HomeMy WebLinkAbout 19-20 Godding Ditch Water Rights Purchase-SaleRESOLUTION NO. 19-20
A RESOLUTION APPROVING A WATER RIGHTS PURCHASE AND SALE
AGREEMENT FOR THE PURCHASE OF SHARES OF THE GODDING DITCH
COMPANY
WHEREAS, the Town of Firestone, acting by and through its Town of Firestone Water Activity
Enterprise, organized and existing as a "water activity enterprise" under C.R.S. 3745.1401, et
seq. ("Firestone"), owns and operates a potable water system and related facilities; and
WHEREAS, the Board of Trustees of Firestone, which is the governing body of the enterprise (the
"Board") finds and determines that it is in the best interest of Firestone and its citizens for Firestone
to pursue the purchase of additional water rights in order to expand Firestone's water resources;
and
WHEREAS, for such purpose, there has been proposed a water rights Purchase and Sale
Agreement with Hirschfeld Brothers, LLC, as seller for Firestone's acquisition of four (4) shares
of the Godding Ditch Company (the "Water Rights")
WHEREAS, the Board, by this Resolution, desires to approve the Purchase and Sale Agreement,
authorize its execution, and authorize other actions in connection with the Water Rights,
NOW, THERFORE, BE IT RESOLVED BY THE BOARD OF TRUSTEES OF THE TOWN OF
FIRESTONE, COLORADO
Section 1. The foregoing recitals are incorporated herein and made a part of this Resolution.
Section 2. The proposed Purchase and Sale Agreement between the Town of Firestone and
Hirschfeld Brothers, LLC (the "Agreement"), for Firestone's acquisition of the Water Rights, is
hereby approved in essentially the same form as the copy of such Agreement accompanying this
Resolution. The Board of Trustees hereby authorizes the purchase of the Water Rights in
accordance with the terms and conditions of the Agreement, which are incorporated herein by
reference. Firestone recognizes and accepts that a portion of the Water Rights are being donated
by Hirschfeld Brothers, LLC, as described in the Agreement. The total purchase price for that
portion of the Water Rights not donated pursuant to the Agreement shall be $120,000.00. Pursuant
to the Agreement, Firestone shall acquire all rights appurtenant to the Water Rights and title to the
Water Rights will be conveyed to Firestone free and clear of all liens, encumbrances, and leases
of any kind.
Section 3. The Board hereby authorizes the Mayor and Town Cleric to execute and deliver the
Agreement on behalf of Firestone; provided, however, that the Town Manager is hereby granted
the authority to negotiate and approve such pre -execution and post -execution revisions and
amendments to the Agreement as the Town Manager determines are necessary or desirable for the
protection or best interests of Firestone, so long as the essential terns and conditions of the
Agreement are not altered. The execution of the Agreement by the Mayor and Town Clerk shall
be conclusive evidence of the approval by the Board of the Agreement in accordance with the
terms hereof and thereof.
Section 4. The Town Manager and other officers, employees and agents of Firestone are further
authorized to execute and deliver all documents necessary in connection with the closing of the
purchase of the Water Rights, and to do all things necessary on behalf of Firestone to perform all
obligations of Firestone under the Agreement, including without limitation the execution and
delivery of all documents necessary or required by the ditch company in connection with closing.
Section 5. All actions heretofore taken (not inconsistent with the provisions of this Resolution) by
the Board or the officers or agents of the Board or Firestone relating to the Agreement are hereby
ratified, approved and confirmed.
Section 6. Firestone's payment for the Water Rights shall be made in cash, certified funds or Town
warrant, subject to the Agreement and to any necessary budgetary transfers or supplementary
budgets and appropriations in accordance with State law. Firestone's payment is subject to and
conditioned upon satisfaction of all conditions and contingencies in the Agreement and Firestone
retains the right to terminate the Agreement as provided therein in the event any conditions or
contingencies are not satisfied, including without limitation the loan funding contingency therein.
Section 7. Nothing in this resolution is intended to nor should be construed to create any multiple -
fiscal year direct or indirect debt of fiscal obligation for the Town of Firestone.
Section 8. If any article, section, paragraph, sentence, clause or phrase of this resolution is held to
be unconstitutional or invalid for any reason, such decision shall not affect the validity or
constitutionality of the remaining portions of this resolution. The Board of Trustees hereby
declares that it would have passed this resolution and each part or parts hereof irrespective of the
Fact that any one part or parts may be declared unconstitutional or invalid.
PASSED AND ADOPTED THIS DAY OF i��;� , 2019
TOWN OF FIl2ESTONE, COLORADO
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Leah Vanarsdall, Town Cleric