HomeMy WebLinkAboutC12-269 Colorado River Water Conservation District Water Supply Contract ., ,
CW12005
WATER SUPPLY CONTRACT
This Contract is made between the COLORADO RIVER WATER CONSERVATION
DISTRICT (herein the "River District "), a political subdivision of the State of Colorado acting
by and through its Colorado River Water Projects Enterprise, and EAGLE COUNTY
GOVERNMENT (herein ".Contractor ") effective as of the date of the River District's execution
indicated below.
RECITALS
A. The River District is authorized to contract to deliver water for beneficial use
from River District water projects pursuant to provisions of C.R.S. § 37 -46 -101, et seq. (herein
"River District Organic Act ").
B. The River District is the owner and operator of the Wolford Mountain Reservoir
Project located on the Muddy Creek drainage near Kremmling, Colorado, having obtained
necessary decrees from the District Court in and for Colorado Water Division No. 5 (herein
"Water Court") and permits from governmental agencies, and the River District is entitled to
deliveries of water from Ruedi Reservoir under its Contracts with the U.S. Bureau of
Reclamation.
C. The River District's Board of Directors has adopted a Water Marketing Policy, as
revised by the Board from time to time, to provide for the use of water available from the River
District's sources of supply pursuant to contracts, and that Water Marketing Policy is to be
implemented through the River District's Water Projects Enterprise.
D. Contractor has a need for wholesale water supply, demonstrated in its submittal to
the River District pursuant to the Water Marketing Policy's contracting process, in the amount of
1.0 acre feet annually for municipal/industrial purposes, which beneficial uses will be
accomplished by Contractor generally in the vicinity of Dotsero, Colorado, by groundwater
diversions from or within the Colorado River drainage.
E. Contractor is aware of the "Hydrology Assumptions" which are part of the Water
Marketing Policy and is satisfied, based on its review and investigations, that Contractor legally
and physically can make use for its intended purposes of the Contracted Water, which are the
subject of this Contract and that such use will comply with the Water Marketing Policy.
AGREEMENT
The foregoing Recitals are incorporated into this agreement between the River District
and Contractor.
DEFINITIONS
In this Contract certain terms will have definitions as stated below:
GI a -9
A
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• The "River District" means the Colorado River Water Conservation District
created and existing pursuant to the River District Organic Act defined in Recital
A and acting by and through its Colorado River Water Projects Enterprise which
is currently described and memorialized in the Resolution of the Colorado River
Water Conservation District's Board of Directors dated April 20, 2005.
• The "Project" means the River District' s "Colorado River Supply" from: (1)
Wolford Mountain Reservoir, for which storage water right decrees were obtained
by the River District in Cases No. 87CW283, 95CW281 and 98CW237 in the
District Court for Colorado Water Division No. 5, and for which additional
storage water right decrees may be obtained in the future by the River District in
other cases; (2) the River District's contractual right to water deliveries from
Ruedi Reservoir; and (3) other supplies that the River District may acquire
suitable for use in its Water Marketing Program.
• "Agricultural" means the use of water for commercial production of agricultural
crops and livestock and other uses consistent with any right decreed for irrigation
purposes, which uses are made on a parcel of land of at least ten acres.
• "Municipal and Industrial" means the use of water by individuals, cities, towns,
public or quasi - public districts, private corporations, homeowners associations, or
other entities for domestic, municipal, and miscellaneous related purposes as
those terms are traditionally and commonly construed, including the use of water
for purposes of producing or processing a non - agricultural product or service for
sale, including without limitation, such uses as manufacturing, mining, milling,
land reclamation, golf course irrigation, snowmaking, and non - hydroelectric
power generation; and including the use of water for environmental mitigation
purposes associated with such uses; but excepting the agricultural use of water
defined herein.
