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HomeMy WebLinkAbout20252563.tiffResolution Approve Release of Collateral, Authorize Chair to Sign, and Accept Replacement Collateral for Use by Special Review Permit, USR15-0078 — Circle B Land Company, 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, on March 30, 2016, the Weld County Board of Commissioners approved the application of Circle B Land Company, LLC, 1099 18th Street, Suite 2300, Denver, Colorado 80202, c/o M3 Construction, LLC, 2861 West 120th Avenue, Suite 250, Westminster, Colorado 80234, for Use by Special Review Permit, USR15-0078, for a Mineral Resource Development, including Oil and Gas Support and Service (storage of tanks, vessels, pipe racks, other oil and gas production equipment and more than one cargo container as an accessory structure) in the A (Agricultural) Zone District, on the following described real estate, being more particularly described as follows: Lot B of Recorded Exemption, RECX14-0110; being part of the E1/2 SE1/4 of Section 27, Township 5 North, Range 61 West of the 6th P.M., Weld County, Colorado Whereas, on October 5, 2016, pursuant to certain Conditions of Approval, the Board accepted an Improvements and Road Maintenance Agreement According to Policy Regarding Collateral for Improvements between the County of Weld, State of Colorado, by and through the Board of County Commissioners of Weld County, and Circle B Land Company, LLC, with further terms and conditions being as stated in said agreement, to include collateral in the form of Performance Bond No. LPM9224684, issued by Fidelity and Deposit Company of Maryland, 1400 American Lane, Schaumburg, Illinois, 60196, in the amount of $2,400.00, and Whereas, staff from the Weld County Department of Planning Services received a letter from Circle B Land Company, LLC, requesting that the Board of County Commissioners release the currently held collateral for USR15-0078, in the amount of $2,400.00, procured in the form of Performance Bond No. LPM9224684, issued by Fidelity and Deposit Company of Maryland, and Whereas, the Board has been presented with replacement collateral in the form of Performance Bond No. CMS0360797, issued by RLI Insurance Company, 9025 North Lindbergh Drive, Peoria, Illinois 61615, in the amount of $2,400.00, and Whereas, after review, the Board deems it advisable to accept said Performance Bond No. CMS0360797, as stated above, a copy of which is attached hereto and incorporated herein by reference. 5055348 Pages: 1 of 2 09/25/2025 10:29 AM R Fee:$0.00 Carly Koppes, Clerk and Recorder, Weld County , CO VIII I l+ I145'I+ ' lak VIN, R cc: PL(DE/MN/DA/TTN/DA/KR) 2025-2563 1%/i3125 PL2416 Release of Collateral and Accept Replacement Collateral for Use by Special Review Permit, USR15-0078 — Circle B Land Company, LLC Page 2 Now, therefore, be it resolved by the Board of County Commissioners of Weld County, Colorado, that the currently held collateral for USR15-0078, in the amount of $2,400.00, procured in the form of Performance Bond No. LPM9224684, issued by Fidelity and Deposit Company of Maryland, be, and hereby is, released, and that replacement collateral in the form of Performance Bond No. CMS0360797, issued by RLI Insurance Company, 9025 North Lindbergh Drive, Peoria, Illinois 61615, in the amount of $2,400.00, be, and hereby is, accepted. Be it further resolved by the Board that the Chair be, and hereby is, authorized to sign said release form, and the Clerk to the Board be, and hereby is, directed to return said currently held collateral to the appropriate issuing party. The Board of County Commissioners of Weld County, Colorado, adopted the above and foregoing Resolution, on motion duly made and seconded, by the following vote on the 15th day of September, A.D., 2025: Perry L. Buck, Chair: Aye Scott K. James, Pro-Tem: Aye Jason S. Maxey: Excused Lynette Peppler: Aye Kevin D. Ross: Excused Approved as to Form: Bruce Barker, County Attorney Attest: Esther E. Gesick, Clerk to the Board 5055348 Pages: 2 of 2 09/25/2025 10:29 AM R Fee:$0.00 Carly Koppes, Clerk and Recorder, Weld County , CO kirdNINO tl NEN ihlkl 1/41 r.