C150156 Contract

• Contract/PO #: C150156
• Contractor Name: Arkansas Groundwater Users Association
• Contract Type: Loan
• Water District: 14
• County: Pueblo
• Bill Number: ARA
• Loan Projects - Doc Type: Contract Documents

Borrower:

Principal Amount:

Interest Rate:

Term of Repayment:

Loan Contract No.:

Loan Payment:

Payment Initiation Date>:

Maturity Date>:

> Payment Initiation Date and Maturity Date fields are filled in after the project has been
substantially completed.

1. FOR VALUE RECEIVED, the BORROWER promises to pay the Colorado Water ConseNation
Board ("CWCB"), the Principal Amount plus Interest for the Term of Repayment,
pursuant to the LOAN CONTRACT and this promissory note.

2. Principal and interest shall be payable in equal Loan Payments, with the first payment
due and payable one year from the date the CWCB determines that the project is
substantially complete (Payment Initiation Date), and annually thereafter until all
principal, interest, and late charges, if any, have been paid in full, with all such principal,
interest, and late charges, required to be paid on or before the Maturity Date.

3. Payments shall be made to the Colorado Water ConseNation Board at 1313 Sherman
Street, Room 721, Denver, Colorado 80203.

Date:

PROMISSORY NOTE

November 1,2003

Arkansas Groundwater Users Association

$970,448

2.5% per annum

30 years
C150156, dated November 1, 2003

$46,365.72

4. The CWCB may impose a late charge in the amount of 5% of the annual payment if the
CWCB does not receive the annual payment within 15 calendar days of the due date.

5. This Note may be prepaid in whole or in part at any time without premium or penalty.
Any partial prepayment shall not postpone the due date of any subsequent payments or
change the amount of such payments.

6. All payments received shall be applied first to late charges, if any, next to accrued
interest and then to reduce the principal amount.

7. This Note is issued pursuant to the LOAN CONTRACT between the CWCB and the
BORROWER. The LOAN CONTRACT creates security interests in favor of the CWCB to
secure the prompt payment of all amounts that may become due hereunder. Said
security interests are evidenced by a Security Agreement and Deed of Trust ("Security
Instruments") of even date and amount and cover certain revenues, real property, water
rights and/or accounts of the BORROWER. The LOAN CONTRACT and Security

Appendix 2 to Loan Contract C150156