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Home My WebLink About2009-030-03/24/2009-AUTHORIZING THE EXTENSION OF A LEASE OF THE CITY DITCH TO LARIMER COUNTY CANAL NO. 2 IRRIGATING COMP RESOLUTION 2009-030 OF THE COUNCIL OF THE CITY OF FORT COLLINS AUTHORIZING THE EXTENSION OF A LEASE OF THE CITY DITCH TO LARIMER COUNTY CANAL NO. 2 IRRIGATING COMPANY THROUGH APRIL 12, 2010 WHEREAS, the City is the owner of property known as the Old Water Works property located at 2005 North Overland Trail Road, in Latimer County, Colorado; and WHEREAS,water to power the Old Water Works was originally conveyed to and across the Old Water Works property from the Cache La Poudre River through a ditch constructed by the City (the "City Ditch"); and WHEREAS, on April 5, 1906, the City Council adopted a resolution which authorized the lease of the City Ditch to Larimer County Canal No. 2 Irrigating Company(the "Ditch Company") for a period of 99 years, in exchange for construction of certain improvements and maintenance and repair of the City Ditch and related structures; and WHEREAS, on April 13, 1906, the City and the Ditch Company entered into a lease agreement providing for the lease of the City Ditch, in exchange for construction of certain improvements and maintenance and repair of the City Ditch and related structures, a copy of which is attached hereto as Exhibit "A" and incorporated herein by this reference (the "Lease"); and WHEREAS,the Lease states that the Ditch Company may,at its option,renew the Lease for an additional ninety-nine year period, but this option to renew had not been approved by the City Council in the resolution authorizing the Lease; and WHEREAS, the Lease expired on April 13, 2005; and WHEREAS, on March 15, 2005, the City Council approved Resolution 2005-023, authorizing a one-year extension of the Lease to the Ditch Company; and WHEREAS,on April 4,2006,the City Council approved Resolution 2006-039,authorizing an additional two-year extension of the Lease to the Ditch Company; and WHEREAS, on March 18, 2008, the City Council approved Resolution 2008-032, authorizing another one-year extension of the Lease to the Ditch Company; and WHEREAS, the Ditch Company has a continued need to use the City Ditch, particularly during the coming irrigation season, and there is substantial value to the City in avoiding the disruption of irrigation flows that would result if the City Ditch were not available to convey said flows; and WHEREAS,the Ditch Company has expressed an interest in discussing alternative types of arrangements for its use of the City Ditch, and another Lease extension would allow time for discussions regarding long-term arrangements between the City and the Ditch Company and for additional historical research by City staff regarding the historical conveyances related to the City Ditch; and WHEREAS, City staff is currently negotiating the terms of a proposed easement with the Ditch Company, and expects to return to the City Council for authorization of an easement to the Ditch Company prior to the expiration of the extension authorized by this Resolution; and WHEREAS, under Section 23-114 of the City Code, the City Council is authorized to approve by resolution the lease any and all interests in real property owned in the name of the City for a period of two years or less,provided that Council first finds that the lease is in the best interests of the City. 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 extension of the Lease of the City Ditch to the Ditch Company for irrigation purposes through April 12, 2010, is in the best interests of the City of Fort Collins. Section 2. That the City Manager is hereby authorized to execute an agreement extending the Lease through April 12,2010,consistent with the terms of this Resolution,upon such 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. Passed and adopted at a regular meeting of the City Council held this 24th day of March, 2009. Mayo ATT-EST: City Clerk n EXHIBIT A NON LEASE. -.;r•<-��r.