Laserfiche WebLink
1111 <br /> • <br /> the STATE without evidence of said current coverage. Throughout the life of this contract, the STATE <br /> reserves the right to increase the above amount of insurance so that said amounts at a minimum <br /> correspond to the amount established by the Colorado Governmental Immunity Act, now and as <br /> hereafter amended. <br /> 7. BORROWER'S authority to contract. The BORROWER warrants that its stockholders and Board of <br /> Directors have, pursuant to the BORROWER'S statutory authority, articles of incorporation, and by-laws, <br /> duly adopted resolutions that are irrepealable for the term of this loan contract, authorizing the <br /> BORROWER'S President and Secretary to do the following on behalf of the BORROWER: <br /> a. To enter into and comply with the terms of this contract and the Promissory Note; <br /> b. To levy assessments in an amount sufficient to repay the annual amounts due under this <br /> contract, and to make the annual deposits to the reserve debt service fund; <br /> c. To make annual payments in accordance with the Promissory Note and to make annual deposits <br /> into a reserve debt service fund in accordance with the Pledge of Revenue Provisions herein; <br /> d. To place the assessment revenues pledged for the annual loan payments and the annual reserve <br /> debt service fund deposits into a special account separate and apart from other BORROWER <br /> revenues; <br /> e. To execute the deed of trust and the conditional assignment of lease proceeds to provide the <br /> security as specified in the Collateral Provisions of this contract, <br /> f. To execute the security agreements to secure the pledged revenues in accordance with the <br /> Pledge of Revenue Provisions herein and to secure the revenues from the lease of augmentation <br /> water in accordance with the Collateral Provisions herein. <br /> Said resolutions are attached hereto as APPENDIX A and incorporated herein. <br /> 8. Attorney's opinion letter. Prior to the execution of this contract by the STATE, the BORROWER shall <br /> submit to the STATE a letter from its attorney stating that it is the attorney's opinion that the person <br /> signing for the BORROWER was duly elected or appointed and has authority to sign such documents <br /> on behalf of the BORROWER and to bind the BORROWER; that the BORROWER'S shareholders and <br /> board of directors have validly adopted resolutions approving this contract; that there are no <br /> provisions in the BORROWER'S articles of incorporation or by-laws or any state or local law that prevent <br /> this contract from binding the BORROWER; and that the contract will be valid and binding against the <br /> BORROWER if entered into by the STATE. <br /> 1 r� <br /> 9. Promissory Note Provisions. The Promissory Note settlj g A h the,,terms of repayment and <br /> evidencing this debt is attached as Appendix B and incorporated herein. <br /> a. Revision Of Promissory Note. In the event the Borrower dges L use 411 of the loan funds for <br /> construction of the Project, the Promissory Note may lie'etjustWiih:t,iccfrdlance with the Changes <br /> Provisions of this contract. <br /> b. Interest During Construction. As the loan funds are disbursed by the STATE to the BORROWER <br /> during construction, interest shall accrue at the rate of 3 3/4%. The amount of the interest accrued <br /> during construction shall be calculated by the STATE and the BORROWER shall repay that amount <br /> to the STATE either within ten (10) days after the date the STATE determines that the PROJECT has <br /> been substantially completed, or, at the STATE'S discretion, the amount shall be deducted from the <br /> final disbursement of loan funds that the STATE makes to the BORROWER. <br /> 10. Changes. The STATE may decrease the amount of the loan under this contract or extend the time for <br /> completion of the PROJECT through a REVISION LETTER, approved by the State Controller or his <br /> designee, in the form attached hereto as Appendix C. The REVISION LETTER shall not be valid until <br /> approved by the State Controller or such assistant as he may designate. Upon proper execution and <br /> approval, the REVISION LETTER shall become an amendment to this contract and, except for the <br /> Special Provisions of the contract, the REVISION LETTER shall supersede the contract in the event of a <br /> The Excelsior Irrigating Company Page 4 of 12 Loan Contract <br />