+III III 2025-2563 PL2416 or*vcic4 tDaR9 11 MEMORANDUM TO: DATE: FROM: Clerk to the Board September 4, 2025 Jazmyn Trujillo -Martinez, Planning Services Dept. SUBJECT: BOCC Agenda Item — Approve Release of Collateral and Accept Replacement Collateral For: Circle B Land Company, LLC — USR 15-0078 Request to Approve Release of Collateral and Acceptance of Replacement Collateral: The Department of Planning Services received a request from the applicant, Circle B. Land Company, LLC, requesting that the Board of County Commissioners consider releasing the currently held collateral for Circle B. Land Company, LLC in the amount of $2,400.00 procured in the form of Performance Bond No. LPM9224684 issued by Fidelity and Deposit Company of Maryland and accept replacement collateral in the amount of $2,400.00 procured in the form of Performance Bond No. CMS03 60797 issued by RLI Insurance Company, 9025 N. Lindbergh Drive, Peoria, Illinois 61615. Weld County Planning Services, Public Works, and the County Attorney's Office have reviewed the above mentioned signed original document and collateral requirements and recommends this release of collateral and acceptance of replacement collateral. Weld County Collateral List: Circle B Land Company (PL2416 #2016-1088) USR15-0078, Improvements Agreement Performance Bond # LPM9224684, Fidelity and Deposit Company of Maryland, Non -cancellable until released by oblige, $2,400.00 Recommendation: The Departments of Planning Services, Public Works, and the County Attorney's Office are recommending approval of the release of collateral and acceptance of replacement collateral for Improvements & Road Maintenance Agreement According To Policy Regarding Collateral For Improvements for USR 15-0078, and that this item be placed on the next regularly scheduled BOCC Hearing, as part of the Regular Agenda. cc: Dawn Anderson, Planning Services 2025-2563 9,15 PLZ4(Lo RELEASE FORM Return to: Tami Jones Lockton Companies. 3657 Briarpark Drive, Suite 700 Houston, TX 77042 Board of County Commissioners of Weld County, Colorado c/o Weld County, CO Planning & Zoning, on its behalf and on behalf of its parents, affiliates and subsidiaries does hereby release and discharge the Fidelity and Deposit Company of Maryland, its predecessors, parents, affiliates, subsidiaries, agents, successors and assigns (hereinafter, the "Surety"), from any and all past, present and future liabilities and obligations whatsoever under, arising out of, or in any way related to Bond No. LPM9224684 (hereinafter, the "Bond"); it being the intention of the Board of County Commissioners of Weld County, Colorado c/o Weld County, CO Planning & Zoning that this release operate as a full and final release of the Surety's past, current and future liabilities and obligations, whether known or unknown, to the undersigned under, arising out of or in any way related to said Bond. The Bond is terminated and cancelled, as of the date noted below, without residual liability. Board of County Commissioners of Weld County, Colorado Weld County, CO Planning & Zoning 1402 N. 17th Avenue Greely, Colorado 8800632 By: Name/Title: Perry L. Buck, Chair Date: SEP 1 5 2025 Attest: By: ddrA,A) Je-16,;„i Clerk to the Board u �' eP lerk to the B rd y o?oa5-a5(3 es" "a" LOO(TON' UNCOMMONLY INDEPENDENT Tarn! Jones Telephone No.: 713-458-5466 Fax No.: 713-430-5466 Tami jonesclockton.com September 2, 2025 BY FEDEX Board of County Commissioners of Weld County, Colorado Weld County, CO Planning & Zoning 1402 N. 17th Avenue Greely, Colorado 80632 RE: Principal: Circle B Land Company, LLC Obligee: Board of County Commissioners of Weld County, Colorado c/o Weld County, CO Planning & Zoning RLI Insurance Company Bond No. CMS0360797 (Replacing Fidelity and Deposit Company of Maryland Bond No. LPM9224684) To Whom It May