HomeMy WebLinkAbout09362Reception 2126469
12/26/2018 02:37:39 PM
ORDINANCE NO. 9362
AN ORDINANCE ANNEXING UNINCORPORATED LAND
COMMONLY KNOWN AS THE EVRAZ ANNEXATION NO. 1
DESCRIBED AS 8.84 ACRES OF LAND EAST OF 1-25 AND
AT THE TERMINUS OF INDIANA AVENUE
WHEREAS, the City Planning and Zoning Commission has recommended that the
area described in Section 1 hereof be annexed to the City of Pueblo; and,
WHEREAS, the City Council has heretofore found and determined by Resolution
that the Petition for Annexation and the area described in Section 1 hereof to be in
compliance with the notice and other applicable provisions of the Municipal Annexation
Act of 1965 and C.R.S. §31-12-104, 105 and 107(1); and,
WHEREAS, the City Council has by Resolution found and determined that an
election is not required under C.R.S. §31-12-107 (2) and no additional terms and
conditions are to be imposed upon the area described in Section 1 other than those set
forth in the Petition for Annexation and the Annexation Agreement; NOW THEREFORE,
BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that:
SECTION 1.
The following described area situated in Pueblo County, Colorado, is hereby
annexed to Pueblo, a Municipal Corporation, subject to the terms and conditions set forth
in the Petition for Annexation and the Annexation Agreement, and the official map of the
City shall be amended to show such annexation:
1. AREA TO BE ANNEXED
A parcel of land located in a portion of the East one-half (1/2) of Sections
12, and 13, Township 21 South, Range 65 West of the 6th P.M. in the County
of Pueblo and State of Colorado, being more particularly described as
follows.
Considering the South line of Block 39 in Lake Minnequa Addition as filed
for record in the Pueblo County records to bear N. 88°54'21" E. and all
bearings contained herein being relative thereto.
Commencing at the Southeast corner of said Block 39 and the present City
limits line; thence N. 88°54'21" E., a distance of 125.00 feet to the east right-
of-way line of the Denver and Rio Grande Railroad as presently located;
thence N. 01°04'44" W. along said east right-of-way line, a distance of
300.00 feet to the Point of Beginning; thence N. 01°04'44" W. continuing
along said east right-of-way line, a distance of 950.00 feet; thence N.
88°54'21" E., a distance of 226.00 feet; thence N. 40°24'00" E., a distance
of 128.98 feet; thence S. 01°05'39" E., a distance of 1,896.61 feet; thence
S. 88°54'21" W., a distance of 100.00 feet; thence N. 01°05'39" W., a
distance of 850.00 feet; thence S. 88°54'21" W. a distance of 211.71 feet to
the said east right-of-way line and the Point of Beginning.
Containing 8.84 acres, more or less
2. PROPOSED NEW CITY LIMITS LINE:
Commencing at the Southeast corner of said Block 39 and the present City
limits line; thence N. 88°54'21" E., a distance of 125.00 feet to the east right-
of-way line of the Denver and Rio Grande Railroad as presently located;
thence N. 01°04'44" W. along said east right-of-way line, a distance of
300.00 feet to the Point of Beginning; thence N. 01°04'44" W. continuing
along said east right-of-way line, a distance of 950.00 feet; thence N.
88°54'21" E., a distance of 226.00 feet; thence N. 40°24'00" E., a distance
of 128.98 feet; thence S. 01°05'39" E., a distance of 1,896.61 feet; thence
S. 88°54'21" W., a distance of 100.00 feet; thence N. 01°05'39" W., a
distance of 850.00 feet; thence S. 88°54'21" W. a distance of 211.71 feet to
the said east right-of-way line and the Point of Beginning.
3. CERTIFICATION OF PERIMETER:
At least one-sixth of the boundary of the land described in paragraphs one
(1) above, is now existing City Limits Line.
SECTION 2.
The owners of one hundred percent (100%) of the property to be annexed have
petitioned for such annexation.
SECTION 3.
The Annexation Agreement in the form and content presented to the City Council '
on or before second reading of this Ordinance, with such minor changes as the President
of City Council and City Attorney may approve, is hereby authorized and approved. The
President of the City Council is hereby authorized and directed to execute and deliver the
Annexation Agreement in the name of the City and the City Clerk is directed to affix the
seal of the City thereto and attest same.
SECTION 4.
Within thirty(30) days after the effective date of the Ordinance, the City Clerk shall:
(a) File one copy of the annexation map with the original of this Ordinance in the office
of the City Clerk; and,
(b) File for recording three certified copies of this Ordinance and annexation map with
the Pueblo County Clerk and Recorder; and,
(c) File one certified copy of the annexation map and this Ordinance with the
Southeastern Colorado Water Conservancy District.
SECTION 5.
The officers of the City are hereby authorized and directed to take all other actions
necessary or appropriate, on behalf of the City, to implement the provisions of this
Ordinance and the Annexation Agreement.
SECTION 6.
If any provisions of this Ordinance or Annexation Agreement shall be held or
deemed to be illegal, inoperative or unenforceable, the same shall not affect any other
provisions or provisions of this Ordinance or Annexation Agreement or render the same
invalid, inoperative or unenforceable, except as otherwise expressly provided in the
Annexation Agreement.
SECTION 7.
The City Council hereby consents to the inclusion of the annexed area in the
Southeastern Colorado Water Conservancy District pursuant to C.R.S. §37-45-136 (3.6).
SECTION 8.
This Ordinance shall become effective immediately upon final passage and the
annexation shall be effective for ad valorem tax purposes on and after January 1, 2019.
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INTRODUCED: October 22, 2018
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PASSED AND APPROVED: November 12, 2018
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ANNEXATION AGREEMENT
This Annexation Agreement is hereby entered into as of the 10 day of Na yev't &r ,
2018 by and between the City of Pueblo, Colorado, a Colorado Municipal
Corporation, (the "City"), and CF&I Steel, L.P., a Delaware limited partnership (the
"Petitioner").
