PROJ00033

• Contract/PO #: C153756
• Contractor Name: Lower Arkansas Water Management Association
• Contract Type: Loan
• Water District: 67
• County: Prowers
• Bill Number: SB 96-124
• Loan Projects - Doc Type: Contract Documents

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c. . Assessments For Repayment Of The Loan. Pursuant to its statutory authority, articles
. of incorporation and by-laws, and as authorized by its resolution, the BORROWER shall take
aU necessary actions consistent therewith to levy assessments sufficient to pay this loan
as required by the terms of this contract and the promissory note. In the event the
assessments levied by the BORROWER become insufficient to assure such repayment to
the STATE, the BORROWER shall immediately take all necessary action consistent with its
statutory authority, its articles of incorporation, bylaws and resolution, including, but not
limited to, levying additional assessments to raise sufficient revenue to assure repayment
of the loan to the STATE.

14. Release After Loan Is Repaid. Upon complete repayment to the STATE of the entire principal
and any accrued interest as specified in the promissory note, the STATE agrees to execute a
release of the security agreements to convey to the BORROWER all of the STATE'S right, title,
and interest in and to the security provided for this loan, and to file a UCC-3 form with the
Secretary of State to terminate all of the STATE'S rights in and to the security provided for this
loan.

15. Designated Agent Of The STATE. The CWCB, which includes its agents and employees, is
. hereby designated as the agent of the STATE for the purpose of this contract.

16. Contract Assignment This contract is not assignable by the BORROWER except with the
prior written approval of the STATE.

17. Contract Relationship. The parties to this contract intend that the relationship between them
contemplated by this contract is that of lender-borrower, not employer-employee. No agent,
employee, or servant of the BORROWER shall be, or shall be deemed to be, an employee,
agent, or servant of the STATE. The BORROWER shall be solely and entirely responsible for its
acts and the acts of its agents, employees, servants, engineering firms, construction firms,
and subcontractors during the performance of this contract.

18. Complete Integration Of All Understandings. This agreement is intended as the complete
integration of all understandings between the parties. No prior or contemporaneous addition,
deletion, or other amendment hereto shall have any force or effect whatsoever unless.
embodied herein in writing. No subsequent novation, renewal, addition, deletion, or other
amendment hereto shall have any force or effect unless embodied in a written contract
executed and approved pursuant to STATE fiscal rules.

19. Captions. The captions and headings contained in this contract are for convenience and
reference only and shall not be construed so as to define or limit the terms or provisions
contracted herein.

20. STATE'S Approval. This contract requires review and approval of plans, specifications, and
various other technical ahd legal documents. The STATE'S review of these documents is only'
for the purpose of verifying BORROWER'S compliance with this contract and shall not be
construed or interpreted as a technical review or approval of the actual design or construction
of the PROJECT rehabilitation. Notwithstanding any consents or approvals given to the
BORROWER by the STATE on any such documents, BORROWER and its CONSULTANT, by
preparing any such documents, shall be solely responsible for the accuracy and completeness
of any of said documents.

21. Waiver. The waiver of any breach of a term of this contract shall not be construed as a
waiver of any other term, or of any subsequent breach of the same term.

22. Addresses For Mailing. All notices, correspondence, or other documents required by this

Feasibility Report LQan Contract

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