CT2018-833 Contract

• Contract/PO #: CT2018-833
• Contractor Name: Southeastern Colorado Water Conservancy District
• Contract Type: Loan
• Loan Projects - Doc Type: Contract Documents

WHEREAS, the Note, the Loan Contract and the Security Agreement (collectively, the
"Financing Documents")may be approved by the Board without an election; and
WHEREAS, the Financing Documents shall be revenue obligations of the Enterprise,
payable from the Pledged Power Revenues(as defined in the Financing Documents); and
WHEREAS, there have been presented to the Board the forms of the Financing
Documents; and
WHEREAS, the Board desires to approve the forms of the Financing Documents and
authorize the execution thereof, and
WHEREAS, in connection with the Financing Documents, the Board hereby finds,
determines and adjudicates, as follows:
1. Staff and counsel of the Enterprise have presented to the Board estimates of (a) the
annual operation and maintenance expenses of operating the Project, and (b) the annual
revenues to be produced by such Project under the terms of the proposed Power Purchase
Agreements between Colorado Springs Utilities and the City of Fountain, Colorado,
acting by and through its Electric, Water and Wastewater Utility Enterprise and the
Enterprise; and
2. Staff and counsel of the Enterprise have discussed fully with the Board the basis for an
assumptions underlying such estimates; and
3. Such estimates are reasonable and demonstrate that such annual revenues exceed the sum
of the annual operation and maintenance expenses in each calendar year and the annual
principal of and interest on the loan for the Project to be made by the CWCB to the
Enterprise;
4. Staff and counsel have discussed fully the operation of the Fryingpan-Arkansas Project
System, the location of Pueblo Reservoir within the system, the utilization of existing
outlet flows from Pueblo Dam to the Arkansas River, and the technical and economic
feasibility of the Project;
5. The District and Enterprise's bond counsel is preparing a letter to the CWCB, in a form
required by the proposed Loan Contract with CWCB, providing bond counsel's opinion
that:
a. The Loan Contract with CWCB has been duly executed by officers of the
Enterprise who are duly elected or appointed and are authorized to execute the
Loan Contract with CWCB and to bind the Enterprise; and
b. The resolutions of the Enterprise authorizing the execution and delivery of the
Loan Contract with CWCB were duly adopted by the governing body of the
Enterprise; and
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