WITNESSETH
WHEREAS, the Petitioner is the owner of the real property located in Pueblo
County, Colorado, and described in Exhibit "A" attached hereto and incorporated
herein (the "Property"); and,
WHEREAS, the Petitioner has submitted a petition for the annexation of the
Property to the City; and,
WHEREAS, as a condition precedent to the annexation of the Property,
Petitioner and City have agreed to enter into a mutually acceptable annexation
agreement setting forth certain terms and conditions with respect to such annexation.
NOW, THEREFORE, in consideration of the foregoing, and the covenants
and conditions set forth herein, the City and Petitioner agree as follows:
I. REPRESENTATIONS AND WARRANTIES OF PETITIONER.
Petitioner hereby represents and warrants to, and covenants with, the City as follows:
(1) Petitioner is a limited partnership duly organized and validly existing
under the laws of the State of Delaware and is authorized to transact business in the
State of Colorado.
(2) Petitioner has marketable fee simple title to the Property subject only to
the Permitted Encumbrances attached hereto as Exhibit"B."
(3) Petitioner is authorized to and has taken all action required by it (a) to
annex the Property to the City and (b) to execute, deliver and perform its obligations
under this Annexation Agreement, and (c) to carry out and consummate all the
transactions contemplated by this Annexation Agreement.
(4) This Annexation Agreement when executed and delivered, constitutes
a valid and legally binding obligation of the Petitioner enforceable against Petitioner
according to its terms, subject to the provisions of Article XV.
(5) Neither the execution and delivery of this Annexation Agreement nor the
fulfillment of or compliance with its terms and conditions, nor the consummation of
the transactions contemplated hereby, conflicts with or results in a breach of the
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terms, conditions or provisions or any restriction or any agreement or instrument to
which the Petitioner is bound, nor constitutes a default under any of the foregoing.
(6) There is no litigation pending, or to the knowledge of Petitioner
threatened, against the Petitioner or any person affecting the right of the Petitioner to
execute this Annexation Agreement or to comply with the provisions hereof.
(7) The representations and warranties of Petitioner contained herein will
be true and correct in all material respects as of the date of recording the annexation
plat and Ordinance of the City Council approving the annexation of the Property, as
if made on the date of such recording.
II. MASTER DEVELOPMENT PLAN.
The City and Petitioner acknowledge and agree that the entire Property is to be
included in a single subdivision, and Petitioner shall not be required to file a Master
Development Plan for the Property under Section 12-4-5(a) of the Pueblo Municipal
Code.
III. ZONING AND SUBDIVISION.
(1) Because the Property is to be included in a single subdivision
("Subdivision"), the application for such Subdivision shall be submitted by Petitioner
as soon as possible after the Substantial Compliance Resolution (as hereafter
defined) is adopted by City Council of City ("City Council"). No subdivision of the
Property shall be approved prior to the time the ordinance annexing the Property is
approved on final presentation.
(2) The Property shall be zoned Heavy Industrial District (1-3) ("1-3 Zone
District"), the land use classification most nearly corresponding to the land use
classification into which the Property has been (or will be) classified under the City's
comprehensive plan ("Zoning"). If the Petitioner is contemplating using a portion of
the Property for disposal of nonhazardous solid waste generated on-site in
compliance with Colorado Department of Public Health and Environment Solid Waste
Regulations, an application for a "Special Use Permit" must be approved by the City
of Pueblo Zoning Board of Appeals in compliance with Section 17-4-51(c) of the
Pueblo Municipal Code for a nonhazardous solid waste site to be operated on the
Property.
(3) A petition to zone the Property shall be filed by Petitioner as soon as
practicable after the petition for annexation has been found to be in substantial
compliance with the provisions of Section 31-12-107(1), C.R.S. (the "Substantial
Compliance Resolution"). The Planning and Zoning Commission may hear the petition
for rezoning and make its recommendations thereon prior to annexing the Property, but
the proposed Zoning ordinance (and the Special Use Permit) shall not be passed on final
presentation prior to the date the ordinance annexing the Property is approved on final
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(4) Petitioner shall submit and file all applications and accompanying maps,
engineering and other information required to accomplish and obtain approval of the
Subdivision, Zoning and Special Use Permit as soon as practicable after the date the
Substantial Compliance Resolution is adopted by City Council and Petitioner shall
thereafter diligently pursue such applications through final approval.
(5) In lieu of the City requiring the approval of a Special Area Plan, the
Petitioner can in accordance with Sec. 12-4-7(0(1) of the Pueblo Municipal Code provide
a City-approved private street that directly connects with a public street to access lots
within an approved subdivision.
IV. PUBLIC FACILITIES.
Petitioner at its expense shall construct and install all on-site and off-site improvements
to the extent specifically required by Petitioner to serve the Property or, with respect to
on-site improvements, reasonably required by the City as a condition of approval of the
Zoning, Subdivision or Special Use Permit. Except for such on-site improvements
required by the City as a condition of approval of the Zoning, Subdivision or Special Use
Permit, Petitioner shall have no obligation with respect to the ownership, development
and use of the Property for any other public facilities, dedications or payments in lieu
thereof, impact fees or exactions, including, but not limited to streets, street lights, curbs
and gutters, sidewalks, bridges, traffic control devices, sanitary sewers, storm sewers,
drainage and channel improvements and facilities, open space, trail systems and parks,
or public buildings such as fire stations. The main access to the Property is from Harlem
Street, a private road, that extends east of the right-of-way of Indiana Avenue which
terminates at the eastern edge of the northbound on-ramp to Interstate 25. Without
limiting the generality of the foregoing, the City agrees, for a period of thirty-three (33)
years after the effective date of this Annexation Agreement, that it will not take any action
without the consent of Petitioner to include the Property, or any portion thereof, in any
special, metropolitan or other district, or any other special assessment area. Petitioner
and City further agree that for a period of thirty-three (33) years after the effective date of
this Annexation Agreement, the Property shall not be subject to the street repair utility
service charges imposed pursuant to the Street Repair Utility Ordinance.
