LPPD000354

• Contract/PO #: C153385
• Contractor Name: North Poudre Irrigation Company
• Contract Type: Loan
• Water District: 3
• County: Larimer
• Bill Number: SB 82-87
• Loan Projects - Doc Type: Contract Documents

2. It is expressly agreed by the parties that this Amendment is supplemental to the
Original Contract, as amended, and all terms, conditions, and provisions thereof,
unless specifically modified herein, are to apply to this Amendment as though they
were expressly rewritten, incorporated, and included herein.

3. It is agreed the Original Contract is and shall be modified, altered, and changed in
the following respects only:

a. Paragraph A5 is modified by the addition of the following sentence:

The CWCB hereby agrees to execute a quit claim deed, attached hereto as
Appendix 1 and incorporated herein, to convey the property as described on
said quit claim deed back to the Contractor in consideration of the Contractor
providing substitute collateral to assure repayment of the loan.

b. Paragraph A5 is modified by the addition of the following paragraph:

Part of the security provided for this loan, as evidenced by the Deed of Trust,
executed by the Contractor, attached as Appendix 2 and incorporated herein,
shall be an undivided one hundred percent (100%) interest in the Fossil Creek
Reservoir and Dam, as more particularly described in the attached Deed of
Trust, hereinafter referred to as "collateral."

c. Paragraph A12 is replaced by the following:

The Contractor promises to pay the State the principal sum of One Million Three
Hundred Thirty One Thousand Seven Hundred Three and 71/100 Dollars
($1,331,703.71) plus interest at the rate of five percent (5%) per annum for a term
of forty (40) years. Principal and interest shall be payable in equal installments of
$77,611.69, with the first payment due and payable May 1, 1985, and annually
thereafter until all principal and interest have been paid in full, with all such
principal and interest required to be paid within 40 years. Payments shall be made
payable to the Colorado Water Conservation Board and mailed to 1313 Sherman
Street, Room 721, Denver, Colorado 80203. The outstanding loan amount may
be prepaid in whole or in part at any time without premium or penalty. Any partial
prepayment shall not postpone the due date of any subsequent payments or
change the amount of such payments. All payments received shall be applied first
to accrued interest and then to reduce the principal amount. As of the date of this
amendment, the outstanding principal balance on this loan was $1,046,848.28.

d. Paragraph I of the Original Contract is revised to read as follows:

Upon complete repayment to the STATE of the entire principal and all accrued
interest, the STATE agrees to execute a release of deed of trust to convey to the
CONTRACTOR all of the STATE'S right, title, and interest in and to the property
described in the Deed of Trust.

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

10. 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