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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. I 111111 11111 IIIIII 11111 11111 11111 111111 III 111111111 1111 3647818 09/10/2009 10:50A Weld County, CO 1 of 7 R 0.00 D 0.00 Steve Moreno Clerk & Recorder 2009-2221 PL0453 . hL,IL-f-IL6 - 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 111 1111 1111 1111 11 1111111111111 III 11111 IIII IIII 3647818 09/10/2009 10:50A Weld County, CO 2 of 7 R 0.00 D 0.00 Steve Moreno Clerk & Recorder BOARD OF C•UNTY COMMISSIONERS ELD • Y, COLORADO Douglas ademac -r, Pro-Tem EXCUSED Sean P. Conway /7 /Bar /(, c.iLc , Kirkmeyer J LV David E. Long 2009-2221 PL0453 pfefri. IIiDc. 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 I 111111 11111 11111 11111 111111 III I1111Illl 3647818 09/10/2009 10:50A Weld County, CO 3 of 7 R 0.00 D 0.00 Steve Moreno Clerk & Recorder 1 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 111111111111111111111111111111111111111III 11111 IIII IIII 2 3647818 09/10/2009 10:50A Weld County, CO 4 of 7 R 0.00 D 0.00 Steve Moreno Clerk 8 Recorder 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. 1111111 11111 111111 111111111111111111111III 11111 1111 1111 3 3647818 09/10/2009 10:50A Weld County, CO 5 of 7 R 0.00 D 0.00 Steve Moreno Clerk & Recorder 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. 11111 11111 11111 11111 11111111111111 /111/1111 IIII 3647818 09/10/2009 10:50A Weld County, CO 6 of 7 R 0.00 D 0.00 Steve Moreno Clerk & Recorder 4 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: 1111111 11111 Hill IIIII 1111111111111111 III 1101 Ill! Jill 3647818 09/10/2009 10:50A Weld County, CO 7 of 7 R 0.00 D 0.00 Steve Moreno Clerk & Recorder 5 William F<Garci air AUG 2 4 2009 Hello