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HomeMy WebLinkAbout20142107.tiff INTERGOVERNMENTAL AGREEMENT FOR PAYMENT OF BONUS AMOUNTS FOR CERTAIN REPORTED OIL AND GAS EMPLOYEES RESIDING WITHIN MUNICIPAL BOUNDARIES THIS INTERGOVERNMENTAL AGREEMENT is made and entered into effective as of the date set forth below, between the COUNTY OF WELD, a political subdivision of the State of Colorado, whose address is P. O. Box 758, 1150 O Street, Greeley, CO 80632, hereinafter referred to as "Weld County," and the TOWN OF GILCREST, a municipal corporation of the State of Colorado, with address of 304 8th Street, P.O. Box 128, Gilcrest, CO 80623, hereinafter referred to as "Municipality." WITNESSETH: WHEREAS, the Colorado Department of Local Affairs ("DOLA") distributes revenue derived from energy and mineral extraction statewide, with revenues coming from State Severance Tax receipts and Federal Mineral Lease non-bonus payments, and WHEREAS, on December 18, 2013, the Board of County Commissioners entered into an agreement with William Jerke to assist in ensuring that the maximum number of oil and gas employees residing within unincorporated Weld County and the various municipalities within Weld County are reported to the State of Colorado, and WHEREAS, generally, the terms of the agreement with Mr. Jerke call for the payment of a base amount of $20,000 plus for all reported oil and gas employees residing within Weld County over 4,353 (residing in unincorporated Weld County), a bonus amount of 5% of the State of Colorado Severance Tax Direct Distribution payment per employee (maximum $50), and 5% of the Federal Mineral Lease Distribution per employee (maximum $50), paid to Mr. Jerke upon the receipt of said State and Federal sums by the County (said distributions being collectively referred to herein as "Distributions"), and WHEREAS, Municipality recognizes that it will benefit financially from the payment of the $20,000 by County, because the work performed by Mr. Jerke will most likely result in increased Distributions to it by DOLA, and WHEREAS, Municipality offers, through this IGA, to share in the cost of the agreement with Mr. Jerke by paying a prorate share of the additional base of $ 10,000 (the increase of the base from $ 10,000 to $20,000) dependent upon the municipalities percentage of the 4,353 employees counted in 2013 (as shown on the attached Exhibit "A"), plus the bonus amount for all reported oil and gas employees residing within their municipality in 2014 over the number of employees reported for their municipality for 2013 , and WHEREAS, in accordance with Section 29- 1 -203, C.R.S., political subdivisions may cooperate or contract with one another to provide any function, service or facility lawfully authorized to each of the corporations or contracting entities. I � 2014-2107 Gil /n 7- w ,y WITNESSETH: NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein, the parties hereto agree as follows: 1. PAYMENT BY MUNICIPALITY OF BONUS AMOUNTS FOR CERTAIN REPORTED OIL AND GAS EMPLOYEES RESIDING WITHIN MUNICIPALITY'S BOUNDARIES: Municipality agrees to pay to County a prorate share of the additional base of $10,000 (the increase of the base from $10,000 to $20,000) dependent upon the municipalities percentage of the 4,353 employees counted in 2013 (as shown on the attached Exhibit "A"), plus the bonus amount for all reported oil and gas employees residing within their municipality in 2014 over the number of employees reported for their municipality for 2013. The term "bonus amount" shall be the amount of 5% of the State of Colorado severance tax direct distribution payment per employee (maximum $50), and 5% of the federal mineral lease distribution per employee (maximum $50). Payment shall be made by Municipality to County at the end of the quarter when the Distributions are received. 2. TERM: The term of this IGA shall be from January 1, 2014, to and until December 31, 2014. 3. ENTIRE AGREEMENT: This writing constitutes the entire IGA between the parties hereto with respect to the subject matter herein, and shall be binding upon said parties, their officers, employees, agents and assigns and shall inure to the benefit of the respective survivors, heirs, personal representatives, successors and assigns of said parties. 