Resolution 2024-20 - Laserfiche WebLink

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AGREEMENT 1. Grant of Lease. Subject to legal and physical availability, the terms and conditions of this Lease, and the terms and conditions of the Decrees described herein, the Lessor hereby leases to the Lessee the right to use the Lessor's Water Rights, the amount of which shall be limited pursuant to paragraph 10 herein. 2. Term of Lease. 2.1. This Lease is for an initial term commencing on the Effective Date and terminating on December 31, 2034. If the Lessee wishes to lease the Lessor's Water Rights for an additional term commencing at the end of the initial term, the Lessee shall give the Lessor written notice of its desire to enter into a subsequent lease agreement at least six (6) months prior to the end of the initial term. 3. Payment. 3.1. The Lessee agrees to pay to the Lessor an initial annual lease payment equal to Five -hundred Dollars ($500.00) per acre-foot of the Lessor's Water Rights used by Lessee, provided that the Lessee's use of the Lessor's Water Rights are within the monthly volumetric limits set forth in Exhibit B and paragraphs 9 and 10 herein. 3.2. Subsequent payments under this Lease shall be made annually on or before April 1 of each year preceding the City's delivery of the Leased Water. The Lease Price following 2024 shall be adjusted each year based upon the Lessor's determination of the Lease Price. The Lease Price will reflect the City's then going rate for long-term leases of Mly reusable effluent. If the Lessee objects to any Lease Price set by Lessor following 2024, Lessee shall have the right to terminate this Lease and all obligations hereunder. 4. Use of the Lessor's Water Right. The Lessee agrees that, during the term of this Lease, the Lessee will use the Lessor's Water Rights: (i) only pursuant to Lessee's Decree; and (ii) consistently with the terms and conditions of Lessee's Decree and Lessor's water court decrees, including the Marshall Decree. 5. Delivery of the Lessor's Water Rights. The water to which the Lessee is entitled to shall be available to the Lessee at Lessor's discharge point on Coal Creek, or at other points in the Boulder Creek Basin designated by the Lessor and acceptable to the District 6 Water Commissioner to meet the requested needs of Lessee, per the Exhibit B Replacement Schedule and the Lessee's Decree. The Lessor's obligation to provide Leased Water to Lessee at any time during the term of this Lease is at Lessor's sole discretion, and is also expressly conditioned on the legal and physical availability of reuse water under the Lessor's decrees and water rights and shall be subordinate to the Lessor's water needs. 6. The fully consumable, reusable water can be provided from any of the Lessor's decreed water rights that contain fully consumable and reusable credits, at Lessor's sole discretion. Monthly deliveries will be accounted for daily during the irrigation season. Deliveries will be made in hundredths (0.00) of an acre-foot increment. The Lessor will provide the Lessee with Page 2 of 9