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

,
~

.

.

,I .
" ,

/

,

FIRST AMENDMENT TO PROJECT CONTRACT AND PROMISSORY NOTE

WHEREAS, on October 13, 1992, the Town of Ignacio,
Colorado (the "Town"), adopted Ordinance No. 133 which, among other
things, authorized the pledging of sales tax revenues of the Town
to pay the project Contract and promissory Note, dated October 23,
1992 (the "Note"), between the Town and the Colorado Water
Conservation Board (the "Board"); and

WHEREAS, Ordinance No. 133 was attached as Exhibit A to
the Note and became part of the contract evidenced thereby between.
the Board and the Town; and

WHEREAS, the Town is now in the process of refunding its
Sales Tax Revenue Refunding Bonds, Series 1986 (the "Bonds"), in
order to reduce the interest rates on such Bonds and lower the debt
service requirements of the Town; and

WHEREAS, the Town's sales tax pledge to the Board to pay
its obligations under the Note is subordinate to the sales tax
pledge held by the holders of the Bonds; and

WHEREAS, any reduction in the debt service requirements
of the Town to pay the Bonds will result in an increase in the
sales taxes that are available to meet the obligations of the Town
to the Board under the Note; and

WHEREAS, it is necessary to clarify the language
describing the sales tax pledge made in Ordinance No. 133 in order
that the proposed refunding bonds may retain a first lien on the
sales tax revenues and be sold to the best advantage of the Town;
and

WHEREAS, any amendment to Ordinance No. 133 will only be
effective if authorized by an amendment to the Note;

NOW THEREFORE, IN CONSIDERATION OF THE MUTUAL AND
DEPENDENT COVENANTS HEREIN CONTAINED, IT IS AGREED BY THE PARTIES
HERETO AS FOLLOWS:

Section 1. Amendment of Ordinance No. 133 and Note.
The amendment of Ordinance No. 133 of the Town is hereby approved
in the form attached hereto. The Note is hereby amended to reflect
the changes made to Ordinance No.' 133 by the attached amendment.

I

:/..

(_r'

.,

- 1 -