111111 3312267 08/11/2005 04:24P Weld County, CO 15 of 31 R 156.00 D 0.00 Steve Moreno Clerk& Recorder IIIi1111111111111111111111111111III IIIII IIII III! 3222302 09!27@004 11:55A Weld County,CO • 8 of 20 R 101.00 D 0.00 Steve Moreno Clerk&Recorder pursuant to their respective oil and gas interests to explore for, drill and produce the oil and gas for the Property or for ingress and egress to the Oil and Gas Operations Areas, except as specifically provided in this Agreement. 16. Successors and Assigns. This Agreement and all of the covenants in it shall be binding upon the personal representatives, heirs, successors and assigns of all of the parties, and the benefits of this Agreement shall inure to their personal representatives, heirs, successors and assigns. This Agreement and all of the covenants in it shall be covenants running with the land. 17. ecordin . The Oil Companies shall record this Agreement with the Clerk and Recorder of Weld County and provide evidence to Surface Owner of the recording. 18. Governing Law. The validity,interpretation and performance of this Agreement shall be governed and construed in accordance with the laws of the State of Colorado without reference to its conflicts of laws provisions. 19. Severability. If any part of this Agreement is found to be in conflict with applicable laws, such part shall be inoperative, null and void insofar as it conflicts with such laws;however,the remainder of this Agreement shall be in full force and effect In the event that any part of this Ag,ccment would otherwise be unenforceable or in conflict with applicable laws due to the term or period for which such part is in effect,the term or • period for which such part of this Agreement shall be in effect shall be limited to the longest period allowable which does not cause such part to be unenforceable or in conflict with applicable laws. 20. Notices. Any notice or other communication required or permitted under this Agreement shall be given in writing either by i) personal delivery; ii)expedited delivery service with proof of delivery;iii) United States mail,postage prepaid,and registered or certified mail with return receipt requested; or iv) prepaid telecopy or fax,the receipt of which shall be acknowledged,addressed as follows: Anadarko E&P and: Anadarko E&P Company LP Anadarko Land Attention:Mid-Continent Development Land Manager Post Office Box 1330 Houston,Texas 77251-1330 EnCana: EnCana Energy Resources Inc. Attention:DJ Land Department 950 17t°Street,Suite 2600 Denver, Colorado 80202 Surface Owner: Highland Acquisition Group,L.L.C. 6297 South Potomac Way Centennial,Colorado 80111 • I111111IIIII IIIII III111111111IIII111111111111111111111! 16 of 31 R 156.00 D 0.00 SWteva Moreno Clerk& Recorder f Ills liiI 1111111111111111111111 III 11111!III utl • 3222302 09/2712004 11:55A Weld County,CO 10 of 20 R 101.00 0 0.00 Steve Moreno Clerk&Recorder Notices shall be effective upon receipt and any party may change an address by notice to the other parties. 21. Incorporation of Exhibits. Exhibits 1, 2 and 3 are incorporated into this Agreement by this reference. 22. Entire Agreement. This Agreement sets forth the entire understanding among the parties and supersedes any previous communications, representations or agreements, whether oral or written. No change of any of the terms or conditions herein shall be valid or binding on any party unless in writing and signed by an authorized representative of each party. 23. Counterpart Executions. This Agreement may be executed in counterparts, each of which shall be deemed an original. IN WITNESS WHEREOF, the undersigned parties have caused this Agreement to be executed by a duly authorized representative, to be effective on the date and year first above written. ENCANA ENERGY RESOURCES ANADARKO E&P COMPANY LP • INC. By: By: Name: _ Name: Its: Its: HIGHLAND ACQUISITION GROUP, ANADARKO LAND CORP. L.L.C. By: By: Name: Name: Its: Its: 1111111 11111 11111 11111 111111 IIII 111111 III IIIIII III III 3312267 08/1112005 04:24P Weld County, CO 17 of 31 R 156.00 D 0.00 Steve Moreno Clerk&Recorder • 9 111IliltIII1111111111111111111111III1111111111111 3222302 09127/2004 11:55& Weld County, CO 9 of 20 R 101.00 D 0.00 Steve Moreno Clerk&Recorder Notices shall be effective upon receipt and any party may change an address by notice to the other parties. 21. Incorporation of Exhibits. Exhibits 1, 2 and 3 are incorporated into this Agreement by this reference. 22. Entire Agreement This Agreement sets forth the entire understanding among the parties and supersedes any previous communications, representations or agreements, whether oral or written. No change of any of the terms or conditions herein shall be valid or binding on any party unless in writing and signed by an authorized representative of each party. 23. Counterpart Executions. This Agreement may be executed in counterparts, each of which shall be deemed an original. IN WITNESS WHEREOF, the undersigned parties have caused this Agreement to be executed by a duly authorized representative, to be effective on the date and year first above written. ENCANA ENERGY RESOURCES ANADARKO E&P COMPANY LP • INC. By: _gatBy: Name: pi R. &ALE__ Name: Its: cy- Ju- Farr- Its: HIGHLAND ACQUISITION GROUP; ANADARKO LAND CORP. L.L.C. By: By; Name: Name: Its: Its: 111111I111111111111111111111111111111111111111111111IIl 3312267 08/11/2006 04:24P Weld County, CO 18 of 31 R 166.80 0 0.00 Steve Moreno Clerk&Recorder • 9 N111111II111111111111Il11111111111111111 III liil • 3222302 09/27/2004 11:55A Weld County,Co 11 of 20 ft 101.00 D 0.00 Steve Moreno Clerk&Recorder Notices shall be effective upon receipt and any party may change an address by notice to the other parties. 21. Inco ration of Exhibits. Exhibits 1, 2 and 3 are incorporated into this Agreement by this reference. 22. Entire Agreement. This Agreement sets forth the entire understanding parties and supersedes tstending among the any previous communications, representations or agreements, whether oral or written. No change of any of the terms or conditions herein shall be valid or binding on any party unless in writing and signed by an authorized representative of each party. 23. Counterpart Executions. This Agreement may be executed in counterparts, each of which shall be deemed an original. IN WITNESS WHEREOF, the undersigned parties have caused this Agreement to be executed by a duly authorized representative, to be effective on the date and year first above written. ENCANA ENERGY RESOURCES ANADARKO E&P COMPANY LP • INC. By: Name: Ey: r� Its: Name: noZio______ Its: Agent and Attorney-In-Fact P ig HIGHLAND ACQUISITION GROUP, ANADARKO LAND CORP. L.L.C. By: By: Name: Name- Its: Its: Janes L Nev rcomo 111111111111 JIM 11111 HIM 1111111111 III 111111 III Iiil 3312267 08/1112005 D4:24P Weld County, Co 19 of 31 R 156.00 D 0.00 Steve Moreno Clerk&Recorder • 9 VIII 111111111111111111111111111 H 111111111 II! I! • 3222302 091271200/ 11:65A Weld Cornty,CO 12 of 20 R 101.00 D 0.00 Steve Moreno Clerk&Recorder ACKNOWLEDGMENTS STATE OF TEXAS COUNTY OF MONTGOMERY ) ss. The foregoing instrument was acknowledged before me this I day o£ 2004 b T_ _r____�_.r th as by n r kt p th for ANADARKO E&P COMPANY LP. MY Commission expires: Jana a 7t in • Witness my hand and official seal. ""GEIt" GIL+EATM ub michlll,V Iht,ctAt3"Y OQaMSS°"° Public mow.2006 STATE OF TEXAS • COUNTY OF MONTGOMERY ) The foregoing instrument was acknowledged before me this / day of 2004,by rain, 1 Iv conk, for ANADARKO LAND CORP. as My Commission expires: Taint'4 n} „ j , Witness my hand and official seal. ANGELA MICHELLEG49aEhTH Ota Public rev CO1,IM SSION FXPIAES 11111(11111111111111/I 1111111 113 111111111111111111 3312267 08/11/2006 04:24P Weld County, CO 20 of 31 R 166.00 0 0.00 Steve Moreno Clerk&Recorder • to 11111111111111111111111111111 I I 1110111111111 09/27/2004 11:55A Weld County, CO • 13 of 20 R 101.00 D 0.00 Steve Moreno Clerk&Recorder STATE OF COLORADO ) ) ss. County of)")..e ) The foregoing instrument was acknowledged before me this 3045'day of /4 tic OS+ ,2004,by CvitoA) ?. CirLc as 44 Fb r ttr-i^t-r=.i-c.+- for ENCMNA ENERGY RESOURCES INC. My Co _. .;: ':•... ; Myr621 �2 09121/2007 Deaftrakode 10202 .f�•AAA} .' Wit s m han and o cal t / ; Notary Public STATE OF COLORADO ) • ss. County of ) The foregoing instrument was acknowledged before me this day of ,2004,by as for HIGHLAND ACQUISITION GROUP,L.L.C. My Commission expires: • Witness my hand and official seal. Notary Public 1 Illlll 11111 111!1 Illll 11111111111111111 III 1111111 Il 1111 33122631088/1,/2pp5 04:24p Weld County, CO 156.00 D 0.00 Steve Moreno Clerk& Recorder • II fllll 1111 IIHMI IIIIII 1111111111 III 111111 III IIII 3222302 09/27/2004 11115A Weld County,CO 14 of 20 R 101.00 D 0.00 Steve Moreno Clerk&Recorder STATE OF COLORADO ) ss. County of ) The foregoing instrument was acknowledged before me this day of ,2004,by as for ENCANA ENERGY RESOURCES INC. My Commission expires: • Witness my hand and official seal. Notary Public STATE OF COLORADO ) • ss. County of 1�+1rer ) The foregoing instrument was aelmo Iddged before me this 2nd= day of /t ,2004,by Kubut M. g u Q�-r,a�p as bf yta$tn for HIGHLAND ACQUISITION GROUP,L.L.C. My Commission expires: 4'-2(o-05" Witness my hand and official seal I Luna TABEL NOTARY PUBLIC L-‘244 AiLA9t- 'mot// STATEOF COLofuoo cogsrkeim Notary Public Wr 26'2006 11111111/0 MINI 111111 IIN NNII MINE HIE 3312267 08/11/2005 04:24P Weld County, CO 22 of 31 R 156.00 0 0.00 Steve Moreno Clerk& Recorder • II VIII 1111111111111111111111111 III11011 III I11! • 3222302 09127)2004 11:65A Weld County,CO 15 0l 20 R 101.00 D 0.00 Steve Moreno Clerk 3 Recorder EXHIBIT 1 to Surface Use Agreement dated August 31,2004 between and among Anadarko E&P Company LP,Anadarko Land Corp. EuCana Energy Resources Inc. and Highland Acquisition Group,L.L.C. Legal Description Lot B of Recorded Exemption No. 1467-05-2-RE3105, being part of the North one-half of the Northwest one-quarter of Section 5,Township 1 North,Range 68 West Weld County,Colorado • I 111111 1111111111 11111 l l l l l l l 11111111/1 I I 11111111111111 3312267 08111/2005 04:24P Weld County, CO 23 of 31 R 156.00 D 0.00 Steve Moreno Clerk&Recorder • 12 a at to EXQto 2 a� o Surface Use Agreement �+ dated August 31st,2604 tz OINI between and among Anadarko E&P Company LP,Anadarko Land Corp. a ad Y EnCana Energy Resources Inc. and Highland Acquisition Group,LLC. C a 1 �— ��o Weld County Road 3 roman� •• • MIMEO..= I H I EI aoo ! 1 1 Sin ao D 1 '(, i mg EVap- me I • I. NCC14, »y� o 1 \ I IA • • T \.• NCInyQ. o.. I : I ` ilia r-. f ..-L.. • C : gF T dt ! n / o 0• �6H j � YnF 11l�•.._I -• ` n • ee L 1 C gri 4p,ors/tli moo I C � f!. `- --- $ : eA I V"y-iK -In rum la I MIMI • O� ! it -I i DIn, a)yr pH. � I ci JaOD �_to L -' 1Z t z - •rN awn wn o rM 1 �y ni Ei (T(y� h; x z�. N"r / �o -, r- �r� I K� FJN s o r C 8 I E�l mD hr7� • I n • LANDPROfcssionals,LLC HIGHLAND FARMS 0825/0'. •' • , s D RU Architects-Planners-Engineers OIL AND GAS EXHIBIT ' 3222302 tll(1 llill I'll 11111111 MI!JL' "" County,CO 17 of 20 R 101.00 04 11:55A 0.00 Weld tem Moreno Clerk&Recorder Exhibit 3 to Surface Use Agreement dated August 31,2004 among Anadarko E&P Company LP,Anadarko Land Corp., EnCana Energy Resources Inc.and Highland Acquisition Group,L.L.C. TERMINATION OF SURFACE OWNER'S AGREEMENT THIS TERMINATION OF SURFACE OWNER'S AGREEMENT ("Agreement")is made and entered into this day of ,2004,by and among ANADARKO E&P COMPANY LP, formerly known as Union Pacific Resources Company("Anadarko E&P"), ANADARKO LAND CORP.,formerly known as Union Pacific Land Resources Corporation ("Anadarko Land"), and HIGHLAND ACQUISITION GROUP,L.L.C. ("Surface Owner"). A. Surface Owner owns or has the option to purchase the surface estate for approximately 54 acres of property located in Weld County, Colorado, in the N/2NW/4 of Section 5, Township 1 North, Range 68 West, which is hereinafter referred to as the "Property"and specifically described in Exhibit A. • B. Union Pacific Resources Company and Eugene E. and Diana E. Godinho entered into a Surface Owner's Agreement dated August 3,1994 and recorded October 3, 1994 in Book 1461, Page 891 in the Office of the Clerk and Recorder of Weld County (the"Surface Owner's Agreement"). C. Pursuant to that certain Surface Use Agreement (so called herein) dated , among Anadarko E&P, Anadarko Land, and Surface Owner and others,Anadarko E&P,Anadarko Land and Surface Owner have agreed to terminate the Surface Owner's Agreement. D. This Agreement may be executed in counterparts, each of which shall be deemed an original. NOW THEREFORE, in consideration of the covenants and mutual promises set forth in this Agreement and the Surface Use Agreement, including in the recitals, the parties agree that the Surface Owner's Agreement is terminated and of no further force and effect, effective as of the earlier date of either 1)November 30, 2004; or ii)the date that Surface Owner sells,assigns or otherwise transfers all or any portion of the Property. HIED 1111111111 11111 11111111111111111 III 1111111 II IIII 3312267 08/11/2005 04:24P Weld County, CO 25 of 31 R 156.00 D 0.00 Steve Moreno Clerk& Recorder • ' r fill IIIII111111lIIlIIIIIIIIIIIIIIIIHI III 1111 18 off 20 11 0 D2004 10.00 StevedMoreno,Clerk&Recorder • CO HIGHLAND ACQUISITION GROUP, ANADARKO E&P COMPANY LP L.L.C. By: By: Name: Name: Its: Its: ANADARKO LAND CORP. By: Name: Its: ACKNOWLEDGMENTS • STATE OF TEXAS ) ) ss. COUNTY OF MONTGOMERY ) The foregoing instrument was acknowledged before me this__day of ,2004,by as for ANADARKO E&P COMPANY LP. My Commission expires: Witness my hand and official seal. Notary Public I!I11111111111111 11111 1111111 IIII lIIlII III 1111111 111111 3312267 08/11/2005 04:24P Weld County, CO 26 of 31 R 156.00 D 0.00 Steve Moreno Clerk&Recorder • 2 hIJI1111111 Milll 111111 11 1111111 111 111111 1II 1111 • 19 of3222f CO 20 09121 1/2004 10.0000 Steve Moreno Clerk& Recorder STATE OF TEXAS ) ) ss. COUNTY OF MONTGOMERY ) The foregoing instrument was acknowledged before me this day of ,2004,by as for ANADARKO LAND CORP. My Commission expires: Witness my hand and official seal. Notary Public • STATE OF COLORADO ) ) ss. COUNTY OF ) The foregoing instrument was acknowledged before me this day of ,2004 by as for HIGHLAND ACQUISITION GROUP,L.L.C. My Commission expires: Witness my hand and official seal. Notary Public 111111111111111111111111111!!IIII 111111111111111111 Ill! 3312267 08/11/2005 04:24P Weld County, CO 27 of 31 R 156.00 D WOO Steve Moreno Clerk& Recorder • 3 IIIII111111111111111111111111111Ili1111111111111 3222302 off 2008 01.00 D10.000 Steve Morena Clerk&Recorder EXHIBIT A to Termination of Surface Owner's Agreement dated ,2004 between and among Anadarko E&P Company LP,Anadarko Land Corp. and Highland Acquisition Group,L.L.C. Legal Description Lot B of Recorded Exemption No. 1467-05-2-RE3105, being part of the North one-half of the Northwest one-quarter of Section 5,Township I North,Range 68 West Weld County,Colorado • 1 I1N{I 1111111111 II]1111111 IIH 1111111111111111111111 3312267 0811112005 04.24P Weld County, CO 28 of 31 R 156.00 D 0.00 Steve Moreno Clerk&Recorder • 4 • I III1l1 IIIII IIIII IHII 1111111 IIWeld I 111111 III 1111111111III 005 04:24P County, CO 29 of 31 R 16.00 D 0.00 Steve Moreno Clerk&Recorder EXHIBIT 2 to Amendment to Surface Use Agreement dated June 22,2005 among Anadarko E&P Company LP,Anadarko Land Corp., EnCana Oil& Gas(USA) Inc. and Highland Acquisition Group,L.L.C. Oil and Gas Operations Area See attached copy. • • 6 cou.'p0..cw { Idamt e�m -� `y.l.lfYl A • // _ _ wm_ ^ 1 1 4 _ _ _nom__.if i• §E $ II I.L.. i psi �1a�p$�$ N I I \\ I . �S i 3 ;I: E: [ �1 1111 �" ' I:6 EL 3a � ' 1 r\ 1, 'I _ o f ' _ 'i_J$____ ____�_ I { d Ens to MS—tea % �_gl;ti /11'1%4 I , tete f tUrn ' �'1 1 YY6 IrI 111 �'�� ` \li E '''ilil c ' �Id lis) IEII giEG$ _ m —a�' in fOgj �§ `� �0, § `! /�f Ii §/tf /OS §'Vial—ei lc . ' g�loO le 'i, i ' F?t£I Nom C9 I�-..Lci. -- - - _....