HomeMy WebLinkAbout1992-070-04/21/1992-LEASE LIVESTOCK GRAZING MEADOW SPRINGS RANCH NATURAL FORT GRAZING LTD RESOLUTION 92- 70
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AUTHORIZING THE CITY OF FORT COLLINS TO LEASE
MEADOW SPRINGS RANCH TO NATURAL FORT GRAZING, LTD. ,
FOR LIVESTOCK GRAZING
WHEREAS, in late 1990, the City of Fort Collins ("the City") , purchased
from Meadow Springs Grazing Association ("MSGA") that certain real property
commonly known as the Meadow Springs Ranch ("the Property") ; and
WHEREAS, in connection with that purchase, the City granted to MSGA a
"first right of refusal " to lease the Property from the City for livestock
grazing; and
WHEREAS, MSGA has assigned all of its right to its "first right of refusal "
to Natural Fort Grazing, Ltd. ("NFG") ; and
WHEREAS, in Resolution 91-39, adopted March 5, 1991, the City Council
approved a one-year lease of the Property to NFG for livestock grazing; and
WHEREAS, for the 1992 and 1993 grazing, seasons, the City has issued a
request for proposals for the lease of the Property for livestock grazing; and
WHEREAS, as a result of such request for proposals, the City Manager has
entered into a Grazing Lease Agreement with Horton Feedlots, Inc. ("Horton") ,
which Grazing Lease Agreement is contingent upon NFG not exercising its "first
right of refusal " and contingent upon City Council 's approval ; and
WHEREAS, the term of the Horton Grazing Lease is for two years and requires
Horton to pay rent of $11 .00 per animal unit per month and requires Horton to
complete a detailed research program that will evaluate alternate grazing
patterns, as well as wildlife and noxious plant management issues; and
WHEREAS, the City has presented to NFG for its consideration, in accordance
with NFG's "first right of refusal " to lease the Property for livestock grazing,
a Grazing Lease Agreement containing the same terms and conditions as the Horton
Grazing Lease; and
WHEREAS, NFG has timely exercised its "first right of refusal " by entering
into the Grazing Lease Agreement attached hereto as Exhibit "A, " and incorporated
herein by reference ("the Lease") ; and
WHEREAS, the Lease contains the same terms and conditions as the Horton
Grazing Lease; and
WHEREAS, the Lease is contingent upon City Council 's approval of it on or
before April 21 , 1992; and
WHEREAS, Section 23-114 of the Code of the City of Fort Collins authorizes
the City Council to lease, for a definite term of two years or less, any and all
interests in real property owned in the name of the City, provided the City
Council first finds, by resolution, 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 lease of the Property to NFG for livestock grazing in
accordance with the terms of the Lease is in the best interests of the City.
Section 2. That the Lease and its terms are hereby approved.
Passed and adopted at a regular meeting of the Council of the City of Fort
Collins held this 21st day of April , A.D. 1992.
Mayor
ATTEST:
City Clerk
GRAZING LEASE AGREEMENT
HI LEASE AGREEMENT, made and entered into this day of
y ( , 1992 , by and between THE CITY OF FORT COLLINS,
C LO DO, a municipal corporation (hereinafter referred to as "the
Lessor") , and NATURAL FORT GRAZING, LTD. , a Colorado corporation,
(hereinafter referred to as "the Lessee") .
W I T N E S S E T H
WHEREAS, the Lessor is the owner of that certain real
property, together with any improvements located thereon, situated
in the County of Larimer and County of Weld, State of Colorado,
consisting of approximately 18, 130 acres of land, commonly known as
the Meadow Springs Ranch, the legal description of which is set
forth in Exhibit "A" attached hereto and incorporated herein by
reference (hereinafter referred to as "the Property") ; and
WHEREAS, the Lessor currently leases from the State of
Colorado approximately 7 , 550 acres of land, together with any
improvements located thereon, situated' in the County of Larimer and
County of Weld, State of Colorado, the legal description of which
is set forth in Exhibit "B" attached hereto and incorporated herein
by reference (hereinafter referred to as "the State Property") ; and
WHEREAS, the Lessor currently leases from the Platte River
Power Authority approximately 24 acres of land, together with any
improvements located thereon, which land is situated in the County
of Larimer, State of Colorado, the legal description of which is
set forth on Exhibit "C" attached hereto and incorporated herein by
reference (hereinafter referred to as "the PRPA Property") ; and
WHEREAS, the Property, the State Property, and the PRPA
Property shall be hereinafter referred to collectively as "the
Leased Premises" ; and
WHEREAS, the Lessor desires to lease the Leased Premises to
the Lessee for livestock grazing purposes only, and the Lessee
desires to lease the Leased Premises from the Lessor for livestock
grazing purposes only.
NOW, THEREFORE, in consideration of the mutual covenants,
promises, and agreements herein contained, and other good and
valuable consideration, the receipt and adequacy of which are
hereby acknowledged, the parties do hereby covenant, promise, and
agree to and with each other as follows:
Article I . Lease of the Leased Premises.
1 . 1 The Lessor does hereby lease, demise, and let unto
the Lessee, and the Lessee does hereby hire and take from the
Lessor the Property.
1. 2 The lease of the Property to the Lessee as provided
in paragraph 1. 1 above, shall include all the improvements located
upon the Property including, but not limited to,- the ranch
headquarters facilities. However, the Lessee shall be entitled to
occupy and use the ranch headquarters facilities only so long as an
employee of the Lessee resides in the ranch headquarters residence.
This employee shall be responsible for generally providing security
and surveillance of the Property to prevent persons from
trespassing upon it. If the employee encounters or observes
trespassers upon the Property, the employee shall notify the
Larimer County or the Weld County Sheriff's Department and notify
the Lessor.
1 . 3 The Lessor does hereby sublease unto the Lessee, and
the Lessee does hereby sublet from the Lessor the State Property
and the PRPA Property.
Article II . Term.
2 . 1 The term of this Lease shall be for a period of two
(2) years, commencing as of 12 noon on the 1st day of May, 1992 ,
and continuing until 12 noon on the 1st day of May, 1994 , unless
sooner terminated by operation of law or as otherwise provided in
this Lease Agreement.
2 . 2 This Lease Agreement shall not be recorded; but, at
the request of the Lessee, the Lessor and the Lessee shall execute
a memorandum of lease for recording, containing the names of the
parties, the legal description of the Leased Premises, the term of
the Lease and such other information as the parties shall mutually
agree upon.
Article III . Rent.
3 . 1 Except as otherwise provided in this Lease, the
Lessee shall pay to the Lessor, during the term of this Lease, an
annual aggregate rental in the total amount of Seventy-two Thousand
Six Hundred Dollars ($72 , 600 . 00) . The amount of such rent shall be
calculated based upon the formula of Eleven Dollars ($11 . 00) per
month for each animal unit grazed upon the Leased Premises for a
minimum total of Six Thousand Six Hundred (6, 600) animal unit
months per year. For purposes of this Lease, an animal unit shall
be defined as follows:
1 . A cow and unweaned calf pair shall constitute one
animal unit.
2 . A mature bull shall constitute 1. 5 animal units.
3 . A 1, 000-pound yearling shall constitute one animal
unit but if the yearling weighs less than 1, 000
pounds, then the animal unit value assigned to that
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yearling shall be based upon the percentage that
the yearling's weight is to a 1, 000-pounds weight.
(For example, if the yearling weighs ' 600 pounds,
then it shall constitute a . 6 animal unit) . The
weights for yearlings shall be confirmed by
certified scale receipts at the time of delivery of
the animal upon the Leased Premises, or by any
technique mutually agreeable to the Lessor and the
Lessee.
4 . A horse shall constitute 1 . 5 animal units.
5. Five (5) sheep shall constitute one animal unit.
3 . 2 The annual aggregate rental for the first-year term
of this Lease shall be payable, without demand or notice, as
follows: (1) The sum of Twenty Thousand Dollars ($20, 000 . 00) shall
be due and payable by the Lessee to the Lessor on May 1, 1992 ; and
(2) The remaining sum of Fifty-two Thousand Six Hundred Dollars
($52 , 600. 00) shall be due and payable by the Lessee to the Lessor
on December 1, 1992 .
3 . 3 The annual aggregate rental for the second-year term
of this Lease shall be payable, without demand or notice, as
follows: ( 1) The sum of Twenty Thousand Dollars ($20, 000 . 00) shall
be due and payable by the Lessee to the Lessor on May 1, 1993 ; and
(2) The remaining sum of Fifty-two Thousand Six Hundred Dollars
($52 , 600 . 00) shall be due and payable by the Lessee to the Lessor
on December 1, 1993 .
