C150100 Contract Paid in Full

• Contract/PO #: C150100
• Contractor Name: East Dillon Water District
• Contract Type: Loan
• Loan Projects - Doc Type: Contract Documents

• •
SECURITY AGREEMENT
(PLEDGE OF REVENUES)
DATE: NOVEMBER 10, 2002
DEBTOR: EAST DILLON WATER DISTRICT
SECURED PARTY: COLORADO WATER CONSERVATION BOARD
1313 SHERMAN STREET, ROOM 721
DENVER, CO 80203
PROMISSORY NOTE: $2,550,000, DATED NOVEMBER 10, 2002
TERMS: REPAYMENT PERIOD OF 30 YEARS, INTEREST AT THE RATE OF 4.25%
PER ANNUM
LOAN CONTRACT: C150100, DATED NOVEMBER 10, 2002
COLLATERAL: General revenues received from taxes received each year as
authorized by the BORROWER'S May 7, 2002 election and its
resolution(s) attached as Appendix 3 to the LOAN CONTRACT,
and any other funds legally available to the BORROWER, in an
amount sufficient to pay the annual payment due under the
LOAN CONTRACT, as described in Pledge of Revenue provisions
of the LOAN CONTRACT.
To secure payment of the loan evidenced by the PROMISSORY NOTE payable in accordance
with the TERMS, or until all principal, interest, and late charges, if any, are paid in full, the
DEBTOR grants to SECURED PARTY a security interest in the above described COLLATERAL.
DEBTOR EXPRESSLY WARRANTS AND COVENANTS:
1. That except for the security interest granted hereby and any other security interests
described in Section 6 of the Loan Contract Project Summary, DEBTOR is the owner of the
COLLATERAL free from any adverse lien, security interest or encumbrances; and that
DEBTOR will defend the COLLATERAL against all claims and demands of all persons at any
time claiming the same or any interest therein.
2. That the execution and delivery of this agreement by DEBTOR will not violate any law or
agreement governing DEBTOR or to which DEBTOR is a party. YF;
3. That the DEBTOR'S articles of incorporation and by-I:, ':. n Ibit any term or
condition of this agreement. ii,,
4. That by its acceptance of the loan money pursuant to t C'= terms of. NT nd by
its representations herein, DEBTOR shall be estopped fro ,vs or, on that it
is not authorized to grant a security interest in the C+ L •` L e terms of this
agreement. 4
5. To pay all taxes and assessments of every natur--`' rich may be levied or assessed
.against the COLLATERAL.
6. To not permit or allow any adverse lien, security interest or encumbrance whatsoever upon
the COLLATERAL and not to permit the same to be attached or replevined.
UNTIL DEFAULT DEBTOR may have possession of the COLLATERAL, provided that
DEBTOR keeps the COLLATERAL in an account separate from other revenues of DEBTOR and
Appendix 4 to Loan Contract C150100