HomeMy WebLinkAbout2006-039-04/04/2006-AUTHORIZING EXTENSION OF A LEASE OF THE CITY DITCH ON CITY-OWNED PROPERTY AT 2005 NORTH OVERLAND TRA RESOLUTION 2006-039
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AUTHORIZING THE EXTENSION OF A LEASE OF
THE CITY DITCH ON CITY-OWNED PROPERTY AT
2005 NORTH OVERLAND TRAIL IN LARIMER COUNTY, COLORADO
TO LARIMER COUNTY CANAL NO. 2 IRRIGATING COMPANY
THROUGH APRIL 5, 2008
WHEREAS,the City of Fort Collins(the"City")is the owner of property known as the Old
Water Works Property located at 2005 North Overland Trail Road, in Larimer County, Colorado
(the"Property"); and
WHEREAS, the Property contains a ditch that was originally used to carry water to the
power plant that powered the Old Water Works on the Property(the"City Ditch"); and
WHEREAS, on April 5, 1906, the City Council adopted a resolution which authorized the
lease of the City Ditch to Larimer County Canal No. 2 Irrigating Company(the"Ditch Company")
for a period of 99 years, in exchange for construction of certain improvements and maintenance and
repair of the City Ditch and related structures; and
WHEREAS, on April 13, 1906, the City and the Ditch Company entered into a lease
agreement providing for the lease of the City Ditch, in exchange for construction of certain
improvements and maintenance and repair of the City Ditch and related structures,a copy of which
is attached hereto as Exhibit "A" and incorporated herein by this reference(the"Lease"); and
WHEREAS,the Lease states that the Ditch Company may,at its option,renew the Lease for
an additional ninety-nine year period, but this option to renew had not been approved by the City
Council in the resolution authorizing the Lease; and
WHEREAS, the Lease expired on April 13, 2005; and
WHEREAS, on March 15, 2005, the Council approved Resolution 2005-023, authorizing
only a one-year extension of the Lease to the Ditch Company; and
WHEREAS, the Ditch Company has a continued need to use the City Ditch, particularly
during the coming irrigation season, and there is substantial value to the City in avoiding the
disruption of irrigation flows that would result if the City Ditch were not available to convey said
flows; and
WHEREAS,the Ditch Company has expressed an interest in discussing alternative types of
arrangements for its use of the City Ditch,and this Lease extension would allow time for discussions
regarding long-term arrangements between the City and the Ditch Company, and
WHEREAS, under Section 23-114 of the Code of the City of Fort Collins, the Council is
authorized to approve by resolution the lease any and all interests in real property owned in the name
of the City for a period of two years or less, provided that Council first finds that the lease is in the
best interests of the City.
NOW,THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT
COLLINS as follows:
Section 1. That the Council hereby finds that extension of the Lease of the City Ditch to the
Ditch Company for irrigation purposes for a period of up to two (2) additional years through April
5, 2008, is in the best interests of the City of Fort Collins.
Section 2. That the City Manager is hereby authorized to execute an agreement extending
the Lease through April 5, 2008, consistent with the terms of this Resolution,upon such terms and
conditions as the City Manager, in consultation with the City Attorney, determines to be necessary
and appropriate to protect the interests of the City, including any necessary corrections to the legal
description of the City Ditch that do not result in a material increase or change in character of the
intended lease area.
Passed and adopted at a regular meeting of the City C it held this 4th day of pril, 2006.
Mayo
ATTEST:
City Clerk
EXH181T A
f'...- LEASE.
IS 1 v:..E'NTJrE, :4.de tt is_ /�Y day of
April, A. ". 1906. between the City of Fort Collins., hereinafter
designated as the City, ?arty of the first part, and The
Lorimer Cou2VY C_aAfLI Xc•n2 Irr�iptinga�ogi��tt[,yyaroa.`:rrCTe[ti'oE''-""".
hereinafter designated as the Company, part oS. the esoand part,
,:ITNESSETH: That the said_ City,..for 'and in oon-
Y;�; sideration of the sum of One Dollar, the receipt of which is
hereby acknowledged, and for the further consideration of the
covenants .and agreements hereinafter apt forth to bekept and
performed by said Company, its successors and assigns, has
leased and demised and does hereby leans and demise unto said
Company, that certain ditch right of way known as the City
Ditch, said ditch having its headgate on the south bank of the
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thence in.a southeasterly direction to the power plant belonging
to the system of water.,works of said. City.
'ft'SUV3-AND TO iiOLB the above described premises,
with the appurtenances, unto said Company, its successors
- and assigns, ,for the period of ninety-nine ;years from and
after.the date of the ensealin@ of these prevents, upon the
i
! following conditions.
+1 First: That said Company will receive the said
a. ditch in the condition it is now in; that it will put it in
first class repair, and maintain it in first class condition
for the uses and purposes for which it is to be used, without
charge or expense to said City.
� Second: That said ZLtWany will without unreasonable
1
delay enlarge said ditch ,to a capacity sufficient to carry
: { the water decreed to said Company, together.with the amount
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of water necessary to operate said power plant as the same
has been heretofore operated.
Third: That during the term of this lease .the dam
and headeats belonging to said ditch will be maintained and
� kept in good repair by said Company at its own expense._
FOnrth: That said Company will construct and
maintain the necessary structures and provida all .the
sufficient means for the proper diversion. of the waters ta, -
which the parties hereto are entitled at said power plant,
so that the power rig}+te now and heretofore enJoyed by .. .
said City will not at any time be impaired; and t_*.at-at ,any
and all times when said City or its grantees may desire to
operate said power plant, for any purpose whatever, said
Company will permit the rater necessary therefor to be carried
in said ditch and applied to said power plant without..coat..
and without hindrance of any kind.
Fifth: Said Company shall have Pull control and
operation of said leased premises; and for the purpose of
enlarging and keeping the :one in repair as hereinubove ,
stipulated said Company shall have the right, to take and
use4rom the land belonging to said City eSros the ditch
riAt of dray, and upon rhich said ditch is situated all
the dirt necessary, without cost; provided, however, that
such control and operation of eaid promises will at no time
interfere with the full operation of Bald power plant by
said City or its grantees. .
Sixth: Said CompaYiy shall be liable for an,,,, and ell
damages which may be caused to persons or to pronerty by .reason
Of Its, the Company'a, negligence in failing to keep said
premisee lif-proper repair and safe condition. - -
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