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KITTITAS COUNTY <br />DEPARTMENT OF PUBLIC WORKS <br />PUBLIC WORKS — BOARD OF COUNTY COMMISSIONERS <br />STUDY SESSION STAFF REPORT <br />STUDY SESSION DATE: May 11, 2026 <br />TOPIC: First Amendment to the Contract for Services Sale <br />of Water Mitigation Certificates <br />ACTION REQUESTED: Request to Approve a Resolution to Authorize <br />Execution of the Contract Amendment <br />LEAD STAFF: <br />Arden Thomas <br />RECOMMENDATION: <br />Move to approve resolution to authorize execution of first amendment to the contract for <br />services for sale of mitigation certificates <br />BRIEFING SUMMARY: <br />• Kittitas County operates a water banking program that provides for the <br />sale of water mitigation certificates. <br />• Kittitas County previously executed a 5-year Contract for Services for the <br />sale of mitigation certificates with Nelson Gelbvieh Ranch Water Bank, <br />LLC. <br />• This contract expires on May 18, 2026. <br />• Nelson Gelbvieh Ranch Water Bank, LLC wishes to assign its interest in <br />this contract and all related water rights to Nelson Ltd Partnership. <br />• All parties would like to extend the current contract for an additional five <br />years. <br />• A contract amendment has been prepared that assigns this interest <br />pursuant to Section 12 of the existing agreement and extends the <br />agreement for an additional five years. <br />BACKGROUND: <br />Kittitas County operates a water banking program that provides for the sale of water <br />mitigation certificates. A water mitigation certificate enables applicants to demonstrate <br />that they have legal access to water, as required by KCC 13.35.027. Water mitigation <br />certificates are available through the County water bank and through private water banks. <br />On May 18, 2021, Kittitas County executed a Contract for Services for the Sale of Water <br />Mitigation Certificates with Nelson Gelbvieh Ranch Water Bank, LLC ("NGR"). This <br />agreement enables Kittitas County to sell NGR water rights under the same terms under <br />which the County sells county -owned water. <br />Page 1 of 4 <br />PUBLIC WORKS BOARD OF COUNTY CON IISSIONERS WORK SESSION STAFF REPORT <br />