HomeMy WebLinkAbout7582RESOLUTION NO. 7582
A RESOLUTION APPROVING A WATER EXCHANGE
AGREEMENT BETWEEN PUEBLO, A MUNICIPAL
CORPORATION AND THE BOARD OF WATER WORKS OF
PUEBLO, COLORADO RELATING TO THE EXCHANGE OF
WATER
BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, that:
SECTION 1,
The Water Exchange Agreement dated March 27, 1995 between Pueblo, a Municipal
Corporation and The Board of Water Works of Pueblo, Colorado, relating to the exchange of water,
a copy of which is attached hereto, having been approved as to form by the City Attorney, is hereby
approved.
SECTION 2.
The President of the City Council is authorized to execute and deliver the Water Exchange
Agreement and related documents including the certificate for 4.0 shares of the West Pueblo Ditch
in the name of the City and the City Clerk is directed to affix the seal of the City thereto and attest
same.
INTRODUCED March 27, 1995
By JOHN CALIFANO
Councilperson
ATTEST: 7APED:
it Clerk President of the City Council
HATER XZCRANM A�iREEMEET
THIS EXCHANGE AGREEMENT entered into between the City of
Pueblo, a Municipal Corporation, hereinafter called "City ", and
The Board of Water Works of Pueblo, Colorado, hereinafter called
the "Board";
WITNESSETH:
WHEREAS, the Board owns shares of the West Pueblo Ditch which
it desires to transfer to new uses and points of diversion; and
WHEREAS, the City owns shares of the West Pueblo Ditch which
it desires to transfer to the Board; and
WHEREAS, certain City facilities would be best served by
transmountain water or the return flows of transmountain water
owned by the Board which would be suitable to City's.needs.
NOW, THEREFORE:
1. WATER TO BE TRANSFERRED BY CITY The City will transfer
to the Board 4.0 shares of the West Pueblo Ditch, and the yield
and use of water represented thereby, including the yield and use
of water derived from the winter water storage program operated by
the Southeastern Colorado Water Conservancy District. The
transfer of the 4.0 shares of the West Pueblo Ditch, and the yield
and use of water represented thereby, including water produced by
these shares in the winter water storage program will be in
perpetuity.
2. WATER TO BE SUPPLIED BY BOARD TO CITY The Board will
deliver in perpetuity from its supply, water to the City, PROVIDED
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the water shall never be removed from the Arkansas River Basin, in
the following amounts and subject to the following conditions:
A. The water to be delivered by the Board will be
transmountain water or other water reusable under Colorado law,
including but not limited to return flows of transmountain water,
which may include waters reusable by exchange. In any event, the
legal nature of such water shall be that upon delivery to the
City, it shall be totally consumable, and use by the City shall
not be prohibited by law.
B. The City will specify the point of delivery of
water to be used by it, which will be a point on the Arkansas
River mainstem downstream of Clear Creek Reservoir. The City
shall provide appropriate and lawful means of diversion, including
such measuring devices as appropriate administrative authorities
require. If the Board's approval or cooperation is required by
the City in the administration of diversions, the Board agrees to
provide the same, at the cost of the City. It is presently
believed that there are no legal or administrative proceedings
required to accomplish deliveries as set forth herein, and no
provision is therefore made for the same.
C. The Board may make the actual delivery of water
from the Board's storage water at Clear Creek Reservoir, Turquoise
Reservoir, Twin Lakes Reservoir, Pueblo Reservoir, from direct
flow transmountain water or from any other reservoir or place from
which the Board may legally deliver water from storage or return
flows or by exchange, with the sources of water to be at the
option of the Board. At the option of the Board such sources may
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be changed from time to time to suit the operational convenience
of the Board. The City will give to the Board at least seventy -
two (72) hours notice of each requested delivery. The Board will
not be required to deliver at a rate higher than twenty -five (25)
c.f.s. or at a rate less than five (5) c.f.s. In order to serve
the requirements of the City, which are assumed to be relatively
small quantities delivered daily and throughout each day of the
year, the Board will deliver at rates lower than five (5) c.f.s.
subject however to the following:
(1) Any such lower rate of delivery will have
the approval of the division engineer;
(2) Any such delivery from Board supplies at
Turquoise, Twin Lakes or Pueblo Reservoir
shall have the approval of the agency which
operates or governs discharges from these
reservoirs;
(3) The Board shall not be required to expend
any funds for the alteration of its outlet
gates or its outlet measuring devices for the
purpose of making such low rate deliveries.
