HomeMy WebLinkAbout20152736.tiff RESOLUTION
RE: APPROVE AGREEMENT PURSUANT TO SECTION 30-11-123, C.R.S. AND
AUTHORIZE CHAIR TO SIGN - NOBLE ENERGY, WYCO, 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 Pursuant to Section
30-11-123, C.R.S. between the County of Weld, State of Colorado, by and through the Board of
County Commissioners of Weld County, and Noble Energy, Wyco, LLC, with 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 Pursuant to Section 30-11-123, C.R.S., between the
County of Weld, State of Colorado, by and through the Board of County Commissioners of Weld
County, and Noble Energy, Wyco, 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 17th day of August, A.D., 2015.
BOARD OF COUNTY COMMISSIONERS
WELD COUNTY, COLORADO
ATTEST: �� EXCUSED
�Q2 •6e Barbara Kirkmeyer, Chair
Weld County Clerk to the Board Y --��I
/� nn Mike Freeman, Pro-Tern
BY: LI0 lam.) (ikkiztit
I �—'
uty Clerk to the oa`I 1��
�ce) Sean P. Conway
APPROVED AS TO FO '161 it�v
tart � Ju ' . oz d °41(
County Attorney Ono ��� EXCUSED
Li N��1 Steve Moreno
Date of signature: ,_
2015-2736
C C: F 9/O FI0061
AGREEMENT PURSUANT TO C.R.S. § 30-11-123
THIS AGREEMENT PURSUANT TO C.R.S. 30-11-123 ( "Agreement")is made and
entered into this 17th day of August, 2015, by and between the County of Weld, a body corporate
and politic of the state of Colorado, by and through the Board of County Commissioners of the
County of Weld, whose address is P.O. Box 758, 1 150 1 1 th Avenue, Greeley, Colorado 80632,
hereinafter referred to as, "Taxing Authority," and Noble Energy, Inc., and Noble Energy Wyco,
[LC, whose address is 1625 Broadway, Suite 2200, Denver, CO 80202, both are hereinafter
referred to as. "Taxpayer."
WITNESS ETH:
WHEREAS, Taxing Authority desires to promote economic development within Weld
County, Colorado, for the purposes of generating employment opportunities for residents of Weld
County. thereby stimulating the economic well-being of Weld County's citizens, and
WHEREAS, C.R.S. § 30-I1-123 provides that the Taxing Authority may negotiate
incentive payments to taxpayers who establish new business facilities or who expand existing
business facilities, and
WHEREAS, Taxpayer represents that it has invested or intends to invest in qualifying
personal property and wishes to receive the incentive payment benefits available pursuant to
C.R.S. § 30-1 1-123, and
WHEREAS, Taxpayer has been determined by the Taxing Authority to be currently
eligible to receive the incentive payment benefits available pursuant to C.R.S. § 30-1 1-123.
NOW, THEREFORE, the parties hereto hereby agree to the following:
1. Taxing Authority shall pay to Taxpayer ninety percent (90%) of the amount of personal
property taxes paid by the Taxpayer for personal property located at Taxpayer's facilities,
the location being various oil and gas well sites in Weld County placed into service in Weld
County in 2013 and 2014, and appearing on the personal property declaration schedule
submitted by the Taxpayer to the Weld County Assessor, which personal property has not
appeared on previous schedules for the ten (10) tax years beginning 2015 and ending 2024
("the 2015-2024 Term").
All tax incentive payments made pursuant to this Agreement shall hereinafter be referred
to as, "Tax Incentive Payments." Taxpayer has submitted Personal Property Declarations
to the Weld County Assessor reporting the aggregate cost and year of acquisition of
Taxpayer's personal property that, to Taxpayer's best knowledge, information and belief,
qualities for incentive payments under C.R.S. § 30-1 1-123. These amounts shall be subject
to review by the Weld County Assessor.
2. Article X. Section 20 4(b) (Taxpayer's Bill of Rights) of Colorado Constitution prohibits
creation of any multiple-fiscal year direct or indirect county debt or other financial
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obligation whatsoever without adequate present cash reserves pledged irrevocably and
held for payments in all future fiscal years. Therefore, based upon the Weld Personal
Property Tax Refund Incentive Worksheet (Exhibit A) Taxing Authority shall remit to
Taxpayer the total Tax Incentive Payment calculated on Exhibit A within 30 days of this
Agreement being executed.
3. Tax Incentive Payments shall be made by Taxing Authority. Appropriation sufficient to
pay the Tax Incentive Payments detailed herein has been made by the Taxing Authority,
based upon the following agreements and representations by Taxpayer:
a. All taxes and assessments levied and assessed on Taxpayer by Taxing Authority
for the facilities are current at the time of payment of Tax Incentive Payments ,
and
b. Taxpayer is eligible to receive the Tax Incentive Payments under criteria
established in C.R.S. § 30-1 1-123, and
c. Taxpayer agrees not to pursue and waives any and all rights to pursue any ad
valorem tax abatements for the 2013 and 2014 tax years.
