Laserfiche WebLink
from asserting for any reason that it is not authorized or obligated to repay the loan money to <br /> the STATE as required by this contract. <br /> b. The BORROWER warrants that it has full power and authority to enter into this contract. The <br /> execution and delivery of this contract and the performance and observation of its terms, <br /> conditions and obligations have been duly authorized by all necessary actions of the <br /> BORROWER. <br /> C. The BORROWER warrants that it has not employed or retained any company or person, other <br /> than a bona fide employee working solely for the BORROWER, to solicit or secure this contract <br /> and has not paid or agreed to pay any person, company, corporation, individual, or firm, other <br /> than a bona fide employee, any fee, commission, percentage, gift, or other consideration <br /> contingent upon or resulting from the award or the making of this contract. <br /> d. The BORROWER warrants that the property identified in the Collateral Provisions of this <br /> contract is not encumbered by any other liens or in any other manner. <br /> 12. Collateral. In addition to the revenues pledged to repay this loan, the security provided to the <br /> STATE for this loan shall be an undivided one hundred percent interest in: <br /> a. A certificate of deposit account established by the BORROWER in the amount of one annual <br /> loan payment ($3,518.05), hereinafter referred to as CD ACCOUNT. The STATE shall use the <br /> funds contained in the CD ACCOUNT for the purpose of paying principal and interest due under <br /> this contract not otherwise paid by the BORROWER. Any amount withdrawn by the STATE for <br /> this purpose shall be replenished by the BORROWER within sixty days after such withdrawal. <br /> To convey a security interest in the CD ACCOUNT to the STATE, the BORROWER has executed <br /> an Assignment of Certificate of Deposit, which is attached as Appendix 4 and incorporated <br /> herein. <br /> b. The BORROWER'S new diversion structure located on Elkhead Creek approximately 200 feet <br /> downstream of the Smith Ditch headgate in the N1/2 of the NW1/4 of the NW1/4 of Section <br /> 28, Township 7 North, Range 89 West of the 6th P.M. To convey a security interest in said <br /> diversion structure to the STATE, the BORROWER has executed a Deed of Trust, which is <br /> attached as Appendix 5 and incorporated herein. <br /> 13. Collateral During Repayment. The BORROWER shall not sell, convey, assign, grant, transfer, <br /> mortgage, pledge, encumber, or otherwise dispose of any property provided as security for this <br /> loan, including the dues/assessment revenues pledged to repay the loan herein, so long as any of <br /> the principal and any accrued interest on this loan which remain unpaid, without the prior written <br /> concurrence of the STATE. <br /> 14. Pledge Of Property. The BORROWER hereby irrevocably pledges to the STATE for purposes of <br /> repayment of this loan revenues from annual dues and from assessments levied for that purpose <br /> as authorized by the BORROWER'S resolution, and all of the BORROWER'S rights to receive said <br /> dues and assessment revenues from its members (hereinafter collectively referred to as the <br /> "pledged property"). Furthermore, BORROWER agrees that <br /> a. Revenues For This Loan Are To Be Kept Separate. The BORROWER hereby agrees that <br /> the pledged revenues shall be set aside and kept in an account separate from other <br /> BORROWER revenues, and warrants that these revenues shall not be used for any other <br /> purpose. <br /> Smith Irrigation Ditch Page 6 of 13 Loan Contract <br />