C150317 Resolutions and Agreements

• Contract/PO #: CT2015-013
• Contract/PO #: C150317
• Contractor Name: Lake Durango Water Authority
• Contract Type: Loan
• Loan Projects - Doc Type: Contract Documents

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Water Conveyance System and the 125 Pipeline shall be subject to all the terms
and conditions of the Three-Party Agreement and the terms and conditions of all
Future Agreements. Additionally, if the terms in this Agreement conflict with the
terms or intent in the Third-Party Agreement or in Future Agreements,the terms of
the Third-Party Agreement and the Future Agreements shall control.
2. Future Agreements. LPWWA shall confer with LDWA prior to entering into any
Future Agreements that affect LDWA's rights under this Agreement. Unless
LDWA agrees, any Future Agreement shall not change LDWA's rights under this
Agreement.
3. 210 Pipeline.
a. Financial Contribution. LDWA shall contribute $1,500,000 to LPWWA
for the construction of the 210 Pipeline. These funds are currently held by
the Colorado Water Conservation Board ("CWCB") and will be released to
LDWA after requests for completed work are submitted. The Parties
anticipate that LDWA's funding will be tendered according to the payment
process flow chart attached hereto as Exhibit A and shall enter into a
subsequent agreement that further refines the process by which LDWA's
funds will be furnished to LPWWA. LDWA shall use its best efforts to
coordinate with the CWCB for the prompt release of funds. If LPWWA
(in accordance with the Three Party Agreement and the Escrow
Agreement) and LDWA determine that the total cost of the 210 Pipeline
requires less than $1,500,000 from LDWA, the LDWA funds not spent on
the 210 Pipeline shall be used for the design and construction of the 125
Pipeline and the Lake Durango Pipeline. The Parties intend to enter into a
future agreement that sets forth the terms regarding the use of LDWA's
financial contribution to the 210 Pipeline. This contribution does not
entitle LDWA to any water in Lake Nighthorse. It entitles LDWA to use of
a portion of LPWWA's capacity in the Water Conveyance system only.
The SUIT and the UMUT will each contribute $1,000,000 to the design
and construction of the 210 Pipeline, subject to the limitations of Sections
2.2(a) and 2.4 of the Three Party Agreement. Allocation of any cost
overruns on the 210 Pipeline shall be governed by Sections 2.2 (a), (e) of
the Three Party Agreement. All parties shall agree on allocation of cost
overruns and cost under runs prior to initiation of construction.