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HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 03/18/2014 - ITEMS RELATING TO THE BOXELDER CREEK WATERSHEDAgenda Item 20 Item # 20 Page 1 AGENDA ITEM SUMMARY March 18, 2014 City Council STAFF Ken Sampley, Stormwater/Floodplain Program Mgr SUBJECT Items Relating to the Boxelder Creek Watershed. EXECUTIVE SUMMARY A. Resolution 2014-026 Authorizing the Execution of an Intergovernmental Agreement with Larimer County, the Timnath Development Authority, the Town of Wellington, and the Boxelder Basin Regional Stormwater Authority Regarding Improvements to County Road 52. B. First Reading of Ordinance No. 047, 2014, Approving the Sixth Amendment to the Fort Collins-Timnath Intergovernmental Agreement Regarding Cooperation on Annexation, Growth Management, and Related Issues, to Update the Terms of Cost Sharing for Stormwater Improvements in the Boxelder Basin. The purpose of this item is to approve an Intergovernmental Agreement (IGA) between the City and Larimer County and the Town of Timnath to share equally in providing the necessary funds to the Boxelder Basin Regional Stormwater Authority (BBRSA) to pay the cost of the County Road 52 Project that is over and above the allocated Colorado Water Conservation Board (CWCB) loan proceeds and to amend the Fort Collins – Timnath Intergovernmental Agreement (IGA) by revising Article 7 to reflect updated stormwater projects and associated cost sharing. STAFF RECOMMENDATION Staff recommends adoption of the Ordinance on First Reading and the Resolution BACKGROUND / DISCUSSION The Boxelder Creek Watershed encompasses over 265 square miles and extends from just north of the Wyoming border to the Poudre River on the south. Several local governments have worked together since 2005 to identify ways to mitigate flood hazards within the area that is tributary to Boxelder Creek from County Road 70 north of Wellington south to where Boxelder Creek floodwaters join the Cache La Poudre River. The Boxelder Creek 100-Year floodplain impacts approximately 4,900 acres of land within the regional area. Due to the numerous split flows and diversions that occur, the potential for overtopping frequently used roads and the probability of the existing conveyance system to become blocked, there is the potential for loss of life and/or bodily injury during the 100-Year Flood. The communities of Fort Collins, Wellington, Timnath, and Larimer County all share a common goal in mitigating the flood hazards associated with Boxelder Creek. In August 2008, Fort Collins, Larimer County, Wellington and the City of Fort Collins entered into an intergovernmental agreement (IGA) to establish the Boxelder Basin Regional Stormwater Authority (BBRSA). The BBRSA was established to fund and implement the Boxelder Creek Regional Stormwater Master Plan Phase I regional stormwater projects listed below: Diversion of Coal Creek to Clark Reservoir Edson (East Side) Detention Reservoir Agenda Item 20 Item # 20 Page 2 Middle Boxelder Creek Stream Improvements Larimer and Weld Crossing Structure. Construction of the first BBRSA regional stormwater project (Diversion of Coal Creek to Clark Reservoir) was completed in 2011. In February 2009, Fort Collins and Timnath entered into an intergovernmental agreement (IGA) regarding Growth Management Areas (GMAs) for the two communities, associated issues authorizing the disposition of certain properties, and stormwater and floodplain issues associated with Boxelder Creek and the “Boxelder Creek Overflow Project.” There have been five (5) amendments to the IGA. Revisions to the BBRSA’s Stormwater Master Plan and the stormwater provisions of the Fort Collins/Timnath IGA are necessary in order to address the following considerations: 1. The original proposed location of the East Side Detention Facility (ESDF) could not provide the required detention and would result in the condemnation of homes. An extensive Siting Study was initiated in 2010. Ultimately the site adjacent to the existing Gray Lakes Reservoirs was selected as the best location from flood reduction, cost and constructability perspectives. 2. Locating the ESDF downstream of County Road 52 eliminated the need for the Middle Boxelder Creek Stream Improvements conceptually identified in the original stormwater master plan. 3. Relocation of the ESDF downstream of County Road 52 results in a reduction in the original benefits of a reduced (narrower) floodplain and shallower overtopping of County Roads 54 to 60. The design and construction of County Road 52 Improvements will offset the financial impacts associated with road and bridge infrastructure costs. 4. The Larimer and Weld Canal Crossing Structure (LWCCS) is needed to safely cross stormwater runoff over the canal. 5. It was determined that the ESDF could be enlarged in order to reduce downstream flows, allowing for the potential unblocking of two existing culverts beneath Interstate Highway 25. 6. Timnath entered into an IGA with the BBRSA to financially participate in the design and construction of the larger ESDF and LWCCS regional stormwater projects. 7. Fort Collins and Timnath agreed to amend their IGA to eliminate the original “Boxelder Creek Overflow Project” and instead jointly fund, design and construct the Boxelder Outfall Improvements Project on Boxelder Creek from Interstate Highway 25 downstream to Prospect Road and then to the Cache La Poudre River. 8. Upon completion of the ESDF, LWCCS, County Road 52 improvements and the unblocking of two existing culverts on Boxelder Creek beneath Interstate Highway 25, the Boxelder Creek Overflow 100-Year floodplain through Timnath is eliminated. Accordingly an updated plan for stormwater improvements was developed which consists of one set of projects to be designed and constructed by the BBRSA and a second set of projects to be funded, designed and constructed by Fort Collins and Timnath. The two sets of projects are together referred to as the Boxelder Creek Flood Mitigation Projects and are described below: BBRSA Projects (a) East Side Detention Facility (ESDF) -- An 1800 Acre-feet stormwater detention facility to be constructed on the east side of Interstate 25 adjacent to the Gray Lakes Reservoirs that includes an earthen embankment between County Road 50 and County Road 52, an un-gated 12’ x 8’ box culvert outfall, a reinforced spillway, and related appurtenances. Agenda Item 20 Item # 20 Page 3 (b) Larimer Weld Canal Crossing Structure (LWCCS) -- A defined weir on the south side of the Larimer Weld Canal at its crossing with Boxelder Creek crossing located approximately one mile south of ESDF that includes a lowered canal embankment fortified with grouted rip rap and related appurtenances. (c) County Road 52 Improvements (CR 52 Improvements) -- The installation of four 4’ x 20’ concrete box culverts under County Road 52, tree removal along the north side of the roadway, grading an area within the adjacent golf course north of County Road 52 and related appurtenances. Fort Collins / Timnath Projects (d) Lake Canal Crossing of Boxelder Creek -- A siphon and associated appurtenances to transport flows in the Lake Canal beneath Boxelder Creek just west of Interstate Highway 25. (e) Boxelder Creek Outfall and Prospect Road Improvements -- A side spill weir (split flow channel) and flood conveyance channel on Boxelder Creek upstream of Prospect Road along with six 12’ x 4’ concrete box culverts beneath Prospect Road west of Interstate Highway 25, associated utility relocations (i.e. electric, water, wastewater, gas and telecommunications), roadway restoration, and a flood conveyance channel south of Prospect Road to the Poudre River and associated appurtenances. (f) Boxelder Creek at Interstate Highway 25 -- Drainageway and channel improvements and grading adjacent to and upstream (east) of Interstate Highway 25 and the opening of two existing blocked culverts beneath Interstate Highway 25 A staff update on the BBRSA and associated projects on Boxelder Creek was presented at the January 28, 2014 City Council Work Session. FINANCIAL / ECONOMIC IMPACTS In light of the BBRSA Stormwater Master Plan revisions, an update of the estimated Benefit/Cost Ratio of the regional stormwater projects was completed to confirm the financial benefits. The table below uses information on damage losses from the 2006 Boxelder Creek Regional Stormwater Master Plan and compares the losses with the current estimated construction costs for the remaining BBRSA projects (East SDF, LWCCS, and CR52 Improvements). 