+..-..rs..:.. IS L:d•`.EBi:IGE, ae.de tile_ day o£ April, A. D. 1906. between the City of Fort Collins, hereipafter designated as the City, tarty of the first part, and The Larimer County CaneJ, j4o• 2.lxric, Ling Fopifgny ra aor ifTetY'oE; hereinafter designated as the Company, part oZ..tho ,sound part, .-ITHESSETH: That the said City,, for 'and in oon- sideration of the sum of One Dollar, the receipt of which in hereby acknowledged, and for the further consideration of the covenants and agreements hereinafter set forth to be kept and performed by said Company, its suoceseors and assigns, has t leased and demised and does horeby lease and demise unto said Company, that certain ditch right of way known_ es the City Ditch, said ditch having its headeate on the south bank of the Cache 1a thenos.in a aout>[easterly direction to the power plant Dejoaglag to the system.pf water.aorks of said. City. - . . Vff3i.1V .AND TO :iOLH the above described premises, with the appurtenances, unto said Company. its successors and ascigns, ,f'or the period of ninety-nine years from and after the date of the ensealine of these presents, upon the i following conditions. First: That said Company will receive tho said 1{ ditch in the.00ndition it is now in; that It vd ll put It in �1 first class1 repair, and maintain it in first clues condition for the uses and purposes for which it to to be used, without charge or expense to said City. Second: That said C::LTany will Without unreasonable delay enlargo said ditch to.a capacity sufficient to carry the water decreed to said Company, together.with the amount I of water necessary to operate said power pin nt as the same 2:se been heretofore operated. ! Third: That during the term of this leaae .the dam and headgate belonging to said ditch will be maintained and kept in good repair by said Company at its own expense. . Fourth: That said Company will construct and . maintain the neoeneary structures and proviiie all. .the sufficient means for the proper diversion of the waters to, which the parties hereto are entitled at said power plant, so that the power rigt+:s now and heretofore enjoyed by said City will not at any time be impaired; and tfat_at any and all times when said City or its grantees m07 desire to operate said bower plant, for any purpose whatever, said Company will nernit the ;.star necessary therefor to be carried in said ditch and applied to said power plant without_coat_ and without hindrance of SAY kind. Fifth; Said Company shall have .Pull control and operation of raid leased premises; and for the Purpose of enlarging and keeping the --ane In repair a9 "areinubove, Stipulated said Company shall have the right to take and uee,from the land belonging .to said City e4- e the ditch rifnt of was, and upon rhich said ditch is situated all the dirt necessary, without cost; ?rovlded, ^onever, that such control and operation of said nrcmisea will at no tine interfere with tt:e lull operation of said power plant by said City or its grantees. Sixth: Said Compayly shall be liable for any and all damages which may be caused to nereona or to pronerty by .teason Of its, the Comneny'S, negligence in faillnr to keep Said preaifeee iif proper re_uir and safe condition. i �i Sa7d4th Lt tha drpLr(Ltton of tke,tn" of tale .�` - i.aee the.p�e'ca„c pe Ycaew od fdt'-�a..ILka-parLoQ. e-a -tie ,e aOe td"�, at.:Mo.QptIAa of elaj&=cdmpagy,_ - - t je rhrthcr a�rrdealJ --and, Wuj eretaod b; } the-Dartids..her 9to :that:-ad,., c ng'aa''eaid''Coarpeaq fesZt'iLLtilll'.. ;r«i o�eg_d -43amIti(j�;.41'� � Sart�IIlls-1Tj!1Pd"'YhN..�?m.ec..�lG<<a Pnll ry T7 .CoitrPany:tR �eithlV,ll -:per.'orv.any dr;.Ksi4i oaiiittioas,:thee -- C'�L(L �it3 6ittR1-ctPan�(c1YLars t'c1Ytiy-aaye TIOUCC.'a•oiare `tnia, leaas ,ntt5) jr st tho e u zp at1'o rip f 6aIQ thLrty k L -• `c d�yo se1Q?Ctrmpsr{X s�atSl3XJrt>Q` liaclib.'GA •to e per[oc�anaa, X. - � .-_. _aL a�fd. .a.aL�itiB aia dCritbaifd6Yvve-'- .ar•rea >_n' ceae o-r' - 1/-� - iC. 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