PROJ00063

• Contract/PO #: C153533
• Contractor Name: Santa Maria Reservoir Company
• Contract Type: Loan
• Water District: 0
• County: Hinsdale
• Bill Number: SB 88-30
• Loan Projects - Doc Type: Contract Documents

B. 206.5 acre-feet of the absolute portion of
Reservoir Priority No. 1916-11. decreed to the Santa
Maria Reservoir by decree of District Court for Water
District 20 dated September 13. 1916. Appropriation
Priority NO. 1916-BIA. with appropri8tion date of
August 11, 1896.

b. 206.5 acre-feet of the absolute portion of
Reservoir Priority No. 1934-1. decreed to the
Continental Reservoir by decree of District Court for
Water District 20 dated October 15. 1934. Appropriation
Priority NO. 1934-1. with appropriation date of June 1.
1901.

15. Obtain and maintain general fire and hazard insurance
on the project in an amount not less than the outstanding
amount of the loan made by the State to the Contractor until
the Contractor has repaid the loan in full under the terms of
paragraph B.13. above. The State shall be the sole insured of
this pOlicy. The outstanding loan amount payable to the state
shall be reduced iP the amount of any paymentS made to the
State under this iosurance coverage. If only a portion of the
outstanding loan a~ount is paid to the State under this policy.
the number of inst~llment payments shall remain unchanged:
however. the amount of each payment shall be reduced.

16. Comply witP the Construction Fund Program Procedures
attached hereto as Exhibit 0 and incorporated by reference
herein.

17. Comply wit~ the provisions of section 37-60-120.
Colorado Revised statutes. and any other applicable statutes.
procedures. reguirements. rules. or regulations which the State
has.

18. Not sell. ~onvey. aSSign. grant. tran~fer. mortgage.
pledge. encumber. dr otherwise dispose of the project or any
portion thereof. sa long as any of the annual installments
reguired by paragraph B.13. above remain unpajd, without t>>e
prior written concurrence of the State.

C. Upon default in the payments herein set f~rth to be made by
the contractor. or default in the performance of any covenant
or agreement contained herein. the State. at its option. may:
(a) declare the entire principal amount then outstanding
immediately due and payable: (b) for the acco~nt of
the contractor. incur and pay reasonable expe~ses for repair.
maintenance. and operation of the project herein described and
such expenses as maY be necessary to cure the cause of default:
(c) take possession of the project. repair. m8intain. and
operate or lease it: (d) act upon the security (described in
paragraph B.14. above) conveyed to the State: (e) take action
to enforce paragraphs B.11. and 13. above; and/or (f) take any
other appropriate legal action. All remedies described herein
may be simUltaneously or selectively and successively
enforced. The provisions of this contract may be enforced by
the State at its option without regard to prior waivers by it
of previous defaults by the Contractor, through jUdicial
proceedings to require specific performance of this contract.
or by such other proceedings in law or equity as may be d~emed
necessary by the State to ensure compliance with provisions of
this contract and the laws and regulations under which this
contract is entered into.

D. The State agrees that it shall:

1. Loan to the Contractor for the construction of the
project an amount not to exceed Four Hundred TWenty Thousand
Four Hundred Dollars ($420,400). Said Four Hundred Twenty
Thousand Four Hundred Dollars ($420.400) shall be made

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