Department of Utilities
Reference: Lupton Meadows Reservoir Purchase and Sale Agreement
To: Mayor Gregory Mills and Members of City Council
Through: Michael P. Martinez, City Manager
Prepared By: Scott Olsen, Director of Utilities
Date Prepared: May 27, 2026
PURPOSE
Requesting City Council's consideration of a Purchase and Sale Agreement related to the Lupton Meadows Reservoir.
BACKGROUND
City Council previously provided staff with direction on negotiations related to the Lupton Meadows Reservoir in executive session and in accordance with such direction, City staff negotiated and finalized the Agreement for consideration this evening.
The City and the property owner, Platte Land & Water ("PLW"), negotiated over a period of three years a transfer of land, water shares, and reservoirs where the City will be able to store water for its use, and in exchange, PLW is receiving water bank credit that it can sell to developers to meet water rights requirements. More specifically, the City and PLW entered into a non-binding Letter of Intent (LOI) in 2023 detailing a future exchange of water shares, payment of $119,000 toward design of reservoir improvements, sale and purchase of the property and the reservoirs in exchange for credits in the City of Brighton water bank. Additionally, the City and PLW entered into a non-binding, amended and restated LOI in 2025 in which PLW would also provide Brighton with cash toward the construction of the reservoir improvements as well as the design costs and other real property interest described above in exchange for credits in the City's water bank.
Both the City of Brighton and PLW now wish to enter into a binding Purchase and Sale Agreement (PSA) related to the property. The PSA details each party's obligations as generally outlined below:
Brighton-
* Provide water credit in the City's water bank for both water shares and storage volume in the reservoirs at a rate determined appropriate by the City and consultants and agre...
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