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HomeMy WebLinkAboutWater Board - Minutes - 04/18/1966. MINUTES OF A REGULAR MEETING OF THE WATER BOARD Held Monday, April 18, 1966, at 4:30 o'clock P.M. in the Council Chambers. Present: President Ward Fischer, Secretary John Bartel, Board Members Norman Evans, W. G. Wilkinson, Owen Moore, Fred Fait. Also present was City Manager Tom Coffey, Assistant Mayor Dr. Tom Bennett, City Engineer C. Adam Fischer, and Councilmen Dr. Karl Carson, Alvin Kruchten and Harry E. Troxell, Jr. Ward Fischer opened the meeting with another offer of 40 acre foot units of Big T. water at $125.00 per unit. After considerable discussion, it was unanimously recommended that the City Manager contact the other 4 cities, namely, Loveland, Greeley, Boulder and Longmont, to obtain their opinion on increasing the price of water. At the Water Board meeting held on April 7, 1966, motion was made and seconded to recommend the purchase of the 435 acre foot units from Mr. Robinett at $125.00 per unit. It was brought out that Mr. Robinett has an agree - meet with the City of Greeley that reads in part: Tn case the Shareholder wishes to remove the project water from the Greeley -Loveland District, then the Shareholder shall give the Citv the first opportunity to purchase. The price on said water shall be established at a price which the Shareholder has a written offer from a third part and is • willing to accept said offer from the third party. This opportunity shall be exercised by Resolution of the Greeley City Council within 15 days after receipt notice given by the Shareholder of his intention to sell the project water. • Failure of the City to pass said Resolution within 15 days of said notice of intent shall release the Shareholder. Motion was made by Fred Fait, seconded by Owen Moore, to reconsider this offer to purchase until the City Manager could compile and prepare a report on the feelings of the other four cities. The Board suggested that we try to hold Big T. water at $100.00 per unit. The No. 1 Priorties on the Big Thompson River offered by Mr. Rider of Loveland, were again brought before the Board. After considerable discussion, the Board recom- mended that the City Attorney, in cooperation with the Water Board, negotiate with Mr. Rider and other water users for an option for the purchase of direct flow decrees. • There being nothing further to discuss the Board adjourned. Secretary • L • MEMO: To Arthur E. March, Sr., City Attorney, from the Water Board, reference John R. Brown's 12 second feet of Poudre River water offer. At the meeting of the Water Board held May 17, 1966, it was recommended that the City Attorney be authorized to negotiate with Mr. Brown for this Poudre River water. The Board recommended a maximum price of $8,000.00 per second foot be offered and that this water can be exchanged at the point of diversion# that would be advantageous to the City. MINUTES OF A REGULAR MEETING OF THE WATER BOARD Held Tuesday, May 17, 1966, at 4:00 o'clock P.M. in the Council Chambers. • Present: President Ward Fischer, Secretary John Bartel, City Manager Tom Coffey and Board members Fred Feit, W. G. Wilkinson and Owen Moore. At the Council meeting of May 12, 19660 the City Attorney stated that he had an offer from Mr. John R. Brown consisting of 12 second feet of Poudre River water priority No. 14. This matter was referred to the Board for recommenda- tion as to price and need by the City. After considerable dis- cussion, the Board recommended that the City Attorney be auth- orized to negotiate for this water. President Ward Fischer stated he had attended a meeting in which the Bureau of Reclamation and the South Platt Conser- vancy District proposed building a dam to be called the Narrows • Reservoir on the South Platt river in the vicinity of Fort Morgan. This reservoir would store approximately 807,000 Acre. feet of water. It is the opinion of the Board that Fort Collins of dIpf0Sia�/ d� should be reco&zein the meetings call Pwith reference to this reservoir. //'' • Motion was made by Evans, seconded by Fait, that the Board recommend to the Council that the City of Fort Collins join the Poudre River Water Users Association, thereby becoming a part of this reservoir organization, as 0f76s,7•67. Mr. Ward Fischer stated he would be present at the next Council meeting to explain the detai4s and make the recommendation of joining this organization. All Board members received the following letter: April 28, 1966 TO: Tom Coffey, City Manager FROM: John Baudek, Administrative