V. UTILITIES.
(1) Services. Except as provided in this Article V, effective upon annexation of
the Property, City shall provide the same municipal services to the Property on the same
general terms and conditions as the rest of the City receives.
(2) Water Service. The City acknowledges that Petitioner has a separate
agreement with the Board of Water Works of Pueblo, Colorado and the Parties agree that
water service for the Property shall be carried out pursuant to that agreement.
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(3) Electric and Natural Gas Service. The City acknowledges that Petitioner
has a separate agreement with the Public Service Company of Colorado and the Parties
agree that electric and natural gas service for the Property shall be carried out pursuant
to that agreement.
(4) Other Utility Service and Connections. Petitioner, through its internal
operations at the Property, currently provides potable water and sanitary sewer service
to its existing facilities at the Property ("Utility Services"). The City acknowledges and
agrees that Petitioner may continue to provide such Utility Services to the Property. City
agrees that Petitioner has the right, but no obligation, to tap into the City's sanitary sewer
system. In the event that Petitioner requests to tap into City's sanitary sewer system, then
the City will provide such service subject to and in conformity with the City's ordinances,
rules and regulations relating to its sanitary sewer system and services, provided City will
not be required to extend its sewer mains to the Property. Petitioner shall comply with all
applicable City requirements for the installation of mains, lines, stations, and any other
appurtenant sewer facilities in effect at the time of such request for sewer service. City
and Petitioner agree that the Property shall not be subject to the wastewater utility
service charges imposed pursuant to the wastewater Ordinance unless Petitioner
taps into the City's sanitary sewer system.
(5) Stormwater. City acknowledges that Petitioner granted an Environmental
Covenant to the Colorado Department of Public Health and Environment on March 5,
2013 containing specific limitations on soil disturbance activities, sediment disturbance,
and a prohibition on surface water uses. Furthermore, Petitioner currently operates and
maintains an industrial wastewater system in accordance with the EVRAZ RMS National
Pollution Discharge Elimination System Permit No. C00000621 issued March 24, 2011.
So long as (i) Petitioner continues to operate and maintain an industrial wastewater
system in accordance with the EVRAZ RMS National Pollution Discharge Elimination
System Permit and complies with the requirements of such permit, and (ii) the
Discharge Facility is not connected to or discharges stormwater into City owned or
managed stormwater facilities,City agrees that Petitioner shall not be in violation of
City's stormwater utility ordinances (Chapter 12, Title XVI of the Pueblo Municipal
Code) and as same may, from time to time, be amended ("Stormwater Ordinance").
City agrees that Petitioner has the right, but no obligation, to tap into the City's stormwater
system. In the event that Petitioner requests to tap into City's stormwater system, then
the City will provide such service subject to and in conformity with the City's ordinances,
rules and regulations relating to its stormwater system and services, provided City will not
be required to extend its stormwater mains to the Property. Petitioner shall comply with
all applicable City requirements for the installation of mains, lines, stations, and any other
appurtenant stormwater facilities in effect at the time of such request for stormwater
service. City and Petitioner agree that the Property shall not be subject to the
stormwater utility service charges imposed pursuant to the Stormwater Ordinance,
unless Petitioner connects to and discharges into the City's stormwater facilities.
(6) Fire Protection. Petitioner, through its internal operations at the Property,
currently provides fire protection, hazardous material response, and emergency
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medical services for the Property. The City acknowledges and agrees that Petitioner
may continue to provide such services to the Property.
(7) Disconnection. Petitioner stipulates and agrees that it will not seek
disconnection of the Property and waives its rights, if any, to do so under Section 31-
12-119, C.R.S. based upon the City not providing (i) sanitary sewer services to the
Property prior to Petitioner's request to tap into City's sanitary sewer system and
Petitioner's extension of sewer mains to the Property, (ii) fire protection, hazardous
material response, and emergency medical services for the Property; and (iii)
stormwater services to the Property prior to Petitioner's request to connect to City's
stormwater system and Petitioner's extension of stormwater mains to the Property.
VI. COMPLIANCE WITH ORDINANCES.
Except as otherwise specifically provided in this Annexation Agreement to the
contrary, the development, subdivision and zoning of the Property shall otherwise
meet and comply with all applicable ordinances, resolutions, regulations, and
standards of the City now existing or hereinafter enacted or amended.
VII. BINDING EFFECT AND ENFORCEMENT.
(1) The covenants, restrictions, and agreements herein set forth are
covenants running with the Property, shall run with and bind the Property, and shall
extend to the benefit of and be binding upon the City and Petitioner and their
respective successors, assigns and transferees. The Petitioner expressly accepts
and agrees to the covenants, restrictions, and agreements set forth herein by
execution of this Annexation Agreement and by the filing of its petition for annexation,
subject to the provisions of Article XV.
(2) If Petitioner defaults in any of its obligations under this Annexation
Agreement, including, without limitation, payment of $4,400,000 required to be paid
by Petitioner under Article XIV(I) (the "Payment"), upon notice given to Petitioner
specifying the default and, if the alleged default constitutes a matter other than
making the Payment, providing a reasonable opportunity to cure the alleged default,
City may pursue a remedy for specific performance, injunction or declaratory
judgment or, if applicable, the enforcement and collection of the Payment and interest
thereon. The preceding remedies shall be exclusive and in lieu of all other remedies
available at law or in equity, including, without limitation, the recovery of damages of
any type or nature.
(3) If City defaults in any of its obligations under the Annexation Agreement,
upon notice given to the City specifying the default and providing a reasonable
opportunity to cure the alleged default, Petitioner may pursue a remedy for specific
performance, injunction, or declaratory judgment or, if applicable, proceed to
disconnect the Property under Article XII. The preceding remedies shall be exclusive
and in lieu of all other remedies available at law or in equity, including, without
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limitation, the recovery of damages of any type or nature.
