C150002 Contract - Laserfiche WebLink

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7. Specific obligations of the Parties. (a) The Association shall: 1) Establish and be responsible for the administration and management of an interest bearing account ("Improvements Account"), into which the Improvements Grant funds shall be deposited. All interest that accrues on funds in the Improvements Account shall be reinvested or redeposited in the Improvements Account. The Improvements Account shall be a joint account in the name of the STATE and the Assoc�aTioN, and shall be established at an institution or institutions approved by the STATE. The Improvements Account shall be separate from all other ASSOC�ATiotv accounts. The funds in the Improvements Account shall be invested or deposited only in investments and depositories that are allowed for public funds under Part 6 of Article 75 of Title 24, C.R.S., as it may be amended from time to time, and , all principal and accrued interest in the Improvements Account shall be considered to be public funds as defined in said statute. In addition, all principal and accrued interest in the Improvements Account shall be considered to be public deposits as defined in the Colorado Public Deposit Protection Act ( Article 10.5 of Title 11, C.R.S., as amended), and shall be subject to the protection of said Act. The primary goal for the investment of Improvements Account funds shall be to ensure (a) the safety and preservation of the Improvements Account principal and (b) theliquidity of a sufficient portion of the Improvements Account funds to pay the following year's anticipated expenses. To the extent consistent with these primary goals, theAssociATioN also shall seek to manage the Improvements Account principal in a manner to provide a return of four (4) percentage points greater than inflation as measured by the Consumer Price Index - All Urban Consumers (U.S. City Average). The parties recognize that this rate of return may not be attainable on a sustained basis, and the failure of theAssoCiAT�oN to achieve or sustain this rate of return shall not be considered to be a default under this Contract. TheAssoc�aTioN shall prepare and keep accounting and management records for the Improvements Account. Such records shall be open to inspection by the STATE at any time, and copies of such records shall be provided to the STATE upon request. 2) The Improvements Account will be managed by theAssoC�ATlorv and shall be subject to an annual audit conducted by a qualified accountant, who is sufficiently independent from the Parties associated with this contract, using generally accepted accounting principles. 3) Prior to November 30 of each year, prepare and submit to all Parties for review and approval an annual work plan for the operation, maintenance, and replacement of (mprovements. The work plan shall include the following calendar year's projected operation, maintenance, and replacement expenditures, and pumping plant power casts. 4) In accordance with the annual work plan approved by all Parties, operate, maintain, and replace the Improvements. The Assoc�ATioN also shall perForm emergency work on the Improvements. Emergency work is defined as work resulting from an unexpected occurrence to or condition of the Improvements that is necessary to minimize or prevent injury or damage to persons, property, or the Improvements, and/or to restore the Improvements to operable condition. ' 5) Prior to March 1 of each year, prepare and submit to all Parties an annual report summarizing on a monthly basis the spill at each administrative spill point, including the Palisade Page4of11