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Home My WebLink About20030352 RESOLUTION RE: ACTION OF BOARD AT PROBABLE CAUSE HEARING CONCERNING USE BY SPECIAL REVIEW PERMIT#1316 FOR OPEN PIT SAND AND GRAVEL MINING IN THE A(AGRICULTURAL) ZONE DISTRICT - HALL-IRWIN CORPORATION 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, on the 5th day of February, 2003, a Probable Cause Hearing was held before the Board to consider setting a Show Cause Hearing to determine whether or not Hall-Irwin Corporation, P.O. Box 2150, Greeley, Colorado 80632, was in compliance with certain Conditions of Approval and Development Standards contained in Use by Special Review Permit#1316 for Open Pit Sand and Gravel Mining in the A (Agricultural) Zone District, and WHEREAS, the alleged violations were said to be occurring on property described as part of the NE1/4NW1/4 and part of the NW1/4NE1/4 of Section 19, Township 6 North, Range 67 West of the 6th P.M., Weld County, Colorado, and WHEREAS, after hearing testimony from Hall-Irwin Corporation and the Town of Windsor, the Board deems it advisable to dismiss said Probable Cause based on findings that there does not appear to be a significant change to the Use by Special Review Permit activities, although there has been some change in circumstances due to drought conditions; this project will help meet the needs of the community; approximately 75 percent of the site has already been annexed to the Town of Windsor, with a petition pending on the remaining area; the Colorado Department of Transportation has granted a temporary access permit to address transportation issues on Highway 392; and the extended hours of operation are associated with funding time lines and first-fill rights off the Poudre River for irrigation. NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of Weld County, Colorado, that the Probable Cause Hearing be, and hereby is, dismissed. 2003-0352 PL1510 e� : 41/4/4- Pc Pte t-11-(Ed C/ PROBABLE CAUSE - HALL-IRWIN CORPORATION (USR #1316) PAGE 2 The above and foregoing Resolution was, on motion duly made and seconded, adopted by the following vote on the 5th day of February, A.D., 2003. BOARD OF COUNTY COMMISSIONERS WEL UN Y, OLO DO ATTEST: 4ruuc/�� vid E. Long, h ‘a.L. Weld County Clerk to t sB' y:.:O. g,„9, R bert D. M den, Pro-Tern BY: Deputy Clerk to the Bosu, . J. eile OVED ORM: EXCUSED DATE OF SIGNING (AYE) William H. Jerke n Attorne y L/L ILA Glenn Vaad Date of signature: 3/1 2003-0352 PL1510 CONSTRUCTION • AGGREGATES • LEASING • GOLF /�a� ' 7.a,,, y eaLiv JAN _ p r 31 _`` ?003 y' Nry S our Fl CE January 28, 2003 Weld County Department of Planning Services 1555 N. 17th Avenue Greeley, CO 80631 Subject: USR-1316, Part of the NE4/NW4 and part of the NW4/NE4 of Section 19, T6N, R67W of the 6th P.M.,Weld County, Colorado Dear Mr. Gathman: This letter is in response to your letter dated January 28, 2003. We would like to provide some background information for your consideration. For approximately two years the Town of Windsor has been working with Hall-Irwin Corporation on the Kern Reservoir (aka Windsor Lake) reclamation project. The reservoir has been badly silted in for many years and has not held it's adjudicated amount of water (1800 acre feet). Considering the severe drought situation it seemed the ideal time to go forward with the project, with accompanying funding from the Colorado Water Conservation Board (CWCB). Funding from the CWCB has been approved for the project and the total cost of the project is over$6,000,000.00. Due to the reservoir being utilized by the New Cache La Poudre ditch company as an equalizer, it was imperative that the project be completed during off irrigation months, basically October 15-April 15. Originally, the project was going to be done over a three year period, however, the Town of Windsor felt that the impacts to the surrounding citizens would be less if done within one season, which meant the contractor would have to work six days a week, with two ten hour shifts. The other consideration was cost; if the lake would have to be drained three times it added considerable cost to the project. Mayor Wayne Miller and myself presented our proposal to the Division of Minerals and Geology (DMG) and their conclusion was that this was not considered mining; it was a reclamation project to increase water storage. There is over four million cubic yards of material that needed to come out of the lake and 2.5 million cubic yards was to be deposited on the adjacent property for fill dirt and the remaining material could be hauled to our HALL- I RWIN 2003-0352 CORPORATION 1 3026 4TH AVE. GREELEY. COLORADO 80631 • RO. Box 2150 GREELEY. COLORADO 80632 14_i5/O 990-352-6059 • 303-654-1684 METRO • 970-352-6284 FAX permitted gravel operation (La Poudre Pit, USR-1316). The DMG granted a Declaratory Order for the project in September of 2002. We presented this scenario to the Windsor Town Board and they unanimously approved the Kern Reservoir and Ditch Company to go forward with the plan. After discussion with the Colorado Department of Transportation (CDOT) it was decided that it would be safer for the 320 trucks per day, to enter into the gravel permit site through our approved access, but to exit back onto State Highway 392. A permit was applied for and CDOT approved the temporary access point. The impacts of this project are to the citizens of the Town of Windsor, as the haul route for the material coming out of the lake is through the town and is almost completely onto the State Highway system. Our approved, permitted access point is located off of Weld County Road 13, however, that portion of the gravel permit has been annexed into the Town of Windsor. The Kern Reservoir and Ditch Company have made concerted efforts to keep the public informed of the project and have had regular monthly meetings. Letters have been sent to citizens and notice has been in the two Windsor papers, as well as the Greeley Tribune. The last public meeting was scheduled on January 9, 2003 and over forty people attended. The response has been overwhelmingly positive, as the citizens in the Town of Windsor desperately want to have their lake cleaned out and want to be impacted for as short of a period of time as possible. We would like to address your letter dated January 28, 2003 regarding the issues the Weld County Planning Department considers violations of our above referenced permit. It is our position that the property is in compliance with the Development Standards for the following reasons: 1. The operation is in compliance with all operation policies identified in Sections 23-4- 250 through 23-4-310 of the Weld County Code. Your letter specifically addressed section 23-4-290.B, which states, "All sand and gravel operations shall be conducted during the hours of daylight except in the case of public or private emergency, or to make necessary repairs to equipment." Over 75% of the original permitted area has been annexed and is located within the limits of the Town of Windsor. A small portion (20 acres) is located within Weld County and the only activity occurring on the Weld County portion is some temporary stockpiling of material and a temporary access road to State Highway 392. This temporary access was permitted through the Colorado Department of Transportation and stockpiling of material is currently permitted on this portion of the property. As stated previously, this is a temporary project, due to be complete by April 15, 2003, and is considered a public project (Windsor owns 70% of the reservoir). Our position is that due to the circumstances of the project and the financial responsibilities of the Town of Windsor, this project is considered an emergency project due to the constraints of the time frame. 2. The approved access into the site is from Weld County Road 13. Trucks are still utilizing the access point to enter into the facility. As stated previously, it was determined that it would be safer and more convenient for the citizens of Windsor (and Weld County) to have the trucks associated with the reservoir reclamation project exit, right turn only, directly back onto the State Highway, so that traffic would not back up at the signalized intersection of WCR 13 and Highway 392. As previously stated, this temporary access was approved by CDOT. The access road on the property is temporary and will be removed after completion of the project. After discussion with the Town of Windsor, it is our opinions that the temporary uses on the property are not a major change to USR-1316 and therefore not a violation of the permit. A majority of these uses are occurring within the permitted portion of the property within the town limits and the town has agreed to the temporary situation. If staff determines that it is a major change to the permit, as defined in the Weld County Code, we respectfully request an immediate Probable Cause Hearing to be scheduled before the Board of County Commissioners. Please let me know if you have any other questions. Thank you. Sincerely, Julie Chester Development Project Manager Northern Region pc: Mayor Wayne Miller, Town of Windsor Rod Wensing, Town Administrator,Windsor George Hall,President, Hall-Irwin Corporation Jeff Gregg, Aggregate Division, Hall-Irwin Corporation Jim McFarland, Vice President, Aggregate Division, Hall-Irwin Corporation Monica Daniels-Mika, Director of Planning Services, Weld County Kim Ogle, Lead Planner Trevor Jiricek, Director, Public Health and Environment Char Davis, Public Health and Environment Don Carroll, Public Works Board of County Commissioners Bruce Barker, County Attorney Lee Morrison, Assistant County Attorney 01/28/03 16:28 FAX 970 304 6498 WELD PLANNING 1Q002 Kita 119 DEPARTMENT OF PLAN NING SERVICES WWW.CO.WELD.CO.US E-mail