4. The Taxing Authority agrees that it will not audit production based ad valorem
information reported by the Taxpayer on its Oil & Gas Declarations for the 2013 and
2014 tax years.
5. Any Tax Incentive Payments made under this Agreement that are determined not to he
legal under the laws of the State of Colorado or are determined to be part of the Weld
County Home Rule five percent (5%) property tax limitation or State of Colorado
property tax limitation, shall be repaid to the Taxing Authority.
6. This Agreement is not assignable.
7. Acceptance of any Tax Incentive Payment by Taxpayer constitutes agreement by both
parties to fund the Tax Incentive Payment for the tax year involved.
Claim for a Tax Incentive Payment must be submitted to Taxing Authority by Taxpayer
within 30 days of the signing of this Agreement.
9. All notices required or permitted under this Agreement shall be given in writing and shall
be effective when delivered in the case of hand delivery, when transmitted, in the case of
facsimile transmission or five days after mailing, when mailed, provided that mailed
notices shall be sent by certified mail, return receipt requested. Notices shall be sent to the
following addressees at the following addresses or facsimile numbers or to such other
addressees, addresses or facsimile numbers as a party may designate from time to time by
notice given pursuant to this paragraph:
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If to the Taxing Authority: Board of County Commissioners
Attn: Director of Finance and Administrative
P.O. Box 758
Greeley, CO 80632
Fax Number: (970) 352-0242
With a Copy to: Weld County Attorney
1 150 1 l`I' Avenue
Greeley, CO 80632
Fax Number: (970) 352-0242
If to Taxpayer: Noble Energy, Inc.
Attn: Vice President - Tax
1001 Noble Energy Way
Houston, TX 77070
Phone Number: (281) 872-3100
10. Each of the parties will execute and deliver such other instruments and documents and
will take all such other actions as the other party may reasonably request and as may
reasonably be required in order to effectuate the purpose of this Agreement and to carry
out its terms.
1 1. This Agreement may be executed in one or more counterparts, each of which shall be
deemed an original and all of which together shall constitute one and the same
instrument.
12. This Agreement constitutes the entire agreement between the parties and supersedes and
replaces all prior and contemporaneous agreements, representations, both written and
oral. between the parties with respect to the subject matter of this Agreement. No
variation of modification of this Agreement, and the waiver of the Agreement's
provisions or conditions, shall be binding unless made in writing and signed by duly
authorized officers of the Taxing Authority and Taxpayer. As permitted hereunder, this
Agreement shall be binding upon, and inure to the benefit of. the parties and their
respective successors and assigns. This Agreement shall be governed by and construed
according to the laws of the state of Colorado.
13. 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
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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.
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The above and foregoing Agreement was hereby approved on the/I day of , A.D.,
2015.
NOBLE ENERGY, INC: NOBLE ENERGY WYCO, LLC
By:
Am 'olleyj
Title:
Vice President - Tax
ATTEST: atge4., J‘t*cil BOARD OF COUNTY COMMISSIONERS
Weld County Clerk to the Boa WELD COUNTY, COLORADO
BY: I�wp� .. e _
-•� ty Clerk to the Boar•,� � } . �e� e Freeman, Pro—Tem
_ J
APPROVED AS TO 31:l
NDIfist.•�!% 'iVED AS TO `B T NCE:
Controller - :� ted Official or p rtment Head
�;t�ii x
APPROVED AS TO FORM: 1 A
Director of General Services
County Attorney
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.2,0/5- 027349 (1)
Weld Personal Property Tax Refund Incentive Worksheet EXHIBIT A
NOBLE ENERGY
Project Assumptions:
New Equipment'
Location Noble
Current Total Mil Levy Vanous
Weld Levy-15 80 mills
Depreciation'Personal Property 10 years
Assessment Factor: 29%of actual value
Depreciation Schedule 93% 85% 77% 68% 60% 5,% 43% 35% 28% 22%
Yr.1 Yr.2 Yr.3 Yr.4 Yr.5 Yr.6 Yr.7 Yr.8 Yr.9 Yr.10
Equipment Value 5105.905.327
Assessed Value 30,712.545 28,562.667 26 105663 23.648 660 20,884.530 18,427.527 15.663.398 13,206,394 10.749,391 8,599 513 6283,787
Tax Due 2,616.540 2.391,461 2,166,383 1.913,169 1,688,390 1.434,877 1209,798 984,719 787,776 575.639
Entities able to refund:
PP taxes to Weld County 451,290 412,469 373.649 329.976 291.155 247.482 208,661 169.840 135 872 99,284
PP!axes to Municipality N/A
90%Waiver 406,161 371.223 336.284 296,978 262,039 222,734 187,795 152,856 122 285 89.355
10 YR TOTAL ESTIMATED PP TAX REFUND: 52,447,710 Weld County Refund 90%Estimate
See reverse for additional program information,eligibility requirements and refund procedures.
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