3 . 4 All payments of rent shall be made by the Lessee to
the Lessor at such place as the Lessor may, from time to time,
designate in writing. For the present, the Lessor designates City
of Fort Collins Water/Wastewater Utility, c/o Mike Smith, 700 Wood
Street, Fort Collins, Colorado 80521, as the place for the making
of rental payments. All such rent shall be payable in current
legal tender of the United States as the same is then by law
constituted. Extensions of time for the payment of any installment
of rent or the acceptance by the Lessor of any money other than of
the kind herein specified shall not be a waiver of the right of the
Lessor to insist on having all other payments of rent made in the
manner and at the time herein specified.
3 . 5 Notwithstanding the foregoing provisions of this
Article III, the Lessor agrees that if the grazing conditions of
the Leased Premises warrant it, the Lessor shall reduce the
required minimum number of animal unit months from Six Thousand Six
Hundred (6 , 600) per year to that which is appropriate under the
then existing grazing conditions. When such a reduction occurs,
the Lessee' s annual aggregate rental shall be adjusted accordingly.
However, the $20, 000 . 00 rental payments due on April 15 in 1992 and
1993 shall not change.
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3 . 6 In the event that the Lessee shall fail to pay when
due any rental payment required under this Lease, the unpaid rental
amount shall accrue interest at the rate of eighteen percent ( 18%)
per annum from the due date until paid.
Article IV. Use of Leased Premises.
4 . 1 The Lessee shall use the Leased Premises for
livestock grazing purposes only, except as otherwise provided in
this Lease.
4 . 2 The Lessee shall not use the Leased Premises in such
a manner so as to violate any applicable law, statute, ordinance,
rule, or regulation of any governmental entity or body.
4 . 3 The Lessee acknowledges that concurrent with its use
of the Leased Premises for livestock grazing purposes, that the
Lessor will be using the Leased Premises for municipal sludge
storage and application purposes, as well as related activities.
Accordingly, the Lessee agrees not to. use the Leased Premises in
such a manner so as to interfere with the Lessor's use of the
Leased Premises for municipal sludge storage and application
purposes, and related activities.
4 . 4 The Lessee shall not place any livestock upon the
Leased Premises without giving prior written notification to the
Lessor and after having obtained from the Lessor prior written
approval . The Lessee shall graze only such numbers and types of
livestock, and in such locations on the Leased Premises, as have
been previously authorized in writing by the Lessor.
ARTICLE V. Maintenance and Repairs.
5 . 1 The Lessee covenants and agrees at all times during
the term of this Lease, to maintain and keep in orderly condition
and in a good state of repair, all of the Leased Premises and the
improvements located thereon, including, but not by way of
limitation, fencing and the buildings constituting the ranch
headquarters. The Lessee, however, shall only be responsible for
such maintenance and repairs that are ordinary and routine in
nature. Further, the Lessee shall only be responsible for paying
the costs of labor for such maintenance and repairs. The Lessor
shall be responsible for the costs of any materials needed for such
maintenance and repairs.
5 . 2 With respect to maintenance and repairs of the
Leased Premises that are extraordinary and major in nature, the
Lessor shall be responsible for such maintenance and repairs.
5 . 3 All maintenance and repairs to the Leased Premises
required of the Lessee shall be made promptly and when necessary.
In addition, all such maintenance and repairs shall be done in a
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good and workmanlike manner and in compliance with all applicable
laws, statutes, ordinances, rules, orders, regulations, and
requirements of all federal, state, and county governments and the
appropriate departments, commissions, boards, and officers thereof.
5 . 4 The Lessee shall keep the Leased Premises clean and
in good sanitary condition, as required by the statutes,
ordinances, resolutions, and health, sanitary, and police
regulations of the County of Larimer, County of Weld, and State of
Colorado, except the Lessee shall not be responsible for so
maintaining the Leased Premises with respect to the Lessor' s use of
the Leased Premises for municipal sludge storage and application,
and related activities. The Lessee shall neither permit nor suffer
a disorderly noise or nuisance whatsoever about the Leased Premises
having any tendency to annoy or disturb any persons occupying
adjacent land. The Lessee shall neither hold nor attempt to hold
the Lessor liable for any injury or damage, either approximate or
remote, occasioned through or caused by any maintenance,
alterations, or repairs made by the Lessee upon or to the Leased
Premises or the improvements located thereon.
5 . 5 The Lessee shall be responsible for controlling
noxious and toxic plants found upon the Leased Premises. The cost
of labor to control such plants shall be the sole responsibility of
the Lessee. The Lessor, however, shall be responsible for the cost
of any herbicides or other materials necessary to control such
plants. In using any herbicides or other materials to control
noxious and toxic plants on the Leased Premises, the Lessee shall
comply with all applicable federal, state, and local laws, rules,
and regulations controlling the application and storage of such
herbicides and materials. In addition, the Lessee shall indemnify
and hold the Lessor, and its officers and employees, harmless from
any and all claims, judgments, penalties, fines, costs, and
attorneys fees that may result from the Lessee's use, application,
and storage of such herbicides and other materials.
5 . 6 If the Lessee fails to perform any maintenance or
make any repairs required of it to be made under this Lease, the
Lessor may, but shall not be required to, make such maintenance and
repairs on the Lessee's account, and the Lessor may add its costs
and expenses for such repairs or replacements as additional rent
due to the Lessor under this Lease. Such amount shall then be paid
to the Lessor by the Lessee within thirty (30) days after receiving
written notice from the Lessor of the costs and expenses paid by
the Lessor for such maintenance and repairs .
ARTICLE VI . Alterations and Improvements.
6 . 1 The Lessee shall make no alterations, additions,
improvements, or changes to the Leased Premises or the improvements
located thereon without the prior written approval of the Lessor.
Any such alterations, additions, improvements, or changes approved
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by the Lessor shall be done by the Lessee in a good and workmanlike
manner and shall be in compliance with all applicable building and
zoning laws, and with all other applicable laws; statutes,
ordinances, orders, rules, regulations, and requirements of all
federal, state, and county governments and the appropriate
departments, commissions, boards, and officers thereof.
6 . 2 The Lessee hereby indemnifies and agrees to hold the
Lessor harmless from all liens, claims, or charges on account of
any alterations, additions, improvements, or changes made to the
Leased Premises or the improvements located thereon by the Lessee.
ARTICLE VII Covenant of Title and Ouiet Eniovment
7 . 1 The Lessor covenants that it is well seized of and
has good title to lease the Property and to sublease the State
Property and the PRPA Property, and does warrant and will defend
the title thereto and will indemnify the Lessee against any damage
or expense which the Lessee may suffer by reason of any lien,
encumbrance, restriction, or defect in the title or description
herein of the Property, the State Property, and the PRPA Property
existing prior to the date hereof, 'except and subject to the
following:
a. All easements , covenants , reservations ,
restrictions, and rights-of-way in place or of
record;
b. Any restrictions, reservations, or exceptions
contained in any United States or State of Colorado
patents of record;
C. All zoning and other governmental rules and
regulations;
d. All oil, gas or other mineral reservations or
exceptions of record; and
e. That certain Lease Agreement by and between Meadow
Springs Grazing Association, as Lessor, and Western
Gas Supply Company, as Lessee, dated February 22 ,
1989 , and recorded March 7 , 1989, at Reception No.
02172714 of the Larimer County, Colorado records.
7 . 2 In addition, the Lessee acknowledges that the State
Property is leased by the Lessor from the State of Colorado
pursuant to an assigned written lease and to State law which
provide that the State of Colorado can terminate its lease of the
State Property at any time for any cause. In the event that the
State of Colorado does so terminate its Lease of the State
Property, this Lease Agreement, so far as it pertains to the State
Property, shall terminate and the Lessee shall be under no further
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obligation to pay any rental to the Lessor for use of the State
Property. However, all other obligations, covenants, and
agreements under this Lease shall remain in full force and effect
and the Lessee shall continue to be liable to the Lessor for any
unpaid rental accruing as a result of the Lessee's use of the State
Property up until the date that the State of Colorado terminates
its lease of such land. But in such an event, the Lessee' s
obligation to pay rent as provided in Article IV above shall be
adjusted accordingly.
ARTICLE VIII . Insurance.
8 . 1 The Lessee, at its sole cost and expense, shall,
during the term of this Lease, procure, pay for, and keep in full
force and effect workers compensation insurance, in an amount not
less than Four Hundred Thousand Dollars ($400, 000. 00) for each
occurrence, for all of its employees to be engaged in work on the
Leased Premises under this Lease.
