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Home My WebLink About20151824.tiff RESOLUTION RE: APPROVE AGREEMENT TO STORE WATER AND AUTHORIZE CHAIR TO SIGN - CENTRAL COLORADO WATER CONSERVANCY DISTRICT 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 to store water 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 the Central Colorado Water Conservancy District, commencing upon full execution of signatures, and ending March 31, 2016, with further automatic renewal 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 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 the Central Colorado Water Conservancy District 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 22nd day of June, A.D., 2015. BOARD OF COUNTY COMMISSIONERS WELD COUNTY, COL RADO ATTEST:dithov •aC,[Lo• LA ij _t_.c_- arbara Kirkmeyer, Chair Weld County Clerk to the Board , I A:feG D� /� Mike Freeman, Pro-Tem BY: 1, ty Clerk to the BOtpa-flar. I1111`„fti► \, } Is IN Sean P Con ay c-) APPROV AS TO FOR ..►, �` - Ct:' :�iQ.; •— Julie Cozad 4,4ftww4414°- 14410 County Attorney v - 1 r�'� ••r 0 �`� �� Steve Moreno Date of signature: — C e j,J(Fe f Ck) nl/w 2015-1824 EG0072 i;giatleceet MEMORANDUM Fi TO: Esther Gesick, Clerk to the Board DATE: June 15, 2015 I ,i G ¢U�T Ys FROM: Clay Kimmi, P.E., Public Works SUBJECT: Agreement to Store Water at Hokestra Please place the attached agreement on the BOCC Agenda. This agreement is for Central Colorado Water Conservancy District (Central) to store water and manage the County's Rural Ditch irrigation shares at the Hokestra Gravel Pit in exchange for leaving the Koenig Pit dry so Weld County can finish mining the Koenig Pit. The BOCC approved the concept of the agreement at a work session on February 17, 2015 and reviewed the agreement in a pass around dated June 9, 2015. The approved pass around was received by Public Works on June 12, 2015. Bob Choate from the County Attorney's office has reviewed and approved this agreement. I will plan on attending the BOCC hearing to answer any questions that the Board may have regarding this agreement. RECEIVED JUN 15 2015 WELD COUNTY COMMISSIONERS • 2015-1824 24 Page I of 1 M:\Clay\Water Rights\Hokestra\Varra Lease Memo to Clerk to the Board 4-29-15.docx ZCciwed lorc/c {rlrq e y:yl pm b/iz/rr BOARD OF COUNTY COMMISSIONERS PASS-AROUND REVIEW/WORK SESSION REQUEST RE:Agreement with Central Colorado Water Conservancy District for Water Storage at Hokestra Cells SE-I &2 DEPARTMENT: Public Works DATE: 6-9-15 PERSON REQUESTING: Clay Kimmi Brief description of the problem/issue: (For Review Purposes prior to being placed on the BOCC Agenda) On February 17,2015, Public Works had a work session with the Board regarding the Hokestra Gravel Pit. At that work session,the Board approved Public Works to work with Central to negotiate an agreement for water storage. The purpose of the water storage agreement is to provide Central with a location to store between 200 and 300 ac-ft of water in exchange for leaving the Koenig Pit empty so the County can mine the remaining gravel in the pit. Additionally, Central has agreed to store and release the County's Rural Ditch shares in accordance with our Substitute Water Supply Plan. Public Works and Central have come to terms on a short term arrangement that is acceptable to both parties. Bob Choate at the Attorney's Office has reviewed and concurred with the agreement. Under the agreement,Central will be able to use the Hokestra cells SE-1 and SE-2 year to year while Weld County is mining at the Koenig Pit. Additionally, Central has agreed to store and release the County's Rural Ditch shares in accordance with our Substitute Water Supply Plan. In lieu of paying Central to manage and release our irrigation shares, the agreement allows Central to use the unused portion of the Rural Ditch water. We have approximately 10 ac-ft of unused Rural Ditch water. In the past,the County