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HomeMy WebLinkAbout20241637.tiffRESOLUTION RE: APPROVE AGREEMENT FOR SALE AND PURCHASE OF MITIGATION CREDITS FOR BIG THOMPSON CONFLUENCE MITIGATION BANK FOR COUNTY ROADS 54 AND 13 INTERSECTION ROUNDABOUT PROJECT, AND AUTHORIZE CHAIR TO SIGN - WESTERVELT ECOLOGICAL SERVICES, LLC WHEREAS, the Board of County Commissioners of Weld County, Colorado, pursuant to Colorado statute and the Weld County Home Rule Charter, is vested with the authority of administering the affairs of Weld County, Colorado, and WHEREAS, the Board has been presented with an Agreement for the Sale and Purchase of Mitigation Credits for the Big Thompson Confluence Mitigation Bank for the County Roads 54 and 13 Intersection Roundabout Project between the County of Weld, State of Colorado, by and through the Board of County Commissioners of Weld County, on behalf of the Department of Public Works, and Westervelt Ecological Services, LLC, with further terms and conditions being as stated in said agreement, and WHEREAS, after review, 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 Agreement for the Sale and Purchase of Mitigation Credits for the Big Thompson Confluence Mitigation Bank for the County Roads 54 and 13 Intersection Roundabout Project between the County of Weld, State of Colorado, by and through the Board of County Commissioners of Weld County, on behalf of the Department of Public Works, and Westervelt Ecological Services, LLC, be, and hereby is, approved. BE IT FURTHER RESOLVED by the Board that the Chair 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 19th day of June, A.D., 2024. ATTEST: dacrytvot ( x1,44 Weld County Clerk to the Board BY: 7' ' ` ` .1/J0O4O1 C.ff; Deputy Clerk to the Board Date of signature: BOARD OF COUNTY COMMISSIONERS WELD COUNTY 2 - Ross, C Perry L. ck, Pro-Tem 2024-1637 EG0082 cc :?u (cH/DN/CK/tb) 08-43(.2,4 Coy)-maa alS3i C� BOARD OF COUNTY COMMISSIONERS PASS -AROUND REVIEW PASS -AROUND TITLE: Wetland Bank for Impacts to Wetlands at the CR 54/13 Roundabout DEPARTMENT: Public Works — Engineering Division DATE: June 3, 2024 PERSON REQUESTING: Clay Kimmi, Don Dunker, Curtis Hall Brief description of the problem/issue: CDOT has determined that the County has to either purchase 0.28 acres of wetlands in a wetland bank or construct 0.28 acres of non -jurisdictional wetlands onsite. Past experience with constructing wetlands on the project site has been a long and cumbersome process because the wetlands have to be monitored for at least 5 years and maintained in perpetuity. Public Works has found that it is less expensive, faster, and easier to purchase wetlands from a wetland bank. The cost to purchase the wetlands in a wetland bank is $49,000. What options exist for the Board? 1. The Board can put the agreement to buy 0.28 acres of wetlands from an approved wetland bank on the agenda for consideration at an upcoming hearing. 2. The Board can ask for a work session to obtain more information prior to putting the agreement on the agenda for an upcoming hearing. Consequences: CDOT will not allow the County to proceed with the ROW acquisitions required for the project until we show either proof of purchase into a wetland bank or we provide a written commitment to build and maintain the wetlands until CDOT agrees that the mitigated onsite wetlands are successful. It should be noted that the wetlands in question are non -jurisdictional meaning the Army Corps of Engineers does not regulate them. CDOT has an agreement with FHWA that any wetland disturbance on a project will be mitigated regardless its size and whether it is jurisdictional or non -jurisdictional. Impacts: The wetland process is an example of how CDOT requires expensive mitigation activities in order to utilize grant funding. If this project did not have a CDOT grant, there would be no wetland mitigation required by the Army Corps