Concern: We are pleased to enclose the original of the above referenced bond which has been issued to replace Fidelity and Deposit Company of Maryland Bond No. LPM9224684 effective immediately We ask that you please accept the enclosed bond and release Fidelity and Deposit Company of Maryland Bond No. LPM9224684 at your earliest convenience by issuing a letter of release directly to the surety, principal or broker as noted below or by signing the enclosed release form. Lockton Companies Tami Jones 3657 Briarpark Drive #700 Houston, TX 77042 (713) 458-5466 Tami. oneslockton.com Samantha Cantu -Crouch Fidelity and Deposit Company of Maryland 1299 Zurich Way, 10th Fir Schuamburg, IL 60196 (847)605-6000 saman(ha.cantucrouch@zurichna.com Nathan Bennett Civitas Resources 555 17" St. Suite 3700 Denver, CO 80202 (303)312-8166 nbennett@civiresources.com We trust you will find the enclosed to be in complete order. However, should you require any adjustments or need anything additional, please feel free to contact me directly. Kindest Regards. Tami Jones Account Manager -Surety LOCKTON COMPANIES 3657 Briarpark Drive, Suite 700, Houston, TX 77042 5267 713.458.5200 lockton.tom PERFORMANCE BOND FOR BOARD OF COUNTY COMMISSIONERS OF WELD COUNTY, COLORADO Bond No. CMS0360797 KNOW ALL PERSONS BY THESE PRESENTS, that (name)Circle B Land Company, LLC, (addr_ ess ) 555 17th Street, Suite 3700 Denver, CO 80202, a a(limited liability company) organized under the laws of the State of Colorado, with its principal office located at (address) 555 17th Street, Suite 3700 Denver, CO 80202 hereinafter called "Principal", and (name of surety) RLI Insurance Company, of (address of surety) 9025 N. Lindbergh Drive, Peoria, IL 61615, hereinafter called "Surety" are held and firmly bound unto hoard of County Commissioners of Weld County, Colorado, on behalf of Weld County, Colorado, hereinafter called "Obligee" in the full and penal sum of Two Thousand Four Hundred and 00/100 Dollars ($2, 400.00) , lawful money of the United States for the payment of which well and truly made, we bind ourselves, our heirs, administrators, successors and assigns, jointly and severally, firmly by these presents. WHEREAS, the above -bound Principal has obtained or is about to obtain from the Obligee a land use permit, namely (insert the specific permit and number - USR, SPR etc) Special Review USR15-OO78 and pursuant to the requirements of said permit, has entered into an Improvements Agreement, dated with Obligee, and WHEREAS, The Improvements Agreement requires Principal to obtain a performance bond in an amount equal to the total cost of the improvements for which Principal is responsible and naming Obligee as beneficiary, and WHEREAS, the value of improvements for which Principal is responsible equals Two Thousand Four Hundred and 00/100 Dollars ($2, 400.00) and NOW, THEREFORE, THE CONDITION OF THIS OBLIGATION IS SUCH, that if Principal shall well, truly and faithfully perform its duties, and all of its undertakings, covenants, terms, and conditions as set forth in the Improvements Agreement, and if Principal shall satisfy all claims and demands set forth in said agreement, and shall fully indemnify and save harmless Obilgee from all costs and damages which it may suffer by reason of Principal's failure to perform as agreed, and shall reimburse and repay Obligee all Outlay and expense which Obligee may incur in making good any default, then this obligation shall be null and void; PROVIDED FURTHER, that if Principal shall default in any of its obligations set forth in the Improvements Agreement, and thereafter fail to fully indemnify and save harmless Obilgee from all costs and damages which it may suffer by reason of said default, this obligation shall remain in full force and effect; PROVIDED FURTHER, regardless of the number of years this Bond is in force, or the number of continuation certificates issued, the liability of the Surety shall not be cumulative in amounts from