8 . 2 The Lessee, at its sole cost and expense, shall,
during the term of this Lease, procure, pay for, and keep in full
force and effect a comprehensive policy of general liability
insurance covering the Leased Premises and insuring the Lessee in
an amount not less than Five Hundred Thousand Dollars ($500, 000 . 00)
covering bodily injury, including death to persons, personal
injury, and property damage liability arising out of a single
occurrence. Such coverage shall include, without limitation, the
insureds' liability for property damage, bodily injuries, and death
of persons in connection with the operation, maintenance, or use of
the Leased Premises (including acts or omissions of the Lessee or
of its officers, employees, or agents) , liability arising out of
lawsuits related to employment contracts of the Lessee, and
protection against liability for non-owned and hired automobiles.
Such coverage shall also include comprehensive automobile liability
insurance and coverage for such other risks as shall customarily be
required by private institutional mortgage lenders with regard to
property similar in construction, location, and use as the Leased
Premises under this Lease Agreement.
8 . 3 All policies of insurance carried by the Lessee
shall name the Lessee as an insured and shall name the Lessor as an
additional insured on the policy. The policy or policies shall
contain a provision that the policy or policies cannot be canceled
or materially altered either by the insured or the insurance
company until fifteen (15) days prior written notice thereof is
given to the Lessor. Upon issuance or renewal of any such
insurance policy, the Lessee shall furnish a certified copy or
duplicate original of such policy or renewal thereof with proof of
premium payment to the City. Any such policy shall contain waivers
of subrogation and waivers of any defense based on invalidity
arising from any act or omission of any assignees or sublessees of
the Lessee.
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8 . 4 No policy of insurance required by this Article VIII
shall include a deductible clause in an amount greater than One
Thousand Dollars ($1, 000. 00) . Any insurance policy purchased by
the Lessee must be written by an insurance carrier which has a
current rating by Best's Insurance Reports of "A" (Excellent) or
better and a financial rating of "X" or better or such equivalent
classification as may hereinafter be required customarily for
properties similarly situated and it must be approved by the Lessee
and the insurance carrier must be authorized by law to do business
in the State of Colorado. The Lessee shall not obtain any policy
which, under the terms of the carrier's charter, by-laws, or
policy, loss payments are contingent upon action by the carrier's
board of directors, policy holders, or members. All insurance
policies carried by the Lessee may be reviewed at least annually by
the Lessor to ascertain that the coverage provided by such policy
adequately covers those risks required by this Article VIII to be
insured by the Lessee.
8 . 5 In case of the breach of any provision of this
Article VIII , the Lessor, at its option, may take out and maintain,
at the expense of the Lessee, such insurance as the Lessor may deem
proper and may bill the costs for such insurance directly to the
Lessee. When so billed, the Lessee shall reimburse the Lessor for
the costs of such insurance within thirty (30) days of being
billed.
ARTICLE IX. Utilities.
9 . 1 The Lessee agrees to pay all charges for water and
sewer service, gas, electricity, light, heat, power, , trash removal,
telephone, and other communication services used, rendered, or
supplied upon or in the Leased Premises and the improvements
located thereon, and to indemnify the Lessor against any liability
or damage on such account. All such utility charges shall be paid
by the Lessee before the date the same become delinquent.
ARTICLE X. Signs.
10 . 1 The Lessee shall not affix, erect, or maintain on
the Leased Premises any sign or placard without first obtaining the
Lessor' s prior written approval. The costs of erection and
maintenance of such sign or placard shall be the sole
responsibility of the Lessee. In addition, any sign or placard
approved by the Lessor shall comply with all state and county laws,
rules, and regulations.
ARTICLE XI Subletting and Assignment
11 . 1 The Lessee covenants and agrees that it will not
assign this Lease, any interest or a part thereof, any right or
privilege appurtenant thereto, nor mortgage or hypothecate the
leasehold without the prior written consent of the Lessee. A
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consent to one assignment or hypothecation shall not be construed
as a consent to any subsequent assignment or hypothecation; and it
is hereby mutually covenanted and agreed that, unless such written
consent has been obtained, any assignment or transfer or attempted
assignment or transfer of this Lease or any interest therein or
hypothecation either by the voluntary or the involuntary act of the
Lessee or by operation of law or otherwise, shall, at the option of
the Lessor, terminate this Lease; and any such purported assignment
or transfer without such consent shall be null and void. The
Lessor's consent to any such assignment shall not relieve the
Lessee from any obligation under this Lease unless the Lessor
expressly agrees in writing to relieve the Lessee from such
obligation.
11. 2 If this Lease shall be assigned, or if the Leased
Premises or any part thereof shall be sublet or occupied by anyone
other than the Lessee, without the prior written consent of the
Lessor as required in paragraph 11. 1 above, the Lessor may collect
rent from the assignee, subtenant, or occupant, and employ the net
amount collected to the rent herein reserved; and no such
collection shall be deemed a release of the Lessee from the
complete performance of the covenants herein contained on the part
of the Lessee to be performed.
ARTICLE XII . Mechanic's Lien.
12 . 1 The Lessee agrees to pay or cause to be paid
promptly all bills and charges for material, labor, or otherwise in
connection with or arising out of any alterations, additions,
maintenance, repairs, or changes made by the Lessee or its agents
or subtenants to the Leased Premises; and the Lessee agrees to hold
the Lessor free and harmless against all liens and claims of liens
for such labor and materials, or either of them, filed against the
Leased Premises or any part thereof and from and against any
expense and liability in connection therewith. The Lessee further
agrees to discharge (either by payment or by filing the necessary
bond) any mechanic's, materialman's, or other liens against the
Leased Premises arising out of any payment due or alleged to be due
for any work, labor, services, materials, or supplies claimed to
have been furnished at the Lessee's request in, on, or about the
Leased Premises and to indemnify the Lessor against any lien or
claim of lien attached to or upon the Leased Premises or any part
thereof by reason of any act or omission on the Lessee's part. The
Lessee shall, however, have the right to contest any mechanic's
lien or claims filed against the Leased Premises, provided the
Lessee shall diligently prosecute any such contest and at all times
effectively stay or prevent any sale of the Leased Premises under
execution or otherwise and pay or otherwise satisfy any final
judgment adjudging or enforcing such contested liens and thereafter
procure record satisfaction of the release thereof. The Lessee
also agrees in any such contest, at the Lessee's cost and expense,
to defend the same on behalf of the Lessor.
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ARTICLE XIII . Condemnation.
13 . 1 If, during the term of this Agreement: (a) the
title to the whole or substantially all of the Leased Premises
shall be taken; or (b) if the Leased Premises shall be deprived of
adequate ingress or egress to or from all public streets and
highways abutting the Leased Premises, and the Lessee cannot
reasonably operate upon the remainder of the Leased Premises at the
time of such taking as the result of the exercise of the power of
eminent domain (hereinafter referred to as "Proceedings") , then
this Lease shall terminate as of the date of such taking pursuant
to such Proceedings. For the purpose of construing the provisions
of this Article, "Proceedings" shall include any negotiated
settlement of any matter involved in a condemnation; and a "taking"
shall be deemed to occur when title to the Leased Premises or
possession thereof is acquired by another governmental authority,
whichever first occurs.
13 . 2 If, during the term of this Lease, title to less
than the whole or title to less than substantially all of the
Leased Premises shall be taken in any such Proceedings and the
Lessee can reasonably operate on the remainder of the Leased
Premises at the time of such taking, this Lease shall not
terminate. The Lessee's obligation to pay rent as provided in
Article IV above, however, shall be adjusted accordingly.
13 . 3 All damages awarded for any taking described in this
Article shall belong to and be the property of the Lessor.
ARTICLE XIV. Total or Partial Destruction.
14 . 1 In case, during the term of this Lease, the Leased
Premises or a substantial part thereof shall be destroyed or shall
be so damaged by fire or other casualties so as to become unusable
for livestock grazing purposes, then, in such event, at the option
of the Lessee, the term hereby created shall cease; and this Lease
shall become null and void from the date of such damage or
destruction; and the Lessee shall immediately surrender the Leased
Premises and its interest therein to the Lessor. Provided,
however, that the Lessee shall exercise such option to so terminate
this Lease by notice in writing delivered to the Lessor within
thirty (30) days after such damage or destruction. In addition,
the Lessee shall continue to be liable to the Lessor for such rent
that will have accrued up to the date of termination of this Lease.
In the event the Lessor shall not so elect to terminate this Lease,
this Lease shall continue in full force and effect.
