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HomeMy WebLinkAbout20171055.tiffRESOLUTION RE: APPROVE LEASE AGREEMENT FOR FULTON DITCH SHARES AND AUTHORIZE CHAIR TO SIGN - PETROCCO FARMS 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 a Lease Agreement for Fulton Ditch Shares 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 Petrocco Farms, commencing April 17, 2017, with terms and conditions being as stated in said lease agreement, and WHEREAS, after review, the Board deems it advisable to approve said lease 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 Lease Agreement for Fulton Ditch Shares 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 Petrocco Farms, be, and hereby is, approved. BE IT FURTHER RESOLVED by the Board that the Chair be, and hereby is, authorized to sign said lease agreement. The above and foregoing Resolution was, on motion duly made and seconded, adopted by the following vote on the 17th day of April, A.D., 2017. BOARD OF COUNTY COMMISSIONERS WELD COUNTY, COLOjADO ATTEST: thz+w Six/do•a Weld County Clerk to the Board BY APPR y Attorney Date of signature: tea' / uiie A. Cozad, Chair Steve Moreno, Pro= Sean P. Conway cc pcvcrct OT ) rbara Kirkme - r 2017-1055 BC0050 efin-frac+ rC) #p t I I q MEMORANDUM TO: Esther Gesick, Clerk to the Board DATE: April 12, 2017 FROM: Devin Traff, Engineer I, Public Works SUBJECT: Lease Agreement for Fulton Ditch Shares Lin 1 -1 Weld County owns 28 shares of Fulton Ditch water which is leased each year to show continued beneficial use of the water. An advertisement was sent to Fulton Ditch shareholders announcing the acceptance of bids for the lease of the ditch shares. The minimum bid was set at the amount needed to cover the assessments charged by the ditch company. The following bid was received for the 2017 irrigation season: • Petrocco Farms, Inc. desires to lease the Fulton Ditch water at the rate of $56 per share for a total of $1,568.00. Enclosed is the approved pass -around review, a check for $1568.00 from Petrocco Farms, and two (2) originals of the signed lease agreement which require the signature of the Board Chair and Deputy Clerk to the Board. Public Works recommends approval of this bid. Once the agreement has been approved and signed, please return a signed original to me so I can send it to Mr. Petrocco. Contact me with any questions regarding this agreement. 2017-1055 Page I of I BOARD OF COUNTY COMMISSIONERS PASS -AROUND REVIEW/ WORK SESSION REQUEST RE: Lease of Fulton Ditch shares for 2017 DEPARTMENT: Public Works DATE: April 4, 2017 PERSON REQUESTING: Devin Trail Brief description of the problem/issue: Weld County currently owns 28 shares of Fulton Ditch water for use in future water court cases. Since the ditch shares are not currently allocated to any substitute water supply plan, the water is leased each year to show continued use of the water. Failure to show continued use of the water may injure the County's ability to use the water for future augmentation uses. The use of the ditch shares is limited to agricultural use only. An advertisement was sent to Fulton Ditch shareholders announcing the acceptance of bids for the tease of the ditch shares, including the previous bidders. The minimum bid was set at the amount needed to cover the assessments charged by the ditch company ($1568.00). Historically, we receive one or two bids when we contact the ditch company shareholders. The following bid was received for the 2017 irrigation season: • Petrocco Farms, Inc. desires to lease the Fulton Ditch water at the rate of $56 per share for a total of $1,568.00. Petrocco Farms, Inc. has agreed to provide us with the type of crops grown, location of the crops grown, and the amount of water used prior to November 30, 2017. Petrocco Farms has leased these shares from us for several years and they have provided the required information for each year that they have leased the water. What options exist for the Board? (Include consequences, impacts, costs, etc. of options) I . Agree to lease the Fulton Ditch shares to Petrocco Farms. 