HomeMy WebLinkAbout1982-111-08/19/1982-CONCERNING PRINCIPLES OF UNDERSTANDING BETWEEN THE CITY OF FORT COLLINS AND ANHEUSER-BUSCH COMPANIES RESOLUTION 82-111
OF THE COUNCIL OF THE CITY OF FORT COLLINS
CONCERNING PRINCIPLES OF UNDERSTANDING
BETWEEN THE CITY OF FORT COLLINS AND
ANHEUSER-BUSCH COMPANIES
WHEREAS, ANHEUSER-BUSCH COMPANIES, INC has expressed to the CITY OF
FORT COLLINS an intent to locate a brewery in the Fort Collins area ,
and
WHEREAS, ANHEUSER-BUSCH COMPANIES, INC has requested that the CITY OF
FORT COLLINS consider providing municipal services to ANHEUSER-BUSCH
COMPANIES, INC including streets, water, sewer, electrical power, planning
and building inspection, and
WHEREAS , the CITY OF FORT COLLINS AND ANHEUSER-BUSCH COMPANIES,
INC have agreed upon the release to the public of a statement of prin-
ciples of understanding to be utilized for the formalization of a final
agreement between the parties, and
WHEREAS, ANHEUSER-BUSCH COMPANIES, INC anticipate that it will locate
a brewery facility in the area to be served by the CITY OF FORT COLLINS
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT
COLLINS as follows
1 THE CITY OF FORT COLLINS and ANHEUSER-BUSCH COMPANIES, INC have
discussed and each approve a statement of principles of understanding to be
utilized for the formalization of a final agreement setting out the terms
between the CITY OF FORT COLLINS and ANHEUSER-BUSCH COMPANIES, INC for
defining the financing, planning, development and zoning considerations
together with the terms for delivery of municipal streets, water, sewer and
electrical utilities to the site in the northeast Fort Collins area as
proposed by ANHEUSER-BUSCH COMPANIES, INC for the location thereon of a
brewery and associated facilities as follows
a Annexation
ANHEUSER-BUSCH COMPANIES, INC shall apply to the CITY OF
FORT COLLINS for annexation of the area selected and the CITY OF
FORT COLLINS shall process such application and act expeditiously
thereon
b Zoning
It is anticipated that ANHEUSER-BUSCH COMPANIES, INC will
request IG/PUD zoning for the area selected Specifically, this
zoning means that all development on the site must occur as a
Planned Unit Development and may include variances as needed The
PUD for the site must receive final approval prior to the CITY OF
FORT COLLINS issuing any building permit for the project
c Building Permit/Plans Examination/Building Inspection
The CITY OF FORT COLLINS will issue a single building
permit for the proposed brewery The City will expedite review
procedures as much as possible Structural , foundation, architec-
tural , plumbing, and electrical power distribution and HVAC drawings
will be submitted to the CITY OF FORT COLLINS for review and ap-
proval A preliminary review process will be established to discuss
these drawings submitted to the CITY OF FORT COLLINS to resolve any
problems which might arise All plans examination and building
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inspection will be conducted by the CITY OF FORT COLLINS staff No
outside organizations will be used for these purposes Staff
members specifically assigned to the ANHEUSER-BUSCH COMPANIES, INC
project will be located in CITY OF FORT COLLINS offices unless other
agreement as to their location is reached with ANHEUSER-BUSCH
COMPANIES, INC ANHEUSER-BUSCH COMPANIES, INC shall also have the
option to assume the responsibility for plans check, and building
inspection on the condition that ANHEUSER-BUSCH COMPANIES, INC
shall be fully responsible for code compliance and hold the City
harmless therefrom
d Streets
The CITY OF FORT COLLINS shall build all necessary off-site
access roads ANHEUSER-BUSCH COMPANIES, INC shall construct all
on-site roads and street structures necessary to serve the brewery
facility
e Water
ANHEUSER-BUSCH COMPANIES, INC shall provide at its cost
sufficient raw water to satisfy brewery consumption initially, and
as the plant may be expanded ANHEUSER-BUSCH COMPANIES, INC agrees
to provide raw water, initially, in the total quantity of 4,200 acre
feet to guarantee receipt by ANHEUSER-BUSCH COMPANIES, INC of a
maximum rate of 9 5 million gallons per day of treated water at 35
p s 1 The CITY OF FORT COLLINS guarantees to process such water
and deliver the same to the ANHEUSER-BUSCH COMPANIES, INC site at
rates based upon the actual cost of treatment and transmission The
CITY OF FORT COLLINS guarantees delivery of an uninterrupted flow of
water in the quantities promised at least equal to the quality
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standards established by present treatment of the Fort Collins
facility whether delivered by the CITY or East Larimer County Water
District The CITY OF FORT COLLINS may enter into an agreement with
the East Larimer County Water District for that District to treat
and transport the water to the site through District facilities at
rates equal to the District cost of service provided so long as such