1 Present Worth Damage Losses Estimated in 2006 Master Plan 10/30/2013 Boxelder Creek Re ach Potential Damages at Existing Conditions Potential Damages after construction of ESDF and LWCCS Resulting Benefits (Damage Reductions ) Middle Boxelder Creek (CR54 to I25) $ 9,990,993 $ 5,000,000 $ 4,990,993 Boxelder Overflow $ 9,007,028 $ - $ 9,007,028 Lower Boxelder Creek (I25 to Poudre) $ 2,015,535 $ 811,806 $ 1,203,729 Boxelder I 25 Split $ 10,224,807 $ - $ 10,224,80 7 Cooper Slough $ 27,344,409 $ 8,623,624 $ 18,720,78 5 Cache La Poudre Overflow $ 2,311,180 $ 220,493 $ 2,090,687 Totals $ 60,893,952 $ 14,655,923 $ 46,238,029 2 Current Construction Cost Estimate (ESDF, LWCCS& CR 52 Improvements) $ Agenda Item 20 Item # 20 Page 4 Review of the table shows an updated Benefit/Cost Ratio of 3.95. In most instances, a B/C ratio of 1.5 or 2 is considered very good. Such a high B/C ratio is very unusual and demonstrates the dramatic benefits that construction of the BBRSA projects has with regard to the reduction in damages from a 100-Year flood event. Summary – Fort Collins Benefits There are significant financial benefits and reductions in flood damage to properties located with the City of Fort Collins and its GMA as shown in the summary table below. Cooper Slough The BBRSA regional stormwater projects will eliminate the westerly Boxelder Creek overflow that extends south along the east side of Interstate Highway 25. The Cooper Slough will benefit by a dramatic reduction in 100-Year flood flows that currently cross beneath Interstate Highway 25 (I-25) in the Larimer and Weld Irrigation Canal and spill down the Cooper Slough Drainageway. Fort Collins saves $11.3 Million in reduced stormwater infrastructure costs on the Cooper Slough. Boxelder Creek The BBRSA regional stormwater projects will eliminate the westerly Boxelder Creek overflow that extends south along the east side of Interstate Highway 25. The ESDF facility will reduce the 100-Year Flood flows downstream. With Fort Collins and Timnath agreeing to jointly fund and construct improvements near and upstream of the Boxelder Creek crossing of Prospect Road, the two large box culverts at the crossing of Interstate 25 (I-25) and Boxelder Creek can be unplugged. As a result, there is an estimated $6 Million savings for roads within the Fort Collins GMA (County Roads 54, 52, 50, 48 and State Highway 14) and a $2.1 Million savings for stormwater improvements at Boxelder Creek and Prospect Road. County Road 52 IGA The current total cost estimate to construct the ESDF, LWCCS and CR 52 improvements is $11.75 million. Approximately $9 million of CWCB loans will be used towards the projects. An estimated $1.72 million of BBRSA funds and Timnath Development Authority (TDA) contributions will be received and applied towards the total project costs. That leaves a shortfall of $1.03 million. Larimer County, Timnath and Fort Collins all benefit from the construction of the BBRSA projects and have agreed to share equally in providing the funding needed to cover the shortfall. To allow for contingencies, the entities have agreed to share equally the additional costs up to a maximum of $0.5 million each (total of $1.5 million). The County Road 52 IGA (Exhibit A to Resolution 2014-026) outlines the specific provisions of this agreement. Agenda Item 20 Item # 20 Page 5 Sixth Amendment to the Fort Collins/Timnath IGA Fort Collins and Timnath agree and acknowledge that it is in the best interest of both parties to work cooperatively and in coordination with the BBRSA to design and construct projects along Boxelder Creek and its associated flow paths to mitigate the impacts of flooding for the mutual benefit of the parties as well as the region. Accordingly, they have agreed to construct the Fort Collins/Timnath projects identified previously in this memorandum. The total cost of these projects is currently estimated to be $4 million. Fort Collins and Timnath have agreed to share equally in the costs to complete the projects. As part of this agreement, Fort Collins will be able to use the remaining funds ($1.75 million) originally placed into escrow as part of the original IGA towards its share of the project funding. Fort Collins will need to contribute an additional amount of up to $250,000 to fully fund fifty percent (50%) of the total cost of the Fort Collins/Timnath Projects. The parties agree that the escrowed funds, together with the additional Fort Collins funds, are intended as a match to payments by Timnath, or the TDA on behalf of Timnath to complete the projects. ENVIRONMENTAL IMPACTS The BBRSA has already received Endangered Act Species (ESA) clearance for its projects and is working with the U.S. Army Corps of Engineers (USACE) to receive the required 404 Permit. In accordance with the language in the original Boxelder IGA, the location, size and impacts of any BBRSA or Fort Collins/Timnath stormwater improvements projects built on or in the vicinity of the Arapaho Bend Natural Area east of Interstate Highway 25 shall be minimized to the extent reasonably possible and that all construction activities and improvements shall be sensitive to the natural features of the affected property. Any area impacted by construction activities shall be restored to pre-construction natural conditions to the extent reasonably possible, using native vegetation. As a result of the relocation of the ESDF downstream, the Middle Boxelder Creek improvements were eliminated, reducing potential impacts on the section of Boxelder Creek from County Roads 48 to 54. As a result of the replacement of the Boxelder Overflow Project originally identified in the IGA with the proposed Boxelder Creek Flood Mitigation projects, there will be a reduction in environmental impacts to Boxelder Creek, including the Arapaho Bend Natural Area. The Boxelder Outfall Project will also complete all appropriate environmental permitting including the ESA Clearance and USACE 404 Permit. PUBLIC OUTREACH Information on the Boxelder Basin Regional Stormwater Authority and progress on its regional projects is presented monthly at the BBRSA Board of Directors meeting which is held at 4:00 PM the fourth Wednesday of each month at the Leeper Center, 3800 Wilson Avenue, Wellington, Colorado. The Board Meeting agendas and minutes along with relevant studies, mapping and other information are available for review at the following BBRSA website hyperlink: http://www.boxelderauthority.org/. In addition, the BBRSA maintains a mailing list of parties who have expressed interest in receiving information and regularly distributes Board Meeting agendas and materials. The BBRSA also publishes and distributes a quarterly newsletter which provides information and updates on the authority and its programs. Comprehensive updates on the BBRSA were presented at the recent public meetings listed below: January 28, 2014 City Council Work Session February 26, 2014 BBRSA Board of Directors Work Session. ATTACHMENTS 1. Boxelder Creek Watershed -- Project Map (PDF) 2. Council Work Session Summary, January 28, 2014 (PDF) 3. PowerPoint Presentation (PDF) EAST SIDE DETENTION FACILITY (ESDF) and COUNTY ROAD 52 IMPROVEMENTS LARIMER / WELD CANAL CROSSING STRUCTURE (LWCCS) BOXELDER CREEK AT I-25 LAKE CANAL CROSSING OF BOXELDER CREEK BOXELDER CREEK OUTFALL AND PROPSECT ROAD IMPROVEMENTS BOXELDER CREEK WATERSHED -- PROJECT MAP ATTACHMENT 1 ATTACHMENT 2 1 1 Items Relating to the Boxelder Creek Watershed City Council Meeting March 18, 2014 Kenneth C. Sampley, P.E. Stormwater and Floodplain Program Manager City of Fort Collins 2 Executive Summary The purpose of this item is to approve: A. County Road 52 Intergovernmental Agreement (IGA) between the City, Larimer County and Timnath B. Sixth Amendment to the Fort Collins - Timnath Intergovernmental Agreement (IGA) 2 3 BOXELDER CREEK WATERSHED _____ Project Map 4 Boxelder Basin Regional Stormwater Authority • January 28, 2014 Council Work Session Update • 2008 Intergovernmental Agreement (IGA) • Members  Fort Collins, Larimer County, and Wellington. • Timnath is a financial partner (Separate IGA with the BBRSA) Three remaining projects  $11.75 Million 1. East Side Detention Facility (ESDF) 2. Larimer & Weld Canal Crossing Structure (LWCCS) 3. County Road 52 Improvements (CR 52) • Colorado Water Conservation Board (CWCB) loans CR 52 IGA  Fort Collins / Larimer / Timnath to share equally in splitting additional costs for County Road 52 that exceeds CWCB loan funding BBRSA Background Three remaining projects  $11.75 Million 1. East Side Detention Facility (ESDF) 2. Larimer & Weld Canal Crossing Structure (LWCCS) 3. County Road 52 Improvements (CR 52) CR 52 IGA  Fort Collins / Larimer / Timnath to share equally in splitting additional costs for County Road 52 that exceeds CWCB loan funding 3 5 Sources * City of Fort Collins Selected Plan for Boxelder creek/Cooper Slough, ACE, April 2004 ** Boxelder Creek Regional Stormwater Master Plan, PBS&J, October 2006 *** Boxelder Creek Regional Stormwater Master Plan, PBS&J, October 2006 for County Roads 54, 52, 50, 48 and SH 14 (All are with the GMA) **** Construction cost estimate by Garney, December 2013 City of Fort Collins Benefits Location City of Fort Collins Master Plan Project Costs – without ESDF City of Fort Collins Master Plan Project Costs – with ESDF Savings with ESDF in place Cooper Slough at Mulberry $15,300,000* $4,000,000** $11,300,000 Boxelder Creek at Prospect Road $6,100,000** $4,000,000**** $2,100,000 Road Crossing Improvements on Boxelder creek $6,000,000*** $0 $6,000,000 Total $27,400,000 $8,000,000 $19,400,000 6 BBRSA Remaining Projects 4 7 COUNTY ROAD 52 IGA Key elements are: a) Est. $1.85M to improve County Road 52 b) Est. cost of ESDF & LWCCS & CR 52 projects exceeds available funding by approx. $1.029M c) Larimer County, Fort Collins and TDA will share equally (up to $0.5M each) to cover the shortfall. d) Larimer County will also approve the first IGA Amendment. 