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HomeMy WebLinkAboutRESPONSE - RFP - 7131 MEADOW SPRINGS RANCH GRAZING LEASE• MEADOW SPRINGS RANCH GRAZING PROPOSAL submitted by NATURAL FORT GRAZING ASSOCIATION RE: City of Fort Collins Request for Proposal No. 7131 This proposal is submitted by Natural Fort Grazing, Ltd. in response to the City of Fort Collins' Request for Proposal No. 7131, "Meadow Springs Ranch Grazing Lease." INTRODUCTION Natural Fort Grazing, Ltd. (hereinafter, the "Association") is a corporation owned by its members, each of whom is personally involved in agriculture and, more specifically, grazing cattle. A list of all of the members of the Association accompanies this proposal. The Association has leased the Meadow Springs Ranch (the "Ranch") from the City of Fort Collins for the past twenty years. Prior to that, the predecessor to the Association —the Meadow Springs Grazing Association —owned and managed Meadow Springs Ranch for nearly thirty years. The composition of the membership of the Association has changed over the years. These changes have been of benefit in the Association's management and use of the Ranch in that knowledge and wisdom arising from long experience have been combined with newer ideas. , The Association currently has fifteen members, all of whom reside within approximately fifty miles of the Ranch. Cumulatively, the members own 1100 units. Historically, a unit has provided the owner with the right to graze one animal unit for six months or, more precisely, the right to six animal unit months during a grazing season. MANAGEMENT OF THE ASSOCIATION Ultimately, the Association is managed by its members who, for example, elect officers and determine an annual budget. All of the members of the Association are personally involved in managing livestock grazing on property other than the Ranch that they individually lease or own. Of significance to this proposal is the members' involvement in making decisions regarding grazing and management plans for the Ranch. For the past several years, it has been the Association's practice to hold a membership meeting in late April, prior to the beginning of the grazing season. At this meeting the members consider their own experience, information provided by our Range Conservationist and our Ranch Manager, and information and opinions offered by representatives of the City of Fort Collins who have responsibility for Meadow Springs. It is at this meeting that final decisions are made about whether any adjustment will be made to the number of animal units that will be grazed during the up -coming season. We also use this meeting as an opportunity to confer with representatives of the City about changes such as constructing or removing fences, weed control, and availability of water. The Association has found these meetings rewarding and informative and, if awarded the lease, intends to continue with this practice. It also should be noted that the Association has, and will continue to, hold special meetings to address critical, but unforeseen, occurrences. For example, 2006 was an exceptionally dry year. In recognition 0 JAMES "JIM" M. SMITH 961 Scenic Avenue Pagosa Springs, CO 81147 970/590-5747 (cell) and 970/731-2392 (residence) TITLE: Range Manager QUALIFICATIONS: Employed 31 years with Cooperative Extension working with stakeholders to identify issues and develop educational programs to address their needs in areas of agriculture, natural resources, environment, and youth. Activities included assisting ranchers in range management and livestock selection. EFFORTS RELATING TO RANGE MANAGER POSITION: • Bachelor of Science in Agricultural Education, Texas Tech University, 1964 • Master of Science in Plant Science, West Texas State University, 1990 • Operated 8,500 acres of range land in Hansford County, Texas, running 1,000 head of yearling cattle per year (1977-1980) • Range Manager for Travis County Commissioners overseeing 18,000 acre ranch at Throckmorten, Texas, owned by Travis County. Monitored stocking rate, brush control, environmental impact from oil/gas leases, and wildlife habitat (1992-1998) • Extension Director, Weld County, Colorado. One segment of this position related to assisting ranchers and small acreage owners with range management issues (1998-2004) • Boot Jack Ranch, Pagosa Springs, Colorado. Developed and implemented weed control management program on grassland, and irrigation plan for newly planted grasses (2005 summer season). • Southern Ute Indian Tribe, Ignacio, Colorado. Agriculture Division Head. Position included working with tribal members establishing and maintaining grassland (2008-2010). • 12 years training and supervising Master Gardeners in Colorado and Texas. EMPLOYMENT HISTORY: Southern Ute Indian Tribe, Ignacio, Colorado 2008-2010 Boot Jack Ranch, Pagosa Springs, Colorado 2005 Summer Weld County, Colorado, County Extension Director 1998-2004 Travis County, Texas, County Extension Director 1991-1998 10 0 Potter County, Texas, Extension Agent-Ag Hansford County, Texas, Extension Agent-Ag Rancher and Farm Manager in charge of executing oil & gas leases Co-owner and Manager