Loading...
HomeMy WebLinkAbout1994-030-02/15/1994-FARM LEASE AGREEMENT GREG WALKER RESOURCE RECOVERY FARM SLUDGE FARM RESOLUTION 94-30 OF THE COUNCIL OF THE CITY OF FORT COLLINS AUTHORIZING THE CITY TO ENTER INTO A FARM LEASE AGREEMENT WITH GREG S. WALKER WHEREAS, in 1979, the City purchased 320 acres of land east of the Wastewater Treatment Plant No. 2 at Prospect Street and I-25 also known as the Resource Recovery Farm; and WHEREAS, a portion of said land was leased for farming purposes until the City installed the sludge disposal system in 1982; and WHEREAS, in 1988, the City began farming the Resource Recovery Farm for the purpose of recouping the expenses of sludge application; and WHEREAS, during the years from 1988 through 1990, profits offset operating expenses; and WHEREAS, during 1990 through 1993, market conditions changed and farm operations proved to be unprofitable; and WHEREAS, the City wishes to enter into an agreement to lease the property for farming purposes while still maintaining the sludge applications operations; and WHEREAS, the City has received an offer from Greg S. Walker ("Walker") to lease approximately one hundred and sixty-five (165) acres of the Resource Recovery Farm for agricultural purposes for a ten (10) month term beginning March 1, 1994, with an option to renew an additional one (1) year term beginning the 1st day of January, 1995, for the sum of Seven Thousand Dollars ($7,000) each year; and WHEREAS, City staff and Walker have negotiated a Lease Agreement containing Walker's said offer, a copy of which Agreement is attached hereto as Exhibit "A" and incorporated herein by reference ("the Lease") ; and WHEREAS, the Resource Recovery Farm constitutes a part of the City's Wastewater Utility system; and WHEREAS, Sections 23-111(b) and 23-114 of the City Code authorize the City Council to lease, for a definite term of two years or less, real property which is part of a City utility system, provided the City Council first finds, by resolution, that: (1) the lease of the property will not materially impair the viability of the particular utility system as a whole; (2) the lease will be for the benefit of the citizens of the City; and (3) the lease is in the best interests of the City. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT COLLINS that: Section 1. The City Council hereby finds: (a) that the Lease will not materially impair the viability of the City Wastewater Utility system as a whole; (b) that the Lease will be for the benefit of the citizens of the City; and (c) that the Lease is in the best interests of the City. Section 2. That the Mayor be, and hereby is, authorized to enter into the Lease on behalf of the City. Passed and adopted at a regular meeting of the Counc' of the City o Fort Collins held this 15th day of February, A.D. 1994. or 16 ATTEST: 61 Lk City Clerk EXHIBIT A LEASE AGREEMENT THIS LEASE AGREEMENT, made and entered into this day of 1994, by and between THE CITY OF FORT COLLINS, COLORADO, a municipal corporation (hereinafter referred to as "the Lessor") , and GREG S. WALKER (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, State of Colorado which real property is legally described on Exhibit "A" attached hereto and incorporated herein by reference, and which shall be hereinafter referred to as "the Property" ; and WHEREAS, the Property consists of approximately three hundred seventy-seven (377) acres of which approximately two hundred sixteen (216) acres are arable, and of which approximately one hundred sixty-five (165) acres will be available to the Lessee for agricultural purposes in any year, subject to the terms and conditions hereinafter set forth; and WHEREAS, the Lessor desires to lease the Property to the Lessee for the agricultural purposes hereinafter described, and the Lessee desires to lease the Property from the Lessor for such purposes. 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 Property. 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. Article II . Term and Option to Renew. 2 . 1 The initial term of this Lease shall be for a period of ten (10) months, commencing as of 12 : 01 a.m. on the 1st day of March, 1994 , at which time the Lessor shall deliver possession of the Property to the Lessee, and continuing until 12 midnight on the 31st day of December, 1994 , unless sooner terminated by operation of law or as otherwise provided in this Lease Agreement. 2 .2 The Lessee shall have the option to renew this Lease upon the same terms and conditions as are provided for herein, for an additional one (1) year term beginning as of 12 : 01 a.m. on the 1st day of January, 1995, and continuing until 12 midnight on the 31st day of December, 1995. In order to exercise such option, the Lessee shall give the Lessor written notice of the Lessee's intention to exercise the option, which notice must be given to the Lessor at least sixty (60) days prior to the end of the initial term of this Lease. 2 . 3 The Lessor warrants the Lessee's quiet enjoyment of the Property throughout the initial term of this Lease and any renewal thereof, subject to the provisions of this Agreement. Article III. Rent. 3 . 1 The Lessee shall pay to the Lessor during the initial term of this Lease a total rental of Seven Thousand Dollars ($7 , 000. 00) , which total amount shall be payable, without demand or notice, by the Lessee to the Lessor on April 1, 1994 . 3 . 2 If the Lessee exercises his option to renew this Lease as provided above in paragraph 2 . 2 , the Lessee shall pay to the Lessor for such additional one (1) year term an annual rental of Seven Thousand Dollars ($7, 000. 