Resolution 2020-46 - Need Fully Executed Agreement

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RESOLUTION NO.46 SERIES 2020 A RESOLUTION APPROVING A CONSENT AGREEMENT REGARDING USE OF SIMPLE, NON -COMPOUNDING ANNUAL INTEREST RATE FOR REIMBURSEMENT PAYMENTS PURSUANT TO THE SOUTHERN WATER SUPPLY PROJECT ALLOTMENT AGREEMENTS WHEREAS, the City of Louisville ("City") and the Northern Colorado Water Conservancy District acting by and through the Southern Water Supply Project Water Activity Enterprise ("SWSP Enterprise") previously entered into an Allotment Contract for the City's participation in the Southern Water Supply Project ("SWSP"); and WHEREAS, the SWSP Allotment Contract allows parties to seek the right to use a portion of the Project right-of-way upon payment of one-half of the actual costs of acquisition of the permanent Pipeline right-of-way, plus carrying costs including interest at nine percent (9%) from the date of acquisition of the right-of-way through the date of conveyance; and WHEREAS, Erie and Broomfield, Participants in the SWSP and parties to SWSP Allotment Contracts, have requested clarification the the interest to be paid shall be calculated as a simple, non - compounding annual interest rate; and WHEREAS, a Consent Agreement has been drafted to effectuate such clarification, a copy of which Consent Agreement accompanies this resolution, and the City Council desires to approve such Consent Agreement, authorize its execution by the City Manager, and further authorize execution of future consent agreements by the City Manager, so long as the essential terms and conditions of the SWSP Allotment Contract are not altered. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LOUISVILLE, COLORADO: Section 1. The proposed Consent Agreement between the City of Louisville, other Participants in the Southern Water Supply Project, the SWSP Enterprise, and the Northern Colorado Water Conservancy District, is hereby approved in essentially the same form as the copy of such Consent Agreement accompanying this Resolution. Section 2. The City Manager is authorized to execute the Consent Agreement on behalf of the City and the City Manager is hereby granted the authority to negotiate and approve such revisions to said Consent Agreement and to execute future consent agreements, as the City Manger determines are necessary or desirable for the protection of the City, so long as the essential terms and conditions of the Consent Agreement or SWSP Allotment Contract are not altered. Section 3. The City Manager and City Staff are further authorized to do all things necessary on behalf of the City to perform the obligations of the City under such Consent Agreement. Resolution No. 46, Series 2020 Page 1 of 2