Posted by Victoria Shupe
What the frac? If you are interested in learning more about this hot topic, the COGCC has added a new link on its website to provide the public information related to hydraulic fracturing ("fracing").
Hydraulic Fracturing Information cogcc.state.co.us
Posted by Cameron A. Grant
Just a few days following the FDIC seizure of Louisville, Colorado based FirsTier Bank, the FDIC remains undecided on how to deal with the Bank's asset portfolio. Typically, the FDIC has a replacement bank in hand when it takes over a troubled institution. In this case, much like last year's seizure of New Frontier Bank in Greeley, the FDIC created its own bank to run things while it determines how to dispose of the FirsTier assets.
The FDIC provides advice for depositors but there is little guidance available for borrowers of a failed bank. Depositors of FirsTier have thirty days to withdraw their funds and transfer them to another institution. The more pressing question is what happens if you were a borrower of FirsTier? This is an urgent concern if you have a revolving business line or credit or a not fully funded construction loan.
In the case of a borrower, the FDIC will probably sell your loan to a third-party investor. That could be another bank or, more likely, a private investment group. If you are current on your loan and in compliance with the loan terms, you are in decent shape. A new owner will want to buy a performing loan and will be interested in your ability to continue paying. Do not, however, expect to make any new draws on your loan or line of credit.
If your loan is dilenquent, the FDIC will "set off" the loan against your deposits at FirsTier before paying the deposit insurance. In other words, they will use any cash you have in the bank to cover your loans.
Once your loan sells, you should contact the new owner and let them know that you plan to continue your scheduled payments. That new owner may attempt to accelerate the repayment or take other action to recover their investment from you -- a paying customer. Also, do not expect this to be a quick process. The FDIC took over a year to liquidate many of the New Frontier Bank assets -- leaving borrowers in an uncomfortable limbo during that time.
If possible, develop a backup plan. To do this, you should find a new lender or investor that can help you fund your business needs while your loan is in limbo. The new lender or investor could also help you purchase your own note from the FDIC or the new owner. In some cases, you may be able to purchase your Note for a fraction of what you actually owe.
Regardless of the opportunities, an FDIC seizure and liquidation of FirstTier will have a negative ripple effect across the financial lives of individual and business customers. You should prepare for that ripple effect, know your loan documents, line up backup funding sources and anticipate a bumpy ride.
Posted by Wallace H. Grant
A common misconception is that estate planning is only for people with a lot of money or financial assets. Nothing could be farther from the truth. Everyone should have some form of estate plan. An estate plan serves the purpose of seeing that your wishes and desires are followed concerning your money, your property, your health care and your children.
Five basic documents can serve as the foundation for your estate plan. Although most of these can be prepared without an attorney, it is always wise to seek the advice of a competent and experienced estate planning lawyer who can help you be sure your wishes will be carried out with the least expense and headache for your survivors. Remember that an estate plan deals with only two things: everything you own and everyone you care about.
1. Last Will and Testament
A will is a written document in which you identify what you would like done with your assets upon your death. The will can also name a guardian for your children. A will can be a very simple document, but can also include trust language to provide financially for minor children or pets, and can even provide complicated tax planning and dynasty transfers for larger estates. Wills can also include other instructions, requiring the Personal Representative (executor) to seek and obtain additional benefits, such as VA burial benefits.
2. Health Care Power of Attorney
This document identifies the person you’d like to make medical decisions on your behalf if you become unable to make them yourself. Usually it “springs” into effect when you are incapacitated and cannot communicate decisions on your own.
It is very important that you communicate how you would want to be treated in the event of various medical events to the person you have designated. The agent under your health care power of attorney is required to make the decisions you would have made had you been able. Many people never have the discussion with the proposed agent to describe the types of health care decisions desired.
3. Financial Power of Attorney
A financial or general power of attorney allows a person you designate (your agent) to access or control your financial assets. Those powers can take effect immediately, or they can “spring” into effect if an event you define triggers its operation, such as incapacity or unavailability.
4. Living Will
A living will sets out what you want done if you need life-sustaining medical treatment. This document addresses extraordinary measures, such as artificial hydration or nutrition, or cardiopulmonary resuscitation, if you are in a terminal condition, irreversible coma, or vegetative state. Not having a living will can result in causing your family turmoil as recently seen in the Terri Shiavo case.
5. Living Trust
In some circumstances, a living trust is valuable. A living trust is a contract that holds title to and controls your property. The trust can provide detailed instructions for how your affairs should be handled in the event of your disability or death. Many people use trusts to save taxes and avoid probate. Also, trusts can create sub trusts for the distribution of property, offering protections over assets transferred to beneficiaries. These are particularly useful if planning for someone with special needs.
However, it is important to make sure all your assets are placed in the name of the trust. If not, the trust instructions will have no bearing on those assets titled in some other way. Many people spend a lot of money to design detailed trusts, but those trusts prove useless because very little gets titled in the name of the trust.
Congratulations to Suzan D. Fritchel, an attorney with Grant, Grant & Goiran LLP, on her recent appointment to the Larimer County Open Lands Advisory Board. Suzan recently began her term and will serve on the Board until May of 2013. The Open Lands Advisory Board makes recommendations to the Larimer County Board of County Commissioners regarding land acquisitions and other Open Lands projects.
Board members include seven citizens appointed at large, one elected official or an appointee from Berthoud, Estes Park, Fort Collins and Loveland and one member from the Larimer County Planning Commission. The advisory board membership represents a balance in geography, population and interest.
This appointment recognizes Suzan's Larimer County roots, her expertise in land use and open space matters and her commitment to the future of Northern Colorado.
