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H. The BORROWER Shall conduct a pre-construction conference at which time the <br />CWCB staff shall have the opportunity to review and approve the construction <br />schedule. <br />I. If the CWCB staff determines that the PRO�ECT requires a resident inspector during <br />construction, the BoRROwER shall employ an inspector who has been approved by <br />the CWCB staff. <br />J. The BORROWER Shall construct the PROJECT in accordance with the approved <br />plans and specifications. <br />K. Upon completion of the PRO�ECr constru�tion, the BoRROwER shall provide as-built <br />drawings of the PRO�ECT to the CWCB staff, or, if required by § 37-87-105, C.R.S., <br />the BoRROwER shall provide the as-built drawings to the State Enginee�'s Office for <br />approval and filing. <br />L. Upon completion of the PRO�ECT construction, the BoRROwER shall arrange a final <br />inspection for the CWCB staff. <br />M. The BoRROwER shall pay all of the expenses related to the PRO�ECT when such <br />bills are due. <br />SECTION 8— ELIGIBLE EXPENSES The following items are eligible for loan <br />disbursements. <br />A. Preparing final designs and specifications for the PRO�ECT. <br />B. Preparing bid and construction contract documents. <br />C. Preparing environmental assessment or environmental impact statements, and <br />otherwise complying with the Federal National Environmental Policy Act. <br />D. Complying with all federal, state, and local regulatory requirements, including the <br />obtaining of all required permits. <br />E. Fish and wildlife mitigation measures required by federal, state, or local laws and <br />regulations. <br />F. Actual construction as called for in the design documents and in change orders <br />approved by the CWCB and the BoRROwER. <br />G. Engineering services for construction management, including design and <br />construction management for CWCB-approved change orders. <br />H. Interest during completion Of the PROJECT pursuant to Paragraph A.4 of the <br />Contract. <br />I. Legal services for reviewing engineering services contracts, reviewing this <br />Contract, reviewing construction contract documents, and for complying with all <br />federal, state, and local regulatory requirements. <br />J. Purchase of the water rights. <br />K. Pay off up to $1,400,000 of existing loan to Wells Fargo. <br />Appendix 1 to Loan Contract C150237 <br />Page 3 of 4 <br />