14 . 2 If the Leased Premises shall be only slightly
injured by fire or the elements so as not to render the same
unusable for livestock grazing purposes, then the Lessor shall
repair the same with all reasonable speed. No compensation, off-
set, or claim shall be made by or allowed to the Lessee by reason
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of any inconvenience or annoyance arising from the necessity of
repairing any portion of the Leased Premises, however the necessity
may occur.
ARTICLE XV. Holding Over.
15. 1 Any holding over after the expiration of the term of
this Lease Agreement or any extended term thereof, with the consent
of the Lessor, shall be construed to be a tenancy from month-to-
month on the same terms and conditions herein specified at the same
rental provided for herein.
ARTICLE XVI. Default of Lessee.
16 . 1 This Lease Agreement is made on the condition also
that if any one or more of the following events (hereinafter
referred to as "an event of default") shall happen:
(a) The Lessee shall default in the due and punctual
payment of the rent or any other amounts required
to be paid hereunder and such default shall
continue for three (3 ), days after the receipt of
written notice from the Lessor; or
(b) The Lessee shall neglect or fail to perform or
observe any of the other covenants herein contained
on the Lessee's part to be performed or observed,
and the Lessee shall fail to remedy the same within
fifteen (15) days after the Lessee shall have
received from the Lessor written notice specifying
such neglect or failure (or within such period, if
any, as may be reasonably required to cure such
default if it is of such a nature that it cannot be
cured within said fifteen (15) day period, provided
that the foundation shall have commenced to effect
such a cure within said fifteen (15) days and shall
proceed with due diligence to complete said cure) ;
or
(c) The Lessee shall: (i) be adjudicated as bankrupt
or insolvent; (ii) file a petition in bankruptcy or
for reorganization or for the adoption of an
arrangement under the Bankruptcy Act (as now
constituted or in the future amended) ; or (iii)
make an assignment of its property for the benefit
of its creditors.
Then, and in any one or more such events of default, the Lessor
shall have the right, at its election and while any such event of
default shall continue, to give the Lessee written notice of its
intention to terminate this Lease on the date of such given notice
or any later date specified therein; and on such specified date,
- 11 of 21 -
the Lessee's right to possession of the Leased Premises shall
cease; and this Lease shall thereupon be terminated. The Lessor
may then re-enter and take exclusive possession of ' the Leased
Premises or any part thereof and repossess the same as the Lessor' s
former estate and expel the Lessee and those claiming through or
under the Lessee and remove the effects of both or either
(forcibly, if necessary) without being deemed guilty of any manner
of trespass and without prejudice to any remedies for arrearages of
rent or preceding breaches of covenants.
16 . 2 Alternatively, the Lessor may elect if an event of
default occurs not to terminate this Lease, but the Lessor shall
still have the right to elect to retake exclusive possession of the
Leased Premises by evicting the Lessee if the Lessee has not
otherwise abandoned the Leased Premises. In the event the Lessor
elects to so take exclusive possession, the Lessee shall not be
relieved of its obligations and liabilities under the Lease, all of
which shall survive such repossession. In the event of such
repossession, the Lessee shall pay to the Lessor as current
liquidated damages:
A. The then value of the rent and other sums as herein
provided which would be payable if such
repossession had not occurred; less
B. The net proceeds, if any, of any reletting of the
Leased Premises after deducting all of the Lessor' s
expenses in connection with such reletting,
including, without limitation, all repossession
costs, brokerage commissions, legal expenses,
attorneys fees, expenses of employees, and
necessary alteration costs and expenses in
preparation of such reletting.
The Lessee shall pay such damages to the Lessor within thirty (30)
days after receiving written notice from the Lessor of such
damages. If the Lessor shall be required to commence any action or
proceeding to collect the foregoing amounts, or to enforce any
other obligation of the Lessee under this Lease, the Lessor shall
be entitled to reimbursement for all costs and expenses incurred in
said matter, including reasonable attorneys fees.
ARTICLE XVII . Attornevs Fees
17 . 1 The Lessee shall pay and indemnify the Lessor
against all legal costs and charges, including attorneys fees,
lawfully and reasonably incurred in obtaining possession of the
Leased Premises after default of the Lessee or termination of this
Lease, incurred in enforcing any covenant of the Lessee herein
contained or any right granted to the Lessor, and incurred in
collecting any rent, monies, or other damages owed by the Lessee to
the Lessor under this Lease.
- 12 of 21 -
ARTICLE XVIII . Lessee to Save Lessor Harmless
18 . 1 The Lessee covenants that it will indemnify and hold
the Lessor, and its officers and employees, harmless from all
claims, demands, judgments, costs, and expenses, including
attorneys fees, arising out of any accident or occurrence causing
injury to any person or property whomsoever or whatsoever due
directly or indirectly to the use or neglect of the Leased Premises
or any part thereof by the Lessee and its officers, agents,
employees, licensees, and invitees or any entity or person (and
their officers, agents, employees, licensees, and invitees) holding
under the Lessee, unless such accident or occurrence results solely
from the tortious misconduct or negligent act or omission on the
part of the Lessor, or its officers and employees; and the Lessee
will indemnify and hold harmless the Lessor, and its officers and
employees, from all damages and all penalties arising out of any
failure of the Lessee, in any respect, to comply with all of the
requirements and provisions of this Lease Agreement; and the Lessee
covenants that the Lessee shall keep and save the Lessor, and its
officers and employees, and the Lessor's interest in and unto the
Leased Premises forever harmless from any penalty, damage, or
charge imposed by any violation of any' laws, whether occasioned by
an act or omission of the Lessee, or by another or others in the
Leased Premises holding under or through the Lessee. In addition,
the Lessor, and its officers and employees, shall not be liable to
the Lessee for any livestock injuries or deaths, regardless of
cause, incurred in connection with such livestock grazing upon the
Leased Premises under this Lease Agreement, unless such injuries or
deaths result from a negligent act or omission of the Lessor.
However, any liability of the Lessor, or of its officers and
employees, to the Lessee shall be subject to all the defenses,
immunities, and limitations of the Colorado Governmental Immunity
Act (Section 24-10-101, et sea. ) and to any other defenses,
immunities, and limitations to liability available to the Lessor,
and its officers and employees, under the law.
ARTICLE XIX. Notices.
19 . 1 Any notice or other communication given by either
party hereto to the other relating to this Lease Agreement shall be
hand-delivered or sent by registered or certified mail, return
receipt requested, addressed to such other party at its respective
addresses set forth below; and such notice or other communication
shall be deemed given when so hand-delivered or three (3) business
days after so mailed:
If to the Lessor:
Mike Smith, Water/Wastewater Utility Director
P.O. Box 580
Fort Collins, CO 80522
13 of 21 -
With a copy to:
John R. Duval, Assistant City Attorney
City Attorney's Office
P.O. Box 580
Fort Collins, CO 80522
If to the Lessee:
lean iracI ,
55 5c z 1Jz l Co. ,,'±, LAA 27
KArr Cc 50(o12
With a copy to:
Or,berL- Burrcugks sa
15 2 n,4 A Jz,�ve
A�i in co Solo 1 0
ARTICLE XX. Hazardous Material.
20 . 1 As used herein, the term "Hazardous Material" means
any hazardous or toxic substance, material, or waste which is or
becomes regulated by any local governmental authority, the State of
Colorado or the United States Government. The term "Hazardous
Material" includes, without limitation, any material or substance
that is: (i) defined as a "hazardous substance" under applicable
state law provisions; (ii) petroleum; (iii) asbestos; ( iv)
designated as "hazardous substance" pursuant to Section 311 of the
Federal Water Pollution Control Act (33 U. S.C. Section 1321) ; (v)
defined as "hazardous waste" pursuant to Section 1004 of the
Federal Resource Conservation and Recovery Act (42 U.S.C. Section
6903) ; (vi) defined as a "hazardous substance" pursuant to Section
101 of the Comprehensive Environmental Response, Compensation and
Liability Act (42 U. S. C. Section 9601) ; or (vii) defined as a
"regulated substance" pursuant to Subchapter IX, Solid Waste
Disposal Act (Regulation of Underground Storage Tanks) (42 U. S.C.
Section 6991) .
