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HomeMy WebLinkAbout20090651RESOLUTION RE: APPROVE CONTRACT FOR PURCHASE AND SALE OF COLORADO -BIG THOMPSON WATER, ESCROW AGREEMENT, AND STATEMENT OF SETTLEMENT, AND AUTHORIZE CHAIR TO SIGN NECESSARY DOCUMENTS - WIPO, LLC WHEREAS, the Board of County Commissioners of Weld County, Colorado, pursuant to Colorado statute and the Weld County Home Rule Charter, is vested with the authority of administering the affairs of Weld County, Colorado, and WHEREAS, the Board has been presented with a Contract for Purchase and Sale of Colorado -Big Thompson Water, an Escrow Agreement, and a Statement of Settlement, between the County of Weld, State of Colorado, by and through the Board of County Commissioners of Weld County, and WIPO, LLC, commencing upon full execution of said documents, with further terms and conditions being as stated in said contract, agreement, and settlement, and WHEREAS, after review, the Board deems it advisable to approve said contract, agreement, and settlement, copies of which are attached hereto and incorporated herein by reference. NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of Weld County, Colorado, that the Contract for Purchase and Sale of Colorado -Big Thompson Water, an Escrow Agreement, and a Statement of Settlement, between the County of Weld, State of Colorado, by and through the Board of County Commissioners of Weld County, and WIPO, LLC, be, and hereby are, approved. BE IT FURTHER RESOLVED by the Board that the Chair be, and hereby is, authorized to sign all necessary documents. The above and foregoing Resolution was, on motion duly made and seconded, adopted by the following vote on the 16th day of March, A.D., 2009. ATTEST: Weld County Clerk to t BY: Depu Clerk . the Board AP,PR ounty Attorney Date of signature. Li RM: BOARD OF CO TY COMMISSIONERS WELD UNIT COLORADO William F. Garcia, Chair K _ Douglas/Radeniacer, Pro-Tem Sea P. Conway arbKirkmeyer David E. Long 2009-0651 BC0040 HASLER, FONFARA AND MAXWELL LLP ATTORNEYS AT LAW Sixth Floor, Key Bank Building 125 South Howes Street Fort Collins, Colorado 80521 IMOTHY W. HASLER JOSEPH H. FONFARA MICHAEL A. MAXWELL TIMOTHY L. GODDARD March 6, 2009 VIA E-MAIL (hwebster@frii.com) Mr. H. Webster Jones Water Consulting Group 1207 Twinberry Court Fort Collins, CO 80525 MAILING ADDRESS: POST OFFICE BOX 2267 FORT COLLINS, COLORADO BO522 TELEPHONE (970) 493-5070 FACSIMILE (970) 493-9703 Re: WIPO, LLC / County of Weld, Colorado Transaction Dear Webb: Regarding the captioned transaction, enclosed are copies of the following proposed documents: 1. Contract for Purchase and Sale of Colorado -Big Thompson Water. 2. Escrow Agreement. 3. Statement of Settlement. Please call me with any questions or concerns. Sincerely, TIMOTHY W. HASLER TWH/lh Enclosures cc: Mr. Bret E. Larimer Mr. Clayton D. Kimmi 67y/1- ( 65/ CONTRACT FOR PURCHASE AND SALE OF COLORADO -BIG THOMPSON WATER This contract is made and entered into this c1h day of March, 2009 by and between COUNTY OF WELD, COLORADO, the mailing address of which is 1111 H Street, Greeley, Colorado 80631 ("Buyer"), and WIPO, LLC, a Colorado Limited Liability Company, the mailing address of which is 1600 West Horsetooth Road, Fort Collins, Colorado 80526 ("Seller"). WITNESSETII The water to be conveyed by this contract shall be sixteen (16) units of the Colorado -Big Thompson Project water allotment contract rights ("CBT Units"). The CBT Units shall be transferred by the Seller pursuant to the rules, policies and practices of the Northern Colorado Water Conservancy District ("Northern District") free and clear of all hens and encumbrances, and prior year assessments. The CBT