00) , which total amount shall be payable, without demand or notice, by the Lessee to the Lessor on April 1, 1995 . 3 . 3 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 the City of Fort Collins Water/Wastewater Utility, c/o Steve Comstock, 3D36 East Drake Road, Fort Collins, Colorado 8U525, 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. Article IV. Use of the Property 4 . 1 The Lessee shall use the Property for the cultivation of crops only subject to the following terms and conditions: A. The Lessee acknowledges and agrees that his agricultural activities on the Property will not interfere with the Lessor's operation or repair of the sludge application system located on the Property. The Lessee further covenants and agrees that he will permit the Lessor ready access to the Property and that he will not permit any of his employees or agents to exercise any direction or control over the operation or repair of the sludge - 2 of 17 - application system wheresoever located and howsoever constituted. B. The Lessor reserves Fields 5 and 7 , as described on Exhibit "B" attached hereto and incorporated herein by reference, for sludge application during the 1994 growing season. The Lessee shall cultivate a crop of corn, or other crop or crops of the grass family, on Fields 1, 2, 3 , 4, and 6 as described on Exhibit "B" attached hereto during the 1994 growing season. The Lessee shall, however, not be restricted in the kinds of crops that he can grow on Fields 8 and 9, as shown on Exhibit "B" attached hereto, during the 1994 growing season. C. In the event that the Lessee exercises his option in paragraph 2 . 2 of this Agreement to extend the term of this Lease for an additional one (1) year, the Lessor may reserve from the Property leased under this Agreement such number of acres as the Lessor deems necessary for sludge application in 1995. Also, the Lessor may impose such growing restrictions on the remaining acreage as may be required by federal, state and local rules or regulations pertaining to sludge application. However, the Lessor agrees to consult with the Lessee before deciding how many and which acres of the Property to so reserve and what growing restrictions to impose on the remaining acres. Those properties which are reserved for sludge application may have to be maintained as summer fallow during the growing season. Summer fallow lands upon which sludge is applied during one year must be cropped the following year. 4 . 2 The Lessee shall not use the Property in such a manner so as to violate any applicable law, statute, ordinance, rule, or regulation of any governmental entity or body. ARTICLE V. Maintenance, Repairs and Operations. 5. 1 The Lessee covenants and agrees at all times during the term of this Lease, to maintain and keep all of the Property that the Lessee farms under this Agreement in a condition and state of repair comparable to that which existed at the time of original delivery of possession. Notwithstanding the foregoing, the Lessor shall be solely responsible for maintenance and repairs of the fencing located on the Property and for conducting all mowing operations on the Property. In addition, the Lessor shall be responsible for the costs of all labor and materials needed to build any new fences on the Property deemed necessary by the Lessor as well as the replacement of any improvements required during the term of this Lease Agreement. The Lessee shall not be responsible for any maintenance or repairs necessitated as a result of the Lessor, its officers, employees, agents, or permittees entering - 3 of 17 - upon and using the Property as permitted by this Lease Agreement and the Lessor shall be responsible for any maintenance and repair necessitated by such entry and use. At the end of the term, the Lessee shall re-deliver the Property and the improvements located thereon in a condition and state of repair comparable to that which existed at the time of original delivery, ordinary wear and tear excepted. 5.2 The Lessee shall only be responsible for controlling noxious and toxic plants found in the fields on the Property cultivated by the Lessee and in and along the irrigation lateral ditches in and adjacent to the fields on the Property farmed by the Lessee under this Agreement. This shall include destroying all weeds in and along said fields and lateral ditches before the same shall form seed. The Lessee shall be responsible for the costs of any herbicides or other materials necessary to control such plants. However, in the event that the fields on the Property cultivated by the Lessee become infested with weeds or noxious plants after planting, the Lessor agrees to contribute up to Five Hundred Dollars ($500. 00) for the purchase 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 Property, the Lessee shall comply with all applicable federal, state, and local laws, rules, and regulations regarding 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. 3 Notwithstanding the provisions of paragraph 5. 1 above, the Lessor shall be responsible for all maintenance and improvement costs, including costs of replacement, as needed for irrigation ditches located on the Property, except for the Lessee's obligations to keep the lateral ditches clear of noxious and toxic plants as required by paragraph 5 . 2 above. 5.4 The Lessee shall be responsible for removing all baled cornstalks from the Property. 5. 5 The Lessee shall keep the Property clean and in good sanitary condition, as required by the statutes, ordinances, resolutions, and health, sanitary, and police regulations of the County of Larimer, State of Colorado, and shall not commit but shall prevent all unnecessary waste, loss, or damage to the Property which might be occasioned by the Lessee's possession and use. The Lessee shall not commit a nuisance upon the Property so as to unreasonably interfere with the occupancy and use of adjacent property. - 4 of 17 - 5. 