C153670B PIF Contract

• Contract/PO #: C150670B
• Contractor Name: Ute Water Conservancy District
• Contract Type: Loan
• Water District: 72
• County: Mesa
• Loan Projects - Doc Type: Contract Documents

AMENDED SECURITY AGREEMENT
DEBTOR: Ute Water Activity Enterprise
P.O. Box 460
Grand Junction, CO 81502 -0460
FEDERAL TAx NUMBER: 84- 6013629
COUNTY: MESA (CODE: 08)
SECURED PARTY: State of Colorado - Colorado Water Conservation Board
1313 Sherman Street, Room 721
Denver, CO 80203
DEBTOR, for consideration, hereby grants to SECURED PARTY a security interest in the following property
and any and all additions, accessions and substitutions thereto or therefor, hereinafter called the
COLLATERAL: Water system revenues pledged to repay the indebtedness on the amount loaned to
DEBTOR by SECURED PARTY, as described in pledge of revenues provisions in contract No. C153670B
(CONTRACT).
To secure payment of the indebtedness evidenced by the Promissory Note between the above named
parties in the total amount of $10,137,500 at an interest rate of 4.936% per annum for a term of 30 years,
payable by DEBTOR to the SECURED PARTY until all principal, interest, and late charges, if any, are paid in full
in accordance with said Promissory Note. This security agreement amends the security agreement dated
March 15, 1995, to document the increase in the loan amount of $2,600,000 for a total loan amount of
$10,137,500.00.
DEBTOR EXPRESSLY WARRANTS ANI�,QOV NTS
1. That except for the security inter t grited�h` TOR is, or to the extent that this agreement
states that the COLLATERAL is to acs fired f dF e date hereof, will be, the owner of the
COLLATERAL free from any adverse IiEin 6�.ii4ty interest or encumbrances, except for DEBTOR'S
Water Revenue Refunding Bon s,,, 1995 and Series 1997 and existing loans from SECURED
PARTY; and that DEBTOR will de the LLATERAL against all claims and demands of all persons at
anytime 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. That by its acceptance of the loan money pursuant to the terms of the CONTRACT 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 COLLATERAL pursuant to the terms of this,.,agreement
4. To not permit or allow any adverse lien, security interest or encumbrance whatsoever upon the
COLLATERAL and not to permit the same to be attached or replevined, without the prior written consent
Of SECURED PARTY.
5. That the DEBTOR will not use the COLLATERAL in violation of any applicable statutes, regulations,
ordinances, articles of incorporation or by -laws.
UNTIL DEFAULT DEBTOR may have possession of the COLLATERAL, provided that DEBTOR keeps
the COLLATERAL in an account separate from other revenues of DEBTOR and .does -not use 'the
COLLATERAL for any purpose not permitted by the CONTRACT. Upon default, SECURED PARTY shall have
the immediate right to the possession of the COLLATERAL.
Attachment D to Contract C153670B Amendment No. 3