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TC Res. No. 2008-09 Authorizing a petition for exclusion of eagle bend subdivision from eagle vail metropolitan district agreeing to provide to eagle bend the service now provided by eagle vail metropolitan districtTOWN. OF AVON, COLORADO RESOLUTION 08-09 Series of 2008 A RESOLUTION AUTHORIZING A PETITION FOR EXCLUSION OF EAGLE BEND SUBDIVISION FROM EAGLE VAIL METROPOLITAN DISTRICT; AGREEING TO PROVIDE TO EAGLE BEND THE SERVICE NOW PROVIDED BY EAGLE VAIL METROPOLITAN DISTRICT; AND AUTHORIZING AN AGREEMENT AND PLAN FOR DISPOSITION ` WHEREAS, the territory known as Eagle Bend Subdivision, more specifically described in Exhibit "A" attached hereto, in the Town of Avon ("the Territory"), is located in Eagle Vail Metropolitan District ("District"); and WHEREAS, § 32-1-502(1)(a), C.R.S., authorize"s the governing body of any municipality wherein territory within a special district is, located to petition the court for exclusion of the territory described in the petition from the special district; and WHEREAS, § 32-1-502(2)(a), C.R.S., requires as a condition to exclusion, that the governing body of the municipality agree by resolution to provide the service provided by the special district to the area described in the petition on and after the effective date of the exclusion order; and WHEREAS, the only municipal service not now provided by the Town to the Territory is the provision of a potable water supply for consumption for residential purposes; WHEREAS, the Town, the District and the Upper Eagle Regional Water Authority have reached agreement on an Intergovernmental Agreement and Plan for Disposition of Assets and Continuation of Services for Exclusion of Eagle Bend Subdivision ("the Agreement and Plan"), a copy of which is attached hereto as Exhibit "B"; NOW, THEREFORE, BE IT RESOLVED: 1. The Town Attorney is authorized and directed to file a petition with the District Court for Eagle County for exclusion of the Territory from the Eagle Vail Metropolitan District. 2. On and after, the effective date of any exclusion order entered by the District Court, the Town shall provide a potable water supply for consumption for residential purposes. 3. The Agreement and Plan is hereby approved. ADOPTED at a regular meeting of the Town'Council of the Town of Avon the 25th . day of March, 2008. NOFq~pw Ronald C. Wolfe, Mayor ~~9tpRR®a - ATTEST: P y Ke , To + Clerk EXHIBIT A (description of area to be excluded) Engle Bend Subdivision - Excluded Territory A parcel of land located in the Southeast one-quarter of Section 12, Township 5 South, Range 82 West, and the Southwest one-quarter of Section 7, Township 5 South, Range 81 West of the Sixth Principal Meridian, Eagle County, Colorado, said parcel being more particularly described as follows with all bearings relative to the Final Plat of Eagle-Vail Filing No. 2: Beginning at a point on the South,right-of-way line of the•Denver and Rio Grande Western Railroad from .whence the North one-quarter corner of said Section 7; 'a brass c ap monument found in lace, bears N 05001'54" E 4462.67 feet; thence along said. right- of-way line the followm four courses: 1) N 64°22'00" W 2064.00, feet to a point of curvature; 2) 578.05 feet along the arc of a, 34,327.50 foot radius curve to the left whose long chord bears N 64°50'57" W 578.04 feet, to a point on the common line of said Section 12 and 7; 3) thence continuing along the are of said curve, 390.54 feet to a point of tangent, with a long chord which bears 'N 65°39'27" W 390.54 feet; 4) thence N 6505900" W 377.60 feet-to a point from whence the common one-quarter corner of said Sections 12 and 7, a brass cap monument found in place, bears N 67010'39" E 756.94 feet; thence S 23°28'30" W 417.51 feet along the East line of a parcel of land owned by Frank . and Imogene Doll, as recorded in Book 215 at Page 891 of the Eagle County Records, to a point on the centerline of the Eagle River; thence along said centerline and the North line of a parcel of land owned by Ken and Don Kriz, as recorded in Book 227 at Page 258 of the Eagle County Records; the. following five courses: 1) S 59°39'32" E 398.03 feet; 2) S 61°26'M'.. E 300.36.feet; 3) S 59023'49".E 305.09 feet to a point on the common line between said Sections 12 and 7; from whence the Southeast corner of said Section 7, a brass cap monument found in place, bears S 00°1T1 3" E 1458.64 feet; , 4) thence continuing S 59°23'49" E 2:94 feet; 100069517 D(K t 31 5) S 84°14'40" E 54.42 feet, thence leaving