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HomeMy WebLinkAbout1.0 Application• LOS AMIGOS RANCH PARTNERSHIP 2929 County Road 114 Glenwood Springs, CO 81601 April 1, 1994 Garfield County Commissioners c/o Mark Bean Garfield County Planning 109 8th Street Glenwood Springs, CO 81601 Re: Final Plat Submission Filings 3 and 4, Subdivision II, Los Amigos Ranch, PUD: Gentlemen: Los Amigos Ranch Partnership hereby requests review and approval of the Final Plat of Filings 3 and 4, Subdivison II, Los Amigos Ranch, PUD, which contains twelve single family lots. If Los Amigos Ranch Partnership can provide further assistance, please contact me at 945-6399. Respectfully submitted, Greg`S. ecker Manager, Los Amigos Ranch GSB/als 1 TO: Garfield County RE: Response to Preliminary Plat Conditions and Final Plat Requirements. DATE: April 1, 1994 Condition No.1: The representations of applicant shall be considered conditions of approval. Response: Applicant so stipulates. Conditions No. 2: The Homeowner's Association shall be incorporated. Response: See. (Exhibit A, Final Plat Submission, Filing 2, Subdivision 2, Los Amigos Ranch PUD). Condition No.3: Submittal of Subdivision Improvements Agreement. Response: See Exhibit A attached hereto. Condition No.4: Submittal of Improvement Plans. Response: See Construction Documents. Condition No.5: All utilities shall be placed underground. Response: See Construction Documents. Conditions No. 6: Submittal of Revegtation Plan. Response: See Exhibit A, Subdivision Improvements Agreement setting forth funds for revegetation. Condition No. 7: Demonstrate established procedures for road maintenance and snow removal. Response: See (Exhibit E, Final Plat Submission, Filing 2). Condition No. 8: Plat Notes Response: See Final Plat and Supplemental Declaration (Exhibit D, Final Plat Submission, Filing 2). Condition No. 9: Submittal of Protective Covenants, Articles and By -Laws of Homeowner's Association. Response: See (Exhibits A, B, C, and D, Final Plat Submission, Filing 2). -1- • Condition No. 10: Plat and Covenants shall prohibit re -subdivision of lots. Response: See Final Plat and Covenants (Exhibit C, Final Plat Submission, Filing 2). Condition No. 11: Roadways shall be constructed in accordance with design standards. Response: See Construction Documents. Condition No.12: Adequate easements for utilities shall be provided on the Final Plat. Response: See Final Plat. Condition No. 13: Required road signage is to be provided. Response: See Exhibit A, Subdivision Improvements Agreement. Condition No. 14: Provision of north -bound left hand turn pocket on CR -114. Response: Covered by County Resolution. Not specifically applicable to this filing. Condition No. 15: Restriction of woodstoves to one open hearth and one Colorado certified woodstove per single family dwelling unit. Response: See Supplemental Declaration (Exhibit D, Final Plat Submission, Filing2). Condition No. 16: Provision of emergency access easement. Response: See Final Plat. Condition No. 17: No more than two adult dogs shall be allowed per single family lot. Response: See Supplemental Declaration (Exhibit D, Final Plat Submission, Filing2). -2- • • GARFIELD COUNTY SUBDIVISION FINAL PLAT REQUIREMENTS: 1) Section 5:21 through 5:25 Final Plat Documentation Response See Final Plat 2) Section 5:31 Supplemental Information A through I. Response A. See Construction Documents and Exhibit A, Subdivision Improvements Agreement. B. See Exhibits A and B, Subdivision Improvements Agreement and Consent to Vacate. C. See Exhibit C, Tax Certificate to be furnished later. D. See Covenants and Supplemental Declaration (Exhibits C and D, Final Plat Submission, Filing 2). E. See Final Plat. F. Not applicable. G. See Augmentation Letter (Exhibit I, Final Plat Submission, Filing 2). H. Not applicable. I. See Supplemental Declaration (Exhibit D, Final Plat Submission, Filing 2). -3- (303) 945-1004 FAX (303) 945-5948 • • EXHIBIT A (SIA) SCM SCHMUESER GORDON MEYER ENGINEERS SURVEYORS 118 West 6th, Suite 200 Glenwood Springs, CO 81601 LEGAL DESCRIPTION LOS AMIGOS RANCH SUBDIVISION NO. 2, FILINGS NO. 3 AND 4 (Revised April 1, 1994) A parcel of land situate in Sections 5 and 6, Township 7 South, Range 88 West of the Sixth Principal Meridian, Garfield County, Colorado, being more particularly described as follows, to wit: Beginning at the northwest corner of Lot 16, Los Amigos Ranch Subdivision No. 2, Filing No. 2, the true point of beginning; thence along the following twenty five (25) courses: 1) North 02 degrees 59 minutes 04 seconds East (N 02°59'04" E), a distance of 235.02 feet; 2) thence North 23 degrees 14 minutes 09 seconds East (N 23°14'09" E), a distance of 396.19 feet: 3) thence South 68 degrees 26 minutes 30 seconds East (S 68°26'30" E), a distance of 809.47 feet; 4) thence South 87 degrees 51 minutes 55 seconds East (S 87°51'55" E), a distance of 384.48 feet; 5) thence South 70 degrees 37 minutes 26 seconds East (S 70°37'26" E), a distance of 196.56 feet; 6) thence South 53 degrees 53 minutes 09 seconds East (S 53°53'09" E), a distance of 171.90 feet; 7) thence North 33 degrees 04 minutes 24 seconds East (N 33°04'24" E), a distance of 342.86 feet; 8) thence North 41 degrees 34 minutes 45 seconds East (N 41°34'45" E), a distance of 60.00 feet; 9) thence South 48 degrees 25 minutes 15 seconds East (S 48°25'15" E), a distance of 34.28 feet; 10) thence along a curve to the right having a radius of 486.05 feet, arc length of 337.75 feet, delta angle of 39 degrees 48 minutes 49 seconds (39°48'49"), a chord bearing of South 28 degrees 30 minutes 51 seconds East (S 28°30'51" E), and a chord length of 330.99 feet; 11) thence South 08 degrees 36 minutes 26 seconds East (S 08°36'26" E), a distance of 239.81 feet; 12) thence along a curve to the left having a radius of 429.60 feet, arc length of 493.60 feet, delta angle of 65 degrees 49 minutes 54 seconds (65°49'54"), a chord bearing of South 41 degrees 31 minutes 23 seconds East (S 41°31'23" E), and a chord length of 466.89 feet; 13) thence along a curve to the right having a radius of 680.42 feet, arc length of 305.04 feet, delta angle of 25 degrees 41 minutes 10 seconds (25°41'10"), a chord bearing of South 61 degrees 35 minutes 45 seconds East (S 61°35'45" E), and a chord length of 302.49 feet; 14) thence South 48 degrees 45 minutes 10 seconds East (S 48°45'10" E), a distance of 76.50 feet; 15) thence along a curve to the right having a radius of 484.23 feet, arc length of 335.00 feet, delta angle of 39 degrees 38 minutes 18 seconds (39°38'18"), a chord bearing of South 28 degrees 56 minutes 01 seconds East (S 28°56'01" E), and a chord length of 328.36 feet; 16) thence South 09 degrees 06 minutes 52 seconds East (S 09°06'52" E), a distance of 52.34 feet; 17) thence South 82 degrees 55 minutes 00 seconds West (S 82°55'00" W), a distance of 60.04 feet; 18) thence North 09 degrees 06 minutes 52 seconds West (N 09°06'52" W), a distance of 50.22 feet; 19) thence along a curve to the left having a radius of 424.23 feet, arc length of 293.49 feet, delta angle of 39 degrees 38 minutes 18 seconds (39°38'18"), a chord bearing of North 28 degrees 56 minutes 01 seconds West (N 28°56'01" W), and a chord length of 287.67 feet; 20) thence North 48 degrees 45 minutes 10 seconds West (N 48°45'10" W), a distance of 76.50 feet; 21) thence along a curve to the left having a radius of 620.42 feet, arc length of 278.14 feet, delta angle of 25 degrees 41 minutes 10 seconds (25°41'10"), a chord bearing of North 61 degrees 35 minutes 45 seconds West (N 61°35'45" W), and a chord length of 275.82 feet; 22) thence along a curve to the right having a radius of 489.60 feet, arc length of 45.52 feet, delta angle of 05 degrees 19 minutes 36 seconds (05°19'36"), a chord bearing of North 71 degrees 46 minutes 32 seconds West (N 71°46'32" W), and a chord length of 45.50 feet; 23) thence South 20 degrees 42 minutes 44 seconds West (S 20°42'44" W), a distance of 158.15 feet; 24) thence North 81 degrees 38 minutes 00 seconds West (N 81°38'00" W), a distance of 410.74 feet; 25) thence South 23 degrees 23 minutes 38 seconds West (S 23°23'38" W), a distance of 103.54 feet to the northeast corner of Lot 10, Los Amigos Ranch Subdivision No. 2, Filing No. 1 (As amended); thence North 81 degrees 38 minutes 00 seconds West (N 81°38'00" W), a distance of 642.14 feet along the northerly boundary of Los Amigos Ranch Subdivision No. 2, Filing No. 1 to the northwest corner of Lot 9, said corner being a point on the easterly boundary of Los Amigos Ranch Subdivision No. 2, Filing No. 2; thence along the easterly and northerly boundary of said subdivision the following five (5) courses: SCHMUESER GORDON MEYER, INC 1) thence North 08 degrees 04 minutes 57 seconds West (N 08°04'57" W), a distance of 104.27 feet; 2) thence North 81 degrees 38 minutes 00 seconds West (N 81°38'00" W), a distance of 148.91 feet; 3) thence North 21 degrees 14 minutes 45 seconds West (N 21°14'45" W), a distance of 275.69 feet; 4) thence North 67 degrees 52 minutes 41 seconds West (N 67°52'41" W), a distance of 430.39 feet; 5) thence North 85 degrees 59 minutes 11 seconds West (N 85°59'11" W), a distance of 528.57 feet to the northwest corner of Lot 16, Los Amigos Ranch Subdivision No. 2, Filing No. 2, the true point of beginning. Said parcel contains 35.722 acres, more or Tess. SCHMUESER GORDON MEYER, INC • . May 10, 1994 MAY:1 6 1994. of GokfiFt.tiLD (i. 41 Y BENEFICIARY: Board of County Commissioners, Garfield County, State of Colorado RE: IRREVOCABLE STANDBY LETTER OF CREDIT #1241 AMOUNT: $94,659.00 EXPIRES: OCTOBER 10, 1994 Dear Commissioners, We hereby open our Irrevocable Stand-by Letter of Credit in your favor available by your drafts at sight drawn on the Pitkin County Bank and Trust Company, 534 East Hyman Avenue, P.O. Box 3677, Aspen, Colorado, 81612, at sight, for any sum, not exceeding in total $94,659.00 U.S. Dollars for the account of Westbank Mesa Ltd. Partnership. For the purpose of guaranteeing construction of public improvements required by the County of Garfield, State of Colorado, pursuant to that certain Subdivision Improvements Agreement dated 5/11/94 between the County of Garfield, Colorado and Westbank Mesa Ltd. Partnership, relative to Westbank Ranch P.U.D. Filing #4 Resubdivision. WORK TO BE COMPLETED WORK ITEM COST Chip and seal pavement on roads $64,250.00 Landscaping 10,409.00 Tank painting 10,000.00 Final cleanup and miscellaneous 10,000.00 TOTAL WORK TO BE COMPLETED $94,659.00 534 E. IIYMAN AVE. • I'OS'I' OFFICE BOX 3677 • ASPEN, COLORADO 81612 • I'IIONE 303/925-6700 • • Drafts must be accompanied by the following: 1. A signed statement of an authorized representative of Board of County Commissioners stating that they have invoiced Westbank Mesa Ltd. Partnership and that the invoices are past due and have not been paid. 2. Photocopy of unpaid invoices(s). Partial drawings are permitted. Each draft must bear on its face the clause "Drawn under Letter of Credit No. 1241, dated May 10, 1994, of the Pitkin County Bank and Trust Company." Except so far as otherwise expressly stated herein, this Letter of Credit is subject to the "Uniform Customs and Practice for Documentary Credits 1983 Revision, International Chamber of Commerce Brochure Number 400." We hereby agree with you that drafts drawn under and in compliance with the terms of the Letter of Credit will be duly honored if presented to our office located at 534 East Hyman Avenue, Aspen, Colorado, 81611 on or before the close of business on October 10, 1994. truly yours, ►► ack Lavold ice President JL/mc • • GARFIELD COUNTY TREASURER & PUBLIC TRUSTEE GEORGIA CHAMBERLAIN P.O. BOX 1069 GLENWOOD SPRINGS, CO 81602 945-6382 APRIL 27, 1994 TO WHOM IT MAY CONCERN: PER CLEARANCE OF THE CHECK GIVEN TO THIS OFFICE ON APRIL 25, 1994 IN THE AMOUNT OF $16,972.52 THE FOLLOWING TAXES FOR 1993 PAYABLE IN 1994 ARE PAID. THE PROPERTIES ARE ASSESSED TO LOS AMIGOS RANCH PARTNERSHIP. SCHEDULE #011346 - $ 106.68 SCHEDULE #011347 - $ 127.22 SCHEDULE #111509 - $2283.84 SCHEDULE #011549 - $ 229.16 SCHEDULE #050064 - $2909.05 SCHEDULE #060013 - $1008.87 SCHEDULE #060014 - $1513.30 SCHEDULE #012024 - $ 157.25 SCHEDULE #120029 - $1276.95 SCHEDULE #111782 - $2326.63 SCHEDULE #111783 - $1160.90 SCHEDULE #111860 - $ 964.20 SCHEDULE #111865 - $ 964.20 SCHEDULE #111866 - $ 964.20 SCHEDULE #111867 - $ 964.20 SCHEDULE P000121 - $ 15.87 141 eilk-AtArpateA1-44.,& GEORGIA CHAMBERLIAIN GARFIELD COUNTY TREASURER Ci" -VIEW COUNTY • WATER DELIVERY AGREEMENT THIS AGREEMENT is made and entered into this day of 199_, by and between RED CANYON WATER COMPANY, a Colorado Corporation (hereinafter "the Company") and (hereinafter "Purchaser"). RECITALS A. The Company is the lessee of certain underground water rights, more particularly described as the Los Amigos Well No. 5 originally decreed in Case No. W-2156 in the District Court of Garfield County, Colorado (decree absolute), and the Rancho Los Amigos Well No. 6 as originally decreed in Case No. 3873 in the District Court of Garfield County, Colorado (decree conditional). Such rights, which are subject to conditions and stipulations on file in the records of the District Court for Water Division No. 5, State of Colorado, including those in Case No. W-3893 and which are included within and subject to an augmentation plan filed by Basalt Water Conservancy District in Case No. 87CW155 in the District Court for Water Division No. 5, State of Colorado, such plan including other parties and rights to the beneficial use of water, are hereinafter referred to as the "Leased Water Rights". B. The Company owns certain improvements and facilities for the withdrawal, treatment, pumping, transmission, and delivery of water to water users in the Spring Valley area of Garfield County, including the Los Amigos Ranch Planned Unit Development. C. Purchaser is the owner of certain residential real property situated within the Los Amigos Ranch Planned Unit Development, Garfield County, Colorado, and more particularly described as follows: D. Purchaser desires the Company to provide water service to said residential real property and hereby reserves/purchases a residential tap for this purpose. • • NOW, THEREFORE, for and in consideration of the foregoing recitals and of the mutual terms, covenants, and conditions contained herein, the parties agree as follows: 1. Definitions. a. "Residence" means the residential real property described in Paragraph C above, and all permissible improvements thereon, owned by Purchaser. b. "Water meter" means any flow measurement device installed at the Residence which measures the flow of water delivered thereto. c. "Potable water" means water of sufficient purity to satisfy maximum contaminant levels allowed under the Safe Drinking Water Act, Publ.L. 93-523, as of the date of the execution of this Agreement, and all applicable mandatory drinking water standards of the State of Colorado in effect on the date hereof. d. "Point of Delivery" means the property line of the Residence or an adjoining utility easement. e. "Water Facilities" means all physical improvements and facilities reasonably necessary or desirable for delivery of potable water to the Residence at the Point of Delivery. Water Facilities are or will be owned, constructed, maintained, and operated by the Company. Water Facilities include, but are not limited to, wells or other water source facilities, water treatment facilities, storage facilities, pumps and pumping stations, and major transmission lines. 