Address: cgathman@co.weld.co.us 1555 N. 17th Avenue, Greeley, CO 80631 Phone (970) 353-6100 COLORADO Fax(970) 304-6498 January 28, 2003 Jeff Gregg-Hall Irwin Corporation P.O. Box 519 Greeley, CO. 80632 Subject: USR-1316, Part of the NE4 NW4 and part NW4 NE4 of Section 19,T6N, R67W of the 6th P.M.,Weld County,Colorado Dear Mr. Gregg, Notice is hereby given that the property listed above, is not in compliance with USR-1316 (also known as AMUSR-571) (Special Use Permit 1316). All conditions of the original permit must be in compliance by Wednesday February 5 or a Probable Cause public hearing, pursuant to Chapter 23, Article 11(2), Division 4, Section 23-2-270 of the Weld County Code,will be scheduled. If the Probable Cause Hearing is scheduled, the purpose of this public hearing will be to review case number USR-1316,for compliance with the Development Standards,as approved by the Board of County Commissioners on May 23, 2001,to determine if probable cause exists to hold a hearing on revocation of the permits. Representatives of this office and the Department of Public Works have determined that you are not in compliance with the following Development Standards and the approved and recorded special use permit plat: 1. The operation shall comply with all operation policies identified in Sections 23-4-250 through 23-4- 310 of the Weld County Code. Specifically section 23-4-290.8:"All sand and gravel operations shall be conducted during the hours of daylight except in the case of public or private emergency,or to make necessary repairs to equipment." 2. The approved access and haul route for USR-1316 (as shown on the recorded plat) goes from the mining site to Weld County Road 13. There is an access onto State Highway 392 that is currently being utilized by Hall-Irwin. This access point was never approved by the Board of County Commissioners. If it is determined at the public hearing that there is probable cause that you are not in compliance with USR- 1316,the Board of County Commissioners will schedule a Show Cause public hearing to consider revocation of the Use by Special Review permit. 01/28/03 16:28 FAX 970 304 6498 WELD PLANNING 11003 Any information you have that may help to resolve this matter will be helpful. Should you have any questions regarding this letter,or if you need any further information, please feel free to contact me at the above address, telephone number or e-mail address. If you wish to see me personally, please call to schedule an appointment so that I may reserve a sufficient amount of time with you. Sincerely, 4A Chris Gathman Planner-AICP pc: USR-1316 Monica Mika, Director, Planning Services Kim Ogle, Lead Planner Trevor Jiricek, Director, Public Health and Environment Char Davis, Public Health and Environment Don Carroll, Public Works Board of County Commissioners Bruce Barker, County Attorney SERVICE,TEAMWORK,INTEGRITY,QUALITY /jS DEPARTMENT OF AG S 1555 N. 17th AvenuePL ,NNIN Greeley, COERVICES1 8063 ' Phone: (970) 353-6100, Ext. 3540 stie; Fax: (970) 304-6498 C COLORADO CASE SUMMARY CASE NUMBER: USR-1316 NAME: Hall-Irwin Corporation MAILING ADDRESS: 3026 4th Avenue, Greeley, CO 80631 LEGAL DESCRIPTION: Part of the NE4 NW4 and part of the NW4 NE4 of Section 19, T6N, R67W of the 6th P.M., Weld County, Colorado TOTAL ACREAGE: 38 Acres October 5, 1983 USR 571 approved by the Board of County Commissioners December 22, 1994 Parcel including USR 571 was annexed into the Town of Windsor. May 23, 2001 USR-1316 approved by the Board of County Commissioners January 24, 2003 Complaint received, concerning 24 hour operations and utilization of a non permitted roadway. January 27, 2003 Field observation verifying complaint by DPS staff. January 28, 2003 Letter from DPS, Chris Gathman, expressing concerns regarding activities on the site. January 28, 2003 Letter From Hall Irwin, Julie Chester, to DPS stating response to concerns. February 5, 2003 Probable Cause Hearing conducted by the Board of County Commissioners for a violation to Section 23-4-250 through 23-4-310 of the county Code. Specifically Section 23-4-290 b" all sand and gravel operations shall be conducted during the hours of daylight except in the case of public or private emergency, or to make necessary repairs to equipment." Case Summary Continued February 5,2003 • Page 2 February 5, 2003 Probable Cause Hearing conducted by the Board of County Commissioners regarding the installation of a temporary access onto Highway 392 that is not shown on the recorded USR-1316 plat without prior review by Weld County Staff and the Board of County Commissioners. Department Recommendation: While the Department of Planning Services has determined that the above actions are in violation to the Development Standards as listed. The applicant has submitted evidence stating that a private emergency has occurred, and will be resolved by April 15, 2003. The Department of Planning service is requesting time to review a request for deviation from this development standard due to this potential emergency. Additionally, the Department is prepared to meet with the applicant to ensure that any other pending issues associated with this permit have been met. (4 MEMORANDUM WeTO: Chris Gathman, Planner COLORADO DATE: February 5, 2003 FROM: Kim Ogle, Planner III SUBJECT: USR-1316, Hall-Irwin Corporation On-Site Lighting, Evening Hours Approved Haul Route Resource Material on State Highway 392 For several weeks, the facility identified by Weld County Permit number USR-1316 has engaged in activities associated with the stockpiling of a mined resource during hours associated evening and night operation. The lights illuminating the site are freestanding generators on trailers that are moved to locations to accommodate the operation. The lights illuminate the on-site conditions and also the off-site area(s) including State Highway 392, the east-west road that turns into Main Street in the Town of Windsor. Second, a new access onto the State Highway is being utilized by the operator of this facility. The Department of Public Works should provide comment and or investigation into the approved haul route associated with this facility. This Planner has visually verified the area in and around the permitted CDOT access road, out of the USR-1316 site, has a tendency to have a build-up of material that encroaches onto the travel lanes of the State Highway. CDOT should be contacted to verify the requirements of the access permit specific to compliance of this facility and or operation. I, Kim Ogle, hereby certify under penalties of perjury that the statements contained herein are accurate and true. FOG E/ STATE OF COLORADO ) ss. COUNTY OF WELD S The foregoing instrument was subscribed and sworn to me this day of_sj � , 2003. WITNESS my hand and official seal. tWAI MJ WIPp r (► A .1 IMy 4sioh ires: / - a9- o 6 dA 1 .. CA �� 4 EXHIBIT is STATE OF COLORADO DIVISION OF MINERALS AND GEOLOGY Department of Natural Resources 1313 Sherman St., Room 215 DIVISION OF Denver,Colorado 80203 MINERALS Phone:(303)866-3567 & FAX:(303)832-8106 GEOLOGY RECLAMATION MINING•SAFETY Bill Owens Governor October 24, 2002 Greg E.watcher Executive Director Ronal CattKern Reservoir and Ditch Company Acting W.Division Director C/o Rocky Mountain Consultants, Inc. 1900 S. Sunset St., Ste. 1-F Longmoni, CO 80631 RE: Findings of Fact, Conclusions of Law and Board Order, Kern Reservoir Enlargement. Dear Ms. Brunk: On October 16, 2002 the Mined Land Reclamation Board (Board) issued the enclosed Declaratory Order for the above-captioned operation. The Board found that the Kern Reservoir and Ditch Company's reservoir enlargement project as described in the materials submitted to the Division of Minerals and Geology was not subject to the requirements of obtaining a permit. If you have any questions, please contact Tom Roan of the Office of the Attorney General. Sincerely, r t,r i,'� er( °y Ron Cattany Division Director CERTIFIED MAIL No. 7000 1670 0000 0690 0396 Cc: Tom Roan, AGO Cheryl Linden, AGO Carl B. Mount, DMG C:\Documents and Settings\cbm\My Documents\Board Items\Declaratory Order Covers\02 10 16 Kern Reservoir.doc EXHIBIT BEFORE THE MINED LAND RECLAMATION BOARD STATE OF COLORADO FINDINGS OF FACT, CONCLUSIONS OF LAW, AND DECLARATORY ORDER IN THE MATTER OF THE PETITION FOR DECLARATORY ORDER BY KERN RESERVOIR AND DITCH COMPANY. THIS MATTER came before the Mined Land Reclamation Board on October 16, 2002 at Denver, Colorado for hearing on a Petition for Declaratory Order, pursuant to Board Construction Materials Rule 2.5. Barb Brunk of Rocky Mountain Consultants appeared on behalf of the Petitioner, Kern Reservoir and Ditch Company. Carl Mount appeared on behalf of the Division of Minerals and Geology (Division). The Board, having considered the Petition and Responses thereto, and the arguments of the parties, and having been otherwise fully informed in the premises, hereby finds and concludes as follows: FINDINGS OF FACT AND CONCLUSIONS OF LAW 1. Petitioner seeks an order from the Board declaring that excavating silt, sand and gravel from the bottom 1 of the Windsor Lake in order to increase its capacity does not constitute mining for which a permit would be required. The lake is located on Section 16,T6N, R67W, 6'h P.M., Weld County, Colorado. 2. The Board has jurisdiction over the subject matter of this action and the parties hereto, in accordance with C.R.S. § 35-32.5-101, et seq. 3. The Board entertains declaratory order petitions in accordance with C.R.S. § 24-4-105(11) and Construction Materials Rule 2.5. 4. In accordance with Construction Materials Rule 2.5.3(a), it is appropriate for the Board to rule on the petition because it would remove uncertainties as to whether the Petitioner's activities constitute a mining operation that is subject to permitting in accordance with § 34-32.5-109, C.R.S. 5. The Division was granted party status in accordance with Construction Materials Rule 2.5.5(1). 