has had an agreement with Varra Companies to store, manage, and release our water. We were paying Vain between$15,000 and $20,000(depending on the year)to manage our water. Assuming that stored water is rented at$400/ac-ft,the value of the unused portion of water that we are allowing Central to use is$4,000. By allowing Central to use our unused water in lieu of a management fee,we are saving the citizens of Weld County money. We are also getting a gravel pit that will be kept dry so we can finish mining the site in accordance with previous agreements. As another information update, Central and Firestone are continuing to discuss how to share the remaining storage space at Hokestra. An appraisal for the water storage component in Cell 2 (453 ac-ft) is due to be received on July 3, 2015. Once the appraisal is in,the County will be able to enter into negotiations for the sale of Cell 2 to Firestone. What options exist for the Board? (Include consequences,impacts,costs,etc.of options) 1. Do not approve the agreement. Doing so, Central will be under no obligation to keep the Koenig Pit dry. Weld County will also have to store,manage,and release the Rural Ditch shares. 2. Approve the agreement. The Koenig Pit will be dry for mining and the County will not have to worry about storing,managing,and releasing water for the Hokestra Substitute Water Supply Plan. Recommendation: Approve the agreement. Approve Schedule Recommendation Work Session Other/Comments: Mike Freeman,Chair tC Barb Kirkmeyer Sean P.Conway Steve Moreno .4 Julie Cozad / AGREEMENT THIS AGREEMENT is made and entered into thise40/Dday of�[lt( , 2015, by and between the County of Weld, a body politic of the State of Colorado, by and through the Board of County Commissioners of the County of Weld, State of Colorado, whose address is 1150 "O" Street, Greeley, Colorado, 80631„ (hereafter "COUNTY") and the Central Colorado Water Conservancy District, the Groundwater Management Subdistrict of the Central Colorado Water Conservancy District and the Well Augmentation Subdistrict of the Central Colorado Water Conservancy District(hereinafter"CENTRAL") WITNESSETH: WHEREAS, COUNTY owns water rights in the Rural Ditch and is required to make augmentation deliveries to the St. Vrain River in order to augment water which is depleted in the course of COUNTY'S mining activities at the Hokestra Gravel Pit, located in a portion of the NWl/4 of Section 2, Township 2 North (T2N), Range 68 West (R68W) of the Sixth Principle Meridian(6th P.M.), Weld County, Colorado (hereinafter "Hokestra Pit"); and WHERAS, COUNTY has lined gravel pit reservoir storage located at the Hokestra Pit; and WHEREAS, CENTRAL operates augmentation plans for wells located in Adams, Weld and Morgan Counties. As part of CENTRAL'S augmentation activities, Central operates numerous reservoirs; and WHEREAS, CENTRAL and COUNTY are parties to a certain agreement dated July 6, 1998 regarding the mining and use for storage purpose of Koenig Reservoir which is located in the S1/2 of the SEl/4, Section 13, T2N, R67W of the 6th P.M.; and WHEREAS, COUNTY and CENTRAL desire to keep Koenig Reservoir empty for a certain period of time to allow the COUNTY to more easily mine gravel from said reservoir; and WHEREAS, COUNTY and CENTRAL desire to substitute storage at the Hokestra Pit for storage at Koenig; and WHEREAS, COUNTY desires CENTRAL to manage delivery of COUNTY'S shares in the Rural Ditch in connection with COUNTY'S augmentation requirements; and WHEREAS, CENTRAL desires to obtain the use of the water derived from COUNTY'S Rural Ditch shares which are in excess of the COUNTY'S augmentation requirements at the Hokestra Pit; and WHEREAS, the Parties desire to negotiate regarding the transfer of the storage space at the Hokestra Pit to Central and management of the COUNTY'S Rural Ditch shares on a more permanent basis. 