C153770 Contract

• Contract/PO #: C153770
• Contractor Name: Summit Reservoir and Irrigation Company
• Contract Type: Loan
• Water District: 32
• County: Montezuma
• Bill Number: SB 97-008
• Loan Projects - Doc Type: Contract Documents

AGENCY NAME: Water Conservation Board
AGENCY NUMBER: PDq � I
ROUTING NUMBER: 9�PDA U � O 1 C
� 20�����
LOAN CONTRACT
THIS CONTRACT, made this i�-� �� day of ��� �� t" �997,
by and between the State of Colorado for the use and benefit of the Department of Natural Resources,
Colorado Water Conservation Board (CWCB), hereinafter referced to as the STATE and the Summit
Reservoir 8� Irrigation Company, P:O. Box 127, Dolores, CO 81323, hereinafter referred to as the
BORROWER 8�d/Of CONTRACTOR.
FACTUAL RECITALS
1. Authority exists in the law, and funds have been budgeted, appropriated and othervvise made
availabie and a sufficient unencumbered balartce thereof remains available for payment in Fund
Number 424, Organization YWY, Appropriatian L97, GBL SUMM, Program WTRC, Object Code
5110, Repofting Category: 3770, Contract Encumbrance Number C153770
2. Required approval, clearance, and coordination have been accompiished from and with appropriate
agencies.
3. Pursuant to the provisions of §§ 37-60-119 and 37-60-120, 15 C.R.S. (1990 and Supp. 1996) the
STO.TE is authorized to loan money for the construction of water projects for the benefit of the people
Of th2 STATE provided that the borrower assures repayment of that money.
4. The BoRROwER is a duly constituted Colorado ditch and reservoir corporation formed pursuant to §§
7-42-101 et sea. and 7-40-101 et seo., C.R.S. {1986) located in Montezuma County, State of
Colorado.
5. The BORROWER h25 8ppll2d t0 th2 STATE fOf e loan in the amount of $600,000 to be used to
rehabilitate its system, including the Dam on the Summit Reservoir and the Various collection and
distribution canals, hereinafter referred to as PRO�ECT, at a total cost of $800,000.
6. Based upon a feasibility report conducted by NRCS and Steve Harris, P.E., and incorporated herein
by reference, the STaTE determined the PRO�ECT to be technically and financially feasible.
7. At its November 25-26, 1996 meeting, the CWCB approved a loan to the BORROwER in an amount
not to exceed $600,000 (75% of the cost of the PRO�ECT) at an interest rate of 3'/.% per annum, and
for a duration of 30 years.
8. Pursuant to Senate Bill 97-008, Section 1(b), the Colorado General Assembly authorized CWCB to
loan to the BoRROweR an amount not to exceed $600 fOf th0 PROJECT.
9. The STATE now desires by this contract, to loan to the BoRROwER a portion of the money in the
amount of $200,000 for this PROJECT upon mutuaily agreeable terms and conditions.
NOW THEREFORE, in consideration of the mutuai and dependent covenants contained, the
parfies z;ree as follows:
A. The BoRROweR agrees as follows:
Summit Reservoir & Irrigation Company Page 1 of 11 Loan Contract