�, J hill . -a: / F �os ! — Il€ atio s.1 E!6 IA t' rt ill . ram ad Mr= I Y I I:I 'ICI 1 81 i billiii _, : 'fie 11N? t pay-______ _ ___ s a _ a v h GPC h 4E�g �� 's E.l• o Ili , Ili It S■�. o 6.214.9-064,g Q gay . r EI€st .Tlamcy22;103�� t0u / 'i _ \i1�;' NsEIIEYs�E i O�5 o mw —o iii ~coo i ! RI it :mgc12-msZ P_ UQ . d t II - u s+.-• _w-x..tdfms__. 's mcEt,FJ tl C F- \• 11/ - x O46! o o LLrm in ii 11 I G f .• !Pt ElllB -, .' ga 99 3 G �cii W W O �' f65 .2 tE !EE j �: E BY '1 • mDmStigEliD...b aocNicacooco U EcNr NLsm DDOJ Q 0.Z-- is w.2.,„ 5. '-- -g- i u) -0omcl L 0_o2 ,ni zw o N 11111111111lllllliii!1111111IIII111111IIIIlIIIIIIIlilt a g �c N 3312267 08/11/2005 04:24P Weld County, CO o o 0)cof _ p? m u.8 31 of 31 9 156.80 0 0.00 Steve Moreno Clerk& Recorder aG con Ill - _to 0 ti la CO CC I" Q Q<FF ZO F— • UN-433 QJ C0aLL,t) OJO Q Q / _ .- <WOO UU 0 V l'srcu r.•obtx IUD AlertNo4LVDm ; kl SY9daRRLYJNIYISLLIIa1Sj[ ---. sir=os vas Amato:*_ r±_/,0e • stiril MON irn. 0Y01 sworn* • MW310004 mow HNAL.KJONOL71LLLt7®plp*j JN3aJSYJ AVM-JO trial i a r � . 3JYJS____,2 _E IELKI 3 =.4 ..1= a q btSeclj0 3i; eg3g 2. 6.Eg. 111 at— cwQgE3s its ti.., aM o 3• 0 O=ii c cr l4, 28 2� aLL tap' b4 �22 Z^ / i JY \ W 4�4�j 0`` I 5 / /i .... ` . \/ I / .R' \ \ \ / / 61 �i `�\ b J tB a \ / e O 3 - ' $ o { ® Osi Osi 1 '1 I Li o a .a .3 l , .y- $ a 1 1 1 Yr 0 Q2 I 1 W — I 1 .• 1 I 7y"I. a3`e\? I 1 1,t D rag Val / �1 • 22o l li \• \ y 0 I\ k a I ; t I + a I e0 0 J ca CoZN o . y Z l x a r O I o j \ _-- I111111IIII!1Q11IIIlI 111111111111113251632 0111012006 03:26P Weld111III11111111II1II unty,CO rd 1 of 6 R 31.00 I) 0.00 Steve Moreno Clerk&!taco et MEMORANDUM OF AGREEMENT THIS MEMORANDUM OF AGREEMENT is entered into this 27th day of August, 2004, by and between ANADARKO LAND CORP., formerly known as Union Pacific Land Resources Corporation ("Anadarko Land"), with an address for business of Post Office Box 1330, Houston, Texas 77251-1330 and HIGHLAND ACQUISITION GROUP, L.L.C. ("Surface Owner")with an address of 6297 South Potomac Way, Centennial,Colorado 80111. A. Surface Owner either owns or has the option to purchase the surface estate for approximately 54 acres of property located in Weld County, Colorado, in Section 5, Township 1 North, Range 68 West, which Surface Owner proposes to develop as a residential subdivision and which is referred to hereinafter as the "Property" and more specifically described in the attached Exhibit A. B. Anadarko Land owns all of the minerals exclusive of oil,gas and associated liquid hydrocarbons that underlie the Property, as well as a reversionary interest in the oil, gas and associated liquid hydrocarbons; the minerals exclusive of oil, gas and associated liquid hydrocarbons are hereinafter referred to as"Minerals." C. Anadarko Land and Surface Owner have entered into an agreement that provides for the sale by Anadarko Land to Surface Owner of certain surface rights associated with the • Minerals that is entitled "Agreement Concerning Certain Mineral Rights"("Agreement'). D. The oil, gas and associated liquid hydrocarbons that underlie the Property are not the subject of the Agreement; however, they are the subject of a separate surface use agreement among Anadarko Land, Anadarko E&P Company LP (an affiliate of Anadarko Land) and Surface Owner and others. E. The parties desire, through the execution and recording of this Memorandum, to reaffirm and give notice of the Agreement and the rights and interests created in the Agreement. NOW, TI IEREFORE, in consideration of the covenants and mutual promises set forth in the Agreement and this Memorandum of Agreement, including in the recitals, the parties agree as follows: 1. Anadarko Land has granted to Surface Owner the right to purchase a relinquishment and quitclaim of surface rights for the Minerals under the terms, provisions and conditions set forth in the Agreement. 2. This Memorandum is not a complete summary of the Agreement and shall not be used in interpreting the provisions of the Agreement; nor in any way or manner does it amend, modify or affect the terms, provisions, conditions and exceptions of the Agreement, and the Agreement shall govern and control in all respects, the duties, obligations, covenants, warranties 1 • 11111 111 H111111111111101111 1 1 1 11111 IIIIIIII • 3251632 01/10/2005 03:26P Weld County, CO 2 of 6 II 31.00 0 0.00 Steve Moreno Clerk&Recorder and agreements of the parties. 3. This Memorandum shall be recorded in the Office of the Clerk and Recorder of Weld County. 4. This Memorandum may be executed in counterparts, each of which shall be deemed an original. IN WITNESS WHEREOF, the parties hereto have executed this instrument, to be effective on the date first above written. HIGHLAND ACQUISITION GROUP, ANADARKO LAND CORP. L.L.C. By: . By: Name: w Name: Its: — Its: • 2 !1!111Illil11111111111111111111111111IIIIIIIIHMI .3251632 01110/2005 03:26P Weld County,CO 3 of 6 R 31.00 0 0.00 Steve Moreno Clerk&Recorder and agreements of the parties. 3. This Memorandum shall be recorded in the Office of the Clerk and Recorder of Weld County. 4. This Memorandum may be executed in counterparts, each of which shall be deemed an original. IN WITNESS WHEREOF, the parties hereto have executed this instrument, to be effective on the date first above written. HIGHLAND ACQUISITION GROUP, ANADARKO LAND CORP ( L.L.C. By: By: Name: Name: Its: Its: V;c.Q • 2 111IIIMI111111II1¶11IIII1111111III11111IIII III1{ • 3251632 Steve Weld 4 at 6 fl 31.00 g'� ACKNOWLEDGMENTS STATE OF TEXAS ss. COUNTY OF MONTGOMERY ) The foregoing instrument was acknowledged before me this day of 2004 by _ as _ for ANADARKO LAND CORP. Witness my hand and official seal. My Commission expires: _ Notary Public STATE OF COLORADO • ) ss. COUNTY OF Den✓A, _ ) Th oregoin z instrument was acknowledged before me this 20111 day of Air 2004 by o . ( as µp y q n u for HIGHLAND ACQUISITION GROUP, L.L.C. Witness my hand and official seal. My Commission expires: _ if-2.-(9-DSO LAUREL ZABEL NOTARY PUBLIC STATE OF COLORADO yjcamwwn E$fl.naz4200 Notary Public 3 • 1111111 III!!1III UII 11111111111111111111111111011111 •3251632 0111012006 03:26P Weld Coenty, CO 5 ci 6 R 31.00 D 0.00 Sleve Moreno Clerk 8 Recorder ACKNOWLEDGMENTS STATE OF TEXAS ) ss. COUNTY OF MONTGOMERY ) The foregoing instrument was acknowledged before me this n.W" day of f Iouacrn ea 2004 by C I� .rC _ as ✓� Incs,Lrdr for ANADARKO LAND CORP. Witness my hand and official seal. My Commission expires: G j} 12 r�e� ) j d O i�d1l.ICI!llll�Clll✓b'✓!lilt (� l.I kit_ Let. t ctL l'y AMY H. BUCKMAN Notary Pus'is NOTARY PUBLIC.STATE OF TMIIAS + «� MY COMMISSION EXPIRES 1(l ' cr F JUNE28,2005 STATE OF COLORADO • ) ss. COUNTY OF The foregoing instrument was acknowledged before me this__ day of 2004 by as for HIGHLAND ACQUISITION GROUP, L.L.C. Witness my hand and official seal. My Commission expires: Notary Public 3 • 111111111111111111111111111111111111111 I I 11111111111111 • 3261632 01/10!2006 03:26P Weld County, CO 6 01 6 R 31.00 0 0.00 Steve Moreno Clerk 6 Recorder EXHIBIT A to Memorandum of Agreement dated August 27,2004 between Anadarko Land Corp. and Highland Acquisition Group,L.L.C. Legal Description Lot B of Recorded Exemption No. I467-05-2-RE3105, being part of the North one-half of the Northwest one-quarter of Section 5,Township I North,Range 68 West Weld County,Colorado • 4 • • INANE IIIII Ilill MI MI IIII 1111111 III 11111 IIII IIII 3253636 01/18/2005 11:28A Weld County, CO 1 0l 6 R 31.00 D 0.00 Steve Moreno Clerk&Recorder 6i MEMORANDUM OF AGREEMENT THIS MEMORANDUM OF AGREEMENT is entered into this 27th day of August, 2004, by and between ANADARKO LAND CORP., formerly known as Union Pacific Land Resources Corporation ("Anadarko Land"), with an address for business of Post Office Box 1330, Houston, Texas 77251-1330 and HIGHLAND ACQUISITION GROUP, L.L.C. ("Surface Owner")with an address of 6297 South Potomac Way,Centennial, Colorado 80111. A. Surface Owner either owns or has the option to purchase the surface estate for approximately 54 acres of property located in Weld County, Colorado, in Section 5, Township 1 North, Range 68 West, which Surface Owner proposes to develop as a residential subdivision and which is referred to hereinafter as the "Property" and more specifically described in the attached Exhibit A. B. Anadarko Land owns all of the minerals exclusive of oil,gas and associated liquid hydrocarbons that underlie the Property, as well as a reversionary interest in the oil, gas and associated liquid hydrocarbons; the minerals exclusive of oil, gas and associated liquid hydrocarbons are hereinafter referred to as"Minerals." C. Anadarko Land and Surface Owner have entered into an agreement that provides for the sale by Anadarko Land to Surface Owner of certain surface rights associated with the • Minerals that is entitled "Agreement Concerning Certain Mineral Rights" ("Agreement"). D. The oil, gas and associated liquid hydrocarbons that underlie the Property are not the subject of the Agreement; however, they are the subject of a separate surface use agreement among Anadarko Land, Anadarko E&P Company LP (an affiliate of Anadarko Land) and Surface Owner and others. E. The parties desire, through the execution and recording of this Memorandum, to reaffirm and give notice of the Agreement and the rights and interests created in the Agreement. NOW, THEREFORE, in consideration of the covenants and mutual promises set forth in the Agreement and this Memorandum of Agreement, including in the recitals, the parties agree as follows: 1. Anadarko Land has granted to Surface Owner the right to purchase a relinquishment and quitclaim of surface rights for the Minerals under the terms, provisions and conditions set forth in the Agreement. 2. This Memorandum is not a complete summary of the Agreement and shall not he used in interpreting the provisions of the Agreement; nor in any way or manner does it amend, modify or affect the terms, provisions, conditions and exceptions of the Agreement, and the Agreement shall govern and control in all respects, the duties, obligations, covenants, warranties 1 • 111111111111 IIIII 11111 111111 11111111111111111111111 101 al 366 11:28A Weld County, CO 2 0l 8 R01311.00 0 0.00 Steve Moreno Clerk 8 Recorder and agreements of the parties. 3. This Memorandum shall be recorded in the Office of the Clerk and Recorder of Weld County. 4. This Memorandum may be executed in counterparts, each of which shall be deemed an original. IN WITNESS WHEREOF, the parties hereto have executed this instrument, to be effective on the date first above written. HIGHLAND ACQUISITION GROUP, ANADARKO LAND CORP. L.L.C. By: By: Name: Name: Its: er-- Its: • 2 • 111111111111111111111\I*II 1111Il11 1nIy9X111�It 9311\ "36 1 0t11.00 1I stove CgouCleik Moron 3 of 6 p 31.00 D 0.00 and agreements of the parties. 3. This Memorandum shall be recorded in the Office of the Clerk and Recorder of Weld County. 4. This Memorandum may be executed in counterparts, each of which shall be deemed an original. IN WITNESS WHEREOF, the parties hereto have executed this instrument, to be effective on the date first above written. ,,pp HIGHLAND ACQUISITION GROUP, ANADARKO LAND CORP. Id L.L.C. e _By: By: Na Name: Name:, — Its: } -- Its: • 2 • 1111111111111111111111111111 l 1111111111111 l 1 l I I I l I 1 • 3253636 01/18/2005 11:28A Weld County, C0 4 of 6 R 31.00 0 0.00 Steve Moreno Clerk a Recorder ACKNOWLEDGMENTS STATE OF TEXAS ) ) ss. COUNTY OF MONTGOMERY ) The foregoing instrument p was acknowledged before me this 944- day of1T e- (ci_n 2004 by CA ✓74etc.Nes as Veer ANADARKO LA CORP. — `ES' Y for Witness my hand and official seal. My Commission expires: g1 w2a& `1G�VrllJ✓Illpl...LI�,/lIJIJ d., �1 i pie AMY H. BUCKMAN a '� . ; NOt4RY PIRJC.STATE OF TEAS Y�� -.1� I. g�+ MY UNE28,2005 Notary Public on JUNE28,2005 STATE OF COLORADO ) • ) ss. COUNTY OF ) The foregoing instrument was acknowledged before me this day of 2004 by as HIGHLAND ACQUISITION GROUP, L.L.C. for Witness my hand and official seal. My Commission expires: Notary Public 3 • SINN MIUM11111 I I I 11111111 I I I1111111111111 • 3253536 01/18/2005 11:28A Weld County,CO 5 of 5 R 31.00 D 0.00 Steve Moreno Clerk 8 Recorder ACKNOWLEDGMENTS STATE OF TEXAS ) ) ss. COUNTY OF MONTGOMERY ) The foregoing instrument was acknowledged before me this day of 2004 by as for ANADARKO LAND CORP. Witness my hand and official seal. My Commission expires: Notary Public • STATE OF COLORADO ) I�" ) ss. COUNTY OF LanV�y _ ) ThffjjfQQregoino instrrument was acknowledged bef re me this 2(otday of hgted_f ! 2004 by obgt f M .9 N(Th as for HIGHLAND ACQUISITION GROU L.L.C. Witness my hand and official seal. My Commission expires: 4-2 6 - OJ ZABEL NOTARY PUBLIC STATE OF COLOR^DO _MISOrnakffilowExpra Apra.3,zocs Notary Public 3 • 1111111 lIIll 1111111111111111 I11I 1111111 III 1111111111111 • 3253636 01/1812005 11:28A Weld County, CO 6 of 6 R 31.00 D 0.00 Steve Moreno Clerk A Recorder EXHIBIT A to Memorandum of Agreement dated August 27,2004 between Anadarko Land Corp. and Highland Acquisition Group,L.L.C. Legal Description Lot B of Recorded Exemption No. 1467-05-2-RE3105, being part of the North one-half of the Northwest one-quarter of Section 5,Township 1 North, Range 68 West Weld County,Colorado • 4 • 111111111111 1111 1111 111111 11111 HE III 111111111 I11l • 3316279 00/24/2005 02:47P Weld County, C0 1 of 22 Fl 111.00 D 0.00 Steve Moreno Clerk&Recorder Z% Highland Farms Subdivision Declaration of Covenants,Conditions and Restrictions THIS DECLARATION made and executed this day of ug ,200c by Highland Acquisition Group,L.L.C.