(4) Venue in any and all actions and proceedings related to this Agreement
shall be in the Pueblo County District Court, State of Colorado, which court shall have
personal and subject matter jurisdiction for such purpose, and the parties hereto
irrevocably submit to the jurisdiction of such court. The Court in any such action shall
award to the prevailing party its costs and expenses of litigation, including reasonable
attorney fees. To the full extent permitted by law, City and Petitioner waive their right
to jury trial.
VIII. AMENDMENTS.
Amendments to this Annexation Agreement may only be made by a writing executed
by Petitioner and City and following formal petition to and approval by Resolution of
the City Council after such amendment has been submitted to and reviewed by the
appropriate City Departments and such Departments have submitted their findings
and recommendations to the City Council.
IX. SEVERABILITY.
If any section, clause, or other provision of this Annexation Agreement is for any
reason determined to be invalid or unenforceable by any court of competent
jurisdiction, such determination shall not affect any of the remaining provisions of this
Annexation Agreement.
X. VESTED PROPERTY RIGHTS.
(1) Since property rights may only be vested by the City pursuant to the
provisions of Chapter 12, Title XVII of the Pueblo Municipal Code, Petitioner and the
City hereby expressly acknowledge and agree that neither this Annexation
Agreement, nor the corresponding approval of the amendment to the comprehensive
plan nor the Zoning, Subdivision, or Special Use Permit, either collectively, separately or
jointly (a) creates or establishes a vested property right in or for the benefit of the
Petitioner or its successors or assigns, or with respect to the Property; or (b) constitutes
a site-specific development plan. The terms "vested property right" and "site-specific
development plan" shall have the same meaning as set forth in Section 17-12-2 of the
Pueblo Municipal Code and §24-68-101, et seq., C.R.S.
(2) Notwithstanding the provisions of section (1) above, City expressly agrees
that Petitioner and its successors and assigns shall have the vested property right to
undertake and complete the development and use of the Property under the terms and
conditions of the following after approval and issuance thereof by the City in compliance
with City's ordinances, including, but not limited to, Chapter 12, Title XVII of the Pueblo
Municipal Code, to-wit: (i) Zoning, (ii) Subdivision, (iii) Special Use Permit, and (iv)
comprehensive plan amendment, all of which shall collectively constitute a site specific
development plan.
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(3) In light of all relevant circumstances, including, but not limited to, the long-
term nature of the development and use of the Property and the extended periods
involved in the exemptions with respect to the Property and Facility provided in Article
XIV below, City agrees to an extension of the vesting period for the vested property right
granted in section (2) above to a period of ten (10) years after the date the new rail mill
becomes operational (as such term is defined in Article XIV below).
(4) The establishment of such vested property right shall not, however,
preclude the application of ordinances or regulations which are general in nature and are
applicable to all property subject to land use regulations by the City, including, but not
limited to, building, fire, plumbing, electrical, mechanical, water and sewer codes or
ordinances.
XI. BUILDING PERMITS.
All matters relating to local building permits for the new rail mill and related facilities
are administered by the Pueblo Regional Building Authority. Therefore, all local
building permit applications, processing fees or requirements for building permits
shall be submitted by Petitioner to the Pueblo Regional Building Authority. City will,
at no out of pocket third party cost to City, cooperate with Petitioner in filing and
processing its applications before the Pueblo Regional Building Authority.
XII. DISCONNECTION.
(1) Petitioner acknowledges and agrees that upon annexation of the
Property into the City, the Property shall become subject to this Annexation
Agreement, the Charter, ordinances and rules and regulations of the City. In the
event that (i) after application by Petitioner and Petitioner's diligent effort to obtain
same, Petitioner does not obtain the Approvals within six (6) months after the
effective date of this Annexation Agreement or within six (6) months after application
is made for such Approvals, whichever is later; (ii) the vested property right granted
by Section 2 of Article X or any material provision of Section 1 of Article XIV is
determined to be invalid or unenforceable by a final decision of a court of competent
jurisdiction; (iii) the City takes any final action in violation of any material provision of
Article IV; (iv) the City takes any final action in violation of any material provision
regarding vested rights as provided in Sections (2) and (3) of Article X; or (v) the City
takes any final action inconsistent with any material provision of Sections (1), (3) or
(4) of Article XIV or fails to take any action required of it under any material provision
of Sections (1), (2), (3) or (4) of Article XIV, then it is agreed that Petitioner shall
have the right to disconnection of the Property from the City subject only to the
following: Petitioner shall file a verified written petition with the City Clerk which states
that one or more of the above conditions exist. Promptly upon receipt of such
petition, the City Council of City shall schedule and provide notice to Petitioner of a
public hearing; and, upon showing by competent evidence at the public hearing that
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any of the above conditions in fact exists, the City shall within one hundred twenty
(120) days enact all measures necessary to accomplish such disconnection. For
purposes of this Section (1), an action of the City shall be "final" ninety (90) days after
the vote of the City Council of City thereon, without any requirement to appeal any
decision of the City Council to the courts or any other venue for appeal.
Notwithstanding the foregoing, if any of the above conditions in fact exists and
the City takes all final and uncontested actions necessary or required to correct,
remedy or remove such condition within ninety (90) days after the public hearing, the
Property may not be disconnected; provided, however, that if Petitioner is not
satisfied that City has taken all final and uncontested actions necessary or required
to correct or remedy such condition prior to the expiration of said 90-day period,
Petitioner shall have the right to seek judicial review thereof without the necessity of
filing a verified written petition with the City Clerk.
(2) Except as otherwise provided in Section 6 of Article V, nothing in section
(1) above shall waive or limit the right of Petitioner to exercise any other right it may
have to disconnect the Property from the City pursuant to the provisions of Section
31-12-119, C.R.S., or any other statute or ordinance applicable to Petitioner and the
City which now exists or may hereafter be enacted which authorizes disconnection
from a home rule municipality.