20 . 2 The Lessee shall not cause or permit any Hazardous
Materials to be brought upon, kept, or used in or about the Leased
Premises by the Lessee, its officers, agents, employees,
contractors, licensees, or invitees, without the prior written
consent of the Lessor (which the Lessor shall not unreasonably
withhold as long as the Lessee demonstrates to the Lessor's
reasonable satisfaction that such Hazardous Material is necessary
or useful to the Lessee's operation; that it will be used, kept,
and stored in the manner which complies with all laws regulating
any such Hazardous Material; and that the Hazardous Material will
not materially interfere with the Lessor's use of the Leased
Premises. ) If the Lessee breaches the obligation stated in the
- 14 of 21 -
preceding sentence, or if the presence of Hazardous Material on the
Leased Premises caused or permitted by the Lessee results in
contamination of the Leased Premises or if contamination of the
Leased Premises by Hazardous Material otherwise occurs for which
the Lessee is legally liable to the Lessor for damage resulting
therefrom, then the Lessee shall indemnify, defend, and hold the
Lessor, and its officers and employees, harmless from any and all
claims, judgments, damages, penalties, fines, costs, liabilities,
or losses (including, without limitation, diminution in value of
the Leased Premises, damages for the loss or restriction on use of
the Leased Premises, and sums paid in settlement of claims,
attorneys fees, consulting fees, and expert fees) which arise
during or after the Lease term as a result of such contamination.
This indemnification of the Lessor by the Lessee includes, without
limitation, any costs incurred in connection with any investigation
of site conditions or any clean-up, remedial, removal, or
restoration work required by any federal, state, or local
governmental agency or political subdivision because of Hazardous
Material present in the soil or ground water on or under the Leased
Premises . Without limiting the foregoing, if the presence of any
Hazardous Material on the Leased Premises caused or permitted by
the Lessee results in any contamination' of the Leased Premises, the
Lessee shall promptly take all actions at its sole expense as are
necessary to return to the Leased Premises to the condition
existing prior to the introduction of any such Hazardous Material
to the Leased Premises; provided that the Lessor' s written approval
of such action shall first be obtained, which approval shall not be
unreasonably withheld so long as such action would not potentially
have any material adverse effect on the Leased Premises or the
Lessor' s use of the Leased Premises.
ARTICLE XXI . Time of the Essence.
21. 1 It is agreed that time shall be of the essence of
this Lease Agreement and each and every provision hereof.
ARTICLE XXII . Access and Use By Lessor.
22 . 1 It is expressly acknowledged and agreed that the
Lessor, and its officers, employees, and any other person properly
authorized by the Lessor, shall at all times retain the right to
enter upon and use the Leased Premises for any purpose, including
municipal sludge storage and disposal.
ARTICLE XXIII . Hunting Rights
23 . 1 Notwithstanding the provisions of the paragraph 11. 1
above, the Lessor hereby grants to the Lessee the non-exclusive
right to sublease the Property for hunting purposes provided that
the Lessee remits to the Lessor fifty percent (50%) of all fees,
charges, and rent paid to the Lessee by any such subtenant within
thirty (30) days of Lessee's receipt of such fees, charges, and
- 15 of 21
rent. Provided, however, the Lessee may only sublease the Property
for hunting purposes if it has first provided to the Lessor proof,
as required in paragraph 8 . 3 above, that the Lessee has- obtained an
appropriate endorsement to the general liability insurance policy
required by paragraph 8 . 2 above or it has otherwise obtained a new
policy that satisfies the requirements of Article VIII of this
Lease and such endorsement or policy provides liability coverage
for the Lessee' s lease of the Property for hunting purposes and
such endorsement or new policy names the Lessor as an additional
insured. In addition, the Lessee releases, indemnifies, and holds
harmless the Lessor, and its officers and employees, from and
against any and all liability, injuries, damages, costs, expenses,
attorneys fees, and judgments by reason of any type of injury or
damage to any person or property caused by or occasioned to the
Lessee or others in connection with any hunting or other similar
activity conducted on the Property as a result of the Lessee's
subleasing of the Property for hunting as permitted in this
paragraph.
23 . 2 The Lessee's right to sublease the Property for
hunting purposes as set forth in paragraph 23 . 1 above, does not
include the right to so sublease the , State Property or the PRPA
Property. And, in fact, the Lessee acknowledges and agrees that it
shall not sublet for hunting purposes or in any way permit hunting
on the State Property or the PRPA Property.
ARTICLE XXIV. Research Program.
24 . 1 The Lessee agrees to complete a detailed and
specific research program during the term of this Lease Agreement.
This research program shall be that program described in Exhibit
"D" attached hereto and incorporated herein by reference
(hereinafter referred to as "the Research Program") . The Research
Program shall encompass studies evaluating alternate grazing
patterns; supplemental livestock feeding practices; wildlife
management practices; and noxious or toxic plant species management
practices. The purpose of the Research Program shall be to
evaluate range management techniques that enhance economic returns
while concurrently improving environmental conditions on the Leased
Premises .
24 . 2 Prior to placing any livestock upon the Leased
Premises, the Lessee shall deliver to the Lessor a detailed,
written research protocol for the Research Program, which protocol
shall contain a timetable for commencing and completing all
research components of the Research Program. The Lessor must then
approve in writing the said written research protocol before the
Lessee can place any livestock upon the Leased Premises.
24 . 3 To supervise all aspects of the Research Program,
the Lessee shall hire, at the Lessee's sole cost, a range
management expert who must first be approved in writing by the
- 16 of 21 -
Lessor. In addition, the Lessee shall be responsible for hiring
and paying any and all other experts that may be needed to complete
the Research Program, all of which must also first be approved in
writing by the Lessor.
24 . 4 All costs associated with the completion of the
Research Program shall be the responsibility of the Lessee, except
that the Lessor shall pay the costs of materials for construction
of any temporary electrical fencing that may be required in the
Research Program and the Lessor shall be responsible for all costs
of labor and material to construct any permanent facilities or
improvements required to complete the Research Program.
24 . 5 Prior to commencing each component of the Research
Program, the Lessee shall first obtain the prior written consent of
the Lessor. The Lessor shall have the right, prior to the
commencement of any component of the Research Program, to limit,
delay, or cancel any component of the Research Program if deemed
necessary by the Lessor for any reason.
24 . 5 For each of the one-year terms of this Lease, the
Lessee shall submit a final report to the Lessor on the outcomes
and results of all components of the Research Program. The final
report of all research completed during the 1992 grazing season
shall be due to the Lessor no later than March 1, 1993 . The final
report of all research conducted during the 1993 grazing season
shall be due no later than March 1, 1994 .
ARTICLE XXV. Contingencies.
25. 1 This Lease Agreement is hereby made expressly
contingent upon the City Council of the City of Fort Collins
(hereinafter referred to as "the Council") approving this Lease
Agreement by resolution, as required by Section 23-114 of the Code
of the City of Fort Collins, which resolution must be passed by the
Council on or before April 21, 1992 . If the Council does not pass
such a resolution on or before April 21, 1992 , then this Agreement
shall be automatically terminated and all parties shall be released
from all obligations hereunder and any monies theretofore paid to
the Lessor by the Lessee shall be refunded in full to the Lessee.
ARTICLE XXVI . "AS-IS" Nature of Leased Premises.
26 . 1 The Lessee acknowledges and agrees that the Lessor
has not made, does not make, and specifically negates and disclaims
any representations, warranties, promises, covenants, agreements,
or guarantees of any kind or character whatsoever, whether
expressed or implied, oral or written, past, present, or future,
of, as to, concerning or with respect to the Leased Premises and;
(a) the value, nature, quality, or condition of the Leased
Premises, including, without limitation, the water, soil, and
geology of the Leased Premises; (b) the income to be derived from
- 17 of 21 -
the Leased Premises; (c) the suitability of the Leased Premises for
any and all activities and uses which the Lessee .may conduct
thereon including the grazing of livestock; (d) the compliance of
or by the Leased Premises or its operation with any laws, rules,
ordinances, regulations of any applicable governmental authority or
body; (e) the habitability, merchantability, marketability,
profitability, or fitness for a particular purpose of the Leased
Premises; (f) the manner or quality of the construction or
materials, if any, incorporated into the improvements located on
the Leased Premises; (g) the manner, quality, state of repair or
lack of repair of the improvements located on the Leased Premises;
or (h) any other matter with respect to the Leased Premises and the
improvements located thereon, and specifically, that the Lessor has
not made, does not make and specifically disclaims any
representations regarding compliance with any environmental
protection, pollution, or land use laws, rules, regulations,
orders, or requirements, including solid waste, as defined by the
U. S. Environmental Protection Agency regulated at 40 C. F.R. , Part
261, or the disposal or existence, in or on the Leased Premises, of
any hazardous substance, as defined by the Comprehensive
Environmental Response Compensation and Liability Act of 1980, as
amended, and regulations promulgated thereunder. The Lessee
further acknowledges and agrees that having been given the
opportunity to inspect the Leased Premises, and the improvements
located thereon, the Lessee is relying solely on its own
investigation of the Leased Premises and not on any information
provided or to be provided by the Lessor. The Lessee further
acknowledges and agrees that any information provided or to be
provided with respect to the Leased Premises was obtained from a
variety of sources and that the Lessor has not made any independent
investigation or verification of such information and makes no
representations as to the accuracy or completeness of such
information. The Lessee agrees that the Lessor is not liable or
bound in any manner by any verbal or written statements or
representations, or information pertaining to the Leased Premises,
or the improvements located thereon, or the operation thereof,
furnished by any real estate broker, agent, employee, servant, or
other person. The Lessee further acknowledges and agrees that to
the maximum extent permitted by law, the lease of the Leased
Premises as provided herein is made on an "AS-IS" condition and
basis with all faults. It is understood and agreed that the rent
provided for under this Lease Agreement and any other consideration
provided by the Lessee under this Lease Agreement has been adjusted
and taken into consideration by the Lessee to reflect that all of
the Leased Premises is being leased by the Lessee from the Lessor
subject to the foregoing. However, notwithstanding the foregoing,
the Lessor agrees to ensure that all wells and other water
delivery, conveyance, and storage devices are in good and proper
working order prior to June 1, 1992 .
