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<br />WHEREAS. the Act specifies that the Secretary may fund <br />non-federal entities to orqanize lateral owners into <br />organizations with which Reclamation may contract for the <br />long-term operation and maintenance of improved laterals and <br />Reclamation has therefore made a $197.436 grant available to <br />the State. acting through the Board, for such purposes; and <br /> <br />WHEREAS. the State acting through the Board. has the <br />authority. pursuant to section 37-60-106. Colorado Revised <br />Statutes. to foster. encourage. and assist local irrigation <br />entities; and <br /> <br />WHEREAS. the Board is the lead agency for the State's <br />participation in the COlorado River Basin salinity control <br />program; and <br /> <br />WHEREAS. the Board has the Attorney GeneralIs consent to <br />enter into this contract with the Contractor pursuant to the <br />requirements of section 37-60-114. Colorado Revised Statutes. <br /> <br />NOW I THEREFORE. in consideration of the mutual promises set <br />forth below. the State and the Contracto~ agree as follows: <br /> <br />1.. Review of Leaal Authorities. The Contractor shall <br />undertake and complete the following tasks: <br /> <br />a. Conduct a legal review of the statutory <br />authorities under which the Company is organized <br />and of the Company's bylaws. articles of <br />incorporation. or other pertinent organizational <br />documents in order to determine whether the <br />Company currently has the legal authority and <br />power to acquire such real property interests in <br /> <br />Page 2 of ~ Pages <br />