• "Contracted Water" means the water which is the subject of this Contract which is
to be released and delivered by the River District and used by Contractor. The
Contracted Water is 1.0 acre feet of Colorado River Supply above. the Roaring
Fork Confluence available during each Project Year during the term of this
Contract, subject to the provisions hereof, for Contractor's use without right of
carryover of any amount not used in any Project Year.
• "Project Year" means a period of time from July 1 through and including the
subsequent June 30.
▪ "Water Marketing Policy" means the River District's policy statement as revised
and readopted as of the execution date of this Contract and as the same may be
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amended in the future.
• "Project Hydrology Assumptions" or "Hydrology Assumptions" means the
document attached as Appendix "A" to the Water Marketing Policy adopted on
October 17, 2006.
1. River District Water Delivery Obligations and Responsibilities.
a. Delivery. The River District will deliver the Contracted Water at the outlet works
of the Contracted Water's sources of supply into the receiving natural streams in
quantities provided herein. Unless otherwise agreed to by the River District's
General Manager based upon written request of Contractor, the River District will
make releases or request that releases be made for Contractor, based upon
Contractor's written schedule of anticipated demand, adjusted as necessary by the
ongoing status of river administration vis - - vis the priority status of Contractor's
diversions, provided that the releases can be made within the operational
limitations of the River District's project facilities as determined by the River
District in its sole discretion. Contractor shall be solely responsible after delivery
for the legal and physical delivery and use of the Contracted Water.
b. Delivery Contingencies. The River District's delivery of Contracted Water shall
be subject to Contractor's payments pursuant to paragraph 3 below, and the
provisions for curtailment of deliveries in paragraph 5 below.
c. Water Measurements. The River District shall measure at the outlet works of the
Contracted Water's sources of supply all Contracted Water and shall notify the
Division Engineer of Colorado Water Division No. 5 of the date, time and amount
of Contracted Water released pursuant to this Contract. Copies of such records
shall be provided to Contractor upon request.
d. Water Quality. The River District shall have no obligation to Contractor or any
other person regarding and makes no warranties or representations to Contractor
concerning the quality of Contracted Water delivered pursuant to this Contract by
releases of raw water to natural streams.
e. Maintenance of Facilities. The River District, to the extent that it has ownership
and maintenance control, shall use its best efforts to maintain in good working
condition the water storage and release facilities of the Contracted Water.
f. Withholding of Delivery. The River District may withhold deliveries of
Contracted Water in the event of Contractor's nonpayment for Contracted Water
or any other breach of this Contract by Contractor. Such remedy shall not be the
River District's exclusive remedy in the event of any such breach.
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g. Delivery from Primary or Alternate Sources. The River District will deliver the
Contracted Water from the sources of Colorado River Supply above the Roaring
Fork Confluence described herein, which will meet the Contractor's need to
satisfy calls by senior water rights or the Contractor's physical need for any direct
delivery . of Contracted Water to Contractor's diversions. Subject to meeting those
objectives, the River District reserves the right to provide all or any of the
Contracted Water to Contractor from alternate reservoirs for Contractor's use,
provided that the alternate sources are suitable to physically satisfy calls by senior
water rights or Contractor's need for direct delivery.
2. Contractor's Water Use Obligations and Responsibilities.
a. Scheduling of Use. Contractor has provided the River District a preliminary
written schedule of its anticipated monthly demands for the Contracted Water
during the current Project Year (July 2012 -June 2013). The schedule provided by
Contractor in its application for this Contract shall serve as the schedule to be
used until it is modified in a written notice given by Contractor to the River
District on or before June 1S annually, or as necessary in response to river
administration of the Contractor's diversions. The schedule shall identify the
volume of any Contracted Water anticipated by Contractor not to be needed by it
during any particular Project Year. Contractor shall update said schedule
periodically during the Project Year as conditions require and give the River
District written notice of all such revisions.
b. Carriage Losses. Contractor shall bear carriage losses in such amount as is
determined by the Division Engineer for Colorado Water Division No. 5, from the
point of delivery of Contracted Water to Contractor's point(s) of use and/or
exchange or augmentation.
