CWCB Water Provider Agreement

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C. Water Rights. No water rights or rights to use water are assigned or otherwise
provided pursuant to this Agreement, and no water right is created by this
Agreement. The water to be stored in Water Provider's Storage Space has
been or will be acquired by Water Provider separately from this Agreement.
This Agreement creates no limitation on the water rights that Water Provider
can use to fill its Storage Space, or on the types of uses to which such water
can be placed. Such uses are governed by the decrees for the various water
rights stored in Chatfield Reservoir, and Water Provider is responsible for
compliance with all applicable aspects of Colorado water law pertaining to the
storage of its water rights in Chatfield Reservoir.
D. Transfer of Storage Space.
1. Right of First Refusal. Water Provider's Storage Space shall be
transferrable to the fullest extent allowed by the Water Storage
Agreement, except that Water Provider shall not transfer all or a portion
of its Storage Space to any third party other than one of the other Water
Providers without first offering it to the other Water Providers at the same
price and on the same terms as a third party has offered in writing to
purchase such space. Written notice of such offer by a third party,
including the identity of the third party, shall be given to the other Water
Providers and CDNR. Each of the other Water Providers shall have 30
days after its respective receipt of written notice of the third party offer to
provide written notice to Water Provider and CDNR of its intent to
exercise its first right to purchase the Storage Space ("Notice Period"). In
the event more than one of the other Water Providers properly seeks to
exercise the first right to purchase within the Notice Period, Water
Provider's Storage Space (or the portions thereof being offered for sale)
shall be divided between the other Water Providers on mutually
agreeable terms, or in the absence of an agreement, in the same ratio as
the volume of storage space then owned by the other Water Providers
seeking to exercise the first right to purchase. Other Water Providers
seeking to acquire the offered Storage Space pursuant to this Paragraph
III.D.1 shall have 90 days following the end of the Notice Period in which
to close the transaction for the offered Storage Space which includes
completion of all items noted in "Process for Transfer" below. ("Closing
Period").
2. Transfer Limitation. Any transfer that results or will result in termination
of the Water Storage Agreement, or a suspension thereof by the
Government shall be void ab initio.
3. Transfer to Third Party. If none of the other Water Providers provides
proper written notice within the Notice Period and/or closes the
transaction for the offered Storage Space with the Closing Period, the
Water Provider may transfer its offered Storage Space to such third party
pursuant to the terms provided in the written notice and this Paragraph
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