CT2016-2040 Contract

• Contract/PO #: CT2016-2040
• Contractor Name: Brighton Ditch Company
• Contract Type: Loan
• County: Adams
• Loan Projects - Doc Type: Contract Documents

and/or commercial and/or industrial rates, the BORROWER agrees to notify the CWCB of
any change of the ownership of the water rights represented by its shares from irrigation
to municipal or commercial or industrial use. The interest rate shall be revised when said
change in ownership would increase the original interest rate by 0.5% or more. The
parties shall amend this CONTRACT including a revised PROMISSORY NOTE, to effect said
change in interest rate.
14. Remedies for Default. Upon default in the payments to be made by the BORROWER under
this CONTRACT, or default in the performance of any covenant or agreement contained
herein, the CWCB, at its option, may:
a. suspend this CONTRACT and withhold further loan disbursements pending corrective
action by the BORROWER, and if the BORROWER does not cure the default as provided for
below, permanently cease loan disbursements and deem the PROJECT substantially
complete;
b. declare the entire principal amount, accrued interest, and late charges, if any, then
outstanding immediately due and payable;
c. exercise its rights under any appendices to this CONTRACT, including, but not limited to,
the PROMISSORY NOTE, SECURITY AGREEMENT, and/or any instrument securing collateral;
and
d. take any other appropriate action.
The CWCB shall provide written notice to the BORROWER of any such default and shall give
the BORROWER an opportunity to cure within thirty (30) days of receipt of such notice. All
remedies described herein may be simultaneously or selectively and successively
enforced. The CWCB may enforce the provisions of this CONTRACT at its option without
regard to prior waivers of previous defaults by the BORROWER, through judicial proceedings
to require specific performance of this CONTRACT, or by such other proceedings in law or
equity as may be deemed necessary by the CWCB to ensure compliance with provisions
of this CONTRACT and the laws and regulations under which this CONTRACT is executed.
The CWCB's exercise of any or all of the remedies described herein shall not relieve the
BORROWER of any of its duties and obligations under this CONTRACT.
15. Operation of PROJECT. The BORROWER shall, without expense or legal liability to the
CWCB, manage, operate, and maintain the PROJECT continuously in an efficient and
economical manner.
16. BORROWER'S Liability Insurance.
a. Upon execution of this CONTRACT and continuing until complete repayment of the loan is
made to the CWCB, the BORROWER shall maintain commercial general liability
insurance, with a company that is satisfactory to the CWCB, with minimum limits of
$1,000,000 combined single limit for each occurrence and $2,000,000 general
aggregate, including products/completed operations and personal injury.
b. Prior to the disbursement of any loan funds, the BORROWER shall provide the CWCB with
an Acord Form 25 evidencing said insurance and shall provide the CWCB with
documentation of renewals of said insurance.
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