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Home My WebLink About20251136.tiff Resolution Approve Indemnity Agreement for Proposed Mining Operations within 200 Feet of Affected Lands at Intersection of County Roads 32 and 43(aka Cavanaugh Road) and Authorize Chair to Sign—Farmers Reservoir and Irrigation Company(FRICO) 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,Farmers Reservoir and Irrigation Company(FRICO),submitted a Construction Material Regular 112 Operation Reclamation Permit Application to the Colorado Division of Reclamation,Mining,and Safety(DRMS)for the proposed Farmers Sand operation to conduct surface mining and reclamation,with Permit#M-2024-057,and Whereas,the Board has been presented with an Indemnity Agreement for the Proposed Mining Operations within 200 Feet of Affected Lands located at the Intersection of County Roads 32 and 43(also known as Cavanaugh Road)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 Farmers Reservoir and Irrigation Company (FRICO),commencing upon full execution of signatures,with further terms and conditions being as stated in said agreement,for a parcel of land further described below as: Sections 3, 4, 9, 10, 11, 14, 15, 16, 22, and 23, Township 3 North, Range 65 West of the 6th P.M.,Weld County,Colorado 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 Indemnity Agreement for the Proposed Mining Operations within 200 Feet of Affected Lands located at the Intersection of County Roads 32 and 43(also known as Cavanaugh Road)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 Farmers Reservoir and Irrigation Company(FRICO), 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 Board of County Commissioners of Weld County,Colorado,approved the above and foregoing Resolution,on motion duly made and seconded,by the following vote on the 28th day of April,A.D.,2025: [Insert Resolution Attestation Block Post Meeting] 2025-1136 EG0083 i MEMORANDUM j* — TO: Clerk to the Board DATE:April 24,2025 r P FROM: Curtis Hall,Director Public Works Department riallttA SUBJECT:BOCC Agenda Item Public Works is requesting the BOCC Chair's signature on an indemnity agreement with Fanners Reservoir and Irrigation Company(FRICO).FRICO is applying for a Colorado Division of Mining and Safety 112 permit. As a condition of their permit,they are required to provide a structure agreement for anyone within 200 feet of their operation.This fulfills that obligation and has been approved to form by the County Attorney's Office. 2025-1136 q/zs EGooss3 INDEMNITY AGREEMENT This Indemnity Agreement("AGREEMENT")is entered by and among Farmers Reservoir and Irrigation Company,a Colorado mutual ditch company("FRICO")and the County of Weld,a body corporate and politic of the State of Colorado,by and through its Board of County Commissioners ("COUNTY")on this 2e'day of Pt k ,2025("EFFECTIVE DATE").FRICO and County may be collectively referred to in this Agreement as the"PARTIES." RECITALS WHEREAS,FRICO is in the process of applying for a 112 Reclamation Permit("PERMIT")with the Colorado Division of Reclamation,Mining and Safety("DRMS")for operations within Sections 3,4, 9,10,11,14,15,16,22,and 23,Township 3 North,Range 65 West,in Weld County,Colorado("AFFECTED LANDS"); WHEREAS,County owns and operates Weld County Road 32 and Cavanaugh Road(also known as Weld County Road 43)(the"FACILITIES"),portions of which are within two hundred feet(200')of the Affected Lands; WHEREAS,because the Affected Lands are within two hundred feet(200')of the Facilities,and pursuant to C.R.S.