C153630 Contract

• Contract/PO #: C153630
• Contractor Name: Ignacio, Town of
• Contract Type: Loan
• Water District: 31
• County: La Plata
• Bill Number: SB 92-87
• Loan Projects - Doc Type: Contract Documents

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determine to be: (a) advisable to further the purposes of this
contract or to protect the state's financial interest therein,
and (b) consistent with both the statutory purposes of this
contract and the limitations of the statutory authority under
which it is made.

I. upon completion of repayment to the state in the amount of
Four Hundred Nineteen Thousand six Hundred sixteen Dollars
($419,616), as set forth in paragraph A.13. above of this
contract, the state agrees to convey to the Contractor all of
the state's right, title, and interest in and to the project and
any other property described in paragraph A.14. above by deed or
other proper conveyance.

J. The Colorado Water Conservation Board, its agents and
employees, is hereby designated as the agent of the state for
the purpose of this contract.

K. The Contractor agrees and understands that Sections
37-60-119 through 37-60-122, C.R.S., as amended, require that
the loan of money by the State to the Contractor for this water
project be conditioned upon the repayment of the loan to the
State. The Contractor hereby agrees to take any and all actions
necessary to guarantee such repayment as provided herein
including, without being limited to, the actions specified in
this contract.

L. The Contractor agrees that the specific revenues to be
pledged to repay the State and to secure repayment of its loan
shall include, without being limited to, revenues from its sales
tax, which shall be deposited in its Irrigation System
Imp~ovement Fund, as authorized by Ordinance of the Contractor.
The Contractor hereby pledges such revenues to repay the State
loan and agrees to provide the State a security interest in the
revenues and an ordinance from its Board of Trustees irrevocably
pledging such revenues. Such ordinance shall be attached hereto
as Exhibit A.

M. The Contractor warrants that it has duly passed, or will
pass, an Ordinance (Exhibit A) by its Board of Trustees, as
provided by statute, authorizing: (a) the Contractor to enter
into this contract with the State to borrow the principal sum of
One Hundred Eighty Thousand Dollars ($180,000); (b) to make and
levy assessment(s) sufficient to payoff this contract loan
pursuant to its terms and to discharge this lawful indebtedness;
and (c) to set aside this assessment revenue in a special fund
separate and apart from other Contractor revenues to assure
repayment of this revenue to the State. The Ordinance by the
Contractor and the security interest of the Contractor are
conditions precedent to state performance.

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