2. Do not lease the Fulton Ditch shares to Petrocco Farms. Recommendation: Public Works recommends approval of this bid. Approve Rcco emendation Julie A. Cozad, Chair Steve Moreno, Pro-Tem Mike Freeman Sean P. Conway Barbara Kirkmeyer Schedule Work Session Other/Comments: PUBLIC WORKS DEPARTMENT 1111 H STREET, P.O. BOX 758 GREELEY, COLORADO 80632 WEBSITE: WWW.CO.WELD.CO.US PHONE: (970) 356-4000, EXT. 3750 FAX: (970) 304-6497 March 21, 2017 Dave Petrocco, Sr. Petrocco Farms 14110 Brighton Road Brighton, CO 80601 RE: Lease of Twenty -Eight Shares of Fulton Ditch for the 2017 Irrigation Season Dear Mr. Petrocco, It is my understanding that you wish to lease twenty-eight (28) shares of Fulton Ditch from Weld County for the 2017 irrigation season at a rate of $56 per share. This lease is for a single year and the lease for this year in no way guarantees you the right to lease those shares in any subsequent year. Based on your bid amount of $56 per share, the total cost for the 28 shares is $1,568.00. Weld County also requires that you provide records at the conclusion of the irrigation season regarding the amount of water diverted, a legal description of the irrigated acreage, and the crops irrigated with the shares leased from Weld County. You agree to provide that information via letter to Weld County prior to November 30, 2017. Please send irrigation records to: Weld County Public Works Attention: Devin Traff P.O. Box 758 Greeley, CO 80632 If you are agreeable, please sign two copies of this letter and return the originals along with a check for $1,568.00 made payable to Weld County at the address above before April 10th of this year. This agreement will become final once it is ratified by the Board of County Commissioners in a regular business meeting. One of the fully executed originals will then be returned to you for your records. If you have any questions, please feel free to contact me at 970-304-6496 x 3773. Sincerely, Devin Traff Water Resources Engineer Weld County P► blic Works ATTEST: '' Weld BY: Jeito:vi lerk to the Boar Deputy CIe7to th' :oard 7 Date BOARD OF COUNTY COMMISSIONERS WELD COUNTY, COLOR £ DO ie Cozad, Chair Page 1 of 1 APR 1 7 2017 oZo/7ft/06- 6) Petrocco Farms, Inc. Vendor: Weld County PubWPE WOrKkDdssl8ri6142 Operating Account Brighton. CO 80601 Invoice No. Invoice Date Description ST032117 03/21/17 28 SHARES FULTON WATER Check No.: 59468 ID: 2694 Check Date: 03/27/17 Currency: USD 59468 P.O. No- Voucher Amt Discount Amt Pay Amount 1,568.00 .00 1,568.00 Totals: 1.568.00 1,568.00 PETROCCO FARMS, INC. 0 OPERATING ACCOUNT 14110 BRIGHTON ROAD BRIGHTON, COLORADO 80601 PH. (303) 659-6498 FAX (303) 659-7645 Pay One Thousand Five Hundred Sixty -Eight Dollars and 00 Cents USD TO THE ORDER OF O E2 o -0 o %-- >; m Csla) ' o� o o 0 m U a. Weld County Public Works Department P.O. Box 758 Greeley, CO 80632 59468 VALLEY BANK & TRUST Brighton, CO 80601 82-544/1070 DATE CHECK NO. CHECK AMOUNT 03/27/17 59468 1,568.00 Qt'afaisaharsa-ess.A. RECEIPT DATE Lat / , 3/ go -7 NO. RECEIVED FROM Pe-4-I-occo Par 1t'Ym.S , =t'1G . ADDRESS I Lit t O Pr;94-1 +on Rd. , Br; e -ion , C One. -+-ho usctnd rue_ hundred a,;X48-e(#-4 "16t ► i FOR we., Q e�.( rat Po C' —U l �' +o n a Bch HOW PAID CASH CHECK MONEY ORDER 60 89240 'so CD ( CD8'. OO ?haxe S ✓' 4599(0S' "a8' Shares BY __Ca2eR WELD COUNTY PURCHASING 1150 O Street Room #107, Greeley CO 80631 E-mail: mwaltersco.weld.co.us E-mail: reverett@co.weld.co.us Phone: (970) 400-4222 or 4223 Fax: (970) 336-7226 DATE OF BID: MARCH 21, 2017 REQUEST FOR: WATER IRRIGATION RIGHTS FOR LEASE DEPARTMENT: PUBLIC WORKS DEPT - BID NO: #B1700070 PRESENT DATE: APPROVAL DATE: (DUE TO COST DOES NOT NEED TO BE PRESENTED TO BOCC) VENDORS PETROCCO FARMS INC 14110 Brighton Rd Brighton CO 80601 DOMENICO FARMS 9320 Hwy 66 PO Box 424 Platteville CO 80651 FULTON DITCH (28 SHARES) (Min. bid = $56/share) $56.00/SHARE ($1568.00) LUPTON BOTTOM WEST (2 SHARES) (Min. bid= $1500/share) $1500/SHARE ($3,000) Hello