PROJC01825 ‎(2)‎

• Contract/PO #: C150234
• Contractor Name: Headgate 396 Lateral Corporation
• Contract Type: Loan
• Water District: 72
• County: Mesa
• Loan Projects - Doc Type: Contract Documents

Project Summary - The Headgate 396 Lateral Corporation - Contract
No. C150234

SECTION 1 -BORROWER INFORMATION
Name: The Headgate 396 Lateral Corporation
Address: 2125 I % Road, Grand Junction, CO 81505
Federal Identification No.: 20-3508060
Contact: Dave McDonald
Phone Number: 970-261-5009
E-mail address:[e-mail]
Type of Entity: a Colorado nonprofit corporation

Section 2 - Project Description
A. Description of PROJECT: The BORROWER applied to the CWCB for a loan to be
used for the construction of the 396 Lateral Piping Project, located in Mesa
County, hereinafter referred to as the PROJECT, at an estimated total cost of
$230,000.
B. Description of Feasibility Study: The CWCB has reviewed a feasibility study report
on the PROJECT entitled "Feasibility Study of Piping Lateral 396," dated August 2006,
compiled by Water Solutions of Colorado, which is incorporated herein by reference,
and, based upon the feasibility report, the CWCB determined the PROJECT to be
technically and financially feasible.
SECTION 3 - CWCB's AUTHORITY
Severance Tax Trust Fund Pemetual Base Account: This loan is made pursuant to
the provisions of ~~ 39-29-109(1)(a)(I), 37-60-119 and 37-60-120, C.R.S., which
authorize the CWCB to loan money for water projects from the CWCB Severance Tax
Trust Fund Perpetual Base Account for the benefit of the people of the state, provided
that the borrower assures repayment of that money.

Section 37-60-122(1)(b) C.R.S., authorizes the CWCB to make loans of up to
$5,000,000 from the CWCB's Construction Fund and the State Severance Tax Trust
Fund Perpetual Base Account Fund without prior approval from the General Assembly

SECTION 4 - BOARD ApPROVAL

At its November 13, 2006 meeting, the CWCB approved a loan from the Severance Tax
Trust Fund to the BORROWER in an amount up to $230,000 for PROJECT costs plus $2,300
for the loan origination fee of 1 % in accordance with CWCB Policy No. 16, at an interest
rate of 2.50% per annum for a repayment term of 30 years.

SECTION 5 - SCHEDULE OF EXISTING DEBT

No existing debt.

SECTION 6 - COLLATERAL

The collateral provided for this loan, as evidenced by the executed Deed of Trust, in

Appendix 1 to Loan Contract C150234
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