HomeMy WebLinkAbout860828.tiff RESOLUTION
RE: APPROVE ROAD IMPROVEMENTS AND MAINTENANCE AGREEMENT BETWEEN
WELD COUNTY AND FRED M. SEKICH AND NICK SEKICH, JR. , AND THE
SEKICH BUSINESS PARK AND AUTHORIZE CHAIRMAN TO SIGN
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, a Road Improvements and Maintenance Agreement
between Weld County and Fred M. Sekich and Nick Sekich , Jr. , and
The Sekich Business Park has been presented to the Board, and
WHEREAS , said Agreement is necessary due to additional
traffic which will be created on Weld County Road 91 by a Planned
Unit Development located in part of the SW1/4 , Section 23 , Township
3 North, Range 68 West of the 6th P .M. , Weld County, Colorado, and
WHEREAS , the Board deems it advisable to approve said
Agreement, a copy of which is attached hereto and incorporated
herein by reference.
NOW, THEREFORE, BE IT RESOLVED by the Board of County
Commissioners of Weld County, Colorado, that the Road Improvements
and Maintenance Agreement between Weld County and Fred M. Sekich
and Nick Sekich , Jr. , and The Sekich Business Park be , and hereby
is, appproved.
BE IT FURTHER RESOLVED by the Board that the Chairman be, and
hereby is , authorized to sign said Agreement.
The above and foregoing Resolution was , on motion duly made
and seconded , adopted by the following vote on the 20th day of
August, A.D. , 1986.
� � BOARD OF COUNTY COMMISSIONERS
j�ATTEST: / i WELD COUNTY, COLORADO
Weld County lerk and Recorder • AIL&.
and Clerk to the Board J=cq ,1 ne 1 son , Chairman
BYE O 771.E /1yJ��! c�i Go /�. . rar _ acy, Pr% - em
D ut County Clerk
P Y
APPROVED AS TO FORM: ene R. Bra ne
y
L �aor C.W. KirbyKt
County Attorney
Fr
ivcr 77 2 ' l � • 860828
ROAD IMPROVEMENTS AND MAINTENANCE AGREEMENT
THIS AGREEMENT, made and entered into this 20th day of
August , 1986 , by and between the COUNTY OF WELD,
STATE OF COLORADO, hereinafter called "County, " and FRED M. SEKICH
AND NICK SEKICH, JR. , AND THE SEKICH BUSINESS PARK, hereinafter
known as "Developer. "
WITNESSETH:
WHEREAS, on April 18 , 1983, the Board of County Commissioners
of Weld County, Colorado, approved a Planned Unit Development for
Sekich Commercial and Industrial Planned Unit Development Business
Park located generally in Part of the SWa, §23 , T3N, R68W of the
6th P.M. , Weld County, Colorado, approved 4/18/83 with replat
approved 12/28/83 ; and
WHEREAS, the notes and standards for approval of said PUD
Final Plat required the County and the Developer to enter into a
Road Improvement and Maintenance Agreement prior to the creation
of any impacts on Weld County Road 91 resulting from use of lots
within the Planned Unit Development; and
WHEREAS, the Planned Unit Development will generate
additional traffic on Weld County Road 91; and
WHEREAS, as of this date, Weld County Road 91/2 is deemed to be
adequate and sufficient for the current traffic as the Planned
Unit Development has not been developed to a point which has
created significant impacts on County Road 9, and further, that
the current condition of Weld County Road 91 is as stated in the
attached document from the Weld County Engineering Department with
photographs and other documentation.
NOW, THEREFORE, County and Developer, in consideration of the
mutual covenants and conditions set forth herein , mutually agree
as follows:
1. The recitals contained hereinabove are incorporated
herein by reference.
2 . That the subject matter of this Agreement is Weld County
Road 91 north from State Highway 66 a distance of 2 , 650 feet,
except as otherwise specified, which shall henceforth be known as
"Weld County Road 9;. "
3. Developer agrees to maintain Weld County Road 91 in its
present condition until further improvements are required by the
terms of this Agreement. Maintenance of the roadway surface will
consist of regular grading to keep the surface reasonably smooth
860828
without large washboards or potholes so they can be comfortably
driven at 40 miles per hour; to the keep the road shaped to drain;
and to keep the ditches open and free of debris. Gravel will be
placed as required to maintain an adequate road surface.
Developer represents that he is an independent contractor and that
his functions are not as an employee of the County. Developer
agrees to identify to County an individual responsible for
Developer' s maintenance functions under this Agreement. County
will notify the responsible individual by telephone, with written
follow-up , concerning any observed deficiencies in the maintenance
program. Developer may, in lieu of said maintenance program, pay
a fee of $3 ,000 per year as a necessary business expense.
