HomeMy WebLinkAbout 18-10 Water CR with Sterling CorpRESOLUTION NO. 18-10
A RESOLUTION APPROVING A WATER CREDIT PURCHASE AGREEMENT BETWEEN
THE TOWN OF FIRESTONE AND STERLING CORPORATION
WHEREAS, Sterling Corporation ("Buyer") is successor to an Annexation Agreement
dated June 7, 1978 ("Annexation Agreement"), under which its predecessor agreed to dedicate
water shares to the Town of Firestone ("Firestone"); and
WHEREAS, under the Annexation Agreement, Buyer must fulfill its dedication requirement
by deeding Big Thompson water shares, unless by express resolution the Town agrees to accept
other shares in lieu thereof; and
WHEREAS, Firestone has entered into a lease with the City of Loveland which entitles
Firestone to receive up to 300 acre-feet from the Windy Gap Project, which can be delivered to
Firestone as a treated potable water supply; and
WHEREAS, Firestone has made these water supplies available to bidders pursuant to the
Firestone Municipal Water Credit Bidding Rules and Procedures ("Bidding Rules and Procedures")
as "Water Credits," which may be applied to fulfill a dedication of "water rights" and/or "shares"
requirement as outlined in the Firestone Municipal Code; and
WHEREAS, Buyer executed and returned to Firestone an Acknowledgement of Credit
Bidding Rules & Procedures, by which it agreed to be bound by the Bidding Rules and Procedures;
and
WHEREAS, Buyer placed a successful bid and was awarded the right to purchase thirty
(30) Water Credits from Firestone; and
WHEREAS, Firestone desires to accept the thirty (30) Water Credits in lieu of the Big
Thompson water shares required, which will provide thirty (30) Water Credits towards fulfillment
of Buyer's dedication requirements under the Annexation Agreement, as is authorized under said
Annexation Agreement; and
WHEREAS, pursuant to the Bidding Rules and Procedures, there has been proposed a
Water Credit Purchase Agreement ("Purchase Agreement") between the Buyer and Firestone,
providing for Buyer's purchase from Firestone thirty (30) Water Credits to be dedicated to Firestone
and applied to fulfillment of "water rights" and/or "shares" dedication requirements under the
Annexation Agreement, to the extent of such thirty (30) Water Credits; and
WHEREAS, the Board of Trustees has determined that the proposed Purchase Agreement is
in the best interests of the Town and desires by this Resolution to approve said Purchase Agreement
and authorize its execution.
NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF TRUSTEES OF THE
TOWN OF FIRESTONE, COLORADO:
Section 1. As successor to the Annexation Agreement dated June 7, 1978, Sterling
Corporation ("Buyer") is hereby authorized to fulfill its water shares dedication requirement by
purchasing from and dedicating to the Town thirty (30) Water Credits from Windy Gap Project in
accordance with the terms of the proposed Water Credit Purchase Agreement between the Town of
Firestone and Sterling Corporation. This authorization is limited to water dedication requirements
served by thirty (30) Water Credits, and Buyer and its successors shall remain obligated for
dedication of water shares for any additional demand.
Section 2. The proposed Water Credit Purchase Agreement ("Agreement") between the
Town of Firestone and Sterling Corporation providing for Buyer's purchase from Firestone thirty
(30) Water Credits, is hereby approved in essentially the same form as the copy of such Agreement
accompanying this Resolution.
Section 3. The Mayor or Mayor Pro Tem is hereby authorized to execute the
Agreement, except that each is hereby further granted the authority to negotiate and approve such
revisions to said Agreement as are determined necessary or desirable for the protection of the Town,
so long as the essential terms and conditions of the Agreement are not altered.
INTRODUCED, READ, and ADOPTED this � ` -day of r-e WI,t , 2018.
TOWN OF FIRESTONE, COLORADO
Paul Sorensen, Mayor
Attest:
alp V� Leah Vanarsdall, Town Clerk
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