IH Equipment Dealership Texas County, Oklahoma, Extension Director Harmon County, Oklahoma, Extension Director Texas County, Oklahoma, Extension Agent-4H Monsanto Agricultural Center, Manager, Guymon, Oklahoma Moore County, Texas, Assistant Extension Agent-Ag 11 1983-1991 1980-1983 1977-1980 1975-1978 1970-1975 1970 1969-1970 1966-1969 1964-1966 0 0 Rob Price CPA 55 S. Elm Avenue, Suite 110 Eaton, Co 80615 (970)454-3495 Ben D. Brown DVM 35954 WCR 69 Briggsdale, Co 80611 (970) 352-2384 Joe Huffaker 17234 North County Road 7 Wellington, CO 80549 (970) 566-1003 REFERENCES 12 of the drought and the accompanying stress on the resources of the Ranch, the members of the Association met and agreed to remove 25% of the cattle as of the first of July. Conditions did not improve and the members met again and agreed to remove all cattle from the Ranch by the end of August. The Association annually elects five officers who meet as needed as an executive board to address issues that do not require a meeting of the entire membership. The current officers are listed at the end of this proposal. Although he is not part of management, the reports and information provided by Jim Smith, our Range Conservationist, are critical tools relied upon by the members of the Association. Mr. Smith's contributions are important for monitoring, over time, the condition of the Ranch, for making decisions about stocking rates, and for making decisions about location, numbers and duration while implementing rotational grazing strategies. Finally, day-to-day decisions regarding cattle management and care —including rotational grazing --are made by the Ranch Manager, often in consultation with one or more of the officers. Our Ranch Manager, Tyler Hoss, has a wealth of experience and knowledge. Mr. Hoss grew up on a ranch in western Nebraska, has an Associate of Science degree in animal husbandry, and has either been working on or managing grazing operations since he was fourteen years old. Notably, Mr. Hoss is also a member of the Association, not merely an employee. He has successfully established a good and cooperative working relationship with the City employees who are responsible for and/or perform their duties on the Ranch. EXPERIENCE RELATED TO GRAZING MANAGEMENT The members of the Association have many years of grazing -management experience, both individually and collectively. Each of the fifteen members of the Association is actively involved in animal husbandry, although their respective operations vary in size. All of the members have been actively involved with grazing for several years, and some represent the multi -generational agricultural operations. Also worth noting is that each of the members has individual responsibility for grazing management on land —either owned or rented —other than Meadow Springs Ranch. The collective experience of the membership in managing Meadow Springs Ranch has already been noted. The ages of our members ranges from the late-20's to the mid-70's; the tenure of members of the Association ranges from about five years to over forty years. This range of age and experience, combined with the members' commitment to the long-term health of the Ranch and their own long- term economic viability, the willingness of the members to become aware of and incorporate new research findings regarding animal health and land sustainability, and the flexibility of the members in recognizing and dealing with changing circumstances, contribute to management that strives to be appropriate in light of the circumstances extant at any given time. Several of the Members of the Association are engaged part-time in agriculture and have other careers in business, banking, and law, which allows them to bring additional expertise. The importance of information, reporting, and consultation from our Range Conservationist has already been mentioned. Mr. Jim Smith has substantial expertise in range conservation. A copy of his curriculum vita accompanies this proposal. 0 Similarly, the importance of our Ranch Manager, Tyler Hoss, cannot be underestimated. Mr. Hoss is a self -motivated individual who pays attention to circumstances as they change. A rotational grazing plan is created at the beginning of each grazing season, in light of circumstances as they then appear and the needs of the City for biosolid distribution. Mr. Hoss implements this plan, but also is able and willing to modify it if conditions—e.g., water or forage availability —require. A list of references accompanies this proposal. FINANCIAL STABILITY OF THE ASSOCIATION For the past twenty years the Association has demonstrated its financial responsibility by making all payments to the City of Fort Collins on time while meeting all of its other financial obligations. The structure of the Association contributes to its financial wherewithal and stability. The Association's income is derived from assessments made upon its members. Because the Association is composed of several members, its financial stability is not dependent upon the resources of any one individual. Furthermore, the Association has in place mechanisms for ensuring that all of its