Boxelder letter to CO State Senator

Home Browse Search

Page 3 of 4 • and that it has the power to collect fees in the manner it does. At its January 2014 board meeting, CWCB approved the Authority's third loan request for $818,100 with the following condition: "The Authority will not seek and the CWCB will not disburse loan funds until the Authority has the right of possession to all property necessary for the East Side Detention Facility Project. If land is acquired through condemnation,this will evidenced by an Order of Possession. If the land is to be acquired through negotiated real estate contract(s),this will be evidenced by a binding real estate contract between the Authority and the property owner." Please note that the above condition was also added to the previous two approved loans such that no loan funds will be disburse for all three loans until the land acquisition for the East Side Detention Facility is complete. Any outstanding issue associated with the Authority being a legal entity, ability to collect fees or to condemn land would be resolved during the condemnation court proceeding or addressed through an Attorney Opinion Letter. It should be noted that the total combined loan amount for all three projects is $8,999,100. As you are aware CWCB is required to bring any project loan over $10,000,000 to the General Assembly for approval. The combined loan amount for these projects does not meet that requirement. Land Acquisition Update: There are five parcels which the Authority needed to secure to allow for the construction of the East Side Detention Facility, namely the Griffin, Iodence, Day, Recreation, and Boxberger Parcels. The Authority entered into a purchase agreement for the Griffin parcel outside of court and obtained a Special Warranty Deed to the parcel on March 30, 2015. Boxelder proceeded with condemnation hearings for the remaining four parcels in Larimer County District Court Case Nos. 2014CV31053, 31056, 31057, and 31059, respectively. On April 13th and 16th, 2015, the District Court Judge issued orders for immediate possession on theses four parcels finding in part that"[Boxelder] has the legal authority to condemn for the purposes sought herein and acquisition of the Subject Property is necessary for such purposes," and that "the acquisition of the Subject Property serves a public purpose." With the right of possession to all property necessary for the East Side Detention Facility Project secured,the authority has satisfied the condition of the three loans, and may now seek disbursements for project cost, including the acquisition costs of the five parcels. Summary: CWCB has allocated a significant amount of staff time in evaluating these three loans to the Authority. The projects being considered where developed from a Master Plan, managed, operated, and financed by a Drainage Authority created under section 29-1-204.2. As a precautionary measure, the Board conditioned the loan approvals such that no funds can be disbursed until the land associated with the East Side Detention Facility was obtained. This conditioned has been satisfied. CWCB is relying on the legal opinion provided by the