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<br />b, A2,575-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 10,448-ft. l2-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 pe~iodic 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 co~tracts or subcontracts. <br /> <br />.4,. Without expense to the State, manage, operate and maintain <br />the project system con~inously in an efficient and economical <br />manner, and assume all legal liability for such management, <br />o~eration and maintenance. <br /> <br />S, 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 assessments, taxes 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 prpvi~e for the financial requirements of the system <br />as long as the rate schedule remains reas~nable 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 />repai~ 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 I s right, title <br />and interest in said project and any facilities thereof at a <br />total purchase pri~e 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 the <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 performance 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 Bystero herein described and such other reasonable <br />expenses "as may be necessary to cure, the cause of default, and/or <br />(c) take popsession 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 withqut regard to .prior waivers by it of <br /> <br />Page 2 of ~ pages <br />