CT2015-174 Contract

• Contract/PO #: CT2015-174
• Contractor Name: Uncompahgre Valley Water Users Association
• Contract Type: Loan
• County: Montrose
• Loan Projects - Doc Type: Contract Documents

PROMISSORY NOTE
Date: November 4, 2015
Borrower: Uncompahgre Valley Water Users Association,
a Colorado nonprofit corporation
Principal Amount: $6,999,300.00
Interest Rate: 2.0% per annum
Term of Repayment: 20 years
Contract Number: CT2015-174
Loan Payment: $428,054.22
Payment Initiation Date*:
Maturity Date*:
* Payment Initiation Date and Maturity Date fields are filled in after the project has been
substantially completed.
1. FOR VALUE RECEIVED, the BORROWER promises to pay the Colorado Water Conservation Board
("CWCB"), the Principal Amount plus Interest for the Term of Repayment, pursuant to the LOAN
CONTRACT and this PROMISSORY NOTE.
2. Principal and interest shall be payable in annual equal payments as set forth in "Loan Payment"
above, with the first payment due and payable one year from the Payment Initiation Date (the
date the CWCB determines that the project is substantially complete), and annually thereafter.
All principal, interest, and late charges, if any, then remaining unpaid shall be due and payable
on or before the Maturity Date.
3. Payments shall be made to the Colorado Water Conservation Board at 1313 Sherman Street,
Room 718, Denver, Colorado 80203.
4. The CWCB may impose a late charge in the amount of 5%of the annual payment if the CWCB
does not receive the annual payment within 15 calendar days of the due date.
5. This PROMISSORY NOTE may be prepaid in whole or in part at any time without premium or
penalty. Any partial prepayment shall not postpone the due date of any subsequent payments
or change the amount of such payments.
6. All payments received shall be applied first to late charges, if any, next to accrued interest and
then to reduce the principal amount.
7. This PROMISSORY NOTE is issued pursuant to the LOAN CONTRACT between the CWCB and
the BORROWER. The LOAN CONTRACT creates security interests in favor of the CWCB to secure
the prompt payment of all amounts that may become due hereunder. Said security interests
are evidenced by a SECURITY AGREEMENT and DEED OF TRUST ("SECURITY INSTRUMENTS") Of
even date and amount herewith and cover certain revenues, real property, water rights and/or
accounts of the BORROWER. The LOAN CONTRACT and SECURITY INSTRUMENTS grant additional
rights to the CWCB, including the right to accelerate the maturity of this PROMISSORY NOTE in
certain events.
Appendix 2
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