8 • Feb. 17, 2009 Intergovernmental Agreement (IGA) – Growth Management Areas (GMAs) – Disposition of certain properties – Boxelder Creek Floodplain Issues • Nov. 13, 2012 – BBRSA / Timnath IGA – Timnath (TDA) to contribute financially to BBRSA projects • Nov. 13, 2012 -- 4th Amendment to IGA – Revised Boxelder Creek Provisions and related funding Fort Collins / Timnath Background Sixth Amendment to Fort Collins / Timnath IGA Fort Collins and Timnath agree to jointly eliminate the original Boxelder Creek Overflow Project and jointly fund, design and construct the Fort Collins/Timnath Boxelder Creek Projects 5 9 Lake Canal Crossing of Boxelder Creek A siphon and related appurtenances to transport flows in the Lake Canal beneath Boxelder Creek just west of Interstate Highway 25. Boxelder Creek Outfall and Prospect Road Improvements A side spill weir (split flow channel) and flood conveyance channel on Boxelder Creek upstream of Prospect Road, six 12’ x 4’ concrete box culverts beneath Prospect Road, and a flood conveyance channel south of Prospect Road to the Poudre. Boxelder Creek at Interstate Highway 25 Drainageway and channel improvements and grading adjacent to and upstream (east) of Interstate Highway 25 and the opening of two existing blocked culverts beneath Interstate Highway 25 Fort Collins / Timnath Projects 10 Fort Collins Financial Benefits • Fort Collins saves approximately $4.1 Million: • $2.1 Million savings in total estimated project costs (from $6.1 Million to $4 Million). • $2.0 Million savings as a result of 50/50 cost share of project costs • $1.75 Million of City’s share will be freed-up escrow funds Fort Collins / Timnath Projects 6 11 SUMMARY The purpose of this item is to approve: A. County Road 52 Intergovernmental Agreement (IGA) between the City, Larimer County and Timnath B. Sixth Amendment to the Fort Collins - Timnath Intergovernmental Agreement (IGA) - 1 - RESOLUTION 2014-026 OF THE COUNCIL OF THE CITY OF FORT COLLINS AUTHORIZING THE EXECUTION OF AN INTERGOVERNMENTAL AGREEMENT WITH LARIMER COUNTY, THE TIMNATH DEVELOPMENT AUTHORITY, THE TOWN OF WELLINGTON, AND THE BOXELDER BASIN REGIONAL STORMWATER AUTHORITY REGARDING IMPROVEMENTS TO COUNTY ROAD 52 WHEREAS, on July 15, 2008, the City Council approved Resolution 2008-068, authorizing an intergovernmental agreement with Larimer County and the Town of Wellington to form the Boxelder Basin Regional Stormwater Authority (the “Authority”), to fund and implement the regional stormwater improvements outlined in the Boxelder Regional Stormwater Master Plan (the “Master Plan”); and WHEREAS, on August 20, 2008, the intergovernmental agreement to form the Authority (the “Agreement”) was finalized and signed by all parties, and the administration of the Authority was subsequently organized; and WHEREAS, since its organization, the Authority has completed the design and construction of the Coal Creek Flood Mitigation Project and has preliminarily designed the two remaining regional stormwater projects contemplated in the Master Plan; and WHEREAS, the members of the Authority have negotiated a First Amendment to the Agreement in order to move forward with the remaining projects, obtain related loans from the Colorado Water Conservation Board (“CWCB”), to be repaid with Authority stormwater fees collected from within the Authority’s service area, and update other provisions of the Agreement; and WHEREAS, the City Council has authorized the Mayor to sign the First Amendment to the Agreement by its adoption of Resolution 2013-049 on May 21, 2013; and WHEREAS, the Town Board of Wellington has also approved the First Amendment; and WHEREAS, in light of certain concerns identified by Larimer County related to the improvements to be constructed by the Authority, the City, Larimer County, the Timnath Development Authority, the Town of Wellington and the Authority (collectively the “Parties”) have negotiated an intergovernmental agreement providing for shared funding of the costs of certain improvements to County Road 52, as set forth in the Intergovernmental Agreement for the Larimer County Road 52 Project (the “County Road 52 Agreement”); and WHEREAS, pursuant to C.R.S. §29-1-203(1), the Parties are authorized to cooperate or contract with one another to provide any function, service or facility lawfully authorized to each of them; and WHEREAS, Article II, Section 16 of the Charter of the City of Fort Collins additionally provides that the City Council may, by resolution or ordinance, enter into contracts with other - 2 - governmental bodies to furnish governmental services and make charges for such services, or enter into cooperative or joint activities with other governmental bodies; and WHEREAS, in light of the benefits to the City of the work to be completed pursuant to the First Amendment to the Agreement and the County Road 52 Agreement, the City Council desires to authorize the signing and implementation of said County Road 52 Agreement. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That the City Council hereby finds that the approval of the County Road 52 Agreement is in the best interests of the City in order to facilitate the completion of the Master Plan improvements and provide for the fulfillment by the Authority of its intended purposes and objectives for stormwater improvements in the Boxelder Basin. Section 2. That the City Council hereby approves the County Road 52 Agreement and authorizes and directs the Mayor to execute the County Road 52 Agreement on behalf of the City in substantially the form attached hereto as Exhibit “A,” together with such additional or modified terms and conditions as the City Manager, in consultation with the City Attorney, determines to be necessary and appropriate to protect the interests of the City and advance the purposes set forth in this Resolution. Passed and adopted at a regular meeting of the Council of the City of Fort Collins this 18th day of March, A.D. 2014. _________________________________ Mayor ATTEST: _____________________________ City Clerk Page 1 of 12 INTERGOVERNMENTAL AGREEMENT FOR THE LARIMER COUNTY ROAD 52 PROJECT THIS INTERGOVERNMENTAL AGREEMENT (the “Agreement”) is effective this ____ day of ________, 2014, by and among the BOARD OF COMMISSIONERS OF LARIMER COUNTY, COLORADO, (hereinafter referred to as the “County”), the CITY OF FORT COLLINS, COLORADO, a municipal corporation (hereinafter referred to as the “City”), the TIMNATH DEVELOPMENT AUTHORITY, COLORADO, an urban renewal authority (hereinafter referred to as the “TDA”), the TOWN OF WELLINGTON, COLORADO, a municipal corporation (hereinafter referred to as “Wellington”) and the BOXELDER BASIN REGIONAL STORMWATER AUTHORITY, a Colorado regional stormwater authority (hereinafter referred to as the “Authority”), (collectively hereinafter referred to as the “Parties”). RECITALS WHEREAS, the Authority, pursuant to its responsibilities set forth in the Intergovernmental Agreement for Stormwater Cooperation and Management dated August 20, 2008, among the County, the City, and Wellington, has developed a plan for stormwater improvement facilities to significantly reduce the 100 year stormwater runoff within the Boxelder Creek Drainage Basin which are the East Side Detention Facility (hereinafter referred to as the “ESDF”), and the Larimer and Weld Canal Crossing Structure (hereinafter referred to as the “LWCCS”), (hereinafter collectively referred to as the “two Projects”); and WHEREAS, the Authority and the TDA entered into an Intergovernmental Agreement Regarding Cost Sharing for Boxelder Basin Stormwater Mitigation Improvements effective November 15, 