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certificate demonstrating Borrower's ability or inability to then grant to CWCB,
<br /> for purposes of this LOAN CONTRACT, a subordinate lien on Borrower's net
<br /> revenues heretofore pledged by Borrower to the Colorado Water Resources
<br /> and Power Development Authority and to the Northern Colorado Water
<br /> Conservancy District in connection with the loans used by Borrower to finance
<br /> Borrower's Carter Lake Hydro Facility Project. Borrower hereby covenants
<br /> that, upon the delivery of any such certificate demonstrating such ability, and
<br /> the then delivery to Borrower by CWCB of a request in writing to do so,
<br /> Borrower will proceed to grant CWCB a subordinate lien on the net revenues
<br /> of the Carter Lake Hydro Facility Project.
<br /> 9. Pledged Revenues During Loan Repayment. The BORROWER shall not sell,
<br /> convey, assign, grant, transfer, mortgage, pledge, encumber, or otherwise dispose
<br /> of the PLEDGED REVENUES, except as otherwise provided in this CONTRACT, SO long
<br /> as any of the principal, accrued interest, and late charges, if any, on this loan remain
<br /> unpaid, without the prior written concurrence of the CWCB.
<br /> 10.Release After Loan Is Repaid. Upon complete repayment to the CWCB of the entire
<br /> principal, all accrued interest, and late charges, if any, as specified in the PROMISSORY
<br /> NOTE, the CWCB agrees to release and terminate any and all of the CWCB's right,
<br /> title, and interest in and to the PLEDGED REVENUES.
<br /> 11.Warranties.
<br /> a. The BORROWER warrants that, by acceptance of the LOAN under this CONTRACT
<br /> and by its representations herein, the BORROWER shall be estopped from
<br /> asserting for any reason that it is not authorized or obligated to repay the LOAN
<br /> to the CWCB as required by this CONTRACT.
<br /> b. The BORROWER warrants that it has not employed or retained any company or
<br /> person, other than a bona fide employee working solely for the BORROWER, to
<br /> solicit or secure this CONTRACT and has not paid or agreed to pay any person,
<br /> company, corporation, individual, or firm, other than a bona fide employee, any
<br /> fee, commission, percentage, gift, or other consideration contingent upon or
<br /> resulting from the award or the making of this CONTRACT.
<br /> C. The BORROWER warrants that the PLEDGED REVENUES (i.e. COLLATERAL) for
<br /> this LOAN are not encumbered by any other deeds of trust or liens of any party
<br /> other than the CWCB or in any other manner.
<br /> 12.Remedies for Default. Upon default in the payments to be made by the BORROWER
<br /> under this CONTRACT, or default in the performance of any covenant or agreement
<br /> contained herein, the CWCB, at its option, may:
<br /> a. suspend this CONTRACT and withhold further loan disbursements pending
<br /> corrective action by the BORROWER, and if the BORROWER does not cure the
<br /> default as provided for below, permanently cease loan disbursements and
<br /> deem the PROJECT substantially complete;
<br /> b. declare the entire principal amount, accrued interest, and late charges, if any,
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