C150082 Contract

• Contract/PO #: C150082
• Contractor Name: Consolidated Home Supply Ditch and Reservoir Company, The
• Contract Type: Loan
• Water District: 3
• County: Larimer
• Loan Projects - Doc Type: Contract Documents

SECTION 5 - SCHEDULE OF EXISTING DEBT

Lienholder Contract Date Original Term of Priority
Amount Repayment
USDA Rural December 650,000 3.137%, 50 CWCB has senior
Development 1965 years (2015) position on pledge of
revenues

Borrower has an existing loan with the U.S. Department of Agriculture Rural
Development ("Rural Development") with an unsecured pledged of the borrower's
water charges and assessments to repay the loan. The CWCB's secured pledge of
revenues would have seniority over the Rural Development's unsecured pledge.

SECTION 6 - DISBURSEMENT SCHEDULE

The BORROWER shall prepare a periodic progress report which contains a statement
of the PROJECT costs expended for that period and shall forward said statement to
the CWCB. After receipt of the periodic progress report from the BORROWER, and
review and acceptance of the items therein as eligible expenses as described below,
the CWCB will pay to the BORROWER the amount set forth in the report or such
portion that has been approved by the CWCB. Such payment shall be made within
thirty (30) days from the CWCB's approval of each progress report.

SECTION 7 - CONSTRUCTION FUND PROGRAM PROCEDURES

1. The BORROWER shall employ an engineer, registered in the state of Colorado to
prepare plans and specifications for the PROJECT.

2. The BORROWER'S and the Engineering Consultant's Agreements and the plans and
specifications must be submitted to the CWCB staff for verification of compliance with
the terms of this contract when available prior to bidding. Any modifications to the
plans and specifications must be approved in writing by the CWCB staff.

3. For plans and specifications for all jurisdictional dams and reservoirs, as defined by 9
37-87-105 C.R.S., the BORROWER shall provide a letter of approval from the State
Engineer's Office prior to construction.

4. CWCB staff must be present at bidding and must approve the award of the
construction contract.

5. The BORROWER shall contract for the construction of the work with responsible and
capable Construction Firms, which said Construction Firms shall be selected by the
BORROWER and found acceptable by the CWCB staff.

6. The BORROWER must provide a copy of the executed construction contract documents
consisting of the contractor's proposal, construction contract, performance bond,
payment bond, notice of award, notice to proceed, sample change order, and sample
field order, as well as the advertisement for bid and bid bond at bidding. After the
CWCB staff verifies that these documents comply with the terms of this contract, the
BORROWER may issue the notice to proceed to the Construction Firms.

7. The BORROWER shall conduct a pre-construction conference at which time the CWCB
staff shall have the opportunity to review and approve the construction schedule.