said centerline, S 01°24'46" E 35.00 feet to a point on the South bank of the Eagle River thence along said South bank the following eleven courses: 1) S 65000' 10" E 43.16 feet; 2) S 73°00'41 E 27.24 feet; - 3) N 83-29'18" E 409.37 feet to Comer No. 17 of Eagle-Vail Filing No. 2: 4) S 86034'34" E 110.16 feet; 5) S 6202 1'14" E 260.77 feet. 6) S38051 - '12" E .231.14 feet; 7) S 50-24-14" E 315.36 feet; 8) S 61052'35" E 263.06 feet; 9) S 76000'35" E 301.96 feet; ' 16) S 55°11':36" E 227.75 feet; 11) S 37040'59" E 80.49 feet: thence leaving said South bank, N 45053'00" E 503.74 feet along the West line ofa parcel of land owned by Susan Nottingham, to the Point of Beginning, containing 1,395,474 square feet or 32.036 acres more or less; and including, Lot 1. Riverside Subdivision, Eagle County,. Colorado. END OF EXHIBIT A. :PMt,g517rXk' 3; A-2 EXHIBIT.B (Intergovernmental Agreement INTERGOVERNMENTAL AGREEMENT AND PLAN FOR DISPOSITION OF ASSETS AND CONTINUATION OF SERVICES FOR EXCLUSION OF EAGLE BEND SUBDIVISION This Agreement and Plan for Disposition of Assets and Continuation of Services for Exclusion of the Eagle Bend Subdivision ("the Agreement"), dated to be effective January -1, 2009, is entered into by and between the Town of Avon, a municipal corporation of the State of Colorado ("Avon"), Eagle-Vail Metropolitan District, a quasi- municipal corporation and political subdivision of the State of Colorado ("District") and the Upper Eagle Regional Water Authority ("Water Authority"). RECITALS WHEREAS, the boundaries of the District and the territory embraced within the District includes a portion of the Town of Avon known as. the Eagle Bend Subdivision . ("Eagle Bend") located entirety within Eagle County, Colorado, as legally described on Exhibit A, as attached hereto and incorporated herein by-this reference; and WHEREAS, a map depicting the boundaries of the District and the boundaries of Eagle Bend is attached hereto as Exhibit B and is incorporated herein by this reference;'. and WHEREAS, some of the residents of Eagle Bend (but not 50% of the fee owners of real property) have petitioned the District's Board of Directors for exclusion of their property from the District alleging that they are paying property taxes to both the District and Avon for overlapping services. The District's Service Plan currently authorizes provision of water service, fire protection, and park and recreation facilities to all residents of the District, including the residents of Eagle Bend; and WHEREAS, fire service is now. provided by Eagle River Fire Protection District, and water service.is provided by contract through the Upper Eagle Regional Water Authority ("Water Authority"); and WHEREAS, exclusion has been requested by these residents in 2009 after provision is made for payment of the District's bonds and these residents have also requested that.provision be made for continued water service to Eagle Bend; and WHEREAS, the District's Board of Directors does not oppose exclusion of Eagle Bend, effective January 1, 2009, provided that provision is made for future water service 100069517.UOC / 3 } to this area, and that comparable park and recreation services will. be available to the residents of Eagle Bend. See Resolution of District's Board of Directors (attached hereto as Exhibit C and incorporated herein by this reference) approving this Intergovernmental Agreement between the District and Avon, with provision for agreement by the Water Authority. The Board of Directors of the District is committed to the maintenance and continuity of facilities to be utilized by the territories both within and without Avon's municipal boundaries and of services to all territories now served by the District; and by its execution of this Agreement, the District acknowledges and agrees that this Agreement is fair and equitable to all of the residents of the District, including those residing in Eagle Bend; and WHEREAS, Avon acknowledges that all of the property proposed for exclusion at Eagle Bend is within the municipal boundaries of Avon; .that Avon will, after this exclusion becomes effective, make provision for the continuation of park and recreation facilities and services to the residents of Eagle Bend in the same manner that all such facilities and services are presently provided to the residents of Avon; and that provision for the continuation of water service by the District through the Water Authority as more specifically set forth in this Agreement is acceptable to Avon. A Resolution of