("Declarant")as owner of o -Vts 1-9("Lot(s)")and the Ag Outlot (the "Ag Lot") of the Highland Farms Subdivision, Weld County, Colorado(the"Property"), pursuant to the plat thereof recorded,or to be recorded, in the real estate records of Weld County, Colorado(the"Final Plat"). The Property is the land to be burdened and the land to be benefited by the Covenants, Conditions, and Restrictions. Except where specifically included, the Ag Lot is not subject to this Declaration. WHEREAS,Declarant desires to develop the Property for residential purposes; WHEREAS, Declarant deems it desirable to subject the Property to the Covenants, Conditions and Restrictions set forth in this Declaration in order to preserve the values of the Lots and to enhance the quality of life for all owners of the Lots (the "Owner(s)"). WHEREAS, Declarant, therefore, declares that all of the Property is and shall be held, transferred, sold, conveyed and occupied subject to the terms, restrictions, limitations, conditions, covenants, obligations, liens, right of ways and easements, set • forth in the Declaration, all of which shall run with the Property and inure to the benefit of, and be binding upon, all parties having any right, title or interest in the Property or any portion thereof, and such person's heirs, grantees, legal representatives, successors and assigns. WHEREAS, Declarant hereby submits the real estate identified above to the provisions of the Colorado Common Interest Ownership Act, Sections 36-33.3-101 Colorado Revised Statutes("Act"),as it may be amended from time to time. In the event the Act is repealed, the Act, on the effective date of the Declaration, shall remain applicable. NOW, THEREFORE, Declarant does hereby declare that all of the Lots shall be held, sold and conveyed subject to the following Covenants, Conditions and Restrictions which are for the purpose of protecting the value and desirability of the Property and which shall run with the real property and be binding on all parties having any right,title or interest in the Lots or any part thereof their heirs, successors and assigns, and shall inure to the benefit of each Owner. The purpose of these resbictions is to ensure the use of the Property for attractive country residential purposes, to prevent nuisances, to prevent the impairment of the attractiveness of the Property and to maintain the desired tone of the subdivision and intended purposes of the Property and thereby to secure to each Owner the full benefit and enjoyment of his or her home with no greater restriction on the free and undisturbed use of each Lot than is necessary to ensure the same advantages to the other Owners. • C. ,m. t 2.�M r,gd,MIAQflR' fad]twgVt« 1 111111 11111 1111111111 111111 11111 III 1111 1111 ,3316279 08124/2005 02:47P Weld County,CO 2 of 22 R 111.00 D 0.00 Steve Moreno Clerk 8 Recorder 1. DEFINITIONS. The words and terms defined in the Declaration shall have the meanings herein set forth unless the context clearly indicates otherwise. Any term not defined shalt be construed pursuant to the Act or,if not defined in the Act, shall be given its common meaning. 1.1 Association. A Colorado Nonprofit Corporation known as The Highland Farms Homeowners Association, Inc., established pursuant to Article 2 of this Declaration. 1.2 Architectural Review Committee. A committee created by the Association pursuant to Section 5 of this Declaration. 1.3 Common Areas. Common Areas are all real and personal property owned, leased, or otherwise maintained by the Association for the common use and enjoyment of the Owners, including but not limited to common elements as defined in Colorado statutes, including designated open space lands, easements and rights of way for the common use and enjoyment of the Owners and improvements(including but not limited to open space irrigation system, open space landscaping, mail box structures, and school bus stops). 1.4 Declarant or Developer. The Declarant and/or Developer is • Highland Acquisition Group,L.L.C. ("Declarant"), its successors and assigns. 1.5 Developer Responsibilities. Refers to the construction of roads, pursuant to specifications required by Weld County, known as Highland Place and Highland Way, the construction of a mail box receptacle for the subdivision, the construction of a school bus stop for the subdivision and the creation and landscaping of open space as depicted on the Final Plat. 1.6 Lot. A residential lot as platted on the Property. 1.7 Quorum. Except as otherwise provided in this Declaration, the Owners present in person or by proxy at any meeting of Owners, representing fifty percent(50%)of the votes in the Association, shall constitute a quorum at that meeting. 1.8 Single Family Dwelling. An independent structure designed and occupied as a residence for a single family. 1.9 Subdivision. Highland Farms Subdivision. 2. THE ASSOCIATION. 2.1 Authority. The Association, through its Executive Board, shall manage the business affairs of Highland Farms Subdivision as provided in this Declaration • ClEISWInestweilanaibtrropOMACHUITConnielitd MIDAIMOSpd tines=WI.. 11111111111111111II11I 111111 II1111111111111111111111111 • 3 of 22 R11.00 D 0.00 SteVeel Moreno Clerk&Recorder so as to further the interests of the residents of the Subdivision and Members of the Association.The Association shall be governed by its Bylaws,amended from time to time. 2.2 Powers. The Association shall have such powers and authority that are permitted by the Act and necessary and proper to manage the business and affairs of the Subdivision. 2.3 Future Income. The Association may assign its future income, including its right to receive Common Expense assessments,only by the affirmative vote of the Lot Owners of Lots to which at least 51 percent of the votes in the Association are allocated, at a meeting called for that purpose. 2.4 Membership and Voting Rights. Every record owner of a Lot subject to this Declaration shall be a Member of the Association. Membership shall be appurtenant to and may not be separated from ownership of any Lot. Where more than one person holds interest in any Lot, all such persons shall be Members. The Association shall have one class of voting membership. The Owner or Owners of each Lot shall be entitled to one vote. 2.5 Developer Control of the Association. Subject to the provision of Article 4.7 hereof, there is a "Period of Declarant Control" during which Period the Declarant may appoint and remove any officer of the Association or any member of the Executive Board. The Period of Declarant Control shall terminate no later than (a) two • years after the last conveyance of a Lot by the Declarant in the ordinary course of business to Owners other than the Declarant or (b) upon Declarant executing and recording a Relinquishment of Declarant Rights indicating an earlier date of termination of the Period of Declarant Control. 2.6 night to Appoint and Remove A Declarant may voluntarily surrender the right to appoint and remove officers and members of the Executive Board before termination of the Period of Declarant Control. In that event, the Declarant may require, for the duration of the Period of Declarant Control, that specified actions of the Association or Executive Board, as described in a recorded instrument executed by the Declarant,be approved by the Declarant before they become effective. 2.7 Election by Owners. At a meeting called for this purpose which shall be held no later than the expiration of the Period of Declarant Control, the Owners shall elect the Executive Board of the Association, which shall be comprised of at least three (3) members, at least a majority of whom shall be Owners other than Declarant or designated representatives of Owners other than Declarant. 2.8 Executive Board. The Association shall be managed by its Executive Board (the "Board"). The Board shall be elected by a vote of the Owners in annual meetings or special meetings of the Association, at which a quorum is present, called for that purpose according to the Articles of Incorporation and By-Laws of the Association. The Board of shall have such powers and duties and shall serve for such terms of office as are set forth in the Articles of Incorporation and By-Laws of the Association. • Fn CarmP,NMVIMr 1 11111111111 11111I I I I I 111111 111111 11111 111 1111111111111 • 3316279 08/2412006 02:4W Weld County, CO 4 of 22 R 111.00 D 0.00 Steve Moreno Clerk&Recorder 4.1.1 Notwithstanding any provision to the contrary in this Declaration, the Owners other than Declarant shall be entitled to remove any member of the Board, other than any Director appointed by Declarant, by the affirmative vote of sixty-seven percent(67%)of the Owners other than Declarant. 3. ASSESSMENTS 3.1 Assessments. The Declarant and each Owner covenant and agree, or are deemed to covenant and agree by acceptance of a Deed to a Lot, to pay to the Association such Owner's allocated share of the Common Expenses. The term"Common Expenses"shall include the following items levied against a particular Owner or Lot:(i)the Owner's allocated interest in the Common Expenses; (ii) late charges, attorneys' fees, fines, and interest charged by the Association at the rate as determined by the Executive Board;(iii)charges against a particular Owner and the Lot for the purpose of reimbursing the Association for expenditures and other costs of the Association in curing any violation of these Covenants or other governing documents of the Association or Highland Farms Subdivision; and (iv)any sums permitted by these Covenants, other governing documents of the Association or Highland Farms Subdivision and the Act to be assessed against a particular Owner or Lot. Common Expenses shall be assessed to the Owners in one or more of the following categories(to be known collectively as"Assessments"): 3.2 General Assessments for expenses included in the budget, • 3.3 Special Assessments for the purposes provided in this Declaration, and 3.4 Individual Lot Assessments for any charges particular to that Lot. 3.5 Upon default in the payment of any one or more installment payment(s), the Executive Board may accelerate the entire balance of such Assessment,which shall be declared due and payable in full. 3.6 General Assessments. The Executive Board shall set the date or dates such assessments become due and may provide for collection of assessments annually or in monthly, quarterly or semiannual installments. During the initial year of ownership, each Owner shall be responsible for his or her pro rata share of the annual General or Special Assessment charged to each Lot,prorated to the month of closing. 3.7 Special Assessment. In addition to the General Assessment, the Executive Board may levy in any fiscal year a Special Assessment applicable to that year and not more than the next four succeeding years as follows: (a) Capital Improvements. Any substantial capital improvement which has been approved in accordance with this Declaration, the Bylaw, Rules and Regulations ("Capital Improvements"), or any capital improvement not required to be approved by the Members,may be paid by Special Assessment. • M,p�yby„PBCe,ps MDf�f1Yt 1111111 ll1i11111111111111111111111!1111 111 IiIII Ill!iIII 55 of 22 R11411.00 5D 0.00 StewvelMoreCO no Clerk& Recorder (b) Emergency Assessment. By a two-thirds (2/3) vote, the Executive Board may impose a Special Assessment for any unusual or emergency maintenance or repair, or other expense required by this Declaration or the law (including, after depletion of reserves, any unexpected expenditures not provided by the budget or unanticipated increases in the amounts budgeted). 3.8 Individual Lot Assessment. The Executive Board may levy at any time an Individual Lot Assessment against a particular Lot for the purpose of defraying, in whole or in part,the cost of any special services to that Lot, for expenses approved by the Association, or any other charges designated in this Declaration as an Individual Lot Assessment. 3.9 Effect of Non-Payment of Assessment:Remedies. All Assessments, together with any late fee, interest and cost of collection when delinquent, including reasonable attorneys' fees whether or not suit is brought (collectively the "Assessment Charge") shall be the personal obligation of the Owner of the Lot at the time when the assessment was levied as well as the personal obligation of any and all subsequent Owners of the Lot, if unpaid. No Owner may waive or otherwise escape liability for the Assessment Charge by transfer,sale, or abandonment of the Lot. 3.10 Creation of Lien. The Assessment Charge shall also be charged on • the land and shall be a continuing lien upon the Lot against which the Assessment Charge is made, which may be enforced upon recording of a claim of lien, which lien shall be superior to all other liens excepting any tax lien, any first mortgage (including Deed of Trust)recorded prior to the recording of the lien provided for herein. This lien,in favor of the Association, shall secure the Assessment Charge which is then due and which may accrue subsequent to the recording of the claim of lien and prior to entry of final judgment of foreclosure. Any subsequent owner of the Lot shall be deemed to have notice of the Assessment Charge on the land,whether or not a lien has been filed. 3.11 Late Payments. If the Assessment is not paid within thirty(30)days after the delinquency date,the Assessments shall bear interest from the date of delinquency at the rate of eighteen percent(18%)per annum, plus a late payment charge of Ten Dollars (810.00) per month, and the Association may bring an action at law against the Owner personally obligated to pay the same or to foreclose the lien against the property subject thereto; and there shall be added to the amount of such Assessment, interest as above provided,plus all costs of collection, including the Association's reasonable attorney's fees incurred in connection with the default and collection of amount due. 3.12 Filing of Lien. If the Association elects to file a lien, the Association may file with the Clerk and Recorder of Weld County, Colorado, a Statement of Lien with respect to the Lot,setting forth the name of the Owner,the legal description of the Lot, the name of the Association, and the amount of delinquent Assessments then owning, which Statement than be duly signed and acknowledged by the President or Vice President of the Association, and which shall be served upon the Owner of the property by 111111111111111111111111111111111111111 III 1111111111111 • 3316279 08/24/2005 02:47P Weld County, CO 6 al 22 R 111.00 D 0.00 Steve Moreno Clerk& Recorder certified mail to the address of the property or at such other address as the Association may have in its records for the Owner of the property. Thirty(30)days following the mailing of such notice, the Association may proceed to foreclose the Statement of Lien in the same manner as provided for the foreclosure of mortgages under the statutes of the State of Colorado. 3.13 Notice to First Mortgagee. A First Mortgagee is entitled to written notification of any default by the Owner of a Lot upon which their mortgage exists when there is a default in the performance of such Owner's obligations and such default has continued for a period of thirty(30)days. 3.14 Actions at Law. In either a personal or foreclosure action, the Association shall be entitled to recover as a part of the action the interest, costs and reasonable attorney's fees with respect to the action. No Owner may waive or otherwise escape liability for the Assessments provided for herein by non-use of the Common Areas, Common Facilities or abandonment of his/her Lot. (a) Perfection and Notice of Lien. Recording of the Declaration constitutes record notice and perfection of the lien. No further recordation of any claim of lien for Assessments under this Article is required. The Executive Board may prepare, and record in the county in which the Lot is located, a written notice setting forth the amount of the unpaid indebtedness,the • name of the Owner of the Lot, and a description of the Lot. If a lien is filed, the cost thereof shall be considered an Assessment Charge. (b) Suit for Payment: Foreclosure of Lien. The Association may bring an action at law against the Owner personally obligated to pay the Assessment Charge, or may foreclose the lien in a manner similar to a mortgage lien(as further provided above), or both.The Association,acting on behalf of the Owners, shall have the power to bid for an interest in any Lot foreclosed at such foreclosure sale and to acquire, hold,lease, mortgage and convey the Lot. (c) Other Remedies. The Association shall have the right to assess fines and suspend the voting rights and right to use of the Common Area by an Owner for any period during which any Assessment against his/her Lot remains unpaid. 