C153797 Paid in Full Loan Compliance Confirmation

• Contract/PO #: C153797
• Contractor Name: Excelsior Irrigating Company
• Contract Type: Loan
• Loan Projects - Doc Type: Contract Documents

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UCC-1 Form with the Colorado Secretary of State to perfect its security interest in the pledged
revenues.
c. Assessments for repayment of the loan. The BORROWER shall, pursuant to its statutory
authority, articles of incorporation and by-laws, and as authorized by its resolutions, annually seek
from its stockholders sufficient assessments, and take all other necessary actions consistent
therewith to levy assessments sufficient to pay this contract loan in a timely manner and as
required by the terms and conditions of this contract. Should the stockholders fail to set any such
assessments, the BORROWER shall make adequate assessments for the purpose of repaying its
obligations under this contract pursuant to § 7-42-104(2), C.R.S. (1986). In addition, in the event
the assessments levied by the BORROWER become insufficient to assure repayment to the STATE
as required by the terms and conditions of this contract, then the BORROWER shall immediately
take all necessary action consistent with its statutory authority, its articles of incorporation, by-
laws and resolutions, including but not limited to, levying additional assessments to raise sufficient
revenue to assure repayment of the loan to the STATE.
d. Assessments for operations, maintenance and reserves. The BORROWER shall, pursuant to
its statutory authority, articles of incorporation, by-laws, and resolutions, levy assessments from
time to time as necessary to provide sufficient funds for adequate operation and maintenance,
emergency repair services, obsolescence reserves and debt reserves. BORROWER shall deposit
an amount equal to one-tenth of an annual payment into its reserve debt service fund on an
annual basis for the first ten years of this loan.
17. Progress reports. The BORROWER shall, with the assistance of the CONSULTANT, prepare a periodic
progress report which contains a statement of the PROJECT costs for that period and shall forward
said statement to the STATE.
18. Periodic inspections. Throughout the term of this contract, the BORROWER shall permit a
designated representative of the STATE to make periodic inspections of the PROJECT. Such
inspections are solely for the purpose of verifying compliance with the terms and conditions of this
contract. Furthermore, such inspections shall cover the condition of the PROJECT, operating records,
maintenance records, and financial records, and shall not be construed nor interpreted as an approval
of the actual design and/or construction of any element of the PROJECT facilities.
19. Adhere to applicable laws. The BORROWER shall strictly adhere to all applicable federal, state, and
local laws and regulations that are in effect or may hereafterbe esYablls1 ec 'thkughout the term of
this contract.
20. No discrimination of services. The services of said PROJECT § '' b ma,, Hable within its
capacity and in accordance with all pertinent statutes ,rulels artt e ul ti ' s, ' nd, operational
guidelines to all persons in the BORROWERS service area',without}r iscrimir ati' n]sas to race, color,
religion, or national origin at reasonable charges (including assessments or fees), whether for one or
more classes of service, in accordance with a schedule of such charges formally adopted by the
BORROWER, as may be modified from time to time.
B. The STATE agrees as follows:
1. Agreement to loan money. The STATE agrees to loan to the BORROWER an amount not to exceed
that specified in the Promissory Note Provisions of this contract.
2. Disbursements. After receipt of the periodic progress report from the BORROWER, and review and
acceptance of the items therein as eligible expenses as described below, the STATE will pay to the
BORROWER the amount set forth in the report or such portion that has been approved by the STATE.
xcelsior Irrigating Company Page 7 of 12 Loan Contract