HomeMy WebLinkAbout20092221.tiff818 RESOLUTION
RE: APPROVE IMPROVEMENTS AGREEMENT ACCORDING TO POLICY REGARDING
COLLATERAL FOR IMPROVEMENTS, AUTHORIZE CHAIR TO SIGN, AND ACCEPT
COLLATERAL FOR AMENDED USE BY SPECIAL REVIEW PERMIT #861 -
PETRO-CANADA RESOURCES (USA) INC.
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 Weld County Board of Commissioners has not yet approved Amended Use
by Special Review Permit #861 for Petro -Canada Resources (USA) Inc., 999 18th Street, Suite
600, Denver, Colorado 80202; however, the applicant intends to acquire land use permits for an
Oil and Gas Support Facility, and is currently in the process of preparing an Amended Use by
Special Review application on the following described real estate, to -wit:
Part of the W1/2 NE1/4 NW1/4, SW1/4 NW1/4, W1/2
SW1/4. NW1/4 NW1/4 of Section 4, Township 8
North, Range 58 West of 6th P.M., Weld County,
Colorado
WHEREAS, pursuant to ensuring the completion of the Grading Permit component of the
Improvements Agreement, the Board has been presented with an Improvements Agreement
According to Policy Regarding Collateral for Improvements between the County of Weld, State of
Colorado, by and through the Board of County Commissioners of Weld County, and Petro -Canada
Resources (USA) Inc., with terms and conditions being as stated in said agreement, and
WHEREAS, the Board has been presented with a cash deposit that was wired to Weld
County and deposited in the Clerk to the Board's Trust Fund from Petro -Canada Resources
(USA) Inc., in the amount of $10,000.00. and
WHEREAS, after review, the Board deems it advisable to approve said agreement and
accept said cash deposit that was wired to Weld County and deposited in the Clerk to the Board's
Trust Fund as stated above.
NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of Weld
County, Colorado, that the Improvements Agreement According to Policy Regarding Collateral for
Improvements between the County of Weld, State of Colorado, by and through the Board of County
Commissioners of Weld County, and Petro -Canada Resources (USA) Inc., be, and hereby is,
approved.
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IMPROVEMENTS AGREEMENT - PETRO-CANADA RESOURCES (USA) INC.
PAGE 2
BE IT FURTHER RESOLVED that the cash deposit that was wired to Weld County and
deposited in the Clerk to the Board's Trust Fund from Petro -Canada Resources (USA) Inc., in the
amount of $10,000.00, be and hereby is, accepted.
The above and foregoing Resolution was, on motion duly made and seconded, adopted by
the following vote on the 24th day of August, A.D., 2009.
ATTEST: LY✓ i
Weld County Clerk to the B
BY u'
Delb y Cle to the Board
APPRO ae AS T
ou ty Attorney
Date of signature q 1a'Ce1
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BOARD OF C•UNTY COMMISSIONERS
ELD • Y, COLORADO
Douglas ademac -r, Pro-Tem
EXCUSED
Sean P. Conway
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Kirkmeyer
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David E. Long
2009-2221
PL0453
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COLORADO
MEMORANDUM
TO: Board of County Commissioners
DATE: August 20, 2009
FROM: Kim Ogle, Planning Services k3:0
SUBJECT: Acceptance of Cash Deposit
Wire Transfer
Case number AmUSR-861
Petro Canada Resources, (USA) Inc., Applicant
Staff from the Departments of Public Works and Planning Services commenced discussion with
the applicant, Petro Canada Resources, (USA) Inc., to establish collateral for the grading
activities associated with effective restoration and re -vegetation of the disturbed land surface in
the event that the applicant fails to complete the project in a manner to prevent erosion,
sedimentation and other nuisance conditions, including the establishment of noxious weeds,
potentially resulting in potential impacts to onsite and offsite properties.
At this time monies are required to ensure the completion of the Grading Permit component of
the Improvements Agreement. A cash deposit was wired to Weld County and deposited in the
Weld County Colo Treasury Collection and Clearing Account.
Additional collateral will likely be submitted upon approval of the amendment to USR-861 for the
future required improvements associated with this facility.
The Weld County Attorney, the Department of Public Works and the Department of Planning
Services, recommend the acceptance of monies to complete the Grading work performed at the
risk of the applicant for the required improvements associated with the Lilli Gas Plant.