the Avon Town Council agreeing to provide park and recreation facilities and services, to make provision for or to continue water service through the Water Authority for the services now provided by the District to, Eagle Bend on or after the effective date. of the Order of Exclusion is attached hereto as Exhibit D and incorporated herein by this reference; 'and WHEREAS, all of the District's outstanding bonds and bonded debt is scheduled for final payment on December 1, 2009 and sufficient funds and revenues will then be available, including 2008 Taxes due in 2009, to pay all interest and principal due thereon in full. . AGREEMENT NOW, THEREFORE, in consideration of the covenants, conditions and agreements set forth herein, Avon, District and Water Authority agree as follows: 1. Effective Date. This Agreement shall become effective on January 1, . 2009, and upon 2008 taxes to be collected and received by District in 2009; provided that prior to such date, Avon shall petition for exclusion in the form attached as Exhibit E hereto, and an Order of Exclusion is entered in Case No. 87 CV 1921, Eagle County District Court, approving this Agreement and Plan ' for.Disposition of Assets and Continuation of Services filed jointly by Avon and the District. Avon shall petition the District Court for Exclusion of Eagle Bend. 2. Water Service to Eagle Bend. Water service to Eagle Bend is currently provided by the District to 319.6 SFE's for 80 Accounts, all presently served under an 00069517. DOC 13 ; 2 Amended and Restated Master Service Contract, dated January 1, 1998 (the "Contract") through the Water Authority, under which the District•is a Participating Member. After ,exclusion, no changes are.proposed or contemplated in-the provisions for water service to the residents of Eagle Bend or to the other residents of the District outside the territory to be excluded. Water service to the existing 319.6 SFE's within Eagle Bend shall be continued by the District, but no expansion of or additions to the water service currently being provided shall be provided by the District. District shall retain ownership of 0.11 c.fs. from the Nottingham and Puder Ditch, being Ditch No. 97 out of Priority No. 377, the Nottingham and Puder Ditch First Enlargement with an appropriation date of April 2, 1890, as conveyed to the District by Quitclaim Deed, dated December 1, 1992, recorded December 7, 1992 in Book 596 at Page 77, Reception No. 492170 ("dedicated water right"), but District shall.assign the dedicated water right to the Water. Authority for inclusion in the District's water rights available for the Water Authority's use in carving out its functions and providing water service in accordance-with the terms of the Contract to Eagle Bend. Together with and in addition to the dedicated water right, the District shall make available such other water rights, if any,, necessary to serve the demand of the 319:6 SFE's in Eagle Bend. As property exclusively outside of the District boundaries (aft6r.exclusion), the Board of Directors of the District hereby gives its express written consent to such water service to Eagle Bend: Solong as such water service is provided under the Contract and through the Water Authority, such water service shall be provided at regular Water Authority service charge rates as are applicable from time to time to other water service within the District. As provided by the terms and provisions of the Contract, the Water Authority shall, be solely responsible for operation, maintenance, repair and replacement of all facilities for delivery of water to Eagle Bend. Should water serv ice through the Water Authority be discontinued for any reason, the District's Board of Directors reserves the right to determine a charge for such out-of-District water service to Eagle Bend equal to the cost of water service within the - District, plus an increment for the estimated property tax for water service, if any, for which:such property would be responsible if it were part of the District. In the event of the termination of the Contract or the dissolution of the Water Authority, should Avon elect to assume sole responsibility for water service to Eagle Bend, District shall convey the dedicated water right to Avon and make available to Avon at no cost, all existing capital facilities necessary to serve the excluded territory, subject to the requirements of any :00069517.DOC 1 3; 3 integration or interconnection of the separate water systems of Avon and the District as may then exist. The fair