C150190 Contract

• Contract/PO #: C150190
• Contractor Name: Beaver Reservoir Company
• Contract Type: Loan
• Water District: 59
• County: Gunnison
• Loan Projects - Doc Type: Contract Documents

SECURITY AGREEMENT
(PLEDGE OF REVENUES�
DATE: JUNE 13 2005
DEBTOR: BEAVER RESERVOIR COMPANY
SECURED PARTY: COLORADO WATER CONSERVATION BOARD
PROMISSORY NOTE: �'JZ9,7H DATED.�UNE 'I3, ZOO�J
TERMS OF REPAYMENT: Z.5% PER ANNUM FOR 3O YEARS
LoAtv CotvT�cT: C150190 DATED.IUNE 13, 20�5
Co��TE��: All revenues derived from assessments on stock and ail of
Debtor's right to receive said assessment revenues to repay
the loan as described in Pledge of Properly provisions of the
LOAN CONTRACT and Debtor's Resolutions adopted Tw►.� tb
2005.
To secure payment of the loan evidenced by the PROnnissoRY NoTE payable in accordance
WfUI the TERMS OF REPAYMENT or until alt principal, interest, and late charges, if any, are paid in
full, the DEBTOR grants to SECURED P�nr a security interest in the above described
COLLATERAL.
DEBTOR EXPRESSLY WARRANTS AND COVENANTS:
1. That except fior the security interest granted hereby and any other security interests
described in Section 5 of the Loan Contract Project Summary, D�BTOR is the owner of the
Co�rE� free �rom anyaclverse lien, security interest or encumbrances; and that DESTOR
will defend the Co�wTEt� against all claims and demands of all persons at any time
claiming the same or any interest therein.
2. That the execution and delivery of this agreement by DESTOR will not violate any law or
agreement goveming DEBroR or to which DEBTOR is a party.
3. To not permit or allow any adverse lien, security interest or encumbrance whatsoever upon
the Co�wTEw�� and not to permit the same to be attached or replevined.
4. Tha# by its accep#ance of the loan money pursuant to the terms of the CoNTRacT and by its
representations herein, DEBroR shall be estopped from asserting for any reason that it is
not authorized to grant a security interest in the CowaTEt� pursuant to the terrr�s of this
agreement.
5. To pay all taxes and assessments of every nature which may be levied or assessed against
tIl@ COLLATERAL.
6. That the DEBTOR's articles of incorporation and by-laws do not prohibit any term or condifion
of this agreement.
UNTIL DEFAULT DEeroR may have possession of the COLLATERAL provided that
DEBroR keeps the Co�u�rEw� in an account separate from other revenues of DEBTOR and
does not �tse the Co��a�'Ewa� for any purpose not permitted by the CoNr�cT. Upon defauit,
S�cuRE� PaR�nr shall have the immediate right to the possession of the Co��TEwa�..
DEBTOR SHALL BE IN DEFAULT under this agreement upon any of the
following events or conditions:
Appendix 4 to Loan Contract C150190
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