C153718 Paid in Full Contract

• Contract/PO #: C153718
• Contractor Name: Morgan County Quality Water District
• Contract Type: Loan
• Loan Projects - Doc Type: Contract Documents

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A RESOLUTION OF THE BOARD OF DIRECTORS OF THE MORGAN COUNTY QUALITY
WATER DISTRICT ("DISTRICT) APPROVING A LOAN FROM THE COLORADO WATER
CONSERVATION BOARD("CWCB')IN THE AMOUNT OF$3,000,000 TO BE USED FOR THE PURCHASE
OF WATER AND WATER RIGHTS AND RELATED LAND,MINERALS AND MINERAL RIGHTS.
WHEREAS, the District held an election on November ; ; 9 , wherein the ballot issue
of increasing the District's debt for the purpose of acquirin: a 4:4.• ;id d a r rights and related
land, minerals and mineral rights was submitted ane,:, e 6of the District;
and
WHEREAS, the District has been approved for a lo. ' tir' ` t • Three Million
Dollars ($3,000,000) at four percent (4%) interest per annum for a F.x;A f. (30) years by
the CWCB at its November 6, 1995 board meeting and by the Colora•I -ral Assembly
under 1995 Colo. Sess. Laws, Section 1, Chapter 117, as amended by Senate Bill 96-153; and
WHEREAS, the District will use the loan proceeds to refinance the purchase of said
water and water rights and related land, minerals and mineral rights.
NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE
MORGAN COUNTY QUALITY WATER DISTRICT THAT
1. The District is hereby authorized to enter into and comply with the terms of a contract
with the CWCB for this loan debt in the form attached hereto, and to pay the indebtedness.
2. The District shall charge water rates, fees and other charges in an amount sufficient to
repay the annual amounts due under the loan contract, and to establish a reserve debt service
fund equivalent to one-half of an annual loan payment within a period of five (5)years.
3. The District shall place the revenues from the water rates, fees and other charges into
a special account, separate and apart from other District revenues, to assure repayment of the
loan to the CWCB:
4. The District shall execute a Uniform Commercial Code Security Agreement and
Financing Statement to secure said revenues in favor of the CWCB, and shall execute a deed of
trust conveying a Oecurity interest in the water and water rights and related land, minerals and
mineral rights purchased by the District, in the form hereto attached, which purchase shall be
refinanced with the proceeds of this loan.
5. This resolution shall be irrepealable for the term of the loan contract with the CWCB
for the Three Millin Dollars ($3,000,000).
APPENDIX B