market value and source of the District's facilities for the delivery of water to the residents of Eagle Bend has been fully amortized by the District and no additional consideration shall be required from Avon for the acquisition of such facilities. Thereafter, Avon shall be solely responsible for all operation, maintenance. repairs and replacement of such capital facilities and delivery of water within Eagle Bend. The Authority and the District hereby agree that, if Avon assumes sole responsibility for water service to Eagle Bend and conveyance is made of the dedicated water right and such other water rights as the Authority and the District have deemed sufficient to serve the 319.6 SFE's in Eagle Bend, thereafter, Avon shall be under no obligation to , provide water rights in addition to those so conveyed as a condition.to water service for 319.6 SFE's in Eagle Bend. If Avon does not assume sole responsibility for such water service, the District shall ,continue to provide the same as water service outside the District boundaries, at a charge equal to the cost of water service within the District, plus an increment for the estimated property tax for water service, if any, for which such property would be responsible if it were part of the District. Nothing herein contained shall modify or amend in any way the terms and provisions of Paragraph 3 of the Supplemental Water Lease, executed July. 14, 2005, by and between Water Authority and Avon. 3. Fire Protection Services. After exclusion, fire protection shall continue to be provided to Eagle Bend and to the remainder of the District by the Eagle River Fire Protection District. 4. Park and Recreation Facilities. After. exclusion, provision for park and recreation facilities for the residents of-Eagle Bend shall be the sole responsibility of Avon, including operation and maintenance of any and all parks, trails or open space within Eagle Bend. After exclusion, the residents: of Eagle Bend shall have no interest in or any special right to use the recreation facilities of the District, including its golf courses, tennis courts, swimming pools, parks, trails or open space, other than the same rights enjoyed by any member of the general public. The District's park and recreation facilities will continue to be available to the residents of the District after exclusion on the same basis such facilities are available today. 5. District Service Plan. The District's provisions for water service, fire protection and park and recreation facilities for all areas of the District and for all the residents of the District after exclusion will be in substantial compliance and fulfillment 00069517. DOC / 31 4 of the Service Plan of the District as presently in erect. The District represents that the remainder of its water system and its park and recreation facilities, all of which are being retained by the Distr ict, are adequate to serve the remaining territory of the District and any transfer of the dedicated water right or any park and recreation facilities-'described above or the transfer of that portion of its water system to Avon to serve Eagle Bend will have no effect upon the service provided by the District, in the territory which is not part of this exclusion. The exclusion of Eagle Bend as herein proposed will not reduce the services or facilities or increase the. costs to users in, the remaining territory of the District. The exclusion of Eagle Bend as'herein proposed will not result in the exclusion of more than f fly percent of the territory of the. District as it existed prior to such exclusion. C.R.S. § 32-1-502(7)(a)(1). The valuation for assessment of the area proposed for exclusion (Eagle Bend) is $ 8,097,380 for the 2007 Tax Year and is not greater than the valuation for assessment of the area of the remaining territory of the District. CRS. § 32-1-502(7)(a)(II). 