2012, which provided that the TDA is responsible for a share of the costs of the two Projects; and WHEREAS, the Authority has done preliminary design for certain improvements to address stormwater flows over Larimer County Road 52 (“Road 52”), due to the siting of the ESDF south of Road 52 (the “County Road 52 Project”); and WHEREAS, the County, the City, and the TDA (hereinafter collectively referred to as the “Participating Entities”), have determined that it is appropriate for the Participating Entities to share a portion of the costs of the County Road 52 Project; and WHEREAS, the current estimated cost of the ESDF is $8,761,000; and WHEREAS, the current estimated cost of the LWCCS is $1,139,000; and WHEREAS, the Authority has received approval for loans with the Colorado Water Conservation Board (“CWCB”) totaling $8,181,000, ($8,100,000 for ESDF and LWCCS and $81,000 for the CWCB’s 1% loan service fee), the proceeds of which will be used to finance a portion of the costs of the ESDF and the LWCCS; and Page 2 of 12 WHEREAS, the Authority and TDA will contribute revenue and participating funds during the design and construction of ESDF and LWCCS such that the final total loan principal from both loans for the ESDF and LWCCS is estimated at $8,181,000, ($8,100,000 for ESDF and LWCCS and $81,000 for the CWCB’s 1% loan service fee); and WHEREAS, the Authority has determined, through preliminary design, that the estimated cost of the County Road 52 Project is $1,848,274; and WHEREAS, on January 27, 2014, the Authority received approval from the CWCB for a third loan in the amount not to exceed $818,100, ($810,000 for the County Road 52 project and $8,100 for CWCB’s 1% loan service fee); and WHEREAS, the total proceeds from the CWCB loans shall be allocated $7,100,000 to the ESDF, $1,000,0000 to LWCCS, and $810,000 to the County Road 52 Project, with $$89,100 payable to the CWCB as a 1% loan origination fee for a total CWCB loan of up to $8,999,100; and WHEREAS, the Participating Entities have agreed to share equally in providing the necessary funds to the Authority to pay the cost of the County Road 52 Project over and above the $$818,100 ($810,000 for the County Road 52 project and $8,100 for CWCB’s 1% loan service fee) of the CWCB loan proceeds allocated to the County Road 52 Project; and WHEREAS, the Parties wish to set forth the terms and conditions of the payment of the Additional Funding for the County Road 52 Project pursuant to the terms and conditions of this Agreement; and WHEREAS, the Participating Entities and the Authority have agreed that Wellington, a Member of the Authority, shall not be responsible for the payment of the Additional Funding; and WHEREAS, the City, the County, and Wellington are parties to that certain Intergovernmental Agreement for Stormwater Cooperation and Management dated August 20, 2008 (the “Authority Agreement”), and the City and Wellington have approved and executed the First Amendment to Intergovernmental Agreement for Stormwater Cooperation and Management (the “First Amendment”); however, the County has not approved and executed the First Amendment. NOW, THEREFORE, in consideration of the mutual covenants contained herein and the above recitals which are incorporated herein, and other good and valuable consideration, the receipt and adequacy of which is hereby acknowledged, the Parties agree as follows: Page 3 of 12 ARTICLE I DEFINITIONS Definitions. In this Agreement, capitalized terms not otherwise defined shall have the meanings respectively assigned thereto in the Recitals to this Agreement or as provided in this Section 1, unless the context clearly requires a different meaning: “Members” shall mean the entities referred to as Members in the Intergovernmental Agreement for Stormwater Cooperation and Management dated August 20, 2008. “Participating Entities” shall mean the County, the City, and the TDA. “Boxelder Basin Regional Stormwater Authority” or “Authority” shall mean the regional stormwater authority formed by agreement of the Board of Commissioners of Larimer County, Colorado, City of Fort Collins, Colorado, and the Town of Wellington, Colorado pursuant to the Authority Agreement. “East Side Detention Facility” or “ESDF” shall mean that particular stormwater detention facility consisting of an earthen embankment (dam), an outlet, and spillway meeting State Engineer requirements to create detention and storage upstream of Larimer County Road 50, and south of County Road 52 and the work required to design, engineer, and construct the same, as described in the First Amendment. “Larimer and Weld Canal Crossing Structure” or “LWCCS” shall mean construction of the side spill weir crossing of the Larimer and Weld Canal to allow Boxelder Creek storm runoff to continue downstream, as described in the First Amendment. “County Road 52 Project” shall mean the improvements to County Road 52 and surrounding area to address estimated overtopping of County Road 52 due to a 100-year stormwater event as more fully described on “Exhibit A” and depicted on “Exhibit B” to this Agreement, attached hereto and incorporated herein by reference. “Additional Funding” shall mean the remaining cost to the Authority of the County Road 52 Project in excess of the CWCB loan allocation of $818,100 ($810,000 for the County Road 52 project and $8,100 for CWCB’s 1% loan service fee) attributable to the cost of the County Road 52 Project. This excess cost is currently estimated to be $1,038,274 and shall not exceed $1,500,000. Page 4 of 12 ARTICLE 2 COUNTY ROAD 52 PROJECT 2.1 County Road 52 Project. The Parties agree and hereby acknowledge that it is in the best interest of the Parties to work cooperatively to fund the design and construction of the County Road 52 Project as set forth in this Agreement. 2.2 Design Engineering. The Authority has conducted preliminary design engineering for the County Road 52 Project. The Authority shall proceed to final design of the County Road 52 Project. 2.3 CWCB Financing. The Parties ratify the application and award of the $818,100 ($810,000 for the County Road 52 project and $8,100 for CWCB’s 1% loan service fee) loan from the CWCB to provide partial funding for the County Road 52 Project. 2.4 Additional Funding. The Participating Entities agree to each pay one-third (1/3) of the Additional Funding not to exceed a maximum contribution by each of $500,000. The Participating Entities and the Authority agree that Wellington shall have no responsibility to pay any portion of the Additional Funding. The Authority shall invoice each individual Participating Entity for its share of Additional Funding. Payments under this Agreement shall be due within 45 days of receipt of an invoice by the Participating Entity. 2.5 Pledged Revenues. The Authority intends to pledge the funds received from the Participating Entities pursuant to Section 2.4 above as collateral for the partial repayment of the CWCB loan. The Participating Entities agree to approve and execute any documents required by the Colorado Water Conservation Board for said funds to be used as collateral for partial repayment of the loan and to comply with all requirements of the CWCB, including execution of any security interest agreement associated with such funds, as may be required, provided that any such documents shall be consistent with the terms of this Agreement and the Authority Agreement as amended. 2.6 County Road 52 Project Accounting. The Authority shall account separately for all costs of the County Road 52 Project beginning November 1, 2013, through completion of the County Road 52 Project for the accurate determination of the Additional Funding amount. 2.7 Redistribution of Borrowed Funds. If, at the time of finalization of the amount of the CWCB funding for the ESDF and LWCCS Projects is less than the allocated amount of $7,100,000 to the ESDF and $1,000,000 to LWCCS, the Parties agree that the remaining amount of loan proceeds above said allocation shall be used by the Authority, subject to approval of the CWCB Board, to reduce the amount of the Additional Funding. 