6. The facts are undisputed. Petitioner owns the site in question. Petitioner has a water right for this lake for 1,800 acre-feet. However, its capacity at present time is approximately 800 acre-feet because of silt build-up. Petitioner desires to excavate material from the lake bottom to increase storage capacity. 7. Petitioner intends to excavate approximately 3.7 million cubic yards of material from the lake bottom area of approximately 176 acres. Excavation depth is estimated at 20 feet using scrapers, loaders, backhoes and trucks. A small portion would be used as fill material to supplement parkland along the south shore of the lake. A small portion would be used to construct a slope liner around the lake. 2.5 million yards would be used as fill on adjacent property to prepare for a residential development. The remaining approximately 1.2 million yards would be hauled to the La Poudre Pit, a sand and gravel mine operated under permit number M-1983-090. The material hauled offsite is being sold to offset the cost of the project. 8. The issue is whether Petitioner's proposed excavation involves the excavation of construction material from its natural occurrence on affected land, and thereby constitutes a mining operation. If so, Petitioner must have a reclamation permit to proceed. 9. § 34-32.5-109, C.R.S. requires that all persons obtain a permit before commencing a new mining operation. 10. § 34-32.50-103(13) defines mining operations to include the extraction of construction material from its natural occurrence on affected land. 11. § 34-32.50-103(3) defines "construction material" to include certain materials extracted for use in the production of nonmetallic construction products. 12. Petitioner would be excavating material from its natural occurrence. Not all of the material to be excavated is silt deposited by tributaries. However, Petitioner is not excavating the material for the purpose of producing nonmetallic construction products. Petitioner is excavating the material to create sufficient storage capacity in the lake. The fact that Petitioner intends to excavate some construction material does not change the purpose of the project. 13. The Board must consider the purpose of a reclamation permit. The excavation is at the bottom of Windsor Lake. The standards and requirements in a reclamation permit and the applicable statutes and rules do not apply to the post-mine land use in question. There will be some new exposed shoreline as a result of this excavation. However, that shoreline is already subject to stabilization and vegetation requirements. ORDER Based on the above findings of fact and conclusions of law, the Board declares that Kern Reservoir and Ditch Company's proposed operation, as described above, does not require a permit. DATED this day of <' 4 >'C�-' , 2002. FOR THE COLORADO MINED LAND RECLAMATION BOARD 7 Ct' -detZCe- cite �/ Ronald W. Cattany, Director Division of Minerals and Geology CERTIFICATE OF SERVICE I L ONYITIF4-terrEtar,hereby certify that on this day of "DP(ell/10er , 2002, I deposited a true copy of the foregoing Findings Of Fact, Conclusions Of Law, And Order in the United States Mail, first class postage paid, addressed to the following: Kern Reservoir and Ditch Company c/o Rocky Mountain Consultants,Inc. 1900 S. Sunset St.,Ste. 1-F Longmont, CO 80631 And by infra-office mail to: Carl Mount Division of Minerals and Geology FOR THE MINED LAND RECLAMATION BOARD Staff artoke-1 t d Staff C) J 1 STATE OF COLORADO 0 ('.1Yt Colorado Water Conservation Board lnNv ` Department of Natural Resources of c°co „ 1313 Sherman Street,Room 721 o n 5j 9 r Denver,Colorado 80203 r--), o Phone:(303)866-3441 FAX:(303)866-4474 � /876"*. www.cwcb.state.co.us Deputy Director Bill Owens Governor MEMORANDUM Greg E.wa cher Executive Director Rod Kuharich TO: Colorado Water Conservation Board Members CWCB Director Dan McAuliffe FROM: John Van Sciver, P.E. Mike Serlet, P.E., Chief Water Supply Planning and Finance Section. DATE: October 31, 2002 (DRAFT 1) SUBJECT: Agenda Item ., November 25-26, 2002 Board Meeting Kern Reservoir and Ditch Company (Follow-up Loan Request) (Note: Revisions to the September 2002 loan memo are shown in Italics.) Introduction The Kern Reservoir and Ditch Company(KRDC) is applying for a $2,870,000 follow-up loan from the Construction Fund to rehabilitate the Kern Reservoir to restore lost storage capacity. The Company was approved for a $1 million Small Project Loan in September. If this follow-up loan is approved, CWCB loans for this project will total$3,870,000, which is 75% of the total project cost of$5,160,000. Please see the attached project summary and map. Background The KRDC, located in Weld County, operates the Kern Reservoir for storage of irrigation water for use within a 285-acre service area, and for other uses. Kern Reservoir (also known as Windsor Lake) is a multiple use facility located within the Town of Windsor, about 45 miles north of Denver. It provides water for irrigation, it serves as an equalizer reservoir for the Greeley Number 2 Ditch, and it is used for recreation through lease to the Windsor Boat Club. The reservoir is filled through the Greeley Number 2 Ditch, which diverts from the Cache La Poudre River. The dam, constructed in 1904, is a Class 1 structure, 14 feet high, impounding a reservoir of approximately 1,000 acre-feet. The reservoir has been in use for approximately 100 years, during which time the reservoir basin has become silted in, particularly at the west end. Although the Company has a water right to store 1800 acre-feet, the actual storage capacity is about 1,100 acre-feet. The Company wants to dredge out the reservoir to restore lost capacity, and to provide added storage capacity for the Town of Windsor's Master Storm Water Drainage Plan. The project has started. 4 EXHIBIT C_ Kern Reservoir and Ditch Company Agenda Item November 25-26,2002 Feasibility Studies Colby Hayden, P.E., of Rock Mountain Consultants, Inc. has completed the feasibility study in accordance with CWCB guidelines. The study includes an assessment of alternatives available for rehabilitation of the Kern Reservoir. The Kern Reservoir and Ditch Company The KRDC is a mutual ditch and reservoir company and a non-profit corporation registered in the State of Colorado. There are 2 shareholders and 100 shares of stock. The KDRC has the power to set annual assessments to be paid by the shareholders, the power to cut off water deliveries to shareholders that fail to pay their assessments, and the power to acquire and sell the shares of delinquent shareholders. Water Rights The KDRC owns water storage rights in the Kern Reservoir in amount of 1,800 ac-ft. State Engineer Records indicate the reservoir has been used to capacity each year during the period 1998 through 2000, and that the reservoir has a physical capacity of about 1,100 acre-feet. The Company has consistently used the Kern Reservoir for storage of water for use, or as an equalized basin for the Greeley number 2 Ditch. Project Description Three alternatives were analyzed in the feasibility study: 1. No Action 2. Increase the dam height. 3. Dredge out the reservoir ($5.16 million) Alternative 2, Increase the dam height, was ruled out, because it was not technically feasible. Due to the flat terrain, the dam height would need to be increased 14 feet around the entire reservoir. It would be necessary to pump into the reservoir, and the reservoir could not function as a flood detention facility. Alternative 3, Dredge out the reservoir($5.16 million) will regain full reservoir storage and is considered the preferred alternative. The no-action alternative was considered unacceptable since it would mean that the reservoir could not be used to capacity. Selected Alternative 3 consists of draining the reservoir and removing approximately 2.5 million cubic yards of material (approximately 1,500 acre-feet.) 700 acre-feet of this reclaimed storage will be designated to restore the historical reservoir storage capacity to 1,800 acre-feet, and the remaining 800 acre-feet will be designated as storage for the 100-year flood under the Town of Windsor's Storm Water Drainage Plan. The excavated reservoir will be lined with clay to prevent seepage, and modifications will be made to the Greeley Ditch Number 2 outlet/inlet to increase efficiency. The implementation schedule calls for completion of financing arrangements and final engineering design in fall 2002. Construction has started and will be completed by April 2002. The KRDC will use the CWCB Small Project Loan ($1 million) and Bank bridge financing ($2.87 million) to complete the project. The follow-up CWCB loan ($2.87 million) will be used to pay off the Bank loan in July 2003. Financial Analysis The total estimated cost of the project is $5,160,000 and two primary shareholders consisting of the Town of Windsor, and the Hall-Irwin Corporation own shares in the KRDC. Hall-Irwin is headquartered in Greeley and has participated in the construction of more than 1,500 commercial and residential subdivisions along the front-range, as well as many cross-country 2 Kern Reservoir and Ditch Company Agenda Item November 25-26,2002 transmission projects. Hall-Irwin is a commercial borrower, and the CWCB commercial lending rate of 6% (30 year term) would apply to their portion of stock in the KRDC. The Town of Windsor is a municipality with median household income of more than 110% of the statewide median, qualifying it for the CWCB high-income municipal rate of 4.75% (30 year term.) The blended rate for a loan to the KRDC is calculated as follows: Table 1: KRDC Share Ownership and