§34-32.5-115(4)(e),the DRMS requires,as part of the Permit application,a notarized agreement between FRICO and County whereby FRICO agrees to provide compensation for any damage to the Facilities,insofar as they are within the two hundred feet; WHEREAS, it is the intention of the Parties that FRICO explicitly assume all financial responsibility in the event of any damage to the Facilities within two hundred feet caused directly by FRICO's mining operations on the Affected Lands("MINING OPERATIONS"); WHEREAS, the Parties do not intend by this Agreement to obligate FRICO to assume responsibility for any Environmental Liability not caused by the Mining Operations,and that for the purposes of this Agreement,the phrase"ENVIRONMENTAL LIABILITY"means and includes all liabilities, obligations,damages,losses,claims,actions,suits,judgments,orders,fines,penalties,fees,expenses and costs(including administrative oversight costs,natural resource damages,and remediation costs),whether contingent or otherwise,arising out of or relating to(a)compliance or non-compliance with any environmental law;(b)the generation,use,handling,transportation,storage,treatment,or disposal of any regulated substances;(c)exposure to any regulated substances;(d)the release of any regulated substances; or(e)any contract,agreement or other consensual arrangement pursuant to which liability is assumed or imposed with respect to any of the foregoing; WHEREAS,for the purposes of this Agreement,"ENVIRONMENTAL LAW"means all federal,state or local laws,statutes,rules,regulations,and/or ordinances pertaining to health,or environmental or ecological conditions,including but not limited to 2 CCR T.400 and each of the following(and their respective successor provisions and all their respective state law counterparts):the Comprehensive Environmental Response,Compensation and Liability Act of 1980("CERCLA"),as amended,42 U.S.C. §9601,et seq.;the Resource Conservation and Recovery Act of 1976("RCRA"),as amended,42 U.S.C. §6901,et seq.;the Toxic Substances Control Act of 1976,as amended,15 U.S.C.§2601,et seq.;the Clean 1 Air Act,as amended,42 U.S.C.§7401,et seq.;the Federal Water Pollution Control Act(a.k.a."CLEAN WATER ACT"),as amended,33 U.S.C.§1251,et seq.;the Hazardous Materials Transportation Act,49 U.S.C.§5101,et seq.;the Solid Waste Disposal Act,Subchapter IX,Regulation of Underground Storage Tanks,42 U.S.C.§6991,et seq.;and the rules and regulations of the U.S.Environmental Protection Agency ("EPA")and the rules,regulations,ordinances,and resolutions(as applicable)of all other agencies,boards, commissions and other governmental bodies and officers having jurisdiction over the Affected Lands as may be applicable to the Mining Operations and as may identify"regulated substances"and; WHEREAS, for the purposes of this Agreement, "REGULATED SUBSTANCES" means any hazardous,explosive,radioactive,or toxic substance,material or waste which is or becomes regulated by any local government authority,the State of Colorado,or the United States Government including,but not limited to,any material or substance that is:(i)listed in 2 CCR§404-1,Table 915-1;(ii)listed in 5 CCR§ 1002-41(Colorado Water Quality Control Commission Regulation 41);(iii)defined as a"HAZARDOUS SUBSTANCE,""HAZARDOUS MATERIAL,""TOXIC SUBSTANCE,""POLLUTANT,""HAZARDOUS WASTE," "regulated substance,"or"solid waste"in any environmental law;(iv)listed in the U.S.Department of Transportation Hazardous Materials Table,49 C.F.R.§172.101,as may be amended from time to time;(v) listed by the U.S.Environmental Protection Agency("EPA")(or any successor agency)as hazardous substances,see 40 C.F.R.§301,et seq.,as may be amended from time to time;(vi)qualified as an "UNLISTED HAZARDOUS SUBSTANCE"pursuant to 40 C.F.R.§302.4(b),as may be amended from time to time;(vii)asbestos;and(viii)any petroleum product;provided,however,that"REGULATED SUBSTANCES" are limited to those substances that were produced by the Facilities,used in the operation,maintenance,or repair of the Facilities,used in the conduct of Mining Operations,or otherwise released by FRICO on the Affected Lands. NOW,THEREFORE,in consideration of the foregoing and upon other good and valuable consideration,the receipt and sufficiency of which are hereby acknowledged,the Parties agree as follows: AGREEMENT 1. Incorporation of Recitals.The above recitals are incorporated into this Agreement as if fully set out herein. 