C150157 contract docs

• Contract/PO #: C150157
• Contractor Name: Grand Mesa Reservoir Company
• Contract Type: Loan
• County: Mesa
• Loan Projects - Doc Type: Contract Documents

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SECURITY AGREEMENT
(PLEDGE OF REVENUES�
DATE: DECEMBER 15, 2003
DEBTOR: THE GRAND MESA RESERVOIR COMPANY
SECURED PARTY: COLORADO WATER CONSERVATION BOARD
1313 SHERMAN STREET, ROOM 721
DENVER, CO 80203
PROMISSORY NOTE: $181,800, DATED DECEMBER 15, 2003
TERMS OF REPAYMENT: 2.40% PER ANNUM FOR 20 YEARS
LOAN CONTRACT: C150157, DATED DECEMBER 15, 2003
Co��aTERa,�: All revenues derived from assessments on stock and all of
Debtor's right to receive said assessment revenues to repay
the loan as described in Pledge of Property provisions of the
LOAN CONTRACT.
To secure payment of the loan evidenced by the PROnnissoRY NoTE pa able in accordance
Wlth the TERMS OF REPAYMENT, or until all principal, interest, and late c rge 'f any, are paid in
full, the DEBTOR grants to SECURED PARTI� a securit nterest in the bove described
COLLATERAL.
DEBTOR EXPRESSLY W TS AND OVE NTS:
1. That except for the s ri interest ant hereby and any other security interests
described in Section 5 of Loan Contra Project Summary, DEBTOR is the owner of the
Co��aTERa� free from any a verse lien, security interest or encumbrances; and that DEBTOR
will defend the Co��aTEwo,� 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 DEBTOR will not violate any law or
agreement governing DEBTOR or to which DEBTOR is a party.
3. To not permit or allow any adverse lien, security interest or encumbrance whatsoever upon
the Co�u�TEwo,� and not to permit the same to be attached or replevined.
4. That by its acceptance of the loan money pursuant to the terms of the CoNTw4cT and by its
representations herein, DEBTOR shall be estopped from asserting for any reason that it is not
authorized to grant a security interest in the CouATERa� pursuant to the terms of this
agreement.
5. To pay all taxes and assessments of every nature which may be levied or assessed against
tI1@ COLLATERAL.
6. That the DEBroR's articles of incorporation and by-laws do not prohibit any term or condition
of this agreement.
UNTIL DEFAULT DEBTOR may have possession of the COLLATERAL, provided that
DEeroR keeps the Co�t�,TE�� in an account separate from other revenues of DESTOR and
does not use the Co�i.aTERa� for any purpose not permitted by the CoNTwacT. Upon default,
SECURE� PARN shall have the immediate right to the possession of the Co��rERa�.
Appendix 4 to Loan Contract C150157