Blended Interest Rate Shareholder Rate Category Year 2002 Rate # Shares Rate x Shares Town of Municipal 4.75% 70 332.5 Windsor High Income Hall-Irwin Commercial 6.0% 30 180 Corporation Totals 100 512.5 Blended rate for KRDC Blended Rate = 512.5 / 100 5.1% shares (rounded down to nearest .1%) The blended interest rate for the KRDC would be 5.1% for a 30-year loan. (By similar calculation, the 20-year loan rate would be 4.8%.) The Company is requesting a follow-up loan of$2.87 million, and has already been approved for a $1 million Small Project Loan. These 2 loans will total$3.87 million, which is 75% of the total project cost. Table 2 is a summary of the financial aspects of the project. A CWCB total loan amount of $3.87 million would have an annual payment of$280,090 (including the 10% reserve requirement) at the loan terms of 5.1% for 30 years. This represents a loan cost of$108 per acre-foot, based on the new total reservoir storage capacity of 2,600 acre-feet. Table 2. Financial Summary Project Cost $5,160,000 Number of Shareholders 2 Number of Shares of Stock 100 CWCB Loan (total amount) $3,870,000 CWCB Loan Payment (includes 10% reserve) $280,090 Current assessment per share $100 New Assessment per share (with $3.87 million loan in place.) $2900 Annual Loan Cost per acre-foot (New total volume: 2,600 ac-ft.) $108 Credit worthiness: The KRDC has an existing loan with the CWCB taken out in 1984 (original principal amount of$82,964 with an annual payment of$5,321) Payments on that loan have been made as agreed and the loan will be paid off by 2003. Table 3 shows the Financial Ratios for the KRDC and indicates 2 ratios in the average category and 2 in the weak category with $3,870,000 of CWCB loans in place. The Annual Cost per Acre-Foot is a ratio relating to purely agricultural projects. Municipal and multiple use projects can typically support a much higher annual cost. (Note: Gravel obtained during the dredging process will be processed for sale and resulting in a significant savings on the project bid cost..) 3 Kern Reservoir and Ditch Company Agenda Item_ November 25-26,2002 Table 3. Financial Ratios Financial Ratio Without With The project The project Operating Ratio (revenue/expense) 100% 109% weak: less than 100% (average) (average) average: 100%- 120% strong:greater than 120% Debit Service Coverage Ratio 100% 110% (revenues-expenses)/debt service (average) (average) weak: less than 100% average: 100% - 125% strong:greater than 125% Cash Reserves to Current Expense 50% 18% weak: less than 50% (average) (weak) average: 50%- 100% strong:greater than 100% Annual Cost per Acre-Foot (2,600 ac-ft) $ 18 $108 weak:greater than $20 (average) (weak) average: $10-$20 strong: less than$10 As security for the loan the KRDC will pledge assessment revenues backed by assessment covenant and the project itself. This security is in compliance with CWCB Loan Policy#5 (Collateral). Recommendation Staff recommends a follow-up loan not to exceed $3,870,000 to the Kern Reservoir and Ditch Company to cover up to 75% of the costs to rehabilitate the Kern Reservoir. The recommended loan terms are 30 years at 5.1% or 20 years at 4.8%, at the borrower's option. Security for the loan will be a pledge of assessment revenues backed by assessment covenant and the project itself. The loan will be funded from the Staff recommends that the Company be allowed to use this loan to refinance project costs already completed and paid for with short term bridge financing. Staff further recommends that final approval of the loan be conditioned upon all other standard contracting provisions of the CWCB. cc: Wayne Miller, President, Kern Reservoir and Ditch Co., 2319 10th Street, Windsor, CO 80550 Julie Chester, Hall-Irwin Corp., PO Box 2150, Greeley, CO 80632 Colby Hayden, P.E., Rock Mt. Consultants Inc, 1900 south Sunset, Suite 14, Longmont, CO 80501 Linda Bassi,AGO Attachment C:\WP51\Proj-New\Kern 1102memo; L:\boardmem\Nov02\ Nov 02 Kern 4 Kern Reservoir and Ditch Company Agenda Item_ t November 25-26,2002 Water Project Construction Loan Program-Project Data Borrower: Kern Reservoir and Ditch Company County: Weld Project Name: Kern Reservoir Project Type: Rehabilitation Drainage Basin: South Platte River Water Source: Cache La Poudre River Total Project Cost: $5,160,000 Funding Sources: CWCB and Company Type of Borrower: Municipal/Commercial Median Household Income: High CWCB Loan: $2,870,000 Blended Interest Rate: 5.1% Term: 30 years CWCB Grant: $5,000 Reservoir Volume: 2,600 acre-feet The Kern Reservoir and Ditch Company operates the Kern Reservoir for storage of irrigation water, as an equalizer reservoir for the Greeley Number 2 Ditch, and for recreation. The reservoir is located in the Town of Windsor, about 45 miles north of Denver, and receives water from the Cache La Poudre River. The reservoir has been in use for approximately 100 years, during which time it has become silted in to a capacity of 1,100 acre-feet. The Company wants to dredge out the reservoir to restore the original capacity of 1,800 acre-feet and to provide additional storage for the 100-year flood. Work started in fall 2002, and will be completed by April 2003.. The Kern Reservoir and Ditch Company is a mutual ditch and reservoir company and a non-profit corporation registered in the State of Colorado. Rocky Mountain Consultants, Inc., has completed the feasibility study. Funding for the project consists of a CWCB Small Project Loan for $1,000,000 (approved September 2002), a CWCB follow-up loan for $2,870,000, and the remainder from the Company. Location Map 5 STATE OF COLORADO Colorado Water Conservation Board c°NSF\ Department of Natural Resources 1313 Sherman Street,Room 721 'pm Denver,Colorado 80203 Phone:(303)866-3441 'y FAX:(303)866-4474 • ' 1931 ' www.cwcb.state.co.us Bill Owens September 18, 2002 Governor Greg E.Walcher Executive Director Rod Kuharich CWCB Director Dan McAuliffe Wayne Miller, President Re: Kern Reservoir Deputy Director Kern Reservoir and Ditch Co. Small Project Loan Approval 2319 10th Street Windsor, CO 80550 Dear Wayne, I am pleased to inform you that the Colorado Water Conservation Board (CWCB) approved your Small Project Loan request on September 12, 2002. The loan is for rehabilitation of the Kern Reservoir. The Board approved a Small Project Loan from the Construction Fund in a maximum amount of $1 million at the loan terms of 5.1%for 30 years or 4.8%for 20 years. I have attached a copy of the updated Board memo concerning the Kem Reservoir and Ditch Company. Please refer to page 4 of that memo and to the section "Action taken by the CWCB September 12, 2002." When the Board approved this Small Project Loan it attached several conditions: 1. A Feasibility Study is required. John Van Sciver has reviewed the draft feasibility study for this project prepared by Rocky Mountain Consultants Inc. John will continue to work with your engineer to ensure that the study meets the requirements of the CWCB Construction Fund Guidelines. 2. An approved contract must be in place before funds can be advanced. Jan Illian has placed this project on our contracting "hot list" and has initiated the loan contracting process. Jan will contact you directly as she drafts the loan contract. We expect to have the contract ready for final signature and routing by November and that loan funds will be available by January 1, 2003. Jan's phone number is (303) 894-2572. 4. EXHIBIT - i ;vs 3 co Kern Reservoir and Ditch Company Page 2 September 18, 2002 3. You must adhere to the CWCB Design and Construction Administration Procedures. Tim Feehan will contact you regarding the CWCB requirements concerning project bidding, design, and construction. Tim will make construction inspections, which will be the basis of the pay estimates for disbursement of your loan funds. On behalf of the Board, I would like to thank you for applying for a Small Project Loan from the Colorado Water Conservation Board. Sincerely, Mike Serlet, PE, Chief Water Supply Planning and Finance Section Colorado Water Conservation Board Attachments: Updated Memo:Kern 902memo cc(w/Attachment): Mr.Eric Wilkinson,Colorado Water Conservation Board CWCB Section B Staff Linda Bassi,AGO Chrono File C:wp51\Proj-New\Kern 9021tr STATE OF COLORADO Colorado Water Conservation Board �e cow' Department of Natural Resources 1313 Sherman Street,Room 721 - ?i • e Denver,Colorado 80203 ♦ * ,y Phone:(303)866.3441 • FAX:(303)866-4474 www.cwcb.state.co.us Bill Owens Deputy Director Governor Greg E.Watcher Executive Director MEMORANDUM Rod Kuharich (Updated September 18, 2002) CWCB Director Dan McAuliffe TO: Colorado Water Conservation Board Members FROM: John Van Sciver, P.E. Mike Serlet, P.E., Chief Water Supply Planning and Finance Section. DATE: August 26, 2002 SUBJECT: Agenda Item 12a., September 11-12, 2002 Board Meeting Kern Reservoir and Ditch Company Introduction The Kern Reservoir and Ditch Company (KRDC) is applying for a $1,000,000 Small Project Loan from the Construction Fund to rehabilitate the Kern Reservoir to restore lost storage capacity. The estimated total cost of the project is $5,100,000. The Company plans to apply for an additional CWCB loan of up to $2.75 million to complete the project. Please see the attached project summary and map. Background The KRDC, located in Weld County, operates the Kern Reservoir forstorage-of-irrigation-water-for— use within a 285-acre service area, and for other uses. Kern Reservoir (also known as Windsor Lake) is a multiple use facility located within the Town of Windsor, about 45 miles north of Denver. It provides water for irrigation, it serves as an equalizer reservoir for the Greeley Number 2 Ditch, and it is used for recreation through lease to the Windsor Boat Club. The reservoir is filled through the Greeley