c. Use Per Contract and Law. Contractor's use of Contracted Water shall in all
instances be in accordance with the terms of this Contract, the permits and decrees
of the Project, the Water Marketing Policy, as it may change from time to time,
and in accordance with applicable law and all decrees related to the Contracted
Water. Contractor is not authorized to apply for or secure any change in the water
rights for or associated with any of the sources of supply of the Contracted Water.
d. Legal Approvals. Contractor shall at its sole expense adjudicate a plan or plans
for augmentation or exchange and/or secure administrative approvals of any
temporary substitute supply plans which are needed for Contractor to use its
Contracted Water. Any such plans shall identify Wolford Mountain Reservoir and
Ruedi Reservoir as the sources of supply. If Contractor intends to make any
application(s) for any augmentation or exchange plan(s) or substitute supply
WATER SUPPLY CONTRACT CW12005
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plan(s) needed for Contractor to use its Contracted Water, Contractor shall submit
the proposed application(s) to the River District within a reasonable time before
Contractor proposes to file such application(s). The River District shall grant
written approval of such applications before they are submitted or filed, and the
River District's approval shall not be unreasonably withheld. The River District
may in its discretion become a co- applicant in the prosecution of any such
applications for the purpose of protecting its water rights and related policies.
Contractor shall cause to be included in any fmal decree of the Water Court a
provision conditioning Contractor's use of the Contracted Water on the existence
of a River District contract.
e. Limitation on Disposition.
i. Contractor shall not sublet, sell, donate, loan, assign or otherwise dispose
of any of its rights to this Contract or to Contracted Water without prior
written notice to, and the written approval of, the River District and the
payment of a transfer fee at the prevailing rate set forth in the Water
Marketing Policy. The River District's approval of such disposition shall
be granted in all instances in which the Contractor is transferring the water
system which supplies the Contracted Water, or a permanent transfer of
the Contract is to be made to a successor in interest of Contractor by
reason of the transfer of the title or other legal right to use the property
served by the Contracted Water, or where the transfer is made to an entity
such as a homeowners' association or special district created to serve the
property originally represented to the River District to be served with the
Contracted Water.
ii. The assignment of a Contract is subject to the Water Marketing Policy as
revised as of the effective date of the assignment. In accordance with this
subparagraph (ii), any assignee must pay for the Contracted Water at the
then- current price determined by the River District Board of Directors.
f. Contractor's Water Rates. Contractor may charge its water customers who are
supplied with Contracted Water such rates and charges as are permitted by
Colorado law.
g. Nondiscrimination. Contractor shall not discriminate in the availability of or
charges for any water service or water supply made available pursuant to or based
upon the Contracted Water on account of race, color, religion, or national origin
or any other criteria prohibited under state or federal law.
h. Accounting of Use. Contractor shall maintain an accounting of its use of all water
used or supplied by Contractor on form(s) acceptable to the River District
WATE R SUPPLY CONTRACT CW12005
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specifically for the purpose of enabling the River District to prove the use of
River District Project water rights and to administer and operate the Project and
water right decrees and/or administrative approvals related to Contractor's use of
Contracted Water. Contractor shall submit its accounting forms and records to the
River District promptly upon request and shall assist the River District as it may
reasonably request in presenting and/or verifying such evidence of use in court or
before administrative agencies by testimony of Contractor or its authorized and
informed officers or agents.
Section 404 of the Clean Water Act (33 U.S.C. 1344) regulates the discharge of
dredged or fill material into the waters of the United States. Contractor shall
consult with the Army Corps of Engineers if construction of facilities necessary to
use the Contracted Water requires Section 404 compliance, which may include
obtaining a permit. Further consultation and approval by the United States Fish
and Wildlife Service may be required to ensure compliance with the Endangered
Species Act (16 U.S.C. 1531, et seq.) if Contractor proposes physical alterations
to the designated critical habitat of the Colorado River endangered fish species.
