PROJC00781

• Contract/PO #: C153708
• Contractor Name: Appleton ML 350 Ditch Company, Inc.
• Contract Type: Loan
• Water District: 72
• County: Mesa
• Bill Number: HB 95-1155
• Loan Projects - Doc Type: Contract Documents

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p',f'l,Gc DOCUME.

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1767326 1026AM 08/09/96
M;)NI!(f! i ODD C:U(trREC MESA COIJNT'f Co

DEED OF TRUST

THIS INOENTURE, made this ~ day of , 1996. between APPLETON ML350
DITCH COMPANY, INC, whose address is 2327 H Road, Grand Junctio Colorado 81505, hereinafter referred to as GRANTOR,
and the Public Trustee of the County of Mesa, State of Colorado, hereinafter referred to as PUBLIC TRUSTEE,

WITNESSETH, THAT. WHEREAS, GRANTOR has executed a promissory note, set forth in Contract #C153708 (the
"Contract") dated February 13. 1996, as amended, for a loan ifl the principal sum of Fifty.Three Thousand Dollars ($53,000), to
be repaid to the 5T ATE OF COLORADO for the use and benefit of the Department of Natural Resources, Water Conservation Board,
whose address is 1313 Sherman Street, Room 721, Denver, Colorado 80203, with interest thereon from the date of first
disbursement of funds under the Contract at the rate of four percent (4%) per annum, payable in thirty (30) annual installments,
or until loan is paid in full.

AND WHEREAS, the GRANTOR is desirous of securing payment of the principal and interest of said promissory note to
the State of Colorado .

NOW. THEREFORE, the GRANTOR, in consideration of the premises and for the purpose aforesaid, does hereby grant,
bargain, sell and convey unto the said PUBLIC TRUSTEE in trust forever, the following described property, situated in the County of
Mesa, Colorado. to wit: The Appleton ML350 Ditch Company, Inc. main headgate and main ditch, described as follows:
commencing at the main headgate (ML350) on the Grand Valley Canal and runs south along the west side of 23lt.: Road to H Read,
from which point it extends south approximately 1400 feet along 23% Road and also west approximately 1340 feet along the
south side of H Road. from which point the ditch divides continuing west approximately 500 feet and also south along 23% Road
for approximately 2200 feet, all of which is located in Sections 29 and 32, Township 1 North, Range 1 West, Ute Principal
Meridian, Mesa County, Colorado, (collectively or hereinafter referred to as the "Property").

TO HAVE ANO TO HOLD the same, 10gether with all and singular the privileges and appurtenances thereunto belongin9:
In Trust nevertheless, that in case of default in the payment of said note, or any part thereof, or in the payment of the interest
thereon. according to the tenor and effect of said note or in the payment of any prior encumbrances, prinCipal or interest, if any,
or in case default shall be made in or in case of violation or breach of any of the terms, conditions, covenants or agreements
contained in the Contract, the beneficiary hereunder may declare a violation of any of the covenants contained in the Contract and
elect to advertise said Property for sale, and demand such sale by filing a notice of such election and demand for sale with the
PUBLIC TRUSTEE. Upon receipt of such notice of election and denland for sale, the PUBLIC TRUSTEE shall cause a copy of the same
to be recorded in the recorder's office of the county in which s8id Property is situated, it shall and may be lawful for the PUBLIC
TRUSTEE to sell and dispose of the same (en masse or in separate parcels. as the said PUBLIC TRUSTEE may think best), and all the
right, title and interest of the GRANTOR, its successors or assigns therein, at public auction at such time and at such location as
shall be deSignated in the PUBLIC TRUSTEE'S Notice of Sale, for the highest and best price the same will bring in cash, four weeks
public notice having been previously given of the time and place of such sale. advertisement once each week for five consecutive
weeks, in some newspaper of general circulation at that time pLJblished in said County of Mesa, a copy of which notice shall be
mailed within ten days from the date of the first publication thereof to the GRANTOR at the address herein given and to such person
or persons appearing to have acquired a SUbsequent record intere~t in said Property at the address given in the recorded instrument;
where only the county and state is given as the address then such notice shall be mailed to the county seat, and to make and give
to the purchaser of the Property at such sale, a certificate in writing describing the Property purchased, and the sum paid therefor,
and the time when the purchaser (or other person entitled theret(1) shall be entitled to the deed therefor, unless the same shall be
redeemed as is provided by law; and said PUBLIC TRUSTEE shall, upDn demand by the person holding the said certificate of purchase,
" "en said demand is made, or upon demand by the person entitled to a deed to and for the Property purchased, at the time such
aemand is made, the time for redemption having expired, make and execute to such person a deed to the Property purchased,
which said deed shall be in the ordinary form of a conveyance. and shall be signed, acknowledged and delivered by the said PUBLIC
TRUSTEE and shali convey and quitclaim to such person entitled to such deed, the Property purchased as aforesaid and all the right,
title, interest, benefit and equity of redemption of the GRANTOR, its heirs and assigns made therein, and shall recite the sum for
which the said Property was sold and shall refer to the power of sale therein contained, and to the sale made by virtue thereof;
and in case of an assignment of such certificate of purchase, or in case of the redemption of the Property, by a subsequent
encumbrancer, such assignment or redemption shall also be referred to in such deed; but the notice of sale need not be set out
in such deed and the PUBLIC TRUSTEE shaU, out of the proceeds or avails of such sale, after first paying and retaining all fees,
charges and costs of making said sale, pay to the beneficiary hereunder the principal and interest due on said note according to
the tenor and effect thereof, and all moneys advanced by such beneficiary or legal holder of said note for insurance, taxes and
assessments, with interest thereon at ten per cent per annum, rendering the surplus, if any, unto the GRANTOR, its successors or
assigns; which sale and said deed so made shall be a perpetual bar, both in law and equity, against the GRANTOR, its successors
and assigns, and all other persons claiming the Property, or any part thereof, by, from, through or under the GRANTOR, or any of
them. The holder of said note may purchase Property or any part thereof; and it shall not be Obligatory upon the purchaser at any
such sale to see to the application of the purchase money.

And the GRANTOR, for itself and its successors or assigns covenants and agrees to and with the PUBLIC TRUSTEE, that at
the time of the unsealing of and delivery of these presents it is well seized of the Property in fee simple, and has good right, full
power and lawful authority to grant, bargain, sell and convey the same in the manner and form as aforesaid; hereby fully and
absolutely waiving and releasing -all rights and claims it may have in or to said -Property as a Homestead Exemption, or -othei
exemption, under and by virtue of any act of the General Assembly of the State of Colorado, or as any exemption under and by
virtue of any act of the United States Congress, now existing or which may hereafter be passed in relation thereto and that the
same is free and clear of all liens and encumbrances whate'(er, and the above bargained Property in the quiet and peaceable

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