2. Term. a. This Agreement shall be for a primary term of ten (10) years from the date hereof. b. Purchaser shall have the right to renew this Agreement for eight (8) successive five (5) year terms following the primary term upon the same terms and conditions, except for the rates provided for in Paragraph 3.c., below. The Basic Charge and the Supplemental Water Charge shall be set at the beginning of each five-year renewal period at a rate that will provide to the Company an amount equal to Purchaser's proportional share (based on Purchaser's percentage usage of the Company's Water Facilities and leased water rights) of the Company's actual cost for operation and maintenance, together with a 2 • • reserve for replacement, together with a profit of fifteen percent (15%) per annum; provided, however, that the Basic Charge and the Supplemental Water Charge shall in no event be less than the amount charged at the end of the primary term or at the end of any renewal term. c. Upon the expiration of the primary term and the renewal terms, the Company and Purchaser may renew this Agreement upon terms and conditions mutually acceptable to both parties. d. In order to connect the Residence to the Company's Water Facilities, Purchaser must pay to the Company a tap fee in the sum of two thousand, two hundred dollars ($2,200.00) which sum shall be adjusted annually in accordance to Paragraph 4 of this Agreement if not paid in full by October 31, 1991. The receipt of $ is hereby acknowledged. e. Prior to connecting the Residence to the Company's Water Facilities, Purchaser shall pay to the Company a monthly standby charge in the amount of twelve dollars ($12.00) for the fixed cost of operating and maintaining the Water Facilities, including the transmission system to the Residence (hereinafter "Standby Charge"); provided however, that if the tap fee is paid in full at the time this Agreement is executed, said monthly Standby Charge shall not be imposed for three years following the date hereof. 3. Delivery of Water. Upon full payment of the tap fee pursuant to Paragraph 2(d) above and the Company's approval of the service connection and water meter installed to serve the Residence, (See Paragraph 11 below), the following terms shall apply: a. The company agrees to provide to the Residence at the Point of Delivery an amount of water sufficient to serve the reasonable domestic and residential needs of the Residence; provided, however, that in no event shall the Company be obligated to provide water to the Residence: (1) for or to any use of the Residence or Purchaser or others located outside the boundaries of the Residence, or (2) in a monthly volume which, as measured at the Residence water meters, is greater than the monthly basic allotment of Fifteen Thousand gallons (15,000 gal.) 3 • • b. The Company agrees to provide to the Residence supplementary volumes of water in excess of the monthly basic allotments set forth in subparagraph (a) above, provided the following two conditions are met: (1) such additional water is available to the Company under the Leased Water Rights after the Company fulfills all other contractual water delivery obligations and without any further expense, cost, or outlay by the Company and without securing or constructing any additional water source, water right, or Water Facilities; and (2) the additional water is reasonably needed to serve the reasonable domestic and residential needs of the Residence and will not be used or put to any use located outside the boundaries of the Residence. In the event that supplementary volumes of water will be unavailable for delivery to the Residence pursuant to this subparagraph, the Company will give Purchaser notice of such nonavailability no later than the tenth (10th) day of each month for which supplementary water will be unavailable. After notifying Purchaser of the nonavailability of supplementary water, the Company shall be entitled to curtail service to the Residence after the monthly basic allotment has been delivered to the Residence. c. Upon connecting the Residence to the Company's Water Facilities, Purchaser shall pay to the Company a monthly charge in the amount of twenty-two dollars ($22.00) for the available use of water (hereinafter "Basic Charge") delivered by the Company pursuant to subparagraph (a) above, adjusted annually in accordance with Paragraph 4 of this Agreement. In addition to the Basic Charge, Purchaser shall pay to the Company a monthly charge for any water delivered pursuant to subparagraph (b) above (hereinafter "Supplemental Water Charge") calculated at the rate of two dollars ($2.00) per thousand gallons used, such rate also to be adjusted annually in accordance with Paragraph 4 of this Agreement. • • 4. Modification of Fees and Charges. a. The tap fee, any partially paid tap fee as set forth in Paragraph 2d, and the monthly charges established pursuant to Paragraph 3 shall be automatically adjusted annually by the Company beginning on November 1, 1991 to reflect the change in the purchasing power of the dollar. Such adjustments shall be on the following basis: The Consumer Price Index ("Index"), published by the Bureau of Labor Statistics shall be the basis of computation. The Index number for the United States as a whole in the column entitled "All Items" for the month of June, 1990, shall be the "Base Index Number" and the corresponding Index number for the month of June in each succeeding year shall be the "Current Index Number". The Current Index Number shall be compared with the Base Index Number, and the monthly charges shall be adjusted (either decreased or increased) in the same ratio that the Current Index Number bears to the Base Index Number. The new charges so computed shall remain in effect from the annual date of adjustment hereunder for on year, at which time the fees and charges will again be automatically adjusted according to this formula: (i) If publication of the Consumer Price Index, in its entirety, or as necessary for the adjustment herein, shall be discontinued, the parties hereto shall thereafter accept comparable statistics on the cost of living as computed and published by an agency of the United States or by a responsible financial periodical of recognized authority then to be selected by the parties hereto or, if the parties cannot agree upon a selection, by arbitration. (ii) In the event the Index shall hereafter by converted to a different standard reference base or otherwise revised, the parties shall use such conversion factor, formula, or table for converting the Index as may be published by the Bureau of Labor Statistics for said purpose, or failing such publication, by any other recognized publisher or similar statistical information selected by the parties hereto, or, if the parties cannot agree upon a selection, by arbitration. 5 • • 5. Manner of Payment. a. On or before the tenth (10th) day of every month during the term hereof, Purchaser shall pay, without prior demand therefor and without deduction or setoff, the Basic Charge or the Standby Charge, to the Company at its address provided in Paragraph 17, below. The Company shall bill Purchaser for Supplemental Water Charges on a monthly basis. Such monthly billing shall be in writing and sent to Purchaser at its address provided in Paragraph 17, below, within fifteen (15) days following the end of each calendar month during the lease term. b. All monthly charges for Supplemental Water Charges shall be paid by Purchaser by the 10th day of the following month. Such payment shall be remitted to the company at its address provided in Paragraph 17, below. c. In the event Purchaser fails to remit the Basic Charge, Standby Charge, or Supplemental Water Charges, or fails to reimburse the Company pursuant to Paragraph 12 below, in the manner and time period provided for herein, the Company, at its election, may, in addition to any other remedies provided for herein or by law: (i) Assess a late charge not to exceed twenty percent (20%) or the maximum rate allowed by law of the unpaid and overdue balance; and/or (ii) Recover interest at the rate of eighteen percent (18%) per annum, or the maximum legal interest rate if greater than eighteen percent (18%), on the unpaid and overdue balance; and/or (iii) Curtail delivery of water under this Agreement if a sum exceeding $50.00 remains unpaid by Purchaser. 6. Increased Treatment Standards. In the event that, during the term of this Agreement, any statute, ordinance, regulation, or order of any federal, state, or local government or its agencies is duly enacted, promulgated, or issued which requires the Company to treat water to be delivered under this Agreement to an extent greater than the level and quality of treatment required by this Agreement or which requires the Company to modify or supplement the treatment methods or Water Facilities 6 • 1 owned or contemplated by the Company on the date of this Agreement or as built, the Company agrees to use its best efforts without unreasonable delay to provide the additional or modified treatment; provided, however, that the Company shall be entitled to charge Purchaser a proportionate share of the cost of providing such additional or different treatment. The proportionate cost of the additional or modified treatment borne by Purchaser shall be based upon Purchaser's percentage use of all water delivered to water users through the Water Facilities at the time the company becomes subject to such additional or modified treatment requirements. 7. Water Rights. a. In the event that the Company's Leased Water Rights, shall ever, during the primary term or renewal term(s) of this Agreement, be or become partially or wholly inadequate or insufficient, physically or legally to supply water as set forth in Paragraph 3.a. of this Agreement, the Company agrees to employ its best efforts to secure such additional sources of water, water rights, and/or the necessary water court approvals to permit continual delivery of a potable water supply to the Residence as herein provided; provided, however, that the Company shall be entitled to charge Purchaser a proportionate share of its additional investment in the manner similar to that set forth in Paragraph 6 above. b. The Company shall have no liability to Purchaser or any third party for losses or damages, whether direct, indirect, or consequential, that result due to the failure to deliver water to the Residence due to the legal or physical inadequacy or insufficiency of the Leased Water Rights. 8. Facility Maintenance. Except as expressly provided to the contrary in this Agreement, the Company agrees, at its expense, to inspect, maintain, operate, and improve the Water Facilities owned by it in accordance with accepted engineering practices. 9. Notice of Agreement. Purchaser agrees to notify and inform all existing and prospective lessees, purchasers, and lenders of the Residence, of the terms and conditions of this Agreement. 10. Duty of Care. The Company agrees to exercise reasonable care and good -faith efforts to furnish potable water to the Residence. The Company shall not be liable for any loss or damage, whether direct, indirect, or 7 consequential, for any failure to supply potable water to the Residence, except in those circumstances where the Company fails to exercise reasonable care and good -faith efforts, provided, however, that nothing herein shall modify or supersede the provisions of Paragraphs 6 and 7. 11. Connections; Water Meters. To ensure no waste hereunder, Purchaser shall install a water meter previously approved by the Company on each service connection to the Residence. Each service connection and water meter shall be in compliance with all applicable state and local requirements, if any. The Company shall inspect and approve the installation of each service connection and water meter prior to supplying water. Purchaser shall bear all costs associated with installing and maintaining the service connection and water meter for the Residence. 12. Entry. The Company, and its authorized agents, employees, and representatives, shall have the right, but not the obligation, to enter upon the premises of the Residence at any time for the purpose of inspecting, maintaining, or replacing the water meter, service connection or any other water improvements owned by Purchaser now or hereafter located on the Residence. Such maintenance repair or replacement shall be at Purchaser's sole expense and the Company shall be reimbursed within 15 days of billing Purchaser for such expense. 13. Fire Hydrants. Purchaser shall not obtain or attempt to obtain any water from any fire hydrant located in the Los Amigos Ranch Planned Unit Development for any purpose or use other than emergency use to fight or put out fires. 14. Title and Ownership. a. The Company represents that it has full right and authority under the Leased Water Rights to furnish water in accordance with the terms herein. Nothing within this Agreement shall be construed as granting, relinquishing, or otherwise conveying any rights, title, or interest in the Water Facilities or the Leased Water Rights to Purchaser. b. All water furnished under this Agreement is for the use of the Residence occupants. Said right of use of water by the Residence occupants shall not include any right to make a succession of uses of such water and upon completion of the primary use by the Residence occupants all right, title, and interest in and to the water furnished under this Agreement shall revert automatically and completely 8 to the Company. Purchaser agrees that it shall not sell or resell the water supplied to the Residence. Nothing contained herein shall be deemed as imposing on the Company any obligation or duty for the collection or purification of water or otherwise after use by the Residence occupants or following delivery to the Residence at the Point of Delivery. c. Purchaser shall be solely responsible for operation, maintenance, and replacement of all water improvements utilized by Purchaser for the Residence after the Point of Delivery. 15. Default; Notice to Cure. In the event that either party to this Agreement shall fail to keep or perform any covenant, term, or provision hereof required to be kept or performed by such party according to the terms and provision of this Agreement, specifically including the failure to pay monthly charges as set forth in Paragraph 5(c) above, the non -defaulting party shall give the defaulting party written notice specifying the particular default or defaults. The defaulting party shall have such time as provided in said notice, which period of time shall in no event be less than twenty (20) days in which to cure such default or defaults within the period of the notice. During the period of time provided to cure defaults, neither party shall initiate against the other party legal proceedings for breach of this Agreement. 