As of March 1, 2007, designated critical habitat exists from the Garfield County
320 Road Bridge Crossing of the Colorado River in Rifle downstream to the
Colorado State line.
3. Contractor's Payments.
a. In addition to the application fee paid by Contractor, in order for the River
District's delivery obligation to become effective, Contractor shall pay to the
River District on the execution of this Contract, the total sum of $307.00, being
$307.00 for each acre foot of 1.0 acre feet of Contracted Water for the current
Project Year (July 2012 -June 2013). Thereafter, the River District shall provide
Contractor an annual invoice for the Contracted Water, and Contractor shall pay
the invoice within thirty (30) days of receipt. The price for each type of water
will be reviewed and set annually by the River District's Enterprise Board of
Directors (which decision normally will be made prior to March 1 each year).
Any annual increase in the contract price shall not exceed the then- current
published Consumer Price Index (CPI) plus New Growth Index (NGI).
b. Contractor also shall pay any special assessment levied by the River District on
Contractor to recoup all or a portion of costs attributable to extraordinary
maintenance incurred by the River District or assessed upon the River District by
its third party water suppliers.
Notwithstanding anything to the contrary contained in this Agreement, Contractor
shall have no obligations under this Agreement after, nor shall any payments be
made in respect of any period after December 31 without an appropriation
WATER SUPPLY CONTRACT CW12005
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therefore by Contractor in accordance with a budget adopted by the Board of
County Commissioners in compliance with Article 25, Title 30 of the Colorado
Revised Statutes, the Local Government Budget Law (C.R.S. § 29 -1 -101 et seq.)
and the TABOR Amendment (Colorado Constitution, Article X, Sec. 20).
4. Contract Term. The term of this Contract shall be for a period of five (5) years.
5. Water Shortage. In the event that the River District is unable, because of either legal or
physical reasons (including, but not limited to, hydrologic shortages and operational
restrictions), to deliver any or all of the full amount of water contracted from the Project;
including the Contracted Water, the River District reserves the right to apportion the
Project's available water among its several contractors, including Contractor, in the
manner provided in paragraph 6 of the Water Marketing Policy.
6. Contract Termination.
a. Termination by River District.
i. The River District may terminate this Contract for any violation or breach
of the terms of this Contract by Contractor, including Contractor's failure
to pay timely any sum or amount due under this Contract within thirty (30)
days after receiving written notice from the River District of such breach.
ii. The River District also may terminate this Contract if, in its discretion, any
judicial or administrative proceedings initiated by Contractor as
contemplated in subparagraph 2.d above, threaten the River District's
authority to contract for delivery of Project Water or the River District's
water rights, permits, or other interests associated with the Project.
iii. The River District may terminate this Contract if its legal ability to deliver
Contracted Water is materially impaired or is eliminated because of the
termination or adverse modification of permits, decrees or other
authorizations which are needed to deliver the Contracted Water.
b. Termination by Contractor. Contractor may terminate this Contract in its entirety
for any reason by giving the River District at least thirty (30) days advance notice
prior to the due date of Contractor's next annual payment.
c. Notice of Termination to Affected Officials. The River District will notify the
Division Engineer and any other appropriate governmental officials of any full or
partial contract termination except for any partial termination under subparagraph
6.b.
WATER SUPPLY CONTRACT CW12005
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7. Force Majeure. The River District shall not be responsible for any losses or damages
incurred as a result of the River District's inability to perform pursuant to this Agreement
due to the following causes if beyond the River District's control and when occurring
through no direct or indirect fault of the River District, including without limitation: acts
of God; natural disasters; actions or failure to act by governmental authorities;
unavailability of supplies or equipment critical to the River District's ability to perform;
major equipment or facility breakdown; and changes in Colorado or federal law,
including, without limitation, changes in any permit requirements.