- 18 of 21 -
ARTICLE XXVII . Miscellaneous.
27 . 1 Words of the masculine gender shall include the
feminine and neuter gender; and when the sentence so indicates,
words of the neuter gender shall refer to any gender. Words in the
singular shall include the plural and vice versa.
27 . 2 This Lease Agreement shall be construed according to
its fair meaning and as if prepared by both parties hereto and
shall be deemed to be and contain the entire understanding and
agreement between the parties hereto. There shall be deemed to be
no other terms, conditions, promises, understandings, statements,
or representations, expressed or implied, concerning this Lease
Agreement unless set forth in writing and signed by both of the
parties hereto.
27 . 3 The Article headings used herein are for convenience
of reference only and in no way shall define or limit the scope or
intent of any provision under this Lease Agreement.
27 . 4 Subject to the provisions hereof, the benefits of
this Lease Agreement and the burdens hereunder shall inure to and
be binding upon the parties hereto and their respective heirs,
administrators, successors, and permitted assigns.
27 . 5 The parties hereto agree that this Lease shall be
governed by and its terms construed under the laws of the State of
Colorado. The parties further agree that any judicial proceedings
commenced by either of them to enforce any of the obligations,
covenants, and agreements contained herein, shall be commenced in
the Larimer County District or County Courts.
27 . 6 Nothing contained herein shall be deemed or
construed by the parties hereto nor by any third party as creating
the relationship of principle and agent or a partnership or a joint
venture between the parties hereto, it being agreed that none of
the provisions set forth herein nor any acts of the parties herein
shall be deemed to create a relationship between the parties hereto
other than the relationship of lessor and lessee.
27 . 7 Failure of the Lessor to exercise any right or
rights accruing to it by virtue of the Lessee's breach of any
covenant, condition, or agreement herein shall not operate as a
waiver of the exercise of such right or rights in the event of any
subsequent breach by the Lessee, nor shall the Lessee be relieved
thereby from its obligations under the terms of this Lease
Agreement.
27 . 8 This Lease Agreement is made for the sole and
exclusive benefit of the Lessor and the Lessee, their successors
and assigns, and it is not made for the benefit of any third party.
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27 . 9 The remedies of the Lessor under this Lease shall be
cumulative, no one of them shall be construed as exclusive of any
other or of any other remedy provided by law.
27 . 10 The Lessor reserves the right to grant to any third
party such easements and rights-of-way as it desires over, across,
and under portions of the Leased Premises and to lease all or any
portion of the Leased Premises to any other third party so long as
such easements, rights-of-way, and leases do not unreasonably
interfere with the Lessee's continuing use of the Leased Premises
as provided in this Lease Agreement.
27 . 11 No act or thing done by the Lessor or the Lessor's
officers or employees during the term hereof shall be considered as
an acceptance of the surrender of the Leased Premises, and no
agreement to accept such surrender shall be valid unless in writing
signed by the Lessor.
27 . 12 The Lessee, upon the expiration or termination of
this Lease, either by lapse of term or otherwise, agrees to
peacefully surrender to the Lessor the Leased Premises, including
the improvements located thereon together with any alterations,
additions, and changes made to such improvements by the Lessee
during the term of this Lease Agreement, in good repair, as
hereinabove provided, and except for acts of God, ordinary wear,
and damage by fire or other casualty not caused by the negligence
of the Lessee or anyone under the Lessee's control .
27 . 13 The Lessee acknowledges and agrees that the Lessee
has not relied upon any statements, representations, agreements, or
warranties except such as they are expressed herein.
27 . 14 In the event any covenant, condition, or provision
of this Lease Agreement is held to be invalid by final judgment of
any court of competent jurisdiction, the invalidity of such a
covenant, condition, or provision shall not in any way affect any
of the other covenants, conditions, or provisions of this
Agreement, provided that the invalidity of any such covenant,
condition, or provision does not materially prejudice either the
Lessee or the Lessor in their respective rights and obligations
under the valid covenants, conditions, and provisions of this Lease
Agreement.
27 . 15 To the extent necessary to carry out all of the
terms and provisions hereof, the said terms, obligations, and
rights set forth herein shall survive and shall not be affected by
the expiration or termination of this Lease Agreement.
27 . 16 The parties hereto acknowledge that certain items of
personal property may now be located on the Leased Premises. The
Lessor makes no representations or warranties regarding its
ownership of any such items of personal property or regarding the
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condition of such items. The parties hereto acknowledge that the
said items of personal property located on the Leased Premises and
within the improvements located on the Leased Premises may belong
to third parties. The Lessee agrees to indemnify and hold harmless
the Lessor, and its officers and employees, from and against any
liability for any improper use or disposition by the Lessee of any
items of personal property belonging to third parties.
27 . 17 Neither the Lessor nor the Lessee shall be deemed in
violation of this Lease Agreement if prevented from performing any
of their respective obligations hereunder by reason of strikes,
boycotts, labor disputes, embargoes, shortage of energy or
materials, acts of God, acts of public enemies, acts of superior
governmental authorities, weather conditions, rights, rebellions,
sabotage, or any other circumstances for which they are not
responsible or that are not within their control.
IN WITNESS WHEREOF the parties hereto have caused this Lease
Agreement to be executed the day and year first above written.
THE CITY OF FORT COLLINS, COLORADO,
A Municipal Corporation
By: I J6r,� G
City Manager
ATTEST:
e
City Clerk
APPROVED AS TO FORM:
As istant City Attorney
NATURAL FORT GRAZING, LTD. ,
A Colorado Corporation
By: 'Iel* .
Prgsident
ATTEST:
Secretary
21 of 21 -
EXHIBIT A
LEGAL DESCRIPTION
Deeded Land
MEADOW SPRINGS
WELD COUNTY, COLORADO
LEGAL DESCRIPTION:
TOWNSHIP 10 NORTH, RANGE 67 WEST OF THE 6TH P.M.
Section 6 : N1/2 and SW1/4
Section 7 : All
TOWNSHIP 11 NORTH, RANGE 67 WEST OF THE 6TH P.M.
Section 5 : All West of Interstate Highway No. 25 described
in Book 1619 at page 614 and in Book 1644 at
page 477 .
Section 6 : SE1/4 NW1/4 , Lot 2 and Lot 3 , EXCEPT that part
conveyed to The Colorado Railroad Company
described in Deed recorded in Book 335 at page
505, and EXCEPT that part conveyed to State of
Colorado for highway in Deed recorded in Bock
1000 at page 309 .
Section 7 : All West of Interstate Highway No. 25 described
in Book 1619 at page 614 .
Section 19 : All, EXCEPT that part of said Section 19
described as follows: Beginning at the point
of intersection of the the East line of said
Section and the North line of the County Road
described in Book 999 at page 193 ; thence
Westerly along the Northerly line of said
County Road to the intersection with the
Easterly line of Interstate Highway No. 25
described in Book 1619 at page 614 ; thence
Northeasterly along the Easterly line of said
Highway No. 25 to the North line of said
Section; thence East to the Northeast corner
of said Section; thence South to the point of
beginning; EXCEPT that part of said Section
conveyed to Weld County for highway described
in Book 999 at page 193 ; and EXCEPT that part
conveyed to State Highway Department described
in Book 1619 at page 614 .