Units shall be transferred from the Seller to the City of Greeley ("Greeley") on behalf of the Buyer in satisfaction of Greeley's raw water dedication requirements which the Buyer is obligated to satisfy in order to obtain a three (3) inch water tap. Seller agrees to sell and convey and Buyer agrees to purchase the CBT Units for the consideration set forth herein, the adequacy of which is hereby acknowledged, and on the terms and conditions herein. Seller shall submit to the Northern District Board of Directors a properly completed application for transfer of its allotment contract for the CBT Units as required to obtain approval of the Northern District, for the Board's regularly scheduled meeting to be held April 10, 2009. In consideration thereof, Buyer agrees to pay to the Seller the sum of ONE HUNDRED FORTY-FOUR THOUSAND AND NO/100 DOLLARS ($144,000.00)--($9,000.00 Per CBT Unit), payable at closing as follows; Cash at closing of ONE HUNDRED FORTY-FOUR THOUSAND AND NO/100 DOLLARS ($144,000.00) to be paid by Buyer in funds which comply with all applicable Colorado laws, including cash, electronic transfer funds or cashier's check. Evidence of ownership free and clear of any deed of trust, security agreement, financing statement, lease, first right of refusal, or any other document which may in any way cloud the title of the CBT Units, or written releases from all lenders with a security interest, hen or encumbrance on the CBT Units shall be provided by Seller on or before March 20, 2009. Closing costs and all other costs associated with the transfer of the CDT Units as required by the Northern District shall be paid by Seller. Seller and Buyer will cooperate in the execution of all transfer documents required by the Northern District. The date for closing shall be on or before April 20, 2009, or upon agreement by both parties at such other time after the transfer of CBT Units has been approved by the Northern District. The closing of this transaction shall be held at such time and place as shall be mutually agreed upon by the Buyer and Seller. Contingency. This contract is expressly contingent upon approval of the Northern District Board of Directors. If approval is not granted, this contract is null and void and all parties released from the terms hereof Notice of acceptance. This contract shall expire unless accepted in writing, by Buyer and Seller, as evidenced by their signatures below, and offering party receives notice of such acceptance on or before March !4-, 2009. If accepted, this document shall become a contract between Buyer and Seller. BUYER: SELLER: WIPO, LLC, a Colorado Limited COUNTY OWL e, /L0RADO Liability Company By Williamarcia, Sir (Title) Date 03/16/2009 By: Bret Larimer, Ltd., a Colorado Corporation, its Manager By it ,- Bret E. Larimer, P esident Date: 7- / uq p/05/09) I IIIIII 11111 111111 11111 111111 F 11IIIII III IIIII IIII IIE 3615396 04/08/2009 12:45P Weld County, CO 1 of 5 R 0.00 D 0.00 Steve Moreno Clerk & Recorder (e2 -O65' HASLER, FONFARA AND MAXWELL LLP ATTORNEYS AT LAW TIMOTHY W. HASI.ER JOSEPH H. FONFARA - MICHAEL A. MAXWELL HJ TIMOTHY L. GODDARD Sixth Floor, Key Bank Building 125 South Howes Street Fort Collins, Colorado 80521 March 20, 2009 ESCROW AGREEMENT WIPO, LLC 1600 West Horsetooth Road Fort Collins, CO 80526 ATTN: Mr. Bret E. Larimer Dear Parties: MAILING ADDRESS: POST OFFICE BOX 2267 FORT COL I,INS, COLORADO 80522 TEI EPHONE (970) 493 5070 FACSIMILE (9 /0) 493-9705 County of Weld 1111 H Street Greeley, CO 80631 ATTN: Mr. Clayton D. Kimmi Re: WIPO, LLC / County of Weld, Colorado Transaction As you know, WIPO, LLC, a Colorado Limited Liability Company ("WIPO"), as Seller, and County of