1 NOW, THEREFORE, in consideration of the mutual promises and covenants of the parties hereto, IT IS HEREBY AGREED AS FOLLOWS: 1. CENTRAL agrees to cease storing water in Koenig Reservoir after August 31, 2015 until the expiration of this Agreement unless expressly authorized otherwise by COUNTY. 2. In consideration for ceasing use of Koenig Reservoir pursuant to this Agreement, COUNTY grants to CENTRAL the exclusive use of all of the storage space within Hokestra Pit identified as SE-2 and SE-3 as more particularly shown on the Exhibit attached hereto as Exhibit A. COUNTY also grants to CENTRAL the right to use those ditches and structures as shown on EXHIBIT A to facilitate delivery of water into Hokestra Pit from the Rural Ditch and deliver water from the Rural Ditch and Hokestra Pit to the St. Vrain River. 3. CENTRAL agrees to deliver and/or store in the Hokestra Pit water attributed to the COUNTY'S 3.75 shares in the Rural Ditch Company in order to deliver water to satisfy COUNTY'S augmentation requirements. The schedule of storage of water for the COUNTY and the delivery of the same either directly or from storage is set forth in the following tables: Rural Volumetric Delivery Amounts: Rural Ditch Share Delivery Month Schedule (ac-ft) Apr-15 0.00 May-15 26.30 Jun-15 53.37 Jul-15 85.70 Aug-15 53.44 Sep-15 15.72 Oct-15 0.00 Total 234.5 2 r Total Depletions at Hokestra Pit: 1919# LIM" 7eay` c Toul Tod Nokasla Pk 3444°Ils at wont Bvyoratlan *its 'Regtilei ela Oeplalans (ant) toot) (-11 (aotj . (eat) (att) (A (6) (C) (0); OE) (F) 1pr-15 6.5 624 0.40 062 1.08 864 Mel,.15 8.4 786 0.91 091 1.05 932 Jun-15 128 829 128 090 0.96 995 I Jul-15 142 924 291 0.67 0.94 11.45 Fug-15 123 10.45 2.10 0.77 0.98 12.11 Sep-15 8.5 987 1.19 025 022 11.54 Oct-15 6.0 9.46 067 094 0.81 11.21 Nov-15 3.0 8.19 090 091 0.74 924 Dec•15 2.4 753 ODD 029 0.74 9.18 .an•16 2.5 629 ODD 022 0.71 842 Feb-16 3.1 615 ODD 021 0.63 7.49 Ma--16 3.8 6.48 ODO 0.70 0.64 722 Total 832 972 92 9.1 109 118.9 N3es: (1 Total evaporation tomTable 13. (8)lagged raring depletions torn MAMAS. Each ported was lagged independently using the paid centred. haludes depletions tom prior leas. (C)Total SWSCinigaian reatiremere torn Table 2. (O)lagged net MC irrigation deplelonston IDSA)*Qt. hdudesdepedonstun pdor years. (E)lagged dewaterhg depletions torn maintenance dewaterthgthat occurred duriruthe Iherconstuaian(2013)tom MAIMS. (F)Taal legged steam depletions at the Nokestra At.(B)r0)XE) 4. In consideration of the delivery, storage and management of the COUNTY'S Rural Ditch Shares by CENTRAL as contemplated in this Agreement, COUNTY shall allocate to CENTRAL the use of all of the water attributable to up to 3.75 shares of the County's shares in the Rural Ditch Company which is in excess of the COUNTY'S augmentation requirements. To the extent there is water over and above the 3.75 shares in the Rural Ditch Company that the County does not need for its augmentation obligations at the Hokestra Pit, CENTRAL shall be entitled to use that water under this Agreement. COUNTY shall continue to pay assessments on the Rural Ditch Shares. 5. CENTRAL will provide monthly accounting to COUNTY or to its designated representative to show the timing and amount of water stored, delivered and/or released by CENTRAL from the Hokestra Pit for COUNTY'S benefit. 6. If CENTRAL determines it may not be able to, or cannot make the deliveries required by this Agreement due to matters beyond its control, it shall notify COUNTY immediately in writing so that COUNTY can make alternative arrangements. 7. The term of this Agreement shall be for one year commencing on April 1, 2015 and expiring on March 31, 2016; however, the Agreement shall automatically renew for 4 additional 1 year terms unless either party provides written notice of its intent to terminate by December 31 of any year during the term of this Agreement of its intent to 3 not renew the agreement on March 31. CENTRAL shall have until October 31 following termination of this Agreement to evacuate any water they have diverted and stored in the Hokestra Pit under this Agreement. 