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Show City to buy Spiro water but protects itself from default by CHRISTOPHER SMART Record staff writer J ; - Staying with its game plan to keep Spiro Tunnel water rights out of court, the Park City Council in a special meeting but OK'd a $2 million purchase, but took steps to protect itself if ownership of the water share is disputed. The agreement Monday by the council protects the city in the event the seller of the water, the owners of the Park City ski Area, do not gain title to the shares from United Park City Mines under a 1975 land deal. Under that land deal, the Greater Park City Corp. owner of the ski area will gain title to the water in 1990 from United Park City Mines. Until the title is in the hands of the ski area, the municipality will make payments into an escrow account. If for any reason the ski area does not get title to the water, and therefore cannot sell it to the city, the city loses no money under the arrangement approved by the city council. The water in question comes from a mining tunnel owned by United Park City Mines. The tunnel disrupted two natural drainages to , the Big Cottonwood Creek and the Weber River. Salt Lake City sued for its share of the Spir6"Tunnel water and in" a 1974 courlJiillngfiO pfejreuJ bfjhe watery behind the tunnel's 6,600-fbot marker was awarded to Salt Lake City. The remaining 40 percent was awarded to United Park City Mines. The mining company's share of the Spiro water has since become part of two intricate water land deals, one of which was with the ski area. But the 1974 ruling has not settled all claims on the Spiro water. The strategy of the Park City Municipal Corp., according to City Attorney Tom Clyde, is to keep the Spiro Tunnel water out of litigation. To that end, the city is trying to buy, trade or otherwise appease a number of entities that claim it. One entity that also claims ownership to the Spiro Tunnel water is the Weber Basin Water Conservancy Conserv-ancy District. . But one year ago, the city agreed to annex into the Weber District if the water district would agree to drop all suits seeking on Spiro water. That annexation could be complete Aug. 23. - Meanwhile, the municipality is bargaining with a number of Provo River Water owners to rights it hopes can be traded to Salt Lake City for part of its 60 percent share of the Spiro water ' which Park City nope if they can acquire enough oT that share, Salt Lake City will be less inclined to build facilities to transfer the water to the Salt Lake Valley. Clyde noted that if the city does not recognize Greater Park City's ownership of the water, the matter could go back to the courts. He added, however, that the municipality municipal-ity and the Park City Ski Area, as well as the other entities, have made a cooperative effort to settle disputes over the Spiro Tunnel water rights. Nick Badami, chairman of the board of Alpine Meadows Corp., the parent company of Greater Park City Corp. , took exception to Clyde's comments last week that the purchase is needed because the ski area owners are in a position to foul a number of deals and arrangements that have kept the water flowing in Park City. Badami said his firm did not intend to battle the city over water rights. Further, he said he offered the contract to the city 14 months ago and has turned down offers from other prospective buyers. Badami said it is in the community's best interests to have the undisputed right to the Spiro' s water. |