2.8 ESDF and LWCCS Excess Costs. The Participating Entities and Wellington agree that to the extent the actual combined costs for the ESDF and LWCCS exceed $9,000,000, Wellington will pay its share of the additional costs pursuant to the terms of the Page 5 of 12 Intergovernmental Agreement Regarding Cost Sharing for Boxelder Basin Stormwater Mitigation Improvements. ARTICLE 3 TARGETED TIMELINE Attached hereto as “Exhibit C” and incorporated herein by this reference, is the anticipated timeline for completion of the various components of the ESDF, the LWCCS, and the County Road 52 Project. The parties understand and agree that completion of the individual components of the timeline are subject to change, including extension thereof, due to factors beyond the control of and unforeseen by the parties at this time. Unforeseen factors include, but are not limited to: (a) unforeseeable design and/or engineering factors, which are not caused by acts or omissions of the Authority, and which delay the ability of the Authority to design and engineer the Projects or any portion thereof; (b) unforeseeable regulatory issues, which are not caused by acts or omissions of the Authority, with any federal, state or local government agency having jurisdiction over the Projects or any part thereof, including, but not limited to, 404 permit, State Engineers approval and FEMA approval of CLOMR; (c) unforeseeable cause(s) beyond the control of the Authority including, but not limited to, acts of God, national emergencies, or other incidents beyond the control and not due to the fault of the Authority; and (d) unforeseeable issues in the acquisition of appropriate land, easements, and/or right-of- ways to allow the Authority to construct the Projects which are not caused by acts or omissions of the Authority. ARTICLE 4 CONTINGENCY The obligation of the Authority to finalize the design and construct the County Road 52 Project shall be specifically contingent upon the execution of the First Amendment to Intergovernmental Agreement for Stormwater Cooperation and Management by Larimer County. Page 6 of 12 ARTICLE 5 MISCELLANEOUS PROVISIONS 5.1. Amendments. This Agreement may only be amended, changed, modified or altered in writing, signed by all parties hereto. 5.2. Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of Colorado. 5.3. Jointly Drafted; Rules of Construction. The parties hereto agree that this Agreement was jointly drafted, and, therefore, waive the application of any law, regulation, holding or rule of construction providing that ambiguities in an agreement or other document will be construed against the party drafting such agreement or document. 5.4. Defined Terms. Capitalized terms used in this Agreement but not otherwise defined herein shall have the meanings set forth in the Master Plan. [The Remainder of Page Intentionally Left Blank. Signature Page Follows] Page 7 of 12 IN WITNESS WHEREOF, the parties have executed this Agreement the day and year first above written. CITY OF FORT COLLINS By: ______________________________ Karen Weitkunat, Mayor ATTEST: ________________________ City Clerk BOARD OF COUNTY COMMISSIONERS LARIMER COUNTY, COLORADO By: ______________________________ Chairman ATTEST: ________________________ Clerk, Board of Commissioners Page 8 of 12 THE TIMNATH DEVELOPMENT AUTHORITY By: ______________________________ Chairperson, Board of Commissioners ATTEST: ________________________ Clerk, Board of Commissioners THE TOWN OF WELLINGTON By: ______________________________ Mayor ATTEST: ________________________ Town Clerk THE BOXELDER BASIN REGIONAL STORMWATER AUTHORITY By: ______________________________ President Page 9 of 12 EXHIBIT A County Road 52 Improvements and Grading The agreed to improvements include installation of four 4X20 box culverts including headwall and wing walls under County Road 52 as depicted in Exhibit B. These improvements include asphalt pavement removal and replacement to the existing profile and cross-section of the roadway and the required guardrail. Grading outside the roadway will include regrading of an area north of the roadway within the Mountain Vista Golf Course as depicted in Exhibit B. This regrading will consist of regrading existing golf fairway, tree removal and replacement sod. It should be noted that the design and grading depicted in Exhibit B is preliminary and subject to change during final design, review comments and negotiations with Golf Course Owner. Page 10 of 12 Exhibit B-1 Page 11 of 12 EXHIBIT B-2 Page 12 of 12 EXHIBIT C Targeted Schedule Dates for CWCB Loan Application and Construction of Projects Review and Approval of CR52 IGA Agreement and IGA Amendment No 1. March 31, 2014 Review of CWCB Loan Contracts March 31–April 15, 2014 Submittal of Signed CWCB Loan Contracts April 15, 2014 Final Execution of CWCB Loan Contracts by State Controller May 15, 2014 Targeted Bidding for ESDF, LWCCS and County Road 52 Improvements August, 2014 Acquisition or Possession of Land and Availability of CWCB Loan Funds October 1, 2014 Award Construction Contract(s) December 15, 2014 Additional Funding due from Participating Entities (Twenty (20) days prior to award of contract(s) for Projects Construction ESDF, LWCCS, CR 52 Improvements & Grading January, 2015 to August, 2015 Targeted Substantial Completion July 15, 2015 Project Review and Finalization of CWCB Loans July 13 – July 24, 2015 - 1 - ORDINANCE NO. 047, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS APPROVING THE SIXTH AMENDMENT TO THE FORT COLLINS-TIMNATH INTERGOVERNMENTAL AGREEMENT REGARDING COOPERATION ON ANNEXATION, GROWTH MANAGEMENT, AND RELATED ISSUES, TO UPDATE THE TERMS OF COST SHARING FOR STORMWATER IMPROVEMENTS IN THE BOXELDER BASIN WHEREAS, on February 17, 2009, Timnath and Fort Collins entered into an intergovernmental agreement relating to annexation, growth management and related issues, which agreement resolved certain differences that had arisen between the parties regarding a variety of planning and growth management issues (the “Intergovernmental Agreement”); and WHEREAS, on March 3, 2010, the parties executed a First Amendment to Intergovernmental Agreement which extended the periods of time within which Fort Collins was to amend the Fort Collins Growth Management Area (“FCGMA”) and Timnath was to provide written notice to Fort Collins of its intent to exercise its option to purchase the Vangbo Property, as those terms are defined in the Intergovernmental Agreement; and WHEREAS, on February 2, 2011, the parties executed a Second Amendment to Intergovernmental Agreement, which extended the period of time within which Fort Collins was to amend the FCGMA; and WHEREAS, on February 21, 2012, the parties executed a Third Amendment to Intergovernmental Agreement, which extended until February 12, 2013, the period of time within which both parties will amend the boundaries of their growth management areas; and WHEREAS, the parties have determined that development of the Boxelder Overflow Project originally contemplated by Timnath as described in the Intergovernmental Agreement would be neither feasible nor desirable, and have further identified a mutually beneficial alternative approach to address flood impacts in the Boxelder Creek Basin as it impacts Timnath and Fort Collins, referred to as the Boxelder Creek Flood Mitigation Projects; and WHEREAS, on November 13, 2012, the parties executed a Fourth Amendment to Intergovernmental Agreement to move forward cooperatively to further investigate, conceptually plan and preliminarily design the Boxelder Creek Flood Mitigation Projects in coordination with the Boxelder Basin Regional Stormwater Authority (BBRSA), and the parties agreed to the use of a portion of the funds previously paid into an escrow account by Fort Collins in accordance with Article 7 of the Intergovernmental Agreement to match $250,000 in funding from Timnath for related planning and design; and WHEREAS, on February 5, 2013, the parties executed a Fifth Amendment to Intergovernmental Agreement, which extended the period of time within which both parties will amend the boundaries of their growth management areas; and - 2 - WHEREAS, since the date of the Fourth Amendment, the parties have provided a total of $500,000 in funds for design and engineering work for identified project components to be carried out under the direction of BBRSA, in accordance with the terms of the Fourth Amendment; and WHEREAS, in light of the design and engineering work so completed, and the ongoing discussion and consideration of options for mutually beneficial stormwater management approaches related to the mutual purposes of the parties, the parties have now identified updated projects of mutual benefit and have developed an agreed-upon approach to the completion of additional improvements; and WHEREAS, accordingly, the parties have negotiated a Sixth Amendment to the Intergovernmental Agreement Regarding Cooperation on Annexation, Growth Management and Related Issues, attached hereto as Exhibit “A”, and incorporated herein by this reference (the “Sixth Amendment”) so as to clarify and document their intentions and mutual rights and responsibilities with respect to the Boxelder Creek Flood Mitigation Projects; and WHEREAS, pursuant to C.R.S. §29-1-203(1), the City and Timnath are authorized to cooperate or contract with one another to provide any function, service or facility lawfully authorized to each of them; and WHEREAS, Article II, Section 16 of the Charter of the City of Fort Collins additionally provides that the City Council may, by resolution or ordinance, enter into contracts with other governmental bodies to furnish governmental services and make charges for such services, or enter into cooperative or joint activities with other governmental bodies; and WHEREAS, in light of the benefits to the City of the work to be completed pursuant to the Sixth Amendment, the City Council desires to authorize the signing and implementation of said Amendment. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That the City Council hereby finds and determines that the cooperative funding of the Boxelder Creek Flood Mitigation Projects as described in the Sixth Amendment will benefit and advance the interests of the City Stormwater Utility and City Stormwater ratepayers. Section 2. That the Mayor is hereby authorized to enter into the Sixth Amendment in substantially the form attached hereto as Exhibit “A”, with such additional terms and conditions as the City Manager, in consultation with the City Attorney, determines to be necessary and appropriate to protect the interests of the City or effectuate the purposes of this Ordinance. - 3 - Introduced, considered favorably on first reading, and ordered published this 18th day of March, A.D. 2014, and to be presented for final passage on the 1st day of April, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Passed and adopted on final reading on the 1st day of April, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Page 1 of 9 SIXTH AMENDMENT TO INTERGOVERNMENTAL AGREEMENT (Regarding Cooperation on Annexation, Growth Management and Related Issues) THIS SIXTH AMENDMENT TO INTERGOVERNMENTAL AGREEMENT (“Amendment”) is made and entered into this ____ day of March, 2014, by and between THE TOWN OF TIMNATH, COLORADO, a Colorado home rule town (hereinafter referred to as “Timnath”), and THE CITY OF FORT COLLINS, COLORADO, a Colorado home rule municipal corporation (hereinafter referred to as “Fort Collins”). RECITALS WHEREAS, on February 17, 2009, Timnath and Fort Collins entered into an intergovernmental agreement relating to annexation, growth management and related issues, which agreement resolved certain differences that had arisen between the parties regarding a variety of planning and growth management issues (the “Intergovernmental Agreement”); and WHEREAS, on March 3, 2010, the parties executed a First Amendment to Intergovernmental Agreement which extended the periods of time within which Fort Collins was to amend the Fort Collins Growth Management Area(“FCGMA”) and Timnath was to provide written notice to Fort Collins of its intent to exercise its option to purchase the Vangbo Property, as those terms are defined in the Intergovernmental Agreement; and WHEREAS, on February 2, 2011, the parties executed a Second Amendment to Intergovernmental Agreement, which extended the period of time within which Fort Collins was to amend the FCGMA; and WHEREAS, on February 21, 2012, the parties executed a Third Amendment to Intergovernmental Agreement, which extended until February 12, 2013, the period of time within which both parties will amend the boundaries of their growth management areas; and WHEREAS, the parties have determined that development of the Boxelder Overflow Project originally contemplated by Timnath as described in the Intergovernmental Agreement would be neither feasible nor desirable, and have further identified a mutually beneficial alternative approach to address flood impacts in the Boxelder Creek Basin as it impacts Timnath and Fort Collins, referred to as the Boxelder Creek Flood Mitigation Projects; and WHEREAS, on November 13, 2012, the parties executed a Fourth Amendment to Intergovernmental Agreement to move forward cooperatively to further investigate, conceptually plan and preliminarily design the Boxelder Creek Flood Mitigation Projects in coordination with the Boxelder Basin Regional Stormwater Authority (BBRSA), and the parties agreed to the use Page 2 of 9 of a portion of the funds previously paid into an escrow account by Fort Collins in accordance with Article 7 of the Intergovernmental Agreement to match $250,000 in funding from Timnath for related planning and design; and WHEREAS, on February 5, 2013, the parties executed a Fifth Amendment to Intergovernmental Agreement, which extended the period of time within which both parties will amend the boundaries of their growth management areas; and WHEREAS, since the date of the Fourth Amendment, the parties have provided a total of $500,000 in funds for design and engineering work for identified project components to be carried out under the direction of BBRSA, in accordance with the terms of the Fourth Amendment; and WHEREAS, in light of the design and engineering work so completed, and the ongoing discussion and consideration of options for mutually beneficial stormwater management approaches related to the mutual purposes of the parties, the parties have now identified updated projects of mutual benefit and have developed an agreed-upon approach to the completion of additional improvements; and WHEREAS, accordingly, the parties are entering into this Sixth Amendment to Intergovernmental Agreement so as to clarify and document their intentions and mutual rights and responsibilities with respect to the Boxelder Creek Flood Mitigation Projects. NOW, THEREFORE, in consideration of the mutual promises of the parties and other good and valuable consideration, the receipt and adequacy of which is hereby acknowledged, the parties agree as follows: 1. Article 7 Superseded and Replaced. Article 7 of the Intergovernmental Agreement, as adopted in the Fourth Amendment, is hereby deleted and replaced in its entirety with the following: ARTICLE 7 BOXELDER CREEK FLOOD MITIGATION PROJECTS 7.1 Escrowed Funds. As originally agreed by the parties, Fort Collins paid the total amount of Two Million Dollars ($2,000,000) into escrow in specified installments, originally intended for use for reimbursement of Timnath for up to fifty percent of Timnath’s incurred costs in the design, engineering, right-of-way acquisition and construction of the Boxelder Overflow Project. Funds in the amount of Two Hundred and Fifty Thousand Dollars ($250,000) have been withdrawn from escrow and applied by the parties to certain purposes consistent with and as described in the Fourth Amendment. Remaining funds in the amount of One Million Seven Hundred and Fifty Dollars ($1,750,000) (the “Escrowed Funds”) shall be available to the parties for use in accordance with and as set forth in this Article. Page 3 of 9 7.2 Boxelder Creek Flood Mitigation Projects. The parties agree and hereby acknowledge that it is in the best interest of both Fort Collins and Timnath to work cooperatively and in coordination with the BBRSA to design and construct projects along Boxelder Creek and its associated flow paths to mitigate the impacts of flooding for the mutual benefit of the parties as well as the region. Accordingly, the parties have developed a general plan for storm drainage improvements to significantly reduce the 100-Year stormwater runoff within both the Boxelder Creek Drainage Basin and the Cooper Slough Drainage Basin that contribute to the flooding potential in Boxelder Creek. The plan consists of one set of projects to be designed and constructed by the BBRSA and a second set of projects to be funded, designed and constructed by Fort Collins and Timnath.The two sets of projects are together referred to as the Boxelder Creek Flood Mitigation Projects, the individual components of which are more fully described below: (a) BBRSA Projects. The BBRSA Projects shall include the following: (1) East Side Detention Facility (“ESDF”): A stormwater detention facility to be constructed on the east side of Interstate 25 adjacent to the Gray Lakes Reservoirs that includes an earthen embankment between County Road 50 and County Road 52, an un-gated 12’ x 8’ box culvert outfall, a reinforced spillway, and related appurtenances; (2) Larimer Weld Canal Crossing Structure (“LWCCS”): A defined weir on the south side of the Larimer Weld Canal at its crossing with Boxelder Creek crossing located approximately one mile south of ESDF that includes a lowered canal embankment fortified with grouted rip rap and related appurtenances; and (3) County Road 52 Improvements: The installation of four 4’ x 20’ concrete box culverts under County Road 52, tree removal along the north side of the roadway, grading an area within the adjacent golf course north of County Road 52 and related appurtenances. (b) Fort Collins/Timnath Projects. The Fort Collins/Timnath Projects shall include the following: (1) Lake Canal Crossing of Boxelder Creek: A siphon and associated appurtenances to transport flows in the Lake Canal beneath Boxelder Creek just west of Interstate Highway 25; (2) Boxelder Creek Outfall and Prospect Road Improvements: A side spill weir (split flow channel) and flood conveyance channel on Boxelder Creek upstream of Prospect Road along with six 12’ x 4’ concrete box culverts beneath Prospect Road west of Interstate Highway 25, associated Page 4 of 9 utility relocations (i.e. electric, water, wastewater, gas and telecommunications), roadway restoration,and a flood conveyance channel south of Prospect Road to the Poudre River and associated appurtenances; and (3) Boxelder Creek at Interstate Highway 25: Drainageway and channel improvements and grading adjacent to and upstream (east) of Interstate Highway 25 and the opening of two existing blocked culverts beneath Interstate Highway 25. 