(3) Upon disconnection of the Property, whether pursuant to Ordinance of
the City under section (1) above, or judgement from a court pursuant to section (2)
above, the parties expressly acknowledge and agree that from and after the effective
date of the disconnection, all zoning, permits, subdivisions, and other land use
restrictions imposed upon the Property by, through or under the City shall thereafter
be immediately null and void and the parties shall be released and discharged from all
future obligations and liabilities under this Annexation Agreement.
XIII. CONTRACTUAL NATURE OF ANNEXATION AGREEMENT.
The terms, conditions and obligations of this Annexation Agreement are and shall be
construed to be purely contractual in nature, as terms, conditions and obligations
voluntarily agreed to by City and Petitioner prior to annexation of the Property to the City.
The terms, conditions and obligations imposed on Petitioner and the Property by this
Annexation Agreement are not nor shall they individually or cumulatively be construed to
be conditions upon granting land-use approvals within the meaning of Sections 29-20-
201 to 29-20-204, C.R.S.
XIV. SPECIAL PROVISIONS.
(1) Payment In Lieu of Sales and Use Tax. Petitioner shall pay to City a
single, lump sum pre-payment of the estimated sales and use taxes related to the
construction, installation and acquisition of the new rail mill in the amount of Four
Million Four Hundred Thousand Dollars ($4,400,000.00) (the "Payment"). Such
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Payment shall be due and payable 30 days following the date of the first economic
incentive payment to New CF&I pursuant to Employment Agreement.
(2) Sales and Use Tax Exemption. The City hereby acknowledges that the
existence of Ordinance No. amending Chapter 4 of Title XIV of the Pueblo
Municipal Code granting an exemption for sales and use tax on tangible personal
property purchased for use in the initial construction and equipping of a new
manufacturing facility, with investment of private funds in excess of Two Hundred
Million Dollars, constructed on or after January 1, 2019 ("large manufacturing
facility") and providing that such exemption applies for a period of ten (10) years
after such a large manufacturing facility becomes operational for sales and use taxes
on tangible personal property stored, used or consumed in the maintenance, repair,
refurbishing, remodeling, substitutions, relocation, or replacement of such a large
manufacturing facility, or any part thereof, was a material factor in the decision by
Petitioner to annex the Property into the City. As such, City hereby covenants and
agrees that so long as the Property remains annexed to the City it will not for a period
of ten (10) years after the new rail mill becomes operational undertake any action to
amend, modify or repeal the exemptions granted under Ordinance No. as
they apply to the new rail mill. Immediately after the effective date of the Ordinance
and this Annexation Agreement, the City will issue an exemption certification that
Petitioner may provide to all contractors, vendors, suppliers and other agents
employed or working in connection with the construction, operation or maintenance
of the new rail mill to ensure that no sales or use taxes are collected or paid on
tangible personal property used or purchased for the new rail mill contrary to the
exemptions granted under the foregoing Ordinance.
(3) Solid Waste Disposal Exclusion. The City acknowledges that the
existence of Ordinance No. 7265, amending Chapter 12 of Title IV of the Pueblo
Municipal Code exempting facilities disposing nonhazardous solid waste generated
on-site in compliance with Colorado Department of Public Health and Environment
Solid Waste Regulations from the City's Certificate of Designation requirements, was
a material factor in the decision of Petitioner to annex the Property into the City. As
such, the City hereby covenants and agrees that so long as the Property remains
annexed to the City it will not undertake any action to amend, modify or repeal the
exemption granted under Ordinance No. 7625 as it applies to the Property.
(4) Noise. The City has adopted noise regulations, currently codified as
Sec. 11-1-607of the Pueblo Municipal Code (as now or hereafter adopted the "City
Noise Ordinance"). The new rail mill is also regulated by state noise regulations,
currently codified as Section 25-12-103, C.R.S. (as now or hereafter adopted the
"State Noise Statute"). In order to promote certainty and consistency in the regulation
of noise at the new rail mill, the City hereby agrees, that notwithstanding provisions
of City Noise Ordinance which may be interpreted to the contrary, the new rail mill
will not be in violation of the City Noise Ordinance so long as it is in compliance with
the State Noise Statute.
9
2126471 12/26/2018 02:37:39 PM
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Gilbert Ortiz Clerk/Recorder, Pueblo County, Co
■iii PIrallir� � �x�aMrlr� , ,�� X111 ■iii i
(5) Further Actions to Implement Intent of Provision. If any provision of this
Annexation Agreement is determined by a court of competent jurisdiction to be invalid
or unenforceable, such determination shall not affect the remaining provisions of this
Annexation Agreement. Petitioner and City agree that they will, at the request of the
other party, execute and deliver such documents and further instruments, and take
such other lawful actions as may be reasonably required and necessary, to effectuate
the purpose and intent of such provision of this Annexation Agreement determined to
be invalid or unenforceable.
XV. EFFECTIVE DATE.
(1) This Annexation Agreement shall become effective on the date City
Council of City approves by ordinance the annexation of the Property to the City.
(2) The Parties agree that on or before December 1, 2019, Petitioner, at its sole
option, may terminate this Annexation Agreement and City and Petitioner shall thereafter
be released and discharged from all obligations hereunder.
XVI. MISCELLANEOUS.
(1) Notice. All notices or other communications hereunder shall be
sufficiently given and shall be deemed given when personally delivered, or mailed by
registered or certified mail, postage prepaid, addressed as follows:
(a) if to City, City Manager or, after February 1, 2019, Mayor, City of
Pueblo, 1 City Hall Place, 2nd Floor, Pueblo, CO 81003, with copy
to City Attorney, 1 City Hall Place, 3rd Floor, Pueblo, CO 81003, or
(b) if to the Company, Attn: General Manager, Evraz North America,
1612 E. Abriendo Ave., Pueblo, CO 81004
or to such other address as either party by written notice given hereunder may designate.