PC: R. Hastings, PW
D. Bauer, PW
S. Arries, CA
File: AmUSR 861
2009-2221
PEIROCANADA
July 30 2009
Via Overnight Mail
Mr. Kim Ogle
Interim Director
Weld County Planning Services
918 Tenth Street
Greeley, CO 80631
RE: Li11i Gas Plant, Am-USR-861
Site Grading Permit Collateral
Signed Improvements Agreement
Dear Mr. Ogle:
Weld County Planning Department
GREELEY OFFICE
JUL 3 1 7ing
RECEIVED
Enclosed please find (2) signed copies of the noted Improvements Agreement. Please return (1)
signed copy to Petro -Canada in the enclosed self-addressed, stamped envelope.
A cash deposit in the amount of $10,000.00 was wired to Weld County on 07/30/2009 to be
deposited in the Weld County Colo Treasury Collection and Clearing Account. This cash
deposit is for Petro -Canada's Lilli Plant Site Grading Permit collateral for improvements.
Please advise if you have any questions and thank you for your consideration.
PETRO-CANADA RESOURCES (USA) INC.
Sincerely,
Sherri Robbins
Permitting Manager
Enclosure
999 18`h Street, Suite 600
Denver, CO 80202
Phone: 303.297.2100
Fax: 303.297.7708
Kim Ogle
From:
Sent:
To:
Subject:
Donna Bechler
Thursday, August 06, 2009 4:02 PM
Kim Ogle
FW: Money from Petro Canada
Original Message
From: Esther Gesick
Sent: Monday, August 03, 2009 12:23 PM
To: Donna Bechler
Subject: FW: Money from Petro Canada
Can you help Chris with this?
Esther E. Gesick
Deputy Clerk to the Board
Weld County, Colorado
915 10th Street
Greeley, CO 80631
(970)356-4000 X4226
(970)352-0242 (fax)
Original Message
From: Chris D'Ovidio
Sent: Monday, August 03, 2009 11:13 AM
To: Sharon Kahl
Cc: Esther Gesick
Subject: FW: Money from Petro Canada
Good morning
It looks like the Treasurer received $10,000 from Petro Canada for reclamation collateral.
Let me know what account to post the money to in Banner and I will get it booked.
Thanks
Chris
Christopher D'Ovidio
Senior Accountant
Weld County
cdovidio0co.weld.co.us
(970) 356-4000 ext 4447
Original Message
From: Shirley Bauer
Sent: Monday, August 03, 2009 10:37 AM
To: Chris D'Ovidio
Subject: FW: Money from Petro Canada
Original Message
From: Mona Weidenkeller
Sent: Monday, August 03, 2009 10:12 AM
To: Shirley Bauer
Subject: FW: Money from Petro Canada
Here's the e-mail that I received from
questions.
Thanks!
Mona Weidenkeller
Weld County Public Works
970-356-4000, Ext. 3777
mweidenkellerPco.weld.co.us
Original Message
From: David Bauer
Sent: Monday, August 03, 2009 10:04 AM
To: Mona Weidenkeller
Cc: Kim Ogle; Don Dunker; Chris Gathman
Subject: RE: Money from Petro Canada
Dave about the $10,000. Let me know if you have any
It was supposed to go to the Clerk to the Board it is a collateral amount to cover
reclamation (if needed) for the Lilli Gas compressor station - it isn't even a planning case
yet but Petro wanted to start construction so we asked them to post the collateral.
Can we move that cash over to the Clerk's accounts
hearing for the BOCC to accept it.
Thanks, I think,
Dave Bauer
Weld County Public Works
Original Message
From: Mona Weidenkeller
Sent: Monday, August 03, 2009 8:57 AM
To: David Bauer
Subject: Money from Petro Canada
and I'll alert Planning to schedule a
The Treasurer's Office contacted me this morning about a wire they received on
Petro Canada Resources. It was in the amount of $10,000 for a pre -payment and
your name so I hope you know what this is regarding. They deposited the money
Public Works general revenue account and wanted to make sure we knew the money
received.