8. Miscellaneous /Standard Provisions.
a. Notices.
i. All notices required or appropriate under or pursuant to this Contract shall
be given in writing mailed or delivered to the parties at the following
addresses:
River District:
Colorado River Water Conservation District
Attention: General Manager / Secretary
201 Centennial Street, Suite 200
P. O. Box 1120
Glenwood Springs, Colorado 81602
Phone: (970) 945 -8522
Fax: (970) 945 -8799
Contractor:
Eagle County Government
c/o Eva Wilson, County Engineer
500 Broadway
Eagle, CO 81631
Phone (970) 328 -3565
Fax (970) 328 -8789
eva.wilson(l eaglecounty.us
ii. Either party may, by written notice given in accordance with this
provision, change the address to which notices to it shall be mailed or
delivered.
Amendments. No amendment, modification, or novation of this contract or its
provisions and implementation shall be effective unless documented in writing
WATER SUPPLY CONTRACT CW12005
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which is approved and executed by both parties with the same formality as they
have approved and executed this Contract.
c. This Contract is subject to the River District's Water Marketing Policy, as it may
be revised from time to time by the River District's Board.
COLORADO RIVER WATER CONSERVATION
DISTRICT acting by and through its Colorado
River Water Projects Enterprise
DATE: - 2 kJ - (1 1.‹..
By:
R. Eric Kuhn, General Manager/Secretary
ATTEST:
Age
. Birch, Deputy General Manager/Asst. Sec.
ohn Currier, Chief Engineer, for Dan Birch
VERIFICATION
STATE OF COLORADO )
) ss.
COUNTY OF GARFIELD )
The foregoing Water Supply Contract was subscribed and sworn to before me by R. Eric
Kuhn as General Manager/Secretary and John Currier, Chief Engineer, for Dan Birch, Deputy
General Manager/Assistant Secretary of the Colorado River Water Conservation District, acting
by d through its Colorado River Water Projects Enterprise this si day of
, 2012.
Witness my hand and official seal. My Commission Expires:
-.: 0. 5 1•• 4
4.11 AIM t
/
1 LORRA
Notary Public
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NicHois
. •
'7Y0E - 70**ers
My Commission Expire& 0711112015
WATER SUPPLY CONTRACT CW12005
Page 10
CONTRACTOR:
EAGLE COUNTY GOVERNMENT
By: _ ,_�� /�
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qIe, /3&.4.4.742, (Title)
VERIFICATION
STATE OF (240b )
ss.
COUNTY OF )
The foregoing Water Supply Contract was subscribed and sworn to before me by
031.11-1 6r1 (1 as eis0,001/j KPIJk(( this .)-Y
day of ,2012.
Witness my hand and official seal. My Commission Expires: l /15
Notary Public
ti DEBORAH LYNN CHURCHILL
NOTARY PUBLIC
§ STATE OF COLORADO
MY COMMISSION EXPIRES 312412015
WATER SUPPLY CONTRACT CW12005
Page 9
which is approved and executed by both parties with the same formality as they
have approved and executed this Contract.
c. This Contract is subject to the River District's Water Marketing Policy, as it may
be revised from time to time by the River District's Board.
COLORADO RIVER WATER CONSERVATION
DISTRICT acting by and through its Colorado
River Water Projects Enterprise
DATE: By:
R. Eric Kuhn, General Manager /Secretary
ATTEST:
Dan Birch, Deputy General Manager /Asst. Sec.
VERIFICATION
STATE OF COLORADO )
) ss.
COUNTY OF GARFIELD )
The foregoing Water Supply Contract was subscribed and sworn to before me by R. Eric
Kuhn as General Manager /Secretary and Dan Birch, Deputy General Manager /Assistant
Secretary of the Colorado River Water Conservation District, acting by and through its Colorado
River Water Projects Enterprise this day of , 2012.
Witness my hand and official seal. My Commission Expires:
Notary Public