(2) Governing Law. This Annexation Agreement shall be governed and
construed in accordance with the laws of the State of Colorado, without regard to conflict
of law principles.
(3) No Third Party Beneficiaries. Nothing in this Annexation Agreement
expressed or implied is intended to or shall be construed to confer upon, or to give to,
any person other than the City and Petitioner and their respective successors and
assigns any right, remedy or claim under or by reason of this Annexation Agreement or
any covenant, condition or stipulation hereof; and all the covenants, agreements and
stipulations in this Annexation Agreement contained by and on behalf of the City or
the Petitioner shall be for the exclusive benefit of the City and the Petitioner and their
respective successors and assigns, including parties who may participate in the
development and operation of the new rail mill and to whom Petitioner assigns certain
10
2126471 12/26/2018 02:37:39 PM
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Gilbert Ortiz Clerk/Recorder. , Pueblo County. Co
IIIII KAPP ILEI:VrL IR P110141V I4lFilfRitYivh 11111
of the rights and benefits set forth in this Annexation Agreement. No assignment of any
interest in this Annexation Agreement by Petitioner shall relieve Petitioner of any of its
obligations hereunder.
(4) Singular, Plural. Unless the context requires otherwise, words denoting the
singular may be construed as denoting the plural. Words of the plural may be construed
as denoting the singular. Words of one gender may be construed as denoting the other
gender, if applicable.
(5) Entire Agreement. All prior discussions, representations,
understandings and agreements, whether oral or written, between the parties with
respect to the subject matter of this Annexation Agreement are merged in this
Annexation Agreement, which constitutes the entire agreement between the parties.
(6) Confirmation Statements. The City hereby agrees that it shall, from time
to time, within sixty (60) days after written request from Petitioner, deliver to
Petitioner, or Petitioner's designee, a certificate or other written statement (in form
sufficient for recording) evidencing that Petitioner has performed its obligations under
this Annexation Agreement or specifically itemizing those items which remain
outstanding, as well as confirming such other factual matters (if true and correct)
pertaining to this Annexation Agreement as may be requested by Petitioner.
(7) Counterparts. This Agreement may be executed in any number of
counterparts, and each such counterpart shall be deemed for all purposes to be an
original, and all such counterparts shall together constitute but one and the same original.
This Annexation Agreement is executed at Pueblo, Colorado effective as set forth in
M -A. ���
044 . . o. .0
' / ,,,,,„\
N<<',i:12 �A City of Pueblo, Colorado
°"" " '�'�" • i a Colorado Municipal Corporation
,tie C-it �
a-44.0 Bei A� ,
Attest. $ ' C6 `fit,.:. By
Acting City Clerk - President of the City Council -
Brenda Armijo Christopher A. Nicoll
11
2126471 12/26/2018 02:37:39 PM
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Gilbert Ortiz ClerkiRecorder, Pueblo County, Co
CF&I Steel, L.P 1111Kr12X1,1; ►11R+ 144fikflik;;iIII
a Delaware limited partnership
By:
(Sig rture)
(Print Name) rO n)MtD i, Jt.I'e.
(Print Title) N1.ta►Ip41t 'U.o0.¢af( 1°t g4&t2
STATE OF .L I l % v\ci is
) ss.
COUNTY OF I— ( 1<'1/4-
The
kmsThe foregoing instrument was acknowledged before me this 21di day of
N v ate►,,b - , 2018 by as
rYlevn1 r G-6►1em-I l ri►,t►-- of CF&I Steel, L.P., a Delaware limited partnership.
Witness my hand and official seal.
My commission expires: 2-) 1°I`i
[ SEAL ] , �r ��`� i 1, L C� ---
Notary Pu •
ANITA L JAGUDEN SPENCER
Official Seal
(. Notary Public -State of Illinois
My Commission Expires Dec 2,2019
12
2126471 12/26/2018 02:37:39 PM
1Pa9e.
13 of 4 R d Dblc uu00G1bertOrtiz Cerk/ReorrPueblo County, Co■111kL ?N N1i15,1:iijw
F41 III III
Exhibit A
A parcel of land located in a portion of the East one-half (1/2) of Sections
12, and 13, Township 21 South, Range 65 West of the 6th P.M. in the County
of Pueblo and State of Colorado, being more particularly described as
follows.
Considering the South line of Block 39 in Lake Minnequa Addition as filed
for record in the Pueblo County records to bear N. 88°54'21" E. and all
bearings contained herein being relative thereto.
Commencing at the Southeast corner of said Block 39 and the present City
limits line; thence N. 88°54'21" E., a distance of 125.00 feet to the east right-
of-way line of the Denver and Rio Grande Railroad as presently located;
thence N. 01°04'44" W. along said east right-of-way line, a distance of
300.00 feet to the Point of Beginning; thence N. 01°04'44" W. continuing
along said east right-of-way line, a distance of 950.00 feet; thence N.
88°54'21" E., a distance of 226.00 feet; thence N. 40°24'00" E., a distance
of 636.00 feet; thence N. 88°54'21" E., a distance of 342.00 feet; thence S.
01°05'39" E., a distance of 90.00 feet; thence S. 88°54'21" W., a distance
of 44.00 feet; thence S. 01°05'39" E., a distance of 190.00 feet; thence N.
88°54'21" E., a distance of 120.00 feet; thence S. 01°05'39" E., a distance
of 1,314.00 feet; thence S. 29°59'20" W., a distance of 548.00 feet; thence
S. 01°05'39" E., a distance of 534.00 feet; thence S. 88°54'21" W., a
distance of 471.00 feet; thence S. 01°05'39" E., a distance of 1,121.71 feet;
thence S. 88°54'21" W., a distance of 100.00 feet; thence N. 01°05'39" W.,
a distance of 2,292.65 feet; thence S. 88°54'21" W. a distance of 211.71
feet to the said east right-of-way line and the Point of Beginning.