6 Except as otherwise specifically provided in this Agreement, all machinery, equipment, fuel, labor, seed, fertilizer and soil supplements, and all labor needed for irrigation and control of irrigation of the Property required by the Lessee in connection with his farm operations on the Property, shall be the responsibility of and provided by the Lessee. 5. 7 The Lessee shall keep records of all fertilizer, pesticide, and herbicide applications, copies of which records shall be provided to the Lessor by the Lessee on a monthly basis. 5.8 If the Lessee fails to perform any maintenance or make any repairs required of him to be made under this Lease after notice and an opportunity to perform as provided in Section 13 . 1 (b) below, 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 maintenance and repairs 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 material alterations, additions, improvements, or changes to the Property or the improvements located thereon without the prior written approval of the Lessor. 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, repairs, or changes made to the Property or the improvements located thereon by the Lessee. ARTICLE VII . Insurance. 7. 1 If the Lessee employs any employee in connection with his farming operations on the Property, the Lessee shall, at his own sole cost and expense, 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 his employees to be engaged in work on the Property under this Lease. 7. 2 The Lessee, at his 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 Property and insuring the Lessee in an amount not less than Six Hundred Thousand Dollars ($600, 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 - 5 of 17 - insured's liability for property damage, bodily injuries, and death of persons in connection with the operation, maintenance, or use of the Property (including acts or omissions of the Lessee or of his officers, employees, or agents) , and protection against liability for non-owned and hired automobiles. Such coverage shall also include comprehensive motor vehicle liability insurance (if the Lessee uses motor vehicles in his operations under this Agreement on the Property) . 7 . 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 at least 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. 7 .4 No policy of insurance required by this Article 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 to be insured by the Lessee. 7 . 5 In case of the breach of any provision of this Article, the Lessor, after notice to Lessee and a reasonable opportunity to remedy the breach, at its option, may take out and maintain, at the expense of the Lessee, such insurance as would meet, but not exceed, the requirements of this Article, 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. - 6 of 17 - ARTICLE VIII. Utilities and Water. 8. 1 To the extent that any utilities are available on the Property, the Lessee shall be permitted to reasonably use such utilities in his farming operations on the Property at no charge. 8 . 2 The Lessor shall furnish to the Lessee, during the term of this Agreement, for his use in farming the Property, two hundred fifty (250) acre feet of CBT water. All assessments and running charges associated with such delivered water shall be paid by the Lessor. Use of all water rights and supplemental water conveyed or furnished to the Lessee pursuant to this Agreement is specifically restricted to use on the Property under this Agreement. 8 . 3 The Lessor shall be responsible for reasonable irrigation pumping costs and for the maintenance, repair, and improvement costs as needed on the irrigation wells located on the Property. ARTICLE IX. Subletting and Assignment. 9 . 1 The Lessee covenants and agrees that he will not assign this Lease, any interest or a part thereof, any right or privilege appurtenant thereto, nor mortgage or lien the leasehold without the prior written consent of the Lessor. A consent to one assignment or mortgage shall not be construed as a consent to any subsequent assignment or mortgage; 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. 9 . 2 If this Lease shall be assigned, or if the Property 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 9 . 1 above, the Lessor may collect rent from the assignee, subtenant, or occupant, and apply any 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. 9 . 3 The obligations and rights of the Lessee to use the Property for farming purposes shall be deemed personal to the Lessee and in no event shall the Lessee permit, without the prior - 7 of 17 - written consent of the Lessor, any other person or entity to conduct farming operations upon the Property. ARTICLE X. Condemnation. 10. 1 If, during the term of this Agreement: (a) the title to the whole or substantially all of the Property shall be taken; or (b) if the Property shall be deprived of adequate ingress or egress to or from all public streets and highways abutting the Property or is otherwise affected so that the Lessee cannot reasonably operate upon the remainder of the Property at the time of such taking or the Lessee's continued operation on the remaining portion of the Property is rendered economically disadvantageous as the result of the exercise of the power of eminent domain (hereinafter referred to as "Proceedings") , then the Lessee may, in his sole discretion, terminate this Lease 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 Property or possession thereof is acquired by another governmental authority, whichever first occurs. 