members meet their financial obligations to the Association. Finally, should a new member seek to join the Association, one of the criteria used in deciding whether to approve a membership application is the applicant's ability to be financially responsible. RECORD OF PERFORMANCE The Association is proud of and pleased by the cooperative relationship it has had with the City of Fort Collins for the past twenty years. As mentioned, our decisions regarding grazing have been made in consultation with the City, and we would like that collaborative relationship to continue. We have demonstrated flexibility in our plans when conditions required. We have appreciated the City's willingness to listen to our suggestions for improvement of the Ranch and its willingness to assist in undertaking actions to improve the Ranch. One example of our collaboration with the City which we are pleased to see continued in the proposed lease is the joint responsibility for the expense of hiring a Range Conservationist. For the past several years, the Association and the City have shared equally the cost of hiring the Range Conservationist. We believe the continued use of Mr. Smith —or another conservationist if he should retire —is invaluable to both the Association and the City. PROPOSED MANAGEMENT PLAN Because, as Yogi Berra indicated, predictions are difficult, especially when they are about the future, a specific management plan for the next ten years is neither possible nor advisable. Instead, we can reiterate the manner in which periodic management decisions will be made. Assuming conditions allow, the Association intends to use the Ranch during the grazing season specified in the proposed lease agreement, i.e., beginning on May 15 and ending on November 15 and to graze a maximum of 6,600 animal unit months (AUM's). 0 The preparation and implementation of an annual grazing plan, as well as interim modifications to that plan, depends on several factors. Perhaps the most critical factor, as well as one that it relatively constant, is the availability of water for livestock watering.' After water, other conditions must be considered including forage availability (which is largely dependent upon weather) and compatibility of the herds belonging to different members (which may include, for example, types of bulls, breeding seasons, type of livestock, size and health of cattle, and individual member attitudes toward matters such as mineral supplementation and weaning dates), and the City's needs regarding bio-solid dispersal. The basic grazing plan currently used will probably continue unless there are significant changes in available water resources. Currently, two pastures are used continuously throughout the season. The remaining pastures are divided so that there are nine separate rotations. Five of those rotations typically support less than 100 animal units each; four of them support more than 100 animal units each. Generally, if a rotation has only two pastures, we try to move through the rotation at least three times during the season; if a rotation has three or more pastures, we try to move through it at least twice. The sequence in which pastures within a rotation are used can change from year to year and specific stocking rates and the duration of grazing change based upon circumstances. The process by which the Association will manage the Ranch is, due to the unpredictability of the future, more important than specific managerial prescriptions. To this end, the Association intends to continue with the consultative and collaborative model it has followed in the past, i.e., paying attention to the condition of the Ranch, the insights and recommendations of the Ranch Manager and the Range Conservationist, and the needs of the City, and making decisions in light of those conditions and needs. ENVIRONMENTAL AWARENESS The Association rejects the sometimes voiced canard that environmental concerns are incompatible with the interests of graziers. Admittedly, the basic purpose of the Association is to support the economic viability of its Members' livestock operations. However, any long-term concern for the sustainability of a livestock operation requires that attention be paid to the long-term health and sustainability of the resources on which it relies. The Association simply cannot meet its members' needs without close attention being paid to the long-term health and sustainability of the Ranch. We believe research, and the experience of the past twenty years, demonstrates that appropriately managed grazing can enhance the health of grasslands. Among the more important "tools" to be employed when trying to sustain or improve grasslands through grazing are the timing of grazing, stocking rates, duration of grazing, and adequate rest from grazing pressure. Where possible, the Association has employed, and will continue to employ, these tools in its management of the ranch. Whether or not our management is succeeding in sustaining or improving the resource can only be known through monitoring. Our Range Conservationist monitors the health of the resource at specific GP5 locations annually not only in order to determine the conditions for that year, but also to monitor trends over time. In addition, an annual overview of the condition, and trend, of the Ranch is performed. These reviews and the reports that follow them are important factors in making interim decisions and in determining whether more fundamental modifications to grazing plans are appropriate. ' Water availability is relatively constant compared to some other factors, but is not static. For example, in a wet year there may be more spring or stream flow and even standing water in depressions. Conversely, if a well -casing collapses, an anticipated water source may disappear. 