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DEPOSIT ACCOUNT AGREEMENT AND DISCLOSURE
<br />Depositor: TOWN OF JOHNSTOWN/COLORADO WATER Financial UNION COLONY BANK
<br />CONSERVATION BOARD Institution: Johnstown
<br />PO BOX 609 100 Johnstown Center Dr.
<br />JOHNSTOWN, CO 80534 Johnstown, CO 80534
<br />INTRODUCTION. In this Deposit Account Agreement and Disclosure, each and all of the depositors are referred to as "you" and "your." The Financial
<br />Institution is referred to as "we," "our," and "us." This Deposit Account Agreement contains the terms and conditions governing certain of your deposit
<br />accounts with us. As used in this document, the term "Agreement" means this document, the signature card, a rate and fee schedule (the "Schedule "),
<br />Truth in Savings disclosures, a Funds Availability Policy Disclosure, and an Electronic Funds Transfer Agreement and Disclosure, if applicable. Each of
<br />you signing the signature card for a deposit account acknowledges receipt of this Agreement, and agrees to the terms set forth in the Agreement, as
<br />amended from time to time. You agree that we may waive, in our sole discretion, any fee, charge, term, or condition set forth in this Agreement at the
<br />time the Account is opened or subsequent thereto, on a one -time basis or for any period or duration, without changing the terms of the Agreement or
<br />your obligation to be bound by the Agreement, and we are not obligated to provide similar waivers in the future or waive our rights to enforce the terms
<br />of this Agreement.
<br />DATE ACCOUNT OPENED. If you open an account with us after 5:00 PM on a business day that we are open, we will consider that the transaction
<br />was made at the opening of the next business day for account opening, effective date and issue date purposes.
<br />DEPOSIT ACCOUNTS. From time to time, we may offer or you may open a variety of deposit accounts. Each such account (the "Account ") is subject
<br />to the general terms and conditions and any specific terms and conditions relating to that type of account that may be set forth in this Agreement. If
<br />you open multiple Accounts, you may receive Schedule information for each Account, but this Agreement will cover all your Accounts with us. Each of
<br />you will be jointly and severally liable to us for debit balances in the Account, including without limitation overdrafts and Account charges, and jointly
<br />and severally promise to pay, upon demand, any and all debit balances, all fees and charges, and our reasonable attorneys' fees and costs and
<br />expenses of collection, including but not limited to those incurred at trial and on any appeal.
<br />INTEREST. If your Account earns interest, the following information applies: (a) Payment of Interest. We will pay interest at the annual rate specified
<br />on the Schedule, which does not reflect compounding ( "Interest Rate "). The Schedule also sets forth the frequency of interest payments, the frequency
<br />of any compounding and crediting, the interest accrual basis, the balance on which interest will be paid, and any minimum balance requirements. (b)
<br />Minimum Balance Requirements. The Schedule may specify a minimum balance that you are required to maintain in your Account. If the minimum
<br />balance is not maintained during a specified period, we, at our option, may not pay interest on your Account and/or may charge a fee for that period.
<br />You should review any minimum balance requirements on the Schedule. (c) Initial Interest Rate. The initial interest rate is the current annual rate of
<br />interest that we will pay on the specified balance in your Account. We may pay interest at different rates, depending on the amount deposited and the
<br />type of depositor (individual, business, non - profit organization, etc.). (d) Interest Compounding and Crediting. The Schedule will indicate the
<br />interest compounding and crediting frequency for your Account (if any). Compounding generally means that interest is being accrued on earned
<br />interest. Interest may be compounded more frequently than interest is credited to your Account. (e) Interest Accrual. We may accrue interest on your
<br />Account more frequently than we pay or credit interest. The interest that has been calculated, but not paid to the Account, is called accrued unpaid
<br />interest. (f) Changes. We have the right to change the rates and fees in accordance with the terms of the Schedule. We also reserve the right to
<br />change any other term of this Agreement at our sole discretion.
<br />FEES AND CHARGES. Subject to applicable law, you agree to pay us the fees and charges shown in the Schedules as are applicable to your Account
<br />or for other services performed by us. You agree the fees and charges may be changed by us from time to time and authorize us to charge your
<br />account for their payment whether or not each charge results in an overdraft of your account. Existing and future charges may be based upon the
<br />overall costs of providing account services and may or may not be based upon the direct cost or expense associated with providing the particular
<br />service involved. The charges may be based on consideration of profit, competitive position, deterrence of misuse of account privileges by customers,
<br />and the safety and soundness of the financial institution. We will notify you of the changes, to the extent required by law.
