C153606 Contract

• Contract/PO #: C153606
• Contractor Name: Terrace Irrigation Company, The
• Contract Type: Loan
• Water District: 21
• County: Conejos
• Bill Number: HB 91-1006
• Loan Projects - Doc Type: Contract Documents

Terrace Irrigation Company to contract to borrow
the principal sum of ONE MILLION SIX HUNDRED FIFTY
THOUSAND DOLLARS ($1,650,000.00) from the State of
Colorado acting by and through the Colorado Water
Conservation Board and to levy assessments
assuring repayment of the State according to the
terms of the loan agreement.

b. A resolution authorizing the president and
secretary of the Terrace Irrigation Company to pay
the incurred indebtedness with funds generated by
an annual special debt repayment assessment which
will be sufficient to annually pay the sum of
NINETY-SIX THOUSAND ONE HUNDRED SIXTY-TWO DOLLARS
($96,162.00), and which will further be sufficient
to enable such other sums to be raised as are
necessary to create a reserve equal to one annual
payment, and to set aside this special assessment
revenues in a special fund separate and apart from
other revenues of the Terrace Irrigation Company
for that period necessary to repay the original
loan amount together with accrued interest at the
rate of FIVE (5%) PERCENT per annum, which period
is contemplated to be forty(40) years, commencing
from the date of execution of the loan agreement
and which will result, if all payments are made in
accordance with the terms of the agreement in the
ultimate payment of THREE MILLION EIGHT HUNDRED
FORTY-SIX THOUSAND FOUR HUNDRED EIGHTY DOLLARS
($3, 846,480.00).

c. A resolution authorizing the Board of Directors to
take all necessary actions consistent therewith to
levy assessments to raise sufficient funds to pay
the contract loan debt in a timely manner and as
required by the terms and conditions set forth in
the project contract and promissory note including
but not limited to, if the situation so warrants,
the imposition of additional assessments
designated and earmarked for the purpose of
assuring payment of the contract loan debt or the
increasing of the original assessment to that
extent necessary to assure the timely annual
payment of the contract loan debt.

d. A resolution authorizing the members of the Board
of Directors to execute in favor of the State of
Colorado for the use and benefit of the Colorado
Water Conservation Board, a Security Agreement and
Financing Statement imposing and perfecting a lien
in favor of the State of Colorado for the use and
benefit of the Colorado Water Conservation Board,
on all revenues derived from assessments on the

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