3.15 Certification of P yment. The Treasurer of the Association, upon request of any Owner, shall .furnish a certificate signed by a member of the Executive Board stating whether any assessments are paid to date by that Owner. by a er. Such certificate, be when co-signed by the Secretary of the Association, may upongood a purchaser or mortgagee as conclusive evidence of payment of any assessment therein stated to have been paid. • m n„w.,,,. Sc, . 1 11111 1111 11111 1111 11111 1111 11111 111 111 111111 Recorder • 3316279 0312412005 02:47P Weld County, CO 7 o 111.00 D 0.00 Steve Moreno Clerk& 3.16 Examination of Books and Records. A first mortgagee shall have the right to examine the books and records of the Association upon reasonable advance notice. 3.17 Notice to Mortgagee. Upon request of a mortgagee of any Lot, the Association shall report to such mortgagee any unpaid Assessments or other default under the terms of this Declaration which are not cured by said mortgagee's mortgagor within thirty(30)days. A report fee may be charged by the Association to the mortgagee to cover the cost of these services. 3.18 Notice of Meetings. Any first mortgagee of a Lot, upon written request, shall be entitled to written notice of all Association meetings and be permitted to send a representative to such meetings. 3.19 Mortgagee as Proxy. Each Owner shall have the right to irrevocably constitute and appoint the beneficiary of a trust deed to his/her true and lawful attorney to cast his/her vote in this Association at any and all meetings of the Association and to vest in the beneficiary any and all rights,privileges and powers that he has as Owner under the Articles of Incorporation and Bylaws of the Association or by virtue of the recorded Declaration of Covenants,Conditions,and Restrictions. Such proxy shall become effective upon the filing of notice by the beneficiary with the Secretary of the Association at such time or times as the beneficiary shall deem its security in jeopardy by reasons of failure, neglect or refusal of the Association,the managing agent or the Owners to carry out their • duties as set forth in the Declaration of Covenants,Conditions and Restrictions. A release of the beneficiary's deed of trust shall operate to revoke such proxy. Nothing herein shall be construed to relieve an Owner as mortgagor of his/her duties and obligations as an Owner or to impose upon the beneficiary of the deed of trust the duties and obligations of an Owner. 3.20 Payment of Assessments by Mortgagees. Mortgagees of a Lot may, jointly or singly, pay taxes, Assessments or other charges which are in default and which may or have become a charge against any Lot. 4. MAINTENANCE OF COMMON AREAS 4.1 Maintenance Program.Common Areas and Drainage Facilities. The Association shalt establish a reasonable regular maintenance program for the Common Areas and drainage facilities. 4.2 Routine Safety Inspections: Correction of Unsafe Conditions. The Association shall cause routine safety inspections to be made of the Common Areas and promptly make reasonable cog a ..ions of unsafe conditions. 4.3 Common Maintenance Costs. Common Maintenance Costs shall be those costs necessary for the maintenance, repair and/or replacement of Common Areas. Such Common Areas include,but are not limited to the following: (a) Emergency access roads located in the open space; 11111111111111E1111111111$111111.1111111,1111111 1111111111111 E1111~11111$11 i1i�1«1111,1111111 • a of 22 R 1112 0 0.00 Steve Moreno Clerk&Recorder (b) Riparian areas, if any; (c) Selected easements owned or held by the Association; (d) Designated open space; (e) Outlots; (f) Stormwater retention and/or detention facilities; (g) Stormwater conveyance facilities including drop structures, if any, inlet and outlet structures, stormwater conveyance swales and/or ditches in Common Areas, excluding swales and structures running through,over,under and/or adjacent to Lots held in private ownership; (h) Site identification signs; (i) Site informational and/or directional signage; (j) Incidental facility lighting, excluding street area lighting; (k) Irrigation systems, excluding such systems owned by individual Lot Owners; • (I) Common gardens and/or entry features; (m) Security gates,if any; (n) Perimeter fencing, if any; (o) Security fencing, if any; and (p) Any other facilities, area, features, or elements the maintenance responsibility for which the majority of the Association may accede. The cost and expense of all maintenance assumed by the Association shall be paid for with Association funds collected by Assessments or otherwise as elsewhere provided in this Declaration. 5. ARCHITECTURAL REVIEW BOARD 5.1 Establishment and Membership of Architectural Review Committee. An Architectural Review Committee has been established by Declarant. The Architectural Review Committee shall continue until such time as the Association may be terminated. The Architectural Review Committee shall initially consist of the Declarant. During the Period of Declarant Control, the Declarant shall appoint the Architectural Review 111111111113/411111111111111111111)1111111111111 •331 3 of 22 R 111.00 D 0.00 Steve Moreno Clerk&Recorder Committee. Thereafter the Architectural Review Committee shall be appointed by the Executive Board. 5.2 Professional Builder. Each Owner shall retain a qualified contractor to construct the residence and all significant improvements on such Owner's Lot. 5.3 Address of Architectural Review Committee. The address of the Architectural Review Committee shall be at the principal office of the Association. 5.4 Submission of Plans. Prior to commencement of work within the Subdivision to accomplish any proposed improvement to property, the person proposing to make such improvement to property("Applicant")shall submit to the Architectural Review Committee at its offices such descriptions, surveys, plot plans, drainage plans, elevation drawings, landscaping plans, construction plans, specifications and samples of materials and colors as the Architectural Review Committee shall reasonably request showing the nature, kind, shape, height, width, color, materials, and location of the proposed improvement to property. The Applicant shall be entitled to receive a receipt for the same from the Architectural Review Committee or its authorized agent. The Architectural Review Committee may require submission of additional plans, specifications or other information prior to approving or disapproving the proposed improvement to property. Until receipt by the Architectural Review Committee of all required materials in connection with the proposed improvement to property, the Architectural Review Committee may postpone review of any materials submitted for approval. • 5.5 Criteria for Approval. The Architectural Review Committee shall approve any proposed improvement to property only if it deems in its reasonable discretion that the improvement to property in the location indicated will not be detrimental to the appearance of the surrounding areas of the development as a whole;that the appearance of the proposed improvement to property will be in harmony with the surrounding areas of the Subdivision; that the improvement to property will not detract from the beauty, wholesomeness and attractiveness of the Subdivision or the enjoyment thereof by Owners; and that the upkeep and maintenance of the proposed improvement to property will not become a burden on the Association. The Architectural Review Committee may condition its approval of any proposed improvement to property upon the making of such changes therein as the Architectural Review Committee may deem appropriate. 5.6 Architectural Review Committee Guidelines or Rules. The Architectural Review Committee shall issue guidelines or rules relating to the procedures, materials to be submitted and additional factors which will be taken into consideration in connection with the approval of any proposed improvement to property. 5.7 Architectural Review Fees. The Architectural Review Committee may, in its guidelines or rules, provide payment of fees to accompany each request for approval of any proposed improvement to property. The Architectural Review Committee may provide that the amount of such fees shall be uniform for similar types of any proposed improvement to property, or the fees may be determined in any other reasonable manner, such as based upon the reasonable cost of the proposed improvement to property. I 111111 11111 11111 11111 111111 111111 11111 111 111111 N 11111 • 3316279 08/2412005 02:47P Weld County,Co 10 of 22 R 111.00 D 0.00 Steve Moreno Clerk&Recorder 5.8 Decision of Architectural Review Committee. The decision of the Architectural Review Committee shall be made within thirty(30)days after receipt by the Architectural Review Committee of all materials required by the Architectural Review Committee. The decision shall be in writing and, if the decision is not to approve a proposed improvement to property,the reason therefore shall be stated. The decision of the Architectural Review Committee shall be promptly transmitted to the Applicant at the address furnished by the Applicant to the Architectural Review Committee. 5.9 Failure of Architectural Review Committee to Act on Plans. The Architectural Review Committee shall attempt to review plans submitted to it within thirty days(30)after receipt of all required materials. However, failure to approve or disapprove said plans within such time frame shall not affect the right of the Architectural Review to render a decision on said plans thereafter. 5.10 Notice of Completion. Promptly upon completion of the improvement to property, the Applicant shall give written notice of completion to the Architectural Review Committee and, for all purposes hereunder, the date of receipt of such notice of completion of such improvement to property. 5.11 Inspection of' Work The Architectural Review Committee or its duly authorized representative shall have the right to inspect any improvement to property prior to or after completion. The right of inspection shall terminate thirty (30) days after the Architectural Review Committee shall have received a notice of completion from the • Applicant, provided that the Architectural Review Committee is given full access and opportunity to undertake such inspection. Failure to allow such inspection shall extend the time frame to complete the inspection as the Architectural Review Committee may reasonably require. 5.12 Notice of Noncompliance. If, as a result of inspections or otherwise, the Architectural Review Committee finds that any improvement to property has been done without obtaining the approval of the Architectural Review Committee or was not done in substantial compliance with the description and materials furnished by the Applicant to the Architectural Review Committee or was not completed within one year after the date of approval by the Architectural Review Committee, or was not commenced within two years of the conveyance of the Lot to the Lot owner, the Architectural Review Committee may notify the Applicant or Lot owner in writing of the noncompliance. The notice shall specify the particulars of the noncompliance and shall require the Applicant to take such action as may be necessary to remedy the noncompliance. 5.13 Failure of Architectural Review Committee to Act After Completion. Upon receipt by the Architectural Review Committee of a written notice of completion from the Applicant, the Architectural Review Committee shall attempt to inspect the property and advise the Applicant of any noncompliance within thirty(30)days, but failure to do shall not affect the Architectural Review Committee's right to thereafter give a notice of noncompliance. • y®MY~M1 G�96A., 111111111111111111(1111111111111111111111111111111111 • 3316279 00/2412005 00.47P Weld County, CD 11 of 22 R t11A0 D 0.DD Steve Moreno Clerk&Recorder 5.14 Correction of Noncompliance. If the Architectural Review Committee determines that a noncompliance exists,the Lot Owner shall remedy or remove the same within a period of not more than forty-five(45) days from the date of receipt by the Lot Owner of the ruling of the Architectural Review Committee. If the Lot Owner does not comply with the Architectural Review Committee's ruling within such period, the matter may be referred to the Association,and the Association may,in its discretion, record a notice of noncompliance against the real property on which the noncompliance exists, may institute judicial proceedings to allow it to remove the non complying improvement, or may otherwise remedy the noncompliance, and the Lot Owner shall reimburse the Association, upon demand, for all expenses incurred therewith. If such expenses are not promptly repaid by the Applicant or Owner to the Association, the Association may levy a reimbursement assessment against the owner for such costs and expenses. The right of the Association to remedy or remove any noncompliance shall be in addition to all other rights and remedies which the Association may have at law, in equity,or under this Declaration. 5.15 No Implied Waiver or Estoppel. No action or failure to act by the Architectural Review Committee or by the Association shall constitute a waiver or estoppels with respect to future action by the Architectural Review Committee or the Association with respect to any improvement to property. Specifically,the approval by the Architectural Review Committee of any improvement to property shall not constitute approval of; or obligate the Architectural Review Committee to approve, any similar proposals, plans, specifications or other materials submitted with respect to any other proposed improvement. • 5.16 Architectural Review Committee Power to Grant Variances. The Architectural Review Committee may authorize variances from compliance with any of the provisions of this Declaration or any Supplemental Declaration, including restrictions upon height, size, floor area or placement of structures or similar restrictions, when circumstances such as topography, natural obstructions, undue hardship, aesthetic or environmental considerations may require. Such variances must be evidenced in writing and shall become effective when signed by at least a majority of the members of the Architectural Review Committee. If any such variance is granted, no violation of the provisions of this Declaration or any Supplemental Declaration shall be deemed to have occurred with respect to the matter for which the variance was granted;provided,however, that the granting of a variance shall not operate to waive any of the provisions of this Declaration or any Supplemental Declaration for any purpose except as to the particular property and particular provision hereof covered by the variance, nor shall the granting of a variance affect in any way the owner's obligation to comply with all governmental laws and regulations affecting the Property concerned, including, but not limited to, zoning ordinances and setback lines or requirements imposed by any governmental authority having jurisdiction. 