10. 2 If, during the term of this Lease, title to less than the whole or title to less than substantially all of the Property shall be taken in any such Proceedings and the Lessee can reasonably operate on the remainder of the Property at the time of such taking and such taking has not rendered continued operation economically disadvantageous to the Lessee, this Lease shall not terminate. The Lessee's obligation to pay rent as provided in Article III . above, however, shall be reduced in proportion to the amount of the Property taken. 10. 3 All compensation and damages awarded for any taking described in this Article shall belong to and be the property of the Lessor. Notwithstanding the foregoing, the Lessor shall compensate the Lessee in the same manner as provided in paragraph 2 . 4 above if the Lessee's use of the Property is terminated by the taking. ARTICLE XI. Total or Partial Destruction. 11. 1 In case, during the term of this Lease, the Property or a substantial part thereof shall be destroyed or shall be so damaged by fire, flood, or other casualty so as to become unusable for farming 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 ("date of termination") ; and the Lessee shall immediately surrender the Property and his 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 - 8 of 17 - 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 Lessee shall not so elect to terminate this Lease, this Lease shall continue in full force and effect. 11. 2 If the Property shall be only slightly damaged by fire, flood, or the elements so as not to render the same unusable for farming 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 of any inconvenience or annoyance arising from the necessity of repairing any portion of the Property, unless the. damage or inconvenience was either caused or worsened by an act or omission of the Lessor. ARTICLE XII. Holding Over. 12 . 1 Any holding over by the Lessee after the expiration of the initial term of this Lease Agreement or any extended term thereof, without the prior written consent of the Lessor, shall be construed to be a tenancy at will. ARTICLE XIII. Default of Lessee. 13 . 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) business 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 Lessee 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 - 9 of 17 - arrangement under the Bankruptcy Act (as now constituted or in the future amended) ; or (iii) make an assignment of his property for the benefit of his 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, the Lessee's right to possession of the Property shall cease; and this Lease shall thereupon be terminated. The Lessor may then re- enter and take exclusive possession of the Property 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. ARTICLE XIV. Indemnification. 14 . 1 The Lessee covenants that he 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 Property or any part thereof by the Lessee and his 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 on the part of the Lessor's officers and employees provided that their acts or omissions occur during the performance of their duties for and within the scope of their employment with the Lessor, and provided that their acts or omissions were not willful and wanton; 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 to the Property 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 on the Property holding under or through the Lessee. 14 .2 In connection with its leasing of the Property to the Lessee pursuant to this Agreement, the Lessor covenants that it will indemnify and hold the Lessee harmless from all claims, - 10 of 17 - demands, judgments, costs, expenses, including attorneys fees, arising from the negligent acts or omissions of the Lessor, or of its officers or employees, provided that such acts or omissions by the Lessor's officers and employees occurred during the performance of their duties, within the scope of their employment, and were not willful and wanton. In addition, the Lessor shall indemnify and hold harmless the Lessee, from all damages and penalties arising out of any failure of the Lessor, in any respect, to comply with all of the requirements and provisions of this Lease Agreement. However, the Lessor, and its officers and employees, shall not be liable to the Lessee for any crop failure, regardless of cause, incurred in connection with the Lessee's crop cultivation upon the Property under this Lease Agreement, unless such crop failures result from a negligent act or omission of the Lessor. Notwithstanding the foregoing, the Lessor and the Lessee acknowledge and agree that all such liabilities, claims, and demands of the Lessor or of its officers and employees, shall be subject to any notice requirements, defenses, immunities, or limitations to liability that the Lessor and its officers and employees may have under the Colorado Governmental Immunity Act (Section 24-10-101, C.R. S. , et sea. ) and subject to any other immunities and limitations to liability available to the Lessor, and its officers and employees under the law. ARTICLE XV. Notices. 15. 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 the addresses as 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: Steve Comstock, Water Reclamation Manager 3036 East Drake Road Fort Collins, CO 80525 With a copy to: City Attorney's office P.O. Box 580 Fort Collins, CO 80522 If to the Lessee: Greg S. Walker 6622 Weld County Road 80 Fort Collins, CO 80524 11 of 17 - With a copy to: Fred Walker 7288 Weld County Road 78 Windsor, CO 80550 ARTICLE XVI . Hazardous Material. 