structure most recently adopted. No more than 10% of total revenues may
<br /> originate from tap and/or connection fees.
<br /> The BORROWER acknowledges and understands that any request for approval
<br /> of the issuance of additional debt must be reviewed and approved by the
<br /> CWCB prior to the issuance of any additional debt.
<br /> f. Annual Statement of Debt Coverage. Each year during the term of this
<br /> CONTRACT, the BORROWER shall submit to the CWCB an annual audit report.
<br /> g. Pledged Property. The BORROWER irrevocably pledges to the CWCB, for
<br /> purposes of repayment of this loan, an interest in the Colorado-Big Thompson
<br /> (C-BT) contractual rights for water, administered through the Northern Water
<br /> Conservancy District (Northern Water). The PLEDGED PROPERTY as further
<br /> described in Section 6 (COLLATERAL) of the PROJECT SUMMARY is authorized by
<br /> the BORROWER'S AUTHORIZING RESOLUTION, and secured by the DEED OF TRUST
<br /> (APPENDIX 5).
<br /> 9. Pledged Property during Loan Repayment. The BORROWER shall not sell, convey,
<br /> assign, grant, transfer, mortgage, pledge, encumber, or otherwise dispose of the
<br /> PLEDGED PROPERTY so long as any of the principal, accrued interest, and late
<br /> charges, if any, on this loan remain unpaid, without the prior written concurrence of
<br /> the CWCB. In the event of any such sale, transfer or encumbrance without the
<br /> CWCB's written concurrence, the CWCB may at any time thereafter declare all
<br /> outstanding principal, interest, and late charges, if any, on this loan immediately due
<br /> and payable.
<br /> 10.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, so long as any of the principal, accrued interest, and late
<br /> charges, if any, on this loan remain unpaid, without the prior written concurrence of
<br /> the CWCB.
<br /> 11.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 /> 12.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.
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