Section 29 : All
Section 30: N1/2 SE1/4 , NE1/4 SW1/4 and SE1/4 NW1/4 , NE1/4 ,
N1/2 NW1/4
Section 32 : E1/2, N1/2 NW1/4 , SE1/4 NW1/4 and NE1/4 SW1/4
-2-
TOWNSHIP 12 NORTH, RANGE 67 WEST OF THE 6TH P.M.
Section 20 : S1/2 S1/2 lying South and East of the right of
way of the Colorado & Southern Railway Company
described in Deed to The Colorado Railroad
Company recorded in Book 335 at page 505 , and
lying westerly of the right of way of
Interstate Highway No. 25 described in Book
1619 at page 614 , EXCEPT a strip 150 feet in
width lying in the SE1/4 SW1/4 conveyed to
State of Colorado for highway described in Book
1000 at page 309 .
Section 29 : All West of Interstate Highway No. 25 described
in Book 1619 at page 614 , EXCEPT a strip of
land 200 feet wide through the NW1/4 of said
Section conveyed to The Colorado Railroad
Company by Deed recorded in Book 335 at page
505, and EXCEPT that part conveyed to State of
Colorado for highway through the W1/2 of said
Section described in Book 1000 at page 309 .
Section 30 : All, EXCEPT a 'strip of land 200 feet wide
through E1/2 thereof conveyed to The Colorado
Railroad Company by Deed recorded in Book 335
at page 505 , EXCEPT that part conveyed to State
of Colorado For highway described in Bock 1000
at page 309 .
Section 31: All, EXCEPT a strip of land 200 feet wide
conveyed to The Colorado Railroad Company by
deed recorded in Book 335 at page 505 , and
EXCEPT that part conveyed to State of Colorado
described in Book 1000 at page 309 .
All of Parcel B in the County of Weld, State of Colorado.
-3-
LARIMER COUNTY, COLORADO
TOWNSHIP 10 NORTH, RANGE 68 WEST OF THE 6TH P.M.
Section 1 : All, EXCEPT that part conveyed to State Highway
Department for highway described in Book 912
at page 491, and EXCEPT that part conveyed to
Department of Highways for highway described
in Book 1178 at page 454 .
Section 2 : All, EXCEPT those parts conveyed to The
Colorado Railroad Company described in Book 285
at pages 169 and 170, EXCEPT those parts
conveyed to County of Larimer for highway
described in Book 654 at pages 546 and 560 ,
EXCEPT that part conveyed to State of Colorado
for highway described in Book 912 at pages 490 ,
and EXCEPT that part conveyed to Department of
Highways for highway described in Book 1178 at
page 454 , and EXCEPT that part conveyed to the
Platte River Power Authority as described in
Book 2100 at page 886.
Section 3 : All, EXCEPT that portion as conveyed to the
Platte River Power Authority in Book 2100 at
pge 886.
Section 11: All, EXCEPT those parts conveyed to County of
Larimer for highway described in Book 907 at
page 416 and in Book 1178 at page 462 , EXCEPT
that part conveyed to State of Colorado for
highway described in Book 912 at page 437 ,
EXCEPT that part conveyed to Department of
Highways for highway described in Book 1178 at
page 454 , EXCEPT that part conveyed to The
Colorado Railroad Company described in Book 290
at page 361, EXCEPT that part of the SE1/4
described as follows: Beginning at the
Southeast corner of said Section; thence North
89045 ' 30" West along the South line of said
Section a distance of 774 . 4 feet to the East
line of Interstate Highway No. 25; thence along
said Highway as follows: North 0°14130" East
118 . 6 feet; thence North 89*45130" West 61. 8
feet; thence North 4*04 ' East 863 . 1 feet;
thence North 14004130" East 792 feet; thence
leaving said highway on a line East and
parallel with South line of said Section a
distance of 582 . 39 feet, more or less, to the
East line of said Section; thence South along
said East line 1747 . 74 feet to the point of
beginning; and EXCEPT that part of the SE1/4
described as follows: Beginning on the West
line of said SE1/4 80 feet North of the
Southwest corner of said SE1/4 ; thence North
along said West line 716 . 99 feet; thence on an
-4-
angle to the right of 900 a distance of 1361 . 68
feet, more or less, to the Westerly line of
Interstate Highway No. 25; thence South 21012"
West along said Highway 746 . 52 feet to the
North line of County Road described in Book
1178 at page 462 ; thence South 88055 , West
1110. 2 feet along said North line to the point
of beginning.
Section 12 : N1/2 , EXCEPT that part conveyed to State of
Colorado for highway described in Book 912 at
page 489, and EXCEPT that part conveyed to
Department of Highways for highway described
in Book 1178 at page 454 .
TOWNSHIP 11 NORTH, RANGE 68 WEST OF THE 6TH P.M.
Section 1: All, EXCEPT a strip of land 200 feet wide in
SE1/4 and SE1/4 NE1/4 conveyed to Colorado
Railroad Company by Deed recorded May 12 , 1911,
in Book 290 at page 589 .
Section 3 : All
Section 7 : E1/2 E1/2
Section 9 : All
Section 11 : All
Section 13 : N1/2 , EXCEPT that part conveyed to County of
Larimer for highway described in Book 665 at
page 257 .
Section 15: S1/2 and NW1/4
Section 17 : W1/2 NW1/4 and SE1/4 and S1/2 SW1/4
Section 23 : All, EXCEPT a strip of land 200 feet wide in
NE1/4 and SE1/4 conveyed to The Colorado
Railroad Company by Deed recorded in Book 290
at page 589, and EXCEPT the North 40 feet of
that part of the NE1/4 lying East of the right
of way of Colorado & Southern Railway Company
conveyed to Larimer County by Deed recorded in
Book 426 at page 428 ; That part of the E1/2
SW1/4 lying Easterly of the Colorado and
Southern Railway right of way as said right of
way is described in Book 304 at page 463 , and
EXCEPT that portion lying East of the Colorado
Railroad Company right of way as evidenced by
deed to Meadow Springs Grazing Association,
recorded August 15, 1956 , in Book 1337 at page
589.
Section 24 : SE1/4, EXCEPT that part conveyed to State
Highway Department for highway described in
Book 912 at page 500, and EXCEPT that part
conveyed to Department of Highways for highway
described in Book 1178 at page 454.
Section 25: All, EXCEPT that portion of NW1/4 NW1/4 lying
Westerly of the Southeasterly line of Highway
No. 87 described in Deed to Larimer County
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recorded in Book 665 at page 257, EXCEPT that
part conveyed to State Highway Department for
highway described in Book 912 at page 497 , and
EXCEPT that part conveyed to Department of
Highways for highway described in Book 1178 at
page 454 .
Section 26 : That part of SE1/4 NE1/4 and NE1/4 SE1/4 lying
Easterly of Highway No. 87 as described in Deed
to County of Larimer recorded in Book 665 at
page 257 ;
S1/2 SE1/4 , EXCEPT that part of said S1/2 SE1/4
conveyed to County of Larimer for highway
described in Book 665 at page 257 ;
NW1/4 SW1/4 , EXCEPT a strip of land 200 feet
wide in said NW1/4 SW1/4 conveyed to The
Colorado Railroad Company by Deed recorded in
Book 304 at page 48 .
Section 27 : All, EXCEPT SE1/4 NE1/4 thereof
Section 28 : All
Section 33 : All
Section 34 : E1/2 ; SW1/4 NW1/4 ; N1/2 SW1/4; SW1/4 SW1/4
Section 36 : All, EXCEPT that part conveyed to State Highway
Department for highway described in Book 912
at page 494, and EXCEPT that part conveyed to
Department of Highways for highway described
in Book 1178 at page 454 .
TOWNSHIP 12 NORTH, RANGE 68 WEST OF THE 6TH P.M.
Section 25 : All
Section 27 : All
Section 35: All
All of Parcel A in the County of Larimer, State of Colorado.
Containing 18 , 130 acres, more or less.