16. 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) . 16. 2 The Lessee shall not cause or permit any Hazardous Materials to be brought upon, kept, or used in or about the Property by the Lessee, his 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 the Hazardous Material in question 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 Property. ) If the Lessee breaches the obligation stated in the preceding sentence, or if the presence of Hazardous Material on the Property caused or permitted by the Lessee results in contamination of the Property or if contamination of the Property 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 Property, damages for the loss or restriction on use of the Property, 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 - 12 of 17 - 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 a Hazardous- Material beinT present iir tire- sail or ground water on or under the Property. Without limiting the foregoing, if the presence of any Hazardous Material on the Property caused or permitted by the Lessee results in any contamination of the Property, the Lessee shall promptly take all actions at his sole expense as are necessary to return the Property to the condition existing prior to the introduction of any such Hazardous Material to the Property; 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 Property or the Lessor's use of the Property. ARTICLE XVII . Access and Use By Lessor. 17. 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 Property for any purpose that does not unreasonably interfere with the Lessee's use of the Property under this Agreement. 17. 2 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 Property and to lease all or any portions of the Property 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 Property as provided in this Lease Agreement. ARTICLE XVIII. Contingency_ 18 . 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 March 1, 1994 . If the Council does not pass such a resolution on or before March 1, 1994, 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 XIX. "AS-IS" Nature of Property 19 . 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 - 13 of 17 - expressed or implied, oral or written, past, present, or future, of, as to, concerning or with respect to the Property and with respect to: (a) the value, nature, quality, or condition of the Property, including, without limitation, the water, soil, and geology of the Property; (b) the income to be derived from the Property; (c) the suitability of the Property for any and all activities and uses which the Lessee may conduct thereon including the cultivation of crops; (d) the compliance of or by the Property 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 Property; (f) the manner or quality of the construction or materials, if any, incorporated into the improvements located on the Property; (g) the manner, quality, state of repair or lack of repair of the improvements located on the Property; and (h) any other matter with respect to the Property 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, d 1. "solid d t.._ 11 d i b t orders, or requirements, inCi3dng 3vliu W3Si:c, as e ned y he U.S. Environmental Protection Agency regulated at 40 C. F.R. , Part 261, or the disposal or existence, in or on the Property, 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 Property, and the improvements located thereon, the Lessee is relying solely on his own investigation of the Property 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 by the Lessor with respect to the Property 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 Property, or to the improvements located thereon, or to 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 Property 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 Property is being leased by the Lessee from the Lessor subject to the foregoing. - 14 of 17 - ARTICLE XX. Hunting Rights. 20. 1 The Lessee acknowledges and agrees that he shall not sublet the Property for hunting purposes or in any way permit hunting on the Property. ARTICLE XXI. Miscellaneous. 21. 1 It is agreed that time shall be of the essence of this Lease Agreement and each and every provision hereof. 21.2 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. 21.3 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, personal representatives, successors, and permitted assigns. 21.4 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. 21.5 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. 21. 6 Failure of either party to exercise any right or rights accruing to them by virtue of the breach of any covenant, condition, or agreement herein by the other party shall not operate as a waiver of the exercise of such right or rights in the event of any subsequent breach, nor shall the breaching party be relieved thereby from any other obligations under the terms of this Lease Agreement. 21. 7 This Lease Agreement is made for the sole and exclusive benefit of the Lessor and the Lessee, and their - 15 of 17 - successors and permitted assigns, and it is .not made for the benefit of any third party. 21. 8 The remedies of both parties under this Lease shall be cumulative, no one of them shall be construed as exclusive of any other remedy herein or of any other remedy provided by law. 21.9 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 Property, 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 a condition comparable to that which existed at the time of delivery of possession, as hereinabove provided, except for acts of God, ordinary wear and tear, and damage by fire or other casualty not caused by the negligence of the Lessee or anyone under the Lessee's control. 