6. Indemnification. (a) District agrees to the extent permitted by law and subject to the immunities, defenses and protections afforded under the Colorado Governmental Immunity Act, Section 24-10-101 et seq., C.R.S., to indemnify, defend and hold harmless Avon, its respective agents, officers and employees of and from any and all loss, cost, damage, injury, liability, claims, liens, demands, action and causes of action whatsoever, including reasonable attorneys fees arising out of the indemnifying party's intentional or' negligent acts, errors, omissions, or those of its agents, officers, servants and employees. (b) In consideration of District's indemnification, Avon agrees to the extent permitted by law and subject to the immunities, defenses and protection's afforded under the Colorado Governmental'Immunity Act, §24-10-101 et seq., C.R.S., to indemnify, defend and hold harmless District, its respective agents, officers, and employees of and from any or all loss, cost, damage, injury, liability, claims, liens, demands, action and causes of action whatsoever, including reasonable attorneys fees arising out of the indemnifying party's intentional or negligent acts, errors, omissions, or those of its agents, officers, servants and employees. (c) Except as to the obligations under paragraph 6(b) above, the .liability of District hereunder shall be limited to the, provision of water services, and Avon shall have no claim to special, incidental, consequential, indirect-or tort damages for the breach hereof. 7. Insurance. The Parties agree to each acquire and maintain appropriate insurance coverage. for their respective operations under this Agreement. (000605I7.DOC ! 3! 5 8. Default and Force Maieure. (a) Default. If either Party (i) fails to perform in accordance with the terms, covenants and conditions of this Agreement or is otherwise in default of any of the terms of this Agreement; or (ii) files involuntary petition in bankruptcy or is declared bankrupt or makes a: general assignment for the benefit of its creditors, or is placed under a general receivership, that Party shall be deemed to be in default under this Agreement. The other Party, after giving ten (10) days prior.written.notice to the other Party of the alleged default, and upon said defaulting Parry's failure to cure such breach or to reasonably commence to curesuch breach within said ten (10) days, the non-defaulting Party shall have the rights set forth under Section 9 hereof. (b) Force Maieure. In the event either Party is unable to perform any of the services required hereunder because of acts of God, outbreak of war, earthquake, fuel embargo, or similar events beyond the control of that Party, then that Party's obligation to perform the services under this Agreement shall be suspended during that period of time that such condition exists. 9.. Remedies. In the event that either Party defaults under this Agreement, as set forth in Section 8 above, the other Party shall have the following rights and remedies (but in no case the obligation), in addition to all other remedies available to it at law or in equity: (a) Legal Action. The non-defaulting Party shall have the right to enforce this Agreement in .a court of competent jurisdiction. or seek such other equitable relief as may be appropriate, including but not limited to, temporary restraining orders and injunctions. (b) Reimbursement. In connection with the. enforcement of any or all of the remedies set forth herein, the Party found to be in default agrees to reimburse the other Party foi all of its reasonable attorney fees and related expenses.' 10. Successors and Assigns. The terms of this Agreement shall be binding on the successors and assigns of either Party. 11. ' Notices. Any statement, notice, demand or communication which either Party may desire or be required to give to the other Party shall be in writing and shall be deemed sufficieritly given or rendered if delivered personally, by email, or sent by first class United States mail,-postage prepaid, addressed as follows: If to Avon: Town of Avon P.O. Box 1726 Avon, CO 81620 00069517. DOC 13) .6 Attn: Mr. Scott Wright, Chief Financial Officer swright(gavon.org (Email) With a copy to: John W. Dunn, Esq. Law Offices of John W: Dunn, LLC P.O. Box 7717 Avon, CO 81620 (970) 748 6400 Telephone (970) 748 8881 Fax jdunn(djwdunnlaw.com (Email) If to District: Eagle-Vail Metropolitan District P.O. Box 5660 Avon, CO 81620 Attn: Kenneth J. Marchetti, Esq. With `a copy to: James P. Collins, Esq. Collins Cockrel & Cole 390 Union Blvd., Suite 400 Denver, CO 80228, If to Water Authority: Upper Eagle Regional Water Authority 846 Forest Road . Vail; CO 81657 Attn: Dennis Gelvin, General Manager dgelvinperwsd org (Email) With a copy to: Glenn Porzak, Esq. Porcak Browning & Bushong LLP 929 Pearl Street, Suite 300 Boulder, CO 80302 (303) 443-6800 Telephone (303) 443-6864 Fax gporzak(apbblaw.com (Email) Any Party shall. have the right to designate in writing, served as provided above, a different address to which any notice, demand or communication is to be mailed.. : . 