Number 2 Ditch, which diverts from the Cache La Poudre River. The dam, constructed in 1904, is a Class 1 structure, 14 feet high, impounding a reservoir of approximately 1,000 acre-feet. The reservoir has been in use for approximately 100 years, during which time the reservoir basin has become silted in, particularly at the west end. Although the Company has a water right to store 1800 acre-feet, the actual storage capacity is about 1,100 acre-feet. The Company wants to dredge out the reservoir to restore lost capacity, and to provide added storage capacity for the 1 Town of Windsor's Master Storm Water Drainage Plan. The project would start in winter 2002/2003. Kern Reservoir and Ditch Company Agenda Item 12a. September 11-12,2002 (Updated September 18,2002) Feasibility Studies Colby Hayden, P.E., of Rock Mountain Consultants, Inc. has completed the feasibility study in accordance with CWCB guidelines. The study includes an assessment of alternatives available for rehabilitation of the Kern Reservoir. The Kern Reservoir and Ditch Company The KRDC is a mutual ditch and reservoir company and a non-profit corporation registered in the State of Colorado. There are 2 shareholders and 100 shares of stock. The KDRC has the power to set annual assessments to be paid by the shareholders, the power to cut off water deliveries to shareholders that fail to pay their assessments, and the power to acquire and sell the shares of delinquent shareholders. Water Rights The KDRC owns water storage rights in the Kern Reservoir in amount of 1,800 ac-ft. State Engineer Records indicate the reservoir has been used to capacity each year during the period 1998 through 2000, and that the reservoir has a physical capacity of about 1,100 acre-feet. The Company has consistently used the Kern Reservoir for storage of water for use, or as an equalized basin for the Greeley number 2 Ditch. Proiect Description Three alternatives were analyzed in the feasibility study: 1. No Action 2. Increase the dam height. 3. Dredge out the reservoir ($5.1 million) Alternative 2, Increase the dam height, was ruled out, because it was not technically feasible. Due to the flat terrain, the dam height would need to be increased 14 feet around the entire reservoir. It would be necessary to pump into the reservoir, and the reservoir could not function as a flood detention facility. Alternative 3, Dredge out the reservoir($5.1 million) will regain full reservoir storage and is considered the preferred alternative. The no-action alternative was considered unacceptable since it would mean that the reservoir could not be used to capacity. Selected Alternative 3 consists of draining the reservoir and removing approximately 2.5 million cubic yards of material (approximately 1,500 acre-feet.) 700 acre-feet of this reclaimed storage will be designated to restore the historical reservoir storage capacity to 1,800 acre-feet, -and the remaining 800-acre-feet will be designated-as storage for the-100-year flood under the- ----- Town of Windsor's Storm Water Drainage Plan. The excavated reservoir will be lined with clay to prevent seepage, and modifications will be made to the Greeley Ditch Number 2 outlet/inlet to increase efficiency. The implementation schedule calls for completion of financing arrangements and final engineering design in fall 2002. Construction will start in winter 2002/2003 and will take about 3 years to complete. Financial Analysis The total estimated cost of the project is $5,100,000 and two primary shareholders consisting of the Town of Windsor, and the Hall-Irwin Corporation own shares in the KRDC. Hall-Irwin is headquartered in Greeley and has participated in the construction of more than 1,500 commercial and residential subdivisions along the front-range, as well as many cross-country transmission projects. Hall-Irwin is a commercial borrower, and the CWCB commercial lending rate of 6% (30 year term) would apply to their portion of stock in the KRDC. The Town of 2 Kern Reservoir and Ditch Company Agenda Item 12a. September 11-12,2002 (Updated September 18,2002) Windsor is a municipality with median household income of more than 110% of the statewide median, qualifying it for the CWCB high-income municipal rate of 4.75% (30 year term.)The blended rate for a loan to the KRDC is calculated as follows: Table 1: KRDC Share Ownership and Blended Interest Rate Shareholder Rate Category Year 2002 Rate #Shares Rate x Shares Town of Municipal 4.75% 70 332.5 Windsor High Income Hall-Irwin Commercial 6.0% 30 180 Corporation 100 512.5 Totals Blended rate for KRDC Blended Rate = 512.5 / 100 5(rounded.1% down to shares nearest.1%) The blended interest rate for the KRDC would be 5.1% for a 30-year loan. (By similar calculation, the 20-year loan rate would be 4.8%.) The Company is requesting an initial small project loan of $1 million, and plans to submit an application for a standard loan of up to $2.75 million. The initial loan represents approximately 20% of the total project cost. Table 2 is a summary of the financial aspects of the project. A CWCB Small Project Loan of$1 million would have an annual payment of $72,375 (including the 10% reserve requirement) at the loan terms of 5.1% for 30 years. The total amortized cost of this project will be approximately $130 per acre-foot, based on the new total reservoir storage capacity of 2,600 acre-feet. Table 2. Financial Summary $5,100,000 Project Cost 2 Number of Shareholders 102 , Number of Shares of Stock $1000,100 CWCB Loan Amount (initial Small Project Loan.) $72,375 CWCB Loan Payment (includes 10% reserve) $375 Current assessment per share $100 —_ New Assessment per share (with Initial $1 million loan in place.) $28 Annual Loan Cost per acre-foot (New total volume: 2,600 ac-ft.) Credit worthiness: The KRDC has no debt. Table 3 shows the Financial Ratios with the $1,000,000 the KRDC and indicates 3 ratios in the average category and 2 in the weak category CWCB loan in place. However, the Annual Cost Der Acre-Foot is a ratio relating to purely agricultural projects. Municipal and multiple use projects can typically support a much higher annual cost. The Monthly Residential Water Bill was included because the major stockholder in the KRDC is the Town of Windsor. (Note: Gravel obtained during the dredging process will be processed for sale. It is estimated that income from this source could offset project costs by as much as $1.2 million.) 3 Kern Reservoir and Ditch Company Agenda Item 12a. September 11-12,2002 (Updated September 18,2002) Table 3. Financial Ratios Financial Ratio Without With The project The project Operating Ratio (revenue/expense) 100% 107% weak:less than 100% (average) (average) average: 100%- 120% strong:greater than 120% No debt 110% Debit Service Coverage Ratio (revenues-expenses)/debt service (strong) (average) g ) weak:less than 100% average: 100%- 125% strong:greater than 125% 50% 20% Cash Reserves to Current Expense (average) (weak) weak:less than 50% average: 50%- 100% strong:greater than 100% $33 Annual Cost per Acre-Foot (2,600 ac-ft) $ 18(average) (weak) weak:greater than $20 average:$10-$20 strong: less than$10 $45 Monthly Residential Water Bill (Municipal) $45 (average) weak:greater than$60 (average) average:$30-$60 strong: Less than$30 As security for the loan the KRDC will pledge assessment revenues backed by assessment covenant and the project itself. This security is in compliance with CWCB Loan Policy#5 (Collateral). Recommendation Staff recommends a loan from the Small Project Account not to exceed $1,000,000 to the Kern Reservoir and Ditch Company to cover up to 75% of the costs to rehabilitate the Kern Reservoir. The recommended loan terms are 30 years at 5.1% or 20 years at 4.8%, at the borrower's option. Security for the loan will be a pledge of assessment revenues backed by assessment covenant and the project itself. Staff further recommends that final approval of the loan be conditioned upon all other standard contracting provisions of the CWCB. Action taken by the CWCB September 12, 2002 The CWCB approved the Staff Recommendation. cc: Wayne Miller, President, Kern Reservoir and Ditch Co., 2319 10th Street,Windsor, CO 80550 Julie Chester, Hall-Irwin Corp., PO Box 2150, Greeley, CO 80632 Colby Hayden, P.E., Rock Mt.Consultants Inc, 1900 south Sunset, Suite 1-f, Longmont, CO 80501 Linda Bassi,AGO Attachment C:\WP51\Proj-New\Kern 902memo; L:\boardmem\Sept02\12a Sept 02 Kern 4 Kern Reservoir and Ditch Company Agenda Item 12a. September 11-12,2002 (Updated September 18,2002) Water Project Construction Loan Program-Project Data Borrower: Kern Reservoir and Ditch Company County: Weld Project Name: Kern Reservoir Project Type: Rehabilitation Drainage Basin: South Platte River Water Source: Cache La Poudre River Total Project Cost: $5,100,000 Funding Sources: CWCB Type of Borrower: Municipal/Commercial Median Household Income: High CWCB Small Project Loan: $1,0000,000 Blended Interest Rate: 5.1% Term: 30 years CWCB Grant: $5,000 Reservoir Volume: 2,600 acre-feet The Kern Reservoir and Ditch Company operates the Kern Reservoir for storage of irrigation water, as an equalizer reservoir for the Greeley Number 2 Ditch, and for recreation. The reservoir is located in the Town of Windsor, about 45 miles north of Denver, and receives water from the Cache La Poudre River. The reservoir has been in use for approximately 100 years, during which time it has become silted in to a capacity of 1,100 acre-feet. The Company wants to dredge out the reservoir to restore the original capacity of 1,800 acre-feet and to provide additional storage for the 100-year flood. Work would start in winter 2002, and take 3 years to complete. The Kern ) Reservoir and Ditch Company is a mutual ditch and reservoir company and a non-profit corporation registered in the State of Colorado. Rocky Mountain Consultants, Inc., has completed the feasibility study. Proposed funding for the for a standard ject consists of a CB Small Project Loan for $1,000,000. The Company plans to apply help finance the remainder of the project. 