Containing 49.97 acres, more or less
13
EXHIBIT B
(none)
2126471 12/26/2018 02:37:39 PM
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Gilbert Ort12 Clerk/Recorder, Pueblo Count
1111 � .r1�L'�II1'f1�.�6i���1��'#Eh11441!1r,i Ill III
14
Reception 2156822
10/24/2019 03:33:02 PM
AMENDMENT TO ANNEXATION AGREEMENT
This Amendment to Annexation Agreement entered into as the 23rd day of
September 2019 by and between the City of Pueblo, Colorado, a Colorado Municipal
Corporation, (the "City"), and New CF&I Inc., a Delaware Corporation (the "Petitioner")
(together "Parties").
WITNESSETH
WHEREAS, on November 12, 2018, by Ordinance No. 9362, the City Council
approved the Annexation Agreement dated November 12, 2018 and recorded under
Reception No. 2126469 in the office of the Pueblo County Clerk and Recorder (the
"Annexation Agreement"); and,
WHEREAS, the term "Property" as used herein means and includes the real
property described in Exhibit A-Amendment to Annexation Agreement Cases No.s A-19-
07, A-19-08, and A-19-09 dated September 23, 2019; and,
WHEREAS, Petitioner represents and warrants that it is the owner of the Property in
fee simple; and,
WHEREAS, the Parties desire to amend Exhibit A of the Annexation Agreement,
Case No. A-18-01 entered into for the property commonly known and described as east of
1-25 and at the terminus of Indiana Avenue.
NOW THEREFORE, in consideration of the foregoing recitals and the mutual
promises, covenants and conditions contained herein and other good and valuable
consideration, the receipt and adequacy of which is hereby acknowledged, the Parties
hereby agree as follows:
1. Exhibit A, Legal Description of the Evraz Annexation Agreement, is hereby
amended to read as follows:
Exhibit A
AMENDED EVRAZ ANNEXATION
LEGAL DESCRIPTION
A parcel of land located in a portion of the East one-half (1/2) of Sections 12, and 13,
Township 21 South, Range 65 West of the 6th P.M. in the County of Pueblo and State of
Colorado, being more particularly described as follows.
-1-
. 2156822 10/24/2019 03:33:02 PM
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Gilbert Ortiz Clerk/Recorder, Pueblo County, Co
■III lliAlli �111fl '�VI�'���hi lartiliNI UMW, 11111
Considering the South line of Block 39 in Lake Minnequa Addition as filed for record in the
Pueblo County records to bear N. 88°54'21" E. and all bearings contained herein being
relative thereto.
Commencing at the Southeast corner of said Block 39; thence N. 88°54'21" E., a distance
of 125.00 feet to the east right-of-way line of the Denver and Rio Grande Railroad as
presently located; thence N. 01°04'44" W. along said east right-of-way line, a distance of
300.00 feet to the Point of Beginning; thence N. 01°04'44" W. continuing along said east
right-of-way line, a distance of 950.00 feet; thence N. 88°54'21" E., a distance of 226.00
feet; thence N. 40°24'00" E., a distance of 636.00 feet; thence N. 88°54'21" E., a distance
of 342.00 feet; thence S. 01°05'39" E., a distance of 90.00 feet; thence S. 88°54'21"W., a
distance of 44.00 feet; thence S. 01°05'39" E., a distance of 190.00 feet; thence N.
88°54'21" E., a distance of 120.00 feet; thence S. 01°05'39" E., a distance of 1,711.00
feet; thence S. 88°54'21"W., a distance of 239.32 feet; thence S. 29°59'20"W., a distance
of 84.44 feet; thence S. 01°05'39" E., a distance of 918.00 feet; thence S. 88°54'21"W., a
distance of 471.00 feet; thence S. 01°05'39" E., a distance of 737.71 feet; thence S.
88°54'21" W., a distance of 175.00 feet; thence N. 01°05'39" W., a distance of 2292.65
feet; thence N. 88°54'21" E., a distance of 136.71 feet to the east right-of-way line of the
Denver and Rio Grande Railroad as presently located and the Point of Beginning.
Containing 59.16 acres, more or less
2. The Annexation Agreement and Exhibit A, amended Evraz Annexation Legal
Description, continue in full force and effect binding on Petitioner and City
and their respective successors and assigns.
41,x:.Ecgted at Pueblo, Colorado as of the day and year first above written.
. � 7'J} d'\ City of Pueblo, Colorado
%' :r '
�. ���� v , bat < a Colorado Municipal Corporation
Il ;,!!';t `rmijo-Cit Cle 4icholas A. Gradisar-Mayor
CF&I STEEL, L.P.
a Delaware limited partnership
By:
: •nature)
(Print Name) �I ✓Yl C rct/11
(Print Title) D►rec.:iu/`) F Pd'/9-
-2-
2156822 10/24/2019 03:33:02 PM
Page: 3 of 3 R 23. De
0.00 23.0
Gilbert Ortiz Clerk/Recorder00 ; Pueblo Count0
y, Co
STATE OF COLORADO )
Villin 1 :'« OMIKA Yi r II 111
) ss.
COUNTY OF PUEBLO )
The foregoing instrument was acknowledged before me this day of September
2019, by Nicholas A. Gradisar as Mayor and Brenda Armijo as City Clerk of Pueblo, a
Colorado Municipal Corporation.
Witness my hand and official seal.
My commission expires:
[ SEAL ]
Notary Public
STATE OF COthatik) )
ss.
COUNTY OF~ 0121O )
The foregoing instrument was acknowledged before me thisI(d day of
, 2019, by JIM (1a.ifl as
'Director OF FP4 A- of CF&I STEEL, L.P., a
Delaware limited partnership.
Witness my hand and official seal.
My commission expires: i i 2U -702,
[ SEAL ]
Lk.