4. NO WAIVER OF IMMUNITY: No portion of this IGA shall be deemed to constitute a waiver of any immunities the parties or their officers or employees may possess, nor shall any portion of this IGA be deemed to have created a duty of care which did not previously exist with respect to any person not a party to this IGA. 5. NO THIRD PARTY BENEFICIARY ENFORCEMENT: It is expressly understood and agreed that the enforcement of the terms and conditions of this IGA, and all rights of action relating to such enforcement, shall be strictly reserved to the undersigned parties and nothing in this IGA shall give or allow any claim or right of action whatsoever by any other person not included in this IGA. It is the express intention of the undersigned parties that any entity other than the undersigned parties receiving services or benefits under this IGA shall be an incidental beneficiary only. Signed by the parties this/ I3ay of 0'a/it , 2014. ATTEST:dith4) ad.o% COUNTY OF WELD, a political Weld County Clerk to the Bo A s 11a ��nLdivision of the , 422S of Colorado By: lib ' 3 De uty Clerk to the Board n ,r ���� ouglas R: u emac er, Chairman 5 Board of County Commissioners of the OF.OIt .., County of Weld JUL 1 42014 O ATTEST: SEAL i TOWN OF GILCREST, a municipal ' • , • corporation of the State of Colorado COLOR.: I )111 By: ��� / � G'�ls� Tr: ReL.,rt A.alk-io ,n, Town Cle ` effNelson, M yor Lail Gderthai. , 2C/* a io7 • EXHIBIT"A" JERKE 2014 CONTRACT BASE ALLOCATION TO MUNICIPALITIES COLORADO EMPLOYEE RESIDENCY REPORT- NUMBER OF EMPLOYEES MUNCIPALITY Base Prorata Share of Total Share of 2013 Percent 10,000 110000 520,000 Base AULT 26 0.005973 $ - $ 59.73 $ 59.73 DACONO 42 0.009649 $ - $ 96.49 $ 96.49 EATON 87 0.019986 $ - $ 199.86 $ 199.86 ERIE 17 0.003905 $ - $ 39.05 $ 39.05 EVANS 577 0.132552 $ - $ 1,325.52 $ 1,325.52 FIRESTONE 57 0.013094 $ - $ 130.94 $ 130.94 FORT LUPTON 261 0.059959 $ - $ 599.59 $ 599.59 FREDERICK 63 0.014473 $ - $ 144.73 $ 144.73 GARDEN CITY 4 0.000919 $ - $ 9.19 $ 9.19 GILCREST 46 0.010567 $ - $ 105.67 $ 105.67 GREELEY 1569 0.360441 $ - $ 3,604.41 $ 3,604.41 GROVER 13 0.002986 $ - $ 29.86 $ 29.86 HUDSON 29 0.006662 $ - $ 66.62 $ 66.62 JOHNSTOWN 159 0.036527 $ - $ 365.27 $ 365.27 KEENSEBURG 23 0.005284 $ - $ 52.84 $ 52.84 KERSEY 65 0.014932 $ - $ 149.32 $ 149.32 LA SALLE 92 0.021135 $ - $ 211.35 $ 211.35 LOCHBUIE 75 0.017229 $ - $ 172.29 $ 172.29 MEAD 27 0.006203 $ - $ 62.03 $ 62.03 MILLIKEN 101 0.023202 $ - $ 232.02 $ 232.02 NUNN 6 0.001378 $ - $ 13.78 $ 13.78 PIERCE 17 0.003905 $ - S 39.05 $ 39.05 PLATTEVILLE 89 0.020446 $ - $ 204.46 $ 204.46 RAYMER 0 0 $ - $ - $ - SEVERANCE 36 0.00827 $ - $ 82.70 $ 82.70 WINDSOR 131 0.030094 $ - $ 300.94 $ 300.94 BRIGHTON 0 0 $ - $ - $ - NORTHGLEN 0 0 $ - $ - $ - LONGMONT 0 0 $ - $ - $ - BERTHOUD 0 0 $ - $ - $ - UNINCORPORATED WELD COUNTY 741 0.170227 $ 10,000.00 $ 1,702.27 $ 11,702.27 TOTAL 4353 1 $ 10,000.00 $ 10,000.00 $ 20,000.00 AGREEMENT FOR PROFESSIONAL SERVICES THIS AGREEMENT is made by and between the County of Weld, State of Colorado, whose address is 915 10th Street, Greeley, Colorado, 80631 ("County"),and William H.Jerke, whose address is 22911 WCR 39, LaSalle, Colorado 80645, ("Contractor"). 'WHEREAS, County desires to retain Contractor as an independent contractor to perform services as more particularly set forth below; and WHEREAS, Contractor has the time available to timely perform the services, and is willing to perform the services according to the terms of this Agreement. NOW THEREFORE,in consideration of the mutual promises and covenants contained herein, the parties hereto agree as follows: 1. Engagement of Contractor. County hereby retains Contractor, and Contractor hereby accepts engagement by County upon the terms and conditions set forth in this Agreement. 2. Term. The term of this Agreement shall be from January 1, 2014,through and until 11 September 1, 2014. 