Assistant SUBJECT: Letter to other cities requesting a hold the line pur- chase price of Big Thompson water. Reference is made to ,your letter to other Big Thompson Water user cities which you encourage a hold the line purchase price of said water at $100.00 per acre foot. • Ben Cruce, City Manager of Greeley, called today in refer- ence to your letter. He stated that Greeley is very interested in holding the price at $100.00 per acre foot as requested on Big Thompson water purchases. However, Greeley has a share holders contract with the Greeley -Loveland water people. This contract covers 80010 of all the Greeley -Loveland company's water and says that If an owner of water covered under the contract is offered a price for his water, the City of Greeley has first choice of purchase at the offered price. This situation did arise last week in Greeley with the Great Western Sugar Company offering $110.00 per acre foot for 300 acre feet. Since this water was covered under Greeley's contract, the City of Greeley was requested to either purchase the water themselves, or turn down the purchase so that Great Western could buy the same. After some consideration, the Greeley City Council did pur- chase the water at $110.00; although, there was reluctance on the Council's part to pay this amount. This contractural arrangement does out Greeley in somewhat a different position than the other cities involved. In order to avoid any price increase, all cities should de- termine if water offered is not included in the water of the Greeley - Loveland Company and the City of Greeley share holders contract. If water covered by the contract was offered, it could cause com- petition between cities on an accompanying price increase. • This appears to be exactly what has happened in the • recent offer to sell Fort Collins some 325 acre feet of Big Thompson water at $125.00 per acre foot. Obviously, for a person or persons who wish to profiteer on the sale of water, getting the City of Fort Collins to offer $125.00 for water and then telling Greeley that they have been offered $125.00 would unjustly inflate water prices, cause unrealistic com- petition between cities, and provide the profiteer with a nice profit. In conclusion, Fort Collins must stick to it's $100.00 per acre foot if Possible, and double check on water owner- ship and its relation to Greeley's contract very carefully to avoid the complications mentioned above. Respectfully submitted, /s/John L. Baudek Administrative Assistant PS Mr. Cruce also said that if any water became available, he would direct it to Fort Collins for consideration. ct the (j 0Q W It was the concensus of opinionnthat we try to maintain the 0100.00 per acre foot price on Big Thompson • water. The following letter was presented to all members and to be concurred with Mr. Evans' views: MEMORANDUM TO: Ward Fischer, Chairman, Fort Collins Water Board May 12, 1966 FROM: Norman Evans, Board Member SUBJECT: Meeting with Five -Cities Committee on Water Coordination REMARKS: A committee meeting and dinner was held at the Imperial Hotel in Longmont on Thursday, May 5, 1966, hosted by the City of Longmont. Mayor Ralph Price acted as temporary chairman. Representatives from Boulder, Longmont, Loveland, Estes Park and Fort Collins attended the meeting. The City of Greeley declined to send representatives on the basis that the City 40 is not in position to seek additional water at this time. 0 Mr. Wilkinson and I represented the City of Fort Collins. • After some discussion of the Elliott Project, it was con- cluded that the committee should meet with Mr. Elliott at an early date to bring about a firm understanding of his propos- itions. A meeting at Loveland will be scheduled about May 20, which will include both Mr. Flliott and Mr. Bob Barkley of the Northern Colorado Water Conservancy District. 40 The committee elected MVor Price as the chairman to serve for an indefinite period. The City of Longmont will supply secre- tarial services for this committee. Discussion on price to be offered for Colorado Big Thompson water resulted in general agreement that $100.00 per acre foot would be the maximum offering price. Other topics were intro- duced but no definite decisions were reached. I assume a com- plete set of minutes from the meeting will be supplied to us by Mayor Price. The purpose of this memorandum is to inform you that the organ- izational meeting of this committee was held and that a meet- ing with Mr. Elliott is planned. There being nothing further to discuss, the Board adjourned. Secretary %