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<br />b, A 2,575-ft. l2-inch raw water transmission line with all <br />necessary fittings~ valves, and other appurtenances from <br />Station -2 + 32 to Station 23 + 43. <br /> <br />c. A lO,448-fr. 12-inch treated water transmission line with <br />all necessary fittings, valves, and other appurtenances from <br />Station 0 + 00 to Station 39 + 50 and from Station 0 + 00 to <br />Station 64 + 98, <br /> <br />d. Two concrete water storage tanks, each 500,000 gallon <br />capacity. <br /> <br />3. Permit periodic inspection of construction by the authorized <br />representatives of the State during copstruction and permit the <br />State to review and approve or disapprove any contracts for the <br />construction of the project or the performance of work pursuant <br />to such contracts or subcontracts. <br /> <br />4. Without expense to the State, manage, operate and maintain <br />the project system continously in an efficient and economical <br />manner) and assume all legal liability for such management, <br />operation and maintenance. <br /> <br />5. Make the services of said project available within its capacity <br />to all persons in the Contractor's service area without discrimi- <br />nation as to race, color, religion or natural origin at reasonable <br />charges, including assessme~ts, t~xes or fees in accordance with <br />a schedule of such charges, whether for one or more classes of <br />service, formally adopted by the Contractor through its board of <br />directors, as may be modified from time to time by the Contractor. <br />The initial rate schedule must be approved by the State. There- <br />after, the Contractor may make such modifications to the rate <br />schedule as the Contractor deems necessary to efficiently and <br />economically provide for the financial requirements of the system <br />as long as the rate schedule remains reasonable and non-discrimi- <br />natory, and subject to approval by the State. <br /> <br />6. Adjust its operating costs and service charges from time to <br />time to provide for adequate operation and maintenance, emergency <br />repair services, obsolescence reserves, debt service and debt <br />reserves. <br /> <br />7. Expand the system from time to time to meet reasonable growth <br />or service requirements in the area within its jurisdiction. <br /> <br />8. Provide the State with such periodic reports as it may require <br />and permit periodic inspections of its operations and accounts by <br />a designated representative of the State. The Colorado Water <br />Conservation Board, its agents and employees, is hereby designated <br />as the agent, of the State for the purposes of this contract. <br /> <br />9. To purchase from the State all of the State's right, title <br />and interest in said project and any facilities thereof at a <br />total purchase price of Nine Hundred Eighteen Thousand Three <br />Hundred Sixty Dollars ($918,360), payable in thirty (30) annual <br />installments of Thirty Thousand Six Hundred Twelve Dollars <br />($30,612) each, which first installment shall be due and payable <br />on July 1, 1978, and yearly thereafter until the entire principal <br />sum shall have been paid. Said installment payment shall be made <br />payable to the Colorado Water Conservation Board, payable at tl~ <br />offices of said board in Denver, Colorado. <br /> <br />10. Upon default in the payments herein set forth to be made by <br />the Contractor, or in the perforn~nce of any covenant or agree- <br />ment contained herein, the State, at its option may (a) declare <br />the entire principal amount then outstanding immediately due and <br />,payable, (b) for the account of the Contractor incur and pay <br />reasonable expenses for repair, maintenance, and operation of the <br />domestic water .system herein described and such other reasonable <br />expenses as may be necessary to cure the cause of default, and/or <br />(c) take possession of the system) repair, maintain, and operate <br />or lease it. The provisions of this contract may be enforced by <br />the State, at its option without regard to .prior waivers by it of <br /> <br />Page 2 of ~ pages <br />