Weld, Colorado ("Weld County"), as Buyer, are parties to that certain "Contract for Purchase and Sale of Colorado -Big Thompson Water" dated March r ?, 2009 (the "Contract). The Contract provides for the sale by WIPO to Weld County of sixteen units of Colorado -Big Thompson Project water (the "CBT Units") as administered by the Northern Colorado Water Conservancy District (the "Conservancy District"). Although Weld County is the technical buyer of the CBT Units and is responsible for paying the purchase price of the CBT Units, Weld County has directed, and hereby directs, WIPO to transfer the CBT Units to the City of Greeley. The parties hereto acknowledge that the purchase price of the CET Units is $144,000.00 (the "Purchase Price"). In anticipation of the final closing of this transaction, WIPO and Weld County have executed a Statement of Settlement (the "Settlement Statement"), setting forth disbursements to be made by Hasler, Fonfara and Maxwell LLP, Attorneys at Law ("this Law Firm"), from the Purchase Price. A copy of the Settlement Statement is attached hereto as Exhibit "A" and incorporated herein by reference. 1 111111 11111 111111 11111 111111111 1111111 111 11111 1111 1111 3615396 04/08/2009 12:45P Weld County, CO 2 of 5 R 0.00 D 0.00 Steve Moreno Clerk 8 Recorder HASLER, FONFARA AND MAXWELL LLP ATTORNEV5 AT LAW Mr. Bret E. Larimer Mr. Clayton D. Kimmi March 20, 2009 Page 2 This letter will confirm that Weld County has deposited in escrow with this Law Firm the cash sum of $144,000.00, representing the net proceeds needed by Weld County as shown on the Settlement Statement (the "Escrow Proceeds"). The Escrow Proceeds have been deposited in an interest -bearing account at First National Bank, Fort Collins, Colorado. Weld County shall promptly execute Form W-9 (Payer's Request for Taxpayer Identification Number), which this Law Firm shall deliver to First National Bank. The transfer of the CBT Units from WIPO to Weld County must be approved ("Board Approval") by the Board of Directors of the Conservancy District. It is contemplated that Board Approval will occur on April 10, 2009, being the next regularly scheduled meeting of the Board of Directors of the Conservancy District. Upon receipt of written evidence from the Conservancy District verifying that Board Approval has occurred, this Law Firm shall make the disbursements in accordance with the Settlement Statement and pay the interest on the Escrow Proceeds to Weld County. If Board Approval has not occurred by May 1, 2009, this Law Firm shall promptly pay the Escrow Proceeds, together with accrued interest, to Weld County. As between WIPO and Weld County, nothing contained herein shall be deemed to modify or amend the terms of the Purchase Agreement. This Escrow Agreement may be supplemented, altered, amended, modified, or revoked by writing only, signed by all of the parties hereto. I 111111 111111 11111111111 1111111111 I I 11111 11111111 3615396 04/08/2009 12:45P Weld County, CO 3 of 5 R 0.00 0 0.00 Steve Moreno Clerk & Recorder HASLER, FONFARA AND MAXWELL LLP ATTORNEYS AT LAW Mr. Bret E. Larimer Mr. Clayton D. Kimmi March 20, 2009 Page 3 If this letter accurately sets forth your agreement, please sign your names on the spaces hereinafter provided. Sincerely, TIMOTHY W. HASLER TWH/lh Attachment ACCEPTED, APPROVED, AND AGREED TO this c day of March, 2009. WIPO, LLC, a Colorado Limited Liability Company By: Bret Larimer, Ltd., a Colorado Corporation, its Manager Bret . arimer, President ACCEPTED, APPROVED, AND AGREED TO this 16th day of March, 2009. COUNTY `OF WE COLORADO By <. (Title) William F. Garcia, Chair 111111111111111111 1111111111111111111111111111111111111 3615396 