5.17 Compensation of Members. Members of the Architectural Review Committee shall receive no compensation for services rendered,except for its professional members, who shall be reasonably compensated for their services. All members shall receive reimbursement for out of pot expenses actually incurred by them in the performance of their duties hereunder. 111111 11111 V 111111111 111111 VIII III 111111 11 1111 • 9132"1"22138/12141112 100.00P StWeeveldMCoorenuntt Clerk&Recorder 518 Meetings of Architectural Review Committee. The Architectural Review Committee shall meet form time to time as necessary to perform its duties hereunder. The Architectural Review Committee may, from time to time, by resolution in writing adopted by a majority of the members, designate an Architectural Review Committee Representative (who may, but need not, be one of its members) to take any action or perform any duties for or on behalf of the Architectural Review Committee, except the granting of approval to any improvement to property and granting of variances. The action of such Architectural Review Committee Representative within the authority of such Architectural Review Committee Representative or the written consent or the vote of a majority of the members of the Architectural Review Committee shall constitute action of the Architectural Review Committee. 5.19 Records of Actions. The Architectural Review Committee shall report in writing to the Association's Executive Board all final actions of the Architectural Review Committee and the Architectural Review Committee shall keep a permanent record of such reported actions. 5.20 Approval or Disapproval Certificates. The Association shall, upon the reasonable request of any interested party and after confirming any necessary facts with the Architectural Review Committee, furnish a certificate with respect to the approval or disapproval of any improvement to property or with respect to whether any improvement to property was made in compliance herewith. Any person without actual notice to the contrary shall be entitled to rely on said certificate with respect to all matters set forth • therein. 5.21 No liability for Architectural Review Committee Action. None of the Architectural Review Committee,any member of the Architectural Review Committee, any Architectural Review Committee Representative, the Association, nor any member of the Association's Executive Board or Developer shall be liable for any loss, damage or injury arising out of or in any way connected with the performance of the duties of the Architectural Review Committee, except that individuals may be liable for their own willful misconduct or bad faith. The Architectural Review Committee does not review property or improvements for safety or compliance with state and local law, and shall not be liable for injuries or claims related thereto. 6. ARCHITECTURAL STANDARDS 6.1 Restrictions. No building, barn corral, shed, storage structure, awning, fence or any other structure shall be erected, placed or altered on any Lot, nor shall there be any external modifications to any such structure, until the plans and landscaping specifications showing the nature,kind, shape,height, materials and location of the same have been submitted to and approved in advance by the Architectural Review Committee in writing. No material landscaping shall be installed on any Lot, or altered thereafter,unless a landscaping plan showing the nature,type, height, and location of the proposed landscaping improvements has been submitted to and approved in advance by the Architectural Review Committee, in writing. Without limiting the generality of the foregoing, prior approval of the Architectural Review Committee must be obtained for naiavw+r. t.. n.tr 1 11)11 1111 1111 1111 111111 11111 1111 III 111111 III IIII 3316279 08/24/2005 02:47P Weld County, CO 13 of 22 R 111.00 D 0.00 Steve Moreno Clerk& Recorder any of the following: (i) attachments to the exterior of a structure, (ii) installation of greenhouses, (iii) installation of patio covers„ landscaping, screening, trellises and the like, (iv) change in exterior paint colors (v) installation of any barn, corral, shed, or storage building (vi) any other exterior change, including cosmetic changes such as location, garage doors, shutters and the like. The authority of the Architectural Review Committee shall extend to the quality, workmanship and materials for any structure proposed; conformity and harmony of exterior design, and finish with existing structures within the Subdivision; location of all structures with respect to the existing buildings, topography and finished ground elevation; and all other matters required to assure that sure structures enhance the quality of the Subdivision and are erected in accordance with the plan for the Subdivision. 6.2 Guidelines and Rules. The Architectural Review Committee shall adopt Guidelines and Rules governing the type of structures to be permitted in the Subdivision, permitted construction materials and the like_ These Guidelines and Rules are made for the purpose of creating and keeping the Subdivision, so far as possible, desirable, attractive, beneficial, uniform, and suitable in architectural design, materials, and appearance; limiting the use of lots to single family residential dwellings; guarding against unnecessary interference with the natural beauty of the Subdivision; locating structures on lots so as to minimize to the extent reasonably possible, the obstruction of views of other Lot Owners and prohibiting improper uses of adjoining properties in the Subdivision,all for the mutual benefits and protection of all Owners. • 6.3 Size. The total square footage of the main structure of each private dwelling, exclusive of garages, carports, porches and patios shall not be less than 2500 square feet for single story dwellings and 3200 square feet for multiple story dwellings. No building shall exceed forty feet(40') in height as measured from ground level, and no building shall exceed two (2) stories and a loft as viewed from the street side. All dwellings must be constructed on site. 6.4 Garages and parking. Each Single Family Dwelling shall have an attached garage having space for at least two(2)automobiles. An additional garage may be constructed, if approved by the Architectural Review Committee. Each Lot must have provision for off street parking for at least two (2) automobiles, exclusive of garage space. Off street parking shall be provided in such a manner as to not block or impair garage access to and from the street. 6.5 Uniform Building Code. Any and all structures constructed upon or placed upon the subdivision, including but not limited to residential dwellings and all detached outbuildings shall be built to and comply with the Uniform Building Code as adopted by the Uniform Building Code for the State of Colorado. 6.6 Ground Cover. Each Owner agrees to maintain adequate ground cover free of noxious weeds on their described property so wind or water erosion does not occur and cause damage to adjacent property. Any ground cover loss due to construction shall be replaced within the first growing season. 110111 11111 11111 11111 111111 11111111111 111111111111111 • 1341"22721111).: 02.4W Weld County, CD D 0.00 Steve Moreno Clerk&Recorder 6.7 Sales and Construction Facilities of Declarant.Notwithstanding any provision in this Article 6, Declarant, any participating builders, and their agents, employees and contractors shall be permitted to maintain during the period of construction and sale of the homes in the Subdivision upon such portion of the Property as Declarant may choose, such facilities as in the sole opinion of the Declarant may be reasonably required, convenient, or incidental to the construction, sale or rental of Lots and residences including, but not limited to, construction and storage areas, construction trailers, model homes and business and sales offices located in any Lots in the Subdivision, lighting, and temporary parking facilities for all employees of Declarant, provided, however, that the limit on Declarant's right to use the Property for sales purposes shall not limit its right to use the Properties for construction or development purposes; provided further that these rights shall terminate no later than ten(10)years after the effective date of this Declaration, and provided further, that such use shall not unreasonably interfere in any way with the right of ingress or egress to any privately owned residence and the use and enjoyment thereof as a private residence, nor the rights of ingress or egress to the Common Area and any improvements thereon, nor the use thereof for recreation or other proper purposes by the Owners and the Members,agents and Officers of the Association. 7. LAND USE AND OTHER RESTRICTIONS 7.1 Residential Lots. The land use of the lots shall be residential Single Family Dwellings. Buildings shall comply with state and local law, the requirements of the Architectural Review Committee as set forth in Article 8 and the • Architectural Standards as set forth in Article 9. 7.2 Ag Lot. The Ag Lot shall be used for agricultural purposes only. 7.3 Lot Owner to Maintain Entire Lot. Each Owner is responsible for maintenance and landscaping of his or her entire Lot, including portions subject to any utility and drainage easements. Easements for the installation and maintenance of utilities, trails, landscaping, and drainage facilities are reserved as shown on the Final Plat, and include any recorded at a later date. Within these easements,no structure,planting or other materials shall be placed or permitted to remain that may(1)damage or interfere with the installation and maintenance of utilities, (2) change the direction of flow of drainage channels in the easements which hinders or obstructs the use of the trails system, or (3) adversely affects landscaping installed by the Developer. If any landscaping or structure is installed that violates such requirements, the Association may give the property owner written notice to remove such landscaping or structure within fifteen (15) days. If the owner fails to move the landscaping or structure within that time,the Association may have such work done at the expense of the owner of the Lot. The Owner shall pay for such work within thirty(30) days after written notice to the Owner of the cost of such work. In the event of failure to pay within that time, the Association may take legal action against the Lot Owner. The Lot Owner shall be liable for any attorney's fees, expenses, and costs incurred by the Association in the attempt to collect monies due and owing. 7.4 Limitations of Land Use. No building or other structure shall be erected upon each Lot except for one private residential dwelling, together with no more • ClataimstthimatesilelemettilAMPUIPCsonnanitIONffelimilfta Ceram m;pr 1111111 11111 11111 11111 111111 1101 1111II1111111 1111111 3316279 08/24/2005 02:47P Weld County, CO • 15 of 22 R 111.00 0 0.00 Steve Moreno Clerk& Recorder than two detached outbuildings. Each private dwelling may have a garage, patio, porch or breezeway, which shall not be considered a detached outbuilding, so long as such structure is attached to the private dwelling. 7.5 Temporary Structures. No structure of a temporary character,such as a trailer, basement, tent, storage shed or shelter, garage, barn, or other out building, shall be permitted on any Lot at any time, except by the Developer during the process of construction, or as approved by the Architectural Review Committee. 7.6 Nuisance. Nothing shall be done upon any Lot that shall be or may become an annoyance or nuisance to the adjoining property owners. No noxious, illegal, dangerous or offensive activity shall be carried on upon any Lot of the subdivision. No instrumentalities creating loud and obnoxious noises shall be allowed. 7.7 Unsightly Uses. Each Lot shall, at all times, be kept in a clean and wholesome condition. No trash, litter, junk, boxes, containers, bottles, abandoned, unlicensed or disabled cars, abandoned or disabled farm implements or machinery, car parts, car bodies or machinery parts shall be permitted to remain exposed to view upon any Lot. 7.8 Garbage and Trash Removal. No Lot or part of any Lot, including the Ag Lot, of the subdivision shall be used or maintained as a dumping ground for rubbish. Trash, garbage or other waste shall not be kept, except in sanitary containers. All containers or other equipment for storage or disposal of such materials shall be kept • in a clean and sanitary condition. MI residents within the Subdivision shall have their trash picked up by the same trash-hauling company on the same day of the week. Selection of the trash-hauling company shall be the responsibility of the Association. Each resident within the Subdivision shall be separately liable for the trash-hauling charges for his/her Lot. Incinerators and burning of trash are not allowed 7.9 At-Home Professions. Residents may be allowed to work in their homes only in accordance with Weld County land-use and zoning regulations for the (E) Estate Residential Zone and subsequent amendments. Any at-home employment shall be conducted only by a resident of the dwelling. Retail sales shall not be conducted on any Lot,and no evidence of the at-home profession shall be visible from outside the dwelling unit. 7.10 Disabled or Junk Vehicles. Disabled or Junk vehicles shall not be stored on streets,driveways or Lots. No person shall repair or rebuild any vehicle within the Subdivision,except within a garage or outbuilding. 7.11 Restrictions on Leasing of Residences. A Lot owner may lease his/her residence, provided the entire residence is leased. Any lease agreement shall include language that states all provisions of this Declaration will be observed. The Lot Owner shall include a provision in any lease stating that violations of this Declaration constitute a default under the lease. C IDshelmoelmarnSVOCIWOramsosN Il1AVIIN In fawO]YM1Y�li. 1111111IILII111111111111111111111111 III 111111111IIII 3316279 08/24/2095 02:47P Yield away, CO • 16 of 22 R 111.08 D 0.06 Steve Moreno Clerk&Recorder 7.12 Solar Energy Devices. The utilization of solar energy devices is encouraged. All solar energy devices must either be a) architecturally and aesthetically integrated into the structure they serve, or b) screened from the view of the street and adjacent Lots and streets. All solar devices and their placement must be approved by the Architectural Review Committee. 7.13 Wind Energy Devices. The utilization of wind energy for a single family dwelling unit is not considered economically viable at this time and is discouraged. Exceptions may be considered by the Architectural Review Committee. 7.14 Fencing. The Architectural Review Committee shall approve in advance any fencing within the Subdivision. For perimeter fences, the fence shall be three(3)rails, four feet(4')in height.No barbed wire shall be allowed on any residential lot. 7.15 Outside Lighting. No outside lighting shall be installed without prior written approval by the Architectural Review Committee. 