OTHERAPPROVED

City of Dodge City City Commission Meeting Agenda 2026-06-01

City Approves Major Water Rights Purchase from JR Farms

$10,000,000.00 (total purchase price)City of DodgeJR FARMSJune 1, 2026

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Description

The Dodge City Commission is asked to approve a Water Rights Sale Contract with JR Farms totaling $10,000,000.00 for a share of 3,732 acre-feet of water rights, with $2.5 million paid at closing and $7.5 million financed over 20 years at 3.5% interest. The purchase secures long-term municipal water supply for Dodge City and is backed by a secured promissory note and purchase-money mortgage.

Contract Details

Contract Amount

$10,000,000.00 (total purchase price)

Vendor

JR FARMS

Agency

City of Dodge, KS

Contract Type

OTHER

Document Date

June 1, 2026

Contract Term

$2,500,000 at closing; $7,500,000 financed over 20 years at 3.5% interest starting after July 1, 2026

Renewal Date

2046-01-01

Renewal Info

Long-term installment sale with secured promissory note and purchase-money mortgage over 20 years; includes leaseback option for irrigation use at $50 per acre-foot until converted to municipal use.