of Engineers. However, since there is a CDOT grant for the project, the County is subject to additional environmental requirements that lead to delays in moving the project schedule forward. If the County does not purchase 0.28 acres of wetlands from a wetland bank, the entire project schedule is likely to slip by at least a year. The project schedule will slip because CDOT will require engineered drawings for the mitigated wetlands before they issue environmental approval and allow the County to start acquiring ROW for the project. A schedule delay will lead to higher project costs because of timing restrictions related to constructing other portions of the project. A schedule delay of a year will add 10-15% to the overall cost of the project. Costs (Current Fiscal Year / Ongoing or Subsequent Fiscal Years): It would cost approximately $61,000 to reestablish the 0.28 acres of wetlands plus another $1,500 per year for monitoring until CDOT releases the mitigation site. Monitoring would continue for a minimum of 5 years and possibly longer. The minimum cost would be $68,500. If the monitoring exceeds 5 years or the wetlands fail for any reason and have to be re-established, the costs for onsite mitigation will be higher. It would cost $49,000 to purchase the wetlands in a wetland bank. Once proof of purchase is submitted to CDOT, they will provide environmental clearance for the projects. Once the wetlands are purchased, all maintenance activities revert to the owner of the wetland bank and the County will not incur any other wetland costs. Public Works has the money in the 2024 budget to cover the cost of buying into a wetland bank. If the County opts to construct onsite wetlands, those costs will be included in the future budgets. 2024-1637 LoAct Recommendation: Public Works recommends option 1 which is to put the wetland purchase agreement on the BOCC agenda for an upcoming hearing. Support Recommendation Schedule Place on BOCC Agenda Work Session Other/Comments: Perry L. Buck, Pro -Tern Mike Freeman Scott K. James Kevin D. Ross, Chair Lori Seine t 2 MEMORANDUM TO: Esther Gesick, CTB DATE: June 5, 2024 FROM: Clay Kimmi, P.E., Public Works SUBJECT: Wetland Bank Mitigation Credits for Impacts to Wetlands at the CR 54/13 Roundabout Project Please place the attached Agreement for Sale of Mitigation Credits Big Thompson Confluence Mitigation Bank on the BOCC agenda. The agreement is for the purchase of 0.28 ac of wetlands in the Big Thompson Confluence Mitigation Bank for wetlands that will be adversely impacted by the construction of the CR 54/13 Roundabout. The OnBase Contract ID is 8310. The agreement was reviewed by the BOCC in a pass around that was returned on June 5, 2024. Four of the five commissioners agreed to place the attached agreement on the agenda for consideration. The agreement was also reviewed by the County Attorney's office. The agreement states the cost to purchase 0.28 ac of wetland mitigation credits is for an amount not to exceed $49,000.00. Public Works has included the wetland mitigation costs in its 2024 budget. I will attend the BOCC meeting to answer any questions the BOCC may have. Page I of 1 MA —Active Projects \Engineering On -Call Services \Environmental\2024 Contract\IAs\IA 2024-003 - CR 54-13 Roundabout Additional Services\CR 54-13 Roundabout Wetland Mitigation Purchase Memo to CTB 06-05-24.docx AGREEMENT FOR SALE AND PURCHASE OF MITIGATION CREDITS BIG THOMPSON CONFLUENCE MITIGATION BANK USACE File No. NWO-2016-00852-DEN 1 l This Agreement ("Agreement") is entered into this —1Th day of V ust Q , 2024, by and between WESTERVELT ECOLOGICAL SERVICES, LLC, a Delaware limited liability company, located at 602 Park Point Drive, Suite 265, Golden, CO 80401 ("Bank Owner") and WELD COUNTY, COLORADO, located at 1150 O Street Greeley, CO 80631 ("Project Applicant"), jointly referred to as the ("Parties,") as follows: RECITALS