7.16 Antennas. No television antenna, radio antenna or similar equipment shall be mounted on the exterior of any building or erected on any other portion of a Lot. Satellite dishes may be installed and maintained if screened from the view of the other Lots. The location and screening method for each satellite dish must be approved in advance by the Architectural Review Committee. • 7.17 Sanitary Sewer/Septic Systems. Each respective Owner shall construct and maintain on his or her Lot an individual sanitary sewer system pursuant to all rules and regulations of local, county and state authorities. Primary and secondary septic systems on the Lot shall be installed and maintained in accordance with the requirements delineated on the Final Plat. Activities such as permanent landscaping, structures, dirt mounds, or other items are expressly prohibited in the absorption field site. 7.18 Restrictions on Replatting or Subdividing. No replotting or further subdivisions of the Property shall be allowed unless approved by the Association and in accordance with applicable Local,County, State and Federal regulations. 8. ANIMAL AND AGRICULTURAL RESTRICTIONS 8.1 Equine Animals. Each Lot is allowed a maximum of two (2) Equine Animals on the Lot. Such equine animals shall be maintained in proper enclosures or corrals and may not be allowed to roam or graze at large upon the Common Areas of the Subdivision. 8.2 Dogs and Cats. Each Lot is allowed a maximum of four dogs and four cats, not including unweaned litters. Dog(s) and cat(s) are restricted to their respective Lots and are not allowed to roam at large within the Subdivision. Owners shall maintain proper animal enclosures and restraints for all pets. Dogs and cats may be 11of2 R 1 11111111111111111111111111111111111111111111111111111 211.00 D 0.00P Steve Moreno Clerk&Recorder walked on the Common Areas. The Association may require any pet considered a nuisance to be kept within the enclosed portion of its owner's Lot. 8.3 Agricultural or Other Animals. Except as provided herein, no livestock,cattle,birds, llamas,poultry, fowl,or any other animals that would routinely be expected to reside outside of the primary residence are be allowed within the Subdivision. The Association may, from time to time, promulgate new rules and regulations concerning animals, including possible waiver for activities such as 4-H projects. 8.4 Agricultural Activities. All agricultural activities and the raising of any Animal Units or produce of any nature permitted herein must be incidental to the normal residential land-use of the Lot and not be of a commercial nature. Any animal pens, stalls, cages and enclosures shall be maintained on a regular basis to assure a neat and orderly appearance and a clean healthy atmosphere. The Association may require the removal from a particular Lot of any animal(s) if the keeping or maintenance of such animal(s)is deemed offensive based upon odors,noise or dust intruding upon other Lots. 8.5 Overgrazing. Owners shall not allow overgrazing of any pasture area on their Lots. A pasture is considered overgrazed if the average height of the vegetation is less than two inches (2"). If a pasture is overgrazed, the Association may require the owner to replant and thereafter control access to prevent future overgrazing. If an owner fails or neglects to cure an overgrazing problem, the Association shall have the authority to terminate such owner's right to keep equine Animal Units on the Lot. • 9. WELD COUNTY RIGHT-TO-FARM COVENANTS. 9.1 Weld County's Right To Farm. Weld County is one of the most productive agricultural counties in the United States, ranking fifth in total andspacious, but value of agricultural products sold. The rural areas of Weld County may be open they are intensively used for agriculture. Persons moving into a rural area must recognize and accept there are drawbacks,including conflicts with longstanding agricultural practices and a lower level of services than in town. Along with the drawbacks come the incentives which attract urban dwellers to relocate to rural areas; open views, spaciousness, wildlife, lack of city noise and congestion, and the rural atmosphere and way of life. Without neighboring farms, those features, which attract urban dwellers to Waal Weld County, would quickly be gone forever. 9.2 Agricultural users of the land should not be expected to change their long established agricultural practices to accommodate the intrusions of urban users into a rural area. Well run agricultural activities will generate off-site impacts, including noise from tractors and equipment, slow-moving farm vehicles on rural roads; dust from animal pens, field work, harvest, and gravel roads; odor from animal confinement, silage, and manure; smoke from ditch burning; flies and mosquitoes; and the use of pesticides and fertilizers in the fields, including the use of aerial spraying. Ditches and reservoirs cannot simply be moved out of the way of residential development without threatening the efficient delivery of irrigation to fields which is essential to farm production. • siltA'+y„eiroa.r lemPV`. c. 111111 11111 11111 11111 I I I N 111111 11111 I N I1 1 1 111111111 3316279 06/24/2005 02:47P Weld County, CO • 18 nt 22 R 111.80 D 0.00 Steve Moreno Clerk& Recorder 9.3 Section 35-3.5-102, C.RS., provides that an agricultural operation shall not be found to be a public or private nuisance if the agricultural operation alleged to be a nuisance employs methods or practices that are commonly or reasonably associated with agricultural production. 9.4 Weld County covers a land area of ova 4,000 square miles in size (twice the State of Delaware)with more than 3,700 miles of state and county roads outside of municipalities. The sheer magnitude of the area to be served stretches available resources. Law enforcement is based on responses to complaints more than on patrols of the county and the distances which must be traveled may delay all emergency responses, including law enforcement, ambulance, and fire. Fire protection is usually provided by volunteers who must leave their jobs and families to respond to emergencies. County gravel roads,no matter how often they are bladed,will not provide the same kind of surface expected from a paved road. Snow removal priorities mean that roads from subdivisions to arterials may not be cleared for several days after a major snowstorm. Snow removal for roads within subdivisions is of the lowest priority for public works or may be the private responsibility of the homeowners. Services in rural areas, in many cases, will not be equivalent to municipal services. Rural dwellers must,by necessity,be more self-sufficient than urban dwellers. 9.5 Children are exposed to different hazards in the county than in an urban or suburban setting. Farm equipment and oil field equipment, ponds and irrigation ditches, electrical power for pumps and center pivot operation, high-speed traffic, sand • bun, puncture vines, territorial farm dogs, and livestock present real threats to children. Controlling children's activities is important, not only for their safety, but also for the protection of the farmer's livelihood. Parents are responsible for their children. 10. NOTICE OF OIL AND GAS OPERATIONS 10.1 Potential owners are hereby notified that there are Oil and Gas Operations on the Property and that the Property is subject to the terms of a Surface Use Agreement. Such potential owners are hereby notified of the following: 10.2 They are not purchasing and will not own any rights in the oil, gas and mineral estate in and to the Property; 10.3 There may be ongoing oil and gas operations and production on the surface of the Property within the Oil and Gas Operations Areas, pipeline easements and access routes; 10.4 There are likely to be wells drilled and oil and gas production facilities constructed and installed within the Oil and Gas Operations Areas and (towlines and pipelines constructed and maintained on the Property; 10.5 Heavy equipment will be used by the Oil Companies from time to time for oil and gas drilling and production operations and such operations may be conducted on a 24-hour basis;end • e y,,,r,.,,.y,w.yaumnmc.s•tad 'mowatt. 111111111/1 IIIII 11 a 0.00�����I t,ieeveict III 11,11,E 3 UI lug Recorder • � Moreno Clerk& 1 l 22 R 111.00 D 10.6 Homeowner associations and buyers of individual lots or homes will be subject to and burdened by all of the covenants and waivers made by Surface Owner in the Surface Use Agreement, including, but not limited to those covenants and waivers; i) prohibiting the location of any building,structure,or other improvement within the Oil and Gas Operations Areas; ii) waiving objections to the drilling of wells, the construction of facilities, and the conduct of oil and gas operations on the Property consistent with this Agreement; and iii)waiving objections to the setback requirements under the rules of the COGCC or any local jurisdiction. 11. GENERAL PROVISIONS. 11.1 Reservation of Easements. Exceptions. and Exclusions. Declarant reserves the right to establish from time to time, by dedication or otherwise, utility (including cable television) and other easements, for purposes including but not limited to streets, paths, walkways, drainable recreation areas, parking areas, ducts, shafts, flues, conduit installation areas, and to create other reservations, exceptions and exclusions consistent with the ownership of the Property for the best interest of all Owners and the Association in order to serve all the Owners within the Subdivision. The rights herein reserved unto Declarant shall continue until Declarant no longer retains an interest in the Project,or ten(10)years after the effective date of this Declaration,whichever occurs first. 11.2 Rights of Declarant and Participating Builders Incident to Construction. Notwithstanding any contrary provision in this Declaration, an easement is hereby reserved by and granted to Declarant and any Participating Builder for access, • ingress, and egress over, in, upon, under, and across the Project, including but not limited to the right to store materials thereon and to make such other use thereof as may be reasonably necessary or incidental to Declarant's or any such Participating Builder's construction on the Properties;provided,however,that no such rights or easements shall be exercised by Declarant in such a manner as to unreasonably interfere with the occupancy, use, enjoyment, or access by any Owner, his family members, guests, or invitees, to or of that Owner's Lot. 11.3 Duration. The Covenants, Conditions and Restrictions of this Declaration shall run with the land,and shall inure to the benefit of the Association and the Owner of any Lot subject to this Declaration, their respective legal representatives, heir, successors, and assigns, in perpetuity until this Declaration is terminated in accordance with Section 11.5 below. 11.4 Amendments. These Covenants, Conditions and Restrictions may be amended by an instrument executed on behalf of the Association by the President and attested by the Secretary; provided that, any amendment shall have the assent of 6 of the 9 Lot Owners who are voting in person or by proxy,at a meeting duly called for this purpose, written notice of which shall be sent to all Owners at least thirty(30)days in advance and shall set forth the purpose of the meeting. Any amendment must be properly recorded. Each Lot shall receive one vote for purposes of this paragraph. Article 4 of this Declaration concerning Maintenance of the Common Area and Article 9 of this Declaration concerning Weld County Right-to-Farm Covenants may not be amended without prior • 1111111IllllIIIII1111111111111111111111III1111111111111 • 20 01 22 R 111.00 D 0.00 05 Steve WeldMoreno Clerk&Recorder notice and consent of Weld County, Colorado. Article 10 of this Declaration concerning Notice of Oil and Gas Operations may not be amended without surface use agreements in place with all Oil and Gas owners obviating the need for such section_ 11.5 Termination. Except in the case of a taking of all the Lots by condemnation, the Declaration may be terminated only by agreement of the Owners to which at least sixty-seven percent (67%) of the votes in the Association are allocated, as more fully set forth in§38-33.3-218 of the Act. The proceeds of any sale of the real estate together with assets of the Association shall be held by the Association as trustee for the Owners and holders of liens upon the Lots as their interests may appear, as more fully set forth in§38-33.3-218 of the Act.Notwithstanding such termination or upon the dissolution of the Association, the Owners shall remain individually and collectively responsible for maintenance of the common areas as set forth in this Declaration. 11.6 Enforcement. The Association, any Owner, Architectural Review Committee and/or the Declarant, may enforce by any proceeding at law or in equity, all restrictions, conditions, covenants, reservations, liens and charges now or thereafter imposed by the provisions of the Declaration, either to prevent or restrain any violation of same, or to recover damages or other dues for such violation,or to obtain such other relief as may be available. Failure by the Association or by any Owner to enforce any covenant or restriction herein contained shall in no event be deemed a waiver of the right to do so thereafter. 11.7 Notices. Any notice required to be sent to any Owner under the • provisions of this Declaration shall be deemed to have been properly sent when mailed, postage paid, to the last known address of the person who appeared as an Owner on the roster of the Association at the time of such mailing. 11.8 Attorneys' Fees and Costs. If any action is brought in a court of law or put into arbitration as to the enforcement, interpretation, or construction of any of these Covenants,Conditions and Restrictions,the prevailing party in such action shall be entitled to recovery of engineering fees, architectural fees, attorney's fees, or other professional fees as well as all costs incurred in the prosecution or defense of such action. 11.9 Binding Effect. The benefits and duties herein accrued to or imposed upon the Declarant shall be binding upon and inure to the benefit of the Declarant and its successors and assigns. 11.10 Power to Assign and Delegate. Declarant shall have the right and power to assign and delegate to any person or entity its successors and assigns, at any time and from time to time,all or part of any of the rights, powers, authorities,title, interest, and duties contained in this Declaration. 11.11 Mergers. Upon a merger or consolidation of the Association with another Association as provided in its Articles of Incorporation, its properties, rights and obligations may, by operation of law, be transferred to another surviving or consolidated association or, alternatively, the propedies, rights and obligations of another association 1 1111111111111111 1111111111111111111111 III 1111111111111 3316279 0812412005 02.471, Weld County,CO • 21 of 22 R 111.00 D 0.00 Steve Moreno Clerk&Recorder may by operation of iaw, be added to the properties, rights and obligations of the Association as a surviving corporation pursuant to a merger. The surviving or consolidated association shall administer the covenants and restrictions established by this Declaration together with the covenants and restrictions established upon any other properties one scheme. No such merger or consolidation, however, shall affect any revocation, change or addition to the covenants established by this Declaration except as provided herein. 