C153773 PIF Contract - Laserfiche WebLink

Home Browse Search

SECURITY AGREEMENT DEBTOR: The Town of Morrison P.O. Box 95 Morrison, Colorado 80465 FEDERAL ID No: 84- 6002971 SECURED PARTY: STATE OF COLORADO for the use and benefit of The Department of Natural Resources, Colorado Water Conservation Board 1313 Sherman Street, Room 721 Denver, CO 80203 COLLATERAL: Contract Rights (Code: 030) COUNTY: Jefferson (Code: 11) 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: Revenues pledged to repay the amount loaned to Debtor by Secured Party, as described in the Pledge of Revenues Provisions contained in Loan Contract No. C153773 (CONTRACT). To secure payment of the indebtedness evidenced by certain Promissory Note which is a part of CONTRACT between the above named parties herewith, payable to the SECURED PARTY as follows: the loan amount of $504,000 with interest at a rate of 5% per annum, payable in 30 annual installments or until all principal and interest are paid in full, in accordance with said Promisso DEBTOR EXPRESSLY WARRANTS AND COVENA �� -`,.. 1 . That except for the security interest granted hereby i , t . e extent that this agreement states that the COLLATERAL is to be acquired aftertfe,e hepfv ner of the COLLATERAL free from any adverse lien, security interest or encuml}r. he 'es, anti that'hEBTOR will defend the COLLATERAL 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, if DEBTOR is a corporation, its certificate and articles of incorporation and by -laws do not prohibit any term or condition of this agreement. 4. 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. 5. To pay all taxes and assessments of every nature which may be levied or assessed against the COLLATERAL. 6. 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. 7. 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. Appendix 4 to Loan Contract #C153773