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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 FREDERICK, a municipal corporation of the
State of Colorado, with address of 401 Locust Street, P.O. Box 435, Frederick, CO 80530,
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.
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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 J an
l W day of ,j f , , 2014.
W ATTEST: / W ..ids;ei COUNTY OF WELD, a political
Weld County Clerk to the Board subdivision of the
������ State of Colorado
By: ,.i 1 Ili 4W Ar N ®�'� O' (Oki O\C&k(�,
De.uty Clerk to the B.!d O . .%P'oug asltademacher, Chairman
861 er lit.oard of County Commissioners of the
'r+� "I,( ounty of Weld JUN 18 2014
ATTEST: -- - = OWN OF FREDERICK, a municipal
atio o the State of Colorado
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Martinez, T wn C� �� %K' C ey, yor
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EXHIBIT"A"
JERKE 2014 CONTRACT BASE ALLOCATION TO MUNICIPALITIES
COLORADO EMPLOYEE RESIDENCY REPORT- NUMBER OF EMPLOYEES
MUNCIPALITY Base Prorata Share of Total Share of
201.3 Percent 10,000 110000 $20,000 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 $ - $ 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
tt
ea TOWN OF FREDERICK
e+ b o 401 Locust Street • P.O. Box 435 • Frederick, CO 80530-0435
oSi,,RAYf ~� Phone: (720) 382-5500 • Fax: (720) 382-5520
Website: www.frederickco.gov
May 1, 2014
Commissioner Doug Rademacher, Chairman
P.O. Box 758
Greeley, CO 80632
Re: IGA for Oil and Gas Employees Residing Within Frederick, CO
Dear Chairman Rademacher:
I hope this letter finds you well today and trust all is great in Weld County. I apologize for the delay,
but enclosed for your execution is the above referenced IGA with oversight provided by the Weld
County Board of Commissioners in cooperation with William Jerke.
We are hopeful and excited about the potential that this IGA agreement will result in an increase in
revenue for severance taxes. When you have a moment, if you could contact me I would appreciate
it. I would like to discuss this IGA and other events ongoing in our community. I can be reached at
303.550.8195.
Thank you for your continued support of Frederick and Weld County.
eg ds, RECEIVED
To Ca JUN 16 2014
Mayor WELD COUNTY
COMMISSIONERS
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