12. Miscellaneous. :00069517.DOC i 3) 7 r' (a) Validi If any clause or provision of this Agreement shall be held to be invalid in whole or in part, then the remaining clauses and provisions, or portions thereof, shall .nevertheless be and remain in full force and effect. (b) Changes. No amendment, alteration, modification of or addition to this Agreement shall be valid or binding unless expressed in writing and signed by the Parties to be bound. thereby. (c) Captions. The captions of each section are added as a matter of convenience only and shall be considered of no effect in the construction of any provision of this Agreement. (d) Timeliness. Time is of the essence with respect to the performance of each of the covenants and agreements herein set forth. (e) Entire Agreement. This Agreement constitutes the entire agreement between Avon and District concerning the subject matter of this Agreement. This Agreement may not be amended or modified orally, but only by a written agreement executed by Avon, District and Water Authority and designated as an amendment or modification of this Agreement. S 00069517. DOC / 3) 8 IN WITNESS WHEREOF, the Parties hereto have executed this Agreement as of the respective dates set forth below to become effective as of the date first written above. Date: 2008 TOWN OF AVON, a municipal corporation By: Mayor Attest: By: Town Clerk Date: , 2008 EAGLE-VAIL METROPOLITAN DISTRICT By: President Attest: By: Secretary Date: 2008 UPPER EAGLE REGIONAL WATER AUTHORITY By: Chairman Attest: By: Secretary 00069517. DOC ! 31 EXHIBIT "A" (Attached to and forming part of the Agreement by and between the Town of Avon ("Avon"), the Eagle-Vail Metropolitan District ("District") and Upper Eagle Regional Water Authority ("Water Authority") dated to be effective January 1, 2009) Eagle Bend Subdivision - Excluded Territory A parcel of land located in the Southeast one-quarter of Section 12, Township 5 South,,.Range 82 West, and the Southwest one-quarter of Section 7,79wnship 5 South;, Range 81 West. of the Sixth Principal Meridian, Eagle County; Colorado, said parcel being more particularly described as follows with all bearings relative to the Final Plat of Eagle-Vail Filing No. 2: Beginning at a point on the South right-of-way, line of the Denver and Rio Grande Western Railroad from whence the North one-quarter comer of said Section 7, a brass cap monument found in place, bears N 05°01'54" E 4462.67 feet; thence along said right- of-way line the following four courses: 1) N_64022'.00" W 2064.00 feet to a point of curvature; 2) 578.05 feet along the arc of a 34,327.50 foot radius curve to the left whose long chord bears N 64°50'57" W 578.04 feet, to a point on the common line of said Section 12 and 7; 3) thence continuing along the arc of said curve, 390.54 feet to a point of tangent, with a long chord which bears N 65°39'27 W 390.54 feet; 4) _ , thence N 65059'00" W 377.60 feet to a point from whence the common one-quarter comer of said Sections 12 and 7, a brass, cap monument found in place, bears N 67°10'39" E 756.94 feet; -thence S 23128'30" W 417.51 feet along the East line of a parcel of land owned by Frank and Imogene Doll, as recorded in Book 215 at Page 89I of the Eagle County Records, to a'point on the centerline of the Eagle River; thence along said centerline and the North line of a parcel of land owned by Ken and: Don Knz, as recorded in Book 227 at Page 258 of the Eagle County Records, the following five courses: 1) S 59039'32" E 398.03 feet; 2) S 61°26'30".E 300.36 feet; 3) S 59°23'49" E 305.09 feet to a point. on the common line between said Sections 12 and 7, from-whence the Southeast corner of said Section 7, a brass cap monument found in place, bears S 00017'13",E 1458.64 feet; 4) thence continuing S 59°23'49" E 2.94' feet; '(00069517. DOC / 3 ) 5) S 84°14'40" E 54.42 feet; thence leaving said centerline, S 01°24'46" E 35.00 feet to a point on the South bank of the Eagle River; thence along said South bank the following eleven courses: 1) S 65000'10" E 43.16 feet; 2) S 73°00'41" E 27.24 feet; 3) N 83-29'18" E 409.37 feet to Corner No. 17 of Eagle-Vail Filing No. 2; 4) S 86°34'34" E 110.16 feet; 5) S 62°21' l4" E 260.77 feet; 6) S 38°5112" E 231.14 feet; 7) S. 50024'14" E 315.36 feet; 8) S 61°52'35" E 263.06 feet; 9) S 76000'35" E 301.96 feet; 10) S 55°11'36" E 227.75 feet; 11) S 374Q'59" E 80.49 feet; thence leaving said South bank, N 45°53'00" E 503.74 feet along the West line of a parcel of land owned by, Susan Nottingham, to the Point of Beginning, containing 1,395,474-square feet or 32.036 acres more or less; and including Lot 1, Riverside. Subdivision, Eagle County, Colorado. END OF EXHIBIT A EXHIBIT "B" (Attached to and forming part of the Agreement byand between the Town of Avon ("Avon")-'the Eagle-Vail Metropolitan District.