C150359 Attorny Opinion Letter

• Contract/PO #: CT2015-054
• Contract/PO #: C150359
• Contractor Name: Fowler, Town of
• Contract Type: Loan
• Water District: 17
• County: Otero
• Loan Projects - Doc Type: Contract Documents

Daniel R Hyatt
Attorney at Law
1 Cactus Drive - La Junta, Colorado 81050
Telephone: [phone] Email: [e-mail]
October 15, 2013
Colorado Water Conservation Board
Department of Natural Resources
1580 Logal ST., STE 600
Denver,CO 80203
RE;Legal Opinion on Contract No. C150359
Gentleperson:
At a properly noticed regular meeting of the Town of Fowler Board of Trustees on October 14,2013,
the following members were present: Mayor Pro-Tem,Chuck Hitchcock,trustee Jason Hagerman,
trustee Keith Lance,trustee Randy A. McKown,trustee Emil S.Rogge,and trustee Travis True.
Mayor Patrick K. Christensen,Jr.appeared late and did not vote on any matters relevant to this letter.
Ordinance Number 688-13 titled AN ORDINANCE ESTABLISHING THE TOWN OF FOWLER
WATER ACTIVITY ENTERPRISE PURSUANT TO C.R.S. §37-34.1-101 ET. SEQ.was properly
introduced and adopted by a unanimous affirmative vote. This ordinance established the Town of
Fowler's Water Activity Enterprise and provides that the Board of Trustees serves as the governing
body of the Water Activity Enterprise.
The Board of Trustees sitting as the governing body of the Water Activity Fund then adopted
Resolution WAE 001-13 titled A RESOLUTION OF THE TOWN OF FOWLER BOARD OF
TRUSTEES ACTING BY AND THROUGH ITS WATER ACTIVITY ENTERPRISE
AUTHORIZING A LOAN TO CONSTRUCT A RAW WATER LINE FOR AUGMENTATION
AND PLEDGING WATER ACTIVITY ENTERPRISE REVENUES by unanimous affirmative
vote. The resolution authorized the town of Fowler Mayor,Patrick K. Christensen,to execute
Contract Number C 150395 and the Promissory Note,Appendix 2,and Security Agreement,Appendix
4 and all other documents required by the loan contract.
Following the adoption of Resolution WAE 001-13 and acting on authority delegated by the
resolution,Mayor Patrick K. Christensen,Jr. executed Loan Contract#C150359 between the Town of
Fowler and the Water Conservation Board,an agency of the State of Colorado with a loan amount of
$277,245 consisting of a project amount of$274,500 and a loan service fee of$2,745. The mayor
also executed a Promissory Note,labeled as Appendix 2 to Loan Contract C150359 and a Security
Agreement labeled as Appendix 4 to Loan Contract C150359.
IT IS MY OPINION based upon a review of the records of the Town of Fowler,the ordinances and
resolutions of the Town of Fowler,the Colorado Revised Statutes,the Colorado Constitution and
Colorado case law as follows.