0 Typically, our Range Conservationist prepares quarterly written reports about the condition of the Ranch and the condition of cattle using the Ranch, which are provided to the Association and the City. Furthermore, typically the Conservationist meets with the membership at least twice a year to answer questions and provide additional information. As mentioned, we believe monitoring past performance assists in planning for the immediate and the longer -term future. The Association intends to continue with the type of monitoring and record -keeping it has engaged in for the past several years. This monitoring and record -keeping includes: 1) regular quarterly reports on forage condition and soil moisture and condition; 2) records concerning livestock in any particular pasture including the dates livestock are present, the weight and body condition of the livestock, the number of livestock, and weather conditions; 3) photographic records; 4) vegetation trends measured over time. The Association is aware of its responsibility regarding the Butterfly Plant and believes that its current management practices have not been harmful, and probably have been beneficial, to the plant. We recognize that if other endangered, threatened, or sensitive species should be found on the Ranch, adjustments in management may be appropriate. We are confident that, if necessary, mutually satisfactory adjustments can be reached through a collaborative and cooperative process. LEASE RATES AND RENTAL Although the price of cattle has risen in the past few years, the costs of ranching have risen faster still. Members of the Association know that the expense of forage, while significant, is only one of the costs they incur in raising cattle. Members also know that the price they can receive for their livestock can fluctuate significantly from year to year and that they have little control over the price they will receive. In light of these challenges, the Association proposes that for the first five years of the lease it pay the City $15.00/AUM. If the Ranch is fully stocked, therefore, the annual payment would be $99,000.00 ($15.00 x 6600). For the second five years of the lease, the Association proposes $16.50/AUM. The Association would like to note that the cost to its members of operating on the Ranch will exceed the amount paid to the City. The members' assessments must cover not only the lease payment to the City, but also the cost of employing a Ranch Manager, one-half the cost of the Range Conservationist, utilities, fuel, communications, insurance, salt, mineral, and fly control. OTHER MANAGEMENT ISSUES There are some specific management issues the Association would like to mention which we believe will have some impact upon the City, the Association, or both in the future. Obviously, this list is not intended to be exclusive and we can assume that other unanticipated issues will arise in the future. 1. Bio-solids dispersal: The City is responsible for any environmental concerns related to the dispersal of bio-solids. Nevertheless, we have been, and remain willing to, adjust grazing practices in light of bio-solid dispersal. 2. Weeds: Although the Ranch is not inundated with weeds, there are areas of concern — especially with respect to dalmatian toadflax and knapweed. The Association cannot afford the cost of large-scale eradication and does not have the proper expertise or licenses for such control. We will to bring to the City's attention any areas of particular concern as we become aware of them and will cooperate with the City, if asked, in trying to control such plants. 3. Poisonous plants: With the exception of a few localized areas of larkspur, poisonous plants do not seem to be much of a problem on the Ranch. 4. Prairie dogs: Prairie dogs represent a practical problem and illuminate a cultural divide. There have always been prairie dogs on the Ranch. In the recent past, the number of prairie dogs and the size of their colonies increased significantly; even more recently, the number and size have both decreased significantly as a result of plague. It is our understanding that efforts have been made between departments of the City for cooperative management of prairie dogs on both Soapstone and Meadow Springs. The Association applauds this decision. We know there are people for whom one prairie dog is too many and there are others for whom any management or control is anathema. The Association is pleased that steps are being made toward cooperative management that allows for reasonable numbers and reasonable control. 