("District") and Upper Eagle Regional Water Authority ("Water Authority") dated to be effective January 1; 2009) < Map of Eagle-Vail Metropolitan District > END OF EXHIBIT_B EXHIBIT "C" (Attached to and forming' part of the Agreement by and between the Town of Avon ("Avon"), the'EagleNail Metropolitan District ("DistrictI and Upper Eagle Regional Water Authority ("Water Authority") dated to be effective January 1, 2009) < Resolution of the Board of Directors, Eagle-Vail Metropolitan District > END OF EXHIBIT C 00069517 DOC / 3 EXHIBIT "D". (Attached to and forming part of the Agreement by and between the Town of Avon ("Avon"), the.Eagle-Vail Metropolitan District (.,District") and Upper Eagle Regional Water Authority ("Water Authority") dated to be effective January. 1, 2009) < Resolution of the Town Council > END OF EXHIBIT D EXHIBIT "E" < Form of Exclusion Petition > END OF EXHIBIT E o DZ m0 D-n O~ v~ mZ Cl) n 0 G) 4r cn m D r 0 f~ 0 o V G►f N N rt N _ v 0 T C affi sm ~ m=~ od 3 o Q a ~e MEMORANDUM TO: TOWN COUNCIL FROM: TOWN ATTORNEY SUBJECT: EAGLE BEND EXCLUSION DATE: March 25, 2008 On the Council agenda is a resolution which directs that a petition be filed with district court to exclude Eagle Bend from'Eagle Vail and approves an Intergovernmental Agreement and Plan for Disposition of Assets and Continuation of Services for Exclusion of Eagle Bend Subdivision negotiated by staff. This memorandum is provided as a reminder. of the procedure to be followed when a petition is filed with the district court. 1. Within ten days after the filing of the petition, the Eagle Vail board will be • notified, and the Eagle Bend taxpaying electors will be notified by publication. The Town, the Eagle Vail board and the taxpaying electors, as a class, are the parties to the exclusion proceedings. 2. At the time of filing the petition, the Town is required (in the language of the statute) to submit a plan for the disposition of assets and continuation of services to all areas of the district.. The plan negotiated by staff includes a) provisions for the maintenance and continuity of facilities to be utilized by the territories both within and without the municipal boundaries and b) provisions for services to all territories served or previously served by the district. The plan would provide for conveyance of water lines and, facilities within Eagle Bend to the Town and provides for the Town's supplying of water to Eagle Bend. Services to the'remaining areas of Eagle Vail and maintenance and continuity of the facilities utilized without the Town boundaries are not affected. I The court is required to review the contract agreed upon by the parties and, if it finds the contract is fair and equitable, approve it and incorporate it into the exclusion order. The court's review of the contract includes (again in the language of the statute) consideration of the district's outstanding bonds (which will 'be paid off this. year), the value and source of district facilities located within Eaglebend, the facilities to be transferred necessary to serve Eagle Bend, adequacy of facilities retained by the district; availability of the facilities transferred to continue to serve the district, the effect which the transfer of facilities and assumption of indebtedness will have upon the service provided in the remaining area of the district and the extent to which the exclusion reduces the services or facilities or increases the costs to users in the remaining area of the district. 0 4. After filing of the petition, ten percent or 100 of the eligible electors of Eagle • Bend, whichever is less, may petition the court for a special election to be held within Eagle Bend on the question of exclusion. If a petition is filed, the court orders a special election, but only if the conditions described above have been met. The district bears the costs of the election. 5. Any order for exclusion becomes effective, after recording, on January 1 next following the date the order is entered. This reflects the fact that the levy of ad valorem taxes occurs as of January 1. A date of January 1, 2009, would also be consistent with the fact that Eagle Vail's debt will have paid in 2008. Council is requested to adopt the resolution, which will initiate the process for the exclusion of Eagle Bend from the Eagle Vail Metropolitan District. JWD:ipse is