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Home My WebLink About2008-032-03/18/2008-AUTHORIZING THE EXTENSION OF A LEASE OF THE CITY DITCH TO LARIMER COUNTY CANAL NO. 2 IRRIGATING COMP RESOLUTION 2008-032 OF THE COUNCIL OF THE CITY OF FORT COLLINS AUTHORIZING THE EXTENSION OF A LEASE OF THE CITY DITCH TO LARIMER COUNTY CANAL NO. 2 IRRIGATING COMPANY THROUGH APRIL 12, 2009 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; and WHEREAS,water to power the Old Water Works was originally conveyed to and across the Old Water Works property from the Cache La Poudre River through a ditch constructed by the City (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 a one-year extension of the Lease to the Ditch Company; and WHEREAS, on April 4, 2006, the Council approved Resolution 2006-039, authorizing an additional extension of the Lease to the Ditch Company for two more years; 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 another Lease extension would allow time for discussions regarding long-term arrangements between the City and the Ditch Company and for additional historical research by City staff regarding the historical conveyances related to the City Ditch; 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 through April 12, 2009,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 12,2009,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. Passed and adopted at a regular meeting of the City Council held this 18th day of March, 2008. JL M7ayqU ATTEST: ABC► City Clerk G EXHIBIT OR' LEASE. ^.' IS 1ji.ST$:1tE, .,(.de t1.Is �, day of April, A. D. 1906. betwepn.tho City of Fort Collins,, hereinafter designated as tia City, 1wrty of the first part, and The Lorimer C nu a• -2i�sr 0o a r- aw ""-""""-'' �. Q �YOPi. T5' aa:vIrr ti Fop n2 ..«iwe. - hereinafter designated as the Company, part Dif,tho esgsal part. WITHESSETH: That the said. City,. for 'and in con-sideration, of the sun of One Dolle{, the receipt of which is hereby acknowledged, and for the further consideration of the oovenants.and agreements hereinafter net forth to be kept and performed by said Company, its auoceaeora and asaigue, has leasad and demised and does hereby Issas and demise unto said Company, that oertain ditoh right of way known.ae the City Ditch, said dditch fhaving its headgate on the south bank of the 1 thanos.in a soy,ti!aaterly direction to the power plant "belca6lbC to the system of water works of said. City. ''tW%i,193.ABD TO :IOLB the above desorlbed premlees, with the appurtenances, unto said Company, its successors " and ascigna, ,for the period of ninety-nine years from and i after the date of the ensonllne of these presents, upon the following conditions. First: That said Company will receive the said ditch in the condition it is now in; that it will put it in first Glass repair, and maintain it in first clues condition ii for the uses and purposes for which it is to be used, without charge or expense to said City. ' � Second: That said L&troryy will without unreasonable delay enlarge said ditch"to.a oapaolty sufficient to carry : i the water decreed to said, Company. together.with the amount C .fi of water neceasary to operate said power plant as the same has been heretofore operated. Third: That during the term of this lease .the dam and *eadeate belonging to said ditch will be maintained and ;( kept in good repair by said Company at its own expense. ( Fourths That sold Company will construct and - maintain the necessary structures and provide jell .the sufficient mean 'for the proper diversion of the watere to which the parties hereto are entitled at said power plant, so that the power riehte now and heretofore eaJoyed said City will not at any time be impaired; and tlht_st 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 water 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 full control uad operation of staid lensed promisee; and for the purpose of . anlare.ing and keeping the same in repair as hereinubove, stipulated said Company shall have the right, to take and aselirom the land belonging to said City o*from the ditch riAt of Way, and upon which said ditch in situated all the dirt neaessary, without coat; provided, however, that such control and operation of said promises will at no time interfere with the Hill operation of said power plant by said City or its grantees. 31xthe "3old Company shall be liable for any and all damages which may be caused to persons or to property by .reason of its, the Company's, negligence in failing to keep said- premises ilk-'pi-ope'r re.�sir and safe "condition. 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