LEAHA ZINANTI Notary ' blic
Notary Public
State of Colorado
Notary ID#20174048643
My Commission Expires 11-28-2021
-3-
City Clerk’s Office Item # R-6
BACKGROUND PAPER FOR PROPOSED
ORDINANCE
COUNCIL MEETING DATE:
October 22, 2018
TO: President Christopher A. Nicoll and Members of City Council
CC: Sam Azad, City Manager
VIA: Brenda Armijo, Acting City Clerk
FROM: Steven Meier, Director of Planning and Community Development
SUBJECT: AN ORDINANCE ANNEXING UNINCORPORATED LAND COMMONLY
KNOWN AS THE EVRAZ ANNEXATION NO. 1 DESCRIBED AS 8.84
ACRES OF LAND EAST OF I-25 AND AT THE TERMINUS OF INDIANA
AVENUE
SUMMARY:
The applicant is requesting to annex the property containing 8.84 acres into the City of
Pueblo commonly known as the Evraz Annexation, No. 1.
PREVIOUS COUNCIL ACTION:
On August 27, 2018 City Council approved a Resolution No. 14038 preliminarily
determining that the petition for annexation of the area commonly known as the Evraz
Annexation, No. 1 is valid under the provisions of Colorado Revised Statutes Section 31-
12-107(1).
BACKGROUND:
The Evraz Annexation, No. 1 is the first parcel of a two-phase annexation totaling 49.97
acres. The Evraz Annexation area No.1 is located east of I-25 at the terminus of Indiana
Avenue. The Petitioners are requesting to annex 8.84 acres into the City to facilitate the
development of heavy industrial uses. The area currently contains some pre-existing
industrial facilities and undeveloped property. Access to the property currently is via
private roads that extend from the terminus of Indiana Avenue east of the I-25
interchange.
Sanitary Sewer
Evraz, through its internal operations on the steel mill property, currently provides potable
water and sanitary sewer service to its existing facilities. The Annexation Agreement
(“Agreement”) acknowledges and agrees that Evraz may continue to provide such utility
services on their property. The Agreement stipulates that Evraz has the right, but no
obligation, to tap into the City's sanitary sewer system. If Evraz requests to tap into the
City's sanitary sewer system, then the City will provide such service subject to and in
conformity with the City's ordinances, rules and regulations relating to its sanitary sewer
system and services, provided the City will not be required to extend its sewer mains to
the Property. Petitioner shall comply with all applicable City requirements for the
installation of mains, lines, stations, and any other appurtenant sewer facilities in effect at
the time of such request for sewer service.
Stormwater
Evraz currently operates and maintains a stormwater retention and drainage facility on
their property. The Agreement stipulates that so long as (i) Evraz continues to operate
and maintain the stormwater facility on their property, (ii) Evraz holds a stormwater
discharge permit for the stormwater facility issued by the Colorado Department of Public
Health and Environment and complies with the requirements of such permit, and (iii)
the stormwater facility is not connected to or discharging stormwater into City-owned
or managed stormwater facilities, Evraz shall not be in violation of City's stormwater
utility ordinances (Chapter 12, Title XVI of the Pueblo Municipal Code) and as same
may, from time to time, be amended ("Stormwater Ordinance"). Evraz would have the
right, but no obligation, to tap into the City's stormwater system. If Evraz requests to tap
into the City's stormwater system, then the City will provide such service subject to and
in conformity with the City's ordinances, rules and regulations relating to its stormwater
system and services, provided the City will not be required to extend its stormwater mains
to the Evraz property. Evraz will be required to comply with all applicable City
requirements for the installation of mains, lines, stations, and any other appurtenant
stormwater facilities in effect at the time of such request for stormwater service.
Fire Protection
Evraz, through its internal operations at the property, currently provides fire protection,
hazardous material response, and emergency medical services. The Agreement
acknowledges and agrees that Evraz may continue to provide such services to the
property.
The area is currently zoned I-3, Heavy Industry in Pueblo County, and the annexation
agreement identifies that the property will be requested to be zoned into an I-3, Heavy
Industry zone district within the City. Evraz has concurrently applied to zone the property
within the City into an I-3 Heavy Industry zone district. The I-3 Heavy Industry zone district
is consistent with the future development map contained in the Pueblo Regional
Comprehensive Development Plan. The approval of the zoning request cannot be
approved until the Annexation Ordinance is approved by City Council.
FINANCIAL IMPLICATIONS:
The Petitioners acknowledge and agree that upon the annexation, the property shall
become subject to the Charter, ordinances, resolutions, rules, and regulations of the City.
The City is prepared to furnish or extend municipal services, including but not limited to
sanitary sewer services, to the area proposed to be annexed. However, if Evraz requests
such services, Evraz will be required to comply with all applicable City requirements for
the extension or installation of municipal services, including the payment of appropriate
costs.
BOARD/COMMISSION RECOMMENDATION:
The City Planning and Zoning Commission reviewed the annexation at the September
12, 2018 Regular Meeting. A motion to approve the proposed annexation was made by
Council Member Schilling, seconded by Commissioner Bailey to recommend approval of
the proposed annexation petition.
Motion passed 6-0 (San Filippo-Rosser absent).
STAKEHOLDER PROCESS:
Annexation Impact Reports have been filed with taxing entities as required by Colorado
Revised Statutes.
ALTERNATIVES:
Upon request of City Council, the Ordinance could be returned to the Planning and Zoning
Commission for consideration of proposed modifications.
City Council could vote to not approve the Annexation Ordinance. The applicant could
resubmit an annexation petition in the future subject to the applicable provisions of the
Municipal Annexation Act of 1965 and C.R.S. §31-12-104, 105 and 107(1).
RECOMMENDATION:
Approval of the Ordinance.
Attachments: Annexation Agreement
Minutes of the Planning and Zoning Commission September 12,
2018 Public Hearing
Planning and Zoning Commission Staff Report with Exhibits