3. Services to be Performed. Contractor agrees to perform the following Services: a. Contractor shall solicit and encourage oil and gas service companies performing services for oil and gas operators working within Weld County during 2013 to report their employees' home addresses to those operators. The operators will then be encouraged by the Contractor to report such information, along with information regarding their own employees' home addresses, to the Colorado Department of Revenue,for 2014 reporting purposes. The number reported for 2013 was 4,353. Contractor shall have access to Weld County GIS and the Weld County Clerk to the Board records to accomplish his work in providing the Services contemplated herein. 4. Compensation. a Contractor shall be paid the sum of$20,000 for the base number of 4,353 oil and gas employees residing within Weld County,paid monthly on the 15th day of the month, for five months($4,000/month), starting in January, 2014. b. For all reported oil and gas employees' home addresses located within Weld County as recognized by the Colorado Department of Local Affairs over 4,353,a bonus amount of 5% of the State of Colorado Severance Tax Direct Distribution payment per employee(maximum$50), and 5%of the Federal 1 2013-3485 Mineral Lease Distribution per employee (maximum$50), paid to Contractor upon the receipt of said State and Federal sums by County. If,for any reason, the State does not pay the anticipated Severance Tax Direct Distribution, County will not be obligated to pay the State bonus to Contractor. c. County anticipates entering into intergovernmental agreements with municipalities located within Weld County to then receive a portion of the State and Federal distributions referred to in subsection b.,above. My amounts so received by County shall be retained by County and no amount from the receipt of such distributions shall be due and owing to Contractor. d, Contractor shall receive no compensation from County other than what is stated herein. 5. Additional Work. In the event the County shall require changes in the scope, character, or complexity of the work to be performed, and said changes cause an increase or decrease in the time required or the costs to the Contractor for performance, an equitable adjustment in fees and completion time shall be negotiated between the parties and this Agreement shall be modified accordingly by a supplemental Agreement. Any claims by the Contractor for adjustment hereunder must be made in writing prior to performance of any work covered in the anticipated supplemental Agreement. My change in work made without such prior supplemental Agreement shall be deemed covered in the compensation and time provisions of this Agreement 6. Independent Contractor. Contractor agrees that Contractor is an independent contractor and that neither Contractor nor Contractor's agents or employees are, or shall be deemed to be,agents or employees of the County for any purpose. Contractor shall have no authorization,express or implied, to bind the County to any agreement, liability, or understanding. The parties agree that Contractor will not become an employee of County, nor is Contractor entitled to any employee benefits from County as a result of the execution of this Agreement. 7. Warranty. Contractor warrants that the Services performed under this Agreement will be performed in a manner consistent with the professional standards governing such Services and the provisions of this Agreement. 8. Reports County Property. All reports and other tangible materials produced in connection with the performance of this Agreement, whether or not such materials are in completed form, shall at all times be considered the property of the County. Contractor shall not make use of such material for purposes other than in connection with this Agreement without prior written approval of County. 2 9, Insurance and Indemnification. Contractor shall defend and indemnify County, its officers and agents,from and against loss or liability arising from Contractor's acts, errors or omissions in seeking to perform its obligations under this Agreement. Contractor shall provide necessary workers' compensation insurance at Contractor's own cost and expense. 