costs of service do not exceed the cost of service which may be
provided by the CITY OF FORT COLLINS Under either option, AN-
HEUSER-BUSCH COMPANIES, INC shall pay to ELCO or the City any costs
for the construction of facilities to provide the service necessary
ANHEUSER-BUSCH COMPANIES, INC shall provide the raw water required
to be provided by the code of the City, which is at the rate of 3
acre-feet per acre developed and The CITY OF FORT COLLINS will
create a suitable method of municipal financing for THE CITY OF FORT
COLLINS to acquire for ANHEUSER-BUSCH COMPANIES, INC the raw water
consumed, less that provided by ANHEUSER-BUSCH COMPANIES, INC and
to allow ANHEUSER-BUSCH COMPANIES, INC to repay the same accordinq
to the terms of the financing provided
f Waste Water Service
The CITY OF FORT COLLINS and ANHEUSER-BUSCH COMPANIES, INC
shall construct and operate such waste water facilities as may be
necessary to treat the sewage effluent discharged by the ANHEUSER-
BUSCH COMPANIES, INC to the CITY OF FORT COLLINS system, as fol-
lows
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(1) A-B will fund the construction of final clarifiers at
Waste Water Treatment Plant #2 increasing plant
capacity
(2) As a result, City will allow ANHEUSER-BUSCH COMPANIES,
INC to use permanently 8,000 pounds per day (ppd) of
existing unused BOD in the existing plant and for
three years after start-up an additional 4000 ppd
(3) Additional treatnent facilities, collector sewers,
transmission mains, right-of-way and land acquisition,
engineering and construction costs as needed and
determined by final design will be constructed by the
City
(4) City will select a suitable method of financing to
fund the above improvements , payment to amortize
financing will be made through revenues received from
fees and charges to ANHEUSEP-BUSCH COMPANIES, INC and
increased taxes described in Paragraph i
g Storm Drainage
ANHEUSER-BUSCH COMPANIES, INC shall provide sufficient
on-site detention to control storm drainage and surface water
discharges from their site so as to maintain historical flows except
as nay be permitted by adjacent property owners and ditch companies
Off-site, upstream storm flows ihich historically have passed over
or through the ANHEUSER-BUSCH COMPANIES' S site shall be detained on
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the site or passed through the site in a manner consistent with
historic flows, except as may be permitted by adjacent property
owners and ditch companies In consideration to ANHEUSER-BUSCH
COMPANIES, INC for its design and management of its own storm
drainage facilities, the CITY OF FORT COLLINS shall waive any storm
drainage fees otherwise required
h Electrical Service
The CITY OF FORT COLLINS shall provide such electrical
power to ANHEUSER-BUSCH COMPANIES, INC as requested but will
guarantee that 15 mw will be available if necessary The rates
charged shall reflect the cost of service provided together with any
charges to defray the cost to construct the permanent substation
facilities necessary to serve the ANHEUSER-BUSCH COMPANIES'S site
i Financial Considerations
The CITY OF FORT COLLINS will construct certain street and
waste water treatment improvements for the benefit of ANHEUSER-BUSCH
COMPANIES, INC The value of such improvements and the associated
financing costs shall be at a minimum equal to one hundred percent
(100%) of the total of all CITY OF FORT COLLINS use and property tax
revenues paid by ANHEUSER-BUSCH COMPANIES, INC and earned by the
CITY OF FORT COLLINS during the period of the construction of the
initial ANHEUSER-BUSCH COMPANIES, INC brewery plant, including
additions not requiring services and not constituting brewery
expansion , and, thereafter, thirty percent (30%) of the total of
all CITY OF FORT COLLINS property tax revenues paid by the AN-
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HEUSER-BUSCH COMPANIES, INC and earned by the CITY OF FORT COLLINS
for the brewery for the ten (10) year period following the period of
construction including interest earned on net invested cash gen-
erated by financing proceeds, such ten (10) year period to begin at
the moment that ANHEUSER-BUSCH COMPANIES, INC begin to produce any
saleable product from the brewery plant
2 The CITY OF FORT COLLINS, operating under financial and legal
constraints imposed by Colorado law and the Charter of the CITY OF FORT
COLLINS, hereby authorizes and directs the City Manager and Mayor to apply
the foregoing principles of understanding to formalize with ANHEUSER-BUSCH
COMPANIES, INC an agreement to provide the necessary municipal services to
ANHEUSER-BUSCH COMPANIES, INC at its proposed brewery site as selected and
identified adjacent to Interstate 25 northeast of the CITY OF FOPT COLLINS
PASSED AND ADOPTED at a special meeting of the Council of the
City of Fort Collins this 19th day of August, 1982
Mayor
ATTEST
City Clerk
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