A. The Bank Owner has developed the Big Thompson Confluence Mitigation Bank ("Bank") located in Weld County, Colorado; and B. The Bank was approved by the US Army Corps of Engineers ("USACE") on November 8., 2019, and is currently in good standing with this agency; and C. The Bank has received approval from the USACE to offer Wetland and Stream Mitigation Credits (the "Wetland Mitigation Credits" and the "Stream Mitigation Credits," respectively, each of which is sometimes referred to herein as a "Mitigation Credit") for sale as compensation for the loss of wetland and stream function through the Big Thompson Confluence Mitigation Banking Instrument (Bank Agreement); and D. Project Applicant is seeking to implement the project described in Exhibit "A" attached hereto ("Project"), which would unavoidably and adversely impact wetland resources, and seeks to compensate for the loss of wetlands by purchasing Mitigation Credits from the Bank; and E. Project Applicant desires, to purchase from the Bank 0.28 wetland credits upon confirmation by the Bank Owner of credit availability/adequate balance of credits remaining for sale; and F. The minimum Mitigation Credit unit for purchase at the Bank is no less than one hundredth of a credit; and G. Project Applicant desires to purchase from the Bank and the Bank desires to sell to Project Applicant 0.28 Wetland Mitigation Credits; NOW, THEREFORE, THE PARTIES AGREE AS FOLLOWS: 1. The Bank hereby agrees to sell to Project Applicant and Project Applicant hereby agrees to purchase from the Bank 0.28 Wetland Mitigation Credits for the purchase price of $49,000.00. Upon receipt of the purchase price, Bank will deliver to Project Applicant an executed Bill of Sale in the manner and form as attached hereto and marked Exhibit "B". The purchase price for said Mitigation Credits shall be paid by cashier's check or, at the option of the Bank, wire transfer of funds according to written instructions by the Bank to Project Applicant. The Bank shall then issue a payment receipt to Project Applicant in the form as attached hereto and marked Exhibit "C". Version 2014 202E1 - lb 37 2 2. The sale and transfer herein is not intended as a sale or transfer to Project Applicant of a security, license, lease, easement, or possessory or non -possessory interest in real property, nor the granting of any interest of the foregoing. 3. Project Applicant shall have no obligation whatsoever by reason of the purchase of the Mitigation Credits, to support, pay for, monitor, report on, sustain, continue in perpetuity, or otherwise be obligated or liable for the success or continued expense or maintenance in perpetuity of the Mitigation Credits sold, or the Bank. Pursuant to the Bank Agreement and any amendments thereto, the Bank shall monitor and make reports to the appropriate agency or agencies on the status of any Mitigation Credits sold to Project Applicant. The Bank shall be fully and completely responsible for satisfying any and all conditions placed on the Bank or the Mitigation Credits by all state or federal jurisdictional agencies. 4. The Mitigation Credits sold and transferred to Project Applicant shall be nontransferable and non - assignable and shall not be used as compensatory mitigation for any other project or purpose, except as set forth herein. 