CT2018-2832 Contract

• Contract/PO #: CT2018-2832
• Contractor Name: Bessemer Irrigating Ditch Company
• Contract Type: Loan
• Loan Projects - Doc Type: Contract Documents

C. The Borrower warrants that the Pledged Revenues and Pledged Property for this loan are not
encumbered by any other deeds of trust or liens of any party other than the CWCB or in any
other manner, except for the Existing Parity Loans which sets forth the position of the lien
created by this Contract in relation to any existing lien(s). Documentation establishing the
relative priorities of said liens, if necessary, is attached to the Project Summary and
incorporated herein.
18. CHANGE OF OWNERSHIP OF WATER SHARES DURING TERM OF CONTRACT.
If the interest rate for this loan is based on the CWCB's agricultural or blended agricultural and
municipal and/or commercial and/or industrial rates,the Borrower agrees to notify the CWCB of
any change of the ownership of the water rights represented by its shares from irrigation to
municipal or commercial or industrial use. The interest rate shall be revised when said change in
ownership would increase the original interest rate by 0.5%or more. The parties shall amend this
Contract including a revised Promissory Note,to effect said change in interest rate.
19. 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.
2o. DISPUTE RESOLUTION
A. Initial Resolution
Except as herein specifically provided otherwise,disputes concerning the performance of this
Contract which cannot be resolved by the designated Contract representatives shall be
referred in writing to a senior departmental management staff member designated by the State
and a senior manager designated by Borrower for resolution.
B. Resolution of Controversies
i. Resolution of Controversies other than Loan Default
For any dispute not involving Borrower's default on the Loan, if the initial resolution
described in §20.A., fails to resolve the dispute within 60 Business Days, Borrower
shall submit any alleged breach of this Contract by the State to the Procurement Official
of the Colorado Department of Natural Resources as described in §24-101-301(30),C.R.S.
for resolution in accordance with the provisions of§§24-106-109, 24-109-101.1, 24-
109-101.5,24-109-106,24-109-107,24-109-201 through 24-109-206,and 24-109-501
through 24-109-505,C.R.S.,(the"Resolution Statutes"),except that if Borrower wishes
to challenge any decision rendered by the Procurement Official, Borrower's challenge
shall be an appeal to the executive director of the Department of Personnel and
Administration, or their delegate, under the Resolution Statutes before Borrower
pursues any further action as permitted by such statutes. Except as otherwise stated in
this Section, all requirements of the Resolution Statutes shall apply including,without
limitation, time limitations, regardless of whether this Contract is subject to the
Colorado Procurement Code.
ii. Resolution of Controversies Regarding Loan Default
For any dispute not involving Borrower's default on the Loan, if the initial resolution
described in §20., fails to resolve the dispute within 60 Business Days,the CWCB will
submit the dispute to the CWCB board for review, who will determine a resolution to
the dispute.
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Contract Number:CT2018-2832