5. Wildlife: The Ranch hosts an abundance of pronghorn antelope and many smaller animals. The City has allowed hunting of antelope by Outdoor Buddies. This seems to be a good program for two reasons: providing hunting opportunities for disabled persons who might not otherwise have such opportunities and keeping some control and pressure upon the antelope population. Assuming this program continues, it is important to ensure that it does not lead to conflict with neighbors, that damage to the Ranch (e.g., by driving off -road) is kept to a minimum, and that gates and fences are respected. It also is important that our Ranch Manager have notice of such activities since without such notice it is difficult for him to distinguish, prior to personal contact, between a hunter who has permission and a trespasser. 6. Trespass: There are unfortunately a number of people who see the expanse of the Ranch as a playground that should not be closed to them. Often these are not merely hikers or equestrians, but people in four-wheel drive vehicles or on ATVs. Often, they not only trespass but seem not to care about staying on roads or trails or closing gates, and sometimes trespassers will simply cut fences. The problem of trespass seems likely to grow worse as more of the public becomes aware of City and County owned open spaces in northern Larimer County. The Association has advised the Ranch Manager that one of his duties is to watch for trespassers and ask them to leave and/or report them to City authorities. We also have tried to take other measures to discourage trespass such as better and maintained signage, better gates and locks, and modifying fencing. 7. Neighbors: We are sure that the City wants a positive relationship with its neighbors, as does the Association. Unfortunately, sometimes when people move to the country, they do not have as much appreciation as we might wish for their obligations and responsibilities to others. This lack of knowledge or appreciation can result in conflicts. By way of example, people may not be aware of Colorado's "fence out" law or even the importance of maintaining fences; people may let dogs roam without restraint or control; people may be less than responsible in setting fires and conducting various activities on their property. Fortunately, given the current patterns of land ownership, it appears unlikely that there will be a significant influx of new residents in the area. 8. Access issues: The Association is aware that, in addition to representatives of the Utilities Department, other representatives of the City or other persons may have legitimate reasons to be on the Ranch. It would assist the Ranch Manager, and the Association, if we could know in advance when people were going to be on the Ranch with the permission of the Utilities Department. Without advance notice, or some other form of authorization, it is difficult for the Ranch Manager to distinguish between someone whose presence is authorized and a trespasser. Furthermore, it would be beneficial if authorized users were always made aware of the importance of leaving gates as they are found. 9. Ranch improvements and repairs: The Association believes its relationship with the City has been a good one and has appreciated the City's efforts to improve, repair and maintain the Ranch. The Association also recognizes that the City is in the midst of a difficult economic period and that appropriations may not always be available to the Utilities Department for improvements or repairs. The only point the Association would like to make is that limitations encountered by the City may require adjustments by the Association. For example, if a well were to fail and the City was unable to promptly repair the well, the pasture served by that well might not be suitable for use. This, in turn, would require immediate modification of the Association's grazing plan. List of members of Natural Fort Grazing, Ltd. Jim Bradley Ray Peterson 2127 WCR 80 20595 WCR 33 Wellington CO 80549 LaSalle CO 80645 (970) 568-7527 (970) 737-0385 Jim and Tim Brunelle Richard and Lisa Pettinger 17550 WCR 5 37490 WCR 57 Berthoud CO 80513 Eaton CO 80615 (970) 535-4315 (970) 454-2925 Glenn Cecil Jeremiah & Krystal Holaday 36640 WCR 51 43171 WCR 43 Eaton CO 80615 Ault CO 80610 (970)834-1409 John G. Dilka Larry Stewart 30368 WCR 74 38044 WCR 45 Galeton CO 80622 Easton CO 80615 (970) 454-2260 (970) 454-1314 Cell 396-2672 James Dilka Justin Story 34528 WCR 74 10825 NCR 15 Briggsdale CO 80611 Fort Collins CO 80524 (970) 351-0840 (970) 568-7449 Cell 396-8791 Tyler Hoss Patrick Stratton 62000 1-25 Access Road 9631 NCR 15 Carr CO 80612 Fort Collins CO 80524 (970) 380-0608 (970) 568-9245 Glenn Hutchison Swanson Farm & Ranch Co. 10334 WCR 110 Conrad T. (Ted) Swanson Carr CO 80612 701 ECR 76 (970) 302-3850 Wellington CO 80549 Cell 897-2208 (970) 568-9041 Cell 227-8255 Alan Letterly 28477 WCR 78 Eaton CO 80615 (970) 454-0989 8 0 OFFICERS OF NATURAL FORT GRAZING, LTD. President - Conrad T. Swanson Vice President - Larry Stewart Vice President - Jim Brunelle Secretary - Ray Peterson Treasurer - James Dilka W