16. Termination. a. The Company, in its sole discretion, may terminate this Agreement and the Company's obligation under this Agreement or otherwise to supply water to the Purchaser and the Residence upon the occurrence of any of the following: (i) Upon a determination by a court of competent jurisdiction that the Company is a public utility for purposes of the delivery and sale of water to Purchaser and the Residence under this Agreement or otherwise and is subject to regulation by and the jurisdiction of the Colorado Public Utilities Commission. ii) Upon a determination by a court of competent jurisdiction that the Company or the delivery and sale of water by the Company to Purchaser and the Residence under this Agreement or otherwise is subject to rate regulation by 9 • • the Garfield County Board of County Commissioners. (iii) Upon a failure by Purchaser to cure a default pursuant to Paragraph 15 of this Agreement. The failure to declare this Agreement terminated upon failure to cure a default shall not constitute a waiver of such default or the rights provided for herein as to any other default. Pursuit of any of the foregoing remedies shall not preclude pursuit of any of the other remedies herein provided or any other remedies provided by law, nor shall pursuit of any remedy herein provided constitute a forfeiture or waiver of any payment due to the Company hereunder or of any damages accruing to the Company by reason of the violation of any of the provisions herein contained. No waiver by the Company of any violation of any of the provisions herein contained shall constitute a waiver of any other violation of any of the provisions herein contained. The Company's acceptance of payments hereunder after the occurrence of a default shall not be construed as a waiver of such default unless the Company so notifies Purchaser in writing. Forbearance by the Company to enforce one or more of the remedies herein provided upon a default shall not be deemed or construed to constitute a waiver of such default. The receipt by the Company of payment with knowledge of Purchaser's violation of any provision contained in this Agreement shall not constitute a waiver of the known violation or any other violation of any of the provisions contained herein. Purchaser shall pay all the Company's costs, expenses, and reasonable attorneys' fees in pursuing the Company's rights or remedies hereunder or as provided by law. b. Purchaser, in its sole discretion, may terminate this Agreement upon the occurrence of any of the following: (1) ( The failure by the Company to deliver water to the Residence for more than ten (10) consecutive days unless such failure is caused by or a result of: acts of God, criminal acts of third parties, enforcement of laws or regulations of federal, state, or local governmental entities; or ii) Upon a failure by the Company to cure a default pursuant to Paragraph 15 of this Agreement. 10 • • 17. Notices. Notice under this Agreement shall mean personal service or service by registered or certified mail, United States mail, postage prepaid, at the following addresses: PURCHASER: COMPANY: Red Canyon Water Company 2929 County Road 114 Glenwood Springs, CO 81601 18. Specified Performance. It is specifically understood and agreed that the rights acquired by each party hereto are such that the failure of the other party to perform its obligations hereunder would do irreparable harm to the non -defaulting party and there would be no adequate remedy at law. Accordingly, it is agreed that, in addition to any other equitable or legal remedies, the obligations of the parties hereto shall be specifically enforceable in any court of competent jurisdiction. 19. Force Majeure. It is expressly agreed that the rights and obligations of the parties shall be suspended whenever either party is unable to perform for reasons beyond its control or as a result of an act of God or an act of a third party. 20. Service Interruption. In the event the Company needs to stop or curtail the diversion or withdrawal of water or the delivery of water to the Residence for maintenance or reconstruction purposes, it shall have the right, upon reasonable advance notice to Purchaser, to temporarily suspend or curtail the delivery of water to the Residence for the purpose of such maintenance or reconstruction. 21. Fire Flows. The Company makes no representation or warranty concerning the adequacy of the flows available to the Residence for fire protection purposes. 22. Assignment. a. The Company agrees that all of Purchaser's rights and obligations under this Water Delivery Agreement may be assigned by Purchaser to any buyer of the Residence, provided, however, that until said buyer agrees in writing to be bound by the terms of this Agreement, Purchaser shall remain liable hereunder. b. Purchaser agrees that the Company may assign the Company's rights and obligations under this Water Delivery Agreement to a third party, including 11 without limitation, Los Amigos Ranch Homeowner's Association, if said third party agrees in writing to be bound by the terms of this Agreement. 23. Bankruptcy. The parties recognize that the provision of water service to the Residence is vital to Purchaser, and further that the Company has the right, under its lease agreement for the Leased Water Rights, in the event of the filing by the lessor of a voluntary or involuntary Chapter 7 bankruptcy petition, to request from the lessor the conveyance of that portion of the Leased Water Rights then in use or needed by the Company to provide water service pursuant to any and all water delivery agreements. Therefore, the Company agrees, in the event the Company files a voluntary or involuntary Chapter 7 bankruptcy petition, to convey to the Los Amigos Ranch Homeowner's Association, its successors, and assigns, upon request and without further consideration, an undivided interest in the Company's Water Facilities necessary to provide water service to the Residence, together with an undivided interest in and to the lease agreement for the Leased Water Rights necessary to provide water service to the Residence. The Company further agrees in the event its lessor files a voluntary or involuntary Chapter 7 bankruptcy petition to obtain from its lessor pursuant to the lease that quantity of the Leased Water Rights necessary to provide water service to the Residence and, in the event the Company owns said water rights at the time of any conveyance to The Los Amigos Ranch Homeowner's Association of an undivided interest in the Company's Water Facilities pursuant to this paragraph to include in said conveyance that quantity of the Leased Water Rights necessary to provide water service to the Residence. Upon such conveyance by the Company, this Water Delivery Agreement shall be null and void and of no further force or effect. 24. Attorney's Fees. In any dispute between the parties to this Agreement, the prevailing party shall be entitled to recover its costs, expenses and reasonable attorney's fees. 25. Benefit. This Agreement shall extend to, be binding upon, and inure to the benefit of the parties hereto and their heirs, successors, and assigns. Nothing is this Agreement is intended to confer on any third person or entity any benefits, rights, or remedies. 26. Integrated Agreement. This Agreement supersedes and controls all prior written and oral agreements and representations of the parties and is the total integrated agreement among the parties. 12 1 • 27. Authority to Execute. By signing this Agreement, the parties acknowledge and represent to one another that all procedures necessary to validly contract and execute this Agreement have been performed and that the persons signing for each party have been duly authorized so to do. IN WITNESS WHEREOF, the parties have executed this Water Delivery Agreement in duplicate originals on the day and year first above written. By ATTEST: Secretary, RCWC 13 RED CANYON WATER COMPANY President, RCWC Purchaser, Owner of Residence • f ::-MAR 14 '94 05:07PM MAS IORSE CARBNDLE EXHIBIT B P.2 RESIDEN:t':CA; SEWAGE TREATMENT AGREEMENT THIS AGREEMENT is made and entered into this day of 199, by and between SPRING VALLEY SANITATION DISTRICT, a special district organized under the laws of the State of Colorado (hereinafter "District") and (hereinafter "User"). gmlna A.• The District is a special district:.having the statutory power to provide sanitary sewer service to persons and entities located within the boundaries of th'e.District. E. User owns certain 'residential real property and improvements in Garfield County, Colorado, lying within the boundaries of the District and more particularly described as Subdivision II,. Lotof the Los Amigos Ranch Planned Unit Develonme.nt (hereafter "Residential Property").. C. User desires to contract with the District for provision of sanitary sewer service to and a:or the Residential Property and has acquired the necessary tap rights from Los Amigos Ranch Partnership. D. The District recognizes the transfer of tap rights from Los Amigos. Ranch Partnership to User and desires to provide sanitary sewer service to the Residential Property. NOW THEREFORE, in' consideration of the foregoing recitals and of the mutual terms, covenants, and conditions contained herein, the parties agree as follows: 1. •Provision of Service. The District agrees to provide sanitary sewer service to the Residential property for all. reasonable domestic and residential needs of the Residential Property. "Sanitary sewer service," as used in this Agreement, shall mean the construction, operation, maintenance, repair or replacement of all physical improvements and facilities reasonably necessary in accordance with sound sanitation engineering practices to transport, treat, store and dispose of the residential domestic waste, waste water and effluent from.or discharged by the Residential. Property. "Sanitary sewer service" shall not apply to 1 "MAR 14 '94 05:08PM MASON&MORSE CARBNDLE • • individual service lines from the Residential Property or connections to the Distri.ct's sewer mains, which are the sole responsibility of User. Sani teary sewer service provided hereunder shat.l meet or comply with all mandatory federal, state or local laws, regulations, requirements and procedures for the transmission, treatment, storage and disposal of residential. domestic waste, waste water and effluent which are applicable to the District and are in force and effect as of the date hereof. P.3 2. Term. (a) This Agreement: shall be for a primary'term of ten (10) years from the date hereof. (b) User and the District may renew this Agreement for successive five (5) year periods upon terms mutually acceptable to the parties. 3. Rates. Usex. shall pay to the District a quarterly charge in the amount of thirty-six dollars ($36.00) for provision of sanitary sewer service to the Residential Propeety. Said.quarterly charge may be adjusted annually at the beginning of every year, at the sole discretion of the District, in an amount not to exceed ten percent (10%) of the then -applicable cria_teely charge. User skull pay the quarterly charge to the District at its address provided in riaragraph 11 below, without pricy demand therefor and without deduction or setoff, on or before the fifteenth (15th) day of the first month of each auarter during the te_in hereof. 4. Penalties. In the event User fails to remit the quarterly charges in the manner arid time period provided for in Paragraph 3 above, the District, at its election, may, in addition to any other remedies, provided for herein or by law: (a) Assess a late charge not to exceed twenty-five percent (25%) or the maximum rate allowed bylaw of the unpaid and overdue balance; and/or (b) Recover interest at the rate of eighteen percent (18%) per annum, or the maximum legal interest rate if greater than eighteen percent (18e), on the unpaid and overdue balance and late charges; and/or (c) Curtail provision of sanitary sewer service under this Agreement if two (2) or more consecutive quarterly charges remain unpaid and overdue. 5. I,,,ncxeased Treatment Standards. In the event that, during the term of this' Agreement, any statute, ordinance, regulation or order of any federal, state, or local government ox its agencies is duly enacted, promulgated or issued which requires the District to treat waste and waste water under this Agreement to an extent 2 ' - MAR 14 '94 05:08PM MRIWORSE CRRBNDLE • P.4 greater than the level and quality of treatment required by this Agreement or which requires the District.to modify or supplement the treatment methods or facilities owned or contemplated by the District on the date of this Agreement or as built, the District agrees to use its best efforts without unreasonable delay.to provide the additional or modified treatment. User shall pay to the District, upon the District's demand, the proportionate cost of providing such additional or different treatment. The proportionate cost of the additional or, modified treatment borne by User shall be based upon the Residential Property's percentage of the total volume of waste and waste water treated by the District: at the time the District becomes subject to such additional or modified treatment requirements. For the purpose of determining the Residential Property's percentage usage, it will be assumed the Residential Property discharges BO gallons of waste and waste water per day into the sanitary sewer system. G. Duv ofof Care. The Distxi.ct agree to exercise reasonable care and good faith Efforts to furnish sanitary sewer service to the Residential Property as provided herein. The District shall not be liable. for any loss or damage .to User, the Residential Property, or any third party, whether direct, indirect or consequential, for anv failure or interruption of sanitary sewer ser'v'ice to the Residential Property, except in those circumstances where the District fails to exercise reasonable care and good faith efforts. 7. Installation and Inspection. User shal? be responsible for the installation of individual service lines and their connection to the District's sewer mains, wherever located, however, all connections to the District's sewer mains and installation of service lines through sewer line easements must be previously approved by the District and said actual sewer improvements must be -inspected by :the District before burial. Ten days advance notice must be given to the District for each of the prior approval and the on -situ improvement inspection. The District shall have absolute discretion to approve or disapprove said proposed or actual installation of service lines or connections.Failure to obtain each of said approvals shall entitle the District to refuse service to the Residential Property and remove said sewer improvements from the District's sewer mains and sewer easements at User's expense. 8. Resoonsi.bilities of User. User shall be responsible for maintaining the entire length of the service line serving his Residential Property. beaks, stoppage, or breaks in such service line will be repaired by the User within seventy-two (72) hours after notification of such condition by the District. If satisfactory progress toward repairing said leak, stoppage, or break has not been completed within such time period, the District may, but is not required to, take appropriate steps to repair such service line leak, stoppage or break. In such event, the District 3 .e'MRR 14 '94 05:09PM MAS ORSE CARBNDLE • P.5 shall recover the cost of such repair from the User owning such service line. If User fails to pay any. costs for which the User is responsible within thirty (30) days of the District mailing notice thereof to the User, the District may take such action as is necessary to collect such costs, including the imposition, and foreclosure of a lien an the User's property, and the District shall be entitled to recover all costs of such collection, including reasonable attorneys fees. 9., Prohibited Acts and Discharges.. No unauthorized person shall uncover, make any connection with • or opening into, use, alter, or disturb any sewer main or appurtenance without first obtaining written approval from the District. No person shall discharge, or cause to be discharged, any storm water, surface water, ground water, roof runoff, or sub- surface drainage to the sanitary sewer system. No public or private swimming pool shall be connected with the sanitary sewer system. No person shall discharge, or cause to be discharged, to any sewer: main, any prohibited sewage, (as defined by the District) or any harmful waters or wastes, whether l!cruid, solid, or gas, capable or causing obstruction to the flow is sewers, damage or hazard to structures, equipment and personnel of the sanitary sewer system, or other interference with the proper operation of the sanitary sewer system. Such prohibited sewage discharges shall specifically include, but not be limited to, Gasoline, kerosene, naphtha, benzene, toluene, zylone, ethers, alcohols, ketones, aldehydes, peroxides, chlorates, perchlorates, bromates, carbides,. hydrides, sulfides, metals, motor oils, greases, paints, paint thinner, terpentine, acetone, muriatic acid, radioactive material or any substances which are or may be determined to be hazardous by any federal, state or local government or agency, which cannot be • safely treated or disposed of as residential domestic waste water or effluent in accordance with sound sanitation engineering practices and federal, state and local laws, regulations, requirements and standards. The District is entitled to specify additional prohibited acts, prohibited discharges, or affirmative duties of Users as it deems appropriate and may establish and levy fines and penalties far violations of any specified prohibited acts, prohibited discharges, or affirmative duties of Users. 