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Home My WebLink About20021435.tiff MEMORANDUM OttTO: Weld County Board of Commissioners May 15, 2002 IiiDc FROM: Esther Gesick, Deputy Clerk to the Board COLORADO SUBJECT: Consideration of Recorded Exemption # and Settlement re: Transfer of the Enviro Cycle, LLC, USR#1198, on Monday, June 3, 2002 The applicant, Mike Cervi, has requested a hearing before the Board on Monday, June 3, 2002, at 10:00 a.m. to consider accepting stipulation in case 01-CV-713, ENVIRO-CYCLE, L.L.C.,Plaintiff, v. BOARD OF COUNTY COMMISSIONERS OF WELD COUNTY, COLORADO Defendant, which stipulation provides for the dismissal of the lawsuit contingent upon the closing of a transaction transferring a portion of the land, and the equipment and operation described as a Oil and Gas support facility under USR Permit#1198 pursuant to an Asset Purchase Agreement between the Plaintiff and Conquest Oil, Inc. (hereinafter"Conquest"). The stipulation, if adopted, provides for the transfer of the USR to Conquest, reinstates the USR in Conquest's name and extends hours of operation to 7:00 a.m. to 10:00 p.m. The Board in so doing would also recognize the diminishment of the size of the parcel encompassed in the USR as an insubstantial change. There is adequate time for notification of this date; however, the Board should note the hearing room will only be available until 12:45 p.m. The next available hearing date is June 5, 2002. Does the Board approve of scheduling a special 10:00 hearing on Monday, June 3, 2002? NOT WORK APPROVED APPROVED SESSION Glenn iGJ Dave Mike Bill Rob C EXHIBIT a— LC$tl'I/9'g 2002-1435 NOTICE Pursuant to the zoning laws of the State of Colorado and the Weld County Code, a public hearing will be held in the Chambers of the Board of County Commissioners of Weld County, Colorado, Weld County Centennial Center, 915 10th Street, First Floor, Greeley, Colorado, at the time specified. If a court reporter is desired, please advise the Clerk to the Board, in writing, at least five days prior to the hearing. The cost of engaging a court reporter shall be borne by the requesting party. In accordance with the Americans with Disabilities Act, if special accommodations are required in order for you to participate in this hearing, please contact the Clerk to the Board's Office at (970) 336-7215, Extension 4226, prior to the day of the hearing. The complete case file may be examined in the office of the Clerk to the Board of County Commissioners,Weld County Centennial Center, 915 10th Street,Third Floor, Greeley, Colorado. E-Mail messages sent to an individual Commissioner may not be included in the case file. To ensure inclusion of your E-Mail correspondence into the case file, please send a copy to charding@co.weld.co.us. DOCKET NUMBER: #2002-39 DATE: June 3, 2002 TIME: 10:00 a.m. APPLICANT: Enviro-Cycle, LLC Conquest Oil Company do Mike Cervi 1610 29th Avenue Place, Suite 2 P.O. Box 169 Greeley, Colorado 80631 Sterling, Colorado 80751 REQUEST: Consider Accepting Stipulation in Case 01-CV-713,ENVIRO-CYCLE, L.L.C.,Plaintiff, v. BOARD OF COUNTY COMMISSIONERS OF WELD COUNTY,COLORADO,Defendant,which stipulation provides for the dismissal of the lawsuit contingent upon the closing of a transaction transferring a portion of the land, and the equipment and operation described as an Oil and Gas Service Facility (brine water disposal) under Use by Special Review Permit#1198 pursuant to an Asset Purchase Agreement between the Plaintiff and Conquest Oil Company (hereinafter "Conquest"). The stipulation, if adopted, provides for the transfer of Use by Special Review Permit #1198 to Conquest, reinstates the Use by Special Review Permit in Conquest's name and extends hours of operation to 7:00 a.m. to 10:00 p.m. LEGAL DESCRIPTION: N1/2 NW 1/4 of Section 32, Township 4 North, Range 65 West of the 6th P.M., Weld County, Colorado LOCATION: South of and adjacent to Weld County Road 40, and east of and adjacent to Weld County Road 39 (See Legal Description for precise location.) C. EXHIBIT BOARD OF COUNTY COMMISSIONERS WELD COUNTY, COLORADO US12.41 KIS DATED: May 17, 2002 PUBLISHED: May 22, 2002, in the Tri-Town Farmer and Miner and the Greeley Tribune a &thv.- - -, Lt& O p c...0/u J Qa t ,--/lA-adv MAR-14-2002 14:31 FROM:WARNER & ROSE, LLC 3036610310 TO:970ibed242 P.002'019 ASSET PURCHASE AGREEMENT THIS ASSET PURCHASE AGREEMENT("Agreement")dated ,2002, by and between ENVTRO-CYCLE,LLC("Enviro-Cycle"),a Colorado limited liability company ("Seller"),and CONQUEST OIL COMPANY,a Colorado corporation("Buyer"). BACKGROUND OF AGREEMENT. The following background statements are provided to aid in the understanding and interpretation of this Agreement: A. Seller owns and operates a Class II Oilfield Waste Disposal Service via deep well injection("Disposal Well")located on the portion of Lot B of Recorded Exemption #1055-31-2-RE2367 that is marked"PROPOSED BUILDING ENVELOPE—LOT B"as demonstrated on Exhibit A. B. The Disposal Well has been permitted by Weld County under a Use By Special Review Permit#1198 for an Oil and Gas Support and Service Facility(Brine Water Disposal)in the A(Agricultural)Zone District(the"County USR Permit")and has a permit from the Oil and Gas Conservation Commission for a Class U Oilfield Waste Disposal facility. C. Seller owns certain personal property,assets,equipment and fixtures in connection with !