C153827 Contract - Laserfiche WebLink

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construction of the PROJECT, the Promissory Note may be adjusted in accordance with the Changes Provisions of this contract. b. Interest During Construction. As the loan funds are disbursed by the STATE to the BORROWER during construction, interest shall accrue ;:It the rate of 3.75%. The amount of the interest accrued during construction shall be calculated by the STATE and the BORROWER shall repay that amount to the STATE either within ten (10) days after the date the STATE determines that the PROJECT has been substantially completed, or, at the Sf ATE'S discretion, the amount shall be deducted from the final disbursement of loan funds that the STATE makes to the BORROWER. c. Final loan amount. In the event that the final loan amount is less than the authorized loan amount, the STATE shall apply the remaining loan funds to prepayment of the loan if the remaining funds equal less than 10% of the authorized loan amount. If the remaining loan funds equal more than 10% of the authorized loan amount, the STATE may apply those funds to prepayment of the loan with the BORROWER'S consent, or the parties may execute a REVISION LETTER as described below to document. the final loan amOunt. When applying any remaining loan funds to prepayment of the loan, the STATE shall reamortize the actual amount disbursed over a reduced term, with the annual payment amount remaining unchanged. 10. Changes. The STATE may decrease the amount of the loan under this contract or extend the time for completion of the PROJECT through a REVISION LETTER, approved by the State Controller or his designee, in the form attached hereto as Appendix 3. The REVISION LETTER shall not be valid until approved by the State Controller or such assiptant as he may designate. Upon proper execution and approval, the REVISION LETTER shall become an amendment to this contract and, except for the Special Provisions of the contract, the REVISION LETTER shall supersede the contract in the event of a conflict between the two. The parties understand and agree that the REVISION LETTER may be used only for decreasing the final loan amount or to extend the time for completion of the PROJECT. In the event that the parties execute the REVISION L-ETTER to decrease the amount of the loan, the parties shall amend the Promissory Note and all documents executed by the BORROWER to convey security interests to the STATE as required by this contract to reflect the decreased loan amount. 11. Warranties. The BORROWER warrants the following: a. By acceptance of the loan money pursuant to the terms of this contract and by its representations herein, the BORROWER shall be estopped from asserting for any reason that it is not authorized or obligated to repay the loan money to the STATE as required by this contract. b. The BORROWER has full power and authority to enter into this contract. The execution and delivery of this contract and the performance and observation of its terms, conditions and obligations have been duly authorized by all necessary actions of the BORROWER. c. The BORROWER has not employed or retained any company or person, other than a bona fide employee working solely for the BORROWER, to solicit or secure this contract. The BORROWER has not paid or agreed to pay any person, company, corporation, individual, or firm, other than a bona fide employee, any fee, commission, percentage, gift, or other consideration contingent upon or resulting from the award or the making of this contract. d. The collateral identified in the Collateral Provisions of this contract is not encumbered by any other liens or in any other manner. e. The BORROWER hereby pledges sufficient annual revenues from the BORROWER'S general funds to pay the annual installment amount under this contract and the atlaohed Promissory Note, and hereby agrees to establish a separate account into which said revenues shall be deposited. Julesburg Irrigation District Page 5 of 12 Loan Contract