C153701 PIF Contract

• Contract/PO #: C153701
• Contractor Name: Fort Morgan, City of
• Contract Type: Loan
• Loan Projects - Doc Type: Contract Documents

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1 a
i. Upon payment of Allottee's Construction Costs, Allottee shall also 1) pay the SWSP
Enterprise five percent (5%) of the Allottee's Construction Costs to be used by the
SWSP Enterprise to pay for additional preconstruction costs not included in the
payments set forth in paragraph 6.a. above, if any, and to pay for change orders under
the construction contracts made necessary by changed or unforeseeable conditions,
delays or other claims by the contractors (provided that the SWSP Enterprise shall
reasonably pursue claims against third parties who may be liable for part or all of
said delays or claims) and 2) shall deposit in an interest bearing escrow account
mutually acceptable to the SWSP Enterprise and the Allottee an additional five percent
(5%) of the Allottee's Construction Costs (or Allottee shall deposit such amount in
twelve (12) equal monthly installments, at its option, commencing on the date of
payment of the Allottee's Construction Costs) to be released upon mutual agreement of
the SWSP Enterprise and Allottee for payment of change orders or other charges for
Pipeline construction. The escrow account shall be terminated and any unused funds
returned to the Allottee, and the SWSP Enterprise shall refund to the Allottee any
portion of the five percent (5%) paid to the SWSP Enterprise pursuant to item 1) above
that is not used, when construction of the Pipeline has been finally completed, all
contractors have been finally paid and all claims have been settled.
ii such time that it appears that the five percent (5%) fund provided in paragraph
IP1., item 1), will be depleted, the SWSP Enterprise shall give at least fifteen
1+'a, days advance written notice to all Participants accompanied by reasonable
inform. .: regarding past change orders and the possible need for additional change
:,s,`,` d ay request additional contributions from the escrow account described
'.•r. ,0.."..b.i., item 2), or from other sources if the escrow account has been
a`_ 4 :. =I. In the event that no Participant agrees to provide the additional funds,
the SWSP Enterprise shall either complete construction of the Project, if possible,
with the remaining funds available to it or proceed in accordance with paragraph 17
below. In the event that one or more Participants agrees to provide the additional
funds, the SWSP Enterprise shall request in writing that all Participants provide
their pro rata share of the additional funds and proceed pursuant to paragraph
6.b.iii. below.
iii. Within thirty (30) days after the SWSP Enterprise's written request pursuant to
paragraph 6.b.ii. above, Allottee shall pay the SWSP Enterprise such additional funds
as are necessary to complete construction of the Pipeline. The requirement to pay
such additional sums shall be subject to annual appropriations or budgets of such sums
by the Allottee. If Allottee is unable or unwilling to make such requested payments,
Allottee shall automatically lose a portion of its allotted capacity in the Pipeline
pursuant to the procedures set out in paragraph 8.b.i. below, and the Allottee shall
have no further obligation to pay such sums or additional future sums related to the
lost portions of its allotted capacity.
iv. The SWSP Enterprise shall deposit all funds provided by the Allottee pursuant to
paragraphs 6.b., 6.b.i., 6.b.ii. and 6.b.iii. above in an interest bearing account and
shall credit the Allottee with the interest earned on said funds. 1
v. Allottee agrees to make payment of, pursuant to the procedures set out in paragraph
8.a. below and subject to paragraph 8.b. below, its share of annual charges and costs
incurred by the SWSP Enterprise in the administration, operation, maintenance, repair,
and replacement of the Pipeline and such other annual costs as may arise from and be
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