8. The parties currently do not anticipate that CENTRAL will require a discharge permit from the State of Colorado Department of Public Health and Environment, Water Quality Division. If it is determined that such a permit is required for CENTRAL's operations, then Central shall be responsible for obtaining said permit 9. The Parties shall negotiate in good faith regarding the transfer and sale of storage space within Hokestra Pit to CENTRAL during the term of this Agreement. The Parties recognize that discussions have also occurred with the Town of Firestone on certain storage space within the Hokestra Pit and that it is contemplated at this time that Weld County intends to negotiate regarding the sale of part of the space within the Hokestra Pit to Firestone and negotiate regarding the sale of part of the space within the Hokestra Pit to Central. 10. The COUNTY agrees to file a water right for the Hokestra Pit and a change of use application to change the COUNTY'S Rural Ditch Shares. 11. Financial obligations of COUNTY payable after the current fiscal year are contingent upon funds for that purpose being appropriated, budgeted and otherwise made available. By execution of this Agreement, COUNTY does not warrant that funds will be available to fund this Agreement beyond the current fiscal year 12.No term or condition of this contract shall be construed or interpreted as a waiver, express or implied, of any of the immunities, rights, benefits, protections or other provisions, of the Colorado Governmental Immunity Act §§24-10-101 et seq., as applicable now or hereafter amended. 13. The parties shall strictly comply with all applicable federal and State laws, rules and regulations in effect or hereafter established, including without limitation, laws applicable to discrimination and unfair employment practices. 14. Colorado law, and rules and regulations established pursuant thereto, shall be applied in the interpretation, execution, and enforcement of this Agreement. Any provision included or incorporated herein by reference which conflicts with said laws, rules and/or regulations shall be null and void. 15. It is expressly understood and agreed that the enforcement of the terms and conditions of this Agreement, and all rights of action relating to such enforcement, shall be strictly reserved to the undersigned parties and nothing in this Agreement shall give or allow any claim or right of action whatsoever by any other person not included in this Agreement. It is the express intention of the undersigned parties that any entity other than the undersigned parties receiving services or benefits under this Agreement shall be an incidental beneficiary only. 4 16. This Agreement shall not be valid until it has been approved by the Board of County Commissioners of Weld County, Colorado or its designee. 17. This document represents the complete agreement of the parties hereto and no oral modification shall be recognized. Any amendments or additions shall be made in writing signed by the parties. 18. This Agreement is binding upon the parties,their successors and assigns. IN WITNESS WHEREOF, CENTRAL and COUNTY, by the authority of their Boards of Directors, have caused this Agreement to be executed by their Presidents on the date and year written below. (ADD CENTRAL SIGNATURE BLOCK) Title G COUNTY OF WELD, a body corporate and j? a politic of the STATE OF COLORADO, by and through the BOARD OF COUNTY COMMISSIONERS OF THE COUNTY OF ATTEST: devieti ;ve BOARD OF COUNTY COMMISSIONERS WELD COUNTY, COLORADO Weld o Clerk to the B and BY: ,Q� Deputy Cl k to the Boar. ��+..` arbthirSair205 APPROVED AS TO F " ..1/41�, PROVED AS . TANCE: Controller/Fin.�r e D' cial or e ent Head APPROVED AS TO FORM: /7' 0/44 County Attorney 02-41/5142 Hello