1? _ Project Location �' ♦` • rB, " er� v.,.n c. ``- •. , �,W,'^MI!' :i _. ��yr d°. $ Windsor r:�Ra r ``r-• ' i 9 u i I - I �. .- ' 3 ii ' ° Y��SW° � �$ naSireil. Oaf 4. ..� our II re ` , ,`�� © n+� • , i y rlan, � Greeley • °n.. R, 1i ° •21 s ' '� .r ! Me !Mr Location Map 5 iecGerf — 410 - 2 q/G - 9 '70 --3Cd- 8.3 7C0Ei` HMW II VICTOR ROMERO (970) 506-4972 PERMIT #402110 YOUR ACCESS INSPECTOR IS VICTOR ROMERO. YOU MUST CONTACT THE INSPECTOR AT LEAST 2 WORKING DAYS PRIOR TO ANY ACCESS IMPROVEMENTS OR CONSTRUCTION OF ANY KIND WITHIN THE STATE HIGHWAY RIGHT-OF-WAY. ALL ACCESS ACTIVITY WITHIN THE RIGHT-OF-WAY MUST BE COMPLETED IN 45 DAYS ONCE WORK BEGINS. UPON COMPLETION OF ALL PERMIT REQUIREMENTS, YOU SHALL REQUEST A FINAL INSPECTION BY THE INSPECTOR OR THEIR REPRESENTATIVE. 11 EXHIBIT a x- 13 )6* COLORADO DEPARTMENT OF TRANSPORTATION CDOT Permit No. 402110 STATE HIGHWAY ACCESS CODE SH/S/MP 392A/002.820/R NOTICE TO PROCEED Local Jurisdiction Windsor Permittee(s): Applicant; George and Betty Hall Hall Irwin Corporation 3026 4th Avenue • 33026 4th Avenue Greeley, CO 80631 Greeley, CO 80631 970-352-6057 970-352-6057 The permittee is hereby authorized to proceed with access construction within state highway right-of-way in accordance with the above referenced State Highway Access Permit and this Notice to Proceed. This Notice to Proceed is valid only if the referenced Access Permit has not expired. Access Permits expire one year from date of issue if not under construction, or completed. Access Permits may be extended in accordance with Section 2.3(11)(d), of the Access Code. Adequate advance warning is required at all times during access construction, in conformance with the Manual on Uniform Traffic Control Devices for Streets and Highways. All construction shall be completed in an expeditious and safe manner and shall be finished within 45 days from initiation. The permittee or applicant shall notify the Department prior to commencing construction as indicated on the Access Permit. Both the Access Permit and this Notice To Proceed shall be available for review at the construction site. This Notice-to-Proceed is conditional-. The-following-items-snail-be addressed-priorto or during construction as appropriate. None Municipality or County Approval (When the appropriate local authority retains issuing authority) By Title Date (X) This Notice is not valid until signed by a duly authorized representative of the Department Colorado Department of Transportation By Title /� Date (X) 0. IC (L— A554 ACroc3 i27.13/0)- Copy Dis ibuti n: Required 1. Region Permit files 2.Staff Access Section. As needed: Local Authorit , MTCE Patrol, Inspector Form 1265 8/98 • COLORADO DEPARTMENT OF TRANSPORTATION CDo7 Permit No. STATE HIGHWAY ACCESS PERMIT • 402110 State Highway No/Mp/Side 392A/002.820/12 Permit fee Date of transmittal Region/Section/Patrol Local Jurisdiction 100.00 12/23/2002 04/01/17 Windsor The Permittee(s); Applicant; Ref No. 2002 George and Betty Hall Hall Irwin Corporation 3026 4th Avenue 3026 4th Avenue Greeley, CO 80631 Greeley, CO 80631 970-352-6057 970-352-6057 is hereby granted permission to have an access to the state highway at the location noted below.The access shall be constructed,maintained and used in accordance with this permit,including the State Highway Access Code and any attachments,terms,conditions and exhibits.This permit may be revoked by the issuing authority if at any time the permitted access and its use violate any parts of this permit.The issuing authority, the Department and their duly appointed agents and employees shall be held harmless against any action for personal injury or property damage sustained by reason of the exercise of the permit. Location: The temporary access is to be located on State Highway 392,a distance of 4,335 feet east from Mile Post 2 on the south/right side. ACCESS IS LIMITED TO RIGHT TURNS OUT ONLY. ACCESS TO BE REMOVED BY MAY 1,2003. Access to Provide Service to: - Temporary Operation -Mining 1 Each 100.00 % --Other terms andeonditionst - * See Attached Pages 2 and 3 and Other Enclosures for Additional Terms and Conditions. *This Temporary Permit expires on 05/01/2003. MUNICIPALITY OR COUNTY APPROVAL Required only when the appropriate local authority retains issuing authority. By Date Title (x) Upon the signing of this permit the permittee agrees to the terms and conditions and referenced attachments contained herein. All construction shall be completed in an expeditious and safe manner and shall be finished within 45 days from Initiation. The permitted access shall be completed in accordance with the terms and conditions of the permit prior to being used. The permittee shall notify Victor Romero with the Colorado Department of Transportation in West Greeley at 970- 506-4972 at least 48 hours prior to commencing construction within the State Highway right-of-way. The person signing as the permittee must be the owner or legal representative of the property served by the permitted access and have full authority to accept the permit o and s/iitttsss terms and conditions. �� (X) G��_/�"6ot ' ` o "! � 64Y�� Date Z/2-3/0 This permit is not valid until signed by a duly authorized representative of the Department. COLORADO DEPARTMENT OF TRANSPORTATION By Date(of issue) Title (x) X1.01'\ Cal -' 12/23 !a Assistant Access Manager Copy Istn ution: Required: Make copies as necessary for: Previous editions are obsolete and may not be used 1.Region Local Authority Inspector DOT Form#101 8/98 2.Applicant MTCE Patrol Traffic Engineer 3.Staff Access Section State Highway Access Permit PERMIT EXPIRATION Form 101, Page 2 1. A permit shall be considered expired if the access is not under construction within one year of the permit issue date or before the expiration of any authorized- The following paragraphs are excerpts of the State Highway Access Code. extension.When the permittee is unable to commence construction within one These are provided for your convenience but do not alleviate compliance with all year after the permit issue date, the permittee may request a one year extension sections of the Access Code. A copy of the State Highway Access Code is from the issuing authority. No more than two one-year extensions may be • available from your local issuing authority(local government)or the Colorado granted under any circumstances. If the access is not under construction within Department of Transportation(Department). When this permit was issued,the (three years from date of issue the permit will be considered expired.Any request issuing authority made its decision based in part on information submitted by the for an extension must be in writing and submitted to the issuing authority before applicant, on the access category which is assigned to the highway,what the permit expires.The request should state the reasons why the extension is alternative access to other public roads and streets is available,and safety and necessary,when construction is anticipated,and include a copy of page 1 (face design standards. Changes in use or design not approved by the permit or the of permit)of the access permit. Extension approvals shall be in writing. The local issuing authority may cause the revocation or suspension of the permit. issuing authority shall obtain the concurrence of the Department prior to the approval of an extension, and shall notify the Department of all denied APPEALS extensions within ten days.Any person wishing to reestablish an access permit 1. Should the permittee or applicant object to the denial of a permit application that has expired may begin again with the application procedures.An approved by the Department or object to any of the terms or conditions of a permit placed Notice to Proceed,automatically renews the access permit for the period of the there by the Department, the applicant and permittee(appellant)have a right to Notice to Proceed. appeal the decision to the[Transportation]Commission[of Colorado].To appeal a decision, submit a request for administrative hearing to the Transportation CONSTRUCTION Commission of Colorado within 60 days of transmittal of notice of denial or 1. Construction may not begin until a Notice to Proceed is approved. (Code transmittal of the permit for signature. Submit the request to the Transportation subsection 2.4] Commission of Colorado,4201 East Arkansas Avenue, Denver, Colorado 80222- 3400. The request shall include reasons for the appeal and may include 2. The construction of the access and its appurtenances as required by the changes, revisions,or conditions that would be acceptable to the permittee or terms and conditions of the permit shall be completed at the expense of the applicant. permittee except as provided in subsection 2.14.All materials used in the Construction of the access within the highway right-of-way or on permanent 2. Any appeal by the applicant or permittee of action by a local issuing authority easements, become public property.Any materials removed from the highway shall be filed with the local authority and be consistent with the appeal kight-of-way will be disposed of only as directed by the Department.All fencing, procedures of the local authority. guard rail,traffic control devices and other equipment and materials removed in the course of access construction shall be given to the Department unless 3. In submitting the request for administrative hearing,the appellant has the Otherwise instructed by the permit or the Department inspector. option of including within the appeal a request for a review by the Department's internal administrative review committee pursuant to[Code]subsection 2.10. 