7.3 Cost Sharing. The parties agree and hereby acknowledge that it is in the best interests of both Fort Collins and Timnath to cooperate in making use of the Escrowed Funds to match expenditures by Timnath for the design, engineering, and permitting of the Fort Collins/Timnath Projects, as specified in this Section and consistent with this Article. (a) The parties agree that Fort Collins shall be entitled to use a portion of the Escrowed Funds not to exceed Two Hundred Thousand and 00/100th Dollars ($200,000.00) to match a payment by Timnath, or the TDA on behalf of Timnath for costs that have been or will be incurred by Fort Collins to proceed with the design, engineering and right-of-way acquisition for the Fort Collins/Timnath Projects described in Section 7.2(b), as more specifically described in Section 7.5.Escrowed Funds in the amount of Two Hundred Thousand and 00/100th Dollars ($200,000.00) shall be released to Fort Collins by the escrow agent upon request for the purposes described in this Section 7.3(a). Timnath, or the TDA on behalf of Timnath, shall provide funding in the amount of Two Hundred Thousand and 00/100th Dollars ($200,000.00) to Fort Collins within ten (10) business days of the release of escrow funds to Fort Collins. The parties agree to direct the escrow agent managing said funds to disburse said funds in a manner consistent with this provision. The parties acknowledge that said funds provided by Timnath are intended to pay fifty percent (50%) of the invoices and payments made by Fort Collins to carry out the design, engineering and right-of-way acquisition for the Fort Collins/Timnath Projects. Timnath or the TDA on behalf of Timnath shall be entitled to review all invoices and other documentation related to said payments in order to verify the use of funds in accordance with this Article. Timnath acknowledges and agrees that, should Timnath arrange for performance by the TDA of any Timnath’s obligations hereunder, Timnath shall continue to be responsible to Fort Collins for full and satisfactory completion of any of such obligations. (b) The parties agree that Fort Collins shall be entitled to use a portion of the Escrowed Funds not to exceed Two Hundred Fifty Thousand and 00/100th Dollars ($250,000.00) to match a payment by Timnath, or the TDA on behalf of Timnath for costs to be incurred by Fort Collins to proceed with the work necessary to complete the Lake Canal Crossing of Boxelder Creek described in Section 7.2(b)(1).Escrowed Funds in the amount of Two Hundred Fifty Thousand and 00/100th Dollars ($250,000.00) shall be released to Fort Collins by the escrow agent upon request for the purposes described in Page 5 of 9 this Section 7.3(b). Timnath, or the TDA on behalf of Timnath, shall provide funding in the amount of Two Hundred Fifty Thousand and 00/100th Dollars ($250,000.00) to Fort Collins within ten (10) business days of the release of escrow funds to Fort Collins. The parties agree to direct the escrow agent managing said funds to disburse said funds in a manner consistent with this provision. The parties acknowledge that said funds provided by Timnath are intended to pay fifty percent (50%) of the invoices and payments made by Fort Collins to carry out the work necessary to complete the Lake Canal Crossing of Boxelder Creek described in Section 7.2(b)(1). Timnath or the TDA on behalf of Timnath shall be entitled to review all invoices and other documentation related to said payments in order to verify the use of funds in accordance with this Article. Timnath acknowledges and agrees that, should Timnath arrange for performance by the TDA of any Timnath’s obligations hereunder, Timnath shall continue to be responsible to Fort Collins for full and satisfactory completion of any of such obligations. (c) The parties agree that Fort Collins shall be entitled to use all remaining Escrowed Funds, which are expected to total One Million Three Hundred Thousand and 00/100th Dollars ($1,300,000), along with any previously released funds under Sections 7.3(b) and 7.3(c) that are remaining and available after completion of the projects described in Sections 7.3(b) and 7.3(c), to match payments by Timnath, or the TDA on behalf of Timnath, for costs to be incurred by Fort Collins in connection with contracts for work to complete the Fort Collins/Timnath Projects, including any design, engineering, right-of-way acquisition, or permitting not fully funded through the payments identified in Section 7.3(a) and 7.3(b), and construction of the Fort Collins/Timnath Projects. All remaining Escrowed Funds shall be released to Fort Collins by the escrow agent upon request from Fort Collins at any time after January 1, 2015, to be used for the purposes described in this Section 7.3(c). The parties agree to direct the escrow agent managing said funds to disburse said funds in a manner consistent with this provision. The parties acknowledge that Fort Collins may be required to pay from its own funds an additional amount of up to Two Hundred and Fifty Thousand and 00/100th Dollars ($250,000) to fully fund fifty percent (50%) of the total cost of the Fort Collins/Timnath Projects (which total cost is referred to herein as the “Total Project Cost”, and is currently estimated to be Four Million Dollars ($4,000,000.00)), and further that the Escrowed Funds, together with such additional Fort Collins funds, are intended as a match to payments by Timnath, or the TDA on behalf of Timnath on invoices for the work described in this Section 7.3(c). Timnath, or the TDA on behalf of Timnath, shall provide funding in the amount of fifty percent (50%) of the Total Project Cost to Fort Collins within ten (10) business days of the release of escrow funds to Fort Collins under this Section 7.3(c). Timnath or the TDA on behalf of Timnath shall be entitled to review all invoices and other documentation related to said contract in order to verify the use of funds in accordance with this Amendment. Timnath acknowledges and agrees that, should Timnath arrange for performance by the TDA of any Timnath’s obligations Page 6 of 9 hereunder, Timnath shall continue to be responsible to Fort Collins for full and satisfactory completion of any of such obligations. (d) If the BBRSA Projects described in Section 7.2 (a) are completed prior to full completion of the Fort Collins/Timnath Projects described in Section 7.2(b), Timnath, or the TDA on behalf of Timnath, shall place into escrow any unpaid balance of the total amount of funds needed to pay fifty percent (50%) of the Total Project Cost, or of the most current estimated total cost to complete the construction of the Fort Collins/Timnath Projects, pursuant to Section 7.3(e), if higher than the Total Project Cost, and Fort Collins shall commence the work described in Section 7.2(b)(3). The work described in Section 7.2(b)(3) shall not be performed until these funds have been placed in escrow. To the extent not already released pursuant to Section 7.3(a), (b) or (c), these funds shall be released to Fort Collins by the escrow agent upon request in order to allow Fort Collins to proceed with the work described in Section 7.2(b). The parties agree to direct the escrow agent managing said funds to disburse said funds in a manner consistent with this provision. The parties acknowledge that said funds are intended to be used for the purposes and in the manner described in the foregoing Section 7.3(c), and are subject to the same conditions and procedures as provided therein. (e) In the event that the Total Project Cost exceeds the estimate stated in Section 7.3(c), Fort Collins agrees to provide Timnath, or the TDA on behalf of Timnath documentation confirming the need toincrease the estimated amount deemed to constitute the Total Project Cost. However, the parties agree that any increase in Total Project Cost in excess of Five Hundred Thousand Dollars ($500,000) shall be subject to mutual approval and agreement by the parties. Notwithstanding any provision in this Agreement to the contrary, Fort Collins and Timnath, or the TDA on behalf of Timnath agree that each party shall pay its own costs in the negotiation and preparationof this Agreement. 