PROJC01006

• Contract/PO #: C150135
• Contractor Name: Silt Water Conservancy District
• Contract Type: Loan
• Water District: 0
• County: Garfield
• Bill Number: MC3
• Loan Projects - Doc Type: Contract Documents

SECURITY AGREEMENT
(PLEDGE OF REVENUES�
DATE: JUNE 1 2003
DEBTOR: SILT WATER CONSERVANCY DISTRICT, ACTING BY AND THROUGH
THE SfLT WATER CONSERVANCY DISTRICT WATER ACTIVITY
ENTERPRISE
SECURED PART1': COLORADO WATER CONSERVATION BOARD
1313 SHERMAN STREET, ROOM 72'�
DENVER, CQ 80203
PROMISSORYNOTE: $490,86�, DATED,IUNE 1, 2003
TERMS OF REPAYMENT: 2.75% PER ANNUM FQR 30 YEARS
LoaN CorvTRacr: C150135 DATED.IUNE 1, 20�3
COLLATERAL: THIS WILL BE REVISED WITH THE REVENUES DESCRIBED
IN THE RESOLUTION ATTACHED AS APPENDIX 3 All
revenues pledged to repay the loan as described in Pledge of
Revenues provisions of the LoaN CoNTRa.Cr.
To secure payment of the loan evidenced by the PROMISSORY NOTE payable in
accordance with the TERnns oF REPAYMENT or until all principal, interest, and late
charges, if any, are paid in full, the DeBTOR grants to SecuRe� PaR'rr a security interest in
the above described Co��reRa�.
DEBTOR EXPRESSLY WARRANTS AND COVENANTS:
1. That except for the security interest granted hereby and any other security interests
described in Section 5 of the Loan Contract Project Summary, DEBTOR is the owner of
the Co�v+TeR.a� free from any adverse lien, security interest or encumbrances; and
that DeBTOR will defend the Co��reRa,� against all claims and demands of all persons
at any time claiming the same or any interest therein.
2. That the execution and delivery of this agreement by DesTOR will not violate any law or
agreement governing DeBroR or to which DeeroR is a party.
3. To not permit or allow any adverse lien, security interest or encumbrance whatsoever
upon the Co��a,Tet�a� and not to permit the same to be attached or replevined.
4. That by its acceptance of the loan money pursuant to the terms of the CoNTR.acr and
by its representations herein, DeeTOR shall be estopped from asserting for any reason
that it is not authorized to grant a security interest in the Co��a.rew�� pursuant to the
terms ofthis agreement.
UNTIL DEFAULT DearoR may have possession of the Co�v{TERC,�, provided that
DeeTOR keeps the CouareRa� in an account separate from other revenues of DesroR
and does not use the Co��a,�w+� for any purpose not permitted by the CorvTw�,cT. Upon
default SECURED PARTY shall have the immediate right to the possession of the
COLLATERAL.
DEBTOR SHALL BE IN DEFAULT under this agreement upon any of the
following events or conditions:
Appendix 4 to Loan Contract C150135