1112 Zoning and Specific Restrictions. The restrictions contained in this Declaration shall not be taken as permitting any action prohibited by the applicable zoning laws, or the laws, rules or regulations of any governmental authority, or by specific restrictions imposed by any deed or lease. In the event of any conflict between the provisions of this Declaration and restrictive provisions of such laws, rules, regulations, deeds,and/or leases,the most restrictive provision or provisions shall apply. 11.13 Severability. If any provision of this Agreement is declared by a court of competent jurisdiction to be invalid,void or unenforceable, such provision shall be deemed to be severable, and all other provisions of this Agreement shall remain fully enforceable, and this Agreement shall be interpreted in all respects as if such provision were omitted. 11.14 No Waiver. No prevision of this Declaration shall be deemed to have been abrogated or waived by reason of any failure to enforce the same, irrespective of the number of violations or breaches which may occur. • 11.15 Governing Law. This Declaration shall be construed in accordance with the laws of the State of Colorado. (REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] • cowaterslinurnetv•tOkinantemar d IIoMiSelYJ F.n fe.ss1t011Mlda AIM 11111(111111111111111f1I111111111111111111111B • 3316279 0812412005 02:47D We+d County,CO 22 of 22 R 111.00 9 0.00 Sleve Moreno Clerk&Recorder IN WITNESS WHEREOF the undersigned,being the owner of Highland Farms Subdivision,Weld County Colorado has hereunto set his hand and seal the date and year first written above. Highland •uisition . p,L.L.C. By: /4112 M.Bulth:up,Man•:e STATE OF COLORADO } }SS COUNTY OFMtficN OE The foregoing instrument was acknowledged c ow edrt d before a me, ap rotary Manager Public, this P/1- day the day of du 4 c S"7— , 200 by Acquisition Group,L.L.C. WITNESS my hand and official seal. 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Iz .dais € r wii �I _ n • A IMPROVEMENTS AGREEMENT ACCORDING TO °3� POLICY REGARDING COLLATERAL FOR IMPROVEMENTS (PUBLIC ROAD MAINTENANCE) THIS AGREEMENT,made and entered intothis Ilk day of 20fjiby and between the County of eld,State of Colorado,acting through its Board of County Co tssioners,hereinafter called"County," and HIGHLAND ACQUISITION GROUP,L.L.C.,a Colorado limited liability company,hereinafter called'Applicant" W ITN ES SETH: WHEREA S,Applicant is the owner of;or has a controlling interest in the following described property in Re County of Weld,Colorado: A PORTION OF THE NORTH 112 OF THE NORTHWEST 114 OF SECTION 6,TOWNSHIP 1 NORTH,RANGE 68 WEST,OF THE 8TH P.M.AS MORE PARTICULARLY DESCRIBED AS LOT B OF WELD COUNTY RECORDED EXEMPTION NO.RE-3105 WHEREAS,a final Subdivision/Planned Unit Development(PUD) Plat of mid property,b be known as HIGHLAND FARMS PUD has been submitted to the County for approval;and WHEREAS,relevant Sections of the Weld County Code provide that no Subdivision F inal Plat,Manned Unit Development Final Plat,or Site Plan shall be approved by the County menthe Applicant has submitted a Subdivision Improvements Agreement guaranteeing the construction of the public improvements shown on plans,plats and supporting documents of the Subdivision Final Plat,Planned Unit Development Final Plat,or Site Plan,which improvements,along with a time schedule for completion,are listed in Exhibits'A"and "B"of this Agreement. • NOW,THEREFORE,IN CONSIDERATION OF the foregoing and of the acceptance and approval of said Final Plat,the parties hereto promise,covenant and agree as follows: 1.0 Engineering Services: Applicant shall furnish,at its own expense,all engineering services in connection with the design and construction of the Subdivision or Planned Unit Development improvements hated on Exhibit 'A,"which is attached hereto and incorporated herein by reference. 1.1 The requited engineering services shall be performed by a Professional Engueer and Land Surveyor registered in the State of Colorado,and shall conform to the standards and criteria establishedby the County for public improvements. 1.2 The required engineering services shall consist of,but not be limited to,surveys,designs,plans and profiles, estimates, construction supervision, and the submission of necessary documents to the County. 1.3 Applicant shall furnish drawings and cost estimates for roads within the Subdivision or Planned Unit Development to the County for approval prior to the letting of any construction contract Before acceptance of the roads w ithin the Subd'vision or Planned Unit Development by the County,Applicant shall furnish ono set of reproducible"as-built"drawings and a final statement of construction cost to the County. 2.0 Rights-of-way and Easements: Before commencing the construction of any improvements herein agreed upon, Applicant shall acquire,at in own expense,good and sufficient rights-of-way and easements on all lands and facilities traversed by the proposed improvements. All such rights-of-way and easements used for the construction of roads to be accepted by the County shall be conveyed to the County and the documents of conveyance shall be furnished to the County for recording. 3.0 Construction: Applicant shall furnish and install, at its own expense, the Subdivision or Planned Unit 1 • 1 11111111111111111111111111111111111111 1111111111111111 3319384 09/02/2005 02:05P Weld County, CO 1 of 12 R 0.00 D 0.00 Sleve Moreno Clerk& Recorder 2005-2421 • Development improvements listed on Exhibit"A," which is attached hereto and incorporated herein by reference,according to the construction schedule set out in Exhibit"H"also attached hereto and incorporated herein by reErence. 3.1 Said construction shall be in strict conformance to the plans and drawings approved by the County and the specifications adopted by the County for such public improvements. Whenever a Subdivision or Planned Unit Development is proposed within three miles of an incorporated community located in Weld County or located in any adjacent county, the Applicant tall be required to install improvements in accordance with the requirements and standards that would exist if the plat were developed within the corporate limb of that community. If the neorporated community has not adopted such requirements and standards at the tine the Subdivision or Planned Unit Development is proposed, the requirements and standards of the County shall be adhered to. If both the incorporated community and the County have requiements and standards,those requirements and standards that are more restrictive shall ap ply. 3.2 Applicant shall employ,at its own expense,a qualified testing company previously approved by the County to perform all testing of materials or construction that is req aired by the County;and shall furnish copies of test results to the County. 3.3 At all times during said construction,the Cotnty shall have the right to est and inspector to require testing and inspection of material and work, at Applicant's expense. Any material or work not conforming to the approved plans and specifications shall be removed and replaced ta the satisfaction of the County atApplicantb expense. 3.4 Applicant shall furnish proof that proper arrangements have been made for the installation of sanitary sewer or septic systems,water,gas,electric and telephone services. • 3.5 Said Subdivision or Planned Unit Development improvements shall be completed,according to the terms of this Agreement within the construction schedule appeal-Mg in Exhibit"B." The Hoard of County Commissioners,at its option,may giant an extension of the time of completion shown on Exhibit"H"upon application by the Applicant subject to the terms of Section 6 herein. 4.0 Release of Laabilit1: Applicant shall indemnify and hold harmless the County from any and all liability loss and damage County may safer as a result of all suits,actions or claims of every nature and description caused by,arising from,or on account of said design and construction of improvements,and pay any and all judgments rendered againstthe County on accountof any such suit,action or claim,together with all reasonable expenses and attorney fees incurred by County in defending such suit, action or claim whether the liability,loss or damage is caused by,or arises out of the negligence of the County or its officers, agents, employees, or otherwise except for the liability,loss,or damage arising from the intentional torts or the gross negligence of the County or its employees while acting within the scope of their employment. All contractors and other employees engaged in construction of the improvements shall maintain adequate worker's compensation insurance and public liability insurance coverage, and shall operate in strict accordance with the laws and regulations of the State ofColorado governing occupational safety and health. 5.0 Off Slat tmpm..mesA ae;mba...ema..t P.eo_dur.:Tho maxi .:d...,appLe..nt,a. 3F .___..Lag the finalplotwk.n tie eubdlrid.r,appliucrd,orc.nv+.xp zto . -- r;imbr—rr:ntbr pert-of-theitesa-ofthrHsff-ifite-impresronsentsi 44 The off idle impi:.v s..tt.nt,opt,• '.A shoal rr..t.,b the folio vingt 2 1111111111111111111111111111 NEE HIll III 11111 • 3319394 09/02/2005 02:05P Weld IIII viii 2 of 12 R 0.00 D 0.00 Steve Moreno Clerk di Recorder • A di-alpaca of the off nit-iapra- Tntsteba ccmplat.d by the subdivider,applir-it,or owner, plc- cd Unit Dee.lcp...,ot,et rpcei£ad by the ITS Trip Cr"eratira fir;uei,or by of.--lei stud,.rr.....,d b, e...B.....I..f C.....y C........:...:�.,.,... The-tenet of-reiinbeesement. .W,off 3t„imp...,.wr.ut.,ig.w..:.,..t rha11 be mode in tuafoa.uaut ..itb the W old Cu.sty 54 If th.. snbdividct, appli.o,.t, or o,rou fails to comply with the 'asp,- .::c..0 eg,c-cant, the S,4 When it is dot-._Led by the Bomd of Comfy Commrit aces that ,cliouiar Miffs, from a bedcrcn i:n,...:_..c.taagtv.....oft,the...l �luant solidly id.4,r polio aat,ar a•...archollraimburiathe shell ... ..— ........... ..t..L;.,t.......,.L th.,Lt Eri'u._c that the origiaai uLdivider,eppiit.vet,or ore.-.bat beta reir.barned by the rah---qurnt subdivider,oppikart cr t. tar shall be submitted to the Dcp..,t. ..t of Pin ins Scri--- prior to ,o..wdingthe Cubd:i.;oN,Rc:.ub di vision,or Pluu.cd Unit Dt. uio put.at final Plat• . 33 .e_m..ia:llb.b..aod-pee e$...t.co sla..e..fate total trip iapsou asnoci4.d wit the numbot and typ. a d.e.11iob coil and squire foottga End type of .aar..ideatul d...icpucnte intended to nsa tbo rood improve,.tut.The amanita of road inprovcr^nt S.b The rap..t .mated TP.IP CBtIBRAT1Ot (Thud Eddies', 1987)of tl... 6.,ti..t...,f T....aw•t.i... Cagle._.,..hall c...nally be bred f t calcilntiag a I.,..,enable pit,rata ul.otc.,fthe toad impie zmcat , • ttl__r neon Mad/et. — 3-1.11 be a_ '-1 • d:e the ITC T ', O...._. 4 _ '. A..,• p;,..ati...:aSa..tt the u.wbc.of hips a Subdivision,Rr :abd i.i..;a.,w Planatd Unit De-:clop rant v+B4 g... ..:,t:chap be decided by the..ti Begirt'cr. 4, . . vat cot,.c41 Mtn btl.!wn the subdit idcl and the County,is tc. ,v-an`-a the 5.8 _ . _ owylt,:.s by..,>_..dividm,epplit..ut,or G. der fns tcirabm.ame d,ind ix,co -ar is Weld Comity to be teneidertee ern: 3 1!11111111 IIIN 111111!111 111111 IIIII III 111111111 ill! • 3319384 09/02/2005 02:05P Weld County, CO 3 of 12 R 0.00 D 0.00 Steve Moreno Clerk& Recorder 6.0 Acceptanceof Streets forts ainteneace by the County: Upon compliance with the followingprocedures by the Applicant,streets with it a Subdivision of Planned Unk Development may be accepted by the County as a part of the County road system and will be maintained and repaired by the County. 6.1 If desired by the County,portions of street improvements may be placed in service when completed according to the schedule shown on Exhibit"B,"but such use and operation shall not constitute an acceptance of said portions. 6.2 County may, at its option, issue building permits for construction on lots for which street improvements detailed herein have been startd but not completed as shown on Exhibit"B,"and may continue to issue building permits so long as the progress of work on the Subdivision or Planned Unit Development improvements in that phase of the development arc satisfactory to the County;and all terms of this Agreement have been faithfully kept by Applicant 6.3 Upon completion ofthcconstrudionofstreets within a Subdivision or Planned Unit Development and the filing of a Statement of Substantial Compliance,the applicanl(s)may request in writing that the County Engineer inspect the streets and recommend that the Board ofCounty Commiaioners accept them for partial mantenance by the Count'. Partial maintenance consists of al maintenance except for actual repair of streets,curbs and gutters,and relatd street improvements. Not sooner than nine months after acceptance for partial maintenance of streets,the County Engineer shall,upon request by the applicant,inspect the subject streets,and notify the applicant(s) of any deficiencies. The County Engineer shall reinspect the streets after notification from the applicant(s)that any deficiencies have been corrected.If the County Engineer finds that the streets arc constructed according to County standards,be shall recommend acceptance of the streets for full maintenance. Upon a receipt of a positive unquakfied recommendation from the County Engineer for acceptance of streets within the development,the Board of County Commissioners shall accept said streets as public facilities and County property,and shall be responsible for the&11 maintenance of said streets including repair. • 7.0 General Requirements for Collateral: 7.1 The value of all collateral submitted to Weld County must be equivalent to Oae-Hundred percent (100%)of the value of the improvements as shown in this Agreement. Prior to Final Plat approval, the applicant that indicate which of the five types of collateral preferred to be utikaed to secure the improvements subject to finalapproval by the Board ofCounty Commissioners and the executionof this Agreement. Acceptable collator 1 shall be submitted and the plat recorded within six(6)months of the Final Plat a pprova L If acceptable collateral has not been submitted within six(6)months then the Final Plat approval and all preliminary approvals shall automatically expire. An applicant may request that the County extend the Final Plat approval provided the cost estimates are updated and the development plans are revised to comply with all current County standards,policies and regulations. The improvements shall be completed within one(1)year after the Final Pat approval(not one year after acceptable collateral Is submitted)unless the applicants) reauesta that this Agreement be renewed at least thirty(30)days prior b its emiration and further provides mat cost estimates Lw the remaining improvements are undated and collateral is provided in the amount of One-Hundred percent(100°%l of the value of the improvements remaining to be completed If improvements are not completed and the agreement not renewed within these time frames,theCounty,at its discreten,may make demand on allor a portion of thecollaaral and the stepato see that the improvements are made. 7.2 The applicant may choose to provide for a phased development by means of designating filings ofa Planned Unit Devebpment Find Plan or Subdivision Final Plan. The applicant would need only to provide collateral for the improvements in each filing as approved. The County will place restrictions on those portions of the property that are not covered bycollateralwhich willprohibit the conveyance of the property or the issuance of building permits until collateral is provided or until improvements are in place and approved pursuant to the requirements for a Request for Release of Collateral. 