Developer shall make the election to pay on or before January 1 ,
of each year by tendering the fee. For the year 1986 , Developer
may make the election by tendering a per diem share of $3 , 000
within twenty (20) day of final approval of this agreement.
4. It is further agreed that Developer will be responsible
for a program of dust abatement and control at the time the
average daily traffic count, as determined by the Weld County
Engineer using appropriate traffic count methods , equals 100
vehicles per day or whenever any lot or property owners within the
Planned Unit Development cause complaints to be forwarded to the
County and the County, in its sole and absolute discretion ,
determines that the Developer should commence the dust control and
abatement program. The specific requirements for the dust control
and abatement program shall be made by the Weld County Engineering
Department but may include the use of water, asphaltic emulsions,
waste oil or commercially available chemicals. Developer will be
responsible for using materials and methods not inconsistent with
any Federal, State , or local laws , rules or regulation pertaining
to hazardous materials, health or environmental protection.
5 . Developer agrees to provide snow removal adequate to
allow two (2) lanes of passage for passenger cars on Weld County
Road 91 on which he provides maintenance.
6 . At such time as the County reasonably determines that
conditions on Weld County Road 91 warrant road improvements , the
County and Developer agree to share the construction and
improvement costs . Developer' s cost shall be based on a
percentage of the use of the road by businesses or customers or
otherwise for the benefit of Sekich Business Park or Developer as
it is determined and agreed that the Sekich Business Park is not
the sole user and beneficiary of said Weld County Road 9;. The
percentage of costs shall be based upon average daily traffic
counts as determined by the Weld County Engineer according to
methods accepted in the profession. The count shall determine the
percentage of through traffic versus vehicles turning into any
entrance of Sekich Business Park from Weld County Road 91/2.
.;.,-inns
2
7 . The determination of when road improvements will be
required on Weld County Road 91 shall be guided by the Agreement
of the parties that realigning, reshaping, draining and graveling
would be reasonable when the average daily traffic vehicle count
reaches an average of 150 vehicles a day. Additional base course
and surfacing would be reasonably required when the average daily
vehicle count reaches more than 200 vehicles per day. The County
may also consider the type and weight of vehicles and the
condition of the roadway in determining when improvements are to
be required.
8 . It is anticipated that the sharing of these expenses
will be limited to the 2650 feet north of State Highway 66 as
hereinabove provided. However, if traffic to and from the Sekich
Business Park is impacting Weld County Road 91 to the north of
said 2650 feet Developer shall be responsible for a proportionate
share of the costs of construction and improvements in the same
manner as the specified for the remainder of the road. The
structural cross-section of the improved Weld County Road Pi shall
be the same as proposed for the roads internal to Sekich Business
Park to Developer' s engineers : "Report of a Geological
Investigation for McCarty Engineering, " 12/21/82 by Empire Labs,
Inc. , project #446-L-82 , for Sekich Business Park Roadway. It is
anticipated that the costs shall be based upon road improvements
providing for 12-foot lanes and 6-foot shoulders per lane, a total
of 24 feet for road and 12 feet for shoulders. However, in the
event additional road improvements are determined to be necessary
in order to accommodate the traffic caused by the Sekich Business
Park , the costs of those additional dimensions will be shared
according to the amount of traffic generated by the Business Park.
9 . The parties understand and agree that there may be
additional development such as residential , commercial, or
industrial development or expansion of agri-business along Weld
County Road 91 and that any additional development along said road
shall be taken into consideration on the basis of formulas created
to determine the percentage of road use for or benefitting
Developer. To the extent allowed by law, County agrees to use its
best efforts to seek contribution from said new development which
contribution shall be applied to reduce both County and Developers
obligations hereunder.
10 . The Developer, while performing maintenance functions as
set forth in paragraph 3 herein , hereby agrees to indemnify the
Indemnitee, Weld County, from any and all liability, loss, or
damage Indemnitee may suffer as a result of claims, demands,
costs , or judgments against it arising out of maintenance work
performed by the Developer pursuant to this Agreement. Owner will
provide performance guarantees as more fully set forth herein.
The Developer will provide insurance against personal injury and
property claims covering the County and Developer for claims
3
arising out of the terms and conditions for road maintenance in
this Agreement in the amount of one-million dollars
($1 , 000 ,000 . 00) and require similar insurance from any
subcontractor. The insurance and bond will not be required in the
event developer elects to make payment in lieu of maintenance as
set forth in paragraph 3 .
11 . As and for security for performance of this Agreement,
Developer must submit and provide to the County security in the
amount of forty-five thousand dollars ($45 , 000 . 00) within sixty
(60) days of final approval of this Agreement. Said security
shall name "Weld County, c/o Board of County Commissioners of Weld
County , Colorado, " as the beneficiary and shall be of a type
approved by the Board of County Commissioners prior to submittal.