— the Property described on Exhibit A and the Disposal Well. D. Seller desires to sell the certain personal property,assets,equipment and fixtures and the Disposal Well, and Buyer desires to purchase the Seller's assets and Disposal Well. AGREEMENT NOW,THEREFORE,in consideration of the recitals,the mutual covenants,agreements, representations and warranties contained in this Agreement,the parties agree as follows: 1. PURCHASE AND SALE OF ASSETS. A. Purchase and Sale of Assets. Subject to the terms and conditions of this Agreement, Seller agrees to sell,assign,transfer and deliver to Buyer,and Buyer agrees to purchase from Seller,at the Closing all of the assets used or useful in and by Seller(the"Assets")on the Closing Date,including without limitation,the following: i The real property portion of Lot B of Recorded Exemption#1055-31-2- RE2367 that is marked"PROPOSED BUILDING ENVELOPE—LOT B" as demonstrated on Exhibit A plus three additional acres on the east side Page I of 18 ii. EXHIBIT IUSE*1192 i r MAR-14-2002 14:32 FROM:WARNER & ROSE. LLC 30310310 T0:9703520242 P.006/019 application and reasonably pursue approval of such application from Weld County. B. Reinstatement of County USBPernlit and Dismissal of the Lawjpit. The County USR Permit shall be reinstated by Weld County without change,except that the permitted hours of operation shall be increased from 7 A.M.to 10 P.M.and the said Permit shall be transferred to Buyer under terms and circumstances acceptable to Buyer in Buyer's sole discretion.Transfer of the USR Permit shall only be effective upon the Closing of this transaction.The Seller shall be required to sign all documents to effectuate such a transfer. Seller shall enter into a stipulation with Weld County to dismiss the Lawsuit,with prejudice,if Weld County offers such a stipulation,and the stipulation: (a)is effective only upon a closing of this transaction,(b)does not preclude Seller from doing business in Weld County in the future and(c)does not require any out-of-pocket damages to be paid to Weld County. A Weld County Commissioner hearing shall which the Commissioners approve the transfer,approve the change of hours, reinstate the County USR Permit and no challenge to such actions shall have occurred within the time required for such challenges pursuant to Colorado Rules of Civil Procedure Rule 106 or otherwise. If such a challenge is filed by any party,this condition will be satisfied 30 days after judgment is filed and all appeal periods have expired. The intent of this Agreement is for the Buyer to negotiate a transfer of the USR Permit and a dismissal of the Lawsuit,but the effective date of the transfer of the USR Permit and dismissal of the Lawsuit would not occur until the Closing of this transaction actually occurs. C. State Permit. The permit from the Colorado Oil and Gas Conservation Commission to operate a Class 11 Oilfield Waste Disposal facility shall be transferred to Buyer. D. Review of Disoosal Well. Buyer shall complete a review of the down-hole data and completion technique. E. Buyer's Due Diligence. i investigation Period.From the date of full execution hereof,and continuing until the later of the Recorded Exemption required by subparagraph A above is approved and approval of the Reinstatement of the County"USR Permit and the dismissal of the Lawsuit,Seller shall permit and,to the extent reasonably required by Buyer,Seller shall assist Buyer in: Page 5 of 18 MEMORANDUM Kit 0 TO: BOARD OF CITY COMMISSIONERS FROM: CINDI ETC�HEVERRY, ENVIRONMENTAL HEALTH IDSERVICES Il C• SUBJECT:USR-1198, ENVIRO-CYCLE,CHANGE OF OWNERSHIP COLORADO CC: TREVOR JIRICEK,DIRECTOR,ENV. HEALTH SERVICES MONICA MIKA-DANIELS,PLANNING SERVICES It is our understanding that Conquest Oil Company has obtained a purchase agreement to purchase Enviro-Cycle, LLC, and that a stipulation is proposed to allow the following: • transfer and reinstatement of Use by Special Review Permit #1198 • transfer a portion of the land to Conquest Oil Company • extend the hours of operation to 7:00 a.m. to 10:00 p.m. Conquest Oil Company currently owns and operates two other exploration and production waste injection well facilities in Weld County. Our staff inspects these facilities on a quarterly basis. Based upon our regulatory history with these facilities, Environmental Health Services does not object to the transfer of ownership to Conquest Oil Company. EXHIBIT 0\ETCH\WASTE\Envirocyde\020529transfenng usr doc `-' Hello