21. 10 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. 21. 11 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, riots, 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. LESSOR: THE CITY OF FORT COLLINS, COLORADO, A Municipal Corporation By: City Manager - 16 of 17 - ATTEST: City Clerk APPROVED AS TO FORM: Assistant City Attorney LESSEE: By: Greg S. Walker - 17 of 17 - EXHIBIT "A" A tract of land located in the East 1/2 of the East 1/2 of the South.cest 1/4 and the East 1/2 of Section 21, ):KEPT: Book 0343 at Page 0001, described as follows: ,Beginning at a point in the North boundary of the herein above described real property, said point being at the intersection of the said North westerly right-of-way line of State Highway boundary and the y No. 185, fro 1chich point the East quarter corner of Section 21, T. 7 N.., P. 68 11., of the Sixth Principal Meridian bears S. 89051' E, a distance of 1,19.2 feet, said point also being 165 feet westerly, at right angles to, the center lir.e of said State Highway No. 185; Thence 165 feet westerly of and parallel to the said center line of State Highway No. 155, along the arc of a curve to the left with a radius of 11625.0 feet a dista ce of 1100.3 feet (the chord of which arc bears S. 7°32' E. a distance of 1099.9 feet) to a point in the East boundary of said hereinabove described real property at the intersection of said East boundary and the said westerly right-of-way line of State Highway No. 155." ALSO EXCEPT: Book 843 at Page 003, described as follows: "Beginning at a point in the South Boundary of the hereinabove described real property, said point being at the intersection of said South boundary and the westerly right-of-way line of State High%ray No. 135, from which point the E 1/4 corner of Section 21, T. 7 N•, R. 68 W., of the Sixth Principal Meridian bears S. 89*51' E. a distance of 149.2 feet, said paint also being-165 feet westerly, at right angles to the center line of said State Highway No. 185: Thence 16S feet westerly of, and parallel to, the said center line of State Highway No. 135, along the arc of a curve to the right with a radius of 11625.0 feet a distance of 1032.0 feet (the chord of which arc bears N. 2*19 1/2' W, a distance of 1031.7 feet); Thence 165 feet westerly of, and parallel to, the said center line of State Highway No. 185, N. 0*13' E. a distance of 1554.4 feet to a point there the said westerly right-af-way line of State Highecay No. 135 intersects the southerly right-of-way line of the adjoining county road on the North side of said hereinabove described real property." ALSO EXCEPT: Book 843 at Page 0005, described as follows: "A tract or parcel of land...in the northeast Quarter of Section 21, Township 7 North, Range 63 Plest of the 6th PJL, in.La_rimer County, Colorado, said tract or parcel being more particularly described as follows: Beginning at the NE corner of Section 21, Township 7 North, Range 63 West of the 6th P.M., thence along the North line of said Section 21, Ncrth 39°29' West a distance of 195.0 feet; thence South 0*13' hest a distance of 1614.4 feet; thence along the arc of a curve to the left with a radius of 11625.0 feet, a distance of 1032.0 feet (the chord of which arc bears South 2*19130" East a distance of 1031.7 feet) to a point on the East and hest quarter line of said Section 21; thence along the East and West quarter-line of said Section 21, South 89*51' East a distance of 149.2 feet to the E 1/4 corner of said Section 21; thence along the East line of said Section 21 North 0013' East a distance of 2643.9 feet, nore or less, to Point of beginning; ALSO a tract or parcel of land...in the Southeast Quarter of Se:etion 21, Township 7 North, Range 68 Kest of the 6th P.M., in Laiimer County, Colorado, said tract or parcel is more particularly described as follows: Beginning at the E 1/4 corner of Section 21, Township 7 North, Range 63 West of the 6th P.M., thence along the East and {;'cst quarter line of said'Section 21 North 89°43' Best a distance of 149.2 feet; thence along the arc of a curve to the left with a radius of 11625.0 • feet a distance of 1100.3 feet (the chord of which arc bears South '7°32' East a distance of 1099.9 feet) to a point on the East line of said Section 21; thence along the East line of said Section 21 North 0°16' East a distance of 1089.9 feet, more or less, to point of beginning." Y .. ALS(f EXCEPT: ilook M-4 at Page 0241, described as follows: "A tract or parcel of land No. 29 of Colorado Department of li_.h:+ays Project No. I 25-3(31)ZSS Section l...in the E 1/2 of the E 1/Z of Section 21, Township 7 North, Range 63 P:est of the Sixth Principal Meridian, in Larimer County, Colorado, said tract or parcel bei particularly described as .follot4s: Begi nni ng more Ming at a point on the North line of Section 21, T.7N., R.Bll,, from which the NE corner of Section 21 bears S. 89 26' If. a distance of 972.0 feet; 1. Thence along the north line of Section 21 'Z6' E. a•dista , S. 89nce of 972.0 feet to the \E toner of Section 21: 2, Thence along the east line of Section 21, S 6'16' W, a distanc 1,556.1 feet; e of 3- Thence N. 890441 K. a distance of 195.0 feet to the test right•of- t:ay line of S.V. No. 18S; 4. Thence N. 6'00130" 14, a distance of 704.2 feet; S. Thence N. 17'49' If. a distance of 789.0 feet; 6. Thence N. 51011130" Ii. a distance of 70.8 feet: 7. Thence N. 80'26' 11. a distance of 300.UO feet; B. Thence N. 65*12130" I4. a distance of 109.7 feet to the south riht- of-way line of the County Road; g 9. Thence N. 0'34' E. a distance of 30.0 feet, rare of less, to the point of beginning. ALSO, Beginning