The availability of security under this Agreement shall in no way
limit the rights or remedies of the County under this Agreement.
12 . The amount of collateral posted initially shall be
forty-five thousand dollars ($45,000 . 00) but the amount of
collateral shall be increased annually in an amount consistent
with any increase in the Consumer Price Index.
13 . The five (5) types of collateral listed are acceptable
to Weld County subject to final approval by the Board of County
Commissioners .
(a) An irrevocable letter of credit from a Federally or
State licensed financial institution on a form
approved by Weld County. The letter of credit
shall state at least the following:
(1) It shall provide for payment upon demand to
Weld County if the Developer has not performed
the obligations specified in this Agreement
and the issuer has been notified of such
default.
(2) The letter of credit shall specify that the
letter of credit shall remain in full force
and effect until after the Board has received
at least sixty (60) days" written notice from
the issuer of the letter of credit of the
pending expiration . Said notice shall be sent
by certified mail to the Clerk to the Board of
County Commissioners of Weld County. If the
letter of credit is for a time certain ,
developer shall obtain and provide to the
Board of County Commissioners a commitment to
issue a subsequent letter of credit 30 days
prior to expiration of the preceeding letter.
4
(3) The letter of credit may provide that the
Developer may request the County to draw up to
$22 ,500 of the line of credit to meet
Developer' s obligation to pay improvement
expense under paragraph 8 hereunder.
(b) A trust deed upon all or some of the proposed
development or other property which is found
acceptable to the Board of County Commissioners
provided that the following is submitted.
(1) In the event property within the proposed
development is used as collateral, an
appraisal is required of the property in the
proposed development by a disinterested M.A. I.
member of the American Institute of Real
Estate Appraisers indicating that the value of
the property encumbered in its current degree
of development is sufficient to cover 100% of
the claimed value of the security plus all
costs of sale of the property should the
County have to sell the property to satisfy
performance.
(2) In the event property other than the property
developed has been accepted as collateral by
Weld County, then an appraisal is required of
the property by an M.A. I. member of the
American Institute of Real Estate Appraisers
indicating that the value of the property
encumbered in its current state of development
is sufficient to cover 100% of the claimed
value plus all costs of sale of the property
should sale become necessary to satisfy
performance.
(3) A title insurance policy insuring that the
trustee creates a valid encumbrance which is
senior to all other liens and encumbrances
save those for taxes.
(4) No building permits will be issued on the
encumbered property.
(c) The escrow agreement that provides at least the
follows:
(1) The cash in escrow is at least 100% of the
amount claimed as security.
5
(2) The escrow agent guarantees that the escrowed
funds will be available to secure Developer' s
obligations as specified in this Agreement and
for no other purpose and will not release any
portion of such funds without prior approval
of the County.
(3) The escrow agent will be a Federal or State
licensed bank or financial institution.
(4) That the escrow agent on, demand by the County
after determination that there has been a
default under this Agreement, will release any
escrowed funds to the County.
(d) A surety bond given by a corporate surety
authorized to do business in the State of Colorado
in an amount equivalent to 100% of the value
claimed as security as specified in this Agreement.
(e) A cash deposit made with the County equivalent to
the value claimed as security.
14 . Release of security shall occur only after all
obligations of the Developer under this Agreement have been met.
The obligations will be deemed to have been met when, upon
recommendation of the County Engineer , the Board of County
Commissioners has accepted any project involving realignment,
drainage , gravel , base , separation , and surfacing , provided,
however, that there is a finding that further and additional
impacts caused by the Developer are not reasonably expected to
require additional improvements on the 2 ,650 feet to the north of
State Highway 66 or that improvements will not be required to the
area to the north of the described portion of Weld County Road 91/2.
15 . This Agreement shall be binding upon and inure to the
benefit of the heirs, successors , personal representatives , and
assigns of the parties hereto provided, however, that County shall
be responsible for payment of costs due in future fiscal years
only if funds are appropriated and are otherwise available for the
services and functions which are described herein . This
agreement may not be assigned delegated or transferred without
prior written consent of the other party which consent may not
unreasonably be withheld, provided that successors to Developer
must demonstrate an ability to perform under this agreement and
provide appropriate security before consent will be granted.
16. The addresses of the parties are as follows :
6
County:
Clerk to the Board of County Commissioners
915 Tenth Street
P. O. Box 758
Greeley, CO 80632
Developer:
Fred M. Sekick, Nick Sekich, Jr.
6769 Weld County Road 32
Longmont, CO 80501
It shall be the obligation of the parties to notify each other of
any change of address , a registered agent, or change of ownership.
IN WITNESS WHEREOF, the parties hereto have duly executed
this Agreement the day and year first above written.