10. Indemnification. The District shall not be liable for any maintenance, repair, replacement or any other loss or damage, whether direct, indirect or consequential, caused by or resulting from prohibited acts, negligent acts or.omissions by Users, Users' agents or employees, or caused by or resulting from any discharge into the sanitary sewer system of any oils, chemicals, wastes or other substances prohibited by the District. The responsible User 4 '/MAR 14 '94 05: 10PM MASOj' 1ORSE CARFiNDLE • P.6 shall Indemnify and hold harmless the District from all loss, damages or expenses, including, without limitation, expenses of any maintenance, repair, replacement, clean-up, or litigation (including reasonable attorneys' fees incurred therein) incurred by the District as a result of any act, omission or occurrence described in this paragraph. 11. pefault,,, Notice .to Cure. In the event that either party to this Agreement shall fail to keep or perform any covenant, term or provision hereof required to be kept or performed by such party according to the terms and provisions of this Agreement, the nondefaulting party shall give the defaulting party written notice specifying the particular default or defaults. The defaulting party shall have such time as provided in said notice, which period of time shall in no event be less than twenty (20) days, in which to cure such default or defaults. During the period of time provided to cure defaults, neither party shall initiate against the other party legal proceedings for breach of this Agreement. This provision for•at least twenty"(20) days notice to cure defaults shall not apply to late charges and interest for overdue and unpaid quarterly charges as set forth i.n aragraphs , 4 (a) and 4(b) above. 1'). Termination. (a) In the event that User fails to cure a default as provided pursuant to Paragraph 11, the District may elect to terminate this Agreement, and thereby terminate the District's obligation under this Agreement or otherwise to supply sanitary sewer service to the Residential Property. The failure to declare this Agreement terminated upon failure to cure a. default shall not constitute a. waiver of such default or the rights provided for herein as to any other default. Pursuit of any of the foregoing remedies shall not preclude pursuit of any of the other remedies herein provided or any other remedies provided by law, nor shall pursuit of any remedy herein provided constitute a forfeiture or waiver of any payment due. to. the District hereunder or of any damages accruing to• the District by reason of the violation of any of the provisions herein. No waiver by the District of any violation of any'of the provisions herein shall constitute: a waiver of any other violation of said provisions. The District's acceptance of payments hereunder after the occurrence of a default shall not be construed as a,waiver of such default unless the District so notifies User in writing. Forbearance by the District to enforce one or more or'the remedies herein provided upon a default shall not be deemed or construed to constitute a waiver of such default. User shall pay the District's costs, expenses and reasonable attorneys' fees in pursuing the District's rights or remedies hereunder or as provided by law. 5 11,1 ',,.MAR 14 '94 05:10PM MAS•ORSE CARBNDLE P.7 (b) User may terminate this Agreement upon the occurrence of any of the following: (i) The failure of the District to deliver sanitary sewer service to the Residential property 4or more than ten (10) consecutive days, unless such failure is caused by or a. result of acts of God, criminal acts of third parties, or enforcement of laws or regulations of federal, state or local governmental entities. (Li) Upon a failure of the District -to cure a default pursuant to paragraph 9 of this Agreement. 13. Notices. Notice under this Agreement shall mean personal service or service by registered or certified mail, United States mail., postage , prepaid, at the following addresses: User: District: Spring Valley Sanitation District 2°29 County Road Glenwood Springs, Colorado 81601 14, Specific Performance_. It is specifically understood and agreed that the rights acquired by each party hereto are such that the failure of the Other party to perform its obligations hereunder would do irreparable harm to the nondefau1ting party and there would be no adequate remedy at law. Accordingly, itis agreed sereed that, in addition to any other equitable or legalm obligations of the parties hereunder shall be specifically enforceable in any court of competent jurisdiction. 15. Force ajeure. It is expressly agreed that the rights and obligations of the parties shall be suspended whenever either party is unable to perforin for reasons beyond its control or as a result of an act of ,God . or' an act of a third party. 16. Service Inte,ruvtion. In the event the District needs to stop or curtail the provision of sanitary sewer service to the Residential Property for maintenance or reconstruction purposes, it shall have the right, upon reasonable advance notice to User, to temporarily suspend or curtail the delivery of sanitary sewer service to the Residential Property for the purpose of such maintenance or reconstruction. 17. Attorney's Fees. In any dispute between the parties to this Agreement, the prevailing party shall be entitled to recover its costs, expenses and reasonable attorney's fees. 6 •:'MAR 14 '94 05:11PM MAS MORSE CARBNDLE ' 1.8. ,B, netit. This Agreement shall extend to, be binding upon and inure to the benefit of the parties hereto and their respective heirs, successors, and assigns. Nothing in this Agreement is intended to confer on any third person or entity any benefits, rights or remedies. L9. integrated .g rpt eement. This Agreement supersedes and controls all prior written and oral agreements and representations of the parties and is the total integrated agreement among the parties. 20. Authority to Execute. By signing this ,Agreement, the parties acknowledge and represent to one another that all procedures necessary to validly contract and execute this Agreement have been performed and that the persons signing for each party have been duly authorized so to do. IN WITNESS WHEREOF, the parties have executed this Agreement in duplicate original on,the day and year first above written. • SPRING VALLEY SANITATION DISTRICT P.8 Attest: Secretary, SVSD By President, SVSD• By User,and Owner of Residential Property • • WATER DELIVERY AGREEMENT THIS AGREEMENT is made and entered into this 1st day of January, 1989, by and between RED CANYON WATER COMPANY, a Colorado Corporation (hereinafter referred to as the "Company") and LOS AMIGOS RANCH PARTNERSHIP (hereinafter referred to as "LARP"). RECITALS A. The Company is the lessee of certain underground water rights, more particularly described as the Los Amigos Well No. 5 originally decreed in Case No. W-2156 in the District Court of Garfield County, Colorado (decree absolute) , and the Rancho Los Amigos Well No. 6 as originally decreed in Case No. 3873 in the District Court of Garfield County, Colorado (decree conditional) . Such rights, which are subject to conditions and stipulations on file in the records of the District Court for Water Division No. 5, State of Colorado, including those in Case No. W-3893 and which are included within and subject to an augmentation plan filed by Basalt Water Conservancy District in Case No. 87CW155 in the District Court for Water Division No. 5, State of Colorado, such plan including other parties and rights to the beneficial use of water, are hereinafter referred to as the "Leased Water Rights". B. The Company owns certain improvements and facilities for the withdrawal, treatment, pumping, transmission, and deli- very of water to water users in the Spring Valley area of Garfield County, such as Auburn Ridge Apartments and LARP. C. LARP is the owner of certain real property situated within the Los Amigos Ranch Planned Unit Development, Garfield County, Colorado, known as Subdivision II. D. LARP desires the Company to provide water service to the three existing residences within Subdivision II. NOW, THEREFORE, for and in consideration of the foregoing recitals and of the mutual terms, covenants, and conditions con- tained herein, the parties agree as follows: 1. Definitions. a. "LARP Residences" means the existing buildings and appurtenant structures, pools, and hot tubs lying within Subdivision II of the Los Amigos Ranch Planned Unit Development and commonly known as the Ranch House, Bunk House, and A -Frame. b. "Basic Charge" means the monthly charge for use of water delivered by the Company pursuant to Paragraph 3 of this Agreement. • c. "Potable water" means water of sufficient purity to satisfy maximum contaminant levels allowed under the Safe Drinking Water Act, Publ.L. 93-523, as of the date of the execution of this Agreement, and all applicable mandatory drinking water standards of the State of Colorado in effect on the date hereof. d. "Water Facilities" means all physical improvements and facilities reasonably necessary or desirable for deli- very of potable water -to the LARP Residences at the Point of Delivery. "Water Facilities" are or will be owned, constructed, maintained, and operated by the Company. Water Facilities include, but are not limited to, wells or other water source facilities, water treatment facilities, storage facilities, pumps and pumping stations, and major transmission lines. e. "Point of Delivery" means the structures of the LARP Residences. 2. Term. a. This Agreement shall be for a primary term of ten (10) years from the date hereof. b. LARP shall have the right to renew this Agreement for eight (8) successive five (5) year terms following the primary term upon the same terms and conditions, except for the rates provided for in Paragraph 3 .c. , below. The Basic Charge shall be set at the beginning of each five-year renewal period and shall in no event be more than 30 percent greater than the amount charged during the preceding primary term or renewal term. c. Upon the expiration of the primary term and the renewal terms, the Company and LARP may renew this Agreement upon terms and conditions mutually acceptable to both parties. 3. Delivery of Water. a. The Company agrees to provide to the LARP Residences at the Point of Delivery an amount of water sufficient to serve the reasonable domestic and residential needs of the LARP Residences; provided, however, that in no event shall the Company be obligated to provide water to the LARP Residences for or to any use of the LARP Residences or LARP or others located outside the boun- daries of the Los Amigos Ranch Planned Unit Development. b. The Company agrees to provide to LARP supplementary volumes of water, provided the following two conditions are met: (1) such additional water is available to the • Company under the Leased Water Rights after the Company fulfills all other contractual water delivery obliga- tions and without any further expense, cost, or outlay by the Company and without securing or constructing any additional water source, water right, or Water Facilities; and (2) the additional water is reasonably needed to serve the reasonable needs of LARP and will not be used or put to any use located outside the boun- daries of the Los Amigos Ranch Planned Unit Development. c. LARP shall pay to the Company a monthly charge in the amount of $30.00 for the use of water (hereinafter "Basic Charge") delivered by the Company pursuant to subparagraph (a) above, adjusted annually in accordance with Paragraph 4 of this Agreement. In addition to the Basic Charge, LARP shall pay to the Company a charge for any water delivered pursuant to subparagraph (b) above (hereinafter "Supplemental Water Charge") calcu- lated at the rate of 67 cents (67¢) per thousand gallons used, such rate also to be adjusted annually in accordance with Paragraph 4 of this Agreement. 4. Modification of Fees and Charges. a. The monthly charges established pursuant to Paragraph 3 shall be automatically adjusted annually by the Company at each anniversary date of this Agreement to reflect the change in the purchasing power of the dollar. Such adjustments shall be on the following basis: The Consumer Price Index ("Index"), published by the Bureau of Labor Statistics shall be the basis of computation. The Index number for the United States as a whole in the column entitled "All Items" for the month of June, 1988, shall be the "Base Index Number" and the corresponding Index number for the month of June in each succeeding year shall be the "Current Index Number". The Current Index Number shall be compared with the Base Index Number, and the monthly charges shall be adjusted (either decreased or increased) in the same ratio that the Current Index Number bears to the Base Index Number. The new monthly charges so com- puted shall remain in effect from the annual date of adjustment hereunder for one year, at which time the monthly charges will again be automatically adjusted according to this formula: (i) If publication of the Consumer Price Index, in its entirety, or as necessary for the adjustment herein, shall be discontinued, the parties hereto shall thereafter accept comparable statistics on the cost of living as computed and published by an agency of the United States or by a responsible financial periodical of recognized authority then • to be selected by the parties hereto or, if the parties cannot agree upon a selection, by arbitration. (ii) In the event the Index shall hereafter be con- verted to a different standard reference base or otherwise revised, the parties shall use such con- version factor, formula, or table for converting the Index as may be published by the Bureau of Labor Statistics for said purpose, or failing such publication, by any other recognized publisher or similar statistical information selected by the parties hereto, or, if the parties cannot agree upon a selection, by arbitration. 