at a point on the east line of Section.21, T.7N., R.63W., fraa which the NE corner of the SE 1/4, of Section 21 bears N. 0'16' E. a distance of 1,430.5 feet; 1. Thence along the east line of Section 21, N. 0'16' E. a distance of 340.6 feet. to the west right-of-tray line of S.H. No. 185; 2. Thence along the west right-of-way line of S.H. No. 1SS, along the arc of a curve to the right having a radius of 11,625.0 feet, a distance of 600.0 feet (the chord of this arc bears N. 8'16130" a distance of 799.9 feet); 3. Thence S. 6'10130" 11. a distance of 417.5 feet; 4. Thence along the arc of a curve to the left having a radius of 11,680.0 feet, a distance of 611.6 feet (the chord of this arc bears S. 9'43'E. a distance of 611.S feet); S. Thence S. 25'21' E. a distance of 126.E feet, more or less to the point of beginning." ALSO EXCEPT: Book 1448 at Page 669, described as follo:.s: 'That portion of lands...in the NE 1/4 of Section 21, Township 7 North,Range 68 Kest of the 6th P.M. which is bot-coded in the North by Prospect Street, on the East by Boxelder Creek, on the South by the outlet of Creel,Boxelder Cre ' for Fossil Creek Reservoir and on the f:est by the center section line of Section 21, Tatnship 7 North, Range 63 I•lest of the 6th ALSO a"tract of land in the South:rest 1/4 of Section 22 as described in Boo: 846 at Page 010 as follows: "A tract or parcel of land...in the S1 1/4 of Sectioa 22 T. 7 N., R. 68 11. of the Sixth Principal Meridian, in Larimer Co•,nty, Colorado, said tract or parcel being more particularly described as follows: Beginning at the S•i toner of said Section 22; thence along the south lire of said Section 22 ,N. 89.59' E. a distance of 344.2 feet to the southtresterly right of way line of State Highway No. 155; thence along said south::esterly right of tray line of State - Hi h:ray No. 155, T. 12'34 11., a distance of 1120.3 £Yet; thence continuing along said southwesterly right of tray line of State Highway No. 1SS, aid also along the arc of a curve to the right with a radius of 1162S feet, a distance of 471.5 feet (the chord of which arc bears N, h'11'24' . a distance of 471.5 feet) to a point on the west line of said Section 22• thence along said west line of Section 22, (N) VIG' h'. a distance of 1SS5.8 feet, more or less, to the point of beginning." ALSO that part of Section 23 described in.Book 1553 at rPage 193--Item :13, as oence:s: "Beginning at a point 565.22 feet Lest of the Northeast corner thereof thence S. 59°3vii. 1171.44 feet to a point on the Northerly ban;; of the Cache Lai Poudre River, thence (N) 02°06' E. 74.30 feet, thence N. 19°03' 1•;• 203.33 feet thence X. 63°3Z' L. 521 feet, thence .• 86°08 U. 233.40 feet, thence N. along the If. line of the 1E 1/4 to the N 1/4 comer of said Section, thence East al North line of said \T 1/4 to the point of beginning_" on-, the ALL in To:,nship 7 North, Range 63 Hest of the 6th P.M., of Larimer County, Colorado, thieh has been surveyed to be kno+.n as the following described property: Considering the t line of saiection bearings containedsh ein relative theret 21 as bearing N. 00°19'ZS' E. andtrith aLl Co.--encing at the SE corner of said Section 71; thence S. 89°SI'31" E. 314,37 feet along the South line of said Section 22 to a point on the +:esterly right-of-way line of State Highway No. 1S5 I-25); thence, N. 12°30 35" W. 968.97 feet along said wasterly right-of-liay line; thence, continuing along said westerly right-of- way line N. 25°17'35" IV. 425.S0 feet; thence, 611.62 feet on the arc of tangeat curve to the right with a central angle of 3°00'O1'•, a - a radius of 11,630 feat, and Whose long chord bears N. 09°44'35" W. 611.So feet; thence 'N. 60131551, E_ 417.50 feet along a non-tangent line; thence, 1324.49 feet on the arc of a noa- targent curve to the right with°a central angle of 6°33'06", radius of 11,563 feet and whose long chord bears N. 2 59 o0" 1?, 1323.78 feet- thence, N. 00°19'27'• E. 53.90 feet; thence, N. 05057105/, W. 704.20 feet; thence, N. 17°36'34" L'. 789•49 feet along the existing rights-of-way fence line of State High,,-ay 1SS (1-25): thencethence, N rtin44n35al along said Ti"ht-of-way encefence6line N. 35°40137" 1.13.86 . 80.95 feet; leaving said right-of-way fence line N. 01°46140" E• 36.4210321561, 1fest to aepointhOn t, i:esterly right-of-way line of State Highway No.•185 (I-25) and on the North linehe of the in 1/4 of said Section Z1, thence, N, 8S°13120" A'_ 637,17 feet along the , north line of the \F 1/4 of said Section 21 to a point on a n_ander, line of Boxelder Creek- thence, S. 32°09'58" E. 596.85 feet along a meander li^.e of laic Boxelder Creek_to-a-point on a ,�,eancer line for the outlet n Boxelder Creek for Fossil Creek Reservoir; thence, leaving said -eander lint of Boxelder Creek, S. 83034' W. 600,00 feet along said -eander lire of the oatl>_t of Boxelder Cree+t for Fossil Creek Reservoir; thence, S. 49011146" 1,1. 954.34 feet to a point an the west line of the he 1/4 of said Section 21; thence, leaving said nea:.--er l S. 0°23'SS" A'. 1459.17 feet along said west line of the NE 1/4 to the C 1li corner of said Section 21; thence, \. SS°2b'03: W. 365.13 feet along the horn line of the So 1/4 of said Section 21; thence, S. 01°10'00" If. 2a93.3L feet; thence, 3. 19 av 45" E. 117.90 feet; thence, S. 69°3;'45" E. 175.00 feet to a point on the .loth line of the S.f 1/4 of said Section 21- thence, S. SS035'16" E. 194.83 feet along said south line of the S•! 2/4 to the S 1/4 corner of said Section 21; thence S. 084 0°11'10"6'. 79.03 feet along the west line or the NE 1/4 of s id Section 28; thence, 1 S. .33 feet; E. 242.49 feet; thence, S 62°OS'OS" E. 521.Od feet; thence, S. 17°44'enc E. 203.33 feet; thence, S, 03°29'57'11. 