period to period and shall in no event exceed the amount set forth above, or as amended by rider; PROVIDED FURTHER, that Surety, for value received hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of the Improvements Agreement to the work to be performed thereunder, shall in any way affect its obligations on this bond, and it does hereby waive notice of any such change, extension of time, alteration or addition to the terms of the Improvements Agreement. PROVIDED FURTHER, this bond is NONCANCELLABLE, and shall renew annually automatically, from the date of this bond until its release by Obligee, to guarantee that Principal shall well, truly and faithfully perform its duties, and all of the undertakings, covenants, terms, and conditions set forth in the Improvements Agreement, and any extensions thereof which may be granted by Obligee with or without notice to Surety. The parties to this Performance Bond acknowledge that through the Improvements Agreement, Obligee reserves the right to require Principal to obtain a different Performance Bond from a financial institution other than Surety in the event that the rating of Surety by AM Best falls below a B+ rating. IN WITNESS WHEREOF, this instrument is executed in four (4) counterparts, each one of which shall be deemed an original, this 1st day of September 2025. Circle B Land Company, LLC Secretary/Witness tray AnwJk (SEAL) By: Erica Kneitz, Witness 3657 Briarpark Drive, Suite 700 Address Principal Title than Bennett, irector,Permitting & Compliance RLI Insurance Company By: Tami es, Attorney -in -Fact 3657 Briarpark Drive, Suite 700 Address jiouston._ TX 77042 j,ouston, TX 77042 Address Address IMPORTANT: Surety company executing bond must appear on the Treasury Department's most current list (Circular 570 as amended) and be authorized to transact business in the State of Colorado. Bond must be accompanied with Attorney -in Fact's authority from the surety company certified to include the date of the bond. ao?'\ POWER OF ATTORNEY RLI Insurance Company Contractors Bonding and Insurance Company 9025 N. Lindbergh Dr. Peoria, II. 61615 Phone: 800-645-2402 Know All Men by These Presents: That this Power of Attorney is not valid or in effect unless attached to the bond which it authorizes executed, but may be detached by the approving officer if desired. That RLI Insurance Company and/or Contractors Bonding and Insurance Company, each an Illinois corporation. (separately and together, the "Company") do hereby make, constitute and appoint: Timothy F. Kelly. Robert F. Bobo, Florence McClellan, Aaron P. Clark, Nick Patetta, Laura Kneitz, Teresa D. Kelly. Craig C. Payne, Rachel Richardson. Tami Jones. Daisy Greathouse. Erica Kneitz, Kala Kelly. Josh Wright. Lauren Rumsey, Ivette Bustos, Walker Wilks, jointly or severally in the City of Houston , State of Texas its true and lawful Agent(s) and Attorneys) in Fact, with full power and authority hereby conferred, to sign, execute, acknowledge and deliver for and on its behalf as Surety, in general, any and all bonds and undertakings in an amount not to exceed Twenty Five Million Dollars ( $25,000,000.00 ) for any single obligation. The acknowledgment and execution of such bond by the said Attorney in Fact shall be as binding upon the Company as if such bond had been executed and acknowledged by the regularly elected officers of the Company. RLI Insurance Company and/or Contractors Bonding and Insurance Company, as applicable, have each further certified that the following is a true and exact copy of a Resolution adopted by the Board of Directors of each such corporation, and is now in force, to -wit: "All bonds, policies, undertakings, Powers of Attorney or other obligations of the corporation shall be executed in the corporate name of the Company by the President, Secretary, any Assistant Secretary, Treasurer, or any Vice President, or by such other officers as the Board of Directors may authorize. The President, any Vice