Mona Weidenkeller
Weld County Public Works
970-356-4000, Ext. 3777
mweidenkeller(co.weld.co.us
Friday from
referenced
into the
had been
2
IMPROVEMENTS AGREEMENT ACCORDING TO
POLICY REGARDING COLLATERAL FOR IMPROVEMENTS
Petro -Canada Resources (USA) Inc. — Lilli Gas Plant Site Grading Permit Collateral
THIS AGREEMENT, made and entered into this 30`h day of July , 2009, by and
between the County of Weld, State of Colorado, acting through its Board of County
Commissioners, hereinafter called "County," and Petro -Canada Resources (USA) Inc., Property
Owner, hereinafter called "Applicant."
WITNESSETH:
WHEREAS, Applicant has certified it has the right to occupy and utilize the following
described property in the County of Weld, Colorado:
1836 W2 L3 OR W2NE4NW4/SW4NW4/W2SW4/NW4NW4 in Section 4 Township 8
North, Range 58 West of the 6th Principal Meridian, being described as Parcel ft 053704000001,
hereinafter referred to as "the Property," and
WHEREAS, Applicant hereby represents to County that it has purchased the gas facility
from Walsh Production, Inc. which facility is situated within the site described above, and
further represents that it has permission and/or authority to perform the grading activities
described in this Improvements Agreement According to Policy Regarding Collateral for
Improvements, hereinafter called "Agreement" on the property described above, and
WHEREAS, Applicant intends to acquire land use permits from County for an Oil and
Gas Support Facility on the above -described real property, and the Applicant is currently in the
process of preparing an amended Use -by -Special Review (Am-USR-861) application for the
Property, and
WHEREAS, the Applicant wishes, at its own risk, to commence site preparation work,
including site grading, prior to receiving Board of County Commissioner approval for the
construction under the Am-USR-861, and without prior knowledge of any conditions of approval
pursuant to the Am-USR-861, and Applicant acknowledges that the issuance of the Am-USR-
861 is conditional upon Applicant's performance of the on -site and off -site improvements which
have yet to be determined, and
WHEREAS, Applicant and County shall enter into a separate Agreement detailing all on -
site and off -site improvements required for issuance of the Am-USR-861, which shall set forth
all additional requirements for collateral, and
WHEREAS, Applicant acknowledges that it may not engage in any activity related to the
business(es) described above until said Am-USR-861 has been approved by the Board of County
Commissioners, and the required improvements identified in that Am-USR-861 approval have
been completed, and
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WHEREAS, the parties agree that Applicant shall not commence work on on -site or off -
site improvements, including grading, until they have provided collateral for said improvements
and until Applicant has submitted for and received approval of an application for grading.
NOW, THEREFORE, IN CONSIDERATION OF the foregoing and of the promises and
covenants contained herein, the parties hereto promise, covenant and agree as follows:
A. Grading Permit Application
1.0 Applicant shall submit a grading permit application that includes a site -wide
grading plan, a site -wide erosion and sedimentation control plan showing the location of
stormwater Best Management Practices.
2.0 Applicant shall provide evidence that a State of Colorado Department of Public
Health and Environment (CDPHE) Construction Stormwater permit has been applied for.
3.0 On -Site Grading: Applicant may, at its own expense, grade the interior portions
of the property subject to the site's erosion and sedimentation control plan. As this activity is
proposed to occur prior to receipt of County approval of the Am-USR-861, any such grading
may not be in accordance with the final approved grading and drainage plan currently under
preparation. Applicant acknowledges that changes to the grading conducted prior to Am-USR-
861 approval may be required for final approval. Applicant is solely responsible for future
changes to the site grading to bring the site into conformance with the final approved grading and
drainage plans. Applicant is solely responsible for conducting utility locates and to implement
all necessary safety measures.
4.0 Offsite Construction: This Agreement does not allow Applicant to conduct any
off -site grading or construction without prior County approval. A County Right -Of -Way permit
will be required for all construction activities in the Right -Of -Way.
B. General Requirements:
1.0 Engineering Services: Property Owner shall furnish, at its own expense, all
engineering services in connection with the design and construction of the improvements.
1.1
The required engineering services shall be performed by a Professional
Engineer and Land Surveyor registered in the State of Colorado, and shall
conform to the standards and criteria established by 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 Property Owner shall furnish construction drawings for the road
improvements on public rights -of -way or easements and all improvements
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interior on the Property for approval prior to the letting of any construction
contract.
