LPPD000260

• Contract/PO #: C153715
• Contractor Name: Lower Arkansas Water Management Association
• Contract Type: Loan
• Water District: 67
• County: Prowers
• Bill Number: SB 96-124
• Loan Projects - Doc Type: Contract Documents

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NOW THEREFORE, the parties hereby agree that

1. Consideration for this Amendment to the ORIGINAL CONTRACT consists of the payments
which shall be made pursuant to this Amendment and the ORIGINAL CONTRACT and the
promises and agreements herein set forth.

2. The parties expressly agree that this Amendment is supplemental to the ORIGINAL
CONTRACT and all terms, conditions, and provisions of the ORIGINAL CONTRACT, unless
specifically modified herein, are to apply to this Amendment as though they were
expressly rewritten, incorporated, and included herein.

3. The parties agree that, to fully protect and maintain the CWCB's security interest in
the water rights represented by the Manvel Shares and the Highland Shares, the
parties shall follow the procedure set forth below at paragraph 4(a).

4. It is agreed that the ORIGINAL CONTRACT is and shall be modified, altered, and changed
in the following respects only:

a. The paragraph numbered 9 on page 5 of the Original Contract shall be amended
to read as follows:

9. In the event of the dissolution of the Highland Irrigation Company and/or the
Manvel Canal & Irrigation Company, the Borrower and the State shall proceed as
follows: The Borrower shall obtain a deed from the Company conveying the water
riahts reoresented bv the Borrower's shares in the Comoanv to the Borrower.
_. 01 . "
Simultaneously with the dissolution of the Company, the Borrower shall record said
deed and a deed of trust conveying a security interest to the State in said water
rights. Said Deed of Trust shall replace the State's existing deed of trust, security
agreement and UCC Financing Statement securing the State's interest in the
Highland and/or Manvel Shares. Upon receipt of the recorded deed of trust, the
State shall execute releases of the existing deed of trust, security agreement and
l:fCC Financing Statement, and said deed of trust, security agreement and UCC
Financing Statement shall be of no further force or effect. The Borrower shall
notify the State no less than 30 days prior to the dissolution of the Highland
Irrigation Company or the Manvel Canal & Irrigation Company. Provided that the
Borrower complies with the requirements specified herein, the State agrees not to
oppose and to cooperate in the dissolution process.

b. The Special Provisions are amended by the addition of the following:

11. Pursuant to CRS 24-30-202.4 (as amended), the state controller may
withhold debts owed to state agencies under the vendor offset intercept system
for: (a) unpaid child support debt or child support arrearages; (b) unpaid balance
of tax, accrued interest, or other charges specified in Article 22, Title 39, CRS;
(c) unpaid loans due to the student loan division of the department of higher
education; (d) owed amounts required to be paid to the unemployment
compensation fund; and (e) other unpaid debts owing to the state or any agency
thereof, the amount of which is found to be owing as a result of final agency
determination or reduced to judgment as certified by the controller.

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