74.30 feet. thence, N. 6O°SS'S7' E. 1171.44 feet: to >_ point on the South line of the SE 1/4 of said Section 21; thence, S, E_ 365.22 feet along said south line to the Point of a. SS°36'03', TOGETHER WITH 6 shares of Lake Canal Corzpany capital stock, all wells, pumps and attachzents thereto located on said land and all adjudica- tions or permits issued for said wells, but without warranty or oblicztion concerning such adjudications or permits; however, excluding therefrom and reserving unto party of the First part, its successors and assigns, 105 units of Northern Colorado Water Conservancy District_ SU5JECT TO the terms of a certain farm lease dated January 1, 1967, betwden Fred C. Kluver as landlord and P.oy Schneider as tenant_ RESERVING unto party of the first part, its successors and assigns, the Option to purchase said property pursuant to the terms of a bona fide offer made for purchase of said property to party of the second part_ Party of the first part shall have a period of 90 days from receipt of written notification of such offer to elect, in writing, to either refuse or agree to purchase the property under the terms thereof_ AND ALSO: A tract of land situate in the W1 of Section 27 and in the ES of the Eh of Section 28, Township 7 North, Range GR Nest or. the Gtar P.H., which considering the South line of said Section 211 as b'u.,ring S89010'50"E and with all bearings contained herein r^_lative th^.re LO is contained within the boundary' lines which begin at a point on the blest line of the Ell of the E; of said Section 28 s:Irich he:,_s N89010150"'rl 1319.38 feet and again 1100025'22"E 3084.G; 1vcC Ervin the Southeast corner of said Section and run thence 115G°51'E 590.56 feet; thence S79°51'10"E 408.45 feet; thence S39°29'20"E 349.03 feet; thence S15°25'50"E 674.84 feet; thence S19°5G'20"E 049.02 feet; thence S42°13'20"E 509.40 feet; thence S55'32'10"E 437.43 feet; - thence S17034 '30"W 690.03 feet to a point on the Northeasterly line of the Colorado and Southern Railroad; thence along said Northeasterly line S5G0371E G19.72 feet to a point on the Westerly line of Interstate Hight..-ay 25; thence along said Westerly line 1112'34 ':4 109.70 feel. .u;d - N08°59'30"t9 801.60 feet and again 1412'34'11 2001.10 feet ar,!;-,,' ,in - S77°26'W 52.00 fact and again N12'34 '19 1000.00 feet and ac:,i.n 1102044'I.1 304.50 feet and again N12°3.1 '11 321 .35 feet to a rwint un the North line of the NW`l of said Section 27; thence S09'59'W 344.1G feet to the Northwest corner of ::aid Section 27; thence N88027'50":•1 8G5.22 feet along the North line of the El� Of said Section 28; thence along the centerline of rro::elder Creel: S28"39 'S0••;; 3;0. 18 feet and again S44'02'50"E 193.13 feet and again S30°3•i ",0";: 41.0.72 feet; thence N05°20'10"W 4G1.48 feet and again SG4'19110-I4 Sfi4,n2 {,•.,t to a point on the West line of the E,' of the E; of s-lid Gcctivn 28: thence S00025'22'•W 307.95 feet to the POINT OF UGGIIN:LNG, and being - SUBJECT to a 60.00 foot wide access road whose ceril.erlinr I;cgiu:; at a point which bears N89'10'50"w 1319. 38 feet ,rid n,lain !1aCi^25'2:`r 3785.43 feet and again East 1141.50 feet and again S15"25'5U'•E 551.04 feet from the Southeast corner of raid Guction 20 and run thence N77°2G'E 791.07 feet, more or less, to a point on t.hv Westerly line of Interstate Ilighway 25, and also beiiu SUBJECT to a right of way for the Sand Dike Ditches is now exists. EXCEPT ,I._1_ rthan- portion- conveyed- ILO-Iiehi.c- Prcmi:: Deed recorded June 23, 1982 in Book 2173 at Page 151. r.,m rv..c COUNTY OF LARIMER, STATE OF COLORADO. H' AND ADDED: A tract of land located in the U'h of Section 21, Township 7 North, Ranm_ 68 West of the 6th P.M.., being more particularly described as follcuis: Considering the East line of the NWy. of said Section 21 as bearing N00"23'53'Eand with all beazinq: contained herein relative thereto; CU-204c= at the center quarter corner (South east corner, MAO of said Section 21; said Point being the mD?r OF BCGIC:JING of said tract; thence along the South line of said ml,., 1488e26'03"{4, 366.18 feet; thence N01"10'00"E, 218.65 feet; thence S89946'32"W, 416:84 feet; then,, ❑00"23' 55"E, 730.90-feet; thence N57023122"E, 930.13 feet to the Fast line of said hjt-'- thence S00023'55"W, 1459.16 feet along said Fast line to TILE POnZ OF BMIInq GIN AND EXCEPT: A tract of land located in the S� of Section 21, and in the NFY of Section 28, T 7N, R68W of the Gth P.M., of larimer County, Colorad0, being Tore Particularly described as follows Considering the South lire of the SFh of said Section 21 as bearinq N 88 36'03" 1-7 and with all bearings contained herein relative ttereta: Beginning at the S. corner og said Section 21; hence, along the South line of th..51- of said Section 21, N 86 35116" 11, 194.88 feet; th.-nce, N 69°34'45" "7, 175.00 feet; theme b N 19°34'45" W, 117.80 feet; thence N 01 10100" E, 600.92 feet; thence, S 60 46'09" E, 1423.02 feet; thence 5 O1a10'00" 1•7, 446.09 feet: W_nce N 88°09'O8" 14, 103.97 feet; t,a, N 69049'10" 11 43.63 feet; thence, N 62°03, - W,-521_DO-feet; thence, id-84 4-a'0's"-W 242-.49- Feet to the West line of the NE1. of said Section 28; thence, along the said west line, Id 00011110" E, 79.06 feet to the Point of Beginning, containing 16.23 acres, Tore or less. EXHIBIT "B" 00 Ln N i 01 Q ak N ti Ql •\• i V � v � I U U N Li + \ yam. � OJ — OL ZLi •--� I` GJ M IL ui 3 ��■ Y W o W p- U G V/ Q .po W LL +1 //••yy�� ,�. M y I I 3 LL +� / �¢ LY In %D N W N H I L C) N N U Y JLM CDD 3 a)_ M / J W��1 }� N vJ s� s V M r O •� U) N LL }1Jill m 13381S 34 103dSOLld „8„ IIHIM