5. Project Applicant must exercise his/her/its purchase of the Mitigation Credits within 30 days of the date of this Agreement. After the 30 -day period this Agreement will be considered null and void. 6. Upon purchase of the Mitigation Credits specified in paragraph E above, the Bank shall submit to the parties listed in the Notices section of the Bank Agreement, copies of the: a) Agreement for Sale of Mitigation Credits; b) Bill of Sale; c) Payment Receipt; and d) an updated ledger. The updated inventory / ledger must detail: i) Project Applicant; ii) Project Name; iii) Status (sale complete/sale not complete); iv) Mitigation Credit Sale Date; v) Service File Number; vi) U.S. Army Corps of Engineers File Number (if applicable); vii) Total Number of Mitigation Credits Authorized to Sell; viii) Total Number of Mitigation Credits Sold to Date (inclusive); and ix) Balance of all Mitigation Credits Available. The inventory / ledger should include all sales data from the Bank opening/establishment to the present. RMR Version 2020 3 IN WITNESS WHEREOF, the Parties have executed this Agreement the day and year first above written. BANK: BIG THOMPSCONFLUENCE MITIGATION BANK By: Date: 7/1/2024 PROJECT APPLICANT: WELD COUNTY COL By. %L • J Kevin D. Ross, Chair Board of Weld County Commissioners ATTEST: By: Clerk to the Board a4 Deputy Clerk to the Board JUN 1 9 2024 Date: RMR Version 2020 20214-(637 4 Exhibit "A" DESCRIPTION OF PROJECT TO BE MITIGATED [Weld County Roads 54 and 13 Roundabout Construction Project], Weld County, CO It is anticipated 0.271 acres of permanent impacts will occur to a roadside ditch wetland m a result of the Weld County Roads 54 and 13 Roundabout Construction Project. The project is located at latitude 40.377307, longitude -104.945038. To mitigate for these permanent impacts to non jurisdictional wetlands, Weld County Colorado will purchase 0.28 wetland mitigation credits from the Big Thompson Confluence Mitigation Bank. This mitigation will satisfy stipulations from Colorado Department of Transportation (CDOT), which require that mitigation for permanent impacts to wetlands be mitigated in accordance with EO 11990 Protection of Wetlands. RMR Version 2020 5 Exhibit "B" BILL OF SALE MITIGATION BANK USACE File # NWO-2016-00852-DEN In consideration of $49,000.00, receipt of which is hereby acknowledged, WESTERVELT ECOLOGICAL SERVICES, LLC, a Delaware limited liability company, located at 602 Park Point Drive, Suite 265, Golden, CO 80401, does hereby bargain, sell and transfer to WELD COUNTY COLORADO, located at 1150 O Street Greeley, CO 80631 (Project Applicant), 0.28 wetland Mitigation Credits in the Big Thompson Confluence Mitigation Bank in Weld County, Colorado, developed, and approved by the US Army Corps of Engineers. Westervelt Ecological Services represents and warrants that it has good title to the Mitigation Credits, has good right to sell the same, and that they are free and clear of all claims, liens, or encumbrances. Westervelt Ecological Services covenants and agrees with the Project Applicant to warrant and defend the sale of the Mitigation Credits hereinbefore described against all and every person and persons whomsoever lawfully claiming or to claim the same. DATED: 06/28/24 WESTERVELT ECOLOGICAL SERVICES, LLC, a Delaware limited liability company BIG THOMPSON CONFLUENCE MITIGATION BANK By: Date: 06/28/24 RMR Version 2020 6 Exhibit "C" Big Thompson Confluence Mitigation Bank PAYMENT RECEIPT PARTICIPANT INFORMATION Name: Weld County Colorado Address: PO Box 758 Greeley, CO 80632 Telephone: 970.400.4000 Contact: Clay Kimmi PROJECT INFORMATION Project Description: Weld County Road 54 and 13 Roundabout Construction Project Resource Affected: USACE Non -Jurisdictional Wetlands/EO 11990 Wetlands Mitigation Credits to be Purchased: 0.28 Payment Amount: $49,000.00 Project Location: latitude 40.377307, longitude -104.945038 County/Address: Weld County, Colorado PAYMENT INFORMATION Payee: Westervelt Ecological Services, LLC Payer: Weld County Colorado Amount: Forty Nine Thousand Dollars Method of payment: Ca Check No. X Money Order ACH Wire Received by: Date: 06/28/24 (Signature) Name: Will Duggins Title: Operations Manager - RMR Westervelt ECOLOGICAL SERVICES Big Thompson Confluence Mitigation Bank NOTIFICATION OF ACCEPTANCE OFLIABILITYFOR MITIGATION REQUIREMENT US ARMY CORPS OF ENGINEERS FILE NUMBER Weld County Colorado EO-11990 Mitigation To the US Army Corps of Engineers, Omaha District, Denver