President, Secretary, any Assistant Secretary, or the Treasurer may appoint Attorneys in Fact or Agents who shall have authority to issue bonds, policies or undertakings in the name of the Company. The corporate seal is not necessary for the validity of any bonds, policies, undertakings, Powers of Attorney or other obligations of the corporation. The signature of any such officer and the corporate seal may be printed by facsimile." IN WITNESS WHEREOF, the RLI Insurance Company and/or Contractors Bonding and Insurance Company, as applicable, have caused these presents to be executed by its respective Sr. Vice President with its corporate seal affixed this 6th day of March , 2025 . State of Illinois SS County of Peoria o�••....So • se •. may,• oaPOR4r • - u• • A • =b• SEAL f 1 'a 00%, • 2 J .• •• r ••..•• .. ,.�$�NCE f;flit' WOO, I%): O :I, PORAT •s :lie,SEAL • I • • • ••: •• • `% On this S. day of March , 2025 , before me, a Notary Public, personally appeared Eric Raudins , who being by me duly sworn, acknowledged that he signed the above Power of Attorney as the aforesaid officer of the RLI Insurance Company and/or Contractors Bonding and Insurance Company and acknowledged said instrument to be the voluntary act and deed of said corporation. By: JILL A SCOTT ••• Notary Public State of Ohlo o My Comm. Expires September 22. 2O25 Notary Public 4234903020212 RLI Insurance Company Contractors Bonding and Ins nce Company By: Eric Raudins CERTIFICA'T'E Sr. Vice President I. the undersigned officer of RLI Insurance Company and/or Contractors Bonding and Insurance Company, do hereby certify that the attached Power of Attorney is in full force and effect and is irrevocable; and furthermore, that the Resolution of the Company as set forth in the Power of Attorney, is now in force. In testimony whereof, I have hereunto set my hand and the seal of the RLI Insurance Company and/or Contractors Bonding and Insurance Company this ,1st day of September . 2025 . RLI Insurance Company Contractors Bonding and Insurance Company By: Jeffrey I i ck jic,ic. Corporate Secretary A0058D19 Contract Form Entity Information Entity Name* CIRCLE B LAND COMPANY LLC Entity ID* O00050251 Contract Name* RELEASE OF COLLATERAL AND ACCEPTANCE OF REPLACEMENT COLLATERAL CIRCLE B LAND COMPANY LLC USR 1 5 -0078 Contract Status CTB REVIEW f) New Entity? Contract ID 9917 Contract Lead * JTRUJILLOMARTINEZ Contract Lead Email jtrujillomartinez@weld.go v Parent Contract ID Requires Board Approval YES Department Project # Contract Description * RELEASE OF COLLATERAL AND ACCEPTANCE OF REPLACEMENT COLLATERAL CIRCLE B LAND COMPANY LLC USR 1 5-0078 RELEASE CURRENTLY HELD COLLATERAL IN THE AMOUNT OF $2400.00 PROCURED IN PERFORMANCE BOND NO. LPM9224684 ISSUED BY FIDELITY AND DEPOSIT COMPANY AND Contract Description 2 ACCEPT REPLACEMENT COLLATERAL PROCURED IN THE FORM OF PERFORMANCE BOND NO. CM50360797 ISSUED BY RLI INSURANCE COMPANY, 9025 N LINDBERGH DRIVE, PEORIA, ILLINOIS 61615 Contract Type * Department AGREEMENT PLANNING Amount* $2,400.00 Renewable * NO Automatic Renewal Grant IGA Department Email CM-Planning@weld.gov Department Head Email CM-Planning- DeptHead@weld.gov County Attorney GENERAL COUNTY ATTORNEY EMAIL County Attorney Email CM- COUNTYATTORNEY@WEL D.GOV Requested BOCC Agenda Date * 09/17/2025 Due Date 09, 13 2025 Will a work session with BOCC be required?* NO 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 Contact Info Contact Name Purchasing Purchasing Approver Approval Process Department Head DAWN ANDERSON DH Approved Date 09/10/2025 Final Approval BOCC Approved BOCC Signed Date BOCC Agenda Date 09/15;x`2025 Review Date * 09 1 7.2026 Committed Delivery Date Contact Type Contact Email Finance Approver CHERYL PATTELLI Renewal Date Expiration Date* 09/17;2027 Contact Phone 1 Purchasing Approved Date Finance Approved Date 09, 10,-'2025 Tyler Ref # AG 091 525 Legal Counsel BYRON HOWELL Contact Phone 2 Legal Counsel Approved Date 09/10/2025 Originator JTRUiILLOMARTINE7 Hello