5. Manner of Payment. a. On or before the tenth (10th) day of every sixth month during the term hereof, LARP shall pay, without prior demand therefor and without deduction or setoff, the Basic Charge to the Company at its address provided in Paragraph 17, below. The Company shall bill LARP in writing for Supplemental Water Charges as they are incurred. Said bills shall be paid by LARP within thirty (30) days of their receipt. b. In the event LARP fails to remit the Basic or Supplemental Water Charges in the manner and time period provided for herein, the Company, at its elec- tion, may, in addition to any other remedies provided for herein or by law: (i) Assess a late charge not to exceed ten percent (10%) of the unpaid and overdue balance; and/or (ii) Recover interest at the rate of eighteen percent (18%) per annum, or the maximum legal interest rate if greater than eighteen percent (18%) , on the unpaid and overdue balance; and/or (iii) Curtail delivery of water under this Agreement if two (2) or more consecutive monthly statements remain unpaid by LARP. 6. Increased Treatment Standards. In the event that, during the term of this Agreement, any statute, ordinance, regu- lation, or order of any federal, state, or local government or its agencies is duly enacted, promulgated, or issued which requires the Company to treat water to be delivered under this Agreement to an extent greater than the level and quality of treatment required by this Agreement or which requires the Company to modify or supplement the treatment methods or Water Facilities owned or contemplated by the Company on the date of this Agreement or as built, the Company agrees to use its best • • efforts without unreasonable delay to provide the additional or modified treatment; provided, however, that the Company shall not be obligated to spend money for this purpose until LARP pays to the Company its proportionate cost of providing such addi- tional or different treatment. The proportionate cost of the additional or modified treatment borne by LARP shall be based upon LARP's percentage use of all water delivered to water users through the Water Facilities at the time the Company becomes subject to such additional or modified treatment requirements. 7. Water Rights. a. In the event that the Company's Leased Water Rights shall ever, during the primary term or renewal term(s) of this Agreement, be or become partially or wholly inadequate or insufficient, physically or legally, to supply water as set forth in Paragraph 3.a. of this Agreement, the Company agrees to employ its best efforts to secure such additional sources of water, water rights, and/or the necessary water court appro- vals to permit continual delivery of a potable water supply to the LARP Residences as herein provided; pro- vided, however, that the Company shall not be obligated to expend money for this purpose until an agreement, mutually acceptable to the Company and LARP, has been executed which provides for recovery by the Company of its additional investment. b. The Company shall have no liability to LARP or any third party for losses or damages, whether direct, indirect, or consequential, that LARP or the LARP Residences may incur which are caused by or result from the failure to deliver water to the LARP Residences due to the legal or physical inadequacy or insufficiency of the Leased Water Rights. 8. Facility Maintenance. Except as expressly provided to the contrary in this Agreement, the Company agrees, at its expense, to inspect, maintain, operate, and improve the Water Facilities owned by it in accordance with accepted engineering practices. 9. Notice of Agreement. LARP agrees to inform and provide notice, to all existing and prospective lessees and purchasers of the LARP Residences, of the terms and conditions of this Agreement. 10. Duty of Care. The Company agrees to exercise reason- able care and good -faith efforts to furnish potable water to the LARP Residences. The Company shall not be liable for any loss or damage, whether direct, indirect, or consequential, for any failure to supply potable water to the LARP Residences, except in those circumstances where the Company fails to exercise reasonable care and good -faith efforts; provided, however, that • nothing herein shall modify or supersede the provisions of Paragraphs 6 and 7. 11. Connections. To ensure no waste hereunder, every con- nection shall be in compliance with all applicable state and local requirements, if any. The Company shall have the right to inspect and approve every service connection prior to supplying water. 12. Entry. The Company, and its authorized agents, employees, and representatives, shall have the right, but not the obligation, to enter upon the premises of the LARP Residences at any time for the purpose of inspecting, main- taining, or replacing any water facilities owned by LARP now or hereafter located on the premises of the LARP Residences. Such maintenance repair or replacement shall be at LARP's sole cost and the Company shall be promptly reimbursed. 13. Fire Hydrants. LARP shall not obtain or attempt to obtain any water from any fire hydrant located on the premises of the LARP Residences for any purpose or use other than emergency use to fight or put out fires on the premises of the LARP Residences without the express consent of the Company. 14. Title and Ownership. a. The Company represents that it has full right and authority under the Leased Water Rights to furnish water in accordance with the terms herein. Nothing within this Agreement shall be construed as granting, relinquishing, or otherwise conveying any right, title, or interest in the Water Facilities or the Leased Water Rights to LARP. b. All water furnished under this Agreement is for the use of the LARP Residences' occupants. Said right of use of water by the LARP Residences' occupants shall not include any right to make a succession of uses of such water and upon completion of the primary use by the LARP Residences' occupants all right, title, and interest in and to the water furnished under this Agreement shall revert automatically and completely to the Company. LARP agrees that it shall expressly pro- hibit the sale or resale of water supplied to the LARP Residences' occupants. Nothing contained herein shall be deemed as imposing on the Company any obligation of duty for the collection or purification of water or otherwise after use by the LARP Residences' occupants or following delivery to the LARP Residences at the Point of Delivery. c. LARP shall be solely responsible for operation, main- tenance, and replacement of all Water Facilities used by LARP for the LARP Residences on its property after the Point of Delivery. -6- • • 15. Default; Notice to Cure. In the event that either party to this Agreement shall fail to keep or perform any cove- nant, term, or provision hereof required to be kept or performed by such party according to the terms and provision of this Agreement, the non -defaulting party shall give the defaulting party written notice specifying the particular default or defaults. The defaulting party shall have such time as provided in said notice, which period of time shall in no event be less than twenty (20) days in which to cure such default or defaults within the period of the notice. During the period of time pro- vided to cure defaults, neither party shall initiate against the other party legal proceedings for breach of this Agreement. 16. Termination. a. The Company, in its sole discretion, may terminate this Agreement, and the Company's obligation under this Agreement or otherwise to supply water to the LARP Residences and its occupants shall then terminate upon the occurrence of any of the following: (i) Upon a determination by a court of competent jurisdiction that the Company is a public utility for purposes of the delivery and sale of water to LARP and the LARP Residences under this Agreement or otherwise and is subject to regulation by and the jurisdiction of the Colorado Public Utilities Commission. (ii) Upon a determination by a court of competent jurisdiction that the Company or the delivery and sale of water by the Company to LARP and the LARP Residences under this Agreement or otherwise is subject to rate regulation by the Garfield County Board of County Commissioners. (iii) Upon a failure by LARP to cure a default pursuant to Paragraph 15 of this Agreement. In the event that this Agreement is terminated pursuant to this provision for failure to pay any charges or amounts due from LARP to the Company hereunder, LARP hereby assigns and grants to the Company any and all rights which LARP may have to enforce and collect any payments or rents due to LARP which are owed by LARP Residences' occupants. The failure to declare this Agreement terminated upon failure to cure a default shall not constitute a waiver of such default or the rights provided for herein as to any other default. Pursuit of any of the foregoing remedies shall not preclude pursuit of any of the other remedies herein provided or any other remedies provided by law, nor shall pursuit of any remedy herein provided constitute a forfeiture or waiver of any payment due to the • • Company hereunder or of any damages accruing to the Company by reason of the violation of any of the provi- sions herein contained. No waiver by the Company of any violation of any of the provisions herein contained shall constitute a waiver of any other violation of any of the provisions herein contained. The Company's acceptance of payments hereunder after the occurrence of a default shall not be construed as a waiver of such default unless the Company so notifies LARP in writing. Forebearance by the Company to enforce one or more of the remedies herein provided upon a default shall not be deemed or construed to constitute a waiver of such default. The receipt by the Company of rent with knowledge of LARP's violation of any provisions con- tained in this Agreement shall not constitute a waiver of any other violation of any of the provisions con- tained herein. LARP shall pay all the Company's costs, expenses, and reasonable attorneys' fees in pursuing the Company's rights or remedies hereunder or as pro- vided by law. b. LARP, in its sole discretion, may terminate this Agreement upon the occurrence of any of the following: (i) The failure by the Company to deliver water to the LARP Residences for more than ten (10) consecutive days unless: such failure is caused by or a result of acts of God, criminal acts of third par- ties, enforcement of laws, or regulations of federal, state, or local governmental entities; or (ii) Upon a failure by the Company to cure a default pursuant to Paragraph 15 of this Agreement. 17. Notices. Notice under this Agreement shall mean per- sonal service or service by registered or certified mail, United States mail, postage prepaid, at the following addresses: LARP: COMPANY: 141 West Jackson Boulevard Suite 1720 Chicago, IL 60604 c/o Greg Boecker 2929 County Road 114 Glenwood Springs, CO 81601 18. Specific Performance. It is specifically understood and agreed that the rights acquired by each party hereto are such that the failure of the other party to perform its obliga- tions hereunder would do irreparable harm to the non -defaulting party and there would be no adequate remedy at law. Accordingly, it is agreed that, in addition to any other equitable or legal remedies, the obligations of the parties hereto shall be specifically enforceable in any court of com- petent jurisdiction. -8- • • 19. Force Majeure. It is expressly agreed that the rights and obligations of the parties shall be suspended whenever either party is unable to perform for reasons beyond its control or as a result of an act of God or an act of a third party. 20. Service Interruption. In the event the Company needs to stop or curtail the diversion or withdrawal of water or the delivery of water to the LARP Residences for maintenance or reconstruction purposes, it shall have the right, upon reason- able advance notice to LARP, to temporarily suspend or curtail the delivery of water to the LARP Residences for the purpose of such maintenance or reconstruction. 21. Fire Flows. The Company makes no representation or warranty concerning the adequacy of the flows available to the LARP Residences for fire protection purposes. 22. Assignment. a. The Company agrees that all of LARP's rights and obli- gations under this Water Delivery Agreement may be assigned by LARP to any purchaser of LARP or LARP Residences; provided, however, that until the purchaser or the entity agrees in writing to be bound by the terms of this Agreement, LARP shall remain liable hereunder. b. LARP agrees that the Company may assign the Company's rights and obligations under this Water Delivery Agreement to a third party, including without limita- tion, to a homeowners association encompassing the Los Amigos Ranch Planned Unit Development if said asso- ciation is formed for the purpose and with the power to provide water service within said Planned Unit Development and agrees in writing to be bouna by the terms of this Agreement. 23. Bankruptcy. The parties recognize that the provision of water service to the Apartments is vital to LARP's ability to operate the LARP Residences and recognizing further that the Company has the right, under its lease agreement for the Leased Water Rights, in the event of the filing by the lessor of a voluntary or involuntary Chapter 7 bankruptcy petition, to request from the lessor the conveyance of that portion of the Leased Water Rights then in use or needed by the Company to pro- vide water service pursuant to any and all water delivery agreements. Therefore, the Company agrees, in the event the Company files a voluntary or involuntary Chapter 7 bankruptcy petition, to convey to LARP, its successors, and assigns, upon request and without further consideration, an undivided interest in the Company's Water Facilities necessary to provide water service to the LARP Residences, together with an undivided interest in and to the lease agreement for the Leased Water Rights necessary to provide water service to the LARP -9- • Residences. The Company further agrees in the event its lessor files a voluntary or involuntary Chapter 7 bankruptcy petition to obtain from its lessor pursuant to the lease that quantity of the Leased Water Rights necessary to provide water service to the Apartments and, in the event the Company owns said water rights at the time of any conveyance to LARP of an undivided interest in the Company's Water Facilities pursuant to this paragraph to include in said conveyance that quantity of the Leased Water Rights necessary to provide water service to the Apartments. Upon such conveyance by the Company, this Water Delivery Agreement shall be null and void and of no further force or effect. The parties agree to execute such documents or instruments upon request as are necessary to implement the pro- visions of this Agreement. 24. Benefit. This Agreement shall extend to, be binding upon, and inure to the benefit of the parties hereto and the heirs, successors, and assigns of the respective parties hereto. Nothing in this Agreement is intended to confer on any third person or entity any benefits, rights, or remedies. 25. Integrated Agreement. This Agreement supersedes and controls all prior written and oral agreements and represen- tations of the parties and is the total integrated agreement among the parties. 