Laserfiche WebLink
<br />($333.693.64); and twelve and ninety-five one hundredths <br />percent (12,95\). requiring a prepayment of One Hundred <br />Twenty-Nine Thousand One Hundred Eighty Dollars and <br />Ninety-seven Cents ($129.180.97); and <br /> <br />WHEREAS. the Contractor finds that the prepayment discount <br />results in an advantageous loan refinancing opportunity. and <br />therefore it desires to obtain Construction Fund loan <br />assistance from the State to prepay its Interior loan; and <br /> <br />WHEREAS. the State finds that it is necessary to loan the <br />contractor one hundred percent (100\) of the amount of the <br />outstanding loan to make it financially possible for the <br />Contractor to repurchase the loan and that the Contractor has <br />demonstrated its ability to repay by virtue of its previous <br />record with Interior and that a construction Fund loan to the <br />Contractor is feasible for this stated propose and in the <br />pUblic interest; and <br /> <br />WHEREAS. the State has authority to enter this agreement <br />pursuant to section 37-60-119 and 37-60-122(1), CRS; and <br /> <br />WHEREAS, pursuant to section 37-60-120. the State is <br />required to assure repayment of loan funds by the Contractor; <br />and <br /> <br />WHEREAS. pursuant to the Contractor's Articles of <br />Incorporation. the Contractor has authority to contract to <br />borrow money provided that a Resolution be duly passed by the <br />Board of Directors and to levy assessments assuring repayment <br />of the State according to the terms of the contract; and <br /> <br />NOH, THEREFORE, in consideration of the mutual and <br />dependent covenants herein contained, it is agreed by the <br />parties hereto as follows: <br /> <br />A. The contractor agrees that it shall: <br /> <br />1. Use funds loaned by the State for the sole purpose of <br />repurChasing its small project loan Obligation from Interior <br />before August 18, 1988, This loan shall not be used by the <br />contractor for any other purpose. In the event that repurchase <br />is not accomplished by August 18, 1988. the Contractor shall <br />immediately repay this loan amount to the State. <br /> <br />2, Prior to the execution of this contract. adopt a <br />resolution consistent with its Articles of Incorporation and <br />By-Laws to authorize the incurring of this debt, the levy of <br />assessments to repay the debt. and the execution of security to <br />assure repayment to the State. <br /> <br />3. Without expense to the State. manage. operate. and <br />maintain the project continuously in an efficient and <br />economical manner. and assume all legal liability for such <br />management. operation. and maintenance. The Contractor' agrees <br />to indemnify and hold the State harmless from any liability as <br />a result of the State's interest in the project. <br /> <br />4. Pursuant to its Articles of Incorporation and By-Laws. <br />continue its service Charges and levy assessments or adjust as <br />necessary to provide sufficient funds for adequate operation <br />and maintenance. emergency repair services. obsolescence <br />reserves. and debt reserves. and to assure repayment of the <br />project loan to the State as provided herein. <br /> <br />5. Make the services of said project available within its <br />capacity to all persons in the Contractocts service area <br />without discrimination as to race. color. religion. or natural <br />origin at reasonable charges (including assessments. taxes. or <br />fees). whether for one or more classes of service. in ' <br /> <br />Page 2 of 7 pages <br />