PROJ00198

• Contract/PO #: C153668
• Contractor Name: Erie, Town of
• Contract Type: Loan
• Water District: 0
• County: Weld
• Bill Number: SB 90-41
• Loan Projects - Doc Type: Contract Documents

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and Hudson and the City of Fort Lupton have requested loans from
the Colorado Water Conservation Board, it has been determined that
a loan in the amount of $1,544,000 is available toward the total
cost of the Borrower's participation in the Project; and

WHEREAS, by letter dated November 2, 1993, the Colorado Water
and Power Development Authority determined that it is not available
as a source of funds to the Borrower for participation in the
Project. This letter is attached to this contract as Appendix D;
and

WHEREAS, pursuant to 9 31-15-302 and 9 37-45.1-101 et
C . R. S ., the Borrower has authority to contract to borrow
provided that a resolution has been duly adopted by its Town
of Trustees authorizing repayment of the loan to the
according to the terms of this Contract; and

sea. 1
money
Board
State

WHEREAS, the State understands that the repayment of the funds
loaned, including interest thereon, will come from revenues pledged
for the repayment thereof from water user charges or fees and that
this obligation does not constitute a debt of the Borrower within
the meaning of any constitutional or statutory limitations; and

WHEREAS, it appears to the parties that with the creation of
a security interest in the revenues and the Borrower's interest in
the Allotment Contract pledged herein, and the additional terms and
conditions provided herein, the flow of revenue to repay the
obligation is reasonably secure,

NOW,
covenants
follows:

THEREFORE, in consideration of the mutual and dependant
herein contained, it is agreed by the parties hereto as

A.

The State agrees as follows:

1. The State shall loan a principal amount of One
Million Five Hundred Forty-Four Thousand Dollars ($1,544,000) to
the Borrower for the purpose of this Project Contract. Said amount
shall be disbursed to the Borrower by electronic transfer of funds
or state warrants within thirty (30) days of receipt of written
request from the Borrower as needed to pay for eligible project
costs.

2.

The terms of the

construction loan shall b~as

~en}V)h~
accrue at a rate of TwoA(2I) per
to Borrower during proj ect

follows:

annum on all
construction.

a. Interest will
funds advanced

b. The term of the loan will be Forty (40) years
commencing as specified in paragraph B.G.

3. Project costs eligible for payment by the State
under this Contract shall include, but not be limited to, the cost

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