7.4 Fort Collins to Provide or Contract for Services. Fort Collins agrees to provide or contract for the services required to carry out the Fort Collins/Timnath Projects identified in Section 7.2(b), subject to the conditions and requirements of this Article. Fort Collins shall maintain appropriate documentation and make any reports, data or design deliverables produced available to the parties for review and use in connection with the completion of the Fort Collins/Timnath Projects. Fort Collins shall upon request provide to Timnath work scope and specifications and pricingdocuments and contracts for work to be completed by Fort Collins hereunder. 7.5 Design and Engineering of the Projects. Fort Collins is responsible for the initiation and completion of design engineering as necessary in order to determine actual design and related costs and to allow said Projects to proceed. This work is intended to allow for the efficient design and expedited construction schedule. Fort Collins has provided or contracted for, or will provide or contract for, the following: Page 7 of 9 (a) Preparation and completion of the conceptual design of the projects to include hydraulic modeling and collaboration with upstream BBRSA projects, adjacent potential property development and other current and planned projects near the project site; (b) Initiation of Final Design (including appropriate geotechnical investigations, structural design, flood conveyance and stream design, stability analysis, stream restoration, utility relocation, and associated items) in order to prepare estimated costs for final design, real estate acquisition, permitting, engineering and construction; and, (c) Project management and coordination to include meetings with representatives of Fort Collins, Timnath, the BBRSA, United States Army Corps of Engineers (USACE), the Colorado Water Conservation Board (CWCB), irrigation companies and adjacent property owners. 7.6 Milestones for the Boxelder Creek Flood Mitigation Projects. The following are milestones for the completion of the Boxelder Creek Flood Mitigation Projects: (a) The targeted construction start date for the Lake Canal Crossing of Boxelder Creek Improvements described in Section 7.2(b)(1) is January 15, 2015. (b) The targeted construction start date for water main utility relocations associated with the Boxelder Creek Outfall and Prospect Road Improvements described in Section 7.2 (b)(2) is March 1, 2015. (c) The targeted construction start date for the remainder of work associated with the Boxelder Creek Outfall and Prospect Road Improvements described in Section 7.2(b)(2).is June 1, 2015, (d) The targeted construction start date for the Boxelder Creek at Interstate Highway 25 -- Drainageway and channel improvements and grading adjacent to and upstream (east) of Interstate Highway 25 and the opening of two existing blocked culverts beneath Interstate Highway 25 is the later of either October 1, 2015, or completion of the BBRSA Projects described in Section 7.2(a) and payment by Timnath of funds as required in Section 7.3(d). 7.7 Satisfaction of Obligations. It is the intent of the parties that the performance of the requirements of this Article 7 fully satisfies any obligation that Fort Collins may have to Timnath to contribute to the management of storm drainage waters flowing from Boxelder Creek insofar as such waters or the floodplain related thereto, may affect property within Timnath’s municipal boundaries or within the TGMA. Accordingly, Timnath has released Fort Collins and Page 8 of 9 its officers, employees, agents and assigns, from any and all claims or causes of action of any kind whatsoever for any monetary damages or for any other remedy at law or in equity arising from, connected with or in any way related to the flow, blockage or diversion of storm waters from Boxelder Creek, the installation, operation and maintenance of culverts and other storm water facilities related to that portion of I-25 that is adjacent to the TGMA, or the determination of rainfall standards for areas within Timnath’s municipal boundaries or the TGMA, insofar as such claim or cause of action is based upon any acts or omission of Fort Collins or any of its officers, employees, agents or assigns, on or before the Effective Date. The parties acknowledge and agree that, in the 1980’s, at Fort Collins’ request, the Colorado Department of Highways (CDOT) installed two additional box culverts under I-25 at a location that would, if the culverts were opened, allow a substantially greater volume of storm runoff to flow from Boxelder Creek under I-25 and into portions of the Fort Collins GMA and municipal limits and that such increased flows could do considerable damage to property within such area and that, in order to properly manage and contain such flows, extensive new storm water facilities must be constructed. Accordingly, both parties agree that no officer, employee, agent or assign, shall attempt, directly or indirectly, at any time after the execution of this Agreement, to persuade CDOT to take any action that would reasonably be expected to result in the opening of said culverts, until such time as the Boxelder Creek Flood Mitigation Projects, or other stormwater improvements satisfactory to the parties, are complete. In addition, if a third party takes, or attempts to take, any such action prior to the completion of said projects, Timnath agrees to support Fort Collins’ opposition to such action by providing a letter to CDOT to that effect upon the request of Fort Collins. 7.8 No Admission of Liability. Nothing in this Article or elsewhere in this Agreement shall in any way or manner be construed as an admission of liability by Fort Collins or its officers or employees for any claim for damages arising from or in any way related to the lack of construction of the Boxelder Overflow Project, construction of the Boxelder Flood Mitigation Projects, the overflow of waters from Boxelder Creek, FEMA’s designation of certain areas within the TGMA as being within a floodplain, or any related matters, nor shall anything herein be construed as a waiver of any defenses, limitations and immunities established pursuant to the Colorado Government Immunity Act (SS24-10-101, et seq. C.R.S.), the United States and Colorado Constitutions, or under the common law or laws of the State of Colorado or of the United States, including but not limited to Section 42 U.S.C. 1983. 2. No Further Modification. Except as expressly amended by this Amendment, the Intergovernmental Agreement is unmodified and shall continue in full force and effect. 3. Binding Agreement. Both Timnath and Fort Collins intend that this Amendment shall be binding upon them. 4 Amendments. This Amendment may only be amended, changed, modified or altered in writing, signed by both parties hereto. Page 9 of 9 5. Governing Law. This Amendment shall be governed by and construed in accordance with the laws of the State of Colorado. 6. Jointly Drafted; Rules of Construction. The parties hereto agree that this Amendment was jointly drafted, and, therefore, waive the application of any law, regulation, holding or rule of construction providing that ambiguities in an agreement or other document will be construed against the party drafting such agreement or document. 7. Defined Terms. Capitalized terms used in this Agreement but not otherwise defined herein shall have the meanings set forth in the Intergovernmental Agreement. IN WITNESS WHEREOF, the parties have executed this Agreement the day and year first above written. THE TOWN OF TIMNATH, COLORADO By: ____________________________________ Mayor ATTEST: APPROVED AS TO FORM: ________________________ ________________________ Town Clerk Town Attorney THE CITY OF FORT COLLINS, COLORADO By: ____________________________________ Mayor ATTEST: APPROVED AS TO FORM: ________________________ ________________________ City Clerk City Attorney 11,700,000 Estimated Benefit/Cost Ratio 3.95 1 Source: T able C-3 Appendices BOXELDER CREEK REGIONAL ST ORM WAT ER M AST ER PLAN October 2006 2 Initial Total Costs to be offs et by Authority Revenue & TDA contributions & Additional Funding from New IGA