26. Authority to Execute. By signing this Agreement, the parties acknowledge and represent to one another that all proce- dures necessary to validly contract and execute this Agreement have been performed and that the persons signing for each party have been duly authorized so to do. IN WITNESS WHEREOF, the parties have executed this Water Delivery Agreement in duplicate originals on the day and year first above written. RED CANYON WATER COMPANY By President ATTEST: • LOS AMIGOS RANCH PARTNERSHIP THOMAS E. NEAL, Managing Partner • • inais STATE OF COINFIRSIM ) County of Co o v. ) ss. The foregoing instrument was acknowledged before me this i 5 day of Jckr -c,.r' , 1989, by 7—h LI E. iV�� i ► as President, and by reg 13c , as Secretary, on behalf of Red Canyon Water Colritany. WITNESS my hand and official seal. My Commission expires: "OFFICIAL SEAL" Elizabeth A. Jorth Notary Public, State of Illinois My Commission Expires Dec. 30, 1990 STATE OF ss. County of Coo , ) ‘74/_/ Notary-) Public The foregoing instrument was acknowledged before me this /6 day of Ja.n i ty , 1989, by THOMAS E. NEAL, Managing Partner of Los Amigos Manch Partnership. WITNESS my hand and official seal. My Commission expires: "OFFICIAL SEAL" Elizabeth A. Jorth Notary Public, State of Illinois My Commission Expires Dec. 30, 1990 /17 s./%2 % Z4'it? Notary P-�tblic A. • EXHIBIT B (SIA) • SUBDIVISION IMPROVEMENTS AGREEMENT LOS AMIGOS RANCH PUD, SUBDIVISION II, FILINGS 3 & 4 SITE WORK 1. Earthwork 2. Storm Drains 3. Base Course Aggregate 4. Chip -Seal 5. Revegetation 6. Road Signage B. WATER SYSTEM 1. Water Line 2. Water Services 3. Fire Hydrants C. OTHER UTILITIES 1. Gas Trench 2. Gas Materials 3. Electric/Telephone Trench 4. Electric Materials 5. Telephone Materials 6. Sewer Systems Total Costs $28,000 2,000 36,000 12,000 1,000 200 $54,000 6,000 10,800 $10,000 7,950 12,000 33,600 12,325 55,000 Percentage Completed Remaining and Paid Costs 90% 100% 0% 0% 0% 0% 100% 100% 100% $2,800 -0- 36,000 12,000 1,000 200 $52,000 -0- -0- -0- 100% -0- 100% -0- 100% -0- 100% -0- 100% -0- 100% -0- TOTAL REMAINING COSTS $52,000 I hereby certify that these cost estimates reasonably reflect the actual remaining costs of completing all the subdivision improvements in Filings 3 & 4, Subdivision II, Los Amigos Ranch PUD. Dean Gordon, Schmueser, Gordon Meyer I hereby certify that each of these items has been paid for to the extent of the percentage listed. Greg S. Boecker Manager, Los Amigos Ranch EXHIBIT B (SIA) SUBDIVISION IMPROVEMENTS AGREEMENT LOS AMIGOS RANCH PUD, SUBDIVISION II, FILINGS 3 & 4 Percentage Completed Remaining Total Costs and Paid Costs A. SITE WORK 1. Earthwork $28,000 90% $2,800 2. Storm Drains 2,000 100% -0- 3. Base Course Aggregate 36,000 0% 36,000 4. Chip -Seal 12,000 0% 12,000 5. Revegetation 1,000 0% 1,000 6. Road Signage 200 0% 200 $52,000 B. WATER SYSTEM 1 Water Line $54,000 100% -0- 2. Water Services 6,000 100% -0- 3. Fire Hydrants 10,800 100% -0- C. OTHER UTILITIES 1. Gas Trench $10,000 100% -0- 2. Gas Materials 7,950 100% -0- 3. Electric/Telephone Trench 12,000 100% -0- 4. Electric Materials 33,600 100% -0- 5. Telephone Materials 12,325 100% -0- 6. Sewer Systems 55,000 100% -0- TOTAL REMAINING COSTS $52,000 I hereby certify that these cost estimates reasonably reflect the actual remaining costs of completing all the subdivision improvements in Filings 3 & 4, Subdivision II, Los Amigos Ranch PUD. Dean Gordon, Schmueser, Gordon Meyer I hereby certify that each of these items has been paid for to the extent of the percentage listed. Greg S. Boecker Manager, Los Amigos Ranch • • LEASE OF WATER RIGHTS THIS LEASE OF WATER $.IGHTS ("Lease") is made and entered into this ! = day of C: -c , 198;7) , by and between LOS AMIGOS RANCH PARTNERSHIP, a Colorado general partnership, hereafter "Lessor," and RED CANYON WATER COMPANY, a Colorado corporation, hereafter "Lessee." RECITALS: A. Lessor is the owner of certain underground water rights more particularly described as follows: Los Amigos Well No. 5 originally decreed in Case No. W-2156 in the District Court of Garfield County, Colorado (decree absolute) and Rancho Los Amigos Well No. 6 as originally decreed in Case No. W-3873 in the District Court of Garfield County, Colorado (decree conditional), subject to conditions and stipulations on file in the records of the District Court for Water Division No. 5, State of Colorado, including those in Case. No. W-3893, and subject to and included within an augmentation plan filed by Basalt Water Conservancy District in Case No. 87 CW 155 in the District Court for Water Division No. 5, State of Colorado, such plan including other parties and rights to the beneficial use of water. Such rights, as circumscribed and limited by the referenced decrees, conditions, stipulations and augmentation plan, are hereinafter referred to as the "Water Rights." B. Lessee owns certain improvements and facilities for the withdrawal, treatment, pumping, transmission and delivery of water to certain water users in or about the Spring Valley area of Garfield County, Colorado (herein "Water Facilities"). C. Lessee desires to obtain a source of water for contract sale to said water users, and for that purpose desires to lease the Water Rights from Lessor. NOW, THEREFORE, in consideration of the foregoing recitals and of the mutual terms, covenants, and conditions contained herein, the parties agree as follows: 1. Lease of Water Rights. Lessor grants to Lessee a lease in and to the Water Rights pursuant to the terms and conditions of this Lease. Lessee shall have full right and authority to withdraw, treat, and apply to beneficial use water from the above • • described wells to the extent and in the manner permitted under the Water Rights, including the authority to enter into agreements to deliver water to persons or entities in or about the Spring Valley area of Garfield County, Colorado. Lessee shall also have the full right and authority to request releases of augmentation water pursuant to the Basalt Water Conservancy District augmentation plan referenced in Recital A above as necessary to ensure adequate water supplies to its Water Facilities, so long as such requested releases do not cause Lessee to use or withdraw more water than is lawfully available to it under the Water Rights. 2. Term. This Lease shall be for a primary term of fifty (50) years from the date set forth above. In the event this Lease is in full force and effect and water is being supplied hereunder at the expiration of the primary term, Lessee shall have the right to renew this Lease for two additional terms of twenty (20) years each upon the same terms and conditions as are set forth herein. Upon the expiration of any renewal term, Lessor and Lessee may renew this Lease upon such terms as are mutually agreeable to the parties. 3. Annual Rent. Lessee shall pay to Lessor as rent for the Water Rights an amount equal to thirty-seven cents (37) per thousand (1000) gallons of water withdrawn or pumped annually from the wells described in Recital A above or from such other points of diversion as are subsequently allowed under the Water Rights. Rent shall be determined and paid to Lessor at its address provided in paragraph 14(b) below, without prior demand therefor, within thirty (30) days after each anniversary date of this Lease, the first such anniversary date being w,hC19 . In the event this Lease is terminated and Lessee discontinues its withdrawal or pumping of water hereunder on any date other than an anniversary date of this Lease, rent for such fraction of a year shall be determined and paid in like manner within thirty (30) days after the date such withdrawal or pumping is discontinued. 4. Modification of Annual Rent. a. Terms and Limits of Modification. On each occasion that Lessee's Gross Sales (as "Gross Sales" is hereinafter defined) for the twelve (12) month period ending on any anniversary date of this Lease exceed the amount equal to six hundred percent (600%) of the annual rent due for such twelve (12) month period, Lessor shall have the option to increase the rental rate provided for in paragraph 3 above by an amount not to exceed ten percent (10%) of the then -applicable rental rate. Such increased rental rate shall apply to the calculation of annual rent thereafter, beginning with the annual rent for the period ending on the 2 • • next succeeding anniversary date of this Lease. The option to increase the rental rate shall be exercised by written notice from Lessor to Lessee within thirty (30) days of Lessor's receipt of Lessee's reports and records for the preceding annual rent period as set forth in paragraphs 4(b) and 5 below. If Lessor has the right to increase the rental rate pursuant to this paragraph, but elects to increase such rate by less than ten percent (10%), Lessor may, in its discretion, subsequently impose the balance of the allowable rental rate increase, i.e., an amount not exceeding the difference between the rental rate increase adopted and the maximum increase permitted, with respect to the annual rent for the period ending on the second succeeding anniversary date of this Lease, provided that Lessor may not increase the rental rate by more than ten percent (10%) for any single annual rent period. b. Reports. (i) Within thirty (30) days following each anniversary date of this Lease during the term hereof, Lessee shall submit to Lessor an accurate, unaudited, written report signed and certified by Lessee (or on its behalf by a duly authorized agent) to be true and correct, showing the full amount of Gross Sales during the preceding twelve (12) months. (ii) The reports referred to in this subsection (b) shall be in such form and style and shall contain such details and information as Lessor may reasonably designate. The acceptance by Lessor of such reports shall be without prejudice and shall not constitute a waiver of Lessor's right to audit Lessee's books and records, as hereafter set forth. If Lessee's Gross Sales are required to be reported on any federal or state tax return, and Gross Sales as so reported on any such returns exceed the Gross Sales as reported to Lessor by Lessee (as herein provided), then the Gross Sales shall be taken at the highest figure so reported. c. Definition of Gross Sales. The phrase "Gross Sales," as used in this Lease, shall mean the dollar aggregate of the price charged by Lessee to water users for water delivered in accordance with the Water Rights leased hereunder, whether made for cash, on credit, by check, charge accounts or otherwise, without reserve or deduction for inability or failure to collect the same. Gross Sales shall also include all monies or other things of value received by Lessee in connection with extension or provision of water service derived from the Water Rights, including, without limitation, finance charges, late charges, 3 • • unrefunded deposits, standby charges, and tap fees. Each charge for water service, whether upon installment or credit, shall be treated as a sale in the month during which such water service is provided, irrespective of the time Lessee issues bills or receives payment therefor. d. Books and Records. Lessee shall prepare and keep for a period of not less than thirty-six (36) months following the end of each twelve (12) month period commencing on the commencement of the Lease term or anniversary thereof, true and accurate books of account and records, conforming to generally sound and accepted accounting principles consistently applied, including, but not limited to, income tax and other reports filed with governmental agencies, contracts and agreements for water service, receipts and statements for water charges, records of daily bank deposits of all receipts from water customers, duplicate bank deposit slips, bank statements, and all other documentation from which Gross Sales can be determined. e. Inspection and Audit. Lessor shall have the right, upon ten (10) days' notice to Lessee, to cause a complete audit of all statements of Gross Sales and in connection with such audit, to examine Lessee's books of account and records (including all supporting data and any other records from which Gross Sales may be tested or determined) of Gross Sales disclosed in any statement given to Lessor by Lessee, and Lessee shall make all such records available for such examination at Lessee's place of business during regular business hours. The furnishing by Lessee of any fraudulent statement shall constitute a default under paragraph 14 of this Lease. If any audit shall be commenced by Lessor or if there shall arise a difference or dispute concerning Gross Sales, then and in any such event, Lessee's books of account and records, including all supporting data and any other records from which Gross Sales may be tested or determined, shall be preserved and retained by Lessee until a final resolution or final determination of such dispute or difference or litigation. Any information obtained by Lessor as a result of such audit shall be treated as confidential, except as may be necessary for the enforcement of Lessor's rights under this Lease, including any litigation or proceeding between the parties, and, except further, that Lessor may disclose such information pursuant to any subpoena or judicial process. 5. Records of Pumping Activity. Lessee shall keep true and accurate records in accordance with generally accepted engineering practices of all water withdrawn or pumped from the wells described in the recitals each month. Copies of such records shall be furnished to Lessor along with the monthly rent 4 • • payment within the time required for payment of monthly rental. Lessee shall make available to Lessor, at Lessor's request, all records of Lessee pertaining to water delivered to customers of Lessee. 6. Water Quality. Lessor makes no representation, promise, covenant or warranty, express or implied, as to the quantity, quality, desirability, fitness or merchantability of water obtained by virtue of the Water Rights leased hereunder and through the wells described in the recitals hereto. Lessee acknowledges that it has examined, or had the opportunity to examine, all pertinent records and documents relating to the Water Rights leased hereunder and accepts the same in their existing condition and quantity. All treatment necessary to make such water potable or usable for the purposes desired by Lessee shall be the sole cost, expense and obligation of Lessee. 7. Liability. Lessor shall have no liability for losses or damages, whether direct, indirect or consequential, that Lessee or any third party may incur which are caused by or result from (a) failure or inability to deliver water in accordance with its contractual obligations, (b) Lessee's delivery of water which is unpotable, unfit, or hazardous to health or property, or (c) the legal or physical inadequacy or insufficiency of the Water Rights. Lessee shall indemnify and hold Lessor harmless from any claim, loss or liability arising from or in connection with the use of the Water Rights or delivery of water thereunder. This indemnity shall include Lessor's costs and expenses, as well as reasonable attorneys' fees, incurred for the purpose of investigating, negotiation, litigating or settling any claim or cause of action whether commenced or threatened. 8. Water Delivery Facilities. All physical improvements and facilities necessary or desirable for the withdrawal, treatment, storage, pumping, transmission, delivery of supply of the Water Rights leased hereunder shall be installed, constructed and maintained at Lessee's sole cost and without cost, charge or expense to Lessor. Lessee shall indemnify and hold Lessor harmless from any and all loss, liability, claim or cause of action arising from or in connection with the installation, construction or maintenance of any such facility or improvements. 9. Duties of Lessee. Lessee shall timely perform and undertake, at Lessor's sole cost and expense all acts or actions reasonably necessary or desirable to preserve and protect the Water Rights. Lessee shall not cause or suffer, whether by itself or through the act or omission of third parties, any damage to the Water Rights. Lessee shall keep and maintain all physical improvements and facilities for the withdrawal, treatment, storage or transmission of water in good maintenance and repair and in a condition meeting all mandatory federal, 5 • • state and local requirements for such water facilities and in accordance with generally accepted engineering practices. Lessee shall not permanently impair, injure or damage the wells or other source(s) from which such water is obtained. Lessee shall also operate the facilities in accord with any preexisting agreements and stipulations between Lessor and third parties which affect the Water Rights. 10. Notice to Third Parties. Prior to entering into any agreement to supply water from the Water Rights, Lessee shall furnish the recipient thereof with notice of the existence of this Lease and the terms and conditions hereof. All agreements with third parties shall be subject to the terms and conditions of this Lease. 