2.0 Release of Liability: Applicant shall indemnify and hold harmless the County
from any and all liability loss and damage County may suffer 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 against the County on
account of 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 of Colorado governing
occupational safety and health.
3.0 General Requirements for Collateral:
3.1 Collateral for the grading activities shall be submitted to Weld County to
ensure effective restoration and re -vegetation of the disturbed land surface
in the event the Applicant fails to complete the project in a manner
sufficient to prevent erosion, sedimentation, or other nuisance conditions,
including the establishment of noxious weeds, resulting in potential or
actual impacts to onsite and offsite properties.
3.2 The value of collateral submitted to Weld County to guarantee completion
of the grading and surface stabilization shall be equivalent to (100%) of
the value of the cost to restore the slopes and vegetation to disturbed areas
in a manner sufficient to prevent erosion, sedimentation, or other nuisance
conditions, including the establishment of noxious weeds. At this time,
Ten Thousand Dollars ($10,000) Collateral is required.
3.3 Collateral must be submitted upon the approval of this Agreement by the
Board of County Commissioners. Additional collateral to ensure
completion of the requirements of the yet to be approved Am-USR-861
for the site will be required following approval of the Am-USR-861 and
prior to recording the USR plat.
3.4 Collateral may be in the form of an irrevocable letter of credit (LOC) in an
amount equivalent to (100%) of the total value of the improvements set
forth in the Agreement; the LOC shall be subject to the requirements of
Weld County Code Section 2-3-30 B.
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3.5 Collateral may be in the form of a cash deposit made with the Board in an
amount equivalent to (100%) of the value of the improvements set forth in
the Agreement.
3.6 Collateral may be in the form of an escrow agreement where the cash in
escrow is in an amount equivalent to (100%) of the value of the
improvements set forth in the Agreement. The escrow agreement shall
conform to and be subject to the requirements of Weld County Code
Section 2-3-30 B.3.
4.0 Request for Release of Collateral: Collateral shall be released in accordance with
the provisions of Weld County Code Section 2-3-30.C. Prior to release of collateral for the
entire project or for a portion of the project by Weld County, the Applicant must present a
Statement of Substantial Compliance from an Engineer registered in 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:
4.1 The Engineer or his representative has made regular on -site inspections
during the course of construction and the construction plans utilized are
the same as those accepted by Weld County.
4.2 For the improvements to public rights -of -way or easements, test results
must be submitted for all phases of this project as per Colorado
Department of Transportation (CDOT) Schedule for minimum materials
sampling, testing and inspections found in CDOT Materials Manual.
4.3 Collateral will be released only by upon a Resolution adopted by the
Board of County Commissioners, and upon the recommendation(s) of
employees or agents of the Weld County Department of Planning Services
and/or the Weld County Department of Public Works.
5.0. Successors and Assigns: Except as specified below, this Agreement may not be
delegated or assigned in whole or in part by either party hereto without the express written
consent of the other party and the written agreement of the party to whom the obligations under
this Agreement are assigned. Consent to a delegation or an assignment will not be unreasonably
withheld. Notwithstanding the previous two sentences, the obligations to improve and maintain
the improvements outlined in this Agreement may be delegated to a purchaser of a portion or all
of the Property or business operation conducted thereon, provided further that County's consent
to such does not relieve Applicant of any obligations under this Agreement. Notwithstanding
any other provisions of this Agreement or of this paragraph, County may delegate or assign its
rights and obligations under this Agreement without the consent of Applicant, (or its assigns,
delegates or successors in interest) to another governmental entity which by annexation or
agreement has assumed jurisdiction over the roads affected by this Agreement. 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.
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6.0 County Engineer: All references in this Agreement to "County Engineer" shall
refer to the any individual or individuals appointed by the County Engineer to act on his/her
behalf.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed
on the day and year first above written.
PETRO-CANADA RESOURCES (USA) INC.
1 Ed d L. McLa lin
President
Subscribed and sworn to before me this 24th day of August , 2009.
ATTEST: X1 .OO A/ 1 //, . // BOARD OF COUNTY COMMISSIONERS
WELD COUNTY, COLORADO
Weld County Clerk
Deputy Clerk to LYfe Board
APPROVED AS TO FORM:
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William F<Garci air
AUG 2 4 2009
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