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conditions and obligations have been duly authorized by all necessary actions of the BORROWER. . c. The BORROWER warrar1ts that it has not employed or retained any company or persor1, other than a bona fide employee working solely for the BORROWER, to solicit or secure this contract and. has not paid or agreed to pay any persor1, 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 BORROWER warrants that the property identified in the Collateral Provisions of this contract is not encumbered by any other deeds of trust to or liens of any party other than the STATE or in any other manner. 11. Collateral. Part of the security provided for this loan shall be an undivided one hundred percent (100%) interest in certair1 real property that is fully described in the executed Deed of Trust attached as Appendix C and incorporated herein, hereinafter referred to as COLLATERAL. The BORROWER agrees that, in the event the STATE forecloses on all or a portion of the COLLATERAL, the BORROWER shall continue to provide irrigation water to that portion of the COLLATERAL that includes irrigated lands, which is identified in Appendix C, to the extent that irrigation water is available to the BORROWER. The BORROWER shall use best efforts to ensure the availability of irrigation water for those lands. In the event the BORROWER changes the location of the irrigated lands, the BORROWER shan notify the STATE within 30 days of such change. 12. Pledge Of Property. The BORROWER hereby irrevocably pledges to the STATE for purposes of repayment of this 10ar1 revenues from assessments levied for that purpose as authorized by the BORROWER'S resolution and all of the BORROWER'S rights to receive said assessment revenues from its members (hereir1after collectively referred to as the "pledged property"). Furthermore, BORROWER agrees that a. Revenues For This Loan Are To Be Kept Separate. The BORROWER hereby agrees to set aside ar1d keep the pledged revenues in an account separate from other BORROWER revenues, and warrants that it shall not use the pledged revenues for any other purpose, except for the BORROWER'S annual payments to the Purgatoire River Water Conservancy District ("District") under the contracts between the BORROWER and the District dated May 24, 1966. b. Establish Security Interest. The BORROWER agrees that, in order to provide a security interest for the STATE ir1 the pledged property so that the STATE shall have priority over all other competing claims for said property, it shall execute a Security Agreement, attached hereto as Appendix 0 and incorporated herein, and an Assignment of Deposit Account as Security, attached as Appendix E and incorporated herein, prior to the disbursement of any loan fUr1ds. The BORROWER acknowledges that the STATE shall perfect its security interest in the BORROWER'S right to receive assessmer1t revenues by filing a UCC-1 Form with the Colorado Secretary of State. c. Assessments For Repayment Of The Loan. Pursuant to its statutory authority, articles of incorporation ar1d by-laws, and as authorized by its resolution, the BORROWER shall take all necessary actions consistent therewith to levy assessments sufficient to pay this loan as required by the terms of this contract and the promissory note. In the event the assessments levied by the BORROWER become insufficient to assure such repayment to the STATE, the BORROWER shall immediately take all necessary action consistent with its statutory authority, The Model Land & Irrigation Company Page 6 of 13 Loan Contract