11. Title and Ownership. It is understood that the Water Rights leased hereunder are solely owned by Lessor. Nothing contained herein shall grant to Lessee any right, title or interest in or to the Water Rights except as is specifically provided herein. Lessee shall at all times, and at Lessor's cost and expense, protect and defend the title of Lessor in and to the Water Rights. Nothing contained herein shall be construed to create or evidence a partnership or joint venture between Lessor and Lessee with respect to the Water Rights or the sale of water hereunder, and neither the method of computation of rent nor any other provisions contained herein, nor any act of the parties hereunder, shall be deemed to create any relationship between the parties hereto other than the relationship of landlord and tenant. Lessor shall have no right to control, direct or participate in the management of Lessee. 12. Encumbrances. Lessee shall not grant, create or suffer any lien, security interest, or other encumbrance upon or against the Water Rights, voluntarily or involuntarily, without the prior written consent of Lessor. Lessee shall promptly discharge any involuntary liens placed upon or against the Water Rights or obtain bonds securing payment of any such liens. 13. Landlord's Lien. In addition to any statutory lien for rent in Lessor's favor, Lessor shall have and Lessee hereby grants to Lessor a continuing security interest for all annual rent and other sums of money becoming due hereunder from Lessee, upon the Water Facilities described in Exhibit A attached hereto and upon all contract rights or accounts receivable related to the sale or delivery of water to water users under the Water Rights. Such property shall not be removed, sold, conveyed or encumbered without the consent of Lessor until all arrearages in annual rent as well as any and all other sums of money then due to Lessee hereunder shall first have been paid and discharged. In the event of a default under this Lease, Lessor shall have, in addition to any other remedies herein or by law, all rights and 6 • • remedies under the Uniform Commercial Code, including without limitation the right to sell the property described in this paragraph 13 at public or private sale upon five (5) days' notice to Lessee. Lessee hereby agrees to execute such financing statements and other instruments necessary or desirable in Lessor's discretion to perfect the security interest hereby created. Any statutory lien for rent is not hereby waived, the express contractual lien herein granted being in addition and supplementary thereto. 14. Default and Termination. A default shall be deemed to have occurred upon either party's failure to perform any of the provisions of this Lease. A defect in performance shall not be deemed a default if such defect may be cured within thirty (30) days following notice of the defective performance given by the nondefaulting party. In the event of a default, the nondefaulting party may institute suit to collect such damages as may be proper and, at the option of the nondefaulting party, terminate this Lease. In addition, it is understood that the rights acquired by each party hereto are such that the failure of a party to perform its obligations hereunder would do irreparable harm to the nondefaulting party for which there would be no adequate remedy at law. Accordingly, it is agreed that, in addition to any other equitable legal remedies, the obligations of the parties hereto shall be specifically enforceable in any court of competent jurisdiction. Pursuit of any of the foregoing remedies shall not preclude pursuit of any of the other remedies herein provided or any other remedies provided by law, nor shall pursuit of any remedy herein provided constitute a forfeiture or waiver of any rent due to Lessor hereunder or of any damages accruing to Lessor by reason of the violation of any of the provisions herein contained. No waiver by Lessor of any violation of any of the provisions herein contained shall constitute a waiver of any other violation of any of the provisions herein contained. Lessor's acceptance of rent or other payments hereunder after the occurrence of a default shall not be construed as a waiver of such default unless Lessor so notifies Lessee in writing. Forbearance by Lessor to enforce one or more of the remedies herein provided upon a default shall not be deemed or construed to constitute a waiver of such default. The receipt by Lessor of rent with knowledge of Lessee's violation of any provision contained in this Lease shall not constitute a waiver of any other violation of any of the provisions contained herein. 15. Bankruptcy. If at any time during the term of this Lease Lessor files a voluntary petition for relief under the U.S. Bankruptcy Code, or if an involuntary proceeding is commenced against Lessor under the U.S. Bankruptcy Code, Lessor or its successor in interest shall, at Lessee's request and without further consideration, convey to Lessee by warranty deed that 7 • • portion of the Water Rights reasonably needed by Lessee to fulfill its then -existing contractual obligations to water users. Upon such conveyance by Lessor, this Lease shall be null and void and of no further force or effect. 16. General Provisions. (a) Assignment. Except for permitted deliveries of water to water users as contemplated hereby, there shall be no transfer or assignment of Lessee's rights pursuant to this Lease without the prior written consent of Lessor, which shall not be unreasonably withheld. (b) Notice. Whenever notice shall be required hereunder, notice shall be deemed sufficiently given upon mailing, postage prepaid, United States mail, certified return receipt requested to the addresses of the parties set forth below: Lessor: Los Amigos Ranch Partnership c/o Thomas E. Neal 141 West Jackson Blvd., Room 1720 Chicago, Illinois 60604 Lessee: Red Canyon Water Company 0228 Auburn Ridge Lane, #E-101 Glenwood Springs, Colorado 81601 (c) Force Majeure. The rights and obligations of the parties hereto shall be suspended when any party is unable to perform its obligations hereunder for reasons which are reasonably beyond its control or as a result of an act of God or the act of any third party. (d) Attorneys' Fees. In the event that either party seeks to enforce any term or provision hereof by legal proceedings, the prevailing party in such legal proceedings shall be entitled to an award of its costs and expenses incurred of the same, including reasonable attorneys' fees. (e) Integrated Agreement. This Lease supersedes and controls all prior written and oral agreements and constitutes the entire and integrated agreement of the parties. (f) Benefit. This Lease shall inure to the benefit of and shall be binding upon the parties' heirs, successors, legal representatives and permitted assigns. Nothing contained in this Lease is intended to confer on any third person or entity any benefits, rights or remedies. 8 • • (g) Severability. If any clause or provision of this Lease is subsequently determined to be illegal, invalid or unenforceable under present or future laws, then it is the intention of the parties hereto that the other terms and provisions of this Lease shall not be affected thereby. DATED the day and year first written above. Attest: LOS AMIGOS RANCH PARTNERSHIP, a Colorado general partnership BY(5. /527 Managing Partner RED CANYON WATER COMPANY, a Colorado corporation By ary President 9 • • AMENDMENT TO LEASE OF WATER RIGHTS T'?:.. AMF*.-DMENT77 7EASE 1,7AT--7 'Amendment") is made and entered into 7hiS -v t September. 1992. by and between LOS AMIGOS RANCH =ART 'TERSHIP . Colorado general partnership iereinafter "Lessor'' . and REI) CANYON WATER COMPANY. a Colorado corporation !hereinafter "Lessee"); WITNESSETH: a WHEREAS. the --arties have heretofore entered into a Lease of Water Rights dated October WHEREAS. the parties desire to amend said Lease Agreement and. with such, amendment. :r!atifv and affirm the Lease of eater _=tights dated October 31. 1988. NOW. THEREFORE. for and: :n consideration of the mutual promises and covenants contained herein. the parties agree as "follows: Except as expressly modified herein, the parties ratify and affirm the Lease or Water Rights dated October 31. 1988. 2. Lessee agrees that it will not enter into Water Delivery Agreements with third parties located outside of Los Amigos Ranch P.U.D., which would .nowingly jeopardize the Lessee's ability to rrovide ,nater service o the extent of -.physical capacity, 70 lot owners within the Los Amigos Ranch ?.C.D. , Garfield County, Colorado. This amendment snail 1.nsure ;_o the aenerit or and shall be binding upon the parties' heirs, successors. legal 'epresentatives. and Permitted assigns. Nothing contained in this Amendment is intended to confer on any third party or entity any benefits, rights, or remedies. WHEREFORE, the parties have entered into this Agreement in duplicate originals on the day y r. nd '?ear `ir st written above. LOS AMIGOS RANCH PARTNERSHIP RED CANYON WATER COMPANY A Colorado General ?artnershi:: A Colorado Corporation 7 37 Thomas E. Neal. Managing Thomas E. Neal President Partner Attest: reg/ oeci:er. Secretary 1 • MODIFICATION OF LEASE OF WATER RIGHTS AND WATER DELIVERY AGREEMENT - INTERIM AGREEMENT - THIS MODIFICATION OF LEASE OF WATER RIGHTS AND WATER DELIVERY AGREEMENT (hereinafter "Interim Agreement") is made and entered into this / -13 day of November, 1993, by and between Los Amigos Ranch Partnership, a Colorado general partnership (hereinafter "the Partnership"), and Red Canyon Water Company, a Colorado corporation (hereinafter "the Company"): WITNESSETH: WHEREAS, the parties have heretofore entered into a Lease of Water Rights dated October 31, 1988 and a Water Delivery Agreement dated January 1, 1989, and WHEREAS, the parties desire to modify said Lease and Delivery Agreements for an interim period of time and, with such modification, ratify and affirm the Lease of Water Rights dated October 31, 1988 and the Water Delivery Agreement dated January 1, 1989; and WHEREAS, the water delivered by the Company pursuant to said Delivery Agreement, to the Partnership for residential and construction uses is unmetered and therefore uncertain and the Company does not wish to incur the costs of installing said meters; and WHEREAS, the Partnership must grossly estimate the unmetered water provided pursuant to the Lease Agreement and wishes to avoid any disagreement as to estimated useage; and WHEREAS, the Company wishes to encourage construction of residential facilities for water users and receives benefit from exercise of its fire hydrant facilities; and WHEREAS, the Company has installed interim pressure tank facilities in the A - Frame garage, occupies Partnership office space, and utilizes utilities for both the office space and heating the pressure tanks, which value is estimated to be approximately $400/year, and WHEREAS, the Company's retail profit of the unmetered water delivered to the Partnership is estimated to be approximately $300/year for residential uses and $100/year for construction uses, totalling approximately $400/year. NOW THEREFORE, for and in consideration of the mutual promises, covenants and benefits contained herein, the parties agree as follows: 1. Except as expressly modified herein, the parties ratify and affirm the Lease of Water Rights dated October 31, 1988 and the Water Delivery Agreement dated January 1, 1989. 1 • 2. The Company agrees that in exchange for use of the Partnership's facilities for the pressure tanks, office space and related utilities, the Company will waive the monthly "Basic Charge" to the Partnership and all "Supplemental Water Charges" associated with the construction of additional residential facilities by the Partnership. 3. The Partnership agrees to limit the calculation of the "Annual Rent" to metered water delivered to other Company users. 4. Nothing contained herein shall effect the yearly CPI based modifications of the Company's water charges pursuant to the Water Delivery Agreement or the ability of the Partnership to modify the annual rent pursuant to the Lease of Water Rights, provided, however, that solely for the purpose of calculating any modification of the annual rent, the Partnership will be assumed to have received an additional $150 in annual Water Lease rent pursuant to this Interim Agreement. 5. This Interim Agreement shall be in full force and effect for a period of five years beginning November 1, 1992. 6. Either party may terminate this Interim Agreement if water meters are installed which provide accurate measure of the Partnership's residential and construction uses. 7. The Company many terminate this Interim Agreement when it no longer utilizes the pressure tanks in the A -Frame garage. 8. This Amendment shall inure to the benefit of and shall be binding upon the parties' heirs, successors, legal representatives and permitted assigns. WHEREFORE, the parties have entered into this Agreement in duplicate originals on the day and year first written above. LOS AMIGOS RANCH RED CANYON WATER COMPANY A Colorado General Partnership A Colorado Corporation by � ��`' by Thomas E. Neal, Managing Partner Thomas E. Neal, President Attest: Greg Boecker, Secretary • • AMENDMENT TO LEASE OF WATER RIGHTS THIS AMENDMENT TO LEASE OF WATER RIGHTS reinatter "Amendment") is made and entered into this Z day of September, 1992, by and between LOS AMIGOS RANCH PARTNERSHIP, a Colorado general partnership (hereinafter "Lessor"), and RED CANYON WATER COMPANY, a Colorado corporation (hereinafter "Lessee"); WITNESSETH; WHEREAS, the parties have heretofore entered 1nto a Lease of Water Rights dated October 31, 1988; and WHEREAS, the parties desire to amend said Lease Agreement and, with such amendment, ratify and affirm the Lease of Water Rights dated October 31, 1988. NOW, THEREFORE, for and in consideration of the mutual promises and covenants contained herein, the parties agree as follows: 1. Except as expressly modified herein, the parties ratify and affirm the Lease or Water Rights dated October 31, 1988. 2. Lessee agrees that it will not enter into Water Delivery Agreements with third parties located outside of Los Amigos Ranch P.U.D., which would knowingly jeopardize the Lessee's ability to provide water service, to the extent of physical capacity, to lot owners within the Los Amigos Ranch P.1T.D., Garfield County, Colorado. 3. This Amendment shall insure to the benefit of and shall be binding upon the parties' heirs, successors, legal representatives, and permitted assigns. Nothing contained in this Amendment is intended to confer on any third party or entity any benefits, rights, or remedies. WHEREFORE, the parties have entered into this Agreement in duplicate originals on the day and year first written above. LOS AMIGOS RANCH PARTNERSHIP RED CANYON WATER COMPANY A Colorado General Partnership A Colorado Corporation By Thomas E. Neal, Managing Partner By Attest; _ Greg yThomas E. Neal President ecker, Secretary • • WALTER E. BROWN III AITORNEY AT LAW 1 120 GRAND AVENUE GLENWOOD SPRINGS, COLORADO 81601 November 3, 1994 Dave Michealson County Planning Dept. Courthouse Building 8th and Colorado Glenwood Springs, CO 81601 Dear Dave: (303) 945-2361 FAX: (303) 945-8903 RE: Los Amigos Ranch This will confirm my call to you regarding the filing of an amended plat for Los Amigos Ranch Filings 2, 3 & 4. As you know, the names of the streets were inadvertently omitted and it has been a concern that house numbers could not be issued until an amended plat is filed with these street names. Enclosed is a copy of the minutes of the Los Amigos Ranch Homeowners Association meeting on October 18, 1994, which was duly noticed and conducted on the date set. The minutes reflect the presence of the homeowners who attended and the fact that they and project owner Tom Neal approved the road names unanimously. These road names are the same as appear on the amended plat I have presented to you. Los Amigos Ranch has over 35 people who would have to be contacted to obtain signed consents for the mere adding of the street names to the plat. Tom Neal came here from Chicago for this recent meeting. Frankly, it is an undue and unnecessary hardship to have us attempt to get signatures again from every homeowner just to approve what the street names are. We ask that you present this to the Board as soon as possible for them to consider a waiver of having Los Amigos do this and accept these minutes as sufficient evidence of the approval of the street names which can then be added to the plat. We have performed all prior Board requests in full and our record for some 15 years is good with the Board. These names are not vital and are in fact for County purposes. The names are hardly controversial and should not be made so by form over substance rules. 