D. The Board will deliver a quantity of water in
response to the City's request which will not exceed 6.4 acre feet
per annum (calculated on a calendar Yea basis).
E. Water delivered by the Board from storage
reservoir, river flows or by exchange will be delivered "as is"
without any requirement as to particular quality or any
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representation or warranties by the Board as to particular
quality.
F. Once delivered to the City's facility, all rights
to re -use shall belong to the City and the Board shall have no
further re -use rights.
G. Without prior written permission of the Board, the
City cannot accumulate or hold in Board storage facilities the 6.4
acre feet per annum of water to be delivered by the Board
hereunder. In other words, within each calendar year, the City
must use its annual entitlement to such water or lose it.
3. CHANGE PROCEEDING The Board may file and the City
hereby consents to the Board filing a change proceeding in Water
Court to change the points of diversion and the uses of the water
represented by the shares of the West Pueblo Ditch transferred
herein to the Board to such points of diversion and such uses as
selected by the Board. The Board shall determine the nature of
the change proceeding and determine the conduct of the proceeding.
4. CONSENT gEQUIgZQ FROM BOARD This Agreement
contemplates that the City shall have full flexibility in the use
of the transmountain water to be provided it by the Board. In the
event that the City determines that its uses of such water require
court approval under a plan for augmentation, or other water court
proceeding, the City shall first obtain the consent of the Board
prior to any application being filed with the court. The Board
shall not unreasonably withhold its consent; and shall be obliged,
in the event that consent is withheld, to specify its objections
in writing and to describe with particularity what changes in the
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proposed plan of augmentation or change proceeding would
necessarily be made, and what rights of the Hoard could be
utilized in order for the Hoard's consent to be forthcoming. By
this procedure, the parties intend to secure to the City the full
right to use of the transmountain water promised to the City, in
the quantity promised to the City, and at the location(s) selected
by the City (delivered on the Arkansas mainstem downgradient of
Clear Creek Reservoir or at other mutually acceptable places for
use in the Arkansas River Basin), while simultaneously securing to
the Board the ability to assure that its underlying right, title
and interest in the transmountain water is not impaired, or
collaterally attacked, and that the Board is afforded a full
opportunity to protect its water resources and its full
entitlements therein.
5. DISSOWTION The City hereby grants to the Board its
proxy to vote all shares of stock held in the West Pueblo Ditch
Company for dissolution of the corporation and winding up the
corporation's affairs. Said proxy shall be irrevocable.
The Board agrees that any dissolution shall be conducted
without cost to the City in accordance with the applicable
corporate laws of Colorado, and include the following terms:
A. Provision for payment of all liabilities of the
corporation prior to dissolution. To the extent required,
assessments on the outstanding stock of the corporation therefor
shall be levied;
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B. Provision for alternate water supplies, for the
outstanding shareholders other than the City and the Board, and
retirement as treasury stock of said outstanding shares;
C. Distribution in kind of legal title to interests in
the priorities decreed to the West Pueblo Ditch to the Board and
any other minority shareholders according to their respective pro
rata stock ownership;
D. Distribution in kind of the Board of all corporate
records of any kind.
In order to accomplish said dissolution and winding up,
the City and the Board mutually promise full cooperation and aid
to achieve the objects of this paragraph.
6. GENERAL The laws of the State of Colorado and rules
and regulations issued pursuant thereto shall be applied in the
interpretation, execution and enforcement of this contract.
IN WITNESS WHEREOF, the undersigned have hereunto set their
hands and seals this a>0 , day of �1�4�cc� , 1995.
APPROVED AS TO FORM: PUEB , A Municipal Corporation
City Att a President of City Council
ATTEST:
Ci y Clerk
L
BOARD OF WATER WORKS OF PUEBLO,
COLORADO
ATTEST:
BY BY \
Alan C. Aamel
Executive Director
Federal I.D. # 84- 600 -2503