10. Termination. Either party may terminate this Agreement at any time without notice upon a material breach of the terms of this Agreement; however, in the event of early termination, Contractor shall be paid any amounts then due and owing as identified in Paragraph 4, above. 11. Non-Assignment. Contractor may not assign or transfer this Agreement, any interest therein or claim thereunder, without the prior written approval of County. 12. Time of Essence. Time is of the essence in each and all of the provisions of this Agreement. 13. Interruptions.Neither party to this Agreement shall be liable to the other for delays in delivery or failure to deliver or otherwise to perform any obligation under this Agreement,where such failure is due to any cause beyond its reasonable control, including but not limited to Acts of God, fires, strikes, war, flood, earthquakes or Governmental actions. 14. Notices. Any notice required to be given under this Agreement shall be in writing and shall be mailed or delivered to the other party at that party's address as stated above. 15. Compliance. This Agreement and the provision of services hereunder shall be subject to the laws of Colorado and be in accordance with the policies,procedures, and practices of County. 16. Non-Exclusive Agreement. This Agreement is nonexclusive and County may engage or use other contractors or persons to perform services of the same or similar nature. 17. Certification. Contractor certifies that Contractor is not an illegal immigrant,and further, Contractor represents, warrants, and agrees that it has verified that Contractor does not employ any illegal aliens. If it is discovered that Contractor is an illegal immigrant, employs illegal aliens or subcontracts with illegal aliens, County can terminate this Agreement and Contractor may be held liable for damages. 18. Entire Agreement/Modifications. This Agreement contains the entire agreement between the parties with respect to the subject matter contained in this Agreement. This instrument supersedes all prior negotiation,representation,and understanding or 3 agreements with respect to the subject matter contained in this Agreement. This Agreement may be changed or supplemented only by a written instrument signed by both parties. 19. Funding Contingency. No portion of this Agreement shall be deemed to create an obligation on the part of County to expend funds not otherwise appropriated or budgeted for, 20. No Conflict. No employee of Contractor nor any member of Contractor's family shall serve on a County Board, committee or hold any such position which either by rule, practice or action nominates,recommends, supervises Contractor's operations, or authorizes funding to Contractor. 21. Severability. If any term or condition of this Agreement shall be held to be invalid, illegal, or unenforceable, this Agreement shall be construed and enforced without such provision,to the extent that this Agreement is then capable of execution within the original intent of the parties. 22. Governmental Immunity. No portion of this Agreement shall be deemed to constitute a waiver of any immunities the parties or their officers or employees may possess. 23. No Third Party Beneficiary. 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 IN WITNESS WHEREOF,the parties have executed this Agreement as of the date and year written below. CON IRACTOR: William II. 7erke ATTEST: ~ a'^'-1-° ° `g' BOARD OF COUNTY CLERIC TO THE BOARD COMMISSIONERSOF WELD COUNTY By: fl&cia,C `' I /ij•� DEC 18 2013 Igb 0« - 3W5 TDIf'A' OF Gil crest//// s t COLORADO Leaning Toward the Future 304 8th Street •PO Box 128 •Gilerest, Colorado 80623 •(970) 737-2426 •(970) 737-2427—FAX July 2, 2014 ecell Weld County Attorney's Office Attn: Bob Choate ,U„ - 2074 g 1150 O Street Greeley, CO 80632 Bob, Please find enclosed two copies of the signed 2014 IGA for Payment of Bonus Amounts for Certain Reported Oil and Gas Employees Residing within Municipal Boundaries that was approved on January 13, 2014. Thank you for your help. Respectfully Submitted, GitS111Lt {jQ�s Gail Odenbaugh Town Clerk/Treasurer Enclosure Hello