6 i1 te.r E. Brown I I I MAILING ADDRESS: P.O. Box 2010 • GLENWOOD SPRINGS, CO • 81602 • • WALTER E. BROWN III ATTORNEY AT LAW 1 120 GRAND AVENUE GLENWOOD SPRINGS, COLORADO 81601 November 3, 1994 Dave Michealson County Planning Dept. Courthouse Building 8th and Colorado Glenwood Springs, CO 81601 Dear Dave: (303) 945-2361 FAX: (303) 945-8903 RE: Los Amigos Ranch This will confirm my call to you regarding the filing of an amended plat for Los Amigos Ranch Filings 2, 3 & 4. As you know, the names of the streets were inadvertently omitted and it has been a concern that house numbers could not be issued until an amended plat is filed with these street names. Enclosed is a copy of the minutes of the Los Amigos Ranch Homeowners Association meeting on October 18, 1994, which was duly noticed and conducted on the date set. The minutes reflect the presence of the homeowners who attended and the fact that they and project owner Tom Neal approved the road names unanimously. These road names are the same as appear on the amended plat I have presented to you. Los Amigos Ranch has over 35 people who would have to be contacted to obtain signed consents for the mere adding of the street names to the plat. Tom Neal came here from Chicago for this recent meeting. Frankly, it is an undue and unnecessary hardship to have us attempt to get signatures again from every homeowner just to approve what the street names are. We ask that you present this to the Board as soon as possible for them to consider a waiver of having Los Amigos do this and accept these minutes as sufficient evidence of the approval of the street names which can then be added to the plat. We have performed all prior Board requests in full and our record for some 15 years is good with the Board. These names are not vital and are in fact for County purposes. The names are hardly controversial and should not be made so by form over substance rules. MAILING ADDRESS: PO. Box 2010 • GLENWOOD SPRINGS, CO • 81602 • • LOS AMIGOS RANCH HOMEOWNER'S ASSOCIATION 2929 County Road 114 Glenwood Springs, CO 81601 (30:3) 945-6399 Contact person - Greg Boecker October 7, 1994 Dear Property Owner(s): NOTICE is hereby given that the Annual Meeting of the Los Amigos Ranch Homeowner's Association will be held on October 18, 1994 at 8:30 AM in the Los Amigos Ranch office located in the A -Frame garage at 2929 County Road 114, Glenwood Springs, Colorado. THE AGENDA of the Annual Meeting is as follows: 1 Read minutes of last meeting. 2. Review financial status of LARHA. 3. Discuss future financial needs. 4. Determine homeowner's dues for 1995. 5. Elect Directors for two year terms. 6. Discuss proposed RMNG/PSC gas pipeline through platted "common area". 7. Discuss chip -sealing of roads and driveways and construction of new entrance. 8. Discuss designation of road names in filings 2, 3 and 4. Review proposed Amended Plat with road names. 9. Any other matters properly coming before the Homeowner's Association. 10. Conclude meeting. Posted by Greg S. Boecker Secretary, LARHA M;a,,cl Oci- ( 0,1q r', • • LOS AMIGOS RANCH HOMEOWNER'S ASSOCIATION ANNUAL MEETING - OCTOBER 18, 1994 This meeting was held at 8:30 a.m. in the Los Amigos Ranch office, 2929 Country Road 114, pursuant to the Notice dated October 7, 1994. Marianne Iwamoto, Edmund and Martha Miller, Jim Frey, Lynn and Jerry Longbons, Terry Ewbank, Jean Huyser, Michelle McLaughlin, Chris Aronson, Ira Karet for Pam and Paul Pine, Thomas Neal and Greg Boecker were in attendance. 1. Minutes of the last meeting were read. Upon motion by Tom Neal, seconded by Martha Miller, they were approved unanimously. 2. The financial status of LARHA was summarized by Greg Boecker, including past costs, revenues and current balance. Upon motion by Tom Neal, seconded by Lynn Longbons said summary was unanimously approved. 3. Future financial needs were discussed including snow removal, fire stations, road repair, re -surfacing roads and possible litigation. a) Upon motion by Jim Frey, seconded by Jean Huyser it was unanimously agreed that the Los Amigos Ranch Chevy truck and personnel would be paid $25/hr for daytime snow plowing and $30/hr for nighttime work. Common roads and easements would be paid from LARHA funds. Driveways would be paid by individual homeowners at the end of the snow season. b) Upon motion by Terry Ewbank, seconded by Lynn Longbons it was unanimously agreed that three locked fire stations should be created each containing 3 100' hoses, nozzle, wrench and air alarm for no more than $2,000. These are to be placed next to the fire hydrants lying between Lots 2 & 3, near the K -turn in Filings 3 & 4, and at the lower K -turn in Filing 2. All parties agreed to investigate possible upgrades in the form of lights and whistles. These facilities are proposed to augment, not replace service by the Carbondale Rural Fire Department. All homeowners' must be trained on proper usage of the facilities before utilizing them. c) Upon motion by Ed Miller, seconded by Tom Neal it was unanimously agreed that holes in the existing chip -seal should be patched before winter if possible and if it does not hinder future re -surfacing. Greg Boecker agreed to contact the responsible contractor regarding repair of existing utility cuts in the road. • • 4. Upon motion by Lynn L.ongbons, seconded by Ira Karet for Paul and Pam Pine, it was unanimously agreed that the homeowner's dues for 1995 would be $150.00. Terry Ewbank opposed the motion. Upon motion by Martha Miller, seconded by Michelle McLaughlin it was unanimously agreed that the homeowner's dues would be paid by a single payment due January 15, 1995. 1 5. Thomas Neal, Barbara Neal, Greg Boecker and Pam Pine were nominated as Directors for two-year term. Ira Karet for Paul and Pam Pine requested that the elections be by secret ballot. Upon motion by Terry Ewbank, seconded by Jim Frey, it was agreed that the elections would be by voice vote. Ira Karet opposed this motion. Thomas Neal was elected as Director. Ira Karet for Paul and Pam Pine opposed the election. Barbara Neal was elected as Director. Ira Karet for Paul and Pam Pine opposed the election. Greg Boecker was unanimously elected as Director. Pam Pine's election was opposed by all but Ira Karet who voted for Pam Pine on behalf of Paul and Pam Pine. 6. The proposed RMNG/PSC gas pipeline through Los Amigos Ranch and LARHA common areas were discussed. Greg Boecker's negotiations with RMNG/PSC to date were reviewed. Greg Boecker proposed that all trees destroyed in the common area should be compensated at the rate of at least $20/1inear foot of height. Ed Miller suggested that the existing debris along the existing easement be removed. Greg Boecker alternatively suggested that RMNG/PSC be made to scatter all existing piles of rock and trees along the southern edge of the existing easement since the machinery will be on the southern side of said easement. Upon motion by Chris Aronson, seconded by Martha Miller it was unanimously agreed that the Board of Directors should be authorized to continue negotiations with RMNG/PSC and to sign an easement agreement if acceptable terms can be reached. 7. Proposed road names of "Pinion Point" for the road leading to the lower K - turn in Filing 2 and "Cedar Cove" for the road in Filing 3 & 4 were discussed. Upon motion Martha Miller, seconded by Michelle McLaughlin, the proposed road names were unanimously approved. No other matters coming before the Homeowner's Association, the meeting was adjourned. GreS Boecker Sec ary, LARHA • • WALTER E. BROWN III ATTORNEY AT LAW 1 120 GRAND AVENUE GLENWOOD SPRINGS, COLORADO 81601 November 3, 1994 Dave Michealson County Planning Dept. Courthouse Building 8th and Colorado Glenwood Springs, CO 81601 Dear Dave: (303) 945-2361 FAX: (303) 945-8903 RE: Los Amigos Ranch This will confirm my call to you regarding the filing of an amended plat for Los Amigos Ranch Filings 2, 3 & 4. As you know, the names of the streets were inadvertently omitted and it has been a concern that house numbers could not be issued until an amended plat is filed with these street names. Enclosed is a copy of the minutes of the Los Amigos Ranch Homeowners Association meeting on October 18, 1994, which was duly noticed and conducted on the date set. The minutes reflect the presence of the homeowners who attended and the fact that they and project owner Tom Neal approved the road names unanimously. These road names are the same as appear on the amended plat I have presented to you. Los Amigos Ranch has over 35 people who would have to be contacted to obtain signed consents for the mere adding of the street names to the plat. Tom Neal came here from Chicago for this recent meeting. Frankly, it is an undue and unnecessary hardship to have us attempt to get signatures again from every homeowner just to approve what the street names are. We ask that you present this to the Board as soon as possible for them to consider a waiver of having Los Amigos do this and accept these minutes as sufficient evidence of the approval of the street names which can then be added to the plat. We have performed all prior Board requests in full and our record for some 15 years is good with the Board. These names are not vital and are in fact for County purposes. The names are hardly controversial and should not be made so by form over substance rules. liter E. Brown III MAILING ADDRESS: P.O. Box 2010 • GLENWOOD SPRINGS, CO • 81602 i • LOS AMIGOS RANCH HOMEOWNER'S ASSOCIATION 2929 County Road 114 Glenwood Springs, CO 81601 (303) 945-6399 Contact person - Greg Boecker October 7, 1994 Dear Property Owner(s): NOTICE is hereby given that the Annual Meeting of the Los Amigos Ranch Homeowner's Association will be held on October 18, 1994 at 8:30 AM in the Los Amigos Ranch office located in the A -Frame garage at 2929 County Road 114, Glenwood Springs, Colorado. THE AGENDA of the Annual Meeting is as follows: 1. Read minutes of last meeting. 2. Review financial status of LARHA. 3. Discuss future financial needs. 4. Determine homeowner's dues for 1995. 5. Elect Directors for two year terms. 6. Discuss proposed RMNGJPSC gas pipeline through platted "common area". 7. Discuss chip -sealing of roads and driveways and construction of new entrance. 8. Discuss designation of road names in filings 2, 3 and 4. Review proposed Amended Plat with road names. 9. Any other matters properly coming before the Homeowner's Association. 10. Conclude meeting. Posted by Greg S. Boecker Secretary, LARHA t c ,,1(c.A cA ( • • LOS AMIGOS RANCH HOMEOWNER'S ASSOCIATION ANNUAL MEETING - OCTOBER 18, 1994 This meeting was held at 8:30 a.m. in the Los Amigos Ranch office, 2929 Country Road 114, pursuant to the Notice dated October 7, 1994. Marianne Iwamoto, Edmund and Martha Miller, Jim Frey, Lynn and Jerry Longbons, Terry Ewbank, Jean Huyser, Michelle McLaughlin, Chris Aronson, Ira Karet for Pam and Paul Pine, Thomas Neal and Greg Boecker were in attendance. 1. Minutes of the last meeting were read. Upon motion by Tom Neal, seconded by Martha Miller, they were approved unanimously. 2. The financial status of LARHA was summarized by Greg Boecker, including past costs, revenues and current balance. Upon motion by Tom Neal, seconded by Lynn Longbons said summary was unanimously approved. 3. Future financial needs were discussed including snow removal, fire stations, road repair, re -surfacing roads and possible litigation. a) Upon motion by Jim Frey, seconded by Jean Huyser it was unanimously agreed that the Los Amigos Ranch Chevy truck and personnel would be paid $25/hr for daytime snow plowing and $30/hr for nighttime work. Common roads and easements would be paid from LARHA funds. Driveways would be paid by individual homeowners at the end of the snow season. b) Upon motion by Terry Ewbank, seconded by Lynn Longbons it was unanimously agreed that three locked fire stations should be created each containing 3 100' hoses, nozzle, wrench and air alarm for no more than $2,000. These are to be placed next to the fire hydrants lying between Lots 2 & 3, near the K -turn in Filings 3 & 4, and at the lower K -turn in Filing 2. All parties agreed to investigate possible upgrades in the form of lights and whistles. These facilities are proposed to augment, not replace service by the Carbondale Rural Fire Department. All homeowners' must be trained on proper usage of the facilities before utilizing them. c) Upon motion by Ed Miller, seconded by Tom Neal it was unanimously agreed that holes in the existing chip -seal should be patched before winter if possible and if it does not hinder future re -surfacing. Greg Boecker agreed to contact the responsible contractor regarding repair of existing utility cuts in the road. • • 4. Upon motion by Lynn Longbons, seconded by Ira Karet for Paul and Pam Pine, it was unanimously agreed that the homeowner's dues for 1995 would be $150.00. Terry Ewbank opposed the motion. Upon motion by Martha Miller, seconded by Michelle McLaughlin it was unanimously agreed that the homeowner's dues would be paid by a single payment due January 15, 1995. 5. Thomas Neal, Barbara Neal, Greg Boecker and Pam Pine were nominated as Directors for two-year term. Ira Karet for Paul and Pam Pine requested that the elections be by secret ballot. Upon motion by Terry Ewbank, seconded by Jim Frey, it was agreed that the elections would be by voice vote. Ira Karet opposed this motion. Thomas Neal was elected as Director. Ira Karet for Paul and Pam Pine opposed the election. Barbara Neal was elected as Director. Ira Karet for Paul and Pam Pine opposed the election. Greg Boecker was unanimously elected as Director. Pam Pine's election was opposed by all but Ira Karet who voted for Pam Pine on behalf of Paul and Pam Pine. 6. The proposed RMNG/PSC gas pipeline through Los Amigos Ranch and LARHA common areas were discussed. Greg Boecker's negotiations with RMNG/PSC to date were reviewed. Greg Boecker proposed that all trees destroyed in the common area should be compensated at the rate of at least $20/1inear foot of height. Ed Miller suggested that the existing debris along the existing easement be removed. Greg Boecker alternatively suggested that RMNG/PSC be made to scatter all existing piles of rock and trees along the southern edge of the existing easement since the machinery will be on the southern side of said easement. Upon motion by Chris Aronson, seconded by Martha Miller it was unanimously agreed that the Board of Directors should be authorized to continue negotiations with RMNG/PSC and to sign an easement agreement if acceptable terms can be reached. 7. Proposed road names of "Pinion Point" for the road leading to the lower K - turn in Filing 2 and "Cedar Cove" for the road in Filing 3 & 4 were discussed. Upon motion Martha Miller, seconded by Michelle McLaughlin, the proposed road names were unanimously approved. No other matters coming before the Homeowner's Association, the meeting was adjourned. Gre S Boecker Sec ary, LARHA