Colorado Regulatory Office ("USACE"): WELD COUNTY COLORADO ("Weld County") has purchased 0.28 wetland mitigation credits ("Mitigation Credits") from the Big Thompson Confluence Mitigation Bank. These credits have been purchased to offset permanent impacts to 0.271 acres of USACE non jurisdictional wetlands. The project impacts will occur to a roadside ditch wetland as a result of Weld County Roads 54 and 13 Roundabout Construction Project. The project is located at latitude 40.377307, longitude -104.945038. This mitigation will satisfy stipulations from Colorado Department of Transportation (CDOT), which require that mitigation for permanent impacts to wetlands be mitigated in accordance with EO 11990 Protection of Wetlands. To offset permanent impacts to 0.271 acres of jurisdictional wetlands, 0.28 wetland mitigation credits will be debited from the Big Thompson Confluence Mitigation Bank ("Bank"), with such mitigation hereafter referred to as the "Mitigation Requirement". Pursuant to the terms and conditions of a Purchase and Sale Agreement, executed by Permittee and the Bank, and following payment in full by Permittee for 0.28 wetland mitigation credits, the Bank has agreed to accept responsibility for the Mitigation Requirement in perpetuity. The Bank, by acceptance of payment for the Mitigation Requirement, acknowledges that the Bank is responsible for the compensatory mitigation activities as required in the Permit and agrees to complete the compensatory mitigation in accordance with provisions specified in the Mitigation Banking Instrument dated October 2019, executed by the Corps District Commander on November 8th, 2019. Dated this 2nd day of July 2024. FOR: Westervelt Ecological Services, Sponsor By , Rocky Mountain Regional Director Tyler Bell W E S T E R V E L T ECOLOGICAL SERVICES P E P0istl5 _ e 6's =F WoldiR Ci±O3�11TCT W J03W17= UU: `westigakion.com Contract For Entity Information Entity Name * WESTERVELT ECOLOGICAL SERVICES LLC Entity ID* @00047519 Contract Name AGREEMENT FOR SALE AND PURCHASE OF MITIGATION CREDITS BIG THOMPSON CONFLUENCE MITIGATION BANK Contract Status CTB REVIEW O New Entity? Contract ID 8310 Contract Lead * CKIMMI Contract Lead Email CKimmi@co.weld.co.us Parent Contract ID Requires Board Approval YES Department Project # GR-70 Contract Description* AGREEMENT TO PURCHASE 0.28 ACRES OF WETLAND CREDITS IN THE BIG THOMPSON CONFLUENCE MITIGATION BANK AS A REPLACEMENT OF 0.28 ACRES OF WETLANDS THAT WILL BE PERMANENTLY DISTURBED AS PART OF THE CR 54/13 ROUNDABOUT PROJECT. Contract Description 2 Contract Type* AGREEMENT Amount* $49,000.00 Renewable* NO Automatic Renewal NO Grant NO IGA NO Department PUBLIC WORKS Department Email CM- PublicWorks@weldgov.co Department Head Email CM-PublicWorks- DeptHead@weldgov.com County Attorney GENERAL COUNTY ATTORNEY EMAIL County Attorney Email CM- COUNTYATTORNEY@WEL EY@WEL DGOV.COM Requested BOCC Agenda Due Date Date* 06/08/2024 06/12/2024 Will a work session with BOCC be required?* HAD Does Contract require Purchasing Dept. to be included? NO If this is a renewal enter previous Contract ID If this is part of a MSA enter MSA Contract ID Note: the Previous Contract Number and Master Services Agreement Number should be left blank if those contracts are not in OnBase Contract Dates Effective Date Termination Notice Period Contact Information Review Date* 06/05/2024 Committed Delivery Date Renewal Date Expiration Date* 12/31/2024 Contact Info Contact Name Contact Type Contact Email Contact Phone 1 Contact Phone 2 Purchasing Purchasing Approver Purchasing Approved Date Approval Process Department Head Finance Approver Legal Counsel .CURTIS HALL CHERYL PATTELLI BRUCE BARKER DH Approved Date Finance Approved Date Legal Counsel Approved Date 06/12/2024 06/14/2024 06/14/2024 Final Approval BOCC Approved Tyler Ref # AG 061924 BOCC Signed Date Originator CKIMMI BOCC Agenda Date 06/19/2024 Hello