1�, • BOARD OF COUNTY COMMISSIONERS
ATTEST: 1 WELD COUNTY, COLO DO
Weld County Clerk and Recorder By:
and Clerk to the Boa Ja que a Joh so , Chairman
B . ,n<V v/ Y«mac-ctJ
D putt' County Cl rk
DEVELOPER:
SEKICH BUSINESS PARK
Fred M. Sekich and
Nick !�Sek(i�ch�, Jr.
By: J Y4 -f/l
n � � � r /By: t�
In ividually and is
Authorized Representatives
of Sekich Business Park
SUBSCRIBED AND SWORN to before me this //TI day of
Sf/74-..r•4i_2r , 19 2(,
WITNESS my hand and official seal.
� /J ��}} /�
Mi Ccr mis:kn L)r3s 1' ; 7, I939 U UJY'U.C.v"}�y/ 4../�a�,l�. � a ��r _ -
Notary Public
My commission expires:
7 „•. '^�
%
intraWfest
Banks / �H f>;
IntraWest Bank of Greeley, NA.n ,}t, t Cr'
Post Office Box 1058 �r�" —y'ry;"" win)
Greeley. Colorado 80632 Cr , t . '{t\at�ll t x�;�
(303) 352-1651 rip�•. r .. -k. (
r , ,JAS g 31987 ,(,
September 16, 1986 f� �;',J
1 CL'' GO O.
CO'CL''
CLEAN IRREVOCABLE LETTER OF CREDIT
All Drafts Must Be Marked:
Drawn Under Letter of Credit #0207
Weld County Board of Commissioners
915 10th Street
Greeley, Colorado 80631
Gentlemen:
By order of and for the account of Frederick M. Sekich and Nick Sekich, Jr. ,
P.O. Box 508, Longmont, Colorado 80501, we hereby establish our clean irre-
vocable Letter of Credit No. 0207 in your favor or the principal amount not
exceeding the sum of FORTY FIVE THOUSAND AND 00/10.Oths U.S. DOLLARS (US $45,000)
available by one or more drafts at sight on us. Ttil_s Letter is effective
September 16, 1986 and expires at the office of IntraWest Bank of Greeley, N.A.
Greeley, Colorado at 3:00 p.m. , Greeley time on pecember 31, 1987.
Each draft so drawn must be marked "Drawn under IntraWest Bank of Greeley, N.A.
P.O. Box 1058, Greeley, Colorado 80632, Letter of Credit #0207" and be accompanied
by a statement signed by the Ch i n of the Board of County Commissioners of
Weld County, Colorado, certify g what Sekich Business Park, or Frederick M.
and Nick Sekich, Jr. , have failed o me certain terms and conditions of the
Road Improvements and Maintenance ement between Sekich Business Park,
Frederick M. and Nick Sekich, Jr. * and the Board of County Commissioners of
Weld County, on behalf of the County of Weld, State of Colorado. Failure to
comply may include but not be limited to:
(a) a failure forprovide a commitment for a subsequent Letter
of Credit thif-fl (30) days prior ₹o the expiration of this
Letter of Credit in an amount equal to the current value of
the letter plus any increase in the Consumer Price Index over
the preceding twelve {12) months.
(b) a failure to provide maintenance or payment in lieu thereof or
a failure to provide dust abatement for Weld County Road 91 as
specified in the Agreement.
(c) a failure to provide the appropriate share of expenses for
improvements to Weld County Road 91.
Up to $22,500.00 of this Letter of Credit may be released to the beneficiary upon
presentation of a statement signed by the Chairman of the Board of County Commissioners
Letter of Credit #0207 - Page 2
September 16, 1986
Weld County Board of Commissioners
and attested to by the Clerk to the Board stating that Developer has a
current obligation to pay a share of improvement expenses under paragraph
8 of the Road Improvements and Maintenance Agreement when accompanied by
a statement from Sekich Business Park, Frederick M. Sekich and Nick Sekich, Jr.
requesting that the beneficiary draw upon these funds.
This credit is subject, so far as applicable, to "The Uniform Customs and
Practice for Documentary Credits, 1983 Revision, The International Chamber
of Commerce Publication No. 400".
This Letter of Credit sets forth in full the terms of our undertaking and
such undertaking shall not in any way be mofified; amended or amplified by
reference to any document or instrument referred to herein or in which this
Letter of Credit is referred to or which this Letter of Credit relates any
such reference shall be deemed to incorporate herein by reference any
document or instrument.
We hereby agree with the drawers, endorsers, and bonafide holders of drafts
drawn under and in compliance with the terms of this credit, that such drafts
will be duly honored upon presentation to the drawee.
Very truly yours,
INTRAWEST BANK OF GREELEY, N.A.
GREELEY, COLORADO
BY:
Sam L. Leeper, President
/bh
Hello