EXHIBIT B
Leased Land
I . State of Colorado lease No. 5-38698 :
TOWNSHIP 11 NORTH - RANGE 67 WEST
WELD COUNTY
Section 6 , SW1/4 & W1/2 El/2 305.86 acres
Section 18 , All that part lying West
Of Interstate Highway 25 398 . 20 "
Section 30, SW1/4 NW1/4 , W1/2 SW1/4 ,
SE1/4 SW1/4 and S1/2 SE1/4 216 . 36
Section 32 , SW1/4 NW1/4, NW1/4 SW1/4 ,
and S1/2 SW1/4 160 . 00 "
TOWNSHIP 12 NORTH - RANGE 67 WEST
WELD COUNTY
Section 20, All that part of Lot 1 and
S1/2 NE1/4, NW1/4 SE1/4 , NE1/4
SW1/4, and SW1/4 SW1/4 lying
southeasterly of the Railroad
Right-of-way 1447 85. 00 if
T_O_WNSHIP 11 NORTH - RANGE 68 WEST
LARIMER COUNTY
Section 2 , All 635 . 78 "
Section 8 , All 640 . 00 "
Section 10, W1/2 320 . 00 "
Section 12 , All 640. 00 "
Section 16, All 640. 00 "
Section IS, All 628 . 68 "
Section 22 , All 640. 00 "
Section 24 , SW1/4 160 . 00 "
Section 34 , N1/2 NW1/4, SE1/4 NW1/4 and
SE1/4 SW1/4 160 . 00 "
TOWNSHIP 12 NORTH - RANGE 68 WEST
LARIMER COUNTY
Section 26, All 640. 00 "
Section 34, All 640 . 00
Section 36, All 640 . 00 "
7,549.88 acres
6, 384 . 46 acres in Larimer County
1, 165. 42 acres in Weld County
EXHIBIT C
II . Platte River Power Authority Lease:
TOWNSHIP 10 NORTH - RANGE 68 WEST
LARIMER COUNTY
The NE 1/4 of Section 4 in Township 10 North, Range 68
West of the 6th P.M. , excepting therefrom a tract of lard
situate in the NE 1/4 of said Sec. 4 being more
particularly described as follows :
Begin at the North 1/4 corner of said Sec. 4 and run
thence along the North line of the NE 1/4 of said Sec.
4 , N 89043 ' 45" E 2427 . 49 feet; thence East 209 . 92 feet to
the East line of the NE 1/4 of said Sec. 4 ; thence along
said East line, S 02032 ' 14" E 400 . 39 feet; thence West
2645 . 23 feet to the West line of the NE 1/4 of said Sec.
4 ; thence along said West line, N O1027120" W 388 . 64 feet
to the point of beginning containing 23 . 9357 acres more
or less.
EXHIBIT D
MEADOW SPRINGS RANCH RESEARCH PROGRAM
MAY 1, 1992 - May 1, 1994
INTRODUCTION:
The purpose of this research program is to evaluate alternative management practices that
may improve revenues while concurrently improving the environmental conditions on Meadow
Springs Ranch. The research program components will accomplish this goal by evaluating
alternative livestock grazing practices, wildlife management practices, and noxious or toxic plant
species control practices. The program will consist of two phases, each one year in length. At
the completion of each year, a report summarizing the research results will be submitted to the
City of Fort Collins.
RESEARCH COMPONENT #1:
In traditional beef cattle grazing systems, animals are allowed access to acreage at an
historically derived stocking rate consistent with the land's ability to support growth during the
pasture season. Animals graze over the entire area throughout the season and exhibit selective
eating habits due to the initial abundance of forage, and the animal's preference for specific
species of plants. Selective eating can change the plant species composition of the range and
disrupt top soil unless proper grazing management techniques are used.
Modified or rotational grazing is conducted by allowing access of cattle to pasture at a
higher stocking rate for shorter periods of time, thus forcing more grazing of the available
forage, and less selective eating habits. Advantages of rotational grazing are (A) allows different
sections of the pasture to regrow during periods of non-grazing; (B) may lead to greater body
weight gains of beef cattle; (C) may lead to better distribution of forage and non-forage species;
and, (D) may reduce negative impacts on top soil.
Native range and pasture lands used for cattle grazing must be managed properly to
preserve the long term integrity and production capability of the land. A commitment to land
preservation and knowledge of scientific findings can both be used to develop a plan for
improvement of the land while improving cattle production. The objective of this research
program will be to compare the effects of different grazing patterns on the productivity of grazed
land at the study site, while concurrently monitoring the effects of these grazing patterns on the
soil and vegetation.
Two grazing patterns will be studied: traditional and modified rotational. In traditional
grazing, cattle are allowed access to native pasture for an entire grazing season (approximately
mid-May through mid-November). Cattle are allowed to graze at will over the entire pasture
area. Since this is the type of grazing practiced on Meadow Springs Ranch in the past, it will
be considered the control group.
A modified rotational grazing pattern allows access of cattle to sections of a pasture for
specified periods of time. These sections are created by use of temporary electric fencing. Cattle
are rotated among the sections at predetermined time intervals throughout the grazing season.
These time intervals are variable depending on range conditions. Careful monitoring of range
conditions is necessary to avoid damage to soil and/or vegetation.
Pastures similar in quality and quantity of forage will be used. The mix of cattle numbers
and types will be similar, and randomly assigned to each of the two treatment groups. Pastures
will be grazed from May/June to October/November (depending on weather and range
conditions) for two consecutive years to examine the effect of grazing pattern over time. The
experiment will utilize a completely randomized design repeated in time.
Specific stocking rates, rotational schedules and numbers of animals to be used will be
determined by the range consultant. The range consultant will have specialized expertise in
livestock grazing practices, including rotational grazing, and be a recognized expert in the field.
The rotational schedule will be determined with consideration of forage type and quantity
available in the pastures, and of historical stocking rates at the study site. Cattle will typically
be rotated from pasture to pasture approximately every three to seven days throughout the
grazing season, in consultation with the range consultant.
Experimental animals will be individually identified using ear tags, and will be
individually weighed repeatedly throughout the grazing season. Specific weigh days will be
developed in consultation with the range consultant. The City of Fort Collins will be notified of
all weigh days and locations, and have the right to witness these and all other activities
associated with the experiments.
Body weight gains resulting from the two pastures, and among the individual rotational
cells within the experimental pasture will be determined.
Additionally, the following data will be collected from both pastures:
(1) Animals will be fitted with pedometers in both pastures, in order to measure
distances travelled during grazing.
(2) Sampling of available forage will be conducted in consultation with the range
consultant, by clipping of multiple fenced and non-fenced test plots. Samples will
be analyzed for species identification and relative predominance, and weighed and
analyzed for proximate analysis components, acid and neutral detergent fibers,
macro minerals, and trace elements. Water will be analyzed for possible
contaminants. Estimates of total forage availability and quality will be made based
on analytical results.
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(3) Trace element analyses of blood, hair and fecal samples will be conducted to
examine the effect of pasture grazing patterns on composition of these biological
samples.
(4) Sampling of esophageal and rumen fistulated animals will be conducted to
examine concentrations of rumen components and specific selection of plant
species. Analyses of rumen fluid components will consist of alpha-amino
nitrogen, ammonia, volatile fatty acids (acetic, propionic and butyric), dry matter,
acid and neutral detergent fiber, total nitrogen, ash, and acid detergent fiber
insoluble nitrogen.
(5) Fecal grab sample analyses will be conducted for concentrations of proximate
analysis components, acid and neutral detergent fibers, macro minerals and trace
elements.
(6) Records of weather observations will be kept on a daily basis throughout the
grazing season to allow the impact of factors such as temperature, wind and
precipitation to be used in the interpretation of results.
RESEARCH COMPONENT 1t2:
Noxious or toxic plant species can greatly affect cattle body weight gains, and even cause
death in some cases. Control of undesirable plants can be accomplished using chemical or
biological means. The effects of chemical means of control can include negative impacts on both
long term land productivity and cattle production.
An on-going part of this study will be to survey the quantity and type of toxic/noxious
plant species at the grazing site. This information will be used, in consultation with the range
consultant, to develop a plan for long term control or elimination of these species. Specific
attention will be paid to Delphinium species (i.e., larkspur). These species are responsible for
more cattle losses than any other toxic plant. The specific compounds responsible for cattle
toxicity are polycyclic diterpene alkaloids.
Clippings of specific species of toxic/noxious plants will be collected repeatedly during
the study, and analyzed for significant components. Results will be used to extrapolate possible
toxic effects on grazing cattle. Recommended means of control may include intensive grazing,
use of different ruminent species to graze during different grazing seasons, or insect/parasite
control methods.
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RFCFARCH COMPONENT ,Y3:
The primary wildlife species on Meadow Springs Ranch is pronghorn antelope. A
relatively large herd is resident on the ranch most, if not all of the year. The traditional method
of population control has been through controlled hunting, carried out in conformance with
Colorado Division of Wildlife regulations.
During this two year study period, the.antelope population will be studied to determine
actual and optimal numbers, and available population control strategies. This study will include
input from the Colorado Division of Wildlife, and will conform to all C.D.O.W. rules and
regulations. In addition to traditional hunting methods, biological control methods will be
evaluated.
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