FLOOD09864

• County: Statewide
• Community: State of Colorado
• Basin: Statewide
• Title: Water Project Insurance Fund Legislation - Federal
• Date: 5/20/1983
• Floodplain - Doc Type: Projects ‎(non-floodplain)‎

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shall be subrogated to all the rights of the recipi-
ent thereof.

3 (c) Each insurance contract made under this section

4 shall run to the lender and be for the benefit of such lender

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5 and the holders of the obligations evidencing the loan, and if

6 the lender is a trustee under a trust indenture, for the benefit

7 of the holders of the obligations issued under such trust in-

8 denture.

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9 (d) In the event of an act or failure to act which gives

10 the lender the right to mature the loan, any such events

11 being herein called defaults, and failure on the part of the

12 water authority to remove and remedy the default within

13 thirty days, the lender shall have the right (i) in the case of a

14 default in respect of the payment of debt service or the pay-

15 ment of any amount to provide for the payment of premium

16 charges for the insurance, to demand at or before the expira-

17 tion of sixty days after any such default, and (ii) in the case of

18 any other default, to demand at any time during the continu-

19 ance of such default, payment by the Secretary of the unpaid

20 debt service to the date of payment:, Provided, That an as-

21 signment of the loan agreement and of the obligations evi-

22 dencing such loan be tendered to the Secretary at the time

23 such demand is made. The Secretary may at any time during

24 the continuance of any default notify the lender in writing,

25 specifying such default, that by reason of such default the

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H.R. 4380-ih