C150360 Amend 1

• Contract/PO #: C150360 CT2015-141
• Contractor Name: East Mesa Water Company
• Contract Type: Loan
• Loan Projects - Doc Type: Contract Documents

15. Operation of PROJECT. The BORROWER shall, without expense or legal liability to the
CWCB, manage, operate, and maintain the PROJECT continuously in an efficient and
economical manner.
16. BORROWER's Liability Insurance.
a. Upon execution of this CONTRACT and continuing until complete repayment of the
loan is made to the CWCB, the BORROWER shall maintain commercial general
liability insurance, with a company that is satisfactory to the CWCB, with minimum
limits of $1,000,000 combined single limit for each occurrence and $2,000,000
general aggregate, including products/completed operations and personal injury.
b. Prior to the disbursement of any loan funds, the BORROWER shall provide the CWCB
with an Acord Form 25 evidencing said insurance and shall provide the CWCB with
documentation of renewals of said insurance.
17. Additional Contract Requirements. Any additional contract requirements are set
forth in Additional Conditions & Contract Requirements (Section 7) of the PROJECT
SUMMARY.
B. PROJECT PROVISIONS
1. Construction Fund Program Procedures. During the completion of the PROJECT, the
BORROWER shall adhere to the CWCB Construction Fund Program Procedures
(Section 8), of the PROJECT SUMMARY.
2. Eligible Expenses. The PROJECT expenses for which the BORROWER is eligible for
loan disbursements are listed in Eligible Expenses (Section 9) of the PROJECT
SUMMARY.
3. Loan Disbursements. The CWCB shall disburse loan funds in accordance with the
Disbursement Schedule (Section 10) of the PROJECT SUMMARY.
4. Time for Performance. The BORROWER recognizes that time is of the essence in the
performance of all of its obligations under this CONTRACT. Therefore, the BORROWER
shall complete the PROJECT within the time specified in Time for Performance (Section
11) of the PROJECT SUMMARY.
5. Indemnification by the Construction Firm. The BORROWER shall require all
construction firms and their subcontractors to indemnify the STATE and the BORROWER
against all liability and loss, and against all claims and actions based upon or arising
out of damage or injury, including death, to persons or property, caused by any acts or
omissions of those parties or sustained in connection with the performance of any
contract related to the PROJECT or by conditions created thereby, or based upon any
violation of any statute, ordinance, or regulation, and the defense of any such claims or
actions.
6. Liability Insurance during Construction. During construction of the PROJECT, the
BORROWER shall require the construction firm(s) and any subcontractors to maintain the
Loan Contract C150360
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