7.3 The applicant intends to develop in accordance with Exhibits "A" and "B." The costs of the improvements described in Exhibit"A"will be adjusted higher or lower for the year and quarter in 111111111111111111111111111111111111111III1111111111III • 3319384 0910212005 02:051' Weld County, CO 4 of 12 R 0.00 0 0.00 Steve Moreno Clerk& Recorder • which the contemplated work is being performed based on "The State Highway Bid Price Index" contained in the "Quarterly Cost Report"of The Engineering News-Record as published by The McG raw-Hill Companies.The applicant has provided costestimats for all phases of the development which will be adjusted in accordance with The State Highway Bid Price Index at the time of posting of collateral for each phase. 8.0 Improvements Guarantee: The five types of collateral listed below are acceptable to Weld County subject to final approval by the Board of County Commissioners. 8.1 An irrevocable Letter of Credit from a Federal or State licensed financial institution on a form approved by Weld County. The Letter of Credit shall state at least the following: 8.1.1 The Letter of Credit shall be in an amount equivalent to One-Hundred percent(100%)of the total value of the improvements as set forth in Section 6.0 and Exhib its"A"and"B.' 8.1.2 The Letter ofCreditshallprovide for payment upon demand to Weld County if the developer has not performed the obligations specified in the Improvements Agreement and the issuer has been notified of such default. 8.1.3 The applicant may draw from the Letter of Credit in accordance with the provisions of this policy. 8.1.4 The issuer of are Letter of Credit shall guarantee that,at an times,the unreleased portion of the Letter of Credit shall be equal to a minimum of One-Hundred percent(100%)of the estimatedcosts of completing the uncompletd portions of the required improvement,based on inspections of the development by the issuer. In no case shall disbursement for a general improvement item exceed the cost estimate in the Improvements Agreement(i.e.,streets, sewers,water mains and landscaping,etc.). The issuer of the Letter of Credit will sign the • Improvernen to Agreement acknowledging the agreement and its cost estimates. 8.1.5 The Letter of Credit shall specify that fifteen percent(15%)of the total Letter of Credit amount cannot be drawn upon and will re main available to Weld County until released by Weld County. 8.1.6 The Letter of Credit shall specify that the date of pro posed expiation of the Letter of Credit shall be either the date of release by Weld County of the final fifteen percent(15%),or one year from the date of Final Nat approval,whichever occurs first. Said letter shall stipulate that, in any event,the Letter of Credit shall remain it full farce and effect until after the Board has received sixty(60)days writtn notice from the issuer of the Lettr of Credit of the pending expiration. Said notice shall be sent by certified mail to the Clerk to the Board of County Commissioners. 8.2 Trust Deed upon all or some of the proposed development or other property acceptable to the Board of County Commissioners provhled that be following are submitted: 8.2.1 In the event property within the proposed development is used as collateral,an appraisal is required of the property in the proposed development by a disinterested Member of the American Institute of Real Estat Appraisers (M.A.I.) indicating that the value of the property encumbered in its current de grey of development is sufficient to cover One-Hundred percent(100%)ofthe cost of the improvements as set forth in the Improvements Agreement plus all costs of sale of the property. 8.2.2 In the event property other than the property to be developed has been accepted as collateral by Weld County,then an appraial is required of the property by a Member of the Institute of Real Estate Appraisers(M.A.I.)indicating that the value of the property encumbered in its current state of development is sufficient to cover One-Hundred percent(100%)of the IIIIII1111111111IN11111111II111111111III1111111111III • 5 of 12 O 0.00 D 0.00 Steve Moreno Clerk&Recorder • cost of the improvements as set forth in the Improvements Agreement plus all costs of sale of the property. 8.2.3 A title insurance polity insuring that the Trust Deed creates a valid encumbrance which is senior to all other liens and encumbrances. 8.2.4 A building permit hold shall be placed on the encumbered property. 8.3 Escrow Agreement that provides at least the following: 8.3.1 The cash in escrow is at least equal to One-Hundred percent(100%)of the amount specified in the Improvements Agreement 8.3.2 The escrow agent guarantees that the escrowed funds will be used for improvements as specified in the agreement and for no other purpose and will not release any portion of such funds without prior approval of the Weld County Board of Commissioners. 8.3.3 The escrow agent will be a Federal or state-licensed bank or fnancial institition. 8.3.4 If Weld County determines there is a default of the Improvements Agreement,the escrow agent,upon request by the County,shall release any remaining es crowed funds to the County. 8.4 A surety bond given by a corporate surety authorized to do business in the State of Colorado in an amount equivalent to One-Hundred percent(100%)of the value of the improvements as specified in the Improvements Agreement. 8.5 A cash deposit made with the County equivalent to One-Hundred percent(100%)of the value of the improvements. 9.0 Resmest for Release of Collateral Prior to release of collateral for the entire project or for a portion of the • project by Weld County,the Applicant mud present a Statement of Substantial Compliance from an Engineer registeredin the State of Colorado that the project or a portion of the project has been completed in substantial compliance with approved plans and specifications documenting the following: 9.1 The Engineer or his representative has made regular on-ste inspections during the course of construction and the construction plans utilized are the same as those approved by Weld County. 9.2 Test results mud be submitted for all phases of this project as per Colorado Department of Transportation(CDOT)Schedule for minimum materials samp ling,testing and inspections found in CDOT Materials Manual. 9.3 "As-built" plans shall be submitted at the time the letter requesting release of collateral is submkted. The Engineer shall certify that the project"as-built"is in substantial compliance with the plans and specifications as approved,or that any material deviations have received prior approval from the County Engineer. 9.4 The Statements of Substantial Compliance must be accompanied, if appropriate, by a letter of acceptance of maintenance and responsibility by the appropriate wilily company,special district or town for any utilities. 9.5 A letter must be submitted from the appropriate Eke Authority indicating the file hydrants am in place in accordance with the approved plans. The letter shall indicate ifthe fire hydrants are operational and state the results of fire flow tests. 9.6 The requirements in Sections 9.0 thin 9.5 shall be noted on the final construction plans. 11111 11111 1111 1111 111111 111//11111 I I 11111 1111 It I I 3319384 09102/2005 0211512 Weld County, CO • 6 of 12 R 0.00 0 0.00 Steve Moreno Clerk&Recorder • 9.7 Following the submittal of the Statement of Substantial Compliance aid recommendation of acceptance of the street for partial maintenance by the County,the applicant(s)may req nest release of the collateral for the project or nankin of the project by the Board. The action will be taken at a regularly scheduled public meeting of the Board. 9.8 The request for release of colateral shall be accompanied by"Warranty Collateral"in the amount of fifteen percent (15%) of the value of the improvements as shown in this Agreement excluding improvements fully accepted(or maintenance by the responsible governmental entity,special district or utility company. 9.9 The aai.m.tyoollateral shall*i:kexdso the applicant upon£walaeeoptanco b.,the B mud efCcardy 10.0 Public Sites and Open Spaces: When the Board of CountyCommissioners,pursuant to a rezoning,Subdiveion or Planned Unit Development,requires the dedication,development and/or reservation of areas or sits other than Subdivision or Planned Unit Development sheets and utility easements ofs charactr,extent and location suitable for public use for parks,greenbelts or schools,said actions shall be secured in accordance with one of the following alternatives,or as specified in the Planned Unit Development plan,if any: 10.1 The required acreage,as may be determined by relevant Sections of the Weld County Code,shall be dedicated to the County or the appropriate sch ool district,for one of the above purposes. Any area so dedicated shall be maintained by the County or school district 10.2 The required acreage,as determined by relevant Sections of the Weld County Code may be reserved through deed restrictions as open area,the maintenance of which shall he a specific obligation in the deed of each lot within the Subdivision o r Planned Unit Development. 10.3 in lieu of land,the County may require a payment to the County in an amount equal to the market value at the time of Final Plat submission of the requited acreage as determned by relevant Sections • of the Weld County Code. Such value shall be determined by a competent land appraiser chosen jointly by the Board and the Applicant. The cash collected shall be deposited in an escrow account to be expended for parks ata later date. 11.0 Successors and Assigns: This Agreement shall be binding upon the heirs,executors,personal representatives, successors and assigns of the Applicant,and upon recording by the County,shall be deemed a covenant running with the land herein described,and shall be binding upon the successors in ownership of said hod. 1111111 IIIII lllll IIIII lilt 111111�11111 Ill IIIII 11111111 7 0l 12 R 0.00 D 0.005 00 Steve Moreno Clerk&Recorder • • IN WITNESS WHEREOF,the parties herdo have caused the Agreement to be executed on the day and year first above written. APPLICANT: HIGHLAND ACQUISITION GROUP,L.L.C a Colorado limited liability co any By: Robert M.Bulthaup,Manager o1 Subscribed and sworn to before me this day of J U Lc/ ,20 My Commission expires: ss`4. .4,fi G 6 a‘sTINFc Notary Public • '°: d <S :m, y:{oG T: � OF eLIO _ten BOARD OF COUNTY COMMISSIONERS R / /�/// t . L•OLOFtiti ' WELD COUNTY,COLORADO William H.�erke ,Chair 8/15/2005 Weld County Clerk to the Board 10f axP , Deputy Clerk to the Board APPROVED AS TO FORM: County Attorney Ihuh11111111111111111111111111111 11111 1111111 1111 3319384 09/0212005 02:059 Weld County, CO1111 8 of 12 R 0.00 a 0.00 Steve Moreno Clerk&Recorder • 2005-2421 • EXHIBIT*X* Fling:BanY IlIgLot B.M Fun f.Y.0.NM•M Cc.tc illillitO Fling:tet0.116J1M Losollopic South 0000«.f.n a VCR w WOO C.ioq.tuned. a•.Oa\O SIgOryY•tet•.u..yN I4M00aa/NM.b 0544.POD•no 9MWmm nimbi 115461t.IW1 no At Soo imononorn I .-OMO Cava . Eatineled Y 1 n.ua.11a IO. 0aMY e 0.a INN :Inn OM Y .YM inn Coot MsM Cyl.Col• octal car moose no acne y nnalwa Gas NOtsM1Mn LA G LW 1gote 1 to moue -- Ms Gnaw G 40 M. 1.0.00 Yan...1Wn a...mate.piny... M • men 1.0x4 Ionia lgtgtnown IS I am GOOt Yn•p -MA GA 000 AtB••O tun 1S 1 1(00. 1000. •p oo•vc Hsu.. V i no nom rimiest IA 1 WOO A2S010 •.I Tog G I OP. YOm f YY Tr CA 2 $000 GIG 0'90001.. LA Y Alm LOOM f•fa..t G ante mm fOaYIAJ G unto oxen MOstl0 VA Ll.. 110000 YIpCM1 Ina CA MAO GMOe a M lamp LS A .00.00 Lanni W1{pp aL V . SO 4AOSI2 n WaMws IA 100000 IGO. uru.a.Yn. IS Ape MAO 4••.. wawa YOYY vv of ill an ninon *MS v m 402/10 n teas m Y's" G 1 40. Wm 2100C An CA 2 2.0,010 OAa. Pitalla I paY.Y n4 p.Willa G I mace San MSG, CA I lam 100000 SM•aTI.4•.10Th.aO v C MG OA.m nnwinot naafi NW* uplsmord• eau • slit. *Mem Modiml. Inane Yf.M p Ondonsns Vat • Inn Van IIIIte ern •ri.creYl• CA I 000 eco u 0Y —Win . Ite040.. CII I Han, macesWaal I .nlW..n w exam maces M..taaa Masan G I Ian .late reasteettey V Y a. am. M1..11M10 . ale 1. C1Y. YaN 71 7120 0.45 4470 CO TI •000 nit .a.. c.nnAocelo nn c Ov IA0 L. O.sm ‘42•01.24.44" !4 ! snenno n.AaV PT d 0. n0.. 0T1...Ma W1aYY0 unI 0V Ian. TY.vevwt•ty.•e.• u nem 1 Iron wind YnI. =gun alien TA I 00 Ya W.Opens. I 1.O sr -000 m. 0 1 .lIF3 .54r•..ra. bAn•...b Y••••I MMUS nsaM..•C Msl0 11.ya n Gin • mm I- lane YO.Map4 au I 10000.1 11.. GA.pit Gm I IMOD Iasw — 1y awn *sou • maw teen 00..44 Gnat I MG m .ywW Gin • .n x. __O_P_ s.. I Jingo Sae 400 4 P.M. G 4 3A011 Do LOO WORM Mins Tod Oat 0Moan GN a Nm 0000 ••+•+4 WIS. L•o•. aMoca .Cy 0 am e 1Y a0•.O O•rT� es bY.••.so V•00a4.0Y..$ 00.15400 TOTALIOIMIW COOT OP aw.asl.Y.4I '. • $ sassy 9 II111IIIIIIIIIll111$11111111111111II►llllllll X79384 0y2006 12 Rp.pp DamSlew MeoreonCfek ur Illlllllll • necornet • The above improvements shall be constructed in accordance with all County requirements and specifications, and conformance with this provision shall be determined solely by Weld Coon ty,or its duly authorized agent. Said improvements shall be completed according to the construction schedule set out in Exhibit"B." APPUCANT: HIGHLAND ACQUISITION GROUP,L.L.C. a Colorado limited liability company B . M.&Abe ,Manager Date n 200r (If corporation,to be signed by President and attested to by Secretary,together with corporate seal.) • 111111111111 1111111111 III\111111 lit III 111111 lii 111 3319384 0910212005 02-.05P Weld County, CO 10 of 12 R 0.00 D 0.00 Steve Moreno Clerk& Recorder • • EXHIBIT'Jr Name: fighland Farms P.U.D Fling: Lot B,RE 3105 Location:South aide of Hwy.52 at WCR 3 1/4,Weld County.Colorado All improvements shall be completed within_2__years from the date of approval of the final plat. Construction of the improvements listed in Exhibit"A"shall be completed as follows: (Leave spaces blank where they do not apply.) Time for Completion Improve mauls 7,Years Fro Final_Approval Site grading Street grading sStrect base Street paving Curbs.gutters,and culverts Sidewalk Storm sewer facilities Retention mods • Ditch improvements Subsurface drainage Sanitary sewers Trunk and forced lines • Mains Laterals(house connected) On-site sewage facilities On-site water supply and storage Water mains Fire hydrants Survey and street monuments and boxes Street lighting Street name signs j'encina repairemen is Laodscaoin? Park improvements Road culvert Grass lined ewak Teleuboue Oas Electric Water transfer Situ-TOTAL: 111111111111111111111HI111111111111111 111 11111111 1111 • 3319384 11 of 12 R 0.000 O.00 Steve Moreno Clerk&Recorder • The County,at its option,and upon the request of the Applicant,may grant an extension of tine for completion for any particular improvements shown above,upon a showing by the Applicant that the above schedule cannot be met. APPLICANT: HIGHLAND ACQUISITION GROUP,I.L.C. a Colorado limned liability company By. ert M..Benham),Manager Data a7 ,200A (If corporation,to be signed by President and attested to by Secretary,together with corporate seal.) • 1111111 IIll1111111111111111111111111111111111111 1111111 3319384 09/02/2005 02:05P Weld County, CO 12 of 12 R 0.00 D 0.00 Steve Moreno Clerk&Recorder 13 • Hello