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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 -2- 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 -3- 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 -4- (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 -5- 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- -6- 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 -7-