PROJ02043

• Contract/PO #: C150241
• Contractor Name: DeBeque, Town of ‎(Acting by and through its Irrigation System Enterprise)‎
• Contract Type: Loan
• Water District: 0
• County: Mesa
• Loan Projects - Doc Type: Contract Documents

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TOWN OF DE BEQUE

ORDINANCE NO. 343
(Series 2007)

AN ORDINANCE OF THE TOWN OF DE BEQUE, COLORADO AUTHORIZING THE
EXECUTION AND DELIVERY OF A LOAN CONTRACT BETWEEN THE STATE OF
COLORADO FOR THE USE AND BENEFIT OF THE DEPARTMENT OF NATURAL
RESOURCES, COLORADO WATER CONSERVATION BOARD, AND THE TOWN OF
DE BEQUE, COLORADO, AND THE TOWN OF DE BEQUE, COLORADO, ,
IRRIGATION ENTERPRISE SETTING FORTH THE TERMS AND PROVISIONS OF A i
LOAN IN THE PRINCIPAL AMOUNT OF $252,000 '

WHEREAS, the Town of De Beque, Mesa eounty, Colorado (the "Town") is a municipal
corporation duly organized and existing as a statutory town pursuant to the eonstitution
and laws of the State of Colorado, more particularly Title 31 of the eolorado Revised
Statutes; and

WHEREAS, the members of the Board of Trustees of the Town (the "Board of ;
Trustees") have been duly elected and qualified; and

WHEREAS, The Board of Trustees has determined that the Town's irrigation system
and service activity is an "enterprise" of the Town within the meaning of Article X,
Section 20 of the Colorado eonstitution (referred to herein as the "Enterprise") in
accordance with Town of DeBeque Resolution No. 2007-07, (Series of 2007); and

WHEREAS, The Town of De Beque has authorized the Enterprise to have and exercise
the powers of an Enterprise, including the issuance of revenue bonds without voter 1
approval in advance, to pledge any revenues of the Enterprise to the payment of such 1
revenue bonds and to pay such revenue bonds therefrom, to enter into contracts :
relating to the irrigation system of the Town in the same manner in which Town ;
contracts may be entered, and to bind the Town to perform any obligation relating to the:
irrigation system of the Town, other than any multiple-fiscal year direct or indirect debt;
or other obligation whatever without adequate present cash reserves pledged I
irrevocably and held for payments in all future years, to sue and be sued in its own
name, and to exercise any legal authority of the Town relating to irrigation facilities and
services; and

WHEREAS, The Town of De Beque has completed $218,349.00 worth of irrigation
system improvements during the last six (6) months; and

WHEREAS, The Town of De Beque has adopted a plan to utilize the additional 3.5 cfs
water right from the Bluestone Water Conservancy District; and

WHEREAS, The Town of De Beque has adopted a plan to reduce the Town's
vulnerability to the Colorado River water quality issues; and

WHEREAS, The Town of De Beque does not have sufficient funds currently available to
make such repairs and improvements without borrowing such funds; and

WHEREAS, The Town's Enterprise concurs in the need, desire and funding mechanism
for the making of such repairs and improvements; and

WHEREAS" The eolorado Water Conservation Board ("eweS") has funds available for
such needs which funds may be loaned to municipal corporations for such projects; and

WHEREAS, The Board of Trustees of the Town of De Beque, on behalf of the
Enterprise, previously filed an application with the ewes for a loan in the amount of
$250,000 for irrigation system improvements; and

WHEREAS, the Enterprise's obligations under an agreement with eWCB (the "Loan
Contract") shall constitute a revenue obligation of the Enterprise; and

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Appendix 3 to Loan Contract C150241