3. The permittee shall notify the individual or the office specified on the permit When such committee review is requested, processing of the appeal for formal Or Notice to Proceed at least two working days prior to any construction within administrative hearing,2.9(5)and(6),shall be suspended until the appellant state highway right-of-way.Construction of the access shall not proceed until notifies the Commission to proceed with the administrative hearing,or the both the access permit and the Notice to Proceed are issued.The access shall appellant submits a request to the Commission or the administrative law judge to be completed in an expeditious and safe manner and shall be finished within 45 withdraw the appeal.The two administrative processes,the internal days from initiation of construction within the highway right-of-way.A construction administrative review committee, and the administrative hearing, may not run time extension not to exceed 30 working days may be requested from the concurrently. individual or office specified on the permit. 4. Regardless of any communications, meetings,administrative reviews or 4.. The issuing authority and the Department may inspect the access during. negotiations with the Department or the internal administrative review Committee construction and upon completion of the access to ensure that all terms and regarding revisions or objections to the permit or a denial,if the permittee or conditions of the permit are met. Inspectors are authorized to enforce the applicant wishes to appeal the Department's decision to the Commission for a conditions of the permit during construction and to halt any activities within state hearing,the appeal must be brought to the Commission within 60 days of right-of-way that do not comply with the provisions of the permit, that conflict with transmittal of notice of denial or transmittal of the permit. concurrent highway construction or maintenance work,that endanger highway property, natural or cultural resources protected by law,or the health and safety 10. Each access shall be constructed in a manner that shall not cause water to. of workers or the public. enter onto the roadway or shoulder, and shall not interfere with the existing drainage system on the right-of-way or any adopted municipal system and • 5. Prior to using the access, the permittee is required to complete the drainage plan.. construction according to the terms and conditions of the permit. Failure by the permittee to abide by all permit terms and conditions shall be sufficient cause for 11. By accepting the permit, permittee agrees to save, indemnify, and hold the Department or issuing authority to initiate action to suspend or revoke the harmless to the extent allowed by law, the issuing authority,the Department,its permit and close the access. If in the determination of the Department or issuing Officers, and employees from suits, actions,claims of any type or character authority the failure to comply with or complete the construction requirements of brought because of injuries or damage sustained by any person resulting from the permit create a highway safety hazard,such shall be sufficient cause for the the permittee's use of the access permit during the construction of the access. summary suspension of the permit. If the permittee wishes to use the access prior to completion,arrangements must be approved by the issuing authority and CHANGES IN ACCESS USE AND PERMIT VIOLATIONS Department and included in the permit.The Department or issuing authority may 1. It is the responsibility of the property owner and permittee to ensure that the order a halt to any unauthorized use of the access pursuant to statutory and Ilse of the access to the property is not in violation of the Code, permit terms and regulatory powers. Reconstruction or improvement of the access may be Conditions or the Act. The terms and conditions of any permit are binding upon all required when the permittee has failed to meet required specifications of design Assigns, successors-in-interest, heirs and occupants. If any significant changes or materials. If any construction element fails within two years due to improper are made or will be made in the use of the property which will affect access construction or material specifications, the permittee shall be responsible for all Operation,traffic volume and or vehicle type,the permittee or property owner repairs. Failure to make such repairs may result in suspension of the permit and shall contact the local issuing authority or the Department to determine if a new closure of the access. access permit and modifications to the access are required. 6. The permittee shall provide construction traffic control devices at all times 2. When an access is constructed or used in violation of the Code,section 43- during access construction, in conformance with the M.U.T.C.D. as required by 2-147(5)(c), C.R.S., of the Act applies.The Department or issuing authority may section 42-4-104, C.R.S.,as amended. Summarily suspend an access permit and immediately order closure of the access when its continued use presents an immediate threat to public health, 7. A utility permit shall be obtained for any utility work within highway right-of- Welfare or safety. Summary suspension shall comply with article 4 of title 24, way. Where necessary to remove,relocate,or repair a traffic control device or C.R.S. public or private utilities for the construction of a permitted access, the relocation, removal or repair shall be accomplished by the permittee without cost to the MAINTENANCE Department or issuing authority, and at the direction of the Department or utility 1. The permittee, his or her heirs, successors-in-interest, assigns,and company.Any damage to the state highway or other public right-of-way beyond occupants of the property serviced by the access shall be responsible for that which is allowed in the permit shall be repaired immediately.The permittee is {meeting the terms and conditions of the permit, the repair and maintenance of responsible for the repair of any utility damaged-in the course of access the access beyond the edge of the roadway including any cattle guard and gate, construction, reconstruction or repair. hnd the removal or clearance of snow or ice upon the access even though fieposited on the access in the course of Department snow removal operations. 8. In the event it becomes necessary to remove any right-of-way fence,the Within unincorporated areas the Department will keep access culverts clean as posts on either side of the access shall be securely braced with an approved end part of maintenance of the highway drainage system. However,the permittee is post before the fence is cut to prevent any slacking of the remaining fence. All responsible for the repair and replacement of any access-related culverts within posts and wire removed are Department properly and shall be turned over to a the right-of-way.Within incorporated areas, drainage responsibilities for representative of the Department. Municipalities are determined by statute and local ordinance.The Department will maintain the roadway including auxiliary lanes and shoulders,except in those 9. The permittee shall ensure that a copy of the permit is available for review at gases where the access installation has failed due to improper access the construction site at all times.The permit may require the contractor to notify Construction and/or failure to follow permit requirements and specifications in the individual or office specified on the permit at any specified phases in Which case the permittee shall be responsible for such repair.Any significant construction to allow the field inspector to inspect various aspects of construction tepairs such as culvert replacement, resurfacing,or changes in design or such as concrete forms, subbase,base course compaction, and materials specifications, requires authorization from the Department. specifications. Minor changes and additions may be ordered by the Department or local authority field inspector to meet unanticipated site conditions. Form 101, Page 3 State Highway Access Permit Page 1 Attachment to Permit No. 402110 - Additional Terms and Conditions 1. If there are any questions regarding this permit,please contact Gloria Hice-Idler at(970) 350-2148. 2. The Permittee shall refer to all additional standard requirements included with this permit and any enclosed additional terms, conditions, exhibits, and noted attachments. 3. Incorporated as part of this permit are the following: Application for Access Permit(CDOT Form No. 137) Permit(CDOT Form No. 101) and its two page attachment Exhibits: "A" -Access Plan "B" -Vicinity Map 4. This permit is issued in accordance with the State Highway Access Code(2 CCR 601-1),and is based upon the information submitted by the Permittee. This permit is only for the use and purpose stated in the Application and Permit. Any changes in traffic volumes or type, drainage, or other operation aspects may render this permit void,requiring a new permit to the be applied for based upon exisiting and anticipated future conditions. 5. Access construction methods and materials shall conform to the Colorado Department of Transportation Standard Specifications for Road and Bridge Construction(current edition). 6. If necessary,minor changes, corrections and/or additions to this permit may be ordered by the Department inspector, other Department representative or local authority to meet unanticipated site conditions.