04/08/2009 12:45P Weld County, CO 4 of 5 R 0.00 D 0.00 Steve Moreno Clerk & Recorder HASLER, FONFARA AND MAXWELL LLP Attorneys at Law STATEMENT OF SETTLEMENT Seller: WIPO, LLC, a Colorado Limited Liability Company Purchaser: COUNTY OF WELD, COLORADO Sixth Floor, Key Bank Bldg. Post Office Box 2267 Fort Collins, Colorado 80522 Telephone: (970) 493-5070 Description of Property: Sixteen (16) Units of Colorado -Big Thompson Project water as administered by the Northern Colorado Water Conservancy District Proration Date: N/A Closing Date: 4/10/09 Debit Seller Credit 144,000 1. Purchase Price 2. Earnest Money Deposit (None) 3. Principal, 1st loan, Payable to: 4. Principal, 2nd loan, Payable to: 5. Interest on 1st loan assumed 6. Interest on 2nd loan assumed 7. Loan Payoff to: Capital West Bank 8. Loan Payoff to: 9. Rents Prepaid to Seller 10. Rents Prepaid by Seller 11. Security Deposits 12. Prior Year Taxes 13. Current Year Tax Proration 14. Prior Year Personal Taxes 15. Current Year Personal Taxes 16. Special Taxes 17. Tax Certificate 18. Tax and/or Insurance Escrow 19. New Insurance Premium 20. Insurance Proration 21. Title Insurance Premium 22. Recording: Warranty Deed 23. Mortgage or Deed of Trust 24. 25. 26. 27. 28. 29. Documentary Fee 30. Broker's Commission (Keller Williams) 31. Broker's Commission (Agri -Enterprises) 32. Survey 33. Appraisal 34. Attorney Fees 35. Transfer Fee - NCWCD 36. Loan Fees 37. Ownership Report 38. Consulting Fees (Water Consulting Group) 39. 40. 41. 42. 00 Purchase Debit Credit 144,000 00 132,202 00 Uniform Commercial Code Release Release Other Other 4,928 3,520 00 00 200 00 150 00 00 3,200 Sub -Totals Balance Due to Seller Balance Due from Purchaser TOTALS 144.000 00 00 144,000 00 144,200 00 0 00 0 144,000 00 144,000 00 144,200 00 144,200 144,200 00 00 ACCEPTED AND APPROVED WIPO, LLC, a Colorado Limited Liability Company By: Bret Lorimer, Ltd., a Colorado Corporation, its Manager By CLaf Seller 9ret\E. ime , President 1 111111 11111 111111 11111 111111 III 1111111 III 1111111111H1 1111 1I I I F. Garcia, Chair KELLER WILLIAMS Broker AGRI-ENTERPRISES INC. 1 3615396 04/08/2009 12:45P Weld County, CO 5 of 5 R 0.00 D 0.00 Steve Moreno Clerk 8 Recorder Esther Gesick From: Sent: To: Subject: Attachments: Bruce Barker Friday, March 06, 2009 10:04 AM Esther Gesick; Jennifer VanEgdom; Elizabeth Strong; Donna Bechler FW: Webb Jones Letter and Enclosures 3-06-09.pdf Webb Jones Letter and Enclosur... Please put this agreement and escrow letter on the Board's agenda for 3/16/09. Thanks! Original Message From: Clayton D. Kimmi Sent: Friday, March 06, To: Bruce Barker Cc: Don Warden Subject: FW: Bruce, C 0,te 0 i 6/YLAL.. eOTh i 2009 9:58 AM .p/C;e- i /l :<ktU[6 el-JerLy,L, (K.37(O) mA 3/Noti 7156, Fn2 Ct Attached is the final sales contract, escrow agreement, and Statement of Settlement for the CBT water. I believe these are the documents that we need to have the Chairman of the Board sign before March 20, 2009. I am assuming that Don will hand the W-9 and transfer of the funds that Tim Hassler is referring to in the email below. Let me know if you have any questions. Thanks Clay From: Tim Hasler [mailto:TimH@HFMLaw.com] Sent: Friday, March 06, 2009 9:44 AM To: Webb Jones; Clayton D. Kimmi; larimerltd@msn.com; greg@agrienterprises.com Subject: To All: See the attachments. Once the Contract is signed we need to order the Ownership Report. Once the funds are deposited in our Trust Account I will need a W-9 from Weld County. Tim Timothy W. Hasler 1 2009-0651 Hasler, Fonfara & Maxwell, LLP 125 S. Howes Street, 6th Floor P.O. Box 2267 Fort Collins, CO 80522 (970) 493-5070 Telephone (970) 493-9703 Fax timh@hfmlaw.com Email 2 Hello