<br />BALANCE METHODS. As used in this Agreement, the "average daily balance" method means "the application of a periodic rate to the average daily
<br />balance in the account for the period, determined by adding the full amount of principal in the account for each day of the period and dividing that
<br />figure by the number of days in the period." The "daily balance" method means "the application of a daily periodic rate to the full amount of principal in
<br />the account each day."
<br />DEPOSIT RULES. The following terms apply to deposits made to your Account: (a) Endorsements. You authorize us to accept transfers, checks,
<br />and other items for deposit to your Account if they are made payable to, or to the order of, any one or more of you, whether or not they are endorsed
<br />by you. You authorize us to supply missing endorsements, and you warrant that all endorsements are genuine. All checks and other items deposited
<br />to your Account should be endorsed payable to the order of us for deposit only, followed by your signature and Account number. Al! endorsements
<br />must appear on the back of the check or other item within the first 1 -1/2 inches from the left side of the item when looking at it from the front. While we
<br />may accept non - conforming endorsements, you will be responsible for any loss incurred by us due to the delay in processing or returning the item for
<br />payment. (b) Final Payment. All non -cash items (for example, checks) deposited to your Account are posted subject to our receipt of final payment
<br />by the payor bank. Upon receipt of final payment, the item becomes a collected item. If final payment is not received or if any item you have deposited
<br />or cashed is charged back to us for any reason, you authorize us to charge any of your Accounts, without prior notice and at any time, for the amount
<br />of the returned item, our returned item fee, any interest paid on that item, and any other fee we pay or incur. We reserve the right to refuse any item for
<br />deposit into your Account. (c) Direct Deposits. If we offer direct deposit services for automatic preauthorized deposits to your Account of Social
<br />Security payments or automatic transfers from your other accounts with us, you must notify us at least thirty (30) days prior to the next scheduled direct
<br />deposit or preauthorized transfer if you wish to cancel the direct deposit or transfer service. If any amount deposited must be returned to the
<br />government for any reason, you authorize us to deduct the amount from your Account as provided in (b) above. (d) Crediting of Deposits. The
<br />Funds Availability Policy Disclosure provided to you reflects our policies relating to the availability of deposited funds.
<br />WITHDRAWAL RULES. The following terms apply to withdrawals from your Account: (a) Manner of Withdrawal. You may make withdrawals from
<br />your Account in any manner that is permitted by us for the type of Account that you have opened. Withdrawals by mail will be posted to your Account
<br />as of the day the transaction is processed by us. We may refuse to accept any check other than standard checks provided by us, or approved by us in
<br />advance. Withdrawals and transfers from your Account may be restricted as provided in the Agreement, or in the Schedule, or by applicable law. (b)
<br />Withdrawal Restrictions and Overdrafts. We do not have to allow you to make a withdrawal from your Account if you don't have sufficient available
<br />funds in the Account to cover the full amount of the withdrawal. If there are available funds to cover some, but not all, of the withdrawals or other
<br />debits (such as charges) to your Account, we may post those withdrawals or other debits for which there are sufficient available funds in any order we
<br />may choose at our sole discretion. If there are insufficient available funds to cover some of the withdrawals or debits presented against your Account,
<br />such items will be handled in accordance with our overdraft procedures or in accordance with any other agreement you may have with us (such as an
<br />overdraft protection program). Even if we choose to pay one or more overdrafts, we are not obligated to cover any future overdrafts. We may
<br />determine the balance of your account in connection with determining whether payment of an item will create an overdraft at any time between the time
<br />we receive the item and the deadline for us to take action on the item. We are not required to determine your account balance more than one (1) time
<br />during this period. A service charge may be assessed on any item that will overdraw the available account balance, regardless of whether we pay or
<br />dishonor (return) the item. You agree, immediately upon notice from us, to deposit funds sufficient to cover any overdraft plus service charges, if
<br />required. We will not be liable for the dishonor of any item when the dishonor occurs because we setoff a debt against your account. We also may
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