- Changes may not be in violation of the State Highway Access Code. All major changes to the plans must be approved in writing by the Department prior to commencement of any work on or within the State Highway right-of-way. 7. This permit is subject to revocation due to: 1)Noncompliance with the provisions of this permit; 2) Abandonment; 3) Supersedure by new permit covering the same installation; or 4) Conflict with necessary planned highway construction and/or improvements. The Permittee shall promptly terminate occupancy upon notice of cancellation of the permit from the Department,unless a new permit is applied for and granted. 8. This temporary access is limited to RIGHT TURNS OUT ONLY. 9. Reconstruction and improvements to the access may be required when the Permittee has failed to meet the required design and/or material specifications. If any construction element fails within two years due to improper construction or material specifications,the Permittee is responsible for all such reparis. 10. The Department retains the right to perform any necessary maintenance work in this area. 11. Backing maneuvers within and into the State Highway right-of-way are strictly prohibited. All vehicles shall enter and exist the highway right-of-way in forward movement. Backing into the right-of-way shall be considered a violation of the terms and conditions of this access permit and may result in revocation of the permit by the Department and/or the issuing authority. 12. The Permittee is responsible for obtaining any necessary additional federal, state, and/or City/County permits or clearances required for construction of the access. Approval of this access permit does not constitute verification of this action by the Permittee. 13. All costs associated with the installation of this temporary access are the responsibility of the Permittee. This includes design, construction, signing and striping, utility relocation, testing of materials, and inspections. • State Highway Access Permit Page 2 Attachment to Permit No. 402110 - Additional Terms and Conditions 14. No work will be allowed at night, or on Saturdays, Sundays, and legal holidays without prior authorization from the Department. The Department may also restrict work within the State Highway right-of-way during adverse weather conditions. 15. Traffic detours or lane closures will not be allowed,unless pre-approved by the Department. 16. Two-way traffic shall be maintained throughout the work area at all times unless specific written authorization is obtained from the Department. 17. No construction vehicles shall be parked, or construction materials/equipment stored,on the State Highway right-of-way overnight. 18. No work shall be performed near a Department traffic control signal without coordination with Charles Weber at(970)350-2137. 19. Routine,periodic maintenance and emergency repairs may be performed within the State Highway right-of-way, under the general terms and conditions of the permit. Any significant repairs such as culvert replacement,resurfacing, or changes in design or specifications,will require written authorization from the Department. The Department shall be given proper advance notice whenever maintenance work will affect the movement or safety of traffic on the State Highway. In an emergency,the Department Region Office and the State Patrol shall immediately be notified of possible hazards. 20. All work is to conform to the plans referenced by this permit on file with the Department or as modified by this.permit4Ifdiscrepancies_arisen-this_peimitshalltake_precedence over_the-plans) The Department_plan review is only for the general conformance with the Department's design and code requirements. The Department is not responsible for the accuracy and adequacy of the design, dimensions, elevations, and any other elements which shall be confirmed and correlated at the work site. The Department through the approval of this document,assumes no responsibility for the completeness and/or accuracy of the plans. 21. Survey markers or monuments must be preserved in their original positions. Notify the Department at(970) 350-2173 immediately upon damage to or discovery of any such markers or monuments at the work site. Any survey markers or monuments disturbed during the permitted work shall be repaired and/or replaced immediately at the expense of the Permittee. 22. Should any excavation encounter plant or animal fossils, the remains of historic or prehistoric structures, artifacts, (pottery, stone tools, arrowheads, etc.), the work shall be stopped and the Permittee shall notify the Department inspector. 23. The Permittee or the contractor shall notify Victor Romero at(970) 5.06-4972, at least two working days prior to beginning any access improvements or construction of any kind within the State Highway right-of-way. Failure to comply with this requirement may result in revocation of this permit. 24. Whenever the work will affect the movement or safety of traffic, the Permittee shall develop and implement a construction traffic control plan, and utilitze traffic control devices as necessary to ensure the safe and expeditious movement of traffic around and through the work site and the safety of the work force. The traffic control plan shall be prepared by an American Traffic Safety Services Associaton(ATSSA) certified individual, a Colorado Contractors Association(CCA) certified individual, or a professional traffic engineer in conformance with the Manual on Uniform Traffic Control Devices, and other applicable standards. A copy of the approved traffic control plan must be on site until the work is completed. 25. The Department inspector may suspend any work due to: 1)Noncompliance with the provisions of this • State Highway Access Permit Page 3 Attachment to Permit No. 402110 - Additional Terms and Conditions permit; 2)Adverse weather or traffic conditions; 3)Concurrent highway construction or maintenance in conflict with permit work; 4) Any condition deemed unsafe for workers or the general public. The work may be resumed upon notice from the Department inspector. 26. If highway right-of-way fence exists or is proposed, the Permittee must contact John Springer at the Evans Maintenance office, (970) 506-4972,prior to any removal or installation. 27. The temporary access shall be constructed 25 feet wide with a 25 foot radii on the east side of the access. 28. Construction traffic control devices,when not in use, shall be removed or turned away from traffic. 29. The temporary access shall be constructed perpendicular to the travel lanes of the State Highway for a minimum distance of 40 feet, and shall slope down and away from the adjacent pavement edge at a rate of 2% grade for a minimum of 20 feet. 30. The temporary access shall be completed in an expeditious and safe manner and shall be finished within 45 days from initiation of construction within State Highway right-of-way. 31. All required access improvements shall be installed prior to the herein authorized use of this access. 32. The temporary access shall be surfaced immediately upon completion of earthwork construction and prior to use. 33. Surfacing of the temporary access shall be completed as per Exhibit "A". 34. No paved surface shall be cut unless specified in this permit. Asphalt removal shall be saw cut to assure a straight edge for patching. 35. If frost,water or moisture is present in the subgrade,no surfacing materials shall be placed until all frost, water or moisture is gone or removed. 36. The Permittee shall install a new 18 inch corrugated metal pipe and shall provide for proper side slopes. Culverts over 18 inches in diameter shall have end sections. 37. The temporary access shall be constructed and maintained in a manner that will not cause water to enter onto the roadway, and will not interfere with the existing drainage system within the State Highway right-of-way. Drainage to the State Highway right-of-way shall not exceed historical rate of flow. 38. All existing drainage structures shall be extended, modified, or upgraded as necessary, to accommodate all new construction and safety standards,in accordance to the Department's standard specifications. 39. The Permittee shall request final inspection by Victor Romero at(970) 506-4972,within 10 days following completion of access construction, and prior to authorized use. The Permittee or their representative shall be present. 40. A fully executed complete copy of this permit must be on the job site with the contractor at all times during construction. Failure to comply with this or any other construction requirement may result in the immediate suspension of work by order of the Department inspector or the issuing authority. 41. The design and construction of access and/or development of this property shall not negatively impact adjacent nearby properties. Correction of the problem and cost resulting from damages shall be borne by the Pemuttee. 42. THE TEMPORARY MINING ACCESS SHALL BE REMOVED BY MAY 1, 2003. EXHIBIT "A" - SIMPLE ACCESS DESIGN 09/00 Define: width of access exclusive of radii radii profile angle if other than 90° surfacing—material type(asphalt grading, concrete class,total thickness,individual mat thickness for asphaltic materials) curb and gutter type/dimensions/material permanent signing or pavement markings necessary drainage features—culvert type and size(no RCP in ROW), no increased runoff to ROW special or unusual features any landscaping in ROW a " �Tb+P sign q ^ � -to be. v,s+alleA 8A �llY cir1 - 1 ABc Gass b1/4.\ 1-a11 Irwin \c -+T IUURL\s ouY or`1�Y E -� , \A/ 25 jWIDTH .} N R.O.inl �. , o, 18" CMP -�C1 G r_ s 0,- t 210 wlsite I:ne_ EFL `�9i I I gr _ .1 ?,q7 center line �� I yJ,, /ALwpse�Lake JPVE t HALL IRWIN ACCESS 0 CR72 � CR 72 :38 Kerns i. tsu' iiA w to Z er ,hst"'rvx t�`. 3 i- 5-IsAs, n oa • n -El,E (257) 2 Lake Canal Reservoir No! 2 O ` . 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