HomeMy WebLinkAbout21-15 Third Amendment Water Credit Purchase Agmt Mortgage Consultants, LLC 01-13-2021RESOLUTION N0. 21-15
A RESOLUTION OF THE BOARD OF TRUSTEES OF THE TOWN OF
FIRESTONE, COLORADO, APPROVING THE THIRD AMENDMENT TO THE
WATER CREDIT PURCHASE AGREEMENT BETWEEN THE TOWN OF
FIRESTONE AND MORTGAGE CONSULTANTS, LLC
WHEREAS, Mortgage Consultants, LLC, ("Mortgage Consultants") pursuant to an
Annexation Agreement, agreed to dedicate water rights/shares to the Town of Firestone
("Firestone"), which water rights and or shares must be dedicated prior to the first recording of a
final plat, final subdivision or final development plan or receiving a building permit; and
WHEREAS, Firestone obtained water supplies and in accordance with its procedures
sought bids and Mortgage Consultants was the successful bidder and awarded the right to and
purchased 131 water credits to fulfill its dedication requirement; and
WHEREAS, Firestone in its sole discretion agreed to accept the water credits to fulfill
Mortgage Consultants dedication requirement and on February 18, 2018 the parties entered into a
Water Credit Purchase Agreement ("Agreement") which specified in part that the water credits if
not dedicated to Firestone by February 7, 2020, would expire and that the Agreement was not
assignable; and
WHEREAS, Mortgage Consultants advised Firestone that as a result of contractual
difficulties it would be unable to meet the February 7, 2020 dedication deadline but could meet
the deadline if it was extended for one year; and
WHEREAS, Firestone and Mortgage Consultants entered into the First Amendment of the
Agreement which in part, extended the Expiration Date to February 7, 2021; and
WHEREAS, Mortgage Consultants advised Firestone that it had entered into a contract to
sell certain property ("Property") described in the Annexation Agreement to Alberta Development
Partners LLC, ("Alberta") which contract was set to close after the February 7, 2021 Expiration
Date, which would result in forfeiture of Mortgage Consultants remaining 74.67 water credits and
any claim to proceeds or reimbursement and subsequent sale by Firestone of the forfeited water
credits; and
WHEREAS, Mortgage Consultants requested Firestone extend the Expiration Date to
(May 10, 2021); and
WHEREAS, Mortgage Consultants also requested that Firestone consent to an assignment
of the Agreement, as amended, to Alberta in connection with Alberta's purchase of the Property;
and
WHEREAS, Firestone consented to such requests which the parties memorialized in
entering into the Second Amendment to Water Credit Purchase Agreement; and
WHEREAS, Mortgage Consultants has therefore assigned the Agreement and the
remaining 74.67 water credits to Alberta; and
WHEREAS, Alberta to facilitate development of the Property requests that the Expiration
Date be extended from May 10, 2021 to February 7, 2022 and Firestone consents to such request
upon the condition that Alberta will not request an additional extension of the Expiration Date;
and
WHEREAS, Alberta further agrees to assume all benefits and burdens and be bound by the
terms and conditions of the Agreement, as amended.
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF TRUSTEES OF THE
TOWN OF FIRESTONE, COLORADO.
The Third Amendment to the Water Credit Purchase Agreement between the Town of
Firestone and Mortgage Consultants, LLC, is approved in substantially the same form as the
copy attached hereto and made a part of this resolution and the Mayor is authorized to execute
the Third Amendment on behalf of the Town.
INTRODUCED, READ AND ADOPTED this 1Q day of
ATTEST:
APPROVED AR TO
William P.