2. Indemnification.FRICO agrees to indemnify County or any of its officers,employees, agents,and representatives(collectively the"COUNTY INDEMNIFIED PARTIES")for any and all damage to those portions of its Facilities within 200'of the Affected Lands,arising out of or directly caused by FRICO's mining operations within the Affected Area.County will immediately notify FRICO in writing of any such claim for which FRICO will be requested to indemnify County Indemnified Parties hereunder, provided,however,and County acknowledges and agrees,that FRICO shall not indemnify County for any Environmental Liability.Such indemnification shall further be limited to the extent of the actual payments made by County Indemnified Parties to third parties to remediate the damage.The indemnity evidenced hereby shall terminate upon the termination or expiration of the Permit. 3. Notices.All notices required or permitted to be sent hereunder shall be deemed to have been given for all purposes of this Agreement upon(i)if given by hand delivery or U.S.Mail,Federal Express or similar expedited commercial carrier,the date of acknowledged receipt or upon the date of 2 receipt or refusal,or(ii)if given by electronic mail,the date of electronic confirmation of successful transmission by the sender thereof;except that whenever under this Agreement a notice is either received on a day that is not a business day or is required to be delivered on or before a specific day that is not a business day,the day of receipt or required delivery shall automatically be extended to the next business day.All notices shall be addressed as follows: To FRICO: The Farmers Reservoir and Irrigation Company Attn:Scott Edgar,General Manager 80 South 27th Avenue Brighton,CO 80601 Email:scoff@farmersres.com With a copy to:Fairfield and Woods,P.C. Attn:Todd G.Messenger 1801 California Street,Suite 2600 Denver,CO 80202 Email:tessenger@fwlaw.com To County: Weld County Department of Public Works Attn:Curtis Hall,Director 1111 H Street,Greeley,Colorado,80631;P.O.Box 758 Greeley,Colorado,80632 Email:chall@weld.gov With a copy to:Weld County Attorney's Office Attn:Bruce Barker,County Attorney 1150 0 Street,Greeley,Colorado,80631;P.O.Box 758 Greeley,Colorado,80632 Email:bbarker@weld.gov 4. Governing Law.This Agreement shall be governed by and construed and enforced in accordance with the laws of the State of Colorado,without regard to principles of conflicts of law. 5. Entire Agreement.This Agreement constitute the entire agreement of the Parties with respect to the subject matter hereof and may not be amended or modified except by a writing signed by the Parties.The provisions of this Agreement upon and shall insure to the benefit of,and are for the sole benefit of the Parties,their heirs,successors,and assigns. 6. Counterparts.This Agreement may be executed simultaneously in several counterparts,each of which shall be deemed an original and all of which together shall constitute one and the same instrument. [SIGNATURE PAGE TO FOLLOW] 3 IN WITNESS WHEREOF , each Party by its duly authorized representative has executed this Agreement on the date shown below . Board of County Commissioners Weld County , Colorado theitAi Attest : XL "beii lettej Clerk to the Board ' my L . tuck , Chair w eim. NBoard of Weld County Commissioners ty : Atetrir ni ( • Aia a ltis I se 4 Deputy Clerk the Board ski tipo 1111,41: *' , i6 , ..1•••• ••,*1, me CI State of Colorado ) �. " ' ' ***, ) ss . A--\ , County of Weld ) � � � The foregoing instrument was acknowledged before met is De" of Oprik \ , 2025 , by Pe_ YrU 1. 4Y6tAdt , as UnOar , Zaoyd 4� We\ � CbutYlkol CAmmISSIOrletiS J J Witness my hand and official seal : My Commission Expires : 3-pkrikb0( 20 , 26 ? "6 HOUSTAN MARIE ARAGONv gAt) I II NOTARY PUBLIC Notary Public -STATE Of COLORA00 NOTARY ID 20244035426 MY COMMISSION EXPIRES SEPTENBER 20, 2023 Scott Edgar, General Manager Farmers Reservoir and Irrigation Company a Colorado mutual ditch company ( " FRICO " ) State of Colorado ) ss . Farmers Reservoir and Irrigation Company , ) a Colorado